NEARLY HALF OF ALL CORPORATE REPUTATIONS DECLINE AGAIN IN 2025 AS CONSUMERS TAKE OUT FRUSTRATIONS OVER HIGH PRICES
Rhea-AI Summary
Positive
- None.
Negative
- 77% of Americans report companies selling lower-quality products at higher prices
- 70% believe companies are exploiting inflation to increase profit margins
- 48% of consumers say product quality is falling behind current prices
- 69% report noticeable decline in everyday item quality
- 63% stopped doing business with companies due to unreasonably high prices
News Market Reaction
On the day this news was published, STGW declined 3.28%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Many companies fail to fulfill consumer needs as inflation has shifted America's focus and priorities toward seeking value and spending more carefully.
This, according The Axios-Harris Poll 100 Rankings on Corporate Reputation released this morning, is why Trader Joe's ranked first - followed by other value-prioritizing brands like Toyota and Arizona Beverage Company - among the top 10 most reputable companies in the country this year.
Of note:
77% of Americans say companies often sell lower-quality products and services while charging higher prices.70% believe companies are taking further advantage of inflation to increase their profit margins.60% feel companies will use tariffs as an opportunity to raise prices more than needed to boost profits.
This comes as Americans are split over whether the economy is improving and whom to blame for their personal financial situation. Among those who feel stuck (
"As opposed to COVID, when corporate reputations surged with breakthrough vaccines and reliable package delivery, businesses haven't answered this moment," says John Gerzema, CEO of The Harris Poll. "Americans don't see business with a solve for inflation. They want an ally."
Other key findings:
- Inflation fighters come out on top: Prioritizing the consumer paid off for some companies with Trader Joe's experience the sixth largest increase in score (+3.5) to take the top spot. New-comer Arizona Beverage Co. (
99 cent price policy) emerges at #7. - Perceived quality is falling: Consumers are twice as likely to say the quality of goods and services is falling behind their current prices than exceeding them (
48% v.22% ). Especially as two-thirds (69% ) report a noticeable decline in the quality of their everyday items. - AI is still more hype than utility for most: More Americans today than last year don't find it important for companies to integrate AI into their products and services (
47% , +5% -pts from May 2024), saying companies often overestimate their interest in AI-infused products (71% ). With over two in five (43% ) even against companies marketing that they use AI. - Businesses should go back to the basics: American consumers point to quality as the most important consideration when considering company reputations today, followed by customer service, employee treatment and prices. As over three-quarters (
79% ) say brands with the best reputation are the ones prioritizing consumer wallets.
The Axios Harris Poll 100 is based on a survey of nearly 25,000 Americans in a nationally representative sample conducted January through March. The two-step process starts fresh each year by surveying the public's top-of-mind awareness of companies that either excel or falter. These 100 "most visible companies" are then ranked by a second group of Americans across the seven key dimensions of reputation to arrive at the ranking. If a company is not on the list, it did not reach a critical level of visibility to be measured.
For information on all companies and their ranking on the 2025 Axios-Harris Poll 100, or to purchase an in-depth analysis of a company's reputation, click here.
About The Harris Poll
The Harris Poll is one of the longest-running surveys in the
About Axios
Axios is a digital media company launched in 2017. Axios – which means "worthy" in Greek – helps you become smarter, faster with news and information across politics, tech, business, media, science and the world. Subscribe to our newsletters at axios.com/newsletters and download our mobile app at axios.com/app.
About Stagwell
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Contact
John Gerzema
jgerzema@harrispoll.com
Drew Higham
Drew.Higham@harrispoll.com
Jacklyn Cooney
Jacklyn.Cooney@harrispoll.com