Golin/Harris trust survey finds 69 percent of Americans say 'I just don't know whom to trust anymore

Trust is a key foundation of American business, a foundation that is eroding across numerous business sectors according to the Golin/Harris Trust survey. By a margin of seven to one, survey respondents said that 'recent economic events have created a crisis of confidence and trust in the way we do business in America,' and as a result, they're 'going to hold business to a higher standard in their behavior and communications.'

'When more than two-thirds of Americans express this level of skepticism and cynicism, American business has a serious problem that goes beyond the 'Enron factor,'' said Richard Jernstedt, CEO, Golin/Harris International.

'Obviously, the current wave of scandals has a direct impact on specific industries, but when you look at trust levels across the entire spectrum of American business, almost every category is affected. The malaise of trust is becoming epidemic, and no business can escape by saying 'it's not my problem,'' Jernstedt advises.

What is the Trust survey?

To measure attitudes regarding trust, Golin/Harris created the Golin/Harris Trust survey, a comprehensive market research tool to identify and compare both the degree and direction of trust across more than 25 different business sectors and express it in a single number.

A positive score indicates a strong trust profile, while a negative index number signals trust challenges that should be addressed immediately, conscientiously and consistently.

The Trust survey indicates which industries Americans trust the most and trust the least, and determines the extent to which trust in them has increased and decreased over the past year. Using the Trust survey methodology, businesses are identified by how well or poorly they are trusted, the direction in which trust in them is heading, and the key actions that should be taken to become a trusted brand.

The Trust survey uncovered at least 14 business sectors that have scores of -25 or less - with an average of -20 for all companies studied -- indicating they have severe trust problems, including:

- Oil & Gas (-63)
- Telecom (-42)
- Insurance (-59)
- Advertising/Marketing (-41)
- Brokerage/Wall Street (-58)
- Media Companies (-39)
- Utilities (-52)
- Journalism (-38)
- Airlines/Travel (-52)
- Public Relations (-31)
- Accounting (-48)
- Pharmaceuticals (-30)
- Chemical (-43)
- Management Consulting (-25)

In contrast, at least 10 businesses have a positive or only moderately negative scores:

- Groceries/Supermarkets (+40)
- Fast Food Restaurants (-1)
- Major Retail Chains (+36)
- Food Products Manufacturers (-1)
- Drug Stores (+9)
- Entertainment/Sports (-3)
- Computer Hardware/Software (+8)
- Banks/Savings and Loans (-6)
- Health and Beauty (+8)
- Automotive (-10)

Key Trust Building Factors

'The outcome of the Golin/Harris Trust survey indicates American businesses should mount a trust offensive,' said Ellen Ryan Mardiks, Worldwide Director of Marketing and Brand Strategy, Golin/Harris. 'While the situation is clearly serious, it is not gloom and doom beyond repair. Rather, we see some very clear and compelling opportunities and strategies for businesses to build and strengthen trust in their brands.'

For example, the Golin/Harris Trust survey asked Americans 'What are the most critical actions that companies you don't trust should do to earn your trust this year?' The following are the 12 recommendations Americans list to win back trust:

1. Be open and honest in business practices (94%)

2. Communicate more clearly, effectively and straightforwardly (93%)

3. Provide the best value in products and services (88%)

4. Visibly demonstrate concern and consideration for employees (83%)

5. Provide outstanding products and services regardless of price (72%)

6. Do a better job understanding and addressing my needs (65%)

7. Demonstrate and communicate industry leadership (65%)

8. Change the way the company communicates financial activities (61%)

9. Be innovative and different from the competition (56%)

10. Make the CEO a spokesperson beyond reproach (50%)

11. Make Board of Directors more hands-on and involved day-to-day (50%)

12. Be involved with the community (50%)

'Every company can and should implement these activities,' noted Mardiks. 'Promises made plus promises kept equals a trusted brand' is the equation every business must use to guide what they do and what they say. And, trust must be earned not just once, but always. As the list suggests, 'reliability over time' is the one constant that underscores every trusted company and brand.'

The Role of the CEO

Importantly, the CEO is the brand's steward in building and sustaining the company's relationship with its stakeholders - customers, investors, partners, employees and the community. To better understand what the CEO can do to earn trust, the Golin/Harris Trust survey asked Americans to tell CEOs of companies they trust what qualities of leadership they want so the CEO can continue earning their trust.

The following five leadership qualities were named as most important for the CEO to build respect and trust:

1. Assume personal responsibility and accountability (65%)
2. Personally and visibly show care and concern for customers (60%)
3. Stick to a code of business ethics no matter what (58%)
4. Communicate openly and frequently with stakeholders (56%)
5. Handle crises better, more openly and more directly (51%)

'Building trust must begin with the CEO,' Jernstedt said. 'But, if it ends there, you will have a charismatic leader, but not a trusted brand with value that can be sustained over time. Building trust has to be everyone's responsibility'

About the Golin/Harris Trust survey

The Golin/Harris Trust survey was conducted during the first week of February 2002 by NFO WorldWide, a leader in consumer and business-to-business opinion and market research. More than 700 Americans were surveyed in the national study, yielding a confidence factor of 95 to 96%.

Industries put under the microscope of trust range from major retail chains, grocery and supermarkets, health and beauty, fast food and food product companies, through Internet businesses, computer and electronics, automotive, chemical and pharmaceuticals. The study also includes key service sectors like banking, accounting, insurance, health care, oil and gas, utilities, airlines, telecommunications, media, entertainment and sports, advertising and marketing, journalism, and even the public relations industry.


About Golin/Harris
Founded in 1956, Golin/Harris International is a full service public relations firm, providing professional counsel and strategic communications programs to clients around the world. Golin/Harris clients include McDonald's Corporation, Amazon.com, Bayer Corporation, The Lowe's Companies, Texas Instruments and Nintendo of America Inc. Golin/Harris International is headquartered in Chicago. It is part of the Interpublic Group of Companies (NYSE: IPG).

About MCS/Action
Dubai-based MCS/Action, a full service public relations consultancy, is the appointed Golin/Harris affiliate for the Arabian Gulf. The agency has regional offices in Saudi Arabia and Kuwait. MCS/Action is part of the Nicosia-headquartered Action Global Communications, which comprises a network covering 22 countries across North Africa, the Eastern Mediterranean, the greater Middle East and Eastern Europe.