ESG performance as a pillar for trust
International benchmark of leading global brands
As the impacts of climate change are becoming more and more real, businesses are realising the importance of concerted action.
Civil society, public bodies, and private corporations each have their strengths which need to be used to target different parts of the challenge.
Public affairs and advocacy play a vital role in intermediating between these bodies and must expand their toolkits to manage the increasing level of interactions between stakeholders. To understand how ESG indicators influence trust in brands and enterprises is essential, both to navigate and prioritize real action and anticipate stakeholder engagement.
Leidar and brandr have partnered to investigate how disclosing ESG metrics influence a company’s perceived trustworthiness. Our research employed the social responsibility and sustainability dimensions of the brandr index to measure how the top 15 brands on this list are perceived in regard to these metrics. Data was collected from four countries: US, UK, Germany and France.
The social responsibility and sustainability dimension consist of 7 metrics and they are based on ESG:
- 2 for Environment
- 3 for Social
- 2 for Governance
The trust metric from the brandr index was also introduced to have a dependent variable to explore how perception of the 7 ESG metrics affects the trust in the 15 brands selected for the pilot study. The insights support strong correlation between ESG perception and trust.
The research findings will be discussed in the SDG Tent by various actors in the multilateral system with the objective to create a better understanding of trust-based cooperation and how it should guide advocacy and stakeholder engagement.
- Explore trust dimension of ESG for global companies.
- Provide an insight to the role of public affairs and advocacy in the ESG and SDG agenda.
- Provide some tools for the creation platforms where civil society, public bodies and industry can mobilise action to accelerate the transition to a sustainable, resilient economy