Consumers forgive companies that make mistakes, but only if they lead with character, honesty and action 

Brands that build corporate character, rooted in honesty, integrity and consistent action, are significantly more likely to retain consumer and stakeholder loyalty, even when they make serious mistakes, according to a new transatlantic study released today by Fire on the Hill. 

The research, based on survey data of 2,000 UK and 1,000 U.S. consumers, reveals a decisive shift in how brand trust is built and sustained. While product quality remains foundational, consumers reward organisations that demonstrate a strong corporate character. They’re prepared to forgive those that respond to missteps with transparency and meaningful action. 

The findings included in Corporate Character: The New Frontier in Reputation form part of our new study, commissioned in partnership with Mercury Analytics and Opinium. It explores the growing importance of organisational character in an era defined by political polarisation, social fragmentation and heightened reputational scrutiny. 

The report details how organisations need to focus on building corporate character and less on brand reputation. It argues that positive reputation flows from corporate character, and communicators should focus on character instead of striving to build reputation if they are to foster organisational resilience.   

Good products build trust, character sustains it 

When asked which factors most build trust in a company or brand, consumers in both markets agreed on the top three:

 

  • Making good products and services (U.S. 69%, UK 74%) 
  • Staying true to values (U.S. 58%, UK 53%) 
  • Admitting mistakes honestly (U.S. 48%, UK 47%) 

 

The consistency across both markets highlights clear insight: quality products matter most for building trust, but how companies embody their principles is key to maintaining trust in a world where organisations face continuous scrutiny. 

When identifying the attributes that define strong corporate character, UK and US consumers ranked “honest and transparent in communications”, and “reliable and consistent in actions”, as the top two qualities. 

The message is clear: trust is not sustained by perfection, but by consistently applied principles and openness. 

Mistakes aren’t fatal for brands, but silence about them could be 

The study also examined how consumers would respond if a brand faced a major blunder, such as a data breach or ethical lapse. 

In the UK, 39% would expect an immediate response and clear corrective action, such as policy change, and 34% would require a truthful apology alongside a clear plan to fix the issue.  

In the U.S., 47% would continue buying if there was a truthful apology and clear plan to resolve the issue, and 23% would expect an apology followed by tangible action. 

Crucially, just 8% of UK consumers and 4% of U.S. consumers said they would stop buying from a brand regardless of how it responded. 

The implication for organisations is significant: brands overwhelmingly stand to gain from openness, accountability, and decisive action. Doing nothing is what will cost brands the most.  

From reputation management to corporate character 

For decades, corporate and brand reputation has often been framed defensively – something that needs to be protected and the need to strive for perfection. The findings suggest that an overemphasis on brand perfection may be misplaced. Instead, there is a growing case for focusing on corporate character, authenticity, and vulnerability. 

In an environment shaped by 24-hour media cycles, misinformation, debates around climate change and inequality, and rising political and social polarisation, organisations face constant scrutiny. This means companies are often expected to have a viewpoint on issues that can be divisive. 

Navigating this environment requires organisations to be clear about who they are and the role they play, otherwise it is too easy to get drawn into culture wars. Brand reputation requires an emphasis on being the perfect citizen, whereas an emphasis on corporate character is about alignment between values, communication and action which provides greater resilience. 

Chris Clarke, Managing Partner at Fire on the Hill, explains: “For too long, reputation has been treated primarily as an asset to protect and to mitigate risks or threats. Our research suggests building corporate character matters more. We live in a world where the big characters, not the perfect characters, are cutting through in politics, business, and society. We wanted to ask the question, what does this mean for corporate reputation in 2026?  

“Character is not about appearing flawless. It is about demonstrating integrity and positive intent. In a world where command and control is over, organisations with character, much like individuals, are granted greater licence to experiment, to take a position, and even to make mistakes.

“What earns that licence is openness, honesty, and consistency. As organisations face changing workforce expectations, increased scrutiny, AI transformations they need the freedom to experiment and innovate which can often lead to missteps. Good corporate character builds organisational resilience, allows them to misstep, and importantly allows them to recover.” 

Launching a new approach: Reputation & Corporate Character 

Fire on the Hill today is launching its new Global Reputation Advisory practice. The practice will support organisations to actively define, embed and shape corporate character, in line with its corporate culture and behaviour. 

It helps organisations articulate and operationalise their corporate character, align communication with consistent behaviour and build organisational confidence to take a position, or not, in contested environments. By shifting the focus from defensive reputation management organisations can build deeper trust, increase strategic freedom, and create competitive advantage. 

Neil Rogan, Global Director of Corporate External Communications and Digital Marketing at Amadeus, said: “The concept of corporate character is a powerful one. It has enabled us to think more broadly about who we are and what we stand for as an organisation. By doing so, it ensures that we align our communications to what is right for our brand, our employees and our customers. Trust is a vital component of any organisation’s licence to operate in a world where mis- and disinformation is increasingly rife, and by focusing on the fundamentals of your character rather than polish reinforces trust and integrity.”

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Chris O'Toole
Head of Content