Tag Archives: trust

In light of the massive salmonella-related egg recall, the consumer backlash against BP and the increasing incidence of food fraud (most recently, the class action lawsuit alleging misrepresentation of low-grade olive oil as premium EVOO), consumers are more skeptical of corporate America than ever before.  They simply don’t trust manufacturers or the claims they make.

“In the 1960s, if you introduced a new product to America, 90% of the people who viewed it for the first time believed in the corporate promise. Then 40 years later, if you performed the same exercise less than 10% of the public believed it was true. The fracturing of trust is based on the fact that the consumer has been let down.” -Howard Schultz, Starbucks Coffee chairman

Consumers have, indeed, been let down, and many are seeking not only to share their displeasure about but also to effect change at the companies that have disappointed them.

Consider that, according to Edelman’s “Trust Barometer” study,  74% of participants said they criticized an offending company to people they know, and 40% have shared their experiences on the web.   (Remember YouTube sensation Dave Carroll?) A total of 47% have supported legislation against the violating companies, 36% have made the media aware of companies they do not trust and 23% actually protested against them.  Read more...