2. Informed Public
‣ 8 years in 20+ markets
‣ Represents 15% of total global population
‣ 500 respondents in U.S. and China; 200 in all other countries
Must meet 4 criteria:
‣ Ages 25-64
‣ College educated
‣ In top 25% of household income per age group in each country
‣ Report significant media consumption and engagement in business news
General Online Population
‣ 5 years in 25+ markets
‣ Ages 18+
‣ 1,150 respondents per country
Methodology
28-country global data margin of error: General Population +/-0.6% (N=32,200), Informed Public +/- 1.2% (N=6,200), Mass Population +/- 0.6% (26,000). Country-
specific data margin of error: General Population +/- 2.9 ( N=1,150), Informed Public +/- 6.9% (N = min 200, varies by country), China and U.S. +/- 4.4% (N=500),
Mass Population +/- 3.0 to 3.6 (N =min 740, varies by country), half sample Global General Online Population +/- 0.8 (N=16,100).
‣ 16 years of data
‣ 33,000+ respondents total
‣ All fieldwork was conducted between
October 13th and November 16th, 2015
Online Survey in 28 Countries
Mass Population
‣ All population not including Informed Public
‣ Represents 85% of total global population
2
3. Trust in Retrospect
3
Rising Influence
of NGOs
2001
Business Must
Partner with
Government to
Regain Trust
2009
Fall of the
Celebrity CEO
2002
Earned Media
More Credible
Than Advertising
2003
U.S. Companies
in Europe Suffer
Trust Discount
2004
Trust Shifts from
“Authorities” to
Peers
2005
“A Person Like
Me” Emerges as
Credible
Spokesperson
2006
Business More
Trusted Than
Government
and Media
2007
Young Influencers
Have More Trust
in Business
2008
Trust is Now an
Essential Line
of Business
2010
Rise of
Authority
Figures
2011
Fall of
Government
2012
Crisis of
Leadership
2013
Business to
Lead the Debate
for Change
2014
Trust is
Essential to
Innovation
2015
Growing
Inequality
of Trust
2016
4. 76
67
61
50
41
27
51
38
36
37
23
21
Trust Matters
Source: 2016 Edelman Trust Barometer Q371-589. Thinking back over the past 12 months, have you taken any of the following actions in relation to companies
that you trust? Please answer yes or no to each action. General Population, Malaysia, question asked of half the sample. Q377-380. Still thinking about the past 12
months, have you taken any of the following actions in relation to companies that you do not trust? Please answer yes or no to each action. General Population,
Malaysia, question asked of half the sample.
4
Percent who engage in each behavior based on trust
Behaviors for Distrusted Companies Behaviors for Trusted Companies
Refused to buy products/services
Criticized companies
Shared negative opinions
Disagreed with others
Paid more than wanted
Sold shares
Chose to buy products/services
Recommended them to a friend/colleague
Shared positive opinions online
Defended company
Paid more
Bought shares
most trusted
content creators:#1
Friends and
Family
most trusted
media source:#1
Online Search
Engines
General
Population
6. 49 Ireland
47 Turkey
46 Sweden
42 Poland
42 Russia
41 Japan
49 Australia
49 Italy
49 U.S.
47 Hong Kong
46 Spain
45 S. Africa
42 Germany
42 S. Korea
42 U.K.
41 France
41 Ireland
41 Turkey
39 Russia
38 Japan
37 Sweden
35 Poland
73 China
66 UAE
65 India
64 Singapore
62 Indonesia
60 Mexico
82 China
78 India
74 UAE
72 Mexico
72 Singapore
70 Indonesia
64 U.S.
63 Australia
63 Canada
62 Netherlands
61 Colombia
56 Canada
55 Colombia
52 Netherlands
51 Argentina
51 Malaysia
50 Brazil58 Brazil
58 Italy
58 Malaysia
57 U.K.
55 France
54 S. Africa
53 Argentina
53 Spain
52 Hong Kong
51 Germany
50 S. Korea
Trust Index:
General Population
Lags
Average trust in institutions,
Informed Public vs.
General Population, 2016
Nearly 6 in 10
countries are
distrusters among the
General Population
The Trust Index is an average of a country’s trust in the
institutions of government, business, media and NGOs.
28-country global total.
Informed
Public
General
Population
60 Global 50 Global
6
Trusters
Neutrals
Distrusters
7. 55 Global 60 Global
82 China
78 India
74 UAE
72 Mexico
72 Singapore
70 Indonesia
64 U.S.
63 Australia
63 Canada
62 Netherlands
61 Colombia
84 UAE
79 India
78 Indonesia
75 China
65 Singapore
64 Netherlands
49 Ireland
47 Turkey
46 Sweden
42 Poland
42 Russia
41 Japan
48 Italy
48 S. Africa
47 Hong Kong
47 S. Korea
46 U.K.
45 Argentina
45 Poland
45 Russia
45 Spain
45 Sweden
40 Turkey
37 Ireland
37 Japan
58 Brazil
58 Italy
58 Malaysia
57 U.K.
55 France
54 S. Africa
53 Argentina
53 Spain
52 Hong Kong
51 Germany
50 S. Korea
59 Brazil
59 Mexico
56 Malaysia
53 Canada
52 Australia
52 France
52 U.S.
50 Germany
Trust Index:
Informed Public
Drives Rebound
Average trust in institutions,
Informed Public, 2015 vs. 2016
2015 2016
Informed Public
trust up 5 points
Trusters from 22% in
2015 to 39% in 2016
Distrusters from 48%
in 2015 to 21% in 2016
Trusters
Neutrals
Distrusters
7
The Trust Index is an average of a country’s trust in the
institutions of government, business, media and NGOs.
27-country global total.
8. 49 Australia
49 Italy
49 U.S.
47 Hong Kong
46 Spain
45 S. Africa
42 Germany
42 S. Korea
42 U.K.
41 France
41 Ireland
41 Turkey
39 Russia
38 Japan
37 Sweden
35 Poland
73 China
66 UAE
65 India
64 Singapore
62 Indonesia
60 Mexico
57 Mexico
55 Canada
55 Colombia
52 Netherlands
50 Argentina
50 Malaysia
48 Brazil
47 Australia
47 Italy
46 Hong Kong
45 U.S.
44 S. Africa
44 Spain
42 Germany
40 S. Korea
40 U.K.
39 France
39 Ireland
39 Russia
39 Turkey
38 Japan
36 Sweden
34 Poland
71 China
65 UAE
62 India
62 Indonesia
62 Singapore
56 Canada
55 Colombia
52 Netherlands
51 Argentina
51 Malaysia
50 Brazil
Trust Index:
Mass Population
Left Behind
Average trust in institutions,
Informed Public vs. General
Population vs. Mass Population
For the mass
population,
17 of 28 countries
are distrusters
The Trust Index is an average of a country’s trust in the
institutions of government, business, media and NGOs.
28-country global total.
General
Population
Mass
Population
50 Global 48 Global
49 Ireland
47 Turkey
46 Sweden
42 Poland
42 Russia
41 Japan
82 China
78 India
74 UAE
72 Mexico
72 Singapore
70 Indonesia
64 U.S.
63 Australia
63 Canada
62 Netherlands
61 Colombia
58 Brazil
58 Italy
58 Malaysia
57 U.K.
55 France
54 S. Africa
53 Argentina
53 Spain
52 Hong Kong
51 Germany
50 S. Korea
Informed
Public
60 Global For the mass
population, the
global index falls into
distruster territory
8
Trusters
Neutrals
Distrusters
9. 59 60
46 46
61 58
45
39
67 67
46 45
71 67
59
34
Trust in Malaysia
Source: 2016 Edelman Trust Barometer 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 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, Trust) Informed Public
and General Population, Malaysia
9
Percent trust in the four institutions of
government, business, media and NGOs, 2015 vs. 2016
Informed
Public
General
Population
NGOs Business Media Government
+4 0 +13 -11
2015 2016
+2 -2 -1 -7
10. 68
76 75
67
71
58
65 65
59
61
49
60
54
45
34
52
59
51
46
39
2012 2013 2014 2015 2016
65 63
72
67 67
58
64
62 60 58
2012 2013 2014 2015 2016
Source: 2016 Edelman Trust Barometer 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 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, Trust) Informed Public
and General Population, Malaysia
10
Percent trust in the four institutions of government, business, media and NGOs, 2012 vs. 2016
47
60
59
46
59
46
58
51
46 45
NGO’s
Government
Media
Business
A five year view of Malaysia
Informed
Public
General
Population
11. 50%
41
75
68
47
51
37
44
41
35 36
34
30
28
22
27
23
15 16
83
68
65
51
48
40
46
27
32
23
42
79
74
53 53
45 45
42
39 39
36 35
32 32
30
26 26
16
32
80
65
58
49
45
39 39
24
21
19
Global27
China
Singapore
Canada
Russia
Australia
HongKong
Turkey
US
Japan
UK
SouthKorea
Mexico
Ireland
Italy
Argentina
Spain
SouthAfrica
Colombia
UAE
India
Indonesia
Netherlands
Sweden
Germany
Malaysia
France
Brazil
Poland
Government Increases Slightly Worldwide
Source: 2016 Edelman Trust Barometer Q11-14. [GOVERNMENT IN GENERAL] Below is a list of institutions. For each one, please indicate how much you trust
that institution to do what is right using 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, Trust) General Population, 27-country global total.
11
Percent trust in government, General Population, 2015 vs. 2016
General
Population
Increased/equal trust in 17 countries
+10 +11 -11
2015 2016
12. 50%
55
46
19 21
28
48
41
45
42
47
44
57
46
50
46
63
52
49
58 55 55
51
69
62 64
73 73
79 81
87
47
37
15
20
24
31 31 33 33 34 34
36 36 37
39
45 46 47 49 49 49
57
64 64 65
69 70
74
81 83
Global
GDP5
Japan
France
Germany
U.K.
Australia
Italy
S.Korea
Netherlands
Sweden
Poland
HongKong
Canada
Russia
U.S.
Singapore
Turkey
Ireland
S.Africa
Spain
Malaysia
Mexico
Argentina
Brazil
China
UAE
Indonesia
Colombia
India
In 19 of 28 countries, less than half of Mass Population
think they will be better off in five years
Malaysia More Optimistic than the majority of countries
Source: 2016 Edelman Trust Barometer Q445. Thinking about the economic prospects for yourself and your family, how do you think you and your family will be doing
in five years' time? (Top 2 Box, ‘Much better off than today,’ and ‘Somewhat better off than today.’) Informed Public and Mass Population, 28-country global total.
GDP 5 = U.S., China, Japan, Germany, U.K. 12
Percent of the Informed Public vs. Mass Population who
believe they and their families will be better off in five years’ time Informed
Public
Mass
Population
17 10 12 13 10 21 10 13 18
14. 50%
45
64
55
48
52
54
51
45
41 42
39
41 41
34
31 30
33
28
18
70
68
62
50
46 45
39
42
38
47
73
60
58
55 55 54 53
50 49
47
45
43 42
39 38
36
31
23
55
63 63
59
47
45 44
38 38
34
Global
China
Singapore
Mexico
Canada
Netherlands
Brazil
Argentina
Italy
Spain
US
SouthAfrica
SouthKorea
Australia
Ireland
Japan
UK
Sweden
Turkey
Colombia
India
Indonesia
UAE
HongKong
Malaysia
Germany
France
Russia
Poland
Media Increases
Source: 2016 Edelman Trust Barometer Q11-14. [MEDIA IN GENERAL] Below is a list of institutions. For each one, please indicate how much you trust that
institution to do what is right using 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, Trust) General Population, 27-country global total.
14
Percent trust in media, General Population, 2015 vs. 2016
General
Population
+10
Increased trust in 18 countries
2015 2016
15. Power of Peer-Driven Media
Source: 2016 Edelman Trust Barometer - How often do you read, view, click on or engage with the following types of content, media or information sources? Online
search engines, such as Google… (Q285), Television news and information (Q287), Social networking sites, such as Facebook, LinkedIn, Instagram, Twitter,
etc.(Net of Q278 Social Networking, Q279 Blogs, Q289 Online message boards, forums or newsgroups), articles in printed newspapers (Q284), articles in printed
magazines(Q283), Blogs (Q279) (Several times a week+) General Population, Malaysia, question asked of half the sample.
15
Percent who use each media source several times a week or more
General
Population
81
77
68
56
41
41
Social
Search
TV
Newspapers
Magazines
Blogs
2 of top 3 most-used
sources of news and
information are peer-
influenced media
16. Millennials Peer-Driven Media
Source: 2016 Edelman Trust Barometer Q278-597 How often do you read, view, click on or engage with the following types of content, media or information
sources? Online search engines, such as Google… (Q285), Television news and information (Q287), Social networking sites, such as Facebook, LinkedIn,
Instagram, Twitter, etc.(Net of Q278 Social Networking, Q279 Blogs, Q289 Online message boards, forums or newsgroups), articles in printed newspapers (Q284),
articles in printed magazines(Q283), Blogs (Q279) (Several times a week+) General Population Millennials (aged 21-34), Malaysia, question asked of half the
sample.
16
Percent who use each media source several times a week or more, 2015 vs 2016
General
Population
85
82
66
60
42
39
83
81
62
49
46
37
Social
Search
TV
Newspapers
Blogs
Magazines
2015 2016
2 of top 3 most-used
sources of news and
information are peer-
influenced media
17. 57
61
59
57
4949
56
54
49
52
51
59
56
49
42
64
70 69
66 66
52
58
56
52
47
2012 2013 2014 2015 2016
Trust across the Media Landscape
Source: 2016 Edelman Trust Barometer 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 nine-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 and Millennials, Malaysia, question asked of half the sample.
Trust in each source for general news and information
*From 2012-2015, we included Online Search Engines as a media type. In 2016, we changed to Search Engines.
**From 2012-2015, we included Hybrid as a media type. In 2016, we changed this over to Online-Only.
Millennials
even more trusting
of digital media than
general population
Industry Millenials Gap
Search Engines* 69% 3
Online-only Media** 58% 6
Traditional Media 52% 3
Owned media 52% 5
Social media 44% 2
General
Population
18. 67 66
59
52
47 49
52 52
27
35
74 73
68
57
53
49
45
40
32 30
My friends
and family
An academic
expert
Companies
that I use
A company
CEO
Elected
officials
Employees of
a company
A well-known
online
personality
A journalist Companies
[brands] I
don’t use
Celebrities
Every Voice Matters
Source: 2016 Edelman Trust Barometer Q598-609. Thinking about the information you consume, how much do you trust the information from each of the following
authors or content creators? (Top 4 Box, Trust) General Population, Malaysia, question asked of half the sample.
18
Percent who trust information created by each author on social networking
sites, content sharing sites and online-only information sources, 2015 vs. 2016 2015 2016
General
Population
+9
50%
19. 70 69
62
51
55
53
50
41 40
69
67
58 57 56
51
43
37
35
Peers More Credible than Leaders
Source: 2016 Edelman. Trust Barometer Q130-587. 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) General Population, Malaysia, question asked of half the sample.
19
Percent who rate each spokesperson as extremely/very credible
2015 2016
+6
Technical
Expert
Academic
Expert
A person
like
yourself
Financial
Industry
Analyst
EmployeeCEO NGO
representative
Board of
Directors
Government
official/regul
ator
Person like yourself
credibility
increased the most
General
Population
20. 20
“This year’s data reinforces the trusted role that search and social technology platforms play in taking
a fragmented landscape of published content and re-aggregating it in a fashion that often directly
reflects an individual’s worldview. The data reinforces the need to build integrated communications
programs that map the total journey stakeholders take to consume information.”
Steve Rubel
Chief Content Strategist
21. Influence
The Inversion of
Influence
21
Influence
& Authority
Authority
Old Model
‣ Elites have access
to more/better
information
‣ Elites’ interests
interconnected with
those of mass
‣ Becoming an “elite”
open to all
New Reality
‣ Peer-to-peer influence
more powerful than top-
down
‣ Increasing distrust
among mass population
‣ Mass movements based
on dissatisfaction and
urgency
The Divide
‣ Democratization of
information and more
information
‣ High-profile revelations
of greed and
misbehavior
‣ Income inequality
22. The Inversion of Influence
22Source: 2016 Edelman Trust Barometer 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 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, Trust) Informed Public
and Mass Population, Malaysia.
Mass
Population
Authority
& Influence
Influence
Authority
85%
of
population
50 Trust Index
15%
of
population
58 Trust Index
Informed
Public
24. 50%
Source: 2016 Edelman Trust Barometer Q11-14. [BUSINESS IN GENERAL] [GOVERNMENT IN GENERAL] Below is a list of institutions. For each one, please
indicate how much you trust that institution to do what is right using 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, Trust) General Population, 27-country global total.
GDP 5 = U.S., China, Japan, Germany, U.K.
48 47
64
70
58
68
65
59 56 57
48
51
43
46
51
36
44
30
46
36
40
32
42
38 36 37
30
60
57
53
50
76
71 70 69 67
64
60 60
57 56
53
52 51
48 46 46 46
43 43 42 42
39 38 38
33
58 56
Global27
GDP5
Mexico
Indonesia
China
India
UAE
Brazil
S.Africa
Singapore
Italy
Canada
Argentina
Australia
U.S.
Spain
UK
France
Sweden
Ireland
Japan
Turkey
Germany
HongKong
Poland
Russia
S.Korea
Malaysia
Netherlands
Global Increase in Business Trust
24
Percent trust in business, General Population, 2015 vs. 2016
Increased or equal trust in business in 26 countries
+12 +12 +10 +12 +16 +10
General
Population
2015 2016
25. 50%
55%
60%
65%
70%
75%
80%
85%
90%
Sector Trends:
Financial Services Rebounds
Source: 2016 Edelman Trust Barometer Q45-429. 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) General Population, Malaysia
*From 2012-2014, Pharma included as subsector(Q61f-65f).
**From 2012-2015, Pharma included as an industry sector (Q43-60). 2012-2014 data recalibrated as a sector.
Trust in each industry sector, 2012 - 2016
2012 2013 2014 2015 2016
Industry 2012 2013 2014 2015 2016
5 yr.
Trend
Technology 80% 85% 81% 83% 81% 1
Pharmaceutical 66% 73% 67% 70% 81% 15
Automotive 70% 79% 76% 79% 74% 4
Telecommunications 73% 81% 72% 75% 71% 2
Food & Beverage 69% 76% 69% 69% 68% 1
Energy 65% 75% 69% 69% 68% 3
Financial Services 67% 72% 69% 67% 67% 0
Consumer Packaged Goods 59% 69% 64% 69% 64% 5
General
Population
25
26. 78
70 68
64 66
58
62
58
63
55 55
45
42
33 33 31
80
72 71 70 69
65 64 63 61 61
57 57
47
39 38 37
28
Japan
UK
Australia
Germany
Switzerland
SouthKorea
Sweden
Canada
France
US
Italy
Netherlands
Spain
China
India
Brazil
Mexico
2015 2016
50%
Trust in National Identity of Companies Mainly Unchanged
Q26-422. [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”. [RANDOMIZE.
SELECT ONE RESPONSE]
Trust in companies based on country of origin, 2015 - 2016 General
Population
Significant Increase
27. 71
67
59
34
66
77
64
39
61
58
45
39
63
68
54
41
NGOs Business Media Government
Business Most Trusted to Keep Pace
Source: 2016 Edelman Trust Barometer 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 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, Trust) Q441-444 Below
is a list of institutions. For each one, please indicate how much you trust that institution to keep up with the changing times using a 9-point scale where one means
that you “do not trust them at all to keep up with change” and nine means that you “trust them a great deal to keep up with change”. (Top 4 Box, Trust) Informed
Public and General Population, Malaysia.
27
Percent trust, and percent who trust each institution to keep up
with the changing times, 2016
Informed
Public
General
Population
Trust Trusted to
keep pace
Business in the lead
28. Business Must Lead to Solve Problems
Source: 2016 Edelman Trust Barometer Q249. Please indicate how much you agree or disagree with the following statement? (Top 4 Box, Agree). General Population,
Malaysia, question asked of half the sample.
.
85% agree
“A company can take
specific actions that both
increase profits and improve
the economic and social
conditions in the community
where it operates.”
up from 78% in 2015
General
Population
28
29. Purpose Impacts Trust
Percent who cite each as a reason for why their trust in business has increased or decreased
Source: 2016 Edelman Trust Barometer Q328-329. For which of the following reasons, if any, has your trust in each institution listed below increased over the past year? Q330-331. For which
of the following reasons, if any, has your trust in each institution listed below decreased over the past year? General Population, Malaysia
Reasons Trust in
Business Has Increased
Reasons Trust in
Business Has Decreased
Produces
economic growth
Contributes to the
greater good
Productive member of
society
Lacks economic growth
Provides few public
services
Fails to contribute
to the greater good
62%
55%
45%
46%
42%
41%
General
Population
29
30. Access to education/training
Address income inequality
Access to healthcare
Protecting/improving the environment
Reducing poverty
Supporting human & civil rights
Modern infrastructure
E
E
P
H
Source: 2016 Edelman Trust Barometer Q561-573 Thinking about businesses in your country, how important is it that they play a role in solving each of the following societal issues?
Please use a nine-point scale where one means that it is “not at all important” and nine means that it is “extremely important”. (Top 4 Box, Importance) General Population, 28-country
global total, question asked of one quarter the sample.
Societal
Expectations
Vary
30
Most important issue for
business to address in
each country
Canada
Brazil
Germany
France
China
U.S.
Poland
Argentina
Sweden
Mexico
U.K.
Ireland
Netherlands
Turkey
Singapore
Hong Kong
Malaysia
Colombia
Japan
Australia
Russia
S. Korea
Italy
Spain
Indonesia
UAE
S. Africa
India
General
Population
R
I
I
E
E
R
H
E
E
E
E
E
P
P
E
H
P
E
H
H
H
E
E
E
E
E
P
I
H
E
I
31. Purpose and Profits Matter
Source: 2016 Edelman Trust Barometer Q496-506. How visible do you think a CEO should personally be in these different types of business situations? Please
use a 9-point scale where one means that it is “not visible at all” and nine means that it is “extremely visible”. (Top 4 Box, Visible) General Population, Malaysia,
question asked of half the sample.
31
Percent who agree that CEOs should be personally visible in discussing…
80%
Societal
Issues
‣ Income inequality
‣ Public policy discussions
‣ Personal views on
societal issues
72%
Financial
Results
General
Population
32. Company NOT
engaged in
societal issues
Company
engaged in
societal issues
Employee Advocacy Increases
With Societal Issue Engagement
32
Percent who agree with each statement, comparing those who work at
companies/for CEOs involved in addressing broader societal issues vs.
those who do not
58
66
73
68
78
73
85
Recommend company as an employer
Stay working for the company
Recommend products and services to
others
Confidence in the future of the company
Committed to achieving our strategy
Motivated to perform
Do the best possible job for the customer
Impact of
Company
Engagement
4
16
9
19
12
18
25
89
89
87
87
85
84
83
General
Population
Source: 2016 Edelman Trust Barometer Q527-529. Does your company and your company’s CEO get involved in addressing broader societal issues beyond the
core business, through programs or relationships with other companies? Q530-536. Thinking about your current company, please indicate how much you agree
with each of the following statements using a 9-point scale where one means that you “strongly disagree” and nine means that you “strongly agree”. (Top 4 Box,
Agree) General Population, Malaysia, question asked of half the sample.
33. 65
60
40
48 48 50
54 55 56
57 58 59 60 62 62 63 64 64 64
72 73 76 76 77 77 78 79
83 85
89
Global
GDP5
Japan
Russia
France
Sweden
Australia
S.Korea
Poland
U.K.
Italy
HongKong
Ireland
Germany
Netherlands
Spain
Turkey
Canada
U.S.
S.Africa
Singapore
Malaysia
UAE
Indonesia
Brazil
Argentina
China
India
Colombia
Mexico
50%
Malaysian Employees More Trusting
Source: 2016 Edelman Trust Barometer Q525-526. Thinking about your own company and other companies in your industry, please indicate how much you trust
each to do what is right using 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,
Trust) General Population, 28-country global total.
GDP 5 = U.S., China, Japan, Germany, U.K.
33
Percent who trust the company for which they work
TrustedNot Trusted
General
Population
34. Integrity 38% 56% 18
Has Ethical Business Practices 39% 57% 18
Takes Responsible Actions To Address An Issue Or A Crisis 36% 53% 17
Has Transparent And Open Business Practices 40% 57% 17
Engagement 38% 55% 17
Treats Employees Well 38% 56% 18
Listens To Customer Needs And Feedback 38% 57% 19
Places Customers Ahead Of Profits 37% 54% 17
Communicates Frequently And Honestly On The State Of Its Business 39% 54% 15
Products 38% 50% 12
Offers High Quality Products Or Services 41% 59% 18
Is An Innovator Of New Products, Services Or Ideas 35% 41% 6
Purpose 33% 46% 13
Works To Protect And Improve The Environment 34% 50% 16
Creates Programs That Positively Impact The Local Community 34% 47% 13
Addresses Society's Needs In Its Everyday Business 33% 47% 14
Partners With NGOs, Government And Third Parties To Address Societal Issues 29% 39% 10
Operations 34% 43% 9
Has Highly-Regarded And Widely Admired Top Leadership 33% 44% 11
Ranks On A Global List Of Top Companies, Such As Best To Work For Or Most Admired 31% 39% 8
Delivers Consistent Financial Returns To Investors 37% 46% 9
Trust Building
Source: 2016 Edelman Trust
Barometer Q80-95 How important is
each of the following attributes to
building your TRUST in a company?
Use a 9-point scale where one means
that attribute 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,
Importance) 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,
Performance) General Population,
Malaysia.
Company Importance vs. Performance
ImportancePerformance Gap
General
Population
34
35. 31
36
20
35
32
42
34
37 37
34
49
40
32
29
49
27 28
32
21
28 29
25 26
18
23
20
18
25
19 19
3
6 6
14
10 9
Employees Are Essential Advocates
Source: 2016 Edelman Trust Q610 Who do you trust MOST to provide you with credible and honest information about a company's financial earnings and operational performance, and top leadership’s accomplishments? Q611 A company’s
business practices and handling of a crisis: Who do you trust MOST to provide you with credible and honest information about a company’s business practices, both positive and negative, and its handling of a crisis? Q612 Who do you trust MOST
to provide you with credible and honest information about a company’s employee programs, benefits and working conditions, and how a company serves its customers and prioritizes customer needs ahead of company profits? Q613 Who do you
trust MOST to provide you with credible and honest information about a company’s partnerships with NGOs and effort to address societal issues, including those to positively impact the local community? Q614 Who do you trust MOST to provide
you with credible and honest information about a company’s innovation efforts and new product development? Q615 Who do you trust MOST to provide you with credible and honest information about a company’s stand on issues related to the
industry in which it operates? General Population, Malaysia, question asked of half the sample.
35
Most trusted spokesperson to communicate each topic
Innovation effortsFinancial earnings &
operational
performance
Business practices/
crisis handling
Treatment of
employees/customer
Partnerships/
Programs to address
societal issues
Views on
industry issues
Employees Most Trusted
General
Population
Company CEO
Senior executive
Employee
Activist consumer
Academic
Media spokesperson
37. CEO Focus Misplaced
Source: 2016 Edelman Trust Barometer Q451-461. Thinking about CEOs, how strongly do you agree or disagree with the following statements? (Top 4 Box, Agree/Bot 5 Box, Disagree)
General Population, Malaysia [‘CEOs do too much lobbying,’ ‘CEOs can be trust to create jobs,’ ‘Given that the average tenure of CEOs is just 4 years, CEOs aren’t in their role long enough to
make a positive impact,’ ‘CEOs are too focused on short-term financial results,’]
37
Percent who agree with each statement about CEOs
Too Much
Focus on short-term
financial results59%
Lobbying57%
Not Enough
Job creation38%
Positive
long-term impact61%
General
Population
38. 67%
73%
81%83%
Their education and
how it shaped them
Their personal
success story
The obstacles
they have overcome
Their personal values
Personal Values and History Matter
Source: 2016 Edelman Trust Barometer Q507-514. Thinking about how a CEO communicates with a variety of groups and individuals, how important are each of the following activities a CEO could engage in? Please
use a 9-point scale where one means that attribute is “not at all important to building your trust” and nine means it is “extremely important to building your trust”. (Top 4 Box, Important) General Population, 28-country
global total, question asked of half the sample. [Media Engagement net = Q507 ‘Interviews with the media,’ and ‘Q512 ‘Sharing their views on a blog or on social media.’ Direct Engagement net = Q508 ‘Communications
with employees,’ and ‘Participation in industry conferences.’] Q516-524. For you to trust a CEO, how important is it that you have information on each of the following aspects of the CEO’s personal life outside of their
business? Please use a 9-point scale where one means that attribute is “not at all important to building your trust” and nine means it is “extremely important to building your trust. (Top 4 Box, Important) General
Population, Malaysia, question asked of half the sample.
Percent who agree that each type of information
is important in building trust in a CEO
General
Population
38
39. 76
67
61
50
41
27
51
38
36
37
23
21
Trust Matters
Source: 2016 Edelman Trust Barometer Q371-589. Thinking back over the past 12 months, have you taken any of the following actions in relation to companies
that you trust? Please answer yes or no to each action. General Population, Malaysia, question asked of half the sample. Q377-380. Still thinking about the past 12
months, have you taken any of the following actions in relation to companies that you do not trust? Please answer yes or no to each action. General Population,
Malaysia, question asked of half the sample. 39
Percent who engage in each behavior based on trust
Behaviors for Distrusted Companies Behaviors for Trusted Companies
Refused to buy products/services
Criticized companies
Shared negative opinions
Disagreed with others
Paid more than wanted
Sold shares
Chose to buy products/services
Recommended them to a friend/colleague
Shared positive opinions online
Defended company
Paid more
Bought shares
most trusted
content creators:#1
Friends and
Family
most trusted
media source:#1
Online Search
Engines
General
Population
Notas del editor
Hello everyone.
Welcome. Thanks for coming.
IT
IT
IT - Trust is not an abstract concept or an afterthought. It is directly linked to how people behave. Your credibility determines whether people consume your products, services and message or choose an alternative. In the all-important realm of social media, trust determines whether they will recommend and defend you or be your harshest critics.
Trust may even matter more in Malaysia than elsewhere…..
Choose to buy: 76 Vs 68 (global figure)
Recommended them to a friend/colleague: 67 Vs 59 (global figure)
Shared positive opinions online: 61 Vs 41 (global figure)
IT - So what do this year’s results tell us about the state of trust in 2016?
IT – choose data points. But among the General Population, things look very different. Compare the chart on the right to that on the left: instead of just a handful of distrusters for Informed Public, 60% of the General Population are distrusters, even where economies are good.
For example, look at the difference in the U.S. 64% of Informed Public say they’re trusting; while only 49% Gen Pop thinks that. Also notice that all the trusting countries for general population are in Asia.
It’s as if you’re looking through the world through two different sets of glasses.
IT - Even in a year where we have had profound change and many high-profile scandals (FIFA’s leadership ousted, leadership of Brazil’s biggest bank arrested, Germany’s Deutsche Bank issues) -- even with these, the number of distrusting countries fell substantially among Informed Publics vs. last year and previous years. Overall, Informed Public trust is up 5 points, and the number of truster countries has increased from just a handful to nearly 40% of the total.
=====
Country Insights:
China: Trust still up +7 despite Q3 2015 market crash
Communist Party in October 2015 outlines a new development approach, with a focus on innovation and reassured the public that market fundamentals and reforms are on track = gov’t proactive in shaping public’s perceptions through formalized agendas
Growing start-ups with tremendous VC support
Local MNCs doing well with Alibaba, Tencent, Huawei and Lenovo
Government has enabled shared economy infrastructure and business
People have mixed feelings on hidden government intervention to protect shareholders/investors translating into public economic “rescue”
No major corruption scandals due to gov’t efforts
Psychological disposition of people
Booming internet + technology enhancing consumer experience- elevating consumption
Expectation for media to “do the right thing”
UAE: Drop is economic driven: prospect of long-term depressed oil prices and unknown economic consequences NOT a drop in trust in government ; still remains the among the most trusting environments
Reflects the broader macroeconomic story in the region
Uncertainly over the regional conflicts (KSA, Iran) has affected public confidence on geo political stability
Italy: Among distrusters last year, now in neutral zone
Driven by economic recovery, though slow, forecasting higher growth rate in 2016
Exports driving economic growth
Benefiting from success of Expo 2015 in Milan
Reforming attitudes driven by PM Matteo Renzi, who initiated a constitutional reform resulting in a referendum and Jobs Act that changed labor market’s legislative infrastructure- well received in business segments
Unemployment down to 11.5% vs. 13% in 2015
Higher trust in media driven by expose, Mafia Capitale, which uncovered the corruption scandal in Rome
Australia: surprise to Australians- with new power regime: The Turnbull Effect
New PM brought a fast economic rebound- but now public wants more tangible results
New administration is cited as the core reason behind the sustainability of booming real estate sector
Banks and business sector are confident despite commodities crash, turmoil in China (AUS’ major trading partner)
Experiencing strong economic position,:
Effects felt more with informed public: higher property values
Employment levels within skilled/tertiary educated workers remained high with big demand for professional work force
All driving a more positive outlook and linked with higher personal wealth levels and higher pension funds
UK: turning to conservative economic policies and no opposition to new Conservative party
Strong economic performance
geographically insulated from immigration crisis/China crash/terrorism
Not seen any larger scandals
Business has a positive role to play in social and economic development: has become a channel for positive government initiatives
IT - The difference is even more profound when you look at the Mass Population—that segment of the General Population that does not include the Informed Public. The global Index for the mass population falls into distruster territory as 17 of 28 – more than half– of countries are distrusters
These distrusters include nearly all European countries, the US, and other significant economies from around the world.
While the Informed Public is becoming more trusting, the mass population is being left behind.
RK – NGO & Govt story.
NGOs are most trusted across the world and the same is true in Malaysia.
Business trust continues to rise globally but is static or marginally declining in Malaysia. Malaysia saw one of the highest increases in trust in media in the region for informed publics.
And Government continues to be the least trusted of the four institutions around the world, and that is again true in Malaysia.
RK – Trend and implications.
GE13 gave bump.
Anomaly in media.
Trust in business, media and government is falling as the general population of Malaysians grow weary of scandals and how they have been handled. That’s the bad news from the Edelman Trust Barometer 2016. The good news is that it can be fixed – if chief executives and senior officials step up with more transparency and greater commitment to tackling broader social challenges.
RK/IT –
Globally, Govt is the least trusted of the four main institutions of society.
SIN/AUS data points. Election bumps. And we saw that in Malaysia in 2013 too.
Malaysia is in the top half of trust in govts. across all countries we surveyed.
Context – everything is relative.
RK – Good news Malaysia. What I’d call the ‘Happy Chart’
Repeat Q. Thinking about the economic prospects for yourself and your family, how do you think you and your family will be doing in five years' time? (Top 2 Box, ‘Much better off than today,’ and ‘Somewhat better off than today.’)
In Malaysia we’re in top one-third of all countries for optimism. And that optimism is driven by Mass more than informed publics.
There is concern around future expectations among the global audience.
In more than two-thirds of the nations surveyed, the mass population believe they will not be better off in five years’ time, while more than half of informed publics are optimistic about their future economic prospects.
RK - Trust can be built or eroded in many ways but understanding the impact of Peer to Peer on trust in Malaysia is worth exploring. How we consume information, how much we trust that information and who gives it to us, is changing. If you’re in the business of communication we need to adapt.
Media in high trust mkts: role is not the 4th Estate – it’s to help guide the country in developing (good news stories and nation building – China & UAE)
Rebound in certain markets where it is already performing the role of 4th estate – UK, US & Aus
A watch out! – globally trust in media on rise but ½ in rooms like this one don’t trust media
RK - This shift in influence is created in great part by the dramatic changes in where people go for news and information. If you look at the most-frequently referenced media sources, you can see that 2 of the top 3 are peer-driven media: social, and search, where the behavior of other search engines and users own profiles will affect the rankings of the results you see.
Small dips across the board for Millenials, with exception of Blogs.
Newspapers down 11 points.
RK –
1 No channel is a massive winner.
2 Search engines an aggregation of all others
3 Unpack social in a minute…..
As we know, fragmentation and re-aggregation means the media landscape is changing dramatically. Today, it is no longer enough to rely on traditional media for your message to be heard: you have to be everywhere that your stakeholders are.
The most used media (social) is also the least trusted in Malaysia. Malaysians are now much less trusting of content shared on social media, with a seven-point drop to 42 percent that could be the result of rampant sharing of misinformation online in the past year.
Trust in Traditional media dropped to 49—a significant decline over the last year.
As doubts about traditional and social media rise, search engines held their lead as the most trusted source for information at 66 percent – largely because people have more control over what they read and see.
Note that this year owned media—a company’s own channels—has surpassed social media in terms of trust.
And for millennials, these trends are even more pronounced, with millennials indexing even higher in their trust of digital media platforms.
We consume a lot of social content.
We wanted to know how much do you trust the information from each author or content creator.
Trust in content created by “friends and family” saw a 7-point jump from last year, keeping peers just ahead of academic experts as most trusted digital content creators.
Trust in content created by “companies that I use” had the most significant increase. And with the increased trust in CEOs being seen as more credible content creators and the earlier rise in trust in owned media,…. this creates a remarkable opportunity for companies to connect with stakeholders directly.
Watch out if you’re using celebrities (mindful of ROI)
And if you’re a company they don’t use, don’t spam.
RK – Here we’re talking about the credibility of the spokesperson.
From an academic expert to the board of directors there’s a whole village of credible people.
The latest survey shows a significant six-point jump in trust of peers or “a person like me” as credible spokespeople, eclipsing CEOs for the first time and reflecting the way people in Malaysia increasingly share and weigh information and opinions online.
The main question to ask though, is how many of you have a diversified bench that you’re regularly using? Both from within your first team but also from within the fan base?
IT
IT – 1. the divide, 2 the old model and 3 new reality….
Today, peer influence is more powerful than top-down influence, and there is an increasing distrust and sense of dissatisfaction among the mass population.
This has led to a significant divide between authority and influence.
In the old model, those with authority had better access to information. There was a general sense that the interest of the elites were aligned with those of the masses, and that the opportunity to gain authority and influence was open to all who were willing to work hard.
But, the old world no longer works. We are now operating in a new reality characterized by peer-to peer influence, a reality where there is a divide between influence and authority.
Gone are the days if the traditional “pyramid of influence,” in which both authority and influence were concentrated in the hands of a small number of opinion shapers. This model was predicated on the belief that the informed publics have access to superior information, their interests were interconnected with those of the broader public and that becoming ‘an elite’ was open to all of those who work hard.
But today, due primarily to the democratization of information, we have seen the pyramid turned upside down. Influence now rests among the broad population, who talk to each other on social media or use search to access information, and no longer need to rely on the more “informed” population for ideas.
Influence is no longer automatically granted to those in authority.
And, as we have seen, the Malaysian Mass Population’s view of the world—at a trust level of just 50—is significantly different from that of the 18% who have a trust level of 58, creating real challenge for those in authority who want to earn the ability to have broad influence.
Gone are the days if the traditional “pyramid of influence,” in which both authority and influence were concentrated in the hands of a small number of opinion shapers. This model was predicated on the belief that the informed publics have access to superior information, their interests were interconnected with those of the broader public and that becoming ‘an elite’ was open to all of those who work hard.
But today, due primarily to the democratization of information, we have seen the pyramid turned upside down. Influence now rests among the broad population, who talk to each other on social media or use search to access information, and no longer need to rely on the more “informed” population for ideas.
Influence is no longer automatically granted to those in authority.
And, as we have seen, the Malaysian Mass Population’s view of the world—at a trust level of just 50—is significantly different from that of the 18% who have a trust level of 58, creating real challenge for those in authority who want to earn the ability to have broad influence.
IT - What does it mean to be a leader when we have a division of trust, where influence no longer flows directly from authority?
Old ways of leadership won’t work. This is a new era of business, with a moral imperative for business to lead. So how can you lead in a divided world?
Malaysians expect business to take a lead on social challenges and to do much more, to discuss public policy and issues such as income inequality.
IT
IT
Sweden saw a significant rise in trust among general population, as did Switzerland and India.
IT
IT - The survey shows Malaysians see no conflict between doing well and doing good – with 85 percent agreeing that companies can act to raise profits while also improving economic and social conditions. But six in 10 people from the general population believe chief executives put too much emphasis on short-term financial results at the expense of job creation and long-term benefits .
Global comp – 80%
IT - Insert question: if you were more trusting in business than last year, what were your reasons?
And purpose matters—it has a direct impact on trust. When asked for their most important reasons why trust in business has increased or decreased, you can see that of course they want you to do your job and deliver economic growth. But the nr 2 reason business trust increases? Contributing to the greater good.
And this is also a big threat to trust: when asked why their trust in business might have decreased, a failure to contribute to greater good is in the top 3 of the list.
Sidebar = one of few markets to “provide public services’
IT – CSR sales pitch
RK – Q - . How visible do you think a CEO should personally be in these different types of business situations? Not incompatible that they can be visible across both.
Of course they expect CEOs to be talking about financials. But an even greater number also want to hear what CEOs have to say about societal issues; to take a stand on issues such as income inequality, public policy and their personal views on societal issues. We will unpack the role of the CEO a little later….
RK - Percent who agree with each statement, comparing those who work at companies/for CEOs involved in addressing broader societal issues vs. those who do not.
Call out just three benefits to those that engage on societal issues: 1 recommend their own products, 2 stay working for the company and 3 recommend the company as an employer
Low hanging fruit if you want to grow a successful business.
RK - Thinking about your own company – how much do you trust them to do what is right?
Globally, only 2 in 3 employees trust the company they work for. As a business leader, having the trust of only 65% of your workforce is not a result that should be considered a good report card, given how influential these employees are.
Good news for Malaysia: 3 out 4 do trust their own company. But still room to create advocates out of those one in four that don’t ; )
Don’t lose that trust – build employee engagement programmes, talk & listen to them, look after them.
So how do you gain your employees trust?
So how do we build trust with employees? Iain?
Country Insights:
France: Transitioning out of civil service mentality (jobs for life)
Country is traumatized by fear of unemployment with limited economic culture
Workforce is still marked by class war
Trade unions now very weak and unrepresentative
Japan: A Cultural Change + Generational Transformation- is skepticism increasing due to failure of companies allowing their employees to participate in the benefits of an economic revival?
Historically, managers have not focused on EE because there was no need (because population had been homogenous)
Now, after 20 years of deflation, globalism, accounting scandals, etc.- Japanese employees have become more skeptical of management
With the absence of EE culture, this has reached a boiling point
Abe administration has achieved some success in top level economic revival, but has not reached the general population
Gov’t has been pressuring business to raise wages but has been very slow and met with much resistance
Even through historically favorable cash positions of Japanese companies
Crisis of pension system driving mistrust- blame is shifted to government and businesses
Prospect of happy retirement disappearing = “underclass elderly”, poverty and misery of retired “former middle class” has been highlighted in the media
UK: Return to the “Dickensian” work environment? Largest pay gap influencing public perceptions of fairness
The perception that Management are not affected by austerity compared to working class
people see CEOs doing much better…
Media stories about companies like Sports Direct and how they treat their workers
Senior management unaware of employee access to information about companies
Unions have the lowest membership and now seen as public sector spokespeople
IT
IT
RK - What does it mean to be a leader when we have this division of trust, where influence no longer flows directly from authority?
Old ways of leadership won’t work. This is a new era of business, with a moral imperative for business to lead. So how can you lead in a divided world?
Malaysians expect business to take a lead on social challenges and to do much more, to discuss public policy and issues such as income inequality.
Rk – despite the best intentions of CEO’s ….Malaysians said….that….
Rk – to build trust means revealing your human qualities. So the next time we’re drafting a release or a speech and the text comes back with strike through on those human qualities that we wanted to include…
Well we now have the evidence to ask that their values and their personal story does indeed matter.
IT – Comms perspective: 1 Roadmap for a trusting nation 2 developing peer driven trust 3 Trust for business by engaging societal issues 4 action plan for CEOs, now questions….