Trends that improve reputation
09/02/2020
Companies are increasingly aware that managing reputation is key to how they are perceived by customers, employees, shareholders and other stakeholders. In fact, seven out of ten executives from leading reputable firms confirm that managing one's business reputation is more important today than ever . This is partly due to the new currents that are affecting markets and impacting businesses such as the Internet of Things , artificial intelligence, climate change or the evolution of values. That is why all edeon marketing professionals analyze in detail all the relationships that our customers generate with their target audiences. These new forces need to be identified because they are indispensable, and the MarketingNews portal helps us detect macrotends that need to be taken into account not only because of their global importance but also because of the risk that many of them carry.
Elevate the purpose.
Once again, this 2020, raising the purpose becomes the first macro-trend . Businesses must fulfill a purpose that transcends the products and services they offer, connecting them with social and emotional values. Customers, suppliers, workers and shareholders are calling on companies to gain a broader view of their purpose in relation to the good they bring to the community, beyond just earning money or generating wealth. However, of the 200 executives interviewed, only 3.4% of them stated that they have a clear purpose as a company, which reveals a great opportunity and will also begin to require measurement and analysis formulas in the short term. . From the agency edeon.net we advise companies in order to raise the purpose and improve their relationship with society.
Data protection .
Privacy and data security, as well as the potential for cyberattacks, have become a major risk for companies. The effects of the dark web make many people fear that their data will be used for fraudulent or malicious purposes. The increase in security breaches in relation to personal data has resulted in a large majority of the public doubting the ability of companies to protect them. According to Global RepTrak 2019 , 67.8% of the general public doubts the ability of companies to safeguard their personal data.
Responsible investment .
Investing responsibly means weighing financial, but also ethical and socio-environmental variables, avoiding the risk of associating with unethical business. For this it is important to take into account three factors: Citizenship, which refers to the company's support for good causes, its positive influence on society and its attempts to protect the environment; Social, which refers to how the company treats its employees, if they are paid fairly and have equal opportunities, if they meet the needs of the client and show growth prospects; and lastly, integrity, which takes into account if the business is operating fairly and transparently, is well organized and maintains high data security. These three aligned factors account for one third of the company's reputation, according to Global RepTrak 2019 data .
The impact of technology .
Artificial intelligence, the Internet of Things, Big Data, automation, drones and robotics are technologies that are helping to make the Fourth Industrial Revolution a reality, affecting consumers and businesses in the process and exposing to a world of new risks. In the short term, 29.9% of corporate communications executives see the impact of technology as a reputational risk. Among other things, new technologies are making it possible for fake news to spread rapidly, forcing companies to monitor more potential sources of risk as this information is difficult to correct once it has gone viral. Since 2019 we have been managing the communication of the Open Industry 4.0 project, a virtual innovation community that is helping us discover a current world that many still do not know.
Climate change.
The countries, governments and businesses operating within them are expected to act in a positive and effective way to protect and manage climate change . Last year 2019 was marked by global protests in favor of this issue, calling for faster and more urgent action on climate change where new leaders such as Greta Thunberg have appeared, whose speech at the UN had a significant impact on world public opinion. Responding to climate change with environmentally sound policies can have a significant effect on a company's reputation, and it is never too late to start. Companies like HP have been working for years on sustainable materials that enhance their impact on the environment.
The influencers.
Some individuals can have an extraordinary influence on public opinion and on the business reputation. These may be individuals, politicians or experts in different fields. Their opinions are often considered more credible than when the company itself shares information. The impact of influencers is stronger in some sectors than in others, such as in consumption, industry and hospitality. From Edeon we take this into account and analyze any investment with influencers or microinfluencers very well.
Distrust in large institutions.
It is a shame but mistrust of large institutions, such as companies, governments and the media, is increasing, and its integrity as a whole is increasingly being questioned. On the one hand, companies are larger than ever and are often attacked because of their size and shares; On the other hand, fake news has led to a decrease in confidence in the media. According to US Global RepTrak 2019, Americans are 1.8 times more confident that small businesses will "do the right thing," giving them the benefit of the doubt, compared to what they expect a large company to do.
Sustainability and responsible supply.
It is expected that companies will obtain materials responsibly and minimize their impact on the environment and the community in which they are produced, as well as throughout the supply, purchase and sale of their goods and services. According to a study by Masrkstein published in October 2019, millennials would support 44% of businesses with environmental initiatives, even if they raise the price , compared to the same 35% support by Generation X or 28% of babyboomers.
ECO activism.
The figure of the ECO has already changed. The CEO is increasingly expected to take a public position on social, political and environmental issues, being an aspirational reflection of company values and vice versa. Responsibility has, for two years now, been the most important driver of a CEO or CEO's reputation, while leadership, management and influence have been put in the background. In summary, consumers, employees, shareholders and other stakeholders expect the CEO to do the right thing: to act responsibly, ethically and to care about social issues.
Equality, diversity and inclusion.
Companies are increasingly being judged in the field of equality based on the profile of their workers, by gender, race / ethnicity, under the magnifying glass of "equal opportunity for all". Gender inequality in the workplace, diversity and inclusion policies are breaking news in the media and are part of growing expectations. Also, inclusion has become a new evaluation metric for businesses. The risk of inequality in any of these matters can affect the company's reputation up to 15 points.
Here are the 10 trends to follow this year if we want to improve the reputation of our companies. The Reputation Institute portal presented its study of the macro trends that will mark this 2020 with the aim of identifying and analyzing aspects that will help us design the best reputation strategies.
Source: MarketingNews
Elevate the purpose.
Once again, this 2020, raising the purpose becomes the first macro-trend . Businesses must fulfill a purpose that transcends the products and services they offer, connecting them with social and emotional values. Customers, suppliers, workers and shareholders are calling on companies to gain a broader view of their purpose in relation to the good they bring to the community, beyond just earning money or generating wealth. However, of the 200 executives interviewed, only 3.4% of them stated that they have a clear purpose as a company, which reveals a great opportunity and will also begin to require measurement and analysis formulas in the short term. . From the agency edeon.net we advise companies in order to raise the purpose and improve their relationship with society.
Data protection .
Privacy and data security, as well as the potential for cyberattacks, have become a major risk for companies. The effects of the dark web make many people fear that their data will be used for fraudulent or malicious purposes. The increase in security breaches in relation to personal data has resulted in a large majority of the public doubting the ability of companies to protect them. According to Global RepTrak 2019 , 67.8% of the general public doubts the ability of companies to safeguard their personal data.
Responsible investment .
Investing responsibly means weighing financial, but also ethical and socio-environmental variables, avoiding the risk of associating with unethical business. For this it is important to take into account three factors: Citizenship, which refers to the company's support for good causes, its positive influence on society and its attempts to protect the environment; Social, which refers to how the company treats its employees, if they are paid fairly and have equal opportunities, if they meet the needs of the client and show growth prospects; and lastly, integrity, which takes into account if the business is operating fairly and transparently, is well organized and maintains high data security. These three aligned factors account for one third of the company's reputation, according to Global RepTrak 2019 data .
The impact of technology .
Artificial intelligence, the Internet of Things, Big Data, automation, drones and robotics are technologies that are helping to make the Fourth Industrial Revolution a reality, affecting consumers and businesses in the process and exposing to a world of new risks. In the short term, 29.9% of corporate communications executives see the impact of technology as a reputational risk. Among other things, new technologies are making it possible for fake news to spread rapidly, forcing companies to monitor more potential sources of risk as this information is difficult to correct once it has gone viral. Since 2019 we have been managing the communication of the Open Industry 4.0 project, a virtual innovation community that is helping us discover a current world that many still do not know.
Climate change.
The countries, governments and businesses operating within them are expected to act in a positive and effective way to protect and manage climate change . Last year 2019 was marked by global protests in favor of this issue, calling for faster and more urgent action on climate change where new leaders such as Greta Thunberg have appeared, whose speech at the UN had a significant impact on world public opinion. Responding to climate change with environmentally sound policies can have a significant effect on a company's reputation, and it is never too late to start. Companies like HP have been working for years on sustainable materials that enhance their impact on the environment.
The influencers.
Some individuals can have an extraordinary influence on public opinion and on the business reputation. These may be individuals, politicians or experts in different fields. Their opinions are often considered more credible than when the company itself shares information. The impact of influencers is stronger in some sectors than in others, such as in consumption, industry and hospitality. From Edeon we take this into account and analyze any investment with influencers or microinfluencers very well.
Distrust in large institutions.
It is a shame but mistrust of large institutions, such as companies, governments and the media, is increasing, and its integrity as a whole is increasingly being questioned. On the one hand, companies are larger than ever and are often attacked because of their size and shares; On the other hand, fake news has led to a decrease in confidence in the media. According to US Global RepTrak 2019, Americans are 1.8 times more confident that small businesses will "do the right thing," giving them the benefit of the doubt, compared to what they expect a large company to do.
Sustainability and responsible supply.
It is expected that companies will obtain materials responsibly and minimize their impact on the environment and the community in which they are produced, as well as throughout the supply, purchase and sale of their goods and services. According to a study by Masrkstein published in October 2019, millennials would support 44% of businesses with environmental initiatives, even if they raise the price , compared to the same 35% support by Generation X or 28% of babyboomers.
ECO activism.
The figure of the ECO has already changed. The CEO is increasingly expected to take a public position on social, political and environmental issues, being an aspirational reflection of company values and vice versa. Responsibility has, for two years now, been the most important driver of a CEO or CEO's reputation, while leadership, management and influence have been put in the background. In summary, consumers, employees, shareholders and other stakeholders expect the CEO to do the right thing: to act responsibly, ethically and to care about social issues.
Equality, diversity and inclusion.
Companies are increasingly being judged in the field of equality based on the profile of their workers, by gender, race / ethnicity, under the magnifying glass of "equal opportunity for all". Gender inequality in the workplace, diversity and inclusion policies are breaking news in the media and are part of growing expectations. Also, inclusion has become a new evaluation metric for businesses. The risk of inequality in any of these matters can affect the company's reputation up to 15 points.
Here are the 10 trends to follow this year if we want to improve the reputation of our companies. The Reputation Institute portal presented its study of the macro trends that will mark this 2020 with the aim of identifying and analyzing aspects that will help us design the best reputation strategies.
Source: MarketingNews