What drives a company’s reputation for responsibility – and how sector affects it

GlobeScan’s public attitudes tracking shows that the corporate world as a whole continues to suffer from a lack of trust in the eyes of consumers. Companies, and global ones in particular, are far less trusted than NGOs, and nearly half of citizens when polled this year were unable to call to mind a socially or environmentally responsible company when asked to do so.

However, the latest analysis of our findings reveals that the companies that are named as socially or environmentally responsible tend to cluster in a number of key sectors – with food companies the most frequently mentioned as socially responsible, and accounting for 13 percent of the total. As our chart this week shows – and as befits a highly consumer-facing sector, personal experience of a food company’s products or services is highly influential in making people feel that it is socially responsible, with advertising not far behind as a key information channel for communicating a sense of social responsibility.

Interestingly, though, it appears that a controversial sector does not have to be a bar to a positive reputation for responsibility for a company. Despite being rated as one of the least responsible sectors overall, oil companies are third most likely to be cited as examples of environmentally responsible companies (by 5%, same as electronic equipment / electrical appliances companies). Here, however, the consumer experience is far less significant in driving this perception, and news reports are the most significant channel by some distance – well ahead of the experience people have when filling up their cars. This highlights the need for companies seeking to engage consumers around issues of corporate responsibility to adapt the information channels they prioritize carefully according to their sector, or risk wasting precious time and budget.

 

Finding from the GlobeScan Radar, Wave 1, 2012 

For more information on this finding, please contact Sam Mountford (Read Bio)

Trust Wins Over Ethical Consumers

Published by The Financial Times on June 25th, this letter was in written by GlobeScan Chairman, Doug Miller, in response to a June 7th article entitled “In search of the elusive ethical consumer”.   Michael Skapinker’s “In search for the ethical consumer” was good as far as it went, but missed a couple of key points. The corporate interest in the ethical consumer that he outlines is well founded. It is a significant and growing segment of the consumer marketplace, currently in the range … “Trust Wins Over Ethical Consumers”

Majorities in most countries optimistic we will make environmental progress in the coming decades

While a deal may be emerging at the Rio+20 sustainable development conference, it is already being criticized as inadequate to address pressing global challenges, particularly in terms of environmental protection and mitigating climate change. The inability of political leaders to agree to radical policies—changes that could prove unpalatable to their electorates in the midst of economic crisis—is often cited as a reason for the failure of recent UN summits to meet expectations.

Nonetheless, the latest GlobeScan public attitudes tracking suggests that most citizens around the world remain optimistic that progress on environmental protection will be made over the next two decades—and those in the world’s major emerging powers are significantly more optimistic than many of their developed-world counterparts.

Summit hosts Brazil, and China, emerge as the most bullish about the prospects of leaders making environmental progress in the decades to come (77% optimistic in both cases, with 35% very optimistic in Brazil). Emerging economic powers Indonesia and Mexico are not far behind. Among developed economies, Germans are the most optimistic (67%), followed by Americans (62%)—despite the US administration being widely seen as an obstacle to a more far-reaching agreement at Rio.

While optimists are also in the majority in the UK, Canada, and France, two in five or more are pessimistic in each of countries. However, the only country with a majority of pessimists is Greece—in keeping with the very downbeat worldview apparent in our recent polling there. This suggests that, overall, electorates may be more willing to accept a switch to environmentally sustainable policies than is sometimes assumed.

 

Finding from the GlobeScan Radar, Wave 1, 2012 

For more information on this finding, please contact Sam Mountford (Read Bio)

Down to Business: Leading at Rio+20 and Beyond

In the latest The Regeneration Roadmap white paper, we share the perspectives of over 1,600 sustainability experts from 117 countries, and nearly 25,000 members of the global public from 22 countries. Through a series of surveys this spring, we gathered insights from these groups about their views of the state of sustainable development and perspectives on what is needed from business to accelerate progress. Click image to download the full report:   Global Public Opinion Report on the State of Sustainable … “Down to Business: Leading at Rio+20 and Beyond”

Increased Misgivings About NGO/Corporate Partnerships in Major Emerging Economies

As businesses seek ways to project credible messages about responsibility, many have been turning to partnerships with NGOs. This is not surprising—GlobeScan’s tracking indicates that public trust in NGOs continues to outstrip trust in business by a very significant margin, and most citizens in our global survey say that they would have increased respect for companies that choose to partner with NGOs.

However, GlobeScan’s latest monitoring of public sentiment on the issue suggests that the issue of partnerships is becoming more hazardous—for NGOs. A majority (53%) of those polled earlier this year across 23 countries say that their respect for a charity/NGO would go down if it chose to partner with a company. And this increased skepticism appears to be more pronounced in some major developing economies. Notably, the proportion in China who say they would lose respect for an NGO engaged in a corporate partnership has risen from 46% in 2003 to nearly four in five (78%) this year. There have also been significant rises in the proportions of such skeptics in India and Russia.

With the reputation of private business in these countries having been tainted by many high-profile corruption scandals, this may reflect public fear that NGOs’ independence and ability to act as rallying points for social change could be compromised. The rise in skepticism may also reflect misgivings about the coherence of existing corporate/NGO partnerships. On a recent GlobeScan webcast, SC Johnson’s Kelly Semrau stressed the importance of retaining “authenticity” when businesses and NGOs work together. These findings show this is also a preoccupation for consumers.

 

Finding from the GlobeScan Radar, Wave 1, 2012 

For more information on this finding, please contact Sam Mountford (Read Bio)