trust and reputation: companies, communicators and...
TRANSCRIPT
Trust and reputation:companies, communicators and commentators
It is a truism of political life that it is only when you are sick of sayingsomething that people are evenbeginning to hear your message.Much of the research we do amongthe public on a regular basis provesthe sad truth that most people aren’tpaying attention most of the time.
This trend is only going to get worse as media channels proliferate and trust in the institutionsof public life continues to ebb away. It makes the task ofshaping attitudes and opinions increasingly difficult.Today, communicators need to have a clear understandingnot only of what they want to say and who the criticalaudiences are, but also of who or what the best conduitsfor the message might be. It’s no longer about merelytailoring messages but tailoring the way in which they are delivered too.
This research shines a light on the commentators and businessleaders who are the most trusted message carriers, but it alsoreveals the significant challenge posed to communicators by thediversification of the media space as a whole. Knowing when,how and through which channel to respond is becomingincreasingly difficult and is something with which the opinionformers we interviewed still seem to be wrestling. They areincreasingly embracing Twitter for example, but remain largelyresolute in their determination to avoid responding to negativestories that appear on the channel.
In a year full of extraordinary communication challenges, ourresearch reveals those companies that have responded best tothe various crises that have occurred.
The others would do well to heed the advice of Rahm Emanuel,President Obama’s former Chief of Staff, who famouslyremarked that you should “never let a good crisis go to waste”.If they learn the communication lessons from the events of thepast year, they may come to think that things didn’t turn outtoo badly after all.
Knowing not only what to say, but where, when and throughwhich person or medium to say it would be a good start.
Andrew Cooper, Founder, Populus
The challenge for corporate affairs directors has always been to demonstrate the link betweencommunications and the bottom line.
Measuring success is even harder. But justifying the investment in a strong communications team and crisis preparation becomes a good deal easier when a business faces
a serious threat to its reputation. When a major issue hits,the investment that a business makes in communications –or not – becomes obvious, and hard lessons are learned byChairmen and CEOs. It is no surprise that the businessesthat are best at handling issues and crises are often thosethat have been badly burnt in the past.
Every company should be prepared for a major attack on its reputation – that is the reality of the world that we live in.Having crisis plans ready and tested ahead of any event, andbuilding relationships with key journalists to ensure that theyare well informed, are two simple steps that can make life a bit easier when the storm breaks.
Our research shines a spotlight on the companies for whomthis has paid off, and should be seen as a gentle nudge forthose whom the public think could do better.
Knowing who your stakeholders are, how to influence them, through which channels, and with which messages, is the skill of our industry. But that is a dynamic and ever-shifting landscape. Two years ago, newspapers were threetimes more influential with opinion formers than Twitter. This year, that gap has halved.
Reflecting these changes in organisational communicationsstrategies is essential.
Rebecca Reilly, Director, Open Road
MethodologyPopulus interviewed 195 Opinion Formers online and by self-completion postal questionnaire between 5 June and 18 July 2013. 120 of these Opinion Formers were drawn fromthe Populus MP Panel and 75 were drawn from the PopulusOpinion Former Network.
Populus interviewed 2,004 GB adults (18+) online between 17 and 19 July 2013. Populus interviewed an additional 2,025GB adults (18+) online between 6 and 8 September 2013.Results were weighted to be representative of all GB adults.
Where available, tracking data is shown from similar Populus–Open Road research conducted in 2011.
Where results do not sum to 100%, this may be due torounding, multiple responses, or the exclusion of ‘don’t know’ categories.
Populus is a member of the British Polling Council and abides by its rules.
201129%
201355%
This chart dramatically highlights the continuing diversificationof media influence. Broadcast remains dominant, with radioretaining its stronghold as opinion formers’ core news source –presumably led by Radio 4’s Today programme.
The expansion and importance of digital news sources is clear, with the exception of the online versions of nationalnewspapers, which are slipping now that three key papers
are hidden behind a paywall. With that exception, every otherdigital news source has seen a marked increase in consumption.
Local media is a new entrant to our list, but not to beunderestimated in importance, given how often regional and local newspapers are quoted as a trusted news source by their readers.
No longer just a tool to find out what Stephen Fry had for breakfast, Twitter’s role as a source of information andinfluence has grown remarkably in the last two years. Since2011 the number of opinion formers who regularly use Twitteras a source of information has almost doubled. We may listento the radio in the morning, read the papers in the office, andwatch the news in the evening, but it is increasingly Twitter, ondesktops, tablets or smart phones, which provides the breakingnews that keeps us informed throughout the day.
How often do you get information from each of the following?% opinion formers answering ‘often’ i.e. most days or several times a day, 2013 (variance from 2011)
Radio88%(-1)
81%(-7)
74%(-12)
Nationalnewspapers in print
GoogleNationalnewspapersonline
Specialistmedia online
Local media
BlogsCom
pany
web
site
sSpec
iali
stm
edia
in
pri
nt
Lin
ked
In
74%(-8)
60%(-5)
55%(+26)
51%(+7)
49%(no data)
34%(+9)
33%(+2)
25%
(-8)24
%(-
15)
13%
(no
dat
a)
TV
The impact of the 24 hr news cycle
If you saw of heard something negative about you/ your partythrough one of the following channels, how would you react to it?% opinion formers
Nationalnews website
NationalTV news
programme
National radio newsprogramme
Nationalnewspaper
Local media
Twitter is the biggest winner in news terms over the last twoyears, taking up most of the attrition from broadcast, print andother sources, but opinion formers don’t seem to be taking it anymore seriously. The urgency with which opinion formers wouldrespond to a negative story on Twitter has remained almostunchanged against 2011, with nearly a third of people saying theywouldn’t bother responding at all. This presents communicationsprofessionals with a quandary – we need to use it to ensure weare using all relevant channels to get our messages across, but we need to communicate across traditional as well as social mediachannels if we want to really cut through the chatter.
… but are we taking Twitter seriously enough?
Social media
IGNORE
WAITTO SEE IF STORY WAS PICKED UPMORE WIDELY
RESPONDIMMEDIATELY
WORST
The following companies have all been the subject of hostile news stories over the past year, how well or poorly do you think the following companies responded?
BEST
TESCO(HORSEMEAT)Ranked 1st – 21%
ASDA(HORSEMEAT)Ranked 2nd – 18%
ALDI(HORSEMEAT)Ranked 3rd – 15%
ICELAND(HORSEMEAT)Ranked 3rd –15%
BBC(SAVILE)
Ranked 5th –13%
GOOGLE(TAX)
Ranked 5th worst – 47%
G4S(OLYMPICS)
Ranked 4th worst – 48%
STARBUCKS(TAX)
Ranked 3rd worst – 50%
NEWSINTERNATIONAL(PHONE HACKING)Ranked 2nd worst – 51%
WONGA(PAY DAY LOANS)
Ranked worst – 55%
Communicate your way out of a crisis
Horsemeat, Libor, corporation tax – companies have found themselves uncomfortably under the media spotlight for a varietyof reasons in the last 12 months. We asked the public to tell ushow they rated corporate responses and compiled their views intoa list of five top performers – and five who could do better.
What separates the successes and the failures is not hard to see.Organisations that have worked in the past to build up a bank of goodwill and addressed a crisis decisively as soon as it becamepublic have fared the best. Those that took too long to respondhave been singled out by our panel. This might not translateimmediately into loss of sales (the longer term effects are harderto assess), with Starbucks and Wonga standing out as businessesthat have thrived regardless. But, with negative media coveragecomes increased government scrutiny – and with it the possibilityof unwelcome regulation.
Despite being criticised for beingslow off the mark, Tesco, one of thefirst supermarkets to be identified inthe horsemeat scandal, offered themost visible response to itscustomers, sending them an emailapology from CEO Philip Clarke, andsetting up a dedicated website tokeep people updated.
Asda was similarly on the ball,responding to public concern evenbefore being implicated in the scandal,removing suspect products from theshelves and reassuring its customerswith regular media statements.
But an unthinking attempt to buy one’s way out of a crisis, however quickly, is not always effective. Starbucks’attempt to gain positive coverage anddraw a line under tax avoidance claimsby choosing to pay a voluntary £5 millionwas clumsy. It drew unwanted attentionto the issue and was perceived byconsumers to be a gimmick.
Height represents percentage public responding ‘Well–Quite Well, ‘
Height represents percentage public responding ‘Very Poorly–Poorly’
0
SIR RICHARDBRANSON
(VIRGIN)
JUSTINKING
(SAINSBURY’S)
JOHNCRIDLAND
(CBI)
ANTONYJENKINS(BARCLAYS)
WILLIEWALSH
(INTERNATIONALAIRLINES GROUP)
Which individual company spokesperson, representative, or corporate leader do you thinkis best at communicating with you? This can be either directly or via the media.Opinion formers – height represents percentage
It is unsurprising that the corporate spokespeople with the biggest impact are those who we hear, see and readabout most frequently. But our top five possess a potent mix of being excellent speakers and confident campaigners.What unites this group is not just their willingness to dealwith and co-operate with the media at key times for theirbusiness. They go far beyond this – they use the media as a battleground to campaign around key issues for theirbusinesses, and to great effect. Journalists like them because they give them access and a point of view – and the public like them because they are genuine, passionate,and interesting.
(S)he who shouts the loudest
With a product range that includes everything from insurance to electronics, prescriptions to pizza, not a day goes by without a news story that the supermarkets can’t take advantage of. Theircommunications teams turn around press announcements with
impressive speed and frequency to compete and maintain brandrecognition in a crowded category. This explains why our top fiveis dominated by businesses who combine diverse, consumer-facingproduct ranges, with intensive, media-led campaigns.
Which of the following companies would you say arebest at communicating with you through the media? Radius represents percentage public responding first–third mention
You’ve got to be in it to win it
50 40 30 20 10 0
Which commentator on economics and business do you most respect? Ranked by total number of opinion former mentions
Which political commentator do you most respect?Ranked by total number of opinion former mentions
Journalists with an active Twitter feed whoengage with readers, followers and politicianshave notably risen in the rankings, often coming higher than more senior colleagues at the same organisation.
Robert Peston is indefatigable in histhree-year dominance of our top spot,and his increased presence on Twitterand his blog have solidified this, withHugh Pym rising up the rankings mostlikely thanks to his increased profilewhile Peston was on leave.
Bucking the trend set by its paid-forrivals, City AM’s circulation is growingand, even with a relativelyundeveloped digital offering, Allister Heath’s ascendance into thetop five further highlights the growing influence of the paper.
Laura Kuenssberg, prolific tweeterand new entrant last year followingher move to ITV, is now snapping atthe heels of the top ten. WithStephanie Flanders returning to theworld of business, Laura looks set to be the highest rated woman next year.
Rank2013
Name Change2012–13
1st Nick Robinson 02nd Andrew Rawnsley 03rd David Aaronovitch 3
4th Polly Toynbee 5
= 5th Matthew Parris 1
= 5th Andrew Neil 1
= 5th James Landale 27
= 5th Steve Richards 1
= 9th Quentin Letts new
= 9th Michael White 0= 11th Charles Moore 21
= 11th Adam Boulton 21
= 11th Peter Oborne 2
= 11th Guido Fawkes new
= 11th Andrew Marr 8
= 11th Benedict Brogan 8
= 17th John Pienaar 5
= 17th Jon Craig 15
= 17th Brian Taylor 15
= 17th Michael Portillo 2
= 17th Fraser Nelson 2
= 17th Gaby Hinsliff new
= 17th Patrick Wintour new
= 17th Paul Waugh 2
= 17th Dan Hodges 2
= 17th Philip Stephens 5
= 17th Isabel Hardman new
= 17th Danny Finkelstein 9
= 17th John Humphrys 2
= 17th Tim Montgomerie 5
Rank2013
Name Change2012–13
1st Robert Peston 02nd Stephanie Flanders 13rd Jeff Randall 34th Will Hutton 05th Allister Heath 36th David Smith 1
= 7th Evan Davis 2= 7th David Blanchflower 7= 7th Martin Wolf 5= 10th Paul Mason 1= 10th Laura Kuenssberg 9= 12th Andrew Marr new= 12th Nick Robinson 7= 12th Hamish McRae 2= 15th Hugh Pym 13= 15th Paul Krugman 1= 15th Anatole Kaletsky 7= 15th Jonathan Portes new= 15th Larry Elliott 5= 15th Gillian Tett 13
Margaret Thatcher’s death and thepublication of several books about her shortly after means that journalistslike Charles Moore have seen a peakin their profile through increasedvisibility.
About Open Road
Open Road is a corporate communicationsconsultancy based in central London. In2011 we were named one of the top fiveMedium-Sized Consultancies by PR Week.We were Consultancy of the Year at thePublic Affairs News Awards in 2010.
Our core services include:
• Corporate reputation management• Corporate PR• Issue and crisis management• Digital and social media engagement• Public affairs• Employee engagement• Healthcare• Corporate Social Responsibility
Our website, blog and Twitter feed are at:www.theopen-road.com
For further information, please [email protected] or 020 3542 1127
About Populus
Populus is a leading research & strategyconsultancy specialising in political,reputation, stakeholder and customerresearch. We use polling, research,evidence and expertise to provide clientswith the critical knowledge they need tomake better decisions about their business,organisation or brand.
Our solutions include political and MPpolling, omnibus surveys, segmentationand campaign planning, thoughtleadership studies and reputation andstakeholder research.
Populus can be found at:www.populus.co.uk
For further information please [email protected] or 020 7553 3015
25 Sackville Street, London W1S 3AX
tel 020 3542 1134 fax 020 3542 0701twitter @theopen_road
www.theopen-road.com