If it turns out that this was really just random bad luck, it shouldn't affect their reputation (if humans were rational, that is...)
But if it is what many people seem to imply, that this is the outcome of internal problems/cuttings/restructuring/profit-increase etc, then I truly very much hope it affects their reputation.
But I'm afraid it won't. Just like Microsoft continues to push out software, that, compared to competitors, is unstable, insecure, frustrating to use, lacks features, etc, without it harming their reputation or even bottomlines too much. I'm afraid Cloudflare has a de-facto monopoly (technically: big moat) and can get away with offering poorer quality, for increasing pricing by now.