So, what exactly can reputation damage mean in real terms?
Compliance and cooperation
This is perhaps the most important “real-world” impact. Whether it is a local council asking residents to recycle correctly or a health board encouraging people to get a vaccine, the success of the message depends on the reputation of the sender.
If trust is low, people are less likely to follow guidance, which can lead to higher costs for cleaning up fly-tipping or increased pressure on emergency services.
Recruitment and staff retention
It’s pretty simple, this one. People want to work for organisations they’re proud of.
A poor reputation makes it harder to hire the best public sector professionals. It can also lead to higher staff turnover, as current employees may feel demoralised if they are constantly facing public hostility or seeing their employer criticised in the press.
How much services cost
When a community trusts its service providers, they are more likely to use digital self-service tools or resolve issues through the proper channels.
If your reputation is poor, people are more likely to bypass your community engagement tools and try to contact you through incorrect channels. This can create inefficiency and therefore drive up the cost of handling a single query.
Behavioural change and public wellbeing
Many public sector goals rely on behaviour change like reducing smoking, increasing physical activity, or adopting new transport habits.
These shifts require deep, long-term trust. If the public views the organisation as out of touch, they will often reject the messaging purely out of spite or cynicism.
Resilience during a crisis
Reputation acts as a buffer in times of crisis. If you’ve already got a good reputation, it won’t take nearly as much effort to get your citizens to trust you again. Put simply, if a mistake happens, an organisation with a strong, transparent reputation will be given the benefit of the doubt.
However, for an organisation with a poor reputation, that same mistake could trigger an immediate and irreversible loss of public confidence which will take much longer to sort out.