BUILDING

TRUSTBRAND

BUILDING

BRAND

TRUST

Introduction to

And the Brand Trust Index

The influence chain: working for or against you?

Envero helps clients build trust and positive word of mouth through their influence chain

Envero’s four step process

1. COMMITMENT 2. DIAGNOSIS 3. STRATEGY 4. ACTION

1T1 Conversations

Internal Workshops

Envero TrustBank

Envero Brand Trust Index

Involved facilitation

Informed provocation

Critical friendCapability building

Performance Monitoring

Word Of Mouth Social media and the internet are amplifying & accelerating word of mouth

SOCIAL MEDIA AN KILL YOUR REPUTATION

The CONTEXT in which brands are built has changed dramatically, particularly since 2008

65 MILLION unique visitors per month. sharing their

experiences – positive & negative

Downloaded over 50 million times. Zero paid advertising. 100% Viral

January 21 2011Coulson resigns As

Cameron’s spokesperson.

July 10th last ever edition

200,000 mentionsof horsemeat on

social media

People talk, share, tell stories and INFLUENCE EACH OTHER

CULTURE IS PARTICIPATORY STORIES ARE THE NEW CURRENCY

Trust in ‘authority’ is at an all time low – so word of mouth matters now more than ever…

“To what extent do you trust the following forms of advertising?”

“If you heard information about a company from one of these people, how credible would that information be?”

Source: Edelman Source: Nielsen

43%

62%52%

A CEO A Regular Employee A Person like yourself

Recommendation from people I know

Consumer opinion posted online

92%

47%

36%

TV Ads

Ads on Social Network

70%

We measure the balance between positive And negative word of mouth

Consumer Advocacy

How we measure the balance between positive & negative Word Of Mouth

DETRACTORS

Likelihood of Recommendation NEUTRAL OR INDIFFERENT ADVOCATES

44%

26%

26% 30%

- =Net Recommendation is 4%30%ADVOCATES

26%DETRACTORS

Survey respondents determine the likelihood of recommending a brand on a scale of 1-7

Respondents who select either of the two highest

ratings are classified as advocates

Respondents who select either of the two lowest

ratings are classified as detractors

Net recommendation is the balance of % advocates minus % detractors

3

1

2

4

Our fact-base – the Envero Brand Trust Index

17+ countries

30,000+ respondents

2,500+ companies &

brands

17+ industry sectors

The Envero Brand Trust Index has been conducted to date in the countries shown on the map. In total, we have results on more than 2,500 companies and brands based on responses from approx. 30,000 thousand consumers.

Companies that have bought into the survey in one or more countries include: Coca-Cola Hellenice, Danone, Cadbury, Santander, Nestlé, Müller, ABInBev, Brown Forman, BCR Bank, Ella’s Kitchen, Bacardi and Electrolux.*

To enquire about commissioning a survey in any of these countries or any other country worldwide please contact us via our website at www.envero.co.uk.

*In some cases the survey was conducted under the title of GoodBrand Trust Index or GoodBrand Social Equity Index.

The Average Brand has significantly more advocates than detractors

Bottom 2 = Detractors

Top 2 = Advocates

Likelihood of Recommendation – Commercial Average*

Net Recommendation

*based on over 2,000 companies and brands in 13 countries

22% 36%42%

Source: Envero Brand Trust Index

22% = 14%36% -

But the range is rather wide!

Distribution of Recommendation - Best Case/Worst Case

Technology brand in Russia

Major bank in Ireland

Net Recommendation 92%-3% = 89%

Net Recommendation 7%-54% = -47%

Building ADVOCACY &

POSITIVE WORD OF MOUTH is not

like conventional marketing.

You can’t BUY it, you have to

EARN it

So how do brands earn CONSUMER ADVOCACY?

Envero Brand Trust Index: survey design

Business DriversTrust Drivers

What drives different levels of consumer advocacy?

Trust

Trust

Trust is TWICE as important as Quality in driving advocacy

How much does your company invest in improving quality?And in building trust…?

Quality

Brand Trust is both Functional and Emotional

Most Brands deliverFunctional Trust

Functional Trust• Brand hygiene factors• Product delivers• Consistency

Most Brands deliverFunctional Trust

EMOTIONAL TRUST• Honesty

• Consumer Care

• Authenticity

FUNCTIONAL TRUST• Brand hygiene factors

• Product delivers

• Consistency

…..Positively Advocated Brands deliver Emotional Trust as well

Most brands deliver Functional Trust…..

The Average distance of the brands from the line of best fit gives us the Strength of the relationship.

‘Line of best fit’. Indicates the relationship between Trustworthy and Recommendation

A Trustworthy score increase of 100 points should see the average brand

Gain 77 points in

Recommendation+100

+77

R²

β

R²β Using both the strength of the relationship and the Gain in Recommendation we can calculate the

STRENGTH INDEX SCORESI

R² = 0.94 β = 0.77 SI = 240

We calculate the extent to which one measure may be driving another

How much is Trustworthiness driving Recommendation?

Net Recommendation Drivers – survey average

Across Europe, Brand Trust is the key driver of consumer advocacy

Gain in RecommendationCorrelation Strength Index

R² β SI

Brand behaviours (Social Equity) are the biggest drivers of Trust

ADVOCACYSOCIAL EQUITY

CommunitySociety

EnvironmentWorkforceSuppliers

HonestyCaring

UnselfishnessAuthenticity

Reliability

Recommendation

TRUST

Observed Behaviours

Perceived Character

SharedOpinions

Brand Trust

Social Equity

What does it take to be a TRUSTED LEADER?

Source: Envero Trust Index

5000 people rated

Mandela No. 1 WHY?

The UK SurveySCALE & COVERAGE• 223 well-known companies and brands across a wide range of sectors• 2500 respondents representative of all UK adults, aged 18-65

HISTORY• Previous UK surveys carried out periodically since 2005• 2010 & 2012 surveys comparable historically to 2014

2014 PLAN• Two comparable waves of fieldwork: Q1 and Q3• Opportunity to monitor changes every 6 months

FUTURE PLAN• Our intention is to maintain biannual surveys

SECTOR FTSE 100 OTHER

FMCG COCA-COLA HELLENIC, UNILEVER KELLOGGS, CADBURY, DANONE, NESTLE, HEINEKEN, HEINZ, P&G, J&J

RETAIL M&S, SAINSBURYS, TESCO, MORRISONS IKEA, JOHN LEWIS, AMAZON, ASDA, COOP, ALDI, PRIMARK, NEXT

FINANCE LLOYDS, RBS, BARCLAYS, HSBC NATWEST, SANTANDER, HALIFAX, NATIONWIDE, COOP BANK, VIRGIN MONEY

MEDIA ITV, SKY BBC, C4, FT, TIMES, TELEGRAPH, GUARDIAN, SUN, FACEBOOK, TWITTER

UTILITIES BP, VODAFONE, ROYAL MAIL, BT ORANGE, BRITISH GAS, NPOWER, EON, EDF, SCOTTISH ENERGY

LEISURE EASY JET BA, RYANAIR, TRIPADVISOR, VIRGIN, MCDONALDS, COSTA, STARBUCKS

OTHER GOOGLE, BMW, APPLE, OLYMPICS, NHS

UK survey coverage – overview of leading brands

How important is

people’s TRUST in your company to

its future success?

How well TRUSTED would you like to be?

For more informationplease call us on0800 644 1264

or contact us throughthe website

BUILDING

BRAND

TRUST