Mexicos Brand in the U.S.

N AT I O N A L S U R V E Y R E S U LT S K E Y F I N D I N G S

November 2012

Austin | Dallas | Washington | Mexico City

Study Background

Vianovo and GSD&M recently conducted a national poll of U.S. adults to gauge Americans attitudes about the country of Mexico

The survey was fielded October 4-7, 2012 1000 adults (18+) were interviewed online via YouGov1 (MOE 3.9%)

1 YouGov is one of the worlds premiere online research firms and operates an online panel of more than 1 million U.S respondents; data has been weighted to U.S. Census estimates for key demographics

Survey Roadmap
We investigated four key topics
Overall image and associations overall, economy, security, associations

Information flow how much, what, impact, where

U.S-Mexico relationship past four years, view of, trade impact, future focus Specific knowledge and perceptions economy, government, culture, security

Country Image Ratings1

Mexicos overall image in U.S. is similar to Colombia
Given what you know about the following countries, what is your opinion of each? [Randomize]
Net Image Canada 4% United Kingdom Brazil Greece Turkey Russia El Salvador Mexico Colombia

22% 25% 50% 31% 45%

74% 67% 35% 24%

+72 +60

7% 15%

+20
-7 -10

27%
39% 32%

56%
45% 59%

17%
16% 9%

-23 -23 -33 -33 -40

50%
44% 53% 52%
Unfavorable
3

34%
45% 35% 38%
Neither Favorable

17%
11% 13% 10%

China
Saudi Arabia

-42

1 Unlike Gallup, our image question provides respondents a neutral midpoint (which signifies dont know, no opinion, in middle) results suggest many who choose favorable in Gallup are actually neutral (and lean positive on a forced choice)

Views of Country Economies

Mexico viewed as a developing economy, well behind Brazil, Russia
Again, thinking about those same countries, based on what you know, would you describe each of their economies as modern, developing or not developed? [Randomize] Canada United Kingdom China Greece Russia Brazil Saudi Arabia Turkey

86% 82% 52% 46% 44% 43% 36% 46% 49% 43%

10% 4% 13% 5% 5% 18% 10% 7%

39%
29% 17% 16% 8%
Modern

40%
54% 56% 56% 53%
Developing
4

22%
17% 27% 28% 39%
Not developed

Mexico
Colombia El Salvador

Perceptions of Travel Safety (I)

Mexico seen as more dangerous for travel than Colombia, El Salvador
Finally, thinking about those same countries one last time, how safe or unsafe would you feel about traveling to each one on vacation or for business? [Randomize] Mexico Colombia

43%
38% 37% 31% 21% 16% 11% 12% 12% 22% 27% 21% 16% 28%

29%
30% 29% 35%

72% unsafe 68% 66% 66%

Saudi Arabia
El Salvador Turkey China Russia Brazil Greece United Kingdom Canada

49% 38% 38%

33% 28%

6% 4%
Very unsafe
5

Somewhat unsafe

Perceptions of Travel Safety (II)

MX beach areas seen as much safer than border towns, big cities
How safe or unsafe would you feel about traveling to the following areas of Mexico on vacation or for business? [Randomize]

73% unsafe
Border cities

52 58% unsafe 32 26

21

10% safe 8 2 17 26% safe 20 6

Net Safe

-63 -32 -17

Mexico City

16 31

Monterrey

43% unsafe 21 22
36% unsafe 17 19 32% unsafe 16 16 32% unsafe 14 18
somewhat unsafe

26% safe 20 6
42% safe 30 30 37
somewhat safe
6

Puerto Vallarta

12 44% safe 14 55% safe 18

very safe

23 24 13
don't know

+6
+12 +23

Cabo San Lucas

Cancun

very unsafe

Reasons for Mexico Image Ratings

Drug violence is prevailing driver of Americans views of Mexico
You indicated your overall view of Mexico is [ ]. Please briefly explain why you feel this way about Mexico

Reasons1 Drugs/Cartels/Crime/Violence/Unsafe Corruption Dont know/Not familiar enough Illegal immigration/Border crossings

%2 72% 21% 13% 7%

Good place to visit/Things to see/Safe places

Good people/Developing/Trying hard/Like it Been there/Know people from there Ally/Friend/Neighbor

7%
5% 4% 4%

Poverty/Poor
Depends on where you go/Some places safe Dirty/Pollution
1 Open-end question responses have been categorized 2 Numbers sum to more than 100% because many respondents mentioned multiple things

3%
3% 2%

Mexico Word Associations

Drug(s) mentioned by 45% of respondents
Now, thinking about Mexico, what are three words that come to mind?

Information Flow
Bad news about drug violence, border issues dominates
In the past month or so, have you read, seen, or heard anything recently about Mexico? Has what youve seen, read, or heard recently given you a more/less favorable impression of Mexico?

Yes

55%

66%

45%
No

28%
6%
More Favorable No Difference More Unfavorable

In your own words, please describe what youve seen, read, or heard1

81% 42% 39% 14% 6% 8% 4%

Drug problems/Cartels/Drug violence Murder/Shooting/Beheadings U.S. Border Patrol agent killed Illegal immigration/Border crossings Fast & Furious U.S. tourist killed Crime crackdown/Reform/Government fighting back
9

1 Open-end question responses have been categorized sum more than 100% because many respondents mentioned multiple things

Information Sources
Media reports are where people hear, learn about Mexico
And where did you see, read or hear this information?1

In the news Word of mouth -- from a friend, family member or acquaintance Cant remember Travel stories Social media sites like Twitter or Facebook Advertising

85% 8% 2%

2%
2% 1%

1 Asked only of those who had had read/seen/heard something

10

U.S. Relationship with Mexico (I)

Most see it as unchanged or dont know enough
Do you think the U.S. relationship with Mexico has gotten stronger, has gotten weaker or has been mostly unchanged during the past four years?

Dont know

21%

No difference

43%

8%

Stronger

28%
Weaker

11

U.S. Relationship with Mexico (II)

Large majority views Mexico more as a source of problems than as a good neighbor
And which is closer to your view of Mexicos current relationship with the United States?

59%

27% 14%

Mexico is a good neighbor and partner for the U.S.

Mexico is a source of problems for the U.S.

Dont know enough

12

U.S. Relationship with Mexico (III)

Views are mixed on impact of U.S.-Mexico trade relationship
As you may know, Mexico is a major trading partner of the U.S. What kind of overall impact if any do you think this relationship has had on the American economy?

33%

34% 21%

22%
Somewhat

27%

12%
Very

6%
Positive

12% Little to no impact Negative Don't know

13

U.S. Relationship with Mexico (IV)

Large majority want bilateral relationship focused on security
In recent years, the relationship between the U.S. and Mexican governments has largely focused on security issues such as border control and drug trafficking. Thinking about the future of the U.S.-Mexico relationship, which of the following views is closer to your own?

Its important to maintain focus on security issues

70%

There needs to be more emphasis on economic, trade and energy issues

30%

14

Perceptions of Mexico
There is a lot of work to do challenges and opportunities
Below is a list of statements about Mexico. Please indicate whether you agree or disagree with each statement1. [Randomize]

Statement
Mexico has a rich cultural heritage

Agree

Disagree No opinion

77% 38%

8% 21%

14% 40%

Products made in Mexico are safer than products made in China Mexico has a large, growing middle class
Mexico is a good place to do business Mexico is a dangerous and unstable country Mexico is winning the fight against the drug cartels and traffickers

30%
32% 65% 10%

39%
42% 23% 72%

31%
26% 12% 17%

1 Respondents were able to strong or somewhat agree/disagree results have been collapsed

15

Key Demographic Differences (I)

Ideology is most significant driver of respondents views of Mexico
View of Mexico (by Political Ideology)

% sample Very conservative Conservative Moderate Liberal

65% 69% 46% 36%

25% 15%

10% 16% 18%

6% 25% 36% 12% 4%

46%
36% 30%
Unfavorable

36%
26% 62%
No opinion

17%
38% 8%
Favorable

Very Liberal
None

17%

16

Key Demographic Differences (II)

and even more so, of attitudes about U.S-Mexico relationship
Security v. Economy in U.S.-Mexico Relations (by Political Ideology) Good Neighbor v. Source of Problems (by Political Ideology)

Very conservative

97%

3%

Very 13% conservative

76%

11%

Conservative

87%

13%

Conservative 8%

79%

13%

Moderate

67%

34%

Moderate

15%

60%

26%

Liberal

51%

49%

Liberal

22%

55%

23%

Very Liberal

49%

51%

Very Liberal

41%

36%

24%

Security

Economic/trade

Good neighbor

Problem

Don't know

17

About Vianovo and GSD&M

Vianovo is leading strategy consultancy that advises companies and causes on high-stakes brand, policy and crisis issues. Our team has shaped strategies for U.S. Presidents and corporate CEOs and helped direct some of the most highly-charged battles of our time. Current and past clients include AT&T, NASA, the Gates Foundation, Airbus, Western Union, and Oxxo.

GSD&M is one of the worlds top advertising agencies. Longtime clients include Southwest Airlines, the PGA Tour, AT&T, and the U.S. Air Force and recent wins include Goodyear, Walgreens, Pacifico, and Novamex. GSD&M is known for groundbreaking work, including helping reposition BMW with its global Joy campaign and creating the famed Dont Mess With Texas anti-littering campaign.

18

Appendix
T R AV E L & R E L AT I O N S H I P S A N A LY S I S O U R R AT I N G S V S . G A L L U P

Travel and Relationships

A surprising number of Americans say they have traveled to or know someone from Mexico

Which best describes your travel to Mexico?

Do you have any friends, family or colleagues in the U.S. that were born in Mexico?

Travel Frequency Ive been there once Ive been there a few times

% 15% Yes 23% 10% 1% 52%

36% 64% No

49%

Ive been there many times I travel there frequently Ive never been there

20

Demographic Differences (III)

Travel, age also appear to have some effect on attitudes
Good Neighbor v. Source of Problems (by Political Ideology) Mexico Is Winning the Drug War (by Age)

Never been 10%

54%

36% 21% 35%

16%

6%

6%

Been once 9%

72%

13% 60% 62% 44%

Been a few times Been many times

59%

18%

67%

26%

29%

25%

58%

23%

22% 10% 4% 18-29

25% 4% 5% 30-44

17% 7% 2% 45-54

26% 7% 1% 55-64

21% 9% 2% 65 +

Travel frequently

55%

18%

24%

Good neighbor

Source of Problems

Don't know

No opinion Somewhat agree

Strongly disagree Strongly agree

Somewhat disgree

21

Mexico Image in U.S. -- History

Gallup Poll shows significant decline during past six years
Image of Mexico (Gallup Polls, US Adults, 1989-20121)

72

74 68

74 64 60 58 51 49 46 51 45 51 48

62

65 57 49 43 55

67

40 32 27 22 34 26 22 27

43

36
32

20

21

1989 1991 1993 1996 1999 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Favorable
22

Unfavorable

Gallup 2012 Country Image Ratings

For countries measured in our survey
Next, I'd like your overall opinion of some foreign countries. First, is your overall opinion of [RANDOM ORDER] very favorable, mostly favorable, mostly unfavorable or very unfavorable? Net Image Canada 3%2%

96% 90% 28% 9% 62%

+93

Great Britian
Greece Russia Mexico

5% 4%

+85
+34 +6 +3

44%
48% 56% 54%
Unfavorable

6%
2% 2% 5%
No opinion

50%
51% 41% 42%
Favorable

China
Saudi Arabia

-15 -12

Note: Gallup does not provide a neither option this pushes respondents into either favorable or unfavorable categories 23

Our Country Image Ratings1

Given what you know about the following countries, what is your opinion of each? [Randomize]
Net Image Canada 4% United Kingdom Brazil Greece Turkey Russia El Salvador Mexico Colombia

22% 25% 50% 31% 45%

74% 67% 35% 24%

+72 +60

7% 15%

+20
-7 -10

27%
39% 32%

56%
45% 59%

17%
16% 9%

-23 -23 -33 -33 -40

50%
44% 53% 52%
Unfavorable
24

34%
45% 35% 38%
Neither Favorable

17%
11% 13% 10%

China
Saudi Arabia

-42

1 Unlike Gallup, our image question provides respondents a neutral midpoint (which signifies dont know, no opinion, in middle) results suggest many who choose favorable in Gallup are actually neutral (and lean positive on a forced choice)