EDELMAN'S 13TH ANNUAL SURVEY, LARGEST GLOBAL EXPLORATION OF TRUST
2
MARKET COMPARISONS Developed: US, UK, France, Germany and Japan Emerged: Brazil, Mexico, Russia, India and China
ONLINE SURVEY IN 26 COUNTRIES
• 31,000+ respondents
• 5 years in 20+ markets
• 8 years in 10+ markets
GENERAL POPULATION
• 1000 respondents per country surveyed
• Ages 18+
• 2 years of data
INFORMED PUBLICS
• 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 in each country
• Report significant media consumption and engagement in business news and public policy
• 13 years of data
Indicates Global Data
Indicates Hong Kong Data APAC SELECT COUNTRIES: China, Japan, India, Malaysia, Singapore, South Korea, Indonesia, Australia, Hong Kong
GLOBAL 57 China 80
Singapore 76
India 71
Mexico 68
Hong Kong 67
UAE 66
Malaysia 64
Canada 62
Indonesia 62
U.S. 59
Netherlands 59
Brazil 55
Germany 55
France 54
Sweden 54
UK 53
Italy 51
Australia 50
Poland 48
S. Korea 47
Ireland 46
Argentina 45
Spain 42
Turkey 42
Japan 41
Russia 36
2011 2013 2012
DIS
TRU
STER
S TR
UST
ERS
NEU
TRA
L
GLOBAL 51 China 76
UAE 68
Singapore 67
India 65
Indonesia 63
Mexico 63
Netherlands 61
Hong Kong 61
Canada 58
Malaysia 57
Italy 56
Argentina 54
Australia 53
Brazil 51
Sweden 49
U.S. 49
South Korea 44
Poland 44
U.K. 41
Ireland 41
France 40
Germany 39
Spain 37
Japan 34
Russia 32
EDELMAN’S TRUST INDEX: AFTER A YEAR HIGH OF DISTRUST IN 2012, SHIFT BACK TO NEUTRAL IN 2013
GLOBAL 55
Brazil 80
UAE 78
Indonesia 74
China 73
Netherlands 73
Mexico 69
Singapore 67
Argentina 62
India 56
Italy 56
Canada 55
South Korea 53
Sweden 52
Japan 51
Australia 51
Spain 51
France 50
Poland 49
Germany 44
U.S. 42
U.K. 40
Russia 40
Ireland 39
Composite score is an average of a country’s trust in all four institutions. Informed Publics ages 25-64 in 20-country global total 5
Big Changes from 2008
Germany +19 China +18 Canada +14 India +11
Big Changes from 2012
Germany +16 France +14 UK +12 US +10
2013
6
GLOBAL 57 China 80
Singapore 76
India 71
Mexico 68
Hong Kong 67
UAE 66
Malaysia 64
Canada 62
Indonesia 62
U.S. 59
Netherlands 59
Brazil 55
Germany 55
France 54
Sweden 54
UK 53
Italy 51
Australia 50
Poland 48
S. Korea 47
Ireland 46
Argentina 45
Spain 42
Turkey 42
Japan 41
Russia 36
GLOBAL 48 China 70
India 64
UAE 63
Singapore 63
Indonesia 61
Malaysia 61
Mexico 59
Hong Kong 54
Canada 52
Brazil 51
Netherlands 50
Argentina 48
U.S. 45
Germany 44
UK 43
S. Korea 43
Turkey 43
France 41
Italy 40
Sweden 40
Australia 39
Spain 37
Japan 35
Poland 34
Ireland 33
Russia 30 Composite score is an average of a country’s trust in all four institutions. General population and Informed Publics ages 25-64 in 26 country global total and across 26 countries
Largest Differences between Gen Pop & Informed Publics Poland, US, Sweden: - 14 points
Singapore, Ireland, Hong Kong,
France: - 13 points
General Population is 9 points lower than
Informed Publics
INFORMED PUBLIC 2013
GENERAL PUBLIC D
ISTR
UST
ERS
TRU
STER
S N
EUT
RA
L
LOWER TRUST AMONG GENERAL POPULATION THAN INFORMED PUBLICS
12% 14% 16% 17%
Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using 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”. (Top 2 Box, Trust a great deal and Top 4 Box, Trust) Informed Publics ages 25-64 in 20-country global total
TRUST ON THE RISE ACROSS INSTITUTIONS, BUT WEAK INTENSITY PERSISTS
TRUST A GREAT DEAL
19% 22% 15% 17%
NGOS
BUSINESS
MEDIA
GOVERNMENT
2012 2013 2012 2013
2012 2013 2012 2013
Trust Total: 43% Trust Total: 48%
Trust Total: 53% Trust Total: 58%
Trust Total: 52% Trust Total: 57% Trust Total: 58%
Trust Total: 63%
TRUST IN INSTITUTIONS - GLOBAL
7
14% 23% 20%
Trust Total: 43%
9%
24% 25% 18% 14%
NGOS
BUSINESS
MEDIA
GOVERNMENT
2012 2013 2012 2013
2012 2013 2012 2013
Trust Total: 62% Trust Total: 63%
Trust Total: 47%
Trust Total: 60%
Trust Total: 65%
Trust Total: 68%
Trust Total: 70%
Trust Total: 76%
Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using 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”. (Top 2 Box, Trust a great deal and Top 4 Box, Trust) Informed Publics ages 25-64
TRUST A GREAT DEAL
TRUST IN INSTITUTIONS – HONG KONG
8
2013 Gen Pop
2013 Gen Pop
Total Trust: 63%
2013 Gen Pop
Total Trust: 55%
2013 Gen Pop
Total Trust: 53%
45%
10%
10%
13%
22%
POOR PERFORMANCE/ INCOMPETENCE
TRANSPARENCY ISSUES
LACK OF REGULATION OR CONTROL
WRONG INCENTIVES DRIVING POLICIES
CORRUPTION OR FRAUD
15%
20%
33%
11%
21%
POOR PERFORMANCE/ INCOMPETENCE
TRANSPARENCY ISSUES
LACK OF REGULATION OR CONTROL
WRONG INCENTIVES DRIVING BUSINESSDECISIONS
CORRUPTION OR FRAUD
MAIN REASONS FOR DECREASED BUSINESS AND GOVERNMENT TRUST – HONG KONG (AMONG THOSE WHO REPORTED TRUSTING BUSINESS OR GOVERNMENT LESS OVER THE PAST YEAR)
Q22. [ASK IF TRUST GOVERNMENT LESS IN Q18] Which of the following is the main reason why your trust in government decreased over the last year?; Q24. [ASK IF TRUST BUSINESS LESS IN Q20] Which of the following is the main reason why your trust in business decreased over the last year? General Population
REASONS FOR TRUSTING GOVERNMENT LESS
REASONS FOR TRUSTING BUSINESS LESS
32% 35%
9
Q11-14. [NGOs TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using 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”. (Top 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore, Turkey and UAE) and across 26 countries
N/A
50%
NGOS REMAIN MOST TRUSTED INSTITUTION; FOUR OUT OF FIVE MARKETS WITH HIGHEST TRUST IN APAC REGION TRUST IN NON-GOVERNMENTAL ORGANIZATIONS (NGOS)
2008 67% of markets surveyed have a trust score above 50% 2013 88% of markets surveyed have a trust score above 50%
10
2008 China: 48%
58%
78% 79%
68% 70%
64%
66%
58% 60%
67% 66% 67%
75%
48%
65%
53%
74%
55% 54%
49%
59%
51% 53%
41%
28%
30%
63%
83% 81%
76% 76% 75% 73%
70% 69% 69% 67%
66% 66% 64%
64% 63% 63% 62%
61%
59% 57% 56% 55%
51% 46%
40%
37%
2012
2013
Q11-14. [Media in General TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using 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”. (Top 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore, Turkey and UAE) and across 26 countries
N/A
50%
STEADY GROWTH IN TRUST IN MEDIA OVER TIME; RESULT OF DIVERSIFICATION OF OPTIONS AND STRONG COVERAGE OF SCANDALS
TRUST IN MEDIA
2008 50% of markets surveyed have a trust score 50% or above 2013 62% of markets surveyed have a trust score 50% or above
11
52%
79%
70%
80%
65% 65%
61% 65%
42%
54%
47%
61% 61%
41% 45% 46%
57%
45%
37% 38%
49%
35%
48%
36%
43%
33%
57%
81% 79%
77%
70% 68% 66% 66%
61% 61% 60% 59% 57%
54%
51% 50% 50% 49%
47% 47% 47%
45% 45% 43% 42%
38%
26%
2012
2013
58% 58%
43% 41% 40%
51% 47%
32% 26%
30%
65% 71%
56% 58% 52%
64% 63%
52% 49% 47%
67%
60% 56%
47% 45%
TRADITIONAL MEDIA ONLINE SEARCH ENGINES HYBRID MEDIA SOCIAL MEDIA OWNED MEDIA
Global Developed Emerging APAC Hong Kong
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 9-point scale where one means that you "do not trust it at all" and nine means that you "trust it a great deal". General Population in 26-country global total, Developed (US, UK, France, Germany and Japan) vs. Emerging Markets (Brazil, Mexico, Russia, India and China); Age breakdown for general population in 26-country global total, Hong Kong and Apac
TRUST IN TYPES OF MEDIA SOURCES FOR GENERAL NEWS AND INFORMATION
59% 61%
49% 47% 44%
61% 60%
48% 45% 43%
56% 56%
40% 37% 37%
54% 49%
29% 29% 31%
TRADITIONAL MEDIA ONLINE SEARCH ENGINES
HYBRID MEDIA SOCIAL MEDIA OWNED MEDIA
18-29 30-44 45-64 65+
GLOBAL AGE BREAKDOWN
12
69%
67%
61%
51%
51%
50%
43%
36%
Academic or expert
Technical expert in thecompany
A person like yourself
Financial or industryanalyst
NGO representative
Regular employee
CEO
Government official orregulator
TRUSTED SOURCES ARE EXPERTS AND PEERS
CREDIBLE SPOKESPEOPLE – GLOBAL
29%
38%
46%
50%
50%
65%
66%
68%
Government official or regulator
CEO
Financial or industry analyst
NGO representative
Regular employee
A person like yourself
Technical expert in the company
Academic or expert
2013 2012
Q130-143. [TRACKING] 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) Informed publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore, Turkey and UAE) (only spokespeople tracked from 2012 to 2013 included) 14
59%
63%
69% 67% 68%
36%
29%
38%
49%
33%
40%
58%
47% 44% 43%
65%
60%
32%
27%
32%
42%
26%
33%
39%
30%
31%
35%
50%
49%
10%
20%
30%
40%
50%
60%
70%
80%
2008 2009 2010 2011 2012 2013
An academic or expert on company issues CEO
A person like yourself Government official/regulator
Regular employee
TRUSTED SPOKESPEOPLE SOLIDIFYING RANK ORDER CREDIBILITY OF SPOKESPEOPLE – INFORMED PUBLICS AGES 35-64 - GLOBAL
Q130-143. [TRACKING] 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) Informed publics ages 35-64 in 18 -country global total
15
20%
10%
13%
15%
34%
32%
18%
43%
37%
42%
50%
68%
67%
50%
Hong Kong
France
Germany
US
India
China
Global
Trust in Business
Trust Business Leaders to tell the Truth
17%
8%
6%
10%
20%
24%
13%
53%
33%
38%
38%
55%
71%
41%
Hong Kong
France
Germany
US
India
China
Global
Trust in Government
Trust Government Leaders to tell the truth
LEADERSHIP TRUST GAP GAP IN TRUST IN INSTITUTION VS. TRUST IN LEADERSHIP
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 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); Q144A-147A. [“To Tell the Truth Regardless of how Complex or unpopular it is”] How much do you trust business leaders to do the following? Q144B-147B. [“To Tell the Truth Regardless of how Complex or unpopular it is”] How much do you trust government leaders to do the following? (Top Box, Trust A great Deal) General Population
-32
-35
-34
-35
-27
-28
-47
-35
-28
-25
-29 -32
16
-23 -36
21% 25% 21% 20%
SOLVE SOCIAL OR SOCIETAL ISSUES
CORRECT ISSUES WITHIN INDUSTRIES THAT ARE
EXPERIENCING PROBLEMS
MAKE ETHICAL AND MORAL DECISIONS
TELL YOU THE TRUTH, REGARDLESS OF HOW COMPLEX
OR UNPOPULAR IT IS
CRISIS IN LEADERSHIP – TRUST IN ETHICS AND MORALITY VERY LOW GLOBAL TRUST BUSINESS AND GOVERNMENT LEADERS TO DO THE FOLLOWING:
26% 21% 21% 17%
SOLVE SOCIAL OR SOCIETALISSUES
CORRECT ISSUES WITHININDUSTRIES THAT ARE
EXPERIENCING PROBLEMS
MAKE ETHICAL AND MORALDECISIONS
TELL YOU THE TRUTH,REGARDLESS OF HOW COMPLEX
OR UNPOPULAR IT IS
GOVERNMENT LEADERS
17
BUSINESS LEADERS
Q144A-147A. [SPLIT SAMPLE] How much do you trust business leaders to do the following? (Top Box- Trust A great Deal) General Population across 26-country global total
16 ATTRIBUTES TO BUILDING TRUST
COMMUNICATES FREQUENTLY AND HONESTLY ON THE STATE OF ITS BUSINESS
LISTENS TO CUSTOMER NEEDS AND FEEDBACK
TREATS EMPLOYEES WELL
PLACES CUSTOMERS AHEAD OF PROFITS
INTEGRITY
TAKES RESPONSIBLE ACTIONS TO ADDRESS AN ISSUE OR CRISIS
HAS TRANSPARENT AND OPEN BUSINESS PRACTICES
HAS ETHICAL BUSINESS PRACTICES
PURPOSE
OPERATIONS
DELIVERS CONSISTENT FINANCIAL RETURNS TO INVESTORS
HAS HIGHLY-REGARDED AND WIDELY ADMIRED TOP LEADERSHIP
RANKS ON A GLOBAL LIST OF TOP COMPANIES
PRODUCTS & SERVICES
IS AN INNOVATOR OF NEW PRODUCTS, SERVICES OR IDEAS
OFFERS HIGH QUALITY PRODUCTS OR SERVICES
WORKS TO PROTECT AND IMPROVE THE ENVIRONMENT
ADDRESSES SOCIETY’S NEEDS IN ITS EVERYDAY BUSINESS
CREATES PROGRAMS THAT POSITIVELY IMPACT THE LOCAL COMMUNITY
PARTNERS WITH NGOs, GOVERNMENT AND 3RD PARTIES TO ADDRESS SOCIETAL NEEDS
ENGAGEMENT
Edelman Trust Barometer research reveals 16 SPECIFIC ATTRIBUTES which build trust.
These can be grouped into FIVE PERFORMANCE CLUSTERS listed here in rank order of importance.
19
HOW WE HAVE EVOLVED…NOW THE ATTRIBUTES CAN BE GROUPED INTO 5 DISTINCT CLUSTERS
INTEGRITY (58%)
PURPOSE (47%)
OPERATIONS (39%)
PRODUCTS & SERVICES (54%)
ENGAGEMENT (59%)
Edelman Trust Barometer’s 2013 TRUST PERFORMANCE CLUSTERS
Edelman Trust Barometer’s 2008 TRUST DRIVERS*
OPERATIONS
(76%)
Reputation as a place to work (81%) Financial performance (76%) Respected CEO or leader (71%)
20
*Data used includes Informed Publics ages 35-64 only in 18-country global total
13%
12%
18%
14%
14%
11%
16%
15%
13%
14%
14%
17%
13%
14%
17%
24%
20%
21%
24%
25%
26%
27%
29%
32%
34%
35%
35%
36%
36%
38%
39%
39%
RANKS ON A GLOBAL LIST OF TOP COMPANIES, SUCH AS BEST COMPANIES TOWORK FOR OR MOST ADMIRED COMPANIES
HAS HIGHLY-REGARDED AND WIDELY ADMIRED TOP LEADERSHIP
IS AN INNOVATOR OF NEW PRODUCTS, SERVICES OR IDEAS
CREATES PROGRAMS THAT POSITIVELY IMPACT THE LOCAL COMMUNITY IN WHICHTHE COMPANY OPERATES
DELIVERS CONSISTENT FINANCIAL RETURNS TO INVESTORS
PARTNERS WITH NGOS, GOVERNMENT AND THIRD PARTIES TO ADDRESS SOCIETALISSUES
ADDRESSES SOCIETY'S NEEDS IN ITS EVERYDAY BUSINESS
WORKS TO PROTECT AND IMPROVE THE ENVIRONMENT
PLACES CUSTOMERS AHEAD OF PROFITS
COMMUNICATES FREQUENTLY AND HONESTLY ON THE STATE OF ITS BUSINESS
HAS TRANSPARENT AND OPEN BUSINESS PRACTICES
LISTENS TO CUSTOMER NEEDS AND FEEDBACK
TAKES RESPONSIBLE ACTIONS TO ADDRESS AN ISSUE OR A CRISIS
TREATS EMPLOYEES WELL
HAS ETHICAL BUSINESS PRACTICES
OFFERS HIGH QUALITY PRODUCTS OR SERVICES
21
-15
-22
-24
-23
-19
-21
-21
-21
-17
-13
-16
-12
-11
-6
-9
-7
Q80-Q96. [TRACKING] How important is each of the following actions to building your TRUST in a company? Use a nine-point scale where one means that action 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, Very/ Extremely Important) General Population in Hong Kong (excludes ‘Don’t Know’ responses Q114-Q129. Please rate [INSERT COMPANY] on how well you think they are performing on each of the following attributes. Use a nine-point scale where one means they are performing “extremely poorly” and nine means they are performing “extremely well”. (Top 2 Box, Performing Very/ Extremely Well) General Population in Hong Kong
TRUST BUILDING ATTRIBUTES – LARGE GAP IN EXPECTATION VS. PERFORMANCE BUSINESS IMPORTANCE VS. COMPANY PERFORMANCE – HONG KONG
Gap
Importance Performance
Who is Trusted MOST to provide you with credible and honest information about:
Company’s CEO
Company’s Employee
Passionate or Activist
Consumer Academic
Media Spokesperson
A company’s employee programs, benefits & working
conditions 21% 63% 16% 13% 11%
How a company serves its customers and prioritizes
customer needs ahead of company profits 19% 30% 44% 16% 15%
A company’s situation in a time of crisis 30% 35% 18% 22% 23%
A company’s innovation efforts and new product
development 31% 31% 27% 25% 13%
How a company uses its resources and influence to
support the environment 21% 26% 34% 27% 13%
How a company supports programs that positively
impact the local community 22% 27% 35% 20% 23%
Partnerships with NGO’s and effort to address societal
issues 25% 20% 25% 23% 15%
A company’s financial earnings & operational
performance 34% 27% 23% 23% 12%
A company’s business practices, both positive & negative 23% 36% 29% 21% 15%
Accomplishments about a company’s senior leadership 35% 34% 17% 19% 19%
Q197-201(Global Summary). We would now like you to think about different types of information you may read, see or hear about a company. For each topic, please select which person you trust MOST to provide you with credible and honest information about a company. General Population in the 26-country global total
GLOBAL INFLUENCER MESSAGE MAPPING
ENGAGEMENT
INTEGRITY
PRODUCTS
OPERATIONS
PURPOSE
22
THE WAY WE WERE
23
G E N E R A L P O P U L AT I O N
CEO
BOARD OF DIRECTORS
GOVERNMENT OFFICIALS
ACADEMICS
TECHNICAL EXPERTS
ELITE MEDIA
VERTICAL FLOW & CONTROLLED INFORMATION
PYRAMID OF INFLUENCE
“As the circle of those who decide is narrowed, as the means of decision are centralized and the
consequences of decision become enormous, the course of great events often rests upon the
decisions of determinable circles.”
- C. Wright Mills, 1956
THE NEW DYNAMIC: THE DIAMOND OF INFLUENCE
24
ACTION CONSUMERS
EMPLOYEES
G E N E R A L P O P U L A T I O N
SOCIAL ACTIVISTS
CEO
BOARD OF DIRECTORS
GOVERNMENT OFFICIALS
ACADEMICS
TECHNICAL EXPERTS
ELITE MEDIA
TO 2013 FROM 2000
FEW MANY
DICTATE CO-CREATE
FIXED FLEXIBLE
MONOLOGUE DIALOGUE
CONTROL EMPOWERMENT
PYRAMID OF COMMUNITY (Horizontal)
PYRAMID OF AUTHORITY
(Vertical)
25
INCLUSIVE MANAGEMENT BASED ON GROUNDED LEADERSHIP ACROSS THE MEDIA CLOVERLEAF
PYRAMID OF COMMUNITY (Horizontal)
PYRAMID OF AUTHORITY (Vertical)
NAVIGATING THE DIAMOND OF INFLUENCE VIA MEDIA CLOVERLEAF
Hybrid
Social Owned
Traditional
ACTION CONSUMERS
EMPLOYEES
G E N E R A L P O P U L A T I O N
SOCIAL ACTIVISTS
CEO
BOARD OF DIRECTORS
GOVERNMENT OFFICIALS
ACADEMICS
TECHNICAL EXPERTS
ELITE MEDIA
Search & Content
LESSONS FOR LEADERS
26
Observe re-ordering of authority
Old values are not sufficient
Clear opportunity for business
Trust is fragile and perceived behaviors are an anchor
On the cover credits: HSBC: REUTERS/ Bobby Yip; UBS: REUTERS/Luke MacGregor; Bob Diamond: REUTERS/ Luke MacGregor; Bo Xilai: REUTERS/ Cheryl Ravelo ; Lance Armstrong: by Sebastian David Tingkær; Angela Merkel: REUTERS/ Sebastien Pirlet; Rajat Gupta: REUTERS/ Brendan McDermid; George Entwistle: Associated Press/ Rex Featu