2016 edelman trust barometer korea

Korea Report

2016 Edelman Trust Barometer

Methodology

28-country global data margin of error: General Population +/-0.6% (N=32,200), Informed Public +/- 1.2% (N=6,200), Mass Population +/- 0.6% (26,000). Country-specific data margin of error: General Population +/- 2.9 ( N=1,150), Informed Public +/- 6.9% (N = min 200, varies by country), China and U.S. +/- 4.4% (N=500), Mass Population +/- 3.0 to 3.6 (N =min 740, varies by country), half sample Global General Online Population +/- 0.8 (N=16,100).

‣ 16 years of data

‣ 33,000+ respondents total

‣ All fieldwork was conducted between October 13th and November 16th, 2015

2

General Population

‣ Ages 18+

‣ 1,150 respondents per country

Informed Public

‣ 8 years in 20+ markets

‣ Represents 15% of total global population

‣ 200 respondents

Must meet 4 criteria:

‣ Ages 25-64‣ College educated‣ In top 25% of

household income/age group

‣ Report significant media consumption/ engagement in business news

Mass Population

‣ All population not including Informed Public

‣ Represents 85% of total global population

+ =

Online Survey in 28 Countries

1 State of Trust

6357

51 48

67 6357

51

51 48 45 41

55 5347 42

Trust Rising

Source: 2016 Edelman Trust Barometer Q11-14. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale, where one means that you “do not trust them at all” and nine means that you “trust them a great deal.” (Top 4 Box, Trust) Informed Public and General Population, 27-country global total.

5

Percent trust in the four institutions of government, business, media and NGOs, 2015 vs. 2016

Upward trend for all institutions globally

NGOs Business Media Government

+4 +6 +6 +3Informed

Public

General Population

2015 2016

+4 +5 +2 +1

52

3041

30

58

3343

35

68

36

50

33

72

37

5238

Trust Rising

Source: 2016 Edelman Trust Barometer Q11-14. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale, where one means that you “do not trust them at all” and nine means that you “trust them a great deal.” (Top 4 Box, Trust) Informed Public and General Population, South Korea.

6


Recovering trust for all institutions in Korea, especially government and NGO

Informed Public

General Population


+4 +1 +2 +5

2015 2016

+6 +3 +2 +5

67 6670 68

72

54 5458

5258

2012 2013 2014 2015 2016

33

44 45

3338

3136 39

3035

2012 2013 2014 2015 2016

31 3139 36 37

3035 32 30 33

Source: 2016 Edelman Trust Barometer Q11-14. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale, where one means that you “do not trust them at all” and nine means that you “trust them a great deal.” (Top 4 Box, Trust) Informed Public and General Population, South Korea.

8


4549 48 50 52

4247 44 41 43

NGO’s

Government

Media

Business

Post-Recession HighsInformed Public

GeneralPopulation

Source: 2016 Edelman Trust Barometer Q11-14. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust) General Population, 27-country global total.

GDP 5 = U.S., China, Japan, Germany, U.K.

Global Increase in Business Trust

9

Percent trust in business, 2015 vs. 2016

Korea has the lowest trust in business across all countries surveyed

2015 2016

General Population

Glob

al 2

7

GDP5

Mex

ico

Indo

nesia

Chin

a

Indi

a

UAE

Braz

il

S. A

frica

Sing

apor

e

Italy

Cana

da

Arge

ntin

a

Aust

ralia

U.S.

Spai

n

U.K.

Fran

ce

Swed

en

Irela

nd

Japa

n

Turk

ey

Germ

any

Hong

...

Pola

nd

Russ

ia

S. K

orea

Mal

aysia

Neth

erl..

.

48 47

6470

58

68 6559 56 57

48 5143 46

51

3644

30

46

3640

32

4238 36 37

30

60 5753 50

7671 70 69 67 64 60 60 57 56 53 52 51 48 46 46 46 43 43 42 42 39 38 38

33

58 5650%

Increased or equal trust in business in 25 countries

+12 +12 +10 +12 +16 +10

10

Trusted Companies by NationalityPercent Most Trusted National Identities for Companies by Koreans 2015 vs. 2016Koreans rank Korean companies 12th (37%) out of 17 countries

Source : Q. Now we would like to focus on global companies headquartered in specific countries. Please indicate how much you trust global companies headquartered in the following countries to do what is right. Use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”.

General Population

Switz

er...

Swed

en

Cana

da

Germ

any

Neth

erl..

.

Aust

ralia UK US

Fran

ce

Spai

n

Italy

Sout

h K.

..

Japa

n

Chin

a

Indi

a

Braz

il

Mex

ico

67% 65% 63%71%

60%

0%

58%53%

57%

37% 41% 40%

31%22% 24% 26%

21%

72% 72% 70% 69% 68%62% 60% 59% 56%

44% 44%37% 34%

28%26% 24% 23%

50%

2015 2016

2012 2013 2014 2015 2016

58 5860

52 47

45

4344

43

47

4243

4245

40

53 52

5658

56

31 32 3335

32

Transformed Media Landscape

Source: 2016 Edelman Trust Barometer Q178-182. When looking for general news and information, how much would you trust each type of source for general news and information? Please use a nine-point scale where one means that you “do not trust it at all” and nine means that you “trust it a great deal.” (Top 4 Box, Trust) General Population and Millennials, South Korea, question asked of half the sample.

Trust in each source for general news and information

Deteriorating trust in traditional and social media

*From 2012-2015, we included Online Search Engines as a media type. In 2016, we changed to Search Engines.**From 2012-2015, we included Hybrid as a media type. In 2016, we changed this over to Online-Only.

11

General Population

Source

Search Engines

Traditional Media

Online-only Media

Social media

Owned media

2 Trust Inequality

13

A Significant Divide

Source: 2016 Edelman Trust Barometer Q11-14. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale, where one means that you “do not trust them at all” and nine means that you “trust them a great deal.” (Top 4 Box, Trust) Informed Public and Mass Population, South Korea.

Percent trust in the four institutions of government, business, media and NGOs, 2012 to 2016Trust gap between Informed Public and Mass Population has increased since 2012

Informed Public

MassPopulation

10pt Gap

6pt Gap

2012 2013 2014 2015 2016

44

47

51

47

50

38

4241

35

40

12pt Gapfor

Global

Trust Index 2012 – 2016, percentage point change in the size of the trust gap between Informed Public and Mass Population

Most of the countries have seen growing gaps

An Accelerating Disparity

Source: 2016 Edelman Trust Barometer Q11-14. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal.“ (Top 4 Box, Trust) Informed Public and Mass Population, 25-country global total, 2012 vs 2016.

GDP 5 = U.S., China, Japan, Germany, U.K. 14

Increased Gap Decreased Gap

Gap has increased in 16 of 25 countries

Glo

bal 2

5

GD

P 5

Fran

ce

U.K

.

U.S

.

Spa

in

Mex

ico

Sin

gapo

re

S. K

orea

Mal

aysi

a

Indi

a

Chi

na

Bra

zil

Ger

man

y

Aus

tralia

Irela

nd

Rus

sia

Pol

and

Can

ada

Japa

n

Indo

nesi

a

Italy

Arg

entin

a

UA

E

Hon

g K

ong

Net

herla

nds

2012 Gap 9 7 4 7 11 1 8 6 6 4 13 8 7 6 14 8 2 7 8 3 10 13 6 13 10 14 15

2016 Gap 12 12 16 17 19 9 15 10 10 8 16 11 10 9 16 10 3 8 8 3 8 11 3 9 6 10 10

Sw

eden

3

5

12

10

8 87

4 4 43 3 3 3

2 21 1

0 0

-2 -2-3

-4 -4 -4-5

15

A Global Phenomenon

Source: 2016 Edelman Trust Barometer. The Trust Index is an average of a country’s trust in the institutions of government, business, media and NGOs, 28-country global total.

Trust Index, Informed Public vs. Mass Population, 15 countries with double-digit trust gaps in 2016

CountryInformed

PublicMass

Population GapU.S. 64 45 19U.K. 57 40 17

France 55 39 16India 78 62 16

Australia 63 47 16Mexico 72 57 15

Italy 58 47 11China 82 71 11Brazil 58 48 10

Ireland 49 39 10Netherlands 62 52 10

Sweden 46 36 10S. Africa 54 44 10S. Korea 50 40 10

Singapore 72 62 10

3 Inversion of Influence

55 Global 60 Global82 China78 India74 UAE72 Mexico72 Singapore70 Indonesia64 U.S.63 Australia63 Canada62 Netherlands61 Colombia

84 UAE79 India78 Indonesia75 China65 Singapore64 Netherland

s

49 Ireland47 Turkey46 Sweden42 Poland42 Russia41 Japan

48 Italy48 S. Africa47 Hong Kong47 S. Korea46 U.K.45 Argentina45 Poland45 Russia45 Spain45 Sweden40 Turkey37 Ireland37 Japan

58 Brazil58 Italy58 Malaysia57 U.K.55 France54 S. Africa53 Argentina53 Spain52 Hong Kong51 Germany50 S. Korea

59 Brazil59 Mexico56 Malaysia53 Canada52 Australia52 France52 U.S.50 Germany

Trust Index:Informed Public Drives ReboundAverage trust in institutions,Informed Public, 2015 vs. 2016

2015 2016

Informed Public trust up 5 points

Trusters from 22% in 2015 to 39% in 2016

Distrusters from 48% in 2015 to 21% in 2016

Trusters

Neutrals

Distrusters

17

The Trust Index is an average of a country’s trust in the institutions of government, business, media and NGOs. 27-country global total.

49 Australia49 Italy49 U.S.47 Hong Kong46 Spain45 S. Africa42 Germany42 S. Korea42 U.K.41 France41 Ireland41 Turkey39 Russia38 Japan37 Sweden35 Poland

73 China66 UAE65 India64 Singapore62 Indonesia60 Mexico

57 Mexico55 Canada55 Colombia52 Netherlands50 Argentina50 Malaysia48 Brazil47 Australia47 Italy46 Hong Kong45 U.S.44 S. Africa44 Spain42 Germany40 S. Korea40 U.K.39 France39 Ireland39 Russia39 Turkey38 Japan36 Sweden34 Poland

71 China65 UAE62 India62 Indonesia62 Singapore

56 Canada55 Colombia52 Netherlands51 Argentina51 Malaysia50 Brazil

Trust Index:General Population LagsAverage trust in institutions, Informed Public vs. General Population, 2016

GeneralPopulation

MassPopulation

50 Global48 Global

49 Ireland47 Turkey46 Sweden42 Poland42 Russia41 Japan

82 China78 India74 UAE72 Mexico72 Singapore70 Indonesia64 U.S.63 Australia63 Canada62 Netherland

s61 Colombia58 Brazil58 Italy58 Malaysia57 U.K.55 France54 S. Africa53 Argentina53 Spain52 Hong Kong51 Germany50 S. Korea

InformedPublic

60 Global

Trusters

Neutrals

Distrusters

The Trust Index is an average of a country’s trust in the institutions of government, business, media and NGOs. 27-country global total.

Nearly 6 in 10 countries are

distrusters among the General Population

18

The Inversion of Influence

Source: 2016 Edelman Trust Barometer Q11-14. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale, where one means that you “do not trust them at all” and nine means that you “trust them a great deal.” (Top 4 Box, Trust) Informed Public and Mass Population, South Korea.

Authority & Influence

Influence

Authority

19

MassPopulation

82% of population

40 Trust Index

18% of population

50 Trust IndexInformed

Public

MassPopulation

85% of population

48 Trust Index

15% of population

60 Trust IndexInformed

Public

56

4245

4237

3027

21 23

62

5148

45 45

37 35

27 26

Peers, Employees More Credible than Leaders

Source: 2016 Edelman. Trust Barometer Q130-587. Below is a list of people. In general, when forming an opinion of a company, if you heard information about a company from each person, how credible would the information be—extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Very/Extremely Credible) General Population, South Korea, question asked of half the sample.

Percent who rate each spokesperson as extremely/very credible

2015 2016

+8

Technical Expert

Academic Expert

A person like

yourself

Financial Industry Analyst

Employee CEONGO representative

Board of Directors

Government official/regul

ator

A person like yourself credibilityincreased the most

+9 +8

General Population

21

4 An Opportunity for Business

72

37

52

38

62 59 59

41

58

3343

35

56 58 57

39


Business Most Trusted to Keep Pace

Source: 2016 Edelman Trust Barometer Q11-14. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a nine-point scale, where one means that you “do not trust them at all” and nine means that you “trust them a great deal.” (Top 4 Box, Trust), Informed Public and General Population, 27-country global total. Q441-444 Below is a list of institutions. For each one, please indicate how much you trust that institution to keep up with the changing times using a 9-point scale where one means that you “do not trust them at all to keep up with change” and nine means that you “trust them a great deal to keep up with change”. (Top 4 Box, Trust) Informed Public and General Population, South Korea 24

Percent trust, and percent who trust each institution to keep up with the changing times, 2016

However, business is expected to solve problems in changing times

Informed Public

General Population

Trust Trusted to keep pace

30%

35%

40%

45%

50%

55%

60%

65%

70%

75%

80%

Sector Trends:Innovative Industries Rebound

Source: 2016 Edelman Trust Barometer Q45-429. Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) General Population, South Korea.

*From 2012-2014, Pharma included as subsector(Q61f-65f). **From 2012-2015, Pharma included as an industry sector (Q43-60). 2012-2014 data recalibrated as a sector.

Trust in each industry sector, 2012–2016

2012 2013 2014 2015 2016

Industry 2012 2013 2014 2015 20165 yr.

Trend

Technology 75% 72% 75% 67% 69% 6

Energy 56% 61% 62% 58% 59% 3

Pharmaceutical 44% 52% 55% 50% 57% 13

Financial Service 44% 53% 57% 45% 52% 8

Automotive 63% 64% 64% 53% 51% 12

Consumer Packaged Goods 39% 52% 54% 46% 51% 12

Food & Beverage 47% 49% 52% 45% 48% 1

Telecommunications 47% 50% 54% 44% 48% 1

25

General Population

54

37

36

29

23

18

40

14

34

23

38

13

Trust Matters

Source: 2016 Edelman Trust Barometer Q371-589. Thinking back over the past 12 months, have you taken any of the following actions in relation to companies that you trust? Please answer yes or no to each action. General Population, South Korea, question asked of half the sample. Q377-380. Still thinking about the past 12 months, have you taken any of the following actions in relation to companies that you do not trust? Please answer yes or no to each action. General Population, South Korea, question asked of half the sample.

Percent who engage in each behavior based on trust

Behaviors for Distrusted Companies Behaviors for Trusted Companies

Refused to buy products/services

Criticized companies

Shared negative opinions

Disagreed with others

Paid More than wanted

Sold shares

Chose to buy products/services

Recommended them to a friend/colleague

Shared positive opinions online

Defended company

Paid more

Bought shares

most trusted content creators: #1

Friends and Family

most trusted media source: #1

Search Engines

General Population

26

5 Leadership in aDivided World

Addressing Trust Inequality

28

Actions

ValuesEmployeeAdvocacy

EngagementTrust

ActionsLeadership in a Divided World:

CEO Focus Misplaced

30

Percent who agree with each statement about CEOs

CEOs should focus less on lobbying/profit and more on providing positive impact to society

Lobbying

Too Much

Focus on short-term financial results68%

75%

Not Enough

Job creation60%

Positive long-term impact52%

Source: 2016 Edelman Trust Barometer Q451-461. Thinking about CEOs, how strongly do you agree or disagree with the following statements? [‘CEOs do too much lobbying,’ ‘Given that the average tenure of CEOs is just 4 years, CEOs aren’t in their role long enough to make a positive impact,’ (Top 4 Box, Agree) ‘CEOs are too focused on short-term financial results,’ ‘CEOs can be trust to create jobs’ ] (Bot 5 Box, Do not agree) General Population, South Korea.

General Population

vs. 57% Global Avg.

Purpose and Profits Matter

Source: 2016 Edelman Trust Barometer Q496-506. How visible do you think a CEO should personally be in these different types of business situations? Please use a 9-point scale where one means that it is “not visible at all” and nine means that it is “extremely visible”. (Top 4 Box, Visible) General Population, South Korea question asked of half the sample.

31

Percent who agree that CEOs should be personally visible in discussing…

79%Societal Issues

‣ Income inequality‣ Public policy discussions‣ Personal views on

societal issues

63%Financial Results

General Population

Purpose Impacts TrustPercent who cite each as a reason for why their trust in business has increased or decreased

Greater distrust arises from failing to contribute to the greater good

Source: 2016 Edelman Trust Barometer Q328-329. For which of the following reasons, if any, has your trust in each institution listed below increased over the past year? Q330-331. For which of the following reasons, if any, has your trust in each institution listed below decreased over the past year? General Population, South Korea.

Reasons Trust in Business Has Increased

Reasons Trust in Business Has Decreased

Produces economic growth

Has good leadership

Contributes to the greater good

Fails to contribute to the greater good

Lacks economic growth

Provides few services

47%

36%

35%

67%

46%

41%

32

General Population

ValuesLeadership in a Divided World:

Integrity 10% 34% 24%Exhibits highly ethical behaviors 9% 31% 22%

Takes responsible actions to address an issue or crisis 13% 38% 25%

Behaves in a way that is transparent and open 10% 31% 21%

Engagement 9% 30% 21%Treats employees well 9% 29% 20%

Listens to customer needs and feedback 9% 33% 24%

Places customer ahead of profits 10% 31% 21%

Communicates frequently and honestly on the state of their company 7% 26% 19%

Products 18% 32% 14%Places a premium on offering high quality products or services 19% 36% 17%

Is focused on driving innovation and introducing new products/services/ideas 17% 28% 11%

Purpose 10% 24% 14%Is dedicated to protecting and improving the environment 9% 22% 13%

Ensures that the company creates programs that positively impact the local community in which it operates 11% 25% 14%

Ensures that the company addresses society's needs in its everyday business 10% 25% 15%

Ensures that the company partners with NGOs, government and third parties to address societal issues 10% 23% 13%

Operations 13% 23% 10%Attracts and retains a highly-regarded and widely admired top leadership team 10% 23% 13%

Is ranked on a global list of top CEOs, such as "The Best Performing CEOs in The World" 13% 18% 5%

Manages the company in a way that delivers consistent financial returns 16% 27% 11%

Leaders Seen As Underperforming

Source: 2016 Edelman Trust Barometer. Q462-478 How important is each of the following attributes to building your trust in CEOs? (Top 2 Box, Important) Q479-495 Please rate CEOs on how well you think they are performing on each of the following attributes. Use a 9-point scale where one means they are “performing extremely poorly” and nine means they are “performing extremely well.” CEO questions use the same scales as the business questions. (Top 2 Box, Performance) General Population, South Korea.

Importance vs. performance of 16 trust-building leadership attributesGap

34

General Population

CEO Importance(Expected)

CEOPerformance(Perceived)

Their education and how it shaped them

Their personal success story

The obstacles they have overcome

Their personal values

52%62%

72%82%

Personal Values and History Matter

Source: 2016 Edelman Trust Barometer Q507-514. Thinking about how a CEO communicates with a variety of groups and individuals, how important are each of the following activities a CEO could engage in? Please use a 9-point scale where one means that attribute is “not at all important to building your trust” and nine means it is “extremely important to building your trust”. [Media Engagement net = Q507 ‘Interviews with the media,’ and ‘Q512 ‘Sharing their views on a blog or on social media.’ Direct Engagement net = Q508 ‘Communications with employees,’ and ‘Participation in industry conferences.’] Q516-524. For you to trust a CEO, how important is it that you have information on each of the following aspects of the CEO’s personal life outside of their business? Please use a 9-point scale where one means that attribute is “not at all important to building your trust” and nine means it is “extremely important to building your trust. (Top 4 Box, Important) General Population, South Korea, question asked of half the sample.

Percent who agree that each type of information is important in building trust in a CEO

CEO’s personal values matter most

35

General Population

EmployeeAdvocacy

Leadership in a Divided World:

50%

Glob

al

GDP

5

Japa

n

Russ

ia

Fran

ce

Swed

en

Aust

ralia

S. K

orea

Pola

nd U.K.

Italy

Hong

...

Irela

nd

Germ

any

Neth

erl..

.

Spai

n

Turk

ey

Cana

da U.S.

S. A

frica

Sing

apor

e

Mal

aysia

UAE

Indo

nesia

Braz

il

Arge

ntin

a

Chin

a

Indi

a

Colo

mbi

a

Mex

ico

6560

4048 48 50

54 55 56 57 58 59 60 62 62 63 64 64 6472 73 76 76 77 77 78 79 83 85 89

Significant Employee Lack of Trust

Source: 2016 Edelman Trust Barometer Q525-526. Thinking about your own company and other companies in your industry, please indicate how much you trust each to do what is right using a nine-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) General Population, 28-country global total.

GDP 5 = U.S., China, Japan, Germany, U.K. 37

Percent who trust the company for which they work

Almost half of Korean employees do not trust the company they work for

TrustedNot Trusted

General Population

Activist Consumers and Employees Are Essential Advocates

Source: 2016 Edelman Trust Q610 Who do you trust MOST to provide you with credible and honest information about a company's financial earnings and operational performance, and top leadership’s accomplishments? Q611 A company’s business practices and handling of a crisis: Who do you trust MOST to provide you with credible and honest information about a company’s business practices, both positive and negative, and its handling of a crisis? Q612 Who do you trust MOST to provide you with credible and honest information about a company’s employee programs, benefits and working conditions, and how a company serves its customers and prioritizes customer needs ahead of company profits? Q613 Who do you trust MOST to provide you with credible and honest information about a company’s partnerships with NGOs and effort to address societal issues, including those to positively impact the local community? Q614 Who do you trust MOST to provide you with credible and honest information about a company’s innovation efforts and new product development? Q615 Who do you trust MOST to provide you with credible and honest information about a company’s stand on issues related to the industry in which it operates? General Population, South Korea, question asked of half the sample.

39

Most trusted spokesperson to communicate each topic

Innovation effortsFinancial earnings & operational performance

Business practices/crisis handling

Treatment of employees/customer

Partnerships/Programs to address societal issues

Views on industry issues

1512 12

15

2219

1014 12 12

1620

2925

31

14

3429

4247

50

40

3329

20 1914

25

16

222023 22

27

1722

Company CEOSenior executiveEmployeeActivist consumerAcademicMedia spokesperson

General Population

Company NOT engaged in societal issues

Company engaged in societal issues

Employee Advocacy Increases With Societal Issue Engagement

40

Recommend company as an employer

Confidence in the future of the company

Stay working for the company

Recommend products and services to others

Motivated to perform

Committed to achieving our strategy

Do the best possible job for the customer

47

51

54

57

55

61

72

Impact of Company

Engagement

11

20

25

21

18

20

22

83

81

80

78

72

71

69

Source: 2016 Edelman Trust Barometer Q527-529. Does your company and your company’s CEO get involved in addressing broader societal issues beyond the core business, through programs or relationships with other companies? Q530-536. Thinking about your current company, please indicate how much you agree with each of the following statements using a 9-point scale where one means that you “strongly disagree” and nine means that you “strongly agree”. (Top 4 Box, Agree) General Population, South Korea, question asked of half the sample.

General Population

EngagementLeadership in a Divided World:

Integrity 12% 44% 32%Has Ethical Business Practices 12% 40% 28%

Takes Responsible Actions To Address An Issue Or A Crisis 13% 45% 32%

Has Transparent And Open Business Practices 11% 45% 34%

Engagement 13% 43% 30%Treats Employees Well 14% 49% 35%

Listens To Customer Needs And Feedback 14% 46% 32%

Places Customers Ahead Of Profits 13% 40% 27%

Communicates Frequently And Honestly On The State Of Its Business 13% 38% 25%

Products 16% 37% 21%Offers High Quality Products Or Services 16% 43% 27%

Is An Innovator Of New Products, Services Or Ideas 17% 30% 13%

Purpose 11% 31% 20%Works To Protect And Improve The Environment 11% 36% 25%

Creates Programs That Positively Impact The Local Community 13% 30% 17%

Addresses Society's Needs In Its Everyday Business 9% 30% 21%

Partners With NGOs, Government And Third Parties To Address Societal Issues 10% 27% 17%

Operations 12% 29% 17%Has Highly-Regarded And Widely Admired Top Leadership 11% 25% 14%

Ranks On A Global List Of Top Companies, Such As Best To Work For Or Most Admired 12% 33% 21%

Delivers Consistent Financial Returns To Investors 13% 30% 17%

Trust Building

Source: 2016 Edelman Trust Barometer Q80-95 How important is each of the following attributes to building your TRUST in a company? Use a 9-point scale where one means that attribute is “not at all important to building your trust” and nine means it is “extremely important to building your trust” in a company. (Top 2 Box, Importance) Q114-129 Please rate businesses in general on how well you think they are performing on each of the following attributes. Use a 9-point scale where one means they are "performing extremely poorly" and nine means they are "performing extremely well". (Top 2 Box, Performance) South Korea.

Company Importance vs. Business PerformanceGap

42

Company Importance(Expected)

BusinessPerformance(Perceived) General

Population

6659

48 4635 34 38 35 29

22

7357 53

45 43 43 42 42 3624

Every Voice Matters

Source: 2016 Edelman Trust Barometer Q598-609. Thinking about the information you consume, how much do you trust the information from each of the following authors or content creators? (Top 4 Box, Trust) General Population, South Korea, question asked of half the sample.

* Asked as “Brands I don’t use” in 2015. 43

+8 +9

50%

2015 2016

General Population


28

Actions


EngagementTrust

Influence

The Inversion of Influence

Influence& Authority

Authority

Old Model

‣ Elites have access to more/better information

‣ Elites’ interests interconnected with those of mass

‣ Becoming an “elite” open to all

New Reality

‣ Peer-to-peer influence more powerful than top-down

‣ Increasing distrust among mass population

‣ Mass movements based on dissatisfaction and urgency

The Divide

‣ Democratization of information and more information

‣ High-profile revelations of greed and misbehavior

‣ Income inequality

44


45

Trust

Influence

Authority

Embracing the New Reality of Influence to Address Trust Inequality

46

‣ Create societal impact in addition to profits through purposeful action

‣ Express your values through honest, ethical engagement in which you share your story

‣ Ignite your most powerful advocate, your employees

‣ Engage cross channel to meet stakeholders, where they are, about what most interests/concerns them

Actions


Engagement

Influence

AuthorityLeadership

TRUST

Thank You

2016 edelman trust barometer korea

Marketing