BRANDS TAKE A STAND2018 Edelman Earned BrandOctober 2018#EarnedBrand2Edelman Earned BrandInnovation and the Earned Brand2015The Consumer-Brand Relationship2016The Rise of the Belief-Driven Buyer2017Brands Take a Stand20183Margin of error8-market average online survey data +/- 1.1% (N=8,000)Market-specific online survey data +/- 3.1% (N=1,000)8-market average mobile survey data +/- 0.6% (N=32,000)Market-specific mobile survey data +/- 1.6% (N=4,000)2018 Edelman Earned Brand8 MarketsBrazil, China, France, Germany, India, Japan, the U.K. and the U.S.All data is nationally representative based on age, region and genderA study of how brands can earn, strengthen and protect consumer-brand relationshipsOnline Survey Belief-driven buying and general attitudes toward brands Relationships with 48 brands Reactions to two communications from each of 16 brandsMobile Survey Signal-contingent measurement of reactions to specific brand communications Respondents were asked to describe their experience with the next brand communication they noticed naturally8,000 respondents (1,000 per market)Fieldwork: July 10 July 20, 201832,000 respondents (4,000 per market)Fieldwork: June 29 July 24, 2018Business%Trust 57 48 43 43 42 74 44 74c c c c c c c c4Business Expected to LeadSource: 2018 Edelman Trust Barometer. COM_MCL. When looking for general news and information, how much would you trust each type of source for general news and information? Please use a nine-point scale where one means that you “do not trust it at all” and nine means that you “trust it a great deal.” 9-point scale; top 4 box, trust, question asked of half of the sample. TRU_INS. Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using 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.” 9-point scale; top 4 box, trust. CEO_AGR. Thinking about CEOs, how strongly do you agree or disagree with the following statements? 9-point scale; top 4 box, agree, question asked of half of the sample. General population, 8-market average. 2018 Trust Barometer24 25 27 28305262 63U.K.FranceGermanyJapanU.S.BrazilChina Indiallllllll-2 -1 -4 +1 -11 -3 +4 -6Information platforms not trustedsay that CEOs should take the lead on change rather than waiting for government to impose it64%Business more trusted than governmentBusiness expected to take initiative on changePercent trust in social media Gap in trust, business vs. governmentChange, 2017 to 2018 +0Government% Trust 18 33 33 36 37 70 43 84BrazilU.S.FranceU.K.JapanIndiaGermanyChina3915 10 75 4 1-10GapSource: 2017 Edelman Earned Brand. Belief-driven buying segments. See Technical Appendix for a full explanation of how belief-driven buying was measured. Q17. Please indicate how much you agree or disagree with the following statements. 9-point scale; top 4 box, agree. 14-market average, among belief-driven buyers.52017: The Rise of the Belief-Driven BuyerThey choose, switch, avoid or boycott a brand based on its stand on societal issuespeople are 1 2 67inbelief-driven buyers%because of its position on a controversial issuebought a brand for the first timeOf belief-driven buyers, 65% a brand because it stayed silent on an issue it had an obligation to addresswill not buySome Brands Go All InBenetton and Act Up Paris,1993 Nike, 20187take a stand?Should your brand8A World ofBelief-Driven Buying64Source: 2018 Edelman Earned Brand. Belief-driven buying segments. 8-market average. See Technical Appendix for a full explanation of how belief-driven buying was measured.9Do you choose, switch, avoid or boycott a brand based on its stand on societal issues? (Percent in each segment)Nearly 2 in 3 Now Belief-Driven BuyersSPECTATORSRarely buy on belief or punish brands for taking a standLEADERSHave strongly held, passionate beliefs. The brands they buy are one important way they express those beliefsJOINERSDepending on the issue and the brand, they will change their buying behavior based on the brands stand26 30253449 362017 201813pts+%BELIEF-DRIVEN BUYERSSource: 2018 Edelman Earned Brand. Belief-driven buying segments. 8-market average. See Technical Appendix for a full explanation of how belief-driven buying was measured.10Percent who are belief-driven buyers, and year-to-year changeBelief-Driven Buying Now Mainstream Around the WorldDouble-digit growth in 6 of 8 marketsY-to-Y Change +02017 2018Majority in Every Market5173566550394737 37647869 68 6560 59 57548-marketaverageChina Brazil India France Japan U.S. U.K. Germany+13 +17+20+12+21+15+3+13+5