More Than 60 Percent Of Americans Say The Consumer Packaged Goods Industry Has A Good Reputation

NEW YORK – Sixty-one percent of Americans say the consumer packaged goods (CPG) industry has a good reputation, falling behind only the technology (78%) and retail (63%) industries, according to The Harris Poll® 2016 Reputation Quotient® (RQ®) Summary Report. The 17th annual study, released today, reveals corporate reputation ratings for the 100 most visible companies in the U.S., as perceived by the general public.

Eleven CPG companies appear on Harris Poll’s list of corporate reputation ratings with RQ scores ranging from “good” to “excellent.” Johnson & Johnson is the highest-rated CPG manufacturer by corporate reputation, ranked ninth overall with an “excellent” RQ score. The full ratings for all 100 companies can be found in The Harris Poll 2016 Reputation Quotient Summary Report at www.theharrispoll.com/reputation-quotient.

“The CPG industry’s strong reputation is a hallmark of the industry,” said Sarah Simmons, senior reputation consultant at Nielsen, which owns The Harris Poll. “Because CPG products are used daily for most American families, trust in the companies that produce these products is essential. As industry scrutiny and demand for transparency grows¾from regulators and consumers¾it is critical for these companies to understand and manage their reputations. These efforts will lead to increased loyalty from customers, guide future talent retention, and improve the industry’s position with investors, government officials and business partners.”

The RQ, an important baseline for managing reputation and identifying new market risks and opportunities, measures companies’ reputation strength based on the perceptions of more than 23,000 Americans across 20 attributes classified into six corporate reputation dimensions: Social Responsibility, Emotional Appeal, Products and Services, Vision and Leadership, Financial Performance, and Workplace Environment. The reputations of the 100 most visible companies in the U.S. range from excellent (scores of 80+) to very poor (scores of 50 to 54).

 

The Harris Poll 2016 Reputation Quotient

CPG Manufacturers Ranked Among the Top 100 Visible Companies in the U.S.

by Corporate Reputation Strength

 

CPG Manufacturers

RQ Rank

RQ Score

Johnson & Johnson

9

80.23, Excellent

Kellogg Company

10

79.92, Very Good

The Clorox Company

14

79.40, Very Good

The Procter & Gamble Company

15

79.39, Very Good

General Mills

16

79.18, Very Good

The Coca-Cola Company

18

78.96, Very Good

Nestlé

19

78.83, Very Good

The Kraft Heinz Company

25

77.94, Very Good

Unilever

47

74.82, Good

Tyson Foods

51

74.09, Good

PepsiCo

59

72.22, Good

 

Reputation Dimensions

According to the RQ study, CPG companies, on average, garnered a “very good” RQ score (78.35) and perform strongest on the reputation dimensions of Products and Services (includes attributes such as high quality, innovative, value for money), followed by Vision and Leadership (attributes of market opportunities, excellent leadership and clear vision for the future) and Financial Performance (attributes include low risk investment, growth prospects, record of profitability).

“Emotional appeal factors, or consumers’ feelings of trust, admiration and respect, have been critical and consistent drivers of the CPG industry’s reputation for the last decade,” said Simmons. “What propels that emotional appeal are CPG companies’ efforts to provide products at a good value for the money, maintaining high ethical standards, being good companies to work for and community responsibility.”

Food Recalls Cause Reputation Pain

With changing consumer food demands and a critical eye placed on food ingredients and supply chains, food recalls have become commonplace, but they can wreak havoc on a manufacturer’s reputation. According to the RQ report, the most damaging types of recalls to a company’s corporate reputation are those due to contamination that may cause illness; 66 percent of Americans say this is “very damaging” or “extremely damaging”. Other risks include recalls due to safety concerns (56%) or those due to technical or equipment failure (45%).

Methodology

The 2016 Harris Poll Reputation Quotient Report was conducted online in English, among more than 23,000 U.S. respondents from November 13 – December 24 2015, with preliminary nominating waves of research conducted among 4,078 respondents from September 8 -10 and October 6 – 8, 2015. The Annual RQ study begins with a Nomination Phase, which is used to identify the companies with the most “visible” reputations. All respondents are asked, unaided, to name companies that stand out as having the best and worst reputations. Online nominations are summed to create a total number of nominations for each company. The final list of the 100 most visible companies in the U.S. is measured in the RQ Ratings Phase. In the ratings phase, respondents are randomly assigned to rate two of the companies with which they are “very” or “somewhat” familiar.  After the first company rating is completed, the respondent is given the option to rate the second company. Companies are rated on their reputation on 20 different attributes that comprise the Reputation Quotient instrument. The attributes are grouped into six different reputation dimensions: Emotional Appeal, Financial Performance, Products and Services, Social Responsibility, Vision and Leadership, and Workplace Environment.

Respondents for this survey were selected from among those who have agreed to participate in Harris Poll and sample partner surveys. The data have been weighted to reflect the composition of the adult population. Because the sample is based on those who agreed to participate in an online panel, no estimates of theoretical sampling error can be calculated.

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About The Harris Poll

Over the last five decades, Harris Polls have become media staples. With comprehensive experience and precise technique in public opinion polling, along with a proven track record of uncovering consumers’ motivations and behaviors, The Harris Poll has gained strong brand recognition around the world. The Harris Poll offers a diverse portfolio of proprietary client solutions to transform relevant insights into actionable foresight for a wide range of industries including health care, technology, public affairs, energy, telecommunications, financial services, insurance, media, retail, restaurant, and consumer packaged goods. Nielsen acquired The Harris Poll in 2014. Contact us for more information.

Harris Poll Reputation Quotient study results disclosed in this press release may not be used for advertising, marketing or promotional purposes without the prior written consent of Harris Poll.

 

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