Corporate Reputation 2016

Air New Zealand has maintained its position as New Zealand’s most reputable company in the annual Colmar Brunton Corporate Reputation Index.

The airline beat Toyota, the country’s largest vehicle seller for the top spot, with AA Insurance, Z Energy and The Warehouse Group, which is the only newcomer to the top five this year.  Other leading companies from their particular sphere of business in the top 20 include Fisher & Paykel, Kiwi Bank, Apple, Mitre 10 and Genesis.

The Colmar Brunton Reputation Index is the only one of its kind in New Zealand and features the top corporates in this country by revenue. It uses the RepZ model, created by Colmar Brunton’s international parent company, Millward Brown, which measures companies across four categories – social responsibility, fairness, success and trust.

“Our research on corporate reputation in New Zealand is the most exhaustive to date,” said Jacqueline Farman, the Chief Executive of Colmar Brunton.  “The Corporate Reputation Index gives New Zealand companies a unique insight into their reputation, which is crucial to their overall business.”

Spark and Fairfax entered the top 20 for the first time this year, while Foodstuffs, the owner of Pak‘nSave and New World fell from 11 to outside the top 20.

Research from Colmar Brunton shows corporate reputation is strongly related to sales performance.  Three out of four consumers would buy from companies with a RepZ score of 105 or more, but fewer than half (46 per cent) would consider buying from a company with a weak reputation of 95 and below.

“The top 11 companies in this year’s Colmar Brunton Corporate Reputation Index all achieved ‘strong’ RepZ scores of 105 or more, which would place them in the top 10 per cent of businesses globally,” said Farman.  “Corporate reputation is important no matter what industry you operate in, and it has a material effect on your business success.”

A feature of the Colmar Brunton Corporate Reputation Index is the particular importance Kiwis place on trust.

The four categories are weighted and trust makes up more than a third (37 per cent) of the overall RepZ score in New Zealand, compared to 16 per cent globally.

This benefited Air New Zealand, which had a “top box” advocacy score (meaning people would speak highly of it without being asked) six times the average across the 50 companies in the index.

Air New Zealand scored 122 on trust while Toyota recorded 113 and Z Energy 112.

“The Colmar Brunton Corporate Reputation Index shows trust is a priority for consumers when making buying decisions.  Air New Zealand’s strong performance in the trust category is a significant factor in its strong overall reputation,” said Farman.

Air New Zealand Chief Executive Officer Christopher Luxon says the airline is thrilled to be recognised as New Zealand’s most reputable company for the second year in a row.

“We’re incredibly proud of our corporate reputation score which is earned every day by more than 11,000 Air New Zealanders who are dedicated to delivering world class operational performance and customer experiences.  We’re thrilled to be rated so highly on the trust index and we place immense value on the faith New Zealanders and customers internationally put in us.”

Success is the second most important component of the reputation index, with Apple scoring 122, Air New Zealand 117 and Z Energy 114.  The Fairness pillar of the index reveals companies with a strong value proposition with The Warehouse scoring 117, one more than Toyota, who had an eight point gap on four other companies.  The final section of the index, Responsibility saw Air New Zealand top the section with 112 points with Z Energy and Toyota gaining 107 and 106 respectively.

The survey, conducted from late 2015 to early 2016, featured a nationally representative sample with an average sample size of 500 respondents per industry category.

What is Corporate Reputation?

Corporate reputation is not something you can manufacture. It’s an admirable identity that can be moulded through consistent performance usually over many years.

A reputation develops from a company’s sustained identity shaping practices that lead its stakeholders to perceive the company as responsible, fair, successful and trustworthy.


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