Aussie Broadband share price dips despite telco named ‘Australia’s most trusted’

The company has been crowned Australia’s most trusted telco brand in 2022.

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Key points

  • The Aussie Broadband share price is slipping on Thursday, falling 0.7% to trade at $3.55
  • That's despite the company announcing it has been named Australia's most trusted telecommunications brand once more
  • According to Roy Morgan – the research house behind the award – trust is critical to the health of a brand, making up three quarters of its reputation

The Aussie Broadband Ltd (ASX: ABB) share price is in the red on Thursday despite the company retaining an important crown.

The company has been found to be Australia’s most trusted telco again – a critical measure for the health of the brand.

At the time of writing, the Aussie Broadband share price is $3.55, 0.7% lower than its previous close.

For context, the broader market is also struggling on Thursday. The S&P/ASX 200 Index (ASX: XJO) is currently down 1.14% while the All Ordinaries Index (ASX: XAO) has slipped 1.18%.

Let’s take a closer look at Aussie Broadband’s retained title and what it means for the company.

Aussie Broadband wins ‘most trusted’ in 2022

Aussie Broadband is likely celebrating today despite the company’s share price sliding.

Today, it revealed Aussies named the telco as the industry’s most trusted brand for the second year in a row, according to research by Roy Morgan.

Roy Morgan CEO Michele Levine recently noted that trust was “the cornerstone of a sustainable future” and a key value driver. Trust could account for around 75% of a brand’s reputation, Levine said.

According to Aussie Broadband customers, the brand’s key trustworthy attributes were “good customer service and reliability”.

Aussie Broadband managing director Phillip Britt today commented on the research house’s findings, saying:

We’re very honoured that consumers and Roy Morgan have recognised that we provide a high-quality service and see us as the most trusted telco in Australia.

Plenty of accolades

The title of ‘Australia’s most trusted telco’ is just the latest the company has managed to retain.

Last month, it took out Internet Service Provider of the Year for the second year in a row at Roy Morgan’s Customer Satisfaction Awards for 2021.

The company also joined an exclusive list of 10 brands found to be Australia’s ‘best of the best’, an award featuring winners of all 40 categories designated by Roy Morgan.

The telco is one of just four brands to receive the award in consecutive years.

Aussie Broadband share price

Despite the company being a favourite among customers, the Aussie Broadband share price has struggled this year.

It’s currently 25% lower than it was at the start of 2022. However, shares in the company are still 24% higher than this time last year.

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Aussie Broadband Limited. The Motley Fool Australia has recommended Aussie Broadband Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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