Out of 100 of the most visible brands in America, Patagonia ranked number one for reputation, according to an .
More than 16,000 Americans were asked to list 鈥渃ompanies that either excel or falter in society,鈥 as part of the survey. From that, pollsters curated a list of 100 companies, which were then scored across nine reputation-gauging attributes including trajectory, vision, culture, and trust.
As Patagonia celebrates 50 years in business, the scoring marks the brand鈥檚 second time in first place; it also but dropped to third in 2022. Compared to the other mega corporations on the list with thousands of employees (Costco has over 200,000 employees in the U.S. alone), Patagonia is tiny, employing around 1,000 people. Patagonia is immediately followed by Costco, John Deere, and Trader Joe鈥檚. The bottom end of the list includes Bitcoin, Meta, Twitter, and in spot 100, The Trump Organization. Other notable companies on the list include Apple, Amazon, Ford, Nike, Adidas, and Google.
Why the Patagonia Clothing Company Outranks All Others
On the discussing the results, journalist Margaret Talev credits Patagonia鈥檚 notoriety to the brand鈥檚 unwavering commitment to environmental efforts, with a recent example being last year鈥檚 restructuring. Founder Yvon Chouinard gave control to two private entities: a trust that owns Patagonia鈥檚 voting stock and an environmental nonprofit called Holdfast Collective, which receives all earnings not reinvested in the business鈥攔oughly $100 million a year. The combination of Patagonia鈥檚 consistency, dedication to its values, and doubling down on its commitment to various causes resulted in the positive public perception, she says.
鈥淧atagonia is a company ideologically that has a center-left appeal, and yet you have many Republicans who like Patagonia as well,鈥 Talev says. 鈥淲hat consumers have been saying consistently in this survey is that they like a company that knows what it stands for and isn’t just chasing consumers with marketing employees, but that sticks to its message.鈥
A Strong Reputation Means Everything to Brand Prosperity
Reputation has always been a strong indicator of success in the world of business. You鈥檙e not going to recommend a company that has poor quality or service, nor will you go back for more business. And on the flip side, brands foster loyalty through quality and reliability.聽But companies face a far less forgiving landscape than in the pre-Yelp era. Factors like ethics, values, and leadership can either boost or threaten its future also, says Daniel Powell, managing attorney at Minc LLC, a firm that provides online reputation management.
He adds that companies can now receive blowback from customers for making cultural or political statements鈥攐r saying nothing at all. And a CEO with harassment allegations can be just as detrimental to a company鈥檚 bottom line as hundreds of bad reviews.
According to Weber Shandwick and KRC Research鈥檚 State of Corporate Reputation in 2020, global executives attribute 63 percent of their company鈥檚 market value to its overall reputation. The research also reveals that 91 percent of executives care about their company鈥檚 reputation.
The equation is simple: 鈥淭he better your reputation is, the more marketplace interactions you鈥檙e going to have,鈥 Powell says. 鈥淲hen your reputation is bad, you won鈥檛 even get the chance for that interaction.鈥 Patagonia鈥檚 earnings are private, but CEO Ryan Gellert earlier this year that company revenues are around $1.5 billion annually.
In a time when public opinion can shift overnight, Powell says he advises clients to 鈥渏ealously safeguard their reputation.鈥 That includes monitoring any red flags and pumping up any good press. 鈥淓veryone is going to get hit with something negative,鈥 Powell says. 鈥淥ne negative review can have catastrophic cascading consequences if you have nothing to counteract it.鈥
The Patagonia Lawsuits: Taking a Brand Stand
And Patagonia has recently had to play defense. This spring, the company in California court against Nordstrom for allegedly selling thousands of counterfeit goods. Up until this year, the department store was an authorized dealer. Also recently, Patagonia and Gap settled a lawsuit after the outdoor outfitter alleged that Gap had deliberately copied its iconic Snap-T fleece pullover design.
Besides protecting itself, the brand also fields an aggressive offense. The company puts a lot of energy toward environmental and human rights activism, and despite getting involved in politics鈥攚hich many brands still avoid鈥攊t still comes out on top. Some of its most buzzworthy moments include suing President Trump in 2017 over the reduction of two national monuments. At one point, the Patagonia鈥檚 homepage read, 鈥淭he President Stole Your Land.鈥 Then it endorsed two political candidates. Patagonia went viral again in 2020 when someone discovered a hidden message on the underside of a tag: 鈥淰ote the assholes out.鈥 It even publicly entered the abortion rights fight in 2022, agreeing to pay bail for employees arrested in abortion protests and denouncing the Texas abortion ban.
The company鈥檚 success is the result of a complicated and hard-won combination of action, service, and renowned consumer goods. The number one placement on the Axios and Harris Poll is a resounding indication that it鈥檚 working.