
The discipline of corporate reputation is entering a new phase. In a more volatile and polarised environment, organisations are judged primarily on how they behave, not just how they communicate.
Fire on the Hill’s report, Corporate Character: The New Frontier in Reputation, outline how this shift requires a move away from traditional reputation management approaches towards a clearer focus on corporate character.
Corporate character refers to organisational values, behaviours, actions and communication. Only when all of these factors are aligned, particularly under pressure, can organisational trust be secured.
Whereas corporate brand strives for perfection, corporate character prioritises authenticity and positive intent. An over-reliance on corporate brand risks organisations’ falling foul of rapidly evolving market, policy and social environments. A focus on corporate character gives organisations greater freedom to experiment and innovate, because getting things wrong doesn’t represent an existential threat. Stakeholders recognise positive intention is the northstar.
Good products win trust, strong character sustains it
Research across the United States and the United Kingdom shows how expectations have evolved. Consumers still prioritise product quality, with 69% of US respondents and 74% UK respondents identifying it as the leading driver of trust.
However, staying true to values and admitting mistakes honestly also rank highly, reinforcing that trust is no longer solely defined by what brands promise, but by how consistently they prove it.
This is mirrored in what consumers believe builds corporate character. Being honest and transparent in communications, and reliable and consistent in actions are the top descriptors in both markets, ranking ahead of being innovative or community-focused. The expectation from stakeholders is clear: brands must live their values, not simply present what appears to be ‘good’.
While quality products help establish trust, character plays a central role in maintaining it. Without credibility and consistency in behaviour, trust becomes difficult to sustain over time. And organisational behavior is about how employees act, how teams work together, how companies interact with customers, how leaders behave in private, not just in public. This is why leaning into, influencing, and embedding a positive corporate character matters.
Consumers are more forgiving than brands assume
The importance of character becomes most evident in moments of failure. The research explored how consumers would respond to a major error, such as a data breach or ethical lapse. The findings suggest that consumers are willing to forgive, but only when companies respond with honesty and action.
In the US, 47% said they would continue buying from a company if it offered an immediate, truthful apology alongside a clear plan to fix the issue. Others expected tangible corrective steps to accompany an apology. In the UK, expectations were similar: 39% looked for an immediate response and clear action, while 34% wanted a truthful apology paired with a plan to resolve the problem.
What stands out is the limited tolerance for passive acknowledgement. Only 15% of US consumers said simply recognising the issue would be sufficient. Words alone are unlikely to rebuild confidence. Consumers expect transparency backed by meaningful action.
From protection to proactive character building
This challenges the long-held view that reputation should be managed defensively, with a focus on avoiding mistakes. In a climate of constant scrutiny, that approach is no longer realistic. Organisations will face setbacks, especially those in the technology sector where experimentation and innovation are key to success. The differentiator is whether their behaviour is grounded in clear values and positive intent.
Also, in a landscape shaped by political polarisation, social fragmentation, and heightened expectations, companies are increasingly required to take positions on complex issues. Navigating this requires clarity about corporate character, as that will determine what action or position an organisation takes.
A framework for building corporate character
Our work with leadership teams in high-scrutiny environments positions corporate character as a strategic asset shaping responses to challenges. We’ve developed a framework to embed it across crisis recovery, transformation, and resilience by aligning values with consistent behaviour and communication.
Prioritising corporate character builds trust, attracts talent, and strengthens loyalty. So, rather than striving for perfection, instead demonstrate integrity, openness, and consistency - creating the conditions to thrive, and also to recover from mistakes and maintain credibility in a demanding and changing environment.
Chris Clarke is Managing Partner at strategy and communications consultancy, Fire on the Hill.
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