Download - 2011 Edelman Trust Barometer
2011 Edelman Trust BarometerJanuary 20, 2011
Germany findings
Presentation Berlin, February 8, 2011
The Edelman Trust Barometer in retrospect
Rising Influence of NGOs2001
Fall of the celebrity CEO2002
Earned media more credible than advertising2003
U.S. companies in Europe suffer trust discount2004
Trust shifts from “authorities” to peers2005
“A person like me” emerges as credible spokesperson2006
Business more trusted than government and media2007
Young influencers have more trust in business2008
Business must partner with government to regain trust2009
Trust is now an essential line of business2010
3
2010 Year in review
State of Trust
Shifting center of gravity
6
57%54%
47%45%
61%
56%52%
49%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
NGOs Business Government Media
2010 2011
Trust in Institutions – Global
Globally, trust increases in all institutions
A7-10. [Institutions TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is
right. On a 9-point scale where one means that you ―DO NOT TRUST THEM AT ALL‖ and nine means that you ―TRUST THEM A GREAT DEAL, how
much do you trust [INSERT] to do what is right? (Top 4 Box, Trust) Informed Publics ages 25-64 in 20 countries (excludes Singapore, UAE and Argentina)
+4
+5 +4
+2
Government trust experiences 10-point drop;
Among lowest government trust levels in EU
7
Trust in institutions – GermanyInformed Publics ages 25-64
35%
27%
40%
37%39%
47%49%
53%
55%
37%
27%33% 33%
31% 35%
33%
39%
52%
11%
26%19%
27%
24%
26%
36%
43%
33%
43%
38% 34%33%
29%
38%
46%
38%37%
10%
20%
30%
40%
50%
60%
70%
2003 2004 2005 2006 2007 2008 2009 2010 2011
NGOs Business Government Media
Re-election Schröder
after vote of confidence
22 September 2002
CDU/CSU/FDP win
federal elections
27 September 2009
Grand coalition
after federal elections
21 July 2005
Beginning
financial crisis
Spring 2007
A7-A10. [TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right.
On a 9-point scale where one means that you ―DO NOT TRUST THEM AT ALL‖ and nine means that you ―TRUST THEM A GREAT DEAL, how much
do you trust [INSERT] to do what is right? (Top 4 Box) Informed Publics ages 35-64 in Germany
62%58%
54%51%
59%
53%
46%44%
55%52%
33%37%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
NGOs Business Government Media
Global EU Germany
Trust in Institutions
A7-A10. I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right. On a 9-point scale
where one means that you ―DO NOT TRUST THEM AT ALL‖ and nine means that you ―TRUST THEM A GREAT DEAL, how much do you trust [INSERT] to
do what is right? (Top 4 Box) Informed Publics ages 25-64 in 23 countries, the EU (excludes Russia) and Germany
8
Germany most trusting of NGOs and business;
Very low trust in government and media
75%
60%
43%
36% 36%38%
31%
46%
38%
43%
28%
75%
64%
49%45%
43% 43% 42%40% 39%
33%
20%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
9
Trust in Government (2010 – 2011)
A7. [Government in general TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution
to do what is right. On a 9-point scale where one means that you ―DO NOT TRUST THEM AT ALL‖ and nine means that you ―TRUST THEM A GREAT
DEAL, how much do you trust [INSERT] to do what is right? (Top 4 Box) Informed Publics ages 25-64 in the US, EU countries and Russia
Trusters Distrusters (< 50%)
- 6+11
Government trust experiences 10-point drop;
Among lowest government trust levels in EU
- 10
2010 2011
10
Trust in NGOsInformed Publics ages 35-64
36%
53%
55%
52%
59%
31%
53%
30%
35%
40%
45%
50%
55%
60%
65%
70%
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
US Germany India China
A10. [Non-governmental organizations TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that
institution to do what is right. On a 9-point scale where one means that you ―DO NOT TRUST THEM AT ALL‖ and nine means that you ―TRUST THEM
A GREAT DEAL, how much do you trust [INSERT] to do what is right? (Top 4 Box) Informed Publics ages 35-64 in US, UK/FR/GER, India and China
Germany trust in NGOs has grown over time
35%
63%
54%58% 58%
37%
49%
38%36%
33%
39%35%
37% 38%
31%
80%
73%
50%
69%
53%
46% 45% 45%
38% 37% 37% 37%
27%
22%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Trust in Media (2010 – 2011)
11
A8. [Media in general TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution
to do what is right. On a 9-point scale where one means that you ―DO NOT TRUST THEM AT ALL‖ and nine means that you ―TRUST THEM A GREAT
DEAL, how much do you trust [INSERT] to do what is right? (Top 4 Box) Informed Publics ages 25-64 in the US, EU countries and Russia
+19+11
- 11
Trusters
Distrusters (< 50%)
- 9
Media trust remains stable but low
2010 2011
Neutral
62%
67%
62%
54%
40%
55%
36%
31%
54%
46%49%
42%
81%
70%
61%
53% 52% 52%48%
46% 46%44% 44%
41%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
12
Trust in Business (2010 – 2011)
A9. [Business in general TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is
right. On a 9-point scale where one means that you ―DO NOT TRUST THEM AT ALL‖ and nine means that you ―TRUST THEM A GREAT DEAL, how much do
you trust [INSERT] to do what is right? (Top 4 Box, Trust) Informed Publics ages 25-64 in the US, EU countries and Russia
Trusters Distrusters (< 50%)Neutral
2010 2011
+15
- 8
Germany just surpasses mark of majority trust in business, representing a
12-point increase in a year’s time
+12 +12
13
Trust in Business Informed Publics ages 25-64
44% 44%
48%
51%
48% 49%
53%
59%
36%
54%
46%
43%
50%
53%
37%
27%
33% 33%31%
34%
34%
40%
52%
20%
30%
40%
50%
60%
70%
80%
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
U.S. EU Germany
Business trust continues to recover from 2009 level, catches up to EU
A7-10. [TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right.
On a 9-point scale where one means that you ―DO NOT TRUST THEM AT ALL‖ and nine means that you ―TRUST THEM A GREAT DEAL, how much
do you trust [INSERT] to do what is right? (Top 4 Box, Trust) Informed Publics ages 25-64 in the U.S., EU countries (excludes Russia) and Germany
75% 76% 76%71%
69% 69%
61%65%
50%
39%36% 34%
30%
76% 75%73% 73%
69% 69% 68%64%
63%
50%
44%42% 40% 39%
35%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
14
A13-29. [TRACKING] Now I would like to focus on global companies headquartered in specific countries. Please tell me 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‖. (Top 4 box) Informed Publics ages 25-64 in 20 countries (excludes Singapore, UAE and Argentina)
Most Trusted National Identity for Companies – Global
Companies headquartered in Germany take top spot as most trusted
N/A N/A
+ 4+ 5+ 5
+ 3
+ 3
Distrusted HQ CountriesTrusted HQ Countries2010 2011
75%
80%
92%
83%
92%
74%
63%
78% 78%
86%
57%
88%83%
68%
77% 77%
57%
73%
85%
50%
72%
83%
66%
76%
94%93%
90%89% 87%
86% 85% 83%81% 80% 80% 80% 79% 78%
73% 73%72% 69% 69%
67%63% 62%
57%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2010 2011
15
A13-29. [Germany TRACKING] Now I would like to focus on global companies headquartered in specific countries. Please tell me 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". (Top 4 Box, Trust) Informed publics ages 25-64 in 20 countries (excludes
Singapore, UAE and Argentina)
Companies headquartered in Germany trusted by a majority of Informed
Publics in all surveyed markets
Trust in Companies Headquartered in Germany
+ 22
+ 23
+ 12
+10
+17
-21
+ 14
N/A
-16
-9
-9+15
-8
+ 7
74%
53%
45%
32%
15%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
China HQs
65%
56%
37%34%
30%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
India HQs
70%
27% 25%
13%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Russia HQs
86%
65%
33% 31%28%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Brazil HQs
+ 32
+17
+15
16
BRIC MNC strategy to target emerging economies producing results
BRIC HQ image improvement in EU but not in U.S.
Trust in Companies Headquartered in BRIC
A13-29. [TRACKING] Now I would like to focus on global companies headquartered in specific countries. Please tell me 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". (Top 4 Box, Trust) Informed publics ages 25-64
+32
+14
- 7
+33
+13
+15
- 6
+ 15
+ 21
- 6
+ 3 + 6+ 3
+ 6
17
19%
54%
50%
25%
32%
38%
33%
35%
69%
56%
56%
78%
23%
32%
35%
37%
38%
48%
52%
57%
57%
63%
63%
79%
73%
84%
Banks
Financial services
Consumer packaged goods*
Food and beverage*
Insurance
Energy
Entertainment
Media*
Pharmaceuticals
Telecommunications
Retail
Automotive
Biotech
Technology
2011
2010
N/A
N/A
N/A
N/A
Trust in Industries – Germany
A30-45. [TRACKING] Now I would like to focus on your trust in different industry sectors. Please tell me how much you TRUST businesses in each of the
following industries to do what is right. Again, please use 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) Informed publics ages 25-64 in Germany.
Technology, Retail and Banks are only industries not to experience
significant gains in trust this year
*Note Wording Changes from 2010:
- Media asked as Media Companies
- Consumer Packaged Goods asked as
Consumer Packaged Goods Manufacturers
- Food and Beverage asked as Food
Business and Society
Toward shared value
19
B72-81. [TRACKING] How important are each of the following factors to the overall reputation of the company? Please use a nine-point scale where one
means that factor is ―not at all important‖ and nine means it is ―extremely important‖ to overall reputation. The first one is [INSERT FIRST]. How important
is this factor to overall reputation on a 9-point scale where one means ―not at all important‖ and nine means ―extremely important‖? (Top 2 Box, Very/
Extremely Important) Informed Publics ages 25-64 in 23 countries, the EU (excludes Russia) and Germany.
39%
39%
46%
51%
55%
55%
65%
63%
69%
65%
38%
20%
52%
51%
58%
66%
73%
72%
59%
83%
Delivers consistent financial returns to investors
Has highly-regarded and widely admired top leadership
Is an innovator of new products, services or ideas
Is a good corporate citizen
Prices its brands fairly and competitively
Communicates frequently and honestly on the state of its business
Has transparent and honest business practices
Treats employees well
Offers high quality products or services
Is a company I can trust
Reputation Factors
Trust is most important reputation factor in Germany
85%
80%
91%89% 89%
81% 81% 80%
73% 72% 71% 71%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Believe corporations need to create shareholder value in a way that aligns with society’s interests, even if that means sacrificing shareholder value
20
G120. Which of the following two positions comes closest to your view? A corporation should focus only on creating shareholder value, even if the way in
which they create shareholder value conflicts with societal interests OR corporations need to create shareholder value in a way that aligns with society’s
interests, even if that means sacrificing shareholder value. Informed Publics ages 25-64 in the US, EU countries and Russia
By contrast, nine out of 10 in Germany agree that business must align with
society’s interests when creating shareholder value
61% 61%
82% 82%
69%66%
63%
57%53%
50% 49% 48%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Believe that government needs to regulate corporations’ activities to ensure that they are behaving in a responsible manner
21
G123. And which of the following statements is closest to your view? I trust corporations to act on their own to behave in a responsible manner OR I think
government needs to regulate corporations’ activities to ensure that they are behaving in a responsible manner. Informed Publics ages 25-64 in the US,
EU countries and Russia
Yet Germans are split on whether government needs to step in to regulate
corporations’ activities to ensure responsible behavior
Roadmap to Trust
A new way forward
23
32%
63%
34%
40%
18%
35%
77%75%
58%56%
49%
24% 23%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
An academic or expert
Person like yourself
Technical expert within the company
A financial or industry analyst
NGO representative
CEO Regular employee
2009 2011
Credible Spokespeople – Germany
In contrast to global results, a ―person like yourself‖ remains among the most
credible and CEO remains among least credible as a source of company
information in Germany
N/A
D104-111. [TRACKING] Now I’m going to read you a list of people. In general, when forming an opinion of a company, if you heard information about
a company from that person, how credible would the information be—extremely credible, very credible, somewhat credible, or not credible at all?
(Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 25-64 in Germany.
+45 +12
+22
- 12
19%
40%
23%
29% 29%
16%
23% 23%
29%
19% 18%
68%
58%56%
46% 45%43%
39% 38%35% 34%
24%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100% 2009 2011
24
CEO credibility on rise in most EU markets; Germany one of two exceptions
D104-111. [TRACKING] Now I’m going to read you a list of people. In general, when forming an opinion of a company, if you heard information about
a company from that person, how credible would the information be—extremely credible, very credible, somewhat credible, or not credible at all?
(Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 25-64 in the US, EU Countries and Russia
Credible Spokespeople – CEO
+18 +33
+49
+17 +16+16 +15 +15+27
94%89%
80%
74% 72%
36%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Customers Employees Investors Society Local Communities
Government
Germany believes customers should be most important to CEO’s business
decisions
Importance of Stakeholders to a CEO’s business decisions – Germany
E112-117. [TRACKING] Now I would like to read you a list of business stakeholders. When a CEO makes business decisions for his or her company, please tell me how important you believe the interests of each of the following stakeholders should be to that CEO’s business decisions using a scale of 1 to 9 where 1 means that stakeholder’s interests should not be important at all to the CEO’s business decisions and 9 means that stakeholder’s interests should be extremely important to the CEO’s business decisions. Let’s start with [INSERT FIRST]. How important should [INSERT FIRST]’s interests be to CEO’s decisions? (Top 4 Box, Important) Informed Publics ages 25-64 in Germany.
26
11%
18%
7%
9%
9%
11%
18%
29%
27%
28%
31%
33%
Corporate/product advertising
Corporate communications such as press releases
Microblogging sites, such as Twitter
Social networking sites
Content-sharing sites, such as YouTube
Blogs
News/RSS feeds
Online search engines
Radio or radio news
Magazines or business magazines
Television or television news
Newspapers
27
H125-136. Now I’m going to read you a list of places where you might get information about a company. For each, please tell me if you trust it – a great deal,
somewhat, not too much, or not at all as a source of information about a company? (Trust A Great Deal) Informed Publics ages 25-64 in 23 countries, the EU
(excludes Russia) and Germany.
Tra
ditio
nal
So
cia
l Me
dia
Co
rpo
rate
Trusted Information Sources – Trust a Great Deal
On
line
Mu
ltiple
so
urc
es
Traditional sources, particularly magazines, are most trusted sources for
company information in Germany
Significant at 95%
confidence level
compared to global
26% 37%
27% 36%
26% 45%
26% 34%
24% 27%
15% 12%
9% 1%
7% 3%
6% 4%
6% 2%
12% 9%
7% 3%
28
1%
6%
7%
16%
17%
25%
26%
0% 10% 20% 30% 40% 50%
Social media
Company website
Friends and family
Online search engine
Online news sources
Print (newspapers/magazines)
Broadcast (radio/TV)
0%
8%
12%
14%
15%
19%
31%
0% 10% 20% 30% 40% 50%
Social media
Company website
Friends and family
Online news sources
Broadcast (radio/TV)
Online search engine
Print (newspapers/magazines)
Where Informed Publics go for company news and information – Germany
(NETS) I139. There are a number of sources one could use to find general news or information about a company. When looking for general news or information about a company, which one type
of information source would you generally consult first? I140. And after [INSERT I139 RESPONSE], which one type of information source would you generally consult second when looking for
general news or information about a company? II141. Now, thinking about a business crisis, are [INSERT I139 AND I140 RESPONSE] the same types of sources you consult first for information
about a business crisis? Informed Publics ages 25-64 in Germany
First Source Second Source Are these the same types of sources
you consult first for information
about a business crisis?
People go to most trusted sources (print newspapers and magazines) first to
find news and information about a company
No; 6%
Yes; 94%
The Benefits of Trust
6%
15%
87%
83%
10%
19%
60%
84%
92%
Bought shares
Paid more for products/services
Chose to buy products/servicesRefused to buy products/services
Recommended them to a friend/colleagueCriticized them to a friend/colleague
Shared negative opinions online
Sold shares
Shared positive opinions online
+_Distrusted Companies Trusted Companies
Actions Taken Over Past 12 Months – Germany
F118. [TRACKING] 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. (Percent ―Yes‖) Informed Publics ages 25-64 in Germany.F119. [TRACKING] 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. (Percent ―Yes‖) Informed Publics ages 25-64 in Germany.
30
Through personal action, trust has tangible benefits
When a company is distrusted When a company is trusted
4% 11%
55% will believenegative information
after hearing it 1-2 times
-Think about a company that you do not trust. How many times would you need to be exposed to (C83. positive information; C84. negative information)
about that company to believe the information is likely to be true? Please give me a number. Informed publics ages 25-64 in Germany.
-Think about a company that you trust. How many times would you need to be exposed to (C85. negative information; C86. positive information) about
that company to believe the information is likely to be true? Please give me a number. Informed publics ages 25-64 in Germany.
Trust protects reputation
31
will believe positive information after hearing it 1-2 times
will believe negative information after hearing it 1-2 times
60%will believe
positive information after hearing it 1-2 times
Germany
Conclusions
Business must align profit and purpose for social
benefit
Trust is a protective agent and leads to tangible
benefits; lack of trust is barrier to change
Current media landscape plus increased
skepticism requires multiple voices and channels
33
Demand for authority and accountability set new
expectations for corporate leadership
2011 Edelman Trust BarometerJanuary 20, 2011
Germany findings
Presentation Berlin, February 8, 2011