Numerous polls have underscored that the reputation of the United States in the Middle East has steadily deteriorated. This persistently negative image poses a formidable challenge to the ability of the United States to engage the Arab region, casting a cloud of suspicion over US political, economic, and cultural initiatives. To remedy this situation, US policymakers should create a real operational and rhetorical alternative to the “global war on terror” as a framework for global engagement, acquire expert knowledge about the Arab media environment, pay more attention to how economic governance issues affect perceptions of the United States, and consider the pitfalls of the misunderstood “branding” label. Above all, an understanding should emerge that the US reputation crisis cannot be resolved by communication alone, but ought to rest on smarter policies. A revised grand strategy should rest on a new multilateralism based on engagement with multiple state and nonstate actors alike.