2015 EDELMAN TRUST BAROMETER GLOBAL RESULTS

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EDELMAN’S 15th Annual TRUST BAROMETER METHODOLOGY

Informed Public

• 500 respondents in

U.S. and China, 200

in other countries

• Ages 25-64

• College-educated

• In top 25% of

household income

per age group

• Report significant

media consumption,

and engagement in

business news and

public policy

General Online Population

• 1,000 respondents per

country surveyed

• Ages 18+

• 4 years in 25+ markets

Online Survey in 27 Countries

• 33,000 respondents

• 7 years in 20+ markets

• 10 years in 10+ markets

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2014: A CHALLENGING

ENVIRONMENT

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2015 TRUST IS ESSENTIAL TO INNOVATION

2014 BUSINESS TO LEAD THE DEBATE FOR CHANGE

2013 CRISIS OF LEADERSHIP

2012 FALL OF GOVERNMENT

2011 RISE OF AUTHORITY FIGURES

2010 TRUST IS NOW AN ESSENTIAL LINE OF BUSINESS

2009 BUSINESS MUST PARTNER WITH GOVERNMENT TO REGAIN TRUST

2008 YOUNG INFLUENCERS HAVE MORE TRUST IN BUSINESS

2007 BUSINESS MORE TRUSTED THAN GOVERNMENT AND MEDIA

2006 “A PERSON LIKE ME” EMERGES AS CREDIBLE SPOKESPERSON

2005 TRUST SHIFTS FROM “AUTHORITIES” TO PEERS

2004 U.S. COMPANIES IN EUROPE SUFFER TRUST DISCOUNT

2003 EARNED MEDIA MORE CREDIBLE THAN ADVERTISING

2002 FALL OF THE CELEBRITY CEO

2001 RISING INFLUENCE OF NGOs

TRUST IN RETROSPECT

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THE EVAPORATION OF TRUST GLOBALLY: TRUST IN NGOS, BUSINESS & MEDIA DECLINE

BUSINESS

66% 63%

2014 2015

#1

53% 51%

2014 2015

#3

59% 57%

2014 2015

#2

45% 48%

2014 2015

#4 GOVERNMENT MEDIA

NGOS

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Trusted Companies

TRUST MATTERS

Distrusted Companies

Refused to buy products/services Chose to buy products/services -63% 80%

Criticized them to a friend/colleague Recommended them to a friend/colleague -58% 68%

Paid more for products/services 54%

Shared negative opinions online

Shared positive opinions online

-37% 48%

Defended company 40%

Sold shares

Bought shares -18% 28%

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67%

63% 65%

62%

52%

50%

53% 53%

45% 43%

45%

48%

62%

60%

63%

64%

43% 42%

44%

47%

2012 2013 2014 2015

MEDIA SOURCES: SEARCH ENGINES NOW MOST TRUSTED

Search Engines 72% (+8)

Traditional Media 64% (+2)

Hybrid Media 63% (+10)

Social Media 59% (+11)

Owned Media 57% (+10)

Millennials Are Even

More

Trusting of Digital

Media

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INFORMATION AND NEWS SOURCES: SEARCH ENGINES NOW USED FIRST AND MOST

TELEVISION NEWSPAPERS ONLINE SEARCH

25%

25%

21%

24% 22%

22%

25%

29%

31%

2013 2014 2015

20% 19%

18%

28% 27% 27%

26% 27% 27%

2013 2014 2015

19% 19% 18%

22%

20% 20%

34%

36% 37%

2013 2014 2015

The First Source for

General Information

The First Source for

Breaking News

Source Used Most to

Confirm/Validate News

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32%

34%

40%

45%

46%

52%

53%

60%

70%

72%

Brands I don’t use

Celebrities

Elected officials

A well-known online personality

A company CEO

Employees of a company

A journalist

Companies I use

An academic expert

My friends and family

CONTENT CREATORS: FRIENDS/FAMILY AND EXPERTS ARE MOST TRUSTED

TRUSTED

NEUTRAL

DISTRUSTED

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Prioritize search engine results over media results

Utilize media results as just one way, out of several

available tools, to impact search engine results

Utilize more experts and employees as ambassadors

Being ‘part of government’ is more of a disadvantage,

than an advantage

WHAT THIS MEANS FOR YOU

BUILDING TRUST IN INNOVATION

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TRUST IN BUSINESS INNOVATION: PACE IS TOO FAST BY A 2-TO-1 MARGIN

51% Too Fast 28% Too Slow 19% Just Right

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24%

30%

35%

54%

66%

70%

Make the World a

Better Place

Improve People's

Lives

Personal Ambition

Greed/Money

Business Growth

Targets

Technology

INNOVATIONS PERCEIVED AS DRIVEN BY TECHNOLOGY, BUSINESS TARGETS AND GREED/MONEY

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THE INNOVATION TRUST MATRIX FOR FINANCIAL SERVICES

Less

Transparency

Less Accessible

Lower Understanding

Lower Participation

Less Control

Lack of Regulation

Trusted Innovation

APATHY

More

Transparency

More Accessible

Greater

Understanding

Greater Participation

More Control

Better Regulation

More Clear Benefit

Greater Personal Benefit

Greater Societal Benefit

Less Clear Benefit

Less Personal Benefit

Less Societal Benefit

Distrusted Innovation

FEAR

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Make test results available for public review 80%

Partner with an academic institution 75%

Run a clinical trial or beta test 71%

Partner with an NGO 63%

Partner with government 55%

55% AGREE:

New developments are not tested

enough

TRUST IN INNOVATION: TRANSPARENCY AND 3RD-PARTY VALIDATION ARE ESSENTIAL

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Are we fully explaining the reasons why we are making

changes?

Are we being transparent and bringing in third party

experts when needed?

Are we joining in key public conversations that are

relevant to the insurance industry and to our business?

ASK THESE QUESTIONS:

BUILDING TRUST

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TRUST-BUILDING BEHAVIORS: FINANCIAL SERVICES ARE FALLING SHORT ACROSS THE BOARD

Gap

Importance of Behavior

vs.

Industry Performance

-26

-24

-27

-26

-19

-27

-20

-21

-18 52%

54%

56%

55%

63%

57%

56%

63%

61%

70%

75%

76%

82%

82%

83%

83%

87%

87%

Makes me feel connected to…

Develops intellectual property

Supports local charities and…

Is transparent in reporting…

Makes my life easier

Embraces sustainable business…

Keeps me and my family safe

Protects customer data

Ensures quality control

Importance Performance

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16 KEY ATTRIBUTES TO BUILDING TRUST INTEGRITY

Ethical, responsive to problems

ENGAGEMENT

Listens, communicates, activates

PRODUCTS & SERVICES

High quality, leader in innovation

PURPOSE

Contributes to greater good of society

OPERATIONS

Respected corporate leadership

Ranks on a global list of top companies

Delivers consistent financial returns

The Edelman Trust

Barometer =reveals

16 specific attributes

that build trust.

These can be

grouped into five

performance

clusters listed here

in rank order of

importance.

20

21%

31% 29%

23%

29%

47%

34%

30%

23%

31% 33%

22%

29%

34%

26%

22%

27%

37% 34%

31%

14%

23%

13%

19%

15%

Operations Purpose Products Integrity Engagement

INFLUENCERS: EMPLOYEES, ACADEMICS, CONSUMERS MOST TRUSTED ON THESE BEHAVIORS

COMPANY’S EMPLOYEE COMPANY CEO ACTIVIST CONSUMER ACADEMIC MEDIA SPOKESPERSON

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THERE ARE OPPORTUNITIES FOR COMPANIES TO LEVERAGE THIS INTERNAL TRUST SURPLUS

Engage employees regularly on the state of the

business, with a focus on transparency.

Employees with employees

Employees with world

Employees with company

Tap in-house technical experts to help position the

company’s overall story in relatable terms.

Empower employees to serve as company

advocates, especially on topics where employees

are highly credible.

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To help bolster the credibility of

company leadership, companies must

cultivate credible internal spokespeople

to help refine and reinforce their

“Trusted Business Partner” story from within.

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REINFORCE YOUR STORY FROM WITHIN

Subject matter

experts your company

Regular

employees

Front-line

employees

Three target audiences can help elevate the “how” and

“why” around a company's story

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One of the most trusted overall sources of information about a company

IN-HOUSE EXPERTS

Can help underscore a company’s

innovation story

Can credibly articulate the

development process of new

innovations

Can serve as trusted internal

ambassadors to help educate

general employees about a

company’s innovations – and the

why and benefit behind them

Technical experts

within your company

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Uniquely positioned to understand the role that their own company plays in

the broader picture of innovation

REGULAR EMPLOYEES

Can serve as credible spokespeople

to discuss innovations their company

is pursuing

Require context to understand not

only what the innovations are, but the

“why” and the benefits behind those

innovations

Regular

employees

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The first line of engagement / defense with customers

FRONT-LINE EMPLOYEES

Can help advocate a company’s story

directly to customers and prospects

Can serve as a trusted feedback

channel to inspire the next wave of

innovation, programs or services

Front-line

employees

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BUILDING AND DEFENDING TRUST: CLEAR PERSONAL AND SOCIETAL BENEFITS ARE KEY

53% 39% 32%

Fails to Contribute

to the Greater Good

Lacks Economic

Growth

Does Not Help Me

and My Family Live

a Fulfilling Life

57% 51% 47%

Produces

Economic Growth

Allows Me to Be a

Productive

Member of Society

Contributes to

Greater Good

Reasons Trust in Business Has Increased

Reasons Trust in Business Has Decreased

47% 53%

81% agree

“A company can take specific actions that

both increase profits and improve the

economic and social conditions in the

community where it operates.”

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Building trust is crucial to business.

- Are you taking all steps necessary to increase trust?

In building trust, have you ensured that you mission, vision and

purpose is clear?

Are you fully leveraging your employees/technical

experts/brokers/trusted influencers as ambassadors?

- Are you doing all you can to make sure they are helping share

key messages and your story?

WHAT THIS MEANS…

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TOWARDS TRUSTED INNOVATION A REQUIRED SET OF ACTIONS

Behave Solve Engage

Improve Peoples’ Lives

Communicating

through a purpose

driven platform

Keep My Family Safe

Communicate with a

chorus of credible

voices amplified

through search

Inspire Confidence in

Financial Stability

Regulatory Reform

Advocacy

Engage with third parties

to advocate in the public’s

best interest

Data Security &

Privacy

Corporate Social

Responsibility 1

2

3

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