In light of the recent H&M debacle, I think many in the industry will agree that it’s time a chair is permanently reserved for a Public Relations or Reputation Management Specialist at the table where Marketing and Ad Execs conceptualise, build and sign off campaigns. This, I believe, is a critical move, especially as multi-national companies are fighting for relevance and market share in different markets – markets with varying sensitivities and histories.

Being aware of and sensitive to market nuances where a campaign will be launched, and having PR approve – and sanitise, if need be – the campaign could mean the difference between its success and having your PR team later writing holding statements, answering a barrage of media queries and putting out social media fires lit by incensed consumers inspired by what was once thought of as a genius idea.

Taking a moment to reflect on a potential campaign by applying the PR and Reputation Management lens will save a lot of people a lot of trouble, including that poor junior staff member who is always thrown under the bus in place of incompetent senior executives too drunk on their own brilliance to have someone look through their work with said lens.

(I should, at this point, express that judging the credibility of campaigns is not necessarily an exclusive function of PR; in the absence of a PR or Reputation Management Specialist, bouncing the idea off any qualified third-party person or group should suffice.)

However, it’s not enough to let your PR and Reputation Management team know of a campaign when all has been finalised or at roll-out stage. A good brand campaign is one that has been tested on all marketing elements to whom reputation is critical. PR teams generally have access to case studies from different industries and markets which they can consult and from which they formulate probabilities that may impact specific campaigns.

Prevention is always better than any of the strategies PR can employ to stop the brand haemorrhaging any equity should a campaign cause widespread offense. Consequences are just too high, and the road to recovery that much harder. A temporary inconvenience could potentially save a brand’s reputation and millions in revenue.

Reserving a chair for a PR and Reputational expert will add value in more ways than one: having campaigns that are likely to surpass expectations, take consumers on a journey through on-point messaging, and build brand affinity are only a few.

Thandukwazi Gcabashe – Account Director 

The banking industry was turbulent in 2016. Among many other high profile events, Barclays sold its shares in Barclay’s Africa, announced in March 2016[1]. The banks became embroiled in the volatile political climate of the country, and banking for the working class became more topical, resulting in the South African Post Office being granted approval to establish its own bank[2], while African Bank was relaunched after being placed on Curatorship in August 2014[3]. The prevalence of these crises and the importance of this industry to the South African economy inspired Magna Carta Reputation Management Consultants to include this sector in our recent research project on corporate reputation.

The Africa Reputation Index (ARI) is an instrument designed to measure corporate reputation in 5 separate industries, including the financial sector.  We began with a focus on South Africa and plan to roll the index out to additional countries in Africa in the future.

The ARI found that the top driver of corporate reputation in the banking sector is ‘being available and responsive to customer needs’, a driver of customer satisfaction (CS). In fact, collectively, all drivers of customer satisfaction are highly ranked, resulting in the CS attribute coming out as most important in this sector. In general, banks should prioritise the service acumen of their staff, especially those who deal directly with clients at the first touchpoint.

There is no doubt South Africa has a well-developed and well-regulated banking system[4]. We tend to talk about the big 5 banks, with the recent addition of Capitec to the traditional big 4 (Standard Bank, ABSA, Nedbank and FNB)[5]. Capitec is not a full service bank, but with a 26% increase in headline earnings at the end of February, 2016 to R3.2 Billion and over 7 million clients[6], Capitec is now established as a major contender in the consumer banking industry. Consumers agree that our banking industry is well-established, and according to the ARI, most are known for maintaining a good standard.

Capitec’s strategy has been to focus on customer service and this is reflected in the results of the SA Customer Satisfaction Index (SAcsi) by research firm, Consulta, where consumers consistently rate Capitec has having the highest customer satisfaction scores[7]. When looking at corporate reputation, Magna Carta’s ranking of the banks varies somewhat from Consulta’s customer satisfaction scale, but customer satisfaction is just one element of corporate reputation.

Meanwhile, the decision by some of the top banks to close the accounts of certain politically connected people in 2016 landed them in the middle of the South African political narrative. Consumers may hold diverse opinions on the banks’ position, but either way the action links to overall integrity perceptions of this industry. Integrity was found to be the second ranked reputation attribute in the financial services industry, according to the ARI.

As a close third to integrity, offering a good working environment is an important driver of corporate reputation. In general, none of the banks stand out on their employment offerings.

The banking industry has dealt with a series of retrenchments over the years which may influence perceptions around job stability at these companies. Surveys conducted by organisations such as the Top Employers Institute do not see South African banks in the top 10 employers, unless divided by industry where the major players stand out over lesser known banks[8],[9],[10],[11]. Standard Bank received recognition for having best employee policies in the SAGEA Employer Awards, 2016[12].

Consistent with other industries explored, Corporate Social Investment (CSI) drivers were rated as least important in driving corporate reputation in the financial services industry (motor vehicles was 8/9). This is not to say that these drivers aren’t important, but others are more likely to improve reputation perceptions. CSI is often recognised more by employees and is part of the internal corporate culture than external corporate reputation. Despite the extensive CSI undertakings that banks engage in, they are generally not well defined on giving back to the community or other CSI initiatives. CSI is often deeply connected to an individual’s value systems and so, while these initiatives may do wonderful work, they are perhaps less impactful when viewed from the broader societal viewpoint. Insights from our qualitative research showed that CSI is more important to middle income consumers than lower or higher income individuals.

By taking research and insights provided by the ARI on board financial services companies can radically improve their reputations. It all starts by closing the gap between what they perceive they are doing right and what consumers actually believe.

About Magna Carta’s Africa Reputation Index

Magna Carta Reputation Management Consultants, in collaboration with Yellowwood, a leading marketing strategy consultancy, developed a Reputation Index with the aim of measuring corporate reputation in the African context. Data was collated using a robust research study from a sample of 1 304 South Africans. Respondents were asked to select an industry, identify different companies in the industry, and then rate the companies on a series of 44 reputational drivers that had been identified from the focus groups and in-depth Interviews.

About Magna Carta

Magna Carta is a seasoned African consultancy that thinks globally and delivers full reputation management solutions to organisations and individuals that take their reputations seriously. We have affiliates in 18 countries in Sub-Saharan Africa, and are part of the Omnicom group which has 265 offices in 100 countries. We have also been named African Consultancy of the Year 2016 by The Holmes Report.

Founded in 1994, the year of South Africa’s democracy, Magna Carta understands the value of freedom and liberty for all people as well as the responsibility that comes with that freedom, and has since grown into one of Africa’s largest and most respected reputational management consultancies.

[1] http://www.enca.com/money/barclays-confirms-it-exiting-africa

[2] http://ewn.co.za/2016/07/09/Post-Office-to-launch-its-own-bank

[3] https://mybroadband.co.za/news/banking/160466-african-bank-relaunches-in-south-africa.html

[4] http://www.banking.org.za/docs/default-source/publication/banking-sector-overview.pdf?sfvrsn=6

[5] https://businesstech.co.za/news/banking/118310/south-africa-has-a-new-big-five/

[6] https://businesstech.co.za/news/banking/118310/south-africa-has-a-new-big-five/

[7] http://www.destinyconnect.com/2017/03/06/consumers-give-capitec-thumbs-5th-consecutive-year/

[8] https://www.investec.co.za/content/dam/investec/investec.co.za/documents/ca-programme/SAGEA%20Surveys%20Awards%20Press%20Release%202016.pdf

[9] http://www.timeslive.co.za/lifestyle/article1627159.ece

[10] http://www.fin24.com/Economy/SAs-best-employer-named-20131003

[11] http://www.fin24.com/Economy/the-best-company-to-work-for-in-africa-is-20160124

[12] https://m.careers24.com/career-advice/career-growth/5-south-african-employers-with-the-best-policies-20160805

The banking industry was turbulent in 2016. Among many other high profile events, Barclays sold its shares in Barclay’s Africa, announced in March 2016 . The banks became embroiled in the volatile political climate of the country, and banking for the working class became more topical, resulting in the South African Post Office being granted approval to establish its own bank , while African Bank was relaunched after being placed on Curatorship in August 2014 . The prevalence of these crises and the importance of this industry to the South African economy inspired Magna Carta Reputation Management Consultants to include this sector in our recent research project on corporate reputation.

The Africa Reputation Index (ARI) is an instrument designed to measure corporate reputation in 5 separate industries, including the financial sector. We began with a focus on South Africa and plan to roll the index out to additional countries in Africa in the future.
The ARI found that the top driver of corporate reputation in the banking sector is ‘being available and responsive to customer needs’, a driver of customer satisfaction (CS). In fact, collectively, all drivers of customer satisfaction are highly ranked, resulting in the CS attribute coming out as most important in this sector. In general, banks should prioritise the service acumen of their staff, especially those who deal directly with clients at the first touchpoint.

 
There is no doubt South Africa has a well-developed and well-regulated banking system . We tend to talk about the big 5 banks, with the recent addition of Capitec to the traditional big 4 (Standard Bank, ABSA, Nedbank and FNB) . Capitec is not a full service bank, but with a 26% increase in headline earnings at the end of February, 2016 to R3.2 Billion and over 7 million clients , Capitec is now established as a major contender in the consumer banking industry. Consumers agree that our banking industry is well-established, and according to the ARI, most are known for maintaining a good standard.

Capitec’s strategy has been to focus on customer service and this is reflected in the results of the SA Customer Satisfaction Index (SAcsi) by research firm, Consulta, where consumers consistently rate Capitec has having the highest customer satisfaction scores . When looking at corporate reputation, Magna Carta’s ranking of the banks varies somewhat from Consulta’s customer satisfaction scale, but customer satisfaction is just one element of corporate reputation.

Meanwhile, the decision by some of the top banks to close the accounts of certain politically connected people in 2016 landed them in the middle of the South African political narrative. Consumers may hold diverse opinions on the banks’ position, but either way the action links to overall integrity perceptions of this industry. Integrity was found to be the second ranked reputation attribute in the financial services industry, according to the ARI.

As a close third to integrity, offering a good working environment is an important driver of corporate reputation. In general, none of the banks stand out on their employment offerings. The banking industry has dealt with a series of retrenchments over the years which may influence perceptions around job stability at these companies. Surveys conducted by organisations such as the Top Employers Institute do not see South African banks in the top 10 employers, unless divided by industry where the major players stand out over lesser known banks , , , . Standard Bank received recognition for having best employee policies in the SAGEA Employer Awards, 2016 .

 
Consistent with other industries explored, Corporate Social Investment (CSI) drivers were rated as least important in driving corporate reputation in the financial services industry (motor vehicles was 8/9). This is not to say that these drivers aren’t important, but others are more likely to improve reputation perceptions. CSI is often recognised more by employees and is part of the internal corporate culture than external corporate reputation. Despite the extensive CSI undertakings that banks engage in, they are generally not well defined on giving back to the community or other CSI initiatives. CSI is often deeply connected to an individual’s value systems and so, while these initiatives may do wonderful work, they are perhaps less impactful when viewed from the broader societal viewpoint. Insights from our qualitative research showed that CSI is more important to middle income consumers than lower or higher income individuals. By taking research and insights provided by the ARI on board financial services companies can radically improve their reputations. It all starts by closing the gap between what they perceive they are doing right and what consumers actually believe.

About Magna Carta’s Africa Reputation Index

Magna Carta Reputation Management Consultants, in collaboration with Yellowwood, a leading marketing strategy consultancy, developed a Reputation Index with the aim of measuring corporate reputation in the African context. Data was collated using a robust research study from a sample of 1 304 South Africans. Respondents were asked to select an industry, identify different companies in the industry, and then rate the companies on a series of 44 reputational drivers that had been identified from the focus groups and in-depth Interviews.
About Magna Carta

Magna Carta is a seasoned African consultancy that thinks globally and delivers full reputation management solutions to organisations and individuals that take their reputations seriously. We have affiliates in 18 countries in Sub-Saharan Africa, and are part of the Omnicom group which has 265 offices in 100 countries. We have also been named African Consultancy of the Year 2016 by The Holmes Report.

Founded in 1994, the year of South Africa’s democracy, Magna Carta understands the value of freedom and liberty for all people as well as the responsibility that comes with that freedom, and has since grown into one of Africa’s largest and most respected reputational management consultancies.

Managing corporate reputation is vital and can go a long way in improving consumer loyalty and assisting with stakeholder negotiations. However, companies need to begin by asking: What drives reputation? Where should they focus their attention?

Telecommunications companies are not only facing threats to their reputations by falling foul of regulators, but also increasingly from consumers who are quite happy airing their grievances in the court of public opinion online.

To assist corporates to improve reputation management and close gaps that exist between perception and reality, Magna Carta in 2016 invested in the development of the Africa Reputation Index, an instrument designed to measure corporate reputation in 5 separate industries, including telecommunications.  We started with a focus on South Africa and plan to roll the index out to additional countries in Africa in the future.

315 South African consumers took part in the telecommunications survey. The results allowed us to derive the important drivers of reputation in the industry, rate how companies performed on these drivers, and allocate an index score to each organisation comparative purposes. The results not only allow companies to see how they perform, but more importantly, how they perform based on what consumers actually think is important.

In this industry, the top driver of reputation is recommendation. For word of mouth (WOM) recommendation to happen, a consumer must want to put their own reputation on the line. Recommendation in this industry is synergistic with the deep personal connection consumer feel with their mobile devices. Our research findings show that no players in this industry are defined by recommendation. That is, consumers don’t see any of the companies as one they would recommend over any other.

This is important to address. WOM is a natural form of communication that occurs when consumers feel that the company is listening to them and responding. It is related to many other drivers of reputation such as customer service, governance and trust. Because we know that consumers are less than happy with the available service offerings, a first place to start would be to look at how companies respond to consumers on various platforms.

Interestingly, even though South Africans are campaigning for cheap data (#datamustfal) value for money was ranked #27 out of 44. While companies are not known for offering good value, this is less important than other drivers such as a good business focus and having good management.

Drivers that related to ‘Good Governance’ had the strongest influence of reputation in telecommunications. This suggests that media reports have had a strong impact on how the public perceives this industry. With little differentiation between the major telecommunications companies, news is likely to shift industry perceptions as well as company perceptions. Companies in this sector struggle with perceptions around integrity – consumers who don’t trust a company are unlikely to recommend it.

Corporate Social Investment has minimal influence over corporate reputation. This is not to say that CSI is unimportant, but other drivers have a stronger influence than CSI. CSI initiatives are often better known to employees than consumers, and perhaps there are other areas to address first before consumers feel that CSI initiatives can increase in priority.

About Magna Carta’s Africa Reputation Index

Magna Carta Reputation Management Consultants, in collaboration with Yellowwood, a leading marketing strategy consultancy, developed a Reputation Index with the aim of measuring corporate reputation in the African context. Data was collated using a robust research study from a sample of 1 304 South Africans. Respondents were asked to select an industry, identify different companies in the industry, and then rate the companies on a series of 44 reputational drivers that had been identified from the focus groups and in-depth Interviews.

About Magna Carta
Magna Carta is a seasoned African consultancy that thinks globally and delivers full reputation management solutions to organisations and individuals that take their reputations seriously. We have affiliates in 18 countries in Sub-Saharan Africa, and are part of the Omnicom group which has 265 offices in 100 countries. We have also been named African Consultancy of the Year 2016 by The Holmes Report.

Founded in 1994, the year of South Africa’s democracy, Magna Carta understands the value of freedom and liberty for all people as well as the responsibility that comes with that freedom, and has since grown into one of Africa’s largest and most respected reputational management consultancies.

As a PR professional, I often find myself in a lot of meetings where the term ‘storytelling’ is thrown around by the advertising agency, digital agency and, of course, by us, the PR agency.

So, what’s all the fuss about, and is this just the next short-lived marketing fad or something more sustainable?

My gut tells me branded content and visual storytelling is here to stay, here are a few reasons why I believe this to be true:

Images win over text

Text can be complex, pictures, by contrast, are simple.

Every day, we face a flood of messages and information for which we have little time to process. Text takes time to read and comprehend, but pictures function quickly, breaking through to consumers to grab their attention.

The world is global, and so our communication needs to work globally. Text must be translated, while images effortlessly tell a story across cultures and languages.

Storytelling toolbox delivers

We now have a number of tools to help us craft visual stories: The infographic is already considered ‘so yesterday’; multimedia and video continue to gain popularity; and gifs are on the rise along with cinematography, not to mention the growing use of virtual and augmented reality.

All of these are aimed at grabbing our attention, decorating the story, entertaining, inspiring and motivating, and forcing us to visualise.

The new grammar of storytelling includes colour, focus, style, contrast, frames, and perspective.

We all see the value

The rise of Netflix has recently taken branded content to a new level; communicators have realised that to advertise effectively, to peak attention and interest, they have to break out of old habits and set new, compelling standards for branded content and video advertising.

A great example is Farmland, a documentary sponsored by major U.S. agricultural companies that offers an absorbing first-hand look into the lives of six farmers.

While sponsoring content may not seem particularly game changing, it’s Netflix’s market dominance combined with a willingness to test new advertising methods that’s changing the game for the better.

None of this is particularly surprising to us, right? Right, but finding, sourcing, licensing, publishing and sharing images that tell a story isn’t as easy as it sounds. Fortunately, now is the time to ride the tide of a visual tsunami to get our clients to see the value of visual storytelling .

Tanya Buckley
Head of Content

Reputation Management agency, Magna Carta, won the Africa PR Consultancy of the year category at the SABRE Awards in Berlin, Germany last night.

The awards were hosted by the Holmes Report, with their editors having reviewed the performance of 400 agencies based on their Report Card research process.  The judging process was extensive, involving hundreds of submissions from the best public relations and strategic communications firms from across Europe, the Middle East and Africa.

Five African PR agencies were in the running for the prestigious Africa PR Agency of the Year award: Epic MSGLROUP, Atmosphere, Burson-Marsteller, Djembe Communications and Magna Carta.

“We were delighted to be amongst top agencies as finalists for Africa PR Agency of the Year and we are thrilled to be recognised by the industry and our peers,” says CEO Vincent Magwenya.

With an ever-growing pan-African network of 19 countries, including Nigeria, Ghana, Kenya, Mauritius, Angola, Mozambique and, most recently, Zimbabwe, Magna Carta’s philosophy of continuous evolution remains a key driver in integrating global best practice, while keeping a finger on the pulse of local services and offerings