Edelman Trust Barometer - 2014 Australia Data

1. A u s t r a l i a | # E d e l Tr u s t
#EdelTrust

2. ABOUT EDELMAN’S 14TH ANNUAL TRUST BAROMETER SURVEY
Legend
GLOBAL
RESPONSE
The 2014 Edelman Trust
Barometer surveyed 33,000
people online across 27
countries between October 16
– November 2013.
AUSTRALIA
RESPONSE
In Australia we have collected
six years of data with the
informed public and three
years of data with the general
population.
#EdelTrust
INFORMED
PUBLICS
Edelman surveys an informed public demographic
which meet the following criteria: university educated;
household income in top quartile for age; read or watch
business/news media at least several times a week;
follow public policy issues several times per week. 500
respondents interviewed in the U.S. and China and 200
in other markets including Australia.
GENERAL
POPULATION
There are 1,000 respondents surveyed per country
including Australia. The 20 minute online interviews are
conducted with general population aged 18 and over.
2

3. EDELMAN TRUST BAROMETER IN RETROSPECT
Earned media
more credible
than advertising
Truts shifts
from “authorities”
to peers
Rising influence
of NGOS
Fall of the
celebrity CEO
2001
#EdelTrust
2002
“A person like me”
emerges as credible
spokesperson
U.S. companies
in Europe suffer
trust discount
2003
2004
Young influencers
have more trust
in business
Business more trusted
than government
and media
2005
2006
2007
2008
BUSINESS TO LEAD
THE DEBATE FOR CHANGE
Trust is now
an essential line
of business
Business must
partner with
government
to regain trust
Rise of
authority figures
Crisis of
leadership
Fall of
government
2009
2010
2011
2012
2013
2014
3

4. REVERSAL OF FORTUNE: TRUST INCREASES ACROSS THE BOARD
Trust in the four institutions
TOTAL TRUST
NGOS
+6%
Business
70%
+11%
2013
2014
#EdelTrust
8%
2013
+13%
11%
2014
+6%
Media
48%
56%
42%
43%
48%
17%
Government
59%
64%
21%
TRUST A GREAT DEAL
12%
2013
16%
2014
12%
9%
2013
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.
2014
4

5. TRUST IN EVERY INSTITUTION AT ITS HIGHEST POINT SINCE 2009
Australia trust in the four institutions since 2009
NGOS
80%
Government
Media
70%
70%
60%
59%
56%
50%
Business
48%
40%
30%
20%
2009
#EdelTrust
2010
2011
2012
2013
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'. (4
Box, Trust) Informed Publics.
2014
5

6. AUSTRALIA IS ONE OF THE FEW COUNTRIES
to see a significant lift in trust
UAE
CHINA
SINGAPORE
INDONESIA
INDIA
MALAYSIA
CANADA
NETHERLANDS
60 pts.
58
+8 pts.
NEUTRAL
50
50 pts.
DISTRUSTERS
2013
#EdelTrust
MEXICO
HONG KONG
AUSTRALIA
BRAZIL
GERMANY
ARGENTINA
U.K.
SWEDEN
S. KOREA
S. AFRICA
59 pts.
59 pts.
58 pts.
57 pts.
57 pts.
53 pts.
52 pts.
51 pts.
51 pts.
50 pts.
U.S.
FRANCE
JAPAN
ITALY
TURKEY
SPAIN
IRELAND
RUSSIA
POLAND
TRUSTERS
79 pts.
79 pts.
73 pts.
72 pts.
69 pts.
65 pts.
60 pts.
60 pts.
49 pts.
46 pts.
44 pts.
43 pts.
41 pts.
39 pts.
39 pts.
37 pts.
35 pts.
2014
Trust Index is an average of a country’s trust in the four institutions of government, business, media and NGOs.
20-country global total (does not include Argentina, Hong Kong, Malaysia, Singapore, South Africa, Turkey, UAE). Informed Public
6

7. BUT ALSO REVEALS A GROWING DIVIDE
UAE
CHINA
SINGAPORE
INDONESIA
INDIA
MALAYSIA
CANADA
NETHERLANDS
TRUSTERS
60 pts.
58
+8 pts.
NEUTRAL
GAP 14 pts.
50
50 pts.
+5 pts.
44
39
DISTRUSTERS
2013
#EdelTrust
79 pts.
79 pts.
73 pts.
72 pts.
69 pts.
65 pts.
60 pts.
60 pts.
MEXICO
HONG KONG
AUSTRALIA
BRAZIL
GERMANY
ARGENTINA
U.K.
SWEDEN
S. KOREA
S. AFRICA
59 pts.
59 pts.
58 pts.
57 pts.
57 pts.
53 pts.
52 pts.
51 pts.
51 pts.
50 pts.
U.S.
FRANCE
JAPAN
ITALY
TURKEY
SPAIN
IRELAND
RUSSIA
POLAND
49 pts.
46 pts.
44 pts.
43 pts.
41 pts.
39 pts.
39 pts.
37 pts.
35 pts.
2014
Trust Index is an average of a country’s trust in the four institutions of government, business, media and NGOs.
20-country global total (does not include Argentina, Hong Kong, Malaysia, Singapore, South Africa, Turkey, UAE). Informed Public and
General Public.
7

8. THE BUSINESS GOVERNMENT DYNAMIC
#EdelTrust
8

9. RENEWED OPTIMISM TEMPERED BY DESIRE FOR MORE REGULATION
Government regulation of business and sectors
Not enough
Too much
10%
11%
12%
24%
34%
47%
Government Regulation
of Business
#EdelTrust
Government Regulation of
Financial Services Industry
34%
58%
Government Regulation
of the Energy Industry
Government Regulation of the
Food and Beverage Industry
Q148. [TRACKING] When it comes to government regulation of business, do you think that your government regulates business too much, not enough or
the right amount? (Not Enough, Too much) Informed Publics. Q262. When it comes to government regulation of the financial services industry, do you
think that your government regulates it too much, not enough or the right amount? (Not Enough, Too much) Informed Publics. Q263. When it comes to
government regulation of the energy industry, do you think that your government regulates it too much, not enough or the right amount? (Not Enough,
Too much) Informed Publics. Q264. When it comes to government regulation of the food and beverage industry, do you think that your government
regulates it too much, not enough or the right amount? (Not Enough, Too much) Informed Publics.
9

10. AUSTRALIANS WANT GOVERNMENT TO PROTECT US
from irresponsible business practice
Most important role for government in business
59%
32%
27%
19%
11%
3%
Protect consumers from
irresponsible business
Regulate business
Build business
infrastructure
Ensure free market
access and open
competition
Financially help
business during
crises
#EdelTrust
Q149. [TRACKING] Which of the following is the most important role that government should play in business? General Publics,
Australia
10

11. AUSTRALIANS WANT GOVERNMENT TO PROTECT US
from irresponsible business practice
Most important role for government in business
53%
32%
23%
Protect consumers from
irresponsible business
#EdelTrust
27%
30%
Regulate business
19%
26%
Build business
infrastructure
11%
5%
Ensure free market
access and open
competition
Q149. [TRACKING] Which of the following is the most important role that government should play in business? General Publics,
Informed Public, Australia
3%
1%
Financially help
business during
crises
11

12. TRUST IN BUSINESS
#EdelTrust
12

13. ENERGY AND TELCO INDUSTRIES LEAD OVERALL INCREASE IN TRUST
Trust businesses in industries
2013
vs.
2014
Technology
Consumer electronic manufacturing
Brewing and spirits
Food and beverage
Entertainment
Consumer packaged goods
Automotive
Consumer health companies
Pharmaceuticals
Telecommunications
Financial services
Banks
Energy
Chemicals
Media
77%
75%
72%
71%
71%
70%
67%
63%
62%
58%
54%
53%
53%
49%
42%
10%
#EdelTrust
20%
30%
40%
50%
60%
70%
(+12)
(+09)
(+14)
(+08)
(+13)
(+14)
(+11)
(+08)
(+07)
(+15)
(+11)
(+13)
(+20)
(+07)
(+11)
80%
Q43-60. [TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again,
please 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.
13

14. ENERGY AND TELCO INDUSTRIES LEAD OVERALL INCREASE IN TRUST
Trust businesses in industries
2013
vs.
2014
Technology
Consumer electronic manufacturing
Brewing and spirits
Food and beverage
Entertainment
Consumer packaged goods
Automotive
Consumer health companies
Pharmaceuticals
Telecommunications
Financial services
Banks
Energy
Chemicals
Media
77%
75%
72%
71%
71%
70%
67%
63%
62%
58%
54%
53%
53%
49%
42%
10%
#EdelTrust
20%
30%
40%
50%
60%
70%
(+12)
(+09)
(+14)
(+08)
(+13)
(+14)
(+11)
(+08)
(+07)
(+15)
(+11)
(+13)
46% (+8)
46% (+8)
(+20)
(+07)
(+11)
80%
Q43-60. [TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again,
please 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.
14

15. NUANCE WITHIN EACH INDUSTRY SECTOR
Trust businesses in each industry sector
Financial Services Industry
Food and Beverage Industry
Financial Services
Industry overall
46%
Food
Industry overall
Banks
46%
Energy Industry
Food and
Beverage Retailers
Financial Advisory/
Asset Management
Insurance
Credit Cards/
Payments
43%
68%
63%
62%
Food Service
38%
Food and Beverage
Manufacturers
38%
Fast Food
Restaurants
61%
45%
51%
Natural Gas
Utilities
Mining
Energy Industry
overall
Oil
#EdelTrust
71%
Renewables
Q61A-64A. [SPLIT SAMPLE] Now thinking about specific sectors within the [TYPE OF INDUSTRY], please indicate how much you trust businesses in each
of the following sectors to do what is right. Again, please 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”. Q43-60. [TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is
right. Again, please 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”.
[RANDOMIZE. SELECT ONE RESPONSE] (Top 4 Box, Trust) General Publics.
45%
44%
41%
39%
15

16. LOW TRUST IN CHINA
despite being Australia’s largest two-way trading partner
Trust in companies headquartered in the following countries
26%
68%
62%
50%
74%
China
Japan
U.S.
South Korea
U.K.
1
2
3
4
6
TWO-WAY TRADE PARTNERS
#EdelTrust
Q26-Q42. [TRACKING] Now we would like to focus on global companies headquartered in specific countries. Please indicate 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.
Australia's Top Two Way Trading Partners, DFAT Trade at a Glace 2012 Report based on ABS trade data
16

17. FAMILY-OWNED AND SMALL-AND MEDIUM-SIZED BUSINESSES
have a trust advantage as Aussies prove skeptical of big business
Trust in different types of businesses
42%
49%
Big
business
State0wned
#EdelTrust
51%
Publiclytraded
57%
Privately-held
67%
Small-and
medium-sized
76%
Family-owned
Q15-17C. Thinking about different types of businesses, please indicate how much you trust each type of business 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) General Publics.
17

18. PUBLICLY TRADED COMPANY SEEN AS HAVING MORE POLITICAL INFLUENCE
and being less responsive to customer
Phrases associated with publicly-traded & privately-held businesses
42%
49%
Big
business
State0wned
51%
Publiclytraded
57%
67%
Privately-held
Small-and
medium-sized
76%
Family-owned
RESPONSIVE TO CUSTOMER NEEDS
Privately-held: 65%
Privately-held: 41%
Publicly-traded: 55%
#EdelTrust
HAVE TOO MUCH POLITICAL INFLUENCE
Publicly-traded: 57%
Q296-311. [SPLIT SAMPLE] Based on the information you know about PRIVATELY-HELD BUSINESSES OR COMPANIES, please tell us how much you
associate each statement with PRIVATELY-HELD BUSINESSES OR COMPANIES. Please use a 9point scale, where nine means you strongly associate that
statement with PRIVATELY-HELD BUSINESSES OR COMPANIES and one means you do not associate that statement at all with PRIVATELY-HELD
BUSINESSES OR COMPANIES. (Top 4 Box, Associate) General Publics.
18

19. TRUST IN LEADERS
#EdelTrust
19

20. RISE IN CREDIBILITY OF INTERNAL SPOKESPEOPLE
Employees continue to be more credible than CEOs
Credibility of spokespeople
2009
Academic or expert
Technical expert in the company
2014
70%
*
GAP
68%
-2
65%
Financial or industry analyst
54%
54%
0
Regular employee
33%
53%
+20
A person like yourself
41%
52%
+11
NGO representative
47%
48%
+1
Government official or regulator
45%
43%
-2
CEO
19%
39%
+20
*Not tested in 2009
#EdelTrust
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.
20

21. THERE IS VERY LITTLE TRUST IN BUSINESS OR GOVERNMENT LEADERS
to tell the truth and act with integrity
Australia trust in business and government leaders to do the following
Government leaders
13%
Trust on a
global scale
07%
Trust a
great deal
30%
Somewhat
trust
60%
Do not
trust at all
Tell you the truth, regardless
of how complex or unpopular it is
#EdelTrust
Business leaders
07%a
Trust
great deal
20%on a
Trust
global scale
41%
Somewhat
trust
48%
Do not
trust at all
Tell you the truth, regardless
of how complex or unpopular it is
Q144A-147A. [SPLIT SAMPLE] How much do you trust business leaders to do the following?; Q144B-147B. [SPLIT SAMPLE] How much
do you trust government leaders to do the following? (Top Box, Trust a great deal) General Publics.
21

22. BUILDING TRUST
#EdelTrust
22

23. ACTIONS CEOS CAN TAKE TO BUILD TRUST
Actions a CEO can take to build trust in themselves and their company
88%
Communicate clearly
and transparently
87%
Tell the truth,
regardless of how
complex or unpopular it is
84%
83%
Engages with employees
regularly to discuss the
state of the business
Is front and center during
challenging times (products
recall, lawsuits, etc…)
56%
Has an active
media presence
#EdelTrust
72%
Is personally involved in
supporting local charities
and good causes
Q254A-261A. [SPLIT SAMPLE ] Thinking about the following actions a CEO can take, how important is each of the following to building
your TRUST in that CEO? (Top 4 Box, Total Important) General Population.
23

24. IT TAKES A CHORUS LEAD BY YOUR EMPLOYEES
seen as most credible for customer service, business practices
Most trusted to provide credible and honest information
Company’s CEO
Company’s employee
Activist consumer
Academic
36%
32%
31%
33%
30%
29%
28%
25%
25%
19%
17%
17%
30%
24%
32%
24%
23%
21%
18%
15%
Customer service
Crisis
Innovation
Business practices
Leadership
How a company serves
its customers and
prioritises customer
needs ahead of
company profits.
A company
situation in a time
of crisis
A Company’s
innovation efforts
and new product
development.
A company’s
business practices,
both positive &
negative
Accomplishments
and information about
a company’s senior
leadership.
#EdelTrust
Q197-201. 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
Publics.
24

25. A DIVERSIFIED CHANNEL ENGAGEMENT STRATEGY
is reinforced by the levels of trust across the different media sources
Trust in different sources of information
63%
TRADITIONAL MEDIA
41%
OWNED MEDIA
#EdelTrust
51%
HYBRID MEDIA
31%
SOCIAL MEDIA
Q178-182. [TRACKING] 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”. (Top 4 Box, Trust) Informed Publics.
25

26. MAKE IT FINDABLE: THE POWER OF SEARCH
56% trust online search
First sources of information
First source to turn to for
GENERAL BUSINESS
information
First source to turn to for
BREAKING NEWS
about business
First source to turn to for
CONFIRM/VALIDE
breaking news about business
31%
21%
23%
22%
35%
18%
34%
27%
18%
Online search
Television
Newspaper
Online search
Television
Newspaper
Online search
Television
Newspaper
#EdelTrust
Q183. On a typical day, what is the first source that you go to for general information about business? ; Q184. What is the first source you go to for
breaking news about business? ; Q185. Which of the following sources do you turn to MOST often to confirm/ validate information on breaking news
about business? Q178-182. [TRACKING] 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”. (Top 4 Box,
Trust) General Population
26

27. BUSINESS HAS A LONG WAY TO GO TO MEET AUSTRALIAN EXPECTATION
Business importance vs. business performance on 16 trust drivers
Listen to customer
-39
Is ethical
61% Importance
22% Performance
-39
Treats employees well
61% Importance
22% Performance
-39
High quality products
60% Importance
26% Performance
-34
Acts responsibly in crisis
59% Importance
23% Performance
-36
Customers before profits
59% Importance
20% Performance
-39
Transparent & open
57% Importance
19% Performance
-38
Communicates often
52% Importance
19% Performance
-33
Positively impacts community
46% Importance
18% Performance
-28
Addresses society needs
45% Importance
17% Performance
-28
Protects environment
45% Importance
17% Performance
-28
Admired top leadership
34% Importance
17% Performance
-17
Innovator
33% Importance
25% Performance
-08
Partners with NGOs
33% Importance
14% Performance
-19
Consistent financial returns
30% Importance
22% Performance
-08
Top global company
#EdelTrust
62% Importance
23% Performance
29% Importance
16% Performance
-13
Q80-Q95. [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) Informed Publics, 27-country global total.; Q114-129. Please rate businesses in general on how well you think they are performing
on each of the following attributes. Use a 9-point scale where one means they are "performing extremely poorly" and nine means they are "performing
extremely well". (Top 2 Box, Performing Extremely Well) General Publics.
27

28. A u s t r a l i a | # E d e l Tr u s t
www.edelman.com.autrust
#EdelTrust