Rabobank's reputation still good but under threat
Image indicators of Rabobank in the Netherlands
No more Rabobank Professional Cycling Team
In 2012, an amount of EUR 28.3 million in total (including the EUR 8.5 million contribution
by local Rabobanks) was awarded to 189 projects in the Netherlands and abroad. In the
Netherlands, EUR 2.5 million in total was allocated to 31 projects. Rabobank Foundation
funded 158 projects outside the Netherlands by providing microfinance, donations, advisory
services, trade finance and guarantees to savings and loans cooperatives and farmer/producer
organisations in 23 developing countries.
Rabobank Foundation is also affiliated with two funds: the Rural Fund, which focuses on
providing relatively large trade finance loans and guarantees to producer organisations, and
the Rabo Foundation Customer Fund, which allows Rabobank customers to make a financial
contribution to Rabobank Foundation projects. The Customer Fund saw sound growth in 2012
so that Rabobank Foundation was in a position to help out even more underprivileged people.
The same went for the Rural Fund, which managed to broaden its reach in 2012.
Rabo Share4More, the Rabobank Group employee fund that is part of the Rabobank
Foundation, also developed well in 2012.The fund, which now has more than 6,000 donors,
awarded over EUR 600,000 in donations to 127 projects in 2012.
The reputation of the financial sector is under serious threat. Studies show that Rabobank still
has a good reputation. In the Netherlands, 76% of the population were aware in 2012 that
Rabobank is a cooperative bank, up from an awareness rate of 74% in 2011At the same time,
Rabobank is seeing a gradual drop in the positive rating of Rabobank as a cooperative from
59% to 57%. The perceived brand values also saw a drop. Rabobank did still score the highest
of all Dutch banks on brand value, well ahead of the number two.
2012
2011
Rabobank as a cooperative
Awareness of Rabobank as a cooperative
76%
74%
Positive rating of Rabobank as a cooperative
57%
59%
Brand values
Committed
No. 136%
No. 140%
Lead over no. 2
17 percentage points
21 percentage points
Nearby
No. 149%
No. 153%
Lead over no. 2
14 percentage points
18 percentage points
Leading
No. 1:41%
No. 144%
Lead over no. 2 12 percentage points 14 percentage points
An increase in negative publicity about Rabobank since the end of 2011 was one of the main
reasons for the drop in perceived value. Although the loss of the triple-A status from Standard
Poor's did not affect Rabobank's robustness, it did affect our image. Media reports about
online banking malfunctions, the cycling team and Libor also had a negative impact on
Rabobank's reputation. In addition, there were some smaller issues to contend with, including
lending policy, rates, ram-raiding and phishing. All in all, maintaining our good reputation and
strong brand position is more of a priority than ever before.
At a press conference on 19 October 2012, Rabobank announced that it had decided to
withdraw from professional cycling after having sponsored a men's team for 17 years.
The bank made this decision after the publication of a research report by USADA, the United
States Anti-Doping Agency. The report revealed information that had caused the bank to
lose faith in international professional cycling as a clean and fair sport. Developments since
October 2012 have confirmed the bank that it made the right decision. Several cyclists and
other persons involved have confessed to the use of doping while they were employed by the
Rabobank Professional Cycling Team. Some confessions date back to 1996, when Rabobank
started as a team sponsor. When Rabobank became a sponsor of professional cycling, it did
so full of enthusiasm and with a clear mission. Over the years, the bank broadened its
sponsorship to comprise a complete package, from men's and women's professional teams,
to youth teams and cyclo-cross. In doing so, Rabobank has always been an advocate of a
19 Cooperative and sustainability
