2. TRUST MATTERS
ACTIONS
Trust is a Manageable Asset, determining:
• Consumer purchasing behaviour
• Proactive recommendations or criticism
• Investment
3. EDELMAN'S 13TH ANNUAL SURVEY, LARGEST GLOBAL EXPLORATION OF TRUST
INFORMED
ONLINE SURVEY
PUBLICS
IN 26 COUNTRIES
• 31,000+ respondents • 200 respondents in Malaysia & 24
countries, 500 respondents in
• 5 years in 20+ markets U.S. and China
• 8 years in 10+ markets • Ages 25-64
• College-educated
GENERAL
POPULATION • In top 25% of household income
per age group in each country
• 1000 respondents per
country surveyed • Report significant media
consumption and engagement in
• Ages 18+ business news and public policy
• 2 years of data • 13 years of data
MARKET COMPARISONS
Developed: US, UK, France, Germany and Japan
Indicates Global Data
Emerged: Brazil, Mexico, Russia, India and China
Indicates Malaysia Data
APAC SELECT COUNTRIES:
China, Japan, India, Malaysia, Singapore, South Korea,
3 Indonesia, Australia, Hong Kong
5. STATE OF TRUST 2013
TRUST SHIFTS BACK TO NEUTRAL AFTER A TUMULTOUS 2012
5
6. EDELMAN TRUST INDEX: EUROPE MOVES FROM DISTRUSTERS TO NEUTRAL,
MALAYSIA NOW 7TH MOST TRUSTING NATION
2012 2013
GLOBAL 51 GLOBAL 57
China 76 China 80
UAE 68 Singapore 76
Singapore 67 India 71
TRUSTERS
India 65 Mexico 68
Indonesia 63 Hong Kong 67
Mexico 63 UAE 66
Netherlands 61 Malaysia 64
Hong Kong 61 Canada 62
Canada 58 Indonesia 62
Malaysia 57 U.S. 59
Big Changes
NEUTRAL
Italy 56 Netherlands 59
from 2012
Argentina 54 Brazil 55
Australia 53 Germany 55
Germany +16
Brazil 51 France 54
France +14
Sweden 54
Sweden 49 UK +12
UK 53 US +10
U.S. 49
Italy 51
South Korea 44
Australia 50
Poland 44
Poland 48
DISTRUSTERS
U.K. 41
S. Korea 47
Ireland 41 Ireland 46
France 40 Argentina 45
Germany 39 Spain 42
Spain 37 Turkey 42
Japan 34 Japan 41
Russia 32 Russia 36
6
Composite score is an average of a country’s trust in all four institutions. Informed Publics ages 25-64 in 20-country global total
7. LOWER TRUST AMONG GENERAL POPULATION THAN INFORMED PUBLICS,
TRUST HIGH WITH BOTH GROUPS IN MALAYSIA
2013
GENERAL PUBLIC
2013
INFORMED PUBLIC
GLOBAL 48 GLOBAL 57
China 70 China 80
India 64
General Population is Singapore 76
TRUSTERS
9 points lower than India 71
UAE 63
Informed Publics
Singapore 63 Mexico 68
Indonesia 61 Hong Kong 67
Malaysia 61 UAE 66
Mexico 59 Malaysia 64
Largest Differences between
Hong Kong 54 Canada 62
NEUTRAL
Gen Pop & Informed Publics
Canada 52 Indonesia 62
Brazil 51 U.S. 59
Poland, US, Sweden: - 14 points
Netherlands 50 Netherlands 59
Argentina 48 Singapore, Ireland, Hong Kong, Brazil 55
U.S. 45 France: - 13 points Germany 55
Germany 44 France 54
UK 43 Sweden 54
S. Korea 43 UK 53
Italy 51
DISTRUSTERS
Turkey 43
France 41 Australia 50
Italy 40 Poland 48
Sweden 40 S. Korea 47
Australia 39 Ireland 46
Spain 37 Argentina 45
Japan 35 Spain 42
Poland 34 Turkey 42
Ireland 33 Japan 41
Russia 30 Russia 36
7
Composite score is an average of a country’s trust in all four institutions. General population and Informed Publics ages 25-64 in 26 country global total and across 26 countries
8. ROBUST RISE IN TRUST IN MALAYSIA, DOUBLE DIGIT GROWTH IN GOVERNMENT AND
MEDIA. HOWEVER, IMPORTANT TO NOTE FRAGILITY OF TRUST
TRUST IN INSTITUTIONS – MALAYSIA, APAC & GLOBAL
Malaysia 2012
TRUST A GREAT DEAL
Malaysia 2013
Total: 65%
Total: 63% Total: 64% APAC 2013
Total: 60%
Total: 60% Total: 58%
Total: 49% Total: 48% Global 2013
GOVERNMENT BUSINESS
21% 21% 24% 16% 16% 23% 20% 17%
Total: 76%
Total: 66% Total: 68% Total: 68%
Total: 63%
Total: 60% Total: 57%
Total: 47%
MEDIA 11% 15% 22% 17% 20% 23% 25% 22% NGOS
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 ages 25-64
8
9. TRUST IN ENERGY SECTOR JUMPS, OTHER INDUSTRIES STABLE.
MEDIA AND BREWING STILL LEAST TRUSTED, THOUGH DOUBLE-DIGIT INCREASE
TRUST IN INDUSTRIES – MALAYSIA
2012 2013
2012 APAC 2013 APAC
Technology 85% Technology 85%
#1 85% #1 83%
Telecommunications 81% Banks 82%
69% 72%
Banks 78% Energy 81%
#3 70% 71%
Financial services 77% Telecommunications 81%
63% 72%
Food and beverage 75% Automotive 79%
67% #2 78%
Automotive 75% Food and beverage 78%
#2 76% 71%
Pharmaceuticals 74% Consumer packaged
76% #3 73%
67% goods
Consumer packaged goods 70%
66% Financial services 76% 68%
Energy 67%
Pharmaceuticals 74% 71%
65%
Media 51%
62% Media 66% 63%
Brewing and spirits 33%
57% Brewing and spirits 56% 64%
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 ages 25-64 (only industries tracked from 2012 to 2013 shown)
9
10. CULTURAL DIVIDE - BIG BUSINESS TRUSTED MORE THAN SMALL IN APAC
TRUST IN SMALL BUSINESS VS. BIG BUSINESS
SMALL BUSINESSES
BIG BUSINESSES
79%
76% 77%
72%
70% 70% 70%
66%
62%
53%
GLOBAL DEVELOPED EMERGING APAC MALAYSIA
Q15-17. 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”. {Small Businesses or Companies; Big Businesses or Companies) (Top 4 Box, Trust) Informed Publics ages 25-64 in 26-country global
10 total, Developed Markets (includes US, UK, Germany, Japan, France), Emerging Markets (includes Mexico, China, Brazil, Russia, India) , Malaysia and APAC
11. DEVELOPED-MARKET HEADQUARTERED COMPANIES MOST TRUSTED –
EMERGING MARKETS STILL LAG
MALAYSIA’S TRUST IN COMPANIES HEADQUARTERED IN THE FOLLOWING COUNTRIES
EU, LATAM, North America
86% 86% APAC countries
82%
77%
75% 74% 73% 73% 72%
70%
55%
51%
46% 45%
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”. Q202A-204A. 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
11 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 Ages 25-64 in
Malaysia
12. NGOS MOST TRUSTED INSTITUTION IN MALAYSIA, TIED FOR 3RD OUT OF 26 COUNTRIES;
LICENSE TO LEAD?
TRUST IN NON-GOVERNMENTAL ORGANIZATIONS (NGOS)
2008 67% of markets surveyed have a
trust score above 50% 2012
2008 China:
48%
2013 88% of markets surveyed have a 2013
83% 81%
trust score above 50%
78% 79%
76% 76%
75% 73% 75% 74%
70% 70% 69% 69% 67%
68% 66% 66% 67% 66% 66%
67% 65%
64%
63% 64% 64% 63% 63% 62% 61%
60% 59%
58% 58% 59%
55% 57% 56% 55%
53% 54%
51% 53%
48% 49% 51%
50% 46%
41% 40%
37%
30%
28%
N/A
Q11-14. [NGOs 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 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia,
Singapore, Turkey and UAE) and across 26 countries
12
13. STEADY GROWTH IN TRUST IN MEDIA OVER TIME;
RESULT OF DIVERSIFICATION OF OPTIONS AND STRONG COVERAGE OF ISSUES
TRUST IN MEDIA
2008 50% of markets surveyed have a 2012
trust score 50% or above
2013
2013 62% of markets surveyed have a
81% trust score 50% or above
79% 79% 80%
77%
70%
70%
65% 68% 66%
65% 65% 66%
61% 61% 61% 60% 61%
61%
57% 59% 57% 57%
54% 54%
52%
51% 50% 49% 49%
50% 47%
50% 47% 48%
47% 47%
45% 46% 45% 45% 45% 43% 43%
42% 41% 42%
37% 38% 38%
35% 36%
33%
26%
N/A
Q11-14. [Media in General 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 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia,
Singapore, Turkey and UAE) and across 26 countries
13
14. HIGH TRUST IN ONLINE SOURCES OF INFO UNDENIABLE,
TRADITIONAL STILL HAS AN IMPORTANT ROLE TO PLAY
TRUST IN TYPES OF MEDIA SOURCES FOR GENERAL NEWS AND INFORMATION
Global Developed Emerging APAC Malaysia
71% 70%
65% 63%
64% 59% 58%
58% 61% 58% 56% 58%
51% 52% 56% 49% 52%
47% 47%
43% 41% 40%
32% 30%
26%
TRADITIONAL MEDIA ONLINE SEARCH ENGINES HYBRID MEDIA SOCIAL MEDIA OWNED MEDIA
GLOBAL AGE BREAKDOWN
18-29 30-44 45-64 65+
61% 61% 60%
59% 56% 56%
54%
49% 49% 48% 47% 45% 44% 43%
40% 37%
37%
29% 31%
29%
TRADITIONAL MEDIA ONLINE SEARCH ENGINES HYBRID MEDIA SOCIAL MEDIA OWNED MEDIA
Q178-182. 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
14 "do not trust it at all" and nine means that you "trust it a great deal". General Population in 26-country global total, Developed (US, UK, France, Germany and Japan) vs. Emerging Markets (Brazil,
Mexico, Russia, India and China); Age breakdown for general population in 26-country global total, Malaysia, and APAC
15. SKEPTICISM AND DISPERSION REQUIRES REPETITION
MAJORITY NEEDS TO HEAR COMPANY INFORMATION 3-5 TIMES TO BELIEVE MESSAGES
12% 4% ONCE (1)
TEN OR MORE TIMES (10+)
14% TWICE (2)
6%
SIX TO NINE TIMES (6-9)
35% THREE TIMES (3)
29%
FOUR OR FIVE TIMES (4-5)
64% THREE TO FIVE TIMES
Q165. [TRACKING] Think about everything you see or hear every day about companies, whether it is positive or negative. How many times in general do you need to be exposed to something
15 about a specific company to believe that the information is likely to be true? (Provide Space to Insert Number) Informed Publics Ages 25-64 in 26-country global total (excludes Don’t Know
Responses)
17. MALAYSIA 2012 RETROSPECT
Q1 PM REITERATES ‘NAMBIKEI’ CALL FOR INDIANS TO TRUST BN
ANWAR ACQUITTED ON SODOMY II CHARGES
ERYKAH BADU BANNED / CHUA SOI LEK vs LIM GUAN ENG DEBATE
Q2 JANJI DITEPATI CAMPAIGN LAUNCHED
BERSIH 3.0 TURNS VIOLENT
RAPID PENGERANG LAUNCHED / MINIMUM WAGE POLICY ANNOUNCED
Q3 MALAYSIANS RALLY AROUND PANDALELA AND CHONG WEI
EDUCATION BLUEPRINT POLARISE OPINIONS
PEOPLE-FRIENDLY BUDGET UNVEILED
Q4 SEX BLOGGER STUDENTS IN SINGAPORE VILLIFIED
LYNAS ALLOWED TO OPERATE / ETP IN FULL SWING YEAR 2
IMAGE OF VIRGIN MARY IN SUBANG, KLCI HITS ALL-TIME HIGH (1688)
2 21 DEC – WIDESPREAD DISTRUST IN MAYANS !
17
18. EXPERTS AND PEERS ARE STILL MOST TRUSTED, CEO & GOVERNMENT OFFICIAL LESS
CREDIBLE. THIRD PARTY VALIDATION BECOMES IMPORTANT
CREDIBLE SPOKESPEOPLE GLOBAL VS MALAYSIA
2013
2012 2013
Academic or expert 68% Academic or expert 69% 71%
Technical expert in the Technical expert in the
66% 67% 73%
company company
A person like yourself 65% A person like yourself 61% 69%
Regular employee 50% Financial or industry analyst 51% 63%
NGO representative 50%
NGO representative 51% 54%
Financial or industry analyst 46% 43%
Regular employee 50%
CEO 38% 55%
CEO 43%
Government official or
29%
regulator Government official or 48%
36%
regulator
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 ages 25-64 in 20 country global
18 total (excludes Argentina, Hong Kong, Malaysia, Singapore, Turkey and UAE) (only spokespeople tracked from 2012 to 2013 shown)
19. LEADERSHIP TRUST GAP
GAP IN TRUST IN INSTITUTION VS. TRUST IN LEADERSHIP
Trust in Business Trust Business Leaders to tell the Truth Trust in Government
Trust Government Leaders to tell the truth
50%
Global
18% -32
Global 41%
13%
-28
67%
China
32% 71%
-35 China 24% -47
68%
India 55%
34% India
-34 20%
-35
50%
US 38%
15% US
-35 10%
-28
42% 38%
Germany Germany
13% 6%
-29 -32
37% France 33%
France 8%
10% -27 -25
Malaysia 59%
64%
Malaysia 21% -38
26% -38
Q11 -14. 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
19 nine means that you 'trust them a great deal'. (Top 4 Box, Trust); Q144A-147A. [“To Tell the Truth Regardless of how Complex or unpopular it is”] How much do you trust business leaders to do the
following? Q144B-147B. [“To Tell the Truth Regardless of how Complex or unpopular it is”] How much do you trust government leaders to do the following? (Top Box, Trust A great Deal) General
Population
20. CRISIS IN LEADERSHIP – TRUST IN ETHICS AND MORALITY VERY LOW
MALAYSIANS’ TRUST BUSINESS AND GOVERNMENT LEADERS TO DO THE FOLLOWING:
BUSINESS LEADERS
35%
30% 29% 26%
SOLVE SOCIAL OR SOCIETAL ISSUES CORRECT ISSUES WITHIN MAKE ETHICAL AND MORAL TELL YOU THE TRUTH, REGARDLESS
INDUSTRIES THAT ARE DECISIONS OF HOW COMPLEX OR UNPOPULAR
EXPERIENCING PROBLEMS IT IS
GOVERNMENT LEADERS
27% 25% 28%
21%
SOLVE SOCIAL OR SOCIETAL ISSUES CORRECT ISSUES WITHIN MAKE ETHICAL AND MORAL TELL YOU THE TRUTH, REGARDLESS
INDUSTRIES THAT ARE DECISIONS OF HOW COMPLEX OR UNPOPULAR
EXPERIENCING PROBLEMS IT IS
Q144A-147A. [SPLIT SAMPLE] How much do you trust business leaders to do the following? (Top Box- Trust A great Deal) General Population in
20
Malaysia
22. 16 ATTRIBUTES TO BUILDING TRUST
ENGAGEMENT (59%)
LISTENS TO CUSTOMER NEEDS AND FEEDBACK
TREATS EMPLOYEES WELL
PLACES CUSTOMERS AHEAD OF PROFITS
COMMUNICATES FREQUENTLY AND HONESTLY ON THE STATE OF ITS BUSINESS
Edelman Trust Barometer research INTEGRITY (58%)
reveals 16 SPECIFIC ATTRIBUTES HAS ETHICAL BUSINESS PRACTICES
which build trust. TAKES RESPONSIBLE ACTIONS TO ADDRESS AN ISSUE OR CRISIS
HAS TRANSPARENT AND OPEN BUSINESS PRACTICES
These can be grouped into PRODUCTS & SERVICES (54%)
OFFERS HIGH QUALITY PRODUCTS OR SERVICES
FIVE PERFORMANCE CLUSTERS
IS AN INNOVATOR OF NEW PRODUCTS, SERVICES OR IDEAS
listed here in rank order of
importance. PURPOSE (47%)
WORKS TO PROTECT AND IMPROVE THE ENVIRONMENT
ADDRESSES SOCIETY’S NEEDS IN ITS EVERYDAY BUSINESS
CREATES PROGRAMS THAT POSITIVELY IMPACT THE LOCAL COMMUNITY
PARTNERS WITH NGOs, GOVERNMENT AND 3RD PARTIES TO ADDRESS SOCIETAL NEEDS
OPERATIONS (39%)
HAS HIGHLY-REGARDED AND WIDELY ADMIRED TOP LEADERSHIP
RANKS ON A GLOBAL LIST OF TOP COMPANIES
22 DELIVERS CONSISTENT FINANCIAL RETURNS TO INVESTORS
23. TRUST BUILDING ATTRIBUTES – LARGE GAP IN EXPECTATION VS. PERFORMANCE
BUSINESS IMPORTANCE VS. COMPANY PERFORMANCE – MALAYSIA
Gap
-23
Importance 60%
LISTENS TO CUSTOMER NEEDS AND FEEDBACK Performance 37%
-17
OFFERS HIGH QUALITY PRODUCTS OR SERVICES 59%
42%
59% -23
HAS ETHICAL BUSINESS PRACTICES
36%
58% -28
PLACES CUSTOMERS AHEAD OF PROFITS
30%
58% -26
HAS TRANSPARENT AND OPEN BUSINESS PRACTICES
32%
56% -24
TAKES RESPONSIBLE ACTIONS TO ADDRESS AN ISSUE OR A CRISIS
32%
COMMUNICATES FREQUENTLY AND HONESTLY ON THE STATE OF ITS 55% -26
BUSINESS 29%
TREATS EMPLOYEES WELL 54% -27
27%
WORKS TO PROTECT AND IMPROVE THE ENVIRONMENT 50% -17
33%
ADDRESSES SOCIETY'S NEEDS IN ITS EVERYDAY BUSINESS 50% -20
30%
CREATES PROGRAMS THAT POSITIVELY IMPACT THE LOCAL COMMUNITY IN 49%
WHICH THE COMPANY OPERATES 31% -18
DELIVERS CONSISTENT FINANCIAL RETURNS TO INVESTORS 47% -20
27%
IS AN INNOVATOR OF NEW PRODUCTS, SERVICES OR IDEAS 46% -12
34%
HAS HIGHLY-REGARDED AND WIDELY ADMIRED TOP LEADERSHIP 45%
27% -18
RANKS ON A GLOBAL LIST OF TOP COMPANIES, SUCH AS BEST COMPANIES 42%
TO WORK FOR OR MOST ADMIRED COMPANIES 31% -11
PARTNERS WITH NGOS, GOVERNMENT AND THIRD PARTIES TO ADDRESS 40%
SOCIETAL ISSUES 24%
-16
Q80-Q96. [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) General Population in Malaysia(excludes ‘Don’t
23 Know’ responses Q114-Q129. Please rate [INSERT COMPANY] on how well you think they are performing on each of the following attributes. Use a nine-point scale where one means they are
performing “extremely poorly” and nine means they are performing “extremely well”. (Top 2 Box, Performing Very/ Extremely Well) General Population in Malaysia
24. THE NEW DYNAMIC – DIAMOND OF INFLUENCE: INCLUSIVE MANAGEMENT
PYRAMID OF
AUTHORITY CEO
(Vertical) GOVERNMENT
FROM 2000 TO 2013
OFFICIALS
BOARD OF DIRECTORS
FEW MANY
ACADEMICS DICTATE CO-CREATE
TECHNICAL EXPERTS FIXED FLEXIBLE
ELITE MEDIA MONOLOGUE DIALOGUE
G E N E R A L P O P U L AT I O N CONTROL EMPOWERMENT
EMPLOYEES
ACTION CONSUMERS
Traditional
SOCIAL
ACTIVISTS
Search &
Content
PYRAMID OF
COMMUNITY
(Horizontal)
25. LESSONS FOR ALL LEADERS
Observe re-ordering of authority
Old values are not sufficient
Clear opportunity for collaboration
Trust is fragile and perceived behaviors are an anchor
25
26. On the cover credits: HSBC: REUTERS/ Bobby Yip; UBS: REUTERS/Luke MacGregor; Bob Diamond: REUTERS/ Luke MacGregor; Bo Xilai: REUTERS/ Cheryl Ravelo ; Lance Armstrong: by
Sebastian David Tingkæ r; Angela Merkel: REUTERS/ Sebastien Pirlet; Rajat Gupta: REUTERS/ Brendan McDermid; George Entwistle: Associated Press/ Rex Featu
