Corporate Support For Societal Good Boosts Reputation
Corporate Reputation09 Mar, 2022
After the pandemic, the public expects companies to continue socially-focused actions in Australia. Air New Zealand became the first international airline to require vaccinations for both employees and passengers, stating, "this is the right thing to do to protect our people, our customers, and the wider New Zealand community." These measures came as Australians exited an 18-month lockdown. By leading with community, Air NZ earned the title of "world's safest airline." This move reminds companies to understand what matters most to stakeholders and respond appropriately.
Corporate Australia experienced a country-wide reputation spike in Q2 and Q3 2020 as the public positively responded to companies that met the needs of the community and employees. Although reputation returned to trend, Australian companies cannot ignore the positive benefit of a community-first approach to help boost behavioral support. RepTrak data consistently shows that a 5-point increase in reputation can lead to a 4.6% increase in support for business outcomes.
Why is this important?
Company actions that support moral and societal good drive positive change in reputation. At the start of 2021, the reputation positions of Citizenship and Conduct gained 3 points (or 4%) globally. The public's attention to corporate behavior also comes when Australians increasingly want companies to have an action plan internally and externally.
Over 75% of Australians indicated "taking action" related to social and political issues was essential in 2021.
Citizenship is the number one Driver behind the public's pursuit to work for a company in Australia; having a "Positive influence on society" was the second more critical Factor driving "Work for."
What is the reputation connection?
Genuine community-driven advocacy is a catalyst for a robust corporate character. Companies with an excellent RepTrak Score (+80) are three times more likely to be trusted in a crisis.
How have some companies maintained their reputation strength in Australia?
Air New Zealand received special recognition from the 2021 Deloitte Top 200 judges for maintaining "strong support for their brand and service offering" over the past two years, including creating an onboard vaccination center.
This community-first dedication also translates into reputation success. Air New Zealand held an excellent (80+) Reputation Score in Australia in all four quarters of 2021.
Toyota Australia takes care of its community. Toyota has supported gender equality for over three years through its "Good for Footy" program, which supplies over 100 female football teams with funding for new, specially designed equipment.
Its community-driven approach helped it stay top of mind for Australians. Toyota also held excellent Reputation Scores all four quarters of 2021.
How can your company implement a community-first approach into your business strategy?
Where is your company at risk for stakeholder scrutiny?
What steps has your company taken to measure the public's response to community-led action? If not, where can you implement these goals?