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Jul10
If Wal-Mart had Target's image, its stock would be up 5%

I first heard the term "reputation management" back in the Medieval 1970s when I was helping manage the reputation of SRI-International (formerly Stanford Research Institute). Now there’s even more data to back up the claims many of us have screamed for years: that a good reputation – which some of us refer to a brand’s “promise” – is worth good money. How much?  Depends who you believe, but the point is that it just got harder to say that public perception is non-quantifiable.   A good image, in the best sense of the word, can jack a stock price.  How?  The way that Pamela Cohen and Jonathan Low figure, market value has a surprisingly significant element of public perception built in.  To the tune of billions of dollars for companies such as Pepsi, Target and P&G.  How else could or would J&J enjoy a higher P/E than Pfizer?  Why does Procter & Gamble get a premium over Unilever?  And there's way more to it than quality of earnings. A recent piece in BizWeek mag describes the stats and the process Cohen and Low plowed through in their effort to put a measurable value on perception.  The point is that they did it. The findings are enlightening, to say the least.  And reaffirming to anyone still associated with the reputation-management game. Check it out.



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1 Comments/Trackbacks




Reputation Management is a word I haven't heard for a while as well. It is starting to make a comeback though and I predict that it will become a big deal again. It can have some serious long-term effects on a business if you know what you're doing.

Today, there are many ways to do this online. One of these is for businesses to fill out an Online Business Profile with a company like onlineinlocal.com. They provide a great FREE service! I found a promo code which will actually get you $100 off any of their paid packages. Just type in social networking during checkout. They have a free service as well, but why not get the paid version for free. Ha Ha!

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