From cancellations to controversies, risk is one of the most misunderstood ideas in marketing. For many marketing teams, risky marketing means the risk of losing customers, sparking backlash, or tarnishing brand image. However, in today’s social media-first market, avoiding risk altogether can be just as dangerous as taking the wrong kind of risk.

The most successful brands are strategically risky. They make calculated creative decisions that push boundaries without sacrificing their brand values, which allows them to stand out, stay relevant, and build brand loyalty.

What Does Strategic Risk Look Like for Brands?

Duolingo is one of the most talked about examples of embracing brand risk. Their conventional messaging and language-learning features, like grammar drills or vocabulary practice, are typical among competitors. Without any brand risk, they become just another language learning program.

Instead, Duolingo leans into humor, weirdness, and surprise with its brand voice and style. From its cheeky push notifications to its oversized green owl mascot starring in quirky TikToks, the brand consistently does things that feel unconventional. For another brand with a different identity, these tactics could backfire, but for Duolingo, they work. Their risks are deliberate, aligned with their playful tone, and consistently generate positive engagement.

In fact, Duolingo originally played it straight on TikTok and got mediocre results. It’s only when they switched things up, became a bit unhinged, that their brand (and their business) took off.

Strategic risk isn’t only about shock value. It’s about knowing your brand well enough to step outside safe messaging in ways that feel authentic and memorable.

Why Disruptive Brands Embrace Risk More Easily

Newer and challenger brands often find it easier to take risks. Here are three major reasons why:

1. 1. 1. They have less to lose. A challenger brand that nobody notices risks fading into irrelevance. Taking bold swings offers higher potential than quietly blending in.
      2. They need to stand out. In competitive markets, attention is scarce, and consumers are more likely to favor familiar, big-name brands. A calculated risk is often the only way to get attention.
      3. Their audiences expect it. Consumers often turn to disruptive brands because they ARE different. Audiences welcome bold, fresh, or unconventional approaches.

Consider Dollar Shave Club’s viral launch video. Shot on a budget, it was funny and a little outrageous. For an established brand like Gillette, that kind of campaign would have felt less authentic, but for a challenger brand trying to make noise in the space, it’s a strategic marketing move.

Why Established Brands Struggle with Risk

Larger, more established brands often hesitate to take risks. They’ve spent decades building equity and brand advocacy, and they may not want to chance alienating loyal customers. Layers of approvals, legal reviews, and board sign-offs can also water down and delay bold ideas, causing them to lose their edge or timeliness.

The result is often “safer” campaigns that can fade into the background of a crowded space. This doesn’t mean that established brands should abandon caution, but it DOES mean they should revisit ways to protect their reputation without sacrificing audience engagement.

Having said this, there are certain things that market leaders just do not do, for good reason. Coke doesn’t react to Pepsi, even if Pepsi goes after Coke, for example. If you’re the number one brand, you don’t use your light to shine on a competitor.

When Risk Goes Wrong

Still, not every risk pays off, and some do cause controversy. Pepsi’s Protest Ad with Kendall Jenner is one of the most recognizable examples. The 2017 ad showed Jenner handing a Pepsi to a police officer to ease tension at a protest. Not only did the ad lean into politics, a major watch-out area for any brand, but it was considered tone deaf and accused of trivializing major cultural and political issues. The ad unsurprisingly caused outrage, and Pepsi later issued an apology and pulled it from the air.

The lesson? Risks should be grounded in brand authenticity and cultural awareness. Risks that feel opportunistic or exploitive are most often unfavorable with audiences.

How to Take Smart Risks as a Brand

So, how should you actually go about taking smarter risks in marketing for your brand? Here are five guidelines to consider:

1. Stay True to Brand Values

Risk should amplify what your brand already stands for. Duolingo can lean into playful chaos because its voice is consistently quirky, while language-learning apps are pretty straightforward. A luxury brand like Rolex couldn’t suddenly pivot to memes without feeling off-brand. Stick to what your brand does best and let the creativity flow from there.

2. Know Your Audience

Some audiences crave tradition; others demand innovation. A successful risk is one that stretches expectations without breaking them. Lean into social listening and consider how your audience has reacted to brand change or variation in the past. Was it met with excitement, or did your audience demand you stick to your roots?

3. Experiment Small, Then Scale

Risk doesn’t have to mean massive investment. Social platforms make it possible to test bold ideas in smaller, more agile ways before rolling them out at scale. Test the waters and listen to your audience’s reaction before making any major moves.

4. Prepare for Missteps

Even calculated risks sometimes miss. What matters most is how a brand responds. Audiences react more favorably to brands that feel authentic and human. Quick, transparent acknowledgment of mistakes can build more trust than silence.

5. Keep Culture in Context

Boldness should never ignore cultural sensitivity. Risky campaigns resonate best when they tap into real conversations with empathy and authenticity and steer clear of exploitation.

The Cost of Playing It Too Safe

Safe campaigns may avoid backlash, but they rarely spark passion. In the attention economy, neutrality often equals invisibility. Consumers don’t form emotional bonds with brands that never surprise them.

Brands that take risks create moments people remember—whether it’s a viral ad, a bold stance, or an unexpected twist in brand voice. Even when risks do fall flat or spark controversy, they’re often still talked about and remembered. They show a willingness to innovate that their audiences respect.

Strategic risk isn’t about being reckless. It’s about stepping out of comfort zones in ways that align with who you are as a brand. Challenger brands often excel at risk-taking because they can’t afford not to do so. Established brands can too, but it requires courage, cultural sensitivity, and a commitment to authenticity.

In today’s crowded marketplace, the real danger isn’t risk. It’s irrelevance. Brands that avoid risk may feel safe in the short term, but they risk fading from view. The ones that thrive are those that take bold, calculated risks and turn them into lasting connections with their audiences. I’ve heard it argued that advertising is a tax you pay for not being interesting. In social media in particular, the cost of being ignored is real.