Boost Your Corporate Reputation to Build a Better Brand: Here’s How
Whether you operate a large corporation or a single-location store, there’s nothing more important to your organization’s success than managing your business reputation. The quicker you enact a plan to actively develop an appropriate brand image and do the work to protect it, the better off your company will be in the long run.
But before we can dive into how to protect your brand image and reputation, we first need to understand how reputations are crafted in the first place.
It’s easy to see how poor business decisions effect reputation management in these recent PR disasters:
While all three have caused massive harm to the respective brand’s reputations, all three of these could not have been saved by the PR and Communications teams alone. In this day and age, it’s a company’s business practices and how it handles information pre-emptively that will lead to a properly-executed crisis response. Putting short-term profits over a company’s long-term reputation can have long-standing and costly repercussions.
According to an in-depth study from Reputation Institute Founder Dr. Charles Fombrun, “40 percent of a company’s market performance can be traced to non-financial drivers in the reputation ecosystem, including analyst recommendations, social performance, media exposure and public perceptions.” For example, Amazon carries a high reputation rating within these four main pillars of the ecosystem, and has seen a $150 billion increase in extra revenue in 2016. ExxonMobil, who is on the opposite end of the reputation spectrum, by contrast, is costing shareholders $80 billion in lost market value.
Smart businesses operate as though they are under constant scrutiny of the public, because in many ways they are.
There are plenty of benefits to building a good reputation as a business.
All three of the above examples were business problems with reputational consequences. All three companies have lost the trust of their customers and it will take time and resources to see if they are able to build back trust.
Reputation is one of the most important things a business has, but it can be neglected or put too low on the list of organization priorities. All businesses, organizations, political groups and individuals can benefit from specific strategies to maintain and improve their reputation.
No matter what size you are, or purpose you serve, your corporate image is incredibly important. It’s who you are and what you provide to customers, stakeholders and the public. It will also set you apart from your competitors, serving as an effective differentiator. Your corporate image is your brand identity and will let consumers easily identify you through actions, communication and aesthetic.
As with anything, your organization and its needs are unique. But it’s not so unique that you cannot learn and build a culture that promotes a great reputation. These are the best way to protect your organization for the future.
If you see gaps in your organization’s corporate reputation, reach out to Tunheim to discuss where to begin.