Echo Research reposted this
Last week in New York, Echo hosted a cross-sector executive roundtable to launch our latest Reputation Dividend / valuation study. The room spanned from healthcare to tech, industrials to finance, from communications and risk specialists to NEDs - and yet the conversation converged fast on one point: Boards still talk about reputation like it’s ‘soft’. Markets price it like hard capital. Our new S&P 500 valuation analysis puts a hard number on what many leaders feel but few measure: reputation now represents over $13.8 trillion of shareholder value in the US market. That isn’t a footnote. That is a strategic asset class hiding in plain sight. What the data makes unavoidable: 👉 96% of US companies are gaining value from reputation with 2% eroding it. So, reputation is already working for (or against) almost everyone. 👉 Reputation contribution sits around a quarter of total market value, with meaningful variation by sector - but no sector is immune. 👉 And the biggest value drivers aren’t ‘nice to have’ narratives. They’re board-grade levers: long-term value potential, financial soundness, quality, innovation, people, management. So, if reputation is capital, the next question is simple: Are you managing it with the same discipline you manage financial capital? Or are you leaving trillions of dollars’ worth of value on the table – to be guided by intuition, anecdotes, and last year’s playbook alone? The uncomfortable takeaway for 2026 planning From both a risk and growth perspective, the hard data points in one direction: this may be the worst possible time to cut investment in professional communications and risk & reputation management. Because volatility doesn’t reduce reputational exposure - it multiplies it. And when competitors pull back, reputational advantage compounds the fastest for those who keep building trust, evidence, and visibility. The challenge to leaders 1️⃣ If you can’t quantify reputational value, you can’t defend it 2️⃣ If you can’t identify your value drivers, you can’t grow it 3️⃣ And if the board doesn’t see reputation in the same dashboard as financial performance, you’re flying half-blind. Thank you to everyone who joined us in New York, with Paula Davis and Guy Gresham who pushed this discussion into strategy, capital allocation, risk management and governance. The next step is turning these insights into evidence-based processes, resources, and decisions that protect and grow intangible value, before the market forces the issue. If you’re tackling this at board or C-suite level and want to compare notes, we’d love to continue the conversation. Get in touch here 👉 https://lnkd.in/eP_UVXKe #EchoResearch #ReputationDividend #CorporateReputation #ReputationValuation #ReputationManagement #IntangibleAssets #ReputationIsCapital #RiskManagement #BoardGovernance #Trust #BusinessStrategy