2010 Edelman Trust Barometer
Asia Pacific Findings
Edelman Trust Barometer at a glance
Tenth annual study
4,875 people in 22 countries
1,575 people in Asia Pacific across 7 countries: China, Japan,
South Korea, India, Indonesia, Australia, and Singapore
Ages 25 to 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
2
The Operating Environment
• Half Full?
• Economic questions/opinions
• Self interests creeping back in
• Should we drink it?
• Product issues re-appearing
• Supply chains a vulnerability
• How clear is it?
• Transparency #2 driver of reputation
• Lip service not enough
3
Relative Trust in Institutions
4
Business back; NGOs have “arrived”
A7-A10. I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right. On 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, how much do you trust [INSERT] to do what is right? (Top
4 Box) Informed Publics ages 25-64 in 22 countries (globally), U.S., EU and APAC (China, India, Japan, S. Korea, Indonesia, Singapore, Australia)
49%
55%57%
46%46%
54%
63%
38%
43%
50%
59%
40%
59% 58%
53% 54%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Government Business NGOs Media
Globally U.S. EU APAC
Trust in institutions
5
Governments “moving” and moving
A7-A10. [TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right.
On 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, how much
do you trust [INSERT] to do what is right? (Top 4 Box) Informed Publics ages 25-64 in Asia (China, India, Japan, South Korea and Indonesia)
51%
60%
50%
59%57% 60%
52%
57%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Government Business NGOs Media
2009 2010
Trust in institutions – Asia 2009 vs. 2010
6
Emerging markets (and Singapore!) more trusting
A7-A10. I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right. On 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, how much do you trust [INSERT] to do what is right? (Top 4 Box) Informed Publics ages 25-64
84%
74%
43% 42%
50%
41%
62%63% 62%
67%
57%
45%47%
64%
56%54%
47%
39%
69%
51% 52%
63% 63%
58%
36%
49%
30%
75%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Singapore China India Japan S. Korea Australia Indonesia
Government Business NGOs Media
Trust in institutions
7
43%
51%
45%
37%
72%
42% 41%
56%
47%
57%
84%
62%
50%
74%
43% 42% 41%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Global Asia Singapore Indonesia South Korea
China India Japan Australia
2009 2010
Trust in Government – Asia Pacific
Government on the rise …not so fast, Mr Rudd
A7. [Government in general TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right. On 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, how much do you trust [INSERT] to do what is right? (Top
4 Box) Informed Publics ages 25-64 in 20 countries (global excludes Singapore and UAE) & Asia (China, India, Japan, South Korea and Indonesia)
+4
+17
N/A
+13
- 15
8
+6
50%
60%
39%43%
62% 62%
71%
63%
54%
60%
45%47%
64%62% 63%
67%
57%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Global Asia South Korea Australia Indonesia China Singapore India Japan
2009 2010
Trust in Business – Asia Pacific
Business, generally, continues to outperform
A9. [Business in general TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right. On 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, how much do you trust [INSERT] to do what is right? (Top 4 Box)
Informed Publics ages 25-64 in 20 countries (global excludes Singapore and UAE) & Asia (China, India, Japan, South Korea and Indonesia)
+4
N/A
9
54%50%
58%
46%50%
55%
44%
54%57%
52%
69%
56%52%
54%51%
39%
47%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Global Asia South Korea
Singapore Indonesia China Australia Japan India
2009 2010
Trust in NGOs – Asia Pacific
NGOs continue to emerge
A10. [NGOs TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right. On 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, how much do you trust [INSERT] to do what is right? (Top 4 Box) Informed
Publics ages 25-64 in 20 countries (global excludes Singapore and UAE) & Asia (China, India, Japan, South Korea and Indonesia)
+3
+11
N/A
Trust decreased
among ages 25-
34 and increased
among ages 35-
64
Trust increased
among ages 25-
34 and decreased
among ages 35-
64
10
47%
59% 59%
47%
77%
35%
65%
49%45%
57%
63% 63%
49%
75%
30%
58%
36%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Global Asia Singapore China South Korea
Indonesia Australia India Japan
2009 2010
Trust in Media – Asia Pacific
Media declining
A8. [Media in general TRACKING] I am going to read you a list of institutions. For each one, please tell me how much you TRUST that institution to do what is right. On 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, how much do you trust [INSERT] to do what is right? (Top 4
Box) Informed Publics ages 25-64 in 20 countries (global excludes Singapore and UAE) & Asia (China, India, Japan, South Korea and Indonesia)
N/A
11
-13
-7
Business: A Closer Look
12
37%
39%
42%
43%
58%
67%
67%
70%
73%
75%
75%
75%
77%
Brazil
Russia
India
China
Italy
US
Netherlands
France
Japan
UK
Canada
Sweden
Germany
APAC least trusting of companies headquartered in BRIC countries
Significant at 95%
confidence level
13
A13-25. Now I would like to focus on global companies headquartered in specific countries. Please tell me 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) Informed Publics ages 25-64 in Asia Pacific (China, India,
Japan, S. Korea, Indonesia, Singapore, Australia)
Asia
Pacific BRICs in the Wall
• Japan has lowest trust in companies
headquartered in Brazil (15%), Russia
(10%) and China (6%)
• China-headquartered companies trusted by
a majority only in China and Indonesia
• India-headquartered companies trusted by a
majority only in India
• Companies headquartered in Brazil and
Russia trusted by a majority only in China
52%
53%
54%
59%
62%
64%
67%
68%
69%
71%
72%
75%
82%
Entertainment
Insurance
Media companies
CPG manufacturers
Food
Retail
Health care industry
Biotech
Pharmaceuticals
Banks
Energy
Automotive
Technology
Technology remains most trusted industry sector in APAC
A26-38. Now I would like to focus on your trust in different industry sectors. Please tell me how much you TRUST businesses in each of the following
industries to do what is right. Again, please use a nine-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) Informed publics ages 25-64 in Asia Pacific (China, India, Japan, S. Korea, Indonesia, Singapore, Australia)
Asia
Pacific
14
• Australia and Japan less trusting
• Australia less trusting of energy industry
(-49%)
• Japan less trusting of healthcare industry
(-27%)
• South Korea less trusting of entertainment,
and retail industries (-52% / -31%)
• China has lowest trust in CPG
manufacturers (-24%); also least trusted
sector in China
41%
45%
46%
47%
49%
61%
63%
66%
67%
71%
Has highly-regarded and widely admired top leadership
Is an innovator of new products, services or ideas
Delivers consistent financial returns to investors
Is a good corporate citizen
Prices its brands fairly and competitively
Communicates frequently and honestly on the state of its business
Treats employees well
Is a company I can trust
Has transparent and honest business practices
Offers high quality products or services
Corporate reputation based on transparency and trust as much as quality
B63.-72. How important are each of the following factors to the overall reputation of the company? Please use a nine-point scale where one means that factor is “not at all important” and nine means it is “extremely important” to overall reputation. (Top 2 Box, Very/ Extremely Important) Informed Publics ages 25-64 in Asia Pacific (China, India, Japan, S. Korea, Indonesia, Singapore, Australia)
Asia Pacific
15
68%
62%
75%
72%
62% 61% 59%
51%
42%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Global APAC China Singapore Australia South Korea India Japan Indonesia
More likely to trust a company that partners with a NGO to battle global issues
Corporate partnerships with NGOs build trust
C80. Would you be more or less likely to trust a company that partners with NGOs to battle global issues such as climate
change, alleviating poverty or curing diseases, than you would be to trust a company that works alone? (Net More Likely: Much
More + A Little More) Informed Publics ages 25-64 in Asia Pacific (China, India, Japan, S. Korea, Indonesia, Singapore, Australia)
Asia Pacific
16
A stakeholder, not a shareholder, world
D83. When a CEO makes business decisions for his or her company, which stakeholder SHOULD BE most important to a CEO’s
business decisions? Informed Publics ages 25-64 in Asia Pacific (China, India, Japan, S. Korea, Indonesia, Singapore, Australia)
Which stakeholder should be most important to a CEO’s business decisions?
Government3%
Employees6%
Society at Large11%
Customers 12%
Investors/ Shareholders
15%
All stakeholders are equally important
53%
Asia Pacific
17
• Japan and South Korea least
likely to say that all shareholders
are important
• South Korea also gives weight to
customers followed by society
• Japan also gives weight to
customers followed by investors
Managing Sources and Channels
18
APAC higher than global, but only minority support
19
E84-97. Now I’m going to read you a list of places where you might get information about a company. Please tell me how credible you
believe each one of them is as a source of information about the company—is it extremely credible, very credible, somewhat credible, or
not credible at all? (Top 2 box, very + extremely credible) Informed Publics ages 25-64 in Asia Pacific (China, India, Japan, S. Korea,
Indonesia, Singapore, Australia)
18%
19%
19%
31%
33%
33%
36%
37%
42%
37%
46%
40%
50%
38%
19%
20%
22%
29%
38%
38%
38%
40%
42%
44%
44%
45%
45%
48%
Blogs
Social Networking sites such as Facebook or MySpace
Corporate or product advertising
Free content sources, such as Wikipedia or web portals
Corporate communications such as press releases, reports, and …
A company’s own Web site
Online search engines e.g. Google news, YouTube
Conversations with your friends and peers
Conversations with company employees
Articles in newspapers
Articles in business magazines
News coverage on the radio
Stock or industry analyst reports
Television news coverage
Asia Pacific 22-country Global Total
Traditional information sources have moderate credibility in all countries
except Singapore which gives them high credibility
E84-97. Now I’m going to read you a list of places where you might get information about a company. Please tell me how credible you
believe each one of them is as a source of information about the company—is it extremely credible, very credible, somewhat credible, or
not credible at all? (Top 2 box, very + extremely credible) Informed Publics ages 25-64
49%
36%
42%44%
35%
60%
44%
54%
36% 37%
51%
42%
66%
42%
33%
40%
55%
46%
38%
68%
38%
50%
40%
27%
39%
29%
40%42%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
China India Japan S. Korea Indonesia Singapore Australia
Radio news TV news Newspaper articles Conversations with friends
Credible Sources of Information – Traditional
China JapanIndia IndonesiaS. Korea Singapore Australia
20
Online search engines most credible digital information sourceRivals credibility of traditional media sources in many countries
E84-97. Now I’m going to read you a list of places where you might get information about a company. Please tell me how credible you
believe each one of them is as a source of information about the company—is it extremely credible, very credible, somewhat credible, or
not credible at all? (Top 2 box, very + extremely credible) Informed Publics ages 25-64
27%
56%
30%
40%
47%
43%
33%
16%
41%
22%
30%
43%
37%
27%
13%
27%
11%
37%
22%
15%
23%
19%16%
7%
28%25%
15%
25%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
China India Japan S. Korea Indonesia Singapore Australia
Online search engines Free content sources Social networking sites Blogs
Credible Sources of Information – Digital
China JapanIndia IndonesiaS. Korea Singapore Australia
21
Corporate communication sources also enjoy moderate credibility in most
countries
E84-97. Now I’m going to read you a list of places where you might get information about a company. Please tell me how credible you
believe each one of them is as a source of information about the company—is it extremely credible, very credible, somewhat credible, or
not credible at all? (Top 2 box, very + extremely credible) Informed Publics ages 25-64
32%
48%46%
50%
33%
52%
40%
32%
46%
42%
34% 34%
54%
32%
36%
46%
40%
31%34%
46%
35%
11%
32%
25%
21%
15%
35%
28%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
China India Japan S. Korea Indonesia Singapore Australia
Employee conversations Corporate communications Company web site Advertising
Credible Sources of Information – Corporate
China JapanIndia IndonesiaS. Korea Singapore Australia
22
Academics/experts most credible spokespeople in most APAC countriesSpokespeople have high credibility in Singapore
32%
41%
45%
46%
51%
52%
65%
0% 10% 20% 30% 40% 50% 60% 70%
Regular employee
Person like yourself
NGO representative
Government official
CEO
Financial or industry analyst
An academic or expert
Credible Spokespeople
23
Asia
Pacific
F99-105. Now I’m going to read you a list of people. In general, when forming an opinion of a company, if you heard information about a company from that 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 Asia Pacific (China, India, Japan, S. Korea, Indonesia, Singapore, Australia)
• All spokespeople have higher
credibility in Singapore
• Australia least likely of all APAC
countries to believe CEOs are
credible
• Financial/industry analyst and a
regular employee of a company
less credible in China
• Japan and Indonesia give less
credibility to government officials
Academics/experts still most credible spokespeopleGovernment officials, NGO reps, academic and CEOs have gained ground
F99-105. [TRACKING] Now I’m going to read you a list of people. In general, when forming an opinion of a company, if you heard information about a
company from that 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 Asia (China, India, Japan, South Korea, Indonesia)
34%38%
46%
58%
44%
31%
48%
40%43%
51%
62%
47%
30%
38%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Government official
NGO representative
CEO An academic or expert
A financial or industry analyst
Regular employee
Person like yourself
2009 2010
Credible Spokespeople – Asia
24
+6+5
+4
+5
- 10
Implications
25
• Understand “the paradox”
of transparency
• “Trust Management” is a
new competency
26
Seven new behaviors
1. Listen with new intelligence
2. Participate in the conversation: real time/all the time
3. Create and co-create content
4. Socialise media relations
5. Champion open advocacy
6. Build active partnerships: for common good
7. Embrace complexity
27
2010 Edelman Trust Barometer
Asia Pacific Findings