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    Brand Reputation- this is a set of fixed judgments about him based on criteria that are significant for the target audience (honesty, responsibility, decency). Reputation requires an analytical approach when forming an opinion and is based on reliable knowledge and assessments. More often than not, this is reinforced own experience consumer.

    Reputation is a dynamic process in which strategic objectives companies, designed for the long term. Reputation depends on how and by what methods it is done entrepreneurial activity companies. It reflects deep economic and social characteristics brand.

    Why is reputation important?

    Reputation is equally important for every socialized object - from a person to an international company.

    According to research, more than 60% of investors consider a brand’s reputation as one of the main factors in determining its value. Reputation can provide 20 to 80% of the company's shareholder value, representing a real asset of the company. Reputation is slowly formed, but, unlike tangible assets, it is relatively stable and not subject to price fluctuations in the market.

    Reputation is significant influences the effectiveness of sales of brand products. 87% of people who shop online are always interested in reviews about a company before purchasing a product. 73% of consumers are more likely to trust a company if the majority of reviews about it are positive. 80% of online shoppers cancel their order after reading a negative review about a brand. Reputation is sometimes called “credibility” - 62% of consumers believe that a company with a good reputation will not produce poor quality products.

    At the same time, reputation is important for the company when hiring employees. Potential employees are always looking for information about their future employer. 67% of professionals turn down a job offer due to poor corporate brand reputation.

    A good company reputation helps to attract new consumers and retain existing ones, increase investment inflow and sales efficiency. Long term reputation supports the company when economic difficulties arise at the expense of loyal customers.

    Brand reputation and image

    Quite often, consumers and even brand managers equate the concepts of “image” and “reputation.” In fact, image is a component of reputation and has other prerequisites for its formation.

    The consumer's acquaintance with the brand begins with interaction with the components of the corporate identity - this is a means of objective positioning. When these elements are perceived, an image is formed in a person’s mind - this is an ideal image that is created by a brand to create a certain impression about the company in the minds of the target audience. Thus, image is an artificially created opinion among a certain group of people. Its task is to create a positive brand image among the audience.

    Unlike the image a reputation cannot be created - it need to earn. Reputation can be considered the response or reaction of the public to a company's policies. Reputation building occurs throughout the entire activity of the brand and works for the long term. If the image depends on external characteristics, then reputation depends on a holistic perception of both internal and external qualities of the brand.

    What is reputation management

    To effectively manage brand reputation, we are developing reputation strategy. This program defines a set of measures to create a positive reputation and mechanisms for their implementation.

    Who manages brand reputation?

    Brand reputation management is carried out brand managers. A company may have its own or hired specialists who are engaged in developing a comprehensive strategy for building a reputation. The main ones should take part in the creation of a reputation strategy and its direct implementation. officials companies.

    Brand Reputation Management Strategies

    Building a reputation through top officials and top managers of the company

    In many cases reputation of the company's leader is inextricably linked to brand reputation. A public leader commands respect as potential clients both consumers and partners and employees. A recognizable person inspires trust in the company, confidence in its professionalism and respect. Such a leader will serve as a strong motivation for other employees, who will also work to improve the brand’s reputation.

    Read more about personal branding read our article.

    A strong team as the basis for building a reputation

    This aspect of reputation management is most important for those organizations that provide various expert services or technology solutions. For example, in branding agencyKoloro Several specialists are working on creating a brand - a project manager, a designer, a marketer, a copywriter. They are all responsible for different aspects of the work. Productivity and quality of work are supported by effective communication between all responsible employees.

    Careful study of the company's mission and philosophy

    A brand philosophy based on core virtues helps shape the image responsible, decent or honest company. Over time, if you reinforce your image with appropriate activities, it will turn into a positive brand reputation.

    Emphasis on the company's strengths

    The easiest way to manage reputation is through such brand advantages as quality(products or services). This effectively increases the loyalty of existing customers and attracts new ones. In addition, the quality is easy to check (by trying or having it analyzed) or tested (by ordering a service).

    You can use it as a company advantage many years of experience in the provision of services and indicators of successful implementation projects. A big plus in favor of building a positive reputation will be confirmation of the quality of work with certificates and participation in international competitions or exhibitions.

    Financial stability can also be used as one of the components of a reputation strategy. This will help gain the trust of investors and partners, potential employees.

    Corporate social responsibility of the company

    It is important to take into account not only the interests of the company, but also society - from suppliers to ordinary workers. Caring attitude and care of the company about its employees plays an important role in shaping the brand's reputation. By voluntarily accepting responsibility for improving the quality of life of its employees and society as a whole, the brand acquires additional benefits, especially against the backdrop of inactive competitors.

    Better results can be achieved by simultaneously integrating at least two or three strategies in the company. Special attention should be paid corporate identity development, which is closely related to brand reputation. Specialists of the Koloro branding agency are developing a name, slogan, creating a logo and other elements corporate identity.

    Reputation management technologies

    To achieve the above strategies, the following technologies can and should be used.

    Organization of special events and promotions

    This is a powerful tool for attracting public attention. This includes organizing exhibitions, presentations, fairs, participating in conferences or seminars, competitions, and holding social events.

    This helps to implement several reputation management strategies at once. A public leader who confidently talks about the benefits of a brand at a conference will attract new partners and clients. A strong team of employees represented at the competition will demonstrate the professionalism of the company.

    Plays an important role carrying out social events- they best show the company's responsibility.

    Every day, thousands of workers came from South Asia to Dubai to find work to support their families. The cost of a call abroad is $0.91/minute, while the average wages- $6/day. Workers were unable to regularly contact their families. In 2014, Coca-Cola launched a promotion HelloHappinessPhoneBooth. A special machine accepted caps from cola bottles (can cost $0.68) and provided 3 free minutes for calls abroad, allowing workers to save money.

    Strengthening internal corporate relations

    Patriotism of workers towards your company also helps to strengthen your reputation. The following activities will help you create a strong team:

    • association of employees for achieving one goal: formation of common values;
    • support high level of professionalism: employee development through trainings, seminars;
    • employee motivation and formation of corporate culture;
    • support favorable atmosphere for the work of all specialists;
    • understanding between employees;
    • implementation elementscorporate identity .

    Business-to-business communications (B2B)

    Interaction with partners should be based on integrity implementation of agreements and transparency cooperation goals. Strengthening reputation in business environment depends on rational brand leaders and their thoughtful decisions.

    Media Relations

    Well-built press relations significantly influence the public's attitude towards the brand. From time to time it is worth holding press conferences, inviting several media representatives to them. Good relationship with the press are not as important for building a positive reputation as for preventing negative reviews towards the company. Therefore, journalists should be provided with timely necessary information about the company's activities.

    Would you like to know more about creation ideal image and building a reputation? Subscribe to our newsletter at the bottom of the page and call us - we will be happy to advise you on all your questions! Don’t forget to order corporate identity development from us - this is the foundation for building your brand’s reputation!

    Sooner or later, any company is faced with the need to purposefully build its reputation. According to Alexey Zlovedov, author of the book “Reputation Management (RM). A little hosanna in honor of RM or why and why it is worth spending money on this” the preferred option is a situation where, against the backdrop of prosperity, the company lays the foundations for future stability in the form of investments in reputation.

    For example, in 2000, Klodt’s horses on Anichkov Bridge, having stood on Nevsky Prospect for about a century, required restoration. The Museum of Urban Sculpture, which was in charge of them, did not have the funds to carry out the work at that time. Baltinvestbank (at that time Baltonexim Bank) came to the rescue. When entering the St. Petersburg market, it positioned itself as a strong city bank and a reputable business partner. As part of a PR campaign to maintain its reputation, the bank signed an agreement with the Committee for the Protection and Use of Monuments of St. Petersburg to finance restoration work, and held a tender for construction work and organized a press conference, notifying the city’s mass media about the “long-term” PR project. At the same time, the Cultural Support Fund was created at the bank. All these activities were regularly covered in the city press and on television, which brightly and yet unobtrusively worked to strengthen a positive reputation among residents of St. Petersburg [Strategy and tactics of business communications. L.V. Azarova, K.A. Ivanova, V.M. Shadrova, T.G. Sheremetyeva, I.P. Yakovlev. St. Petersburg: Publishing house of St. Petersburg Electrotechnical University "LETI", 2007, 92 p. Tutorial With. 35].

    Often the process of building or correcting a reputation is due to the expected future sale of the company and the desire to maximize income, since a “good name” is valued very dearly by the market. However, forced emergency correction of reputation is also possible, which may be associated with the need to overcome the crisis that the company is experiencing due to a variety of reasons (depending and not dependent on itself) reasons.

    Thus, in the spring of 2002, the reputation of the Ochakovo brewing company suffered from information disseminated by the State Trade Inspectorate that Ochakovo products contained sodium benzoate, a preservative dangerous to human life. Despite the fact that the company’s good name was restored (the court upheld Ochakovo’s claim against the State Trade Inspectorate), it suffered significant damage.

    A company builds its reputation over many years, but can lose it in one day, and no company is immune from such situations. What matters is how she deals with problems that arise. If the company does this with dignity, promptly accepting necessary measures, then the damage caused to reputation can most likely be compensated. And in some cases, the company's position in the eyes target audiences may even intensify.

    Thus, we can conclude that reputation management is an integral element of a company’s competitive behavior. It should be recalled that the term “management” means “a set of coordinated activities aimed at achieving set goals.”

    This means reputation management is a set of strategic measures aimed at forming, maintaining and protecting the company’s reputation.

    K.S. Buksha in his book “Business Reputation Management. Russian and foreign PR practice" suggests that in working with reputation there is a "minimum program" - to become recognizable and at the same time evoke positive reactions, and a "maximum program" - to become loved.

    The researcher says that business reputation there is a certain “base” and “superstructure”.

    Since the author of this work is considering the issue of reputation management in a chain of stores, in this case the “basis” will include such simple things as the availability of the necessary goods, the cleanliness of store rooms, the neatness of sellers’ uniforms, the absence of queues, honesty, in other words, the presence of care about the buyer. It should be noted that the interaction of all of the above qualities is important, since only together they can lead to the formation of the desired positive reputation. In other words, everyone should know that the company is honest, caring and reliable.

    The “superstructure” is what makes a company’s reputation a valuable tangible asset worth big money. This includes all those components of reputation that make it not just good, but very good, and provide special competitive advantages (the bright personality of the manager, corporate legends, special supervision over the speed and quality of services provided, social responsibility).

    Having analyzed large quantities domestic and foreign sources, author thesis came to the conclusion that the following main stages of working with reputation can be identified:

    1. Creation of intangible value

    This is the real actual activity of the enterprise to create competitive advantages, such as a quality product, a vibrant and target audience-oriented brand, well-trained staff, a clear financial structure, excellent relationships with suppliers and clients, etc.

    2. Communication

    At this stage, it is important to determine which competitive advantages will be the most important in communication with different market participants. They don't all need the same company information. Let's say investors need to submit a report on activities once a quarter, and clients will mainly learn about the company and its shares from advertising campaigns, news from the site, publications in the media. In other words, specialized information packages should be prepared and distributed on a continuous basis, providing specific groups with the information that they need and are interested in.

    3. Assessing the reaction of target audiences

    The significance of the reaction of each individual target audience should be constantly reviewed, that is, what information and how it influences its reaction and behavior.

    4. Estimation of cost changes

    At this stage, you should assess how work to create a reputation affected the company’s capitalization and its financial performance. This is easier to do for those firms that can assess the initial impact of each partner, consumer (consumer group), investor on the value of the business, and determine the dynamics of this cost impact under the influence of targeted communications.

    5. Protection of corporate reputation in case they want to discredit the company for one reason or another

    It is important to note that it is not necessary, and indeed impossible, to build some kind of universal reputation by trying to please everyone; it is wiser to focus on the key audiences that are most important to the company. To successfully build its reputation, an organization must be aware of who to communicate with in order to support its reputation and speak to each target audience in its language, taking into account its preferences and expectations. G. Dowling, one of the world's leading experts on the issue of business reputation, identified four important groups of target audiences:

    Regulatory groups establish general laws and rules for the activities of the organization, and also evaluate these activities. This group includes government agencies, authorities, regulatory bodies, public organizations, business and professional associations.

    Functional groups directly impact all aspects of the organization's day-to-day operations, contributing to production development and customer service. These groups include those with whom we deal every day: employees, suppliers, distributors and service organizations, advertising and marketing agencies, legal and consulting firms. They are the ones in to a greater extent form public opinion about the company and then distribute it throughout the business community.

    Diffuse groups show interest in the organization in connection with the protection of the rights of other members of society. They are interested in freedom of information, protection environment, equal opportunities for employment, the situation of socially vulnerable citizens, etc. One of the most important groups here are journalists who decisively shape public opinion.

    Consumers represent an extremely important segment of target audiences, while being very heterogeneous. Marketers argue that consumers do not buy goods or services from organizations, but solutions to their problems and satisfaction of their needs. At the same time various types consumers want to receive different sets of solutions to such problems from the organization, therefore, for each group of consumers it is important certain components reputation.

    Since a company’s reputation cannot be “touched,” to work effectively with it, it is necessary to determine what the reputation is made of. From many years of research by various scientists, the author of this work was able to identify six components of reputation, the quality of work with which directly affects the company’s success in the market and which are taken into account by target groups when forming a stable opinion about the company.

    1. Emotional appeal. This factor is important for companies offering consumer goods. The buyer is always looking for at least some sign of “integrity” or “dishonesty” of a given company in order to make the right choice. And such a sign can be any “little thing”, and not necessarily directly related to the company’s services: the tone of voice of the seller, the impression after visiting the store, information seen on the Internet the day before or heard from a “trusted person”, a conversation between employees who are confident that their no one hears, the general feeling from contact with the company.

    2. Product quality. Today, without this, there is nothing to do on the market, and a company that produces low-quality products is simply doomed.

    3. Relations with partners. This includes both external partners and suppliers, as well as company employees. The latter, leaving work, become part of the outside world in which they and the people around them talk and write about the company. The role of relationships with external partners cannot be overestimated, given that suppliers and project partners are usually familiar with the side of the company that is not covered in advertising and rarely in communication with clients and the media. Companies that do not pay enough attention to working with external partners, in fact, plant a “time bomb” in their own reputation, since in the event of a deterioration or breakdown in relations, offended partners will have “something to tell” about the company.

    4. Management reputation. Considering the stage economic development, on which most countries of the post-Soviet space are located, when the transition from capital accumulation to professional management it still continues, the director or owner of the company (and often this is the same person), regardless of his actual level of authority, is perceived by the public as the “face and conscience” of this company. That is, all the decisions and actions of this person, which become known, invariably affect the attitude towards the company’s products and towards the company in general.

    5. Social responsibility. Although social responsibility of business is just beginning to enter the sphere of priorities of companies in our latitudes, public expectations of social contribution from business are quite high. There are many types social responsibility: political, legal, moral, etc. Their essence lies in the company’s obligation to fulfill the relevant political, legal and moral requirements presented to it by society, the state, and the collective. The organization must, on the one hand, choose the right social guidelines, and on the other, use all available opportunities (knowledge, experience). To ensure the effectiveness of social initiatives and strengthen the reputation of a socially responsible business, it is important to approach social spending as an investment: find those who need it, study the needs, develop a plan for collaboration, reporting and communicating the results.

    6. Financial indicators. A business that doesn't make money is not a business by definition. And the fact that the company is doing well undoubtedly affects its reputation.

    According to reputation experts I.V. Oleynik and A.B. Lapshova, reputation management is a strategy aimed at building and strengthening the reputation of a company and its top managers using non-production means and methods. This is a developed action plan that includes everything possible developments events for the company, defined for various periods, depending on the needs of the company, including public relations (external and internal), relations with government agencies, advertising, press service events and special events aimed at promoting the company. The combination of all of the above components makes it possible to achieve ease and predictability of management, efficiency in achieving the set goal in reputation management.

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