The Australian data for the Edelman Trust Barometer

1. January 21, 2011 Asia-Pacific (APAC) AUSTRALIA

3. Understanding the expectations of stakeholders regarding policy impact on business and government

4. Aligning communications strategies and actions required to build trustThe Edelman Trust Barometer derives from more than 5,000 interviews across 23 countries Participants are: Aged between 25 and 64; college-educated; top 25% of household income; significant consumers of media, business news and public policy 30-minute telephone interviews conducted from October 11 – November 28, 2010. Australian sample N=200

5. State of Trust Shifting centre of gravity

6. Trust in institutions (2010-2011) Trust in Australia rebounds since 2010 NGOs 65 % Government 52 % +11 +14 Business 54 % Media 32 % +7 +2 A7-10. [INSTITUTIONS] For each one, please tell me how much you TRUST that institution to do what is right. On a 9-point scale where one means that you “DO NOT TRUST THEM AT ALL” and nine means that you “TRUST THEM A GREAT DEAL, how much do you trust [INSERT] to do what is right? (Top 4 Box, Trust) Informed Publics ages 25-64 in Australia

7. Australia most trusting of NGOs; least trusting of media Since trust was benchmarked in Australian in 2009, trust in business has steadily increased, gaining 11%. Despite a small decline in 2010, trust in NGOs surges to a high of 65%, a 10% increase since 2009. Trust in institutions (2009-2011) A7-10. [INSTITUTIONS] For each one, please tell me how much you TRUST that institution to do what is right. On a 9-point scale where one means that you “DO NOT TRUST THEM AT ALL” and nine means that you “TRUST THEM A GREAT DEAL, how much do you trust [INSERT] to do what is right? (Top 4 Box, Trust) Informed Publics ages 25-64 in Australia

8. 11%increase in trust in government since 2010. Despite a tumultuous year in politics, more than half (52%) of Australian opinion leaders trust government to do what is right. Trust in government rebounds from drop in 2010, returning to 2009 levels. (Question A9, Top 4 Box, Informed Publics aged 25-64 in Australia)

9. Trust in Business A closer look

10. Trust in industries (2011) Trust in all industries remains steady over the past year Technology firmly on top; Media and Finance sector at bottom A30-45. [TRACKING] Now I would like to focus on your trust in different industry sectors. Please tell me how much you TRUST businesses in each of the following industries to do what is right. Again, please use a nine-point scale where one means that you “DO NOT TRUST THEM AT ALL” and nine means that you “TRUST THEM A GREAT DEAL.” (Top 4 Box) Informed publics ages 25-64 in Australia

11. Trust in industries (2011) In 2011, Automotive, Telecommunications and Biotech less trusted in Australia than globally Global ranking 81% 1. 66% 4. 65% 6. 63% 7. 63% 8. 69% 2. 65% 5. 57% 11. 57% 12. 59% 10. 62% 9. 68% 3. 52% 14. 50% 16. 51% 15. 54% 13. Aussies LESS trusting Aussies MORE trusting A30-45. Please tell me how much you TRUST businesses in each of the following industries to do what is right. Use a nine-point scale where one means that you “DO NOT TRUST THEM AT ALL” and nine means that you “TRUST THEM A GREAT DEAL.” (Top 4 Box) Informed publics ages 25-64 in 23 countries and Australia

12. Trust in banks globally (2008/2011) Since financial crisis, trust in banks takes big hit in the West; Reverse is true in China, India, Japan +12 +4 -46 +10 +21 -10 +12 -21 -30 -20 * Compares 2009 rather than 2008 dataA30-45. [Banks TRACKING] Now I would like to focus on your trust in different industry sectors. Please tell me how much you TRUST businesses in each of the following industries to do what is right. Again, please use a nine-point scale where one means that you “DO NOT TRUST THEM AT ALL” and nine means that you “TRUST THEM A GREAT DEAL.” (Top 4 Box) Informed publics ages 25-64

13. National identity for companies (2011) Australians distrusting of companies headquartered in BRIC countries Company Headquarters Aussies LESS trusting Aussies MORE trusting 26% China 70% Sweden 27% India 76% Canada 67% Germany 18% Russia 51% US 20% Brazil 69% Switzerland A13-29. Please tell me how much you TRUST global companies headquartered in the following countries to do what is right. Use the same 9-point scale. (Top 4 box) Informed Publics ages 25-64 in Australia

14. Reputation attributes (2011) Top 2 Box, Very/Extremely Important 51% 46% 33% 31% 30% 64% 63% 60% 57% 55% Has transparent and honest business practices Offers high quality products Is a company I can trust Treats employees well Prices its brands fairly and competitively Communicates frequently and honestly Is a good corporate citizen Has highly regarded and top leadership Delivers consistent financial returns to investors Is an innovator of new products, services or ideas B72-81. [TRACKING] How important are each of the following factors to the overall reputation of the company? The first one is [INSERT FIRST]. How important is this factor to overall reputation on a 9-point scale where one means “not at all important” and nine means “extremely important”? (Top 2 Box, Very/ Extremely Important) Informed Publics ages 25-64 in Australia.

15. Attributes affecting reputation (2011) Top 2 Box, Very/Extremely Important Global ranking 65% 2. 69% 1. 65% 3. 63% 4. 55% 5. 55% 5. 51% 7. 39% 9. 39% 9 . 46% 8. Globally quality tops the list of reputation attributes; in Australia transparency and honesty most important MORE important to Aussies LESS important to Aussies B72-81. [TRACKING] How important are each of the following factors to the overall reputation of the company? The first one is [INSERT FIRST]. How important is this factor to overall reputation on a 9-point scale where one means “not at all important” and nine means “extremely important”? (Top 2 Box, Very/ Extremely Important) Informed Publics ages 25-64 in Australia and global in 23 countries.

16. Price matters. 17% increase since 2010. Australians see pricing brands fairly and competitively as an important attribute for trust and reputation in 2011. (Question B72-81, Top 2 Box, Very/ Extremely Important) Informed Publics ages 25-64 in Australia) .

17. Business and Society Toward shared value

18. Michael Porter, Mike Kramer, Harvard Business Review Creating Shared Value “ The purpose of a corporation must be redefined around creating shared value… Companies must take the lead in bringing business and society back together. ”

19. “The social responsibility of business is to increase its profits.” Milton Friedman G124. TOTAL 52%. Please tell me if you agree/disagree with the following quote from Milton Friedman: “The social responsibility of business is to increase its profits”? (Net: Strongly agree + somewhat agree) Informed Publics ages 25-64 in Australia . 5 out of 10 Australians agree

20. Corporations need to create shareholder value in a way that aligns with society's interests, even if that means sacrificing shareholder value. G120. TOTAL 79%. Which of the following two positions comes closest to your view? A corporation should focus only on creating shareholder value, even if the way in which they create shareholder value conflicts with societal interests OR corporations need to create shareholder value in a way that aligns with society’s interests, even if that means sacrificing shareholder value. Informed Publics ages 25-64 in Australia . 8 out of 10 Australians agree

21. Government needs to regulate corporations activities to ensure they are behaving in a responsible manner. G123. TOTAL 73%. And which of the following statements is closest to your view? I trust corporations to act on their own to behave in a responsible manner OR I think government needs to regulate corporations’ activities to ensure that they are behaving in a responsible manner. Informed Publics ages 25-64 in Australia . 7 out of 10 Australians agree

22. Government intervention (2011) Australians more likely to call for government to step in to ensure business behaves responsibly G123. And which of the following statements is closest to your view? I trust corporations to act on their own to behave in a responsible manner OR I think government needs to regulate corporations’ activities to ensure that they are behaving in a responsible manner. Informed Publics ages 25-64 in 23 countries

23. Roadmap to Trust Key drivers of reputation

24. Credible spokespeople (2009-2911) CEO and company spokespeople more trusted in better economic climate Top 2 Box, Extremely Credible/Very Important -9 -15 N/A D104-111. [TRACKING] Now I’m going to read you a list of people. In general, when forming an opinion of a company, if you heard information about a company from that person, how credible would the information be—extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 25-64 in Australia

25. Credible spokespeople (2011) Credibility matters 67% trust a technical expert from within the company 50% trust a financial or industry analyst 69% trust an academic or expert D104-111. [TRACKING] Now I’m going to read you a list of people. In general, when forming an opinion of a company, if you heard information about a company from that person, how credible would the information be—extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 25-64 in Australia

26. Credible spokespeople (2011) CEO experiences recovery of credibility 30 percentage point increase since 2009 to 49% in 2011

27. CEO credibility (2010-2011) CEO credibility increases globally Top 2 Box, Extremely Credible/Very Important +7 +11 +10 +3 D104-111. [TRACKING] Now I’m going to read you a list of people. In general, when forming an opinion of a company, if you heard information about a company from that person, how credible would the information be—extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 25-64 (Global excludes Singapore, UAE and Argentina)

28. Trusted spokespeople in a crisis (2011) CEO must be vocal Trusted spokesperson during a company crisis Preferred spokesperson during a product recall Preferred spokesperson when the local community has been damaged D100. Now I am going to read you a list of people. When a company experiences a crisis, please tell me which one of the following people you trust the most to deliver honest information about that crisis. D101. Keeping the same list of people in mind, when a company issues a product recall, which one person do you want to hear information from about that recall? D102. Keeping the same list of people in mind, when a company’s actions have damaged the local community where it operates, which one person do you want to hear information from about that damage? Informed Publics ages 25-64 in Australia.

29. Trusted information sources (2011) Trust a Great Deal (Top Box)/Trust (Top 2 Box) 82% Traditional 86% 83% 76% Online Sources 82% 82% 45% 47% Social Media 39% 35% 78% Corporate 58% H125-136. Now I’m going to read you a list of places where you might get information about a company. For each, please tell me if you trust it – a great deal, somewhat, not too much, or not at all as a source of information about a company? (Top Box Trust A Great Deal) Informed Publics ages 25-64 in Australia

30. Source of information about a company (2011) First Source People go to online first when looking for news and information about a company – search, online news sources and company websites I139. When looking for general news or information about a company, which one type of information source would you generally consult first? Informed Publics ages 25-64 in Australia

31. Source of information about a company (2011) First Source Second Source (I139. When looking for general news or information about a company, which one type of information source would you generally consult first? I140. And after [INSERT I139 RESPONSE], which one type of information source would you generally consult second when looking for general news or information about a company? Informed Publics ages 25-64 in Australia

32. Most relied upon information source (2011) Strong media brands rise to the top Most relied on source for company information (unaided) I143. Please tell me the names of the specific sources you rely on most for information about companies. (Open Ended Response) Informed Publics ages 25-64 in Australia

33. Exposure to information (2011) Australians need information from multiple sources and voices; And need to hear it 3-5 times to believe 3-5 times 56% H137. 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 about a specific company to believe that the information is likely to be true? Please give me a number. Informed publics ages 25-64 in Australia

34. The Benefits of Trust Why Trust Matters The Benefits of Trust

35. Trust is a protective agent and leads to tangible benefits and sales. Lack of trust is barrier to change.

36. Through personal action, trust has tangible benefits _ + Distrusted Companies Trusted Companies Chose to buy products/services Refused to buy products/services Criticized them to a friend/colleague Recommended them to a friend/colleague Paid more for products/services Actions Taken Over Past 12 Months Shared positive opinions online F118. [TRACKING] 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. (Percent “Yes”) F119. [TRACKING] 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. (Percent “Yes”) Informed Publics ages 25-64 in Australia Shared negative opinions online Sold shares Bought shares

37. Trust protects reputation (2011) When a company is distrusted When a company is trusted 49% 57% will believe POSITIVE information after hearing it 1-2 times will believe NEGATIVE information after hearing it 1-2 times 31% will believe positive information after hearing it 1-2 times 16% will believe negative information after hearing it 1-2 times Think about a company that you do not trust. How many times would you need to be exposed to (C83. positive information; C84. negative information) about that company to believe the information is likely to be true? Please give me a number. Think about a company that you trust. How many times would you need to be exposed to (C85. negative information; C86. positive information) about that company to believe the information is likely to be true? Please give me a number. Informed publics ages 25-64 in Australia

38. Business must align profit and purpose for social benefit.

39. The Transformation of Trust Old Trust Framework New Trust Architecture Control Information Transparency Engagement Protect the Brand Stand Alone HOW WHERE WHAT Focus Solely on Profit Profit With Purpose

40. Current media landscape plus increased skepticism requires multiple voices and channels.

41. Demand for authority and accountability set new expectations for corporate leadership. Generational differences

42. January 21, 2011 Asia-Pacific (APAC) AUSTRALIA