So much has changed in the last six months. As public health concerns impact our behaviors, retailers of all kinds are learning to adapt to “the new normal” by moving their businesses online as much as possible. For some, this is an entirely new sales and marketing paradigm, while others have a head start and online retail experience. From creating and maintaining online marketplaces to finding ways to connect with consumers digitally, there’s a lot to learn.
One of our consistent interests at Eidson & Partners is the building and sustaining of consumer trust. Trust is one of the most valuable currencies in marketing as it enables fruitful relationships and turns loyal customers into brand evangelists. But what does trust mean in a world that is (for the time being, at least) mostly digital? Without in-person or in-store experiences, how do retailers who are newly reliant on online marketplaces establish and maintain trust? Continue Reading
Earning consumers’ trust has always been a top priority for savvy brands, but in today’s increasingly crowded marketplace, trust is an even more critical asset. When a brand’s strategic narrative includes the promise of trust and responsibility, it’s vital that the consumer journey reinforces those ideals. Let’s take a look at the consumer decision-making process and how trust can be built at each point along the way.
The Consumer Decision-Making Process
The EBK model of the consumer decision-making process was first codified in 1968. While the consumer experience has changed drastically since then (this video from Directive Consulting provides an interesting overview), the five steps of the EBK model are still used by marketers and brand-builders today. Here’s how brands can gain trust at each critical moment of the consumer journey: Continue Reading
One of the prevailing themes of 2017 so far has been the erosion of public trust in our key institutions. The Edelman Trust Barometer, an annual global study conducted by a respected communications marketing firm, confirms what many of us have felt: “trust is in crisis around the world.” For the first time since 2012, the public’s trust in government, business, media, and NGOs has declined significantly.
While there is a complex web of cause and effect that has culminated in a large-scale erosion of trust in these institutions, the end result is clear – a populace that is increasingly divided and suspicious of news, marketing, and media messaging. In the era of “fake news,” PR and marketing professionals must examine their methods and recalibrate their strategy in order to reach the general public in an authentic and credible way. But how? Continue Reading
Early each year, leading global communications and marketing firm Edelman releases the results of their Trust Barometer survey. The Edelman Trust Barometer is the culmination of a global study of consumer trust in four key institutions – business, government, NGOs, and media. The newest iteration, conducted in 28 countries and encompassing more than 33,000 respondents, places a finger on the pulse of consumers across the world.
Would you be surprised to hear that in 2017 Edelman finds that “trust is in crisis around the world”? For the first time since they began tracking these metrics, “the majority of respondents now lack full belief that the overall system is working for them.” What might be at the root of this global decline in trust in our key institutions? How can we begin to rebuild consumer trust in an authentic and sustainable manner? Continue Reading
We've now spent the last four weeks discussing the results of the 2016 Edelman Trust Barometer, and the global impacts those findings may have on a series of institutions—mainly the government, big business and the media. If you're just joining us, a marked divide is emerging between what Edelman has coined the “elite” population and the rest of the general public. The elite or informed public – those possessing at least a college degree – express far higher levels of support and confidence in the government, media and industry when compared to the rest of the “mass population.”
And while these gaps are significant in all areas across the globe, the largest disparity in trust is observed in the business sector in general. Richard Edelman elaborates:
“The most profound difference between elite and the broader populations is found in their attitudes toward business. There are double-digit gaps in half of the countries surveyed, the most significant being in the U.S., where 70 percent of the elite population express trust in business in contrast to 51 percent of the general population, a 19-point difference.”
Altering these opinions will neither be easy or immediate, but if we're armed with an understanding of why trust levels have changed – coupled with strategies to change how every citizen views business leaders – we can start cultivating trust in our own companies.
We've now spent a few posts discussing the results of the 2016 Edelmen Trust Barometer and the global consequences associated with its findings. By now, it should be evident that the ever-growing trust disparity that exists between the “informed” and “mass” populations is responsible for a variety of effects on the government, media and, most substantially, the business sectors. Edelman explains his findings:
“…in the U.S., 70 percent of the elite population express trust in business, in contrast to 51 percent of the general population, a 19-point difference. This skepticism is clearly manifested in the perception of specific industries… as CEOs are substantially more trusted by the elite population…”
If nearly half of the general population in the United States is expressing some form of skepticism toward the business sector, leaders of businesses can benefit their companies by taking deliberate steps to establish trust. This week, let's take a look at a few ways business leaders can work to build that trust.
If you're just joining us, our most recent series of posts have discussed the 2016 Edelman Trust Barometer and the global impact its results may have on businesses, governments and the media. In our most recent post, we addressed the ever-growing skepticism customers harbor toward American business leaders. However, while a solid percentage of the global population expresses some form of hesitancy and distrust, the situation is far from hopeless.
In fact, despite the current attitudes expressed by citizens around the globe, Edelman's results show large portions of our society remain optimistic about business and its leaders:
“The survey shows that despite the general population’s skepticism, business has the best chance of bridging the trust gap while still fulfilling its mandate to create value. The general population sees business as the institution best able to keep pace with rapid change, ranking it well above government and higher than nongovernmental organizations.”
As business owners or team leaders, if we're to reverse the negative trends that have created this trust disparity, we must begin by understanding the way “trust” has changed in recent years.
If you're joining us for the second installment of our series on the 2016 Edelman Trust Barometer, you understand there are a few key elements of today's society that are contributing to the growing trust disparity between the “informed” and “mass” populations. As Richard Edelman sums up,
“Trust is rising in the elite or “informed public” group – those with at least a college education, who are very engaged in media, and have an income in the top 25 percent. However, in the 'mass population' (the remaining 85 percent of our sample), trust levels have barely budged since the Great Recession.”
As it currently sits, the trust gap difference between the informed public and the masses is nearly 19 percent. When these views become the norm – when the staggering majority accepts skepticism as a consumer mindset and cynicism as a political platform – consequences arise. To quote Holly Green, CEO and managing director of The Human Factor, in an article in Forbes,
“Putting our collective cynicism aside, this pervasive lack of trust represents a leadership crisis of staggering proportions. When we don’t believe that our business and political leaders tell the truth, it sets in motion a tidal wave of negative attitudes and ways of thinking and behaving that gets in the way of achieving our goals.”
Though you might have a “so what” reaction to the idea that large portions of the population have diminished trust in government and business, we're now seeing that trust levels have a measurable impact on how our society functions and how consumers interact with businesses. And this impact demonstrates that trust is a must for businesses to cultivate.
We've believed for a while that companies of any size must cultivate trust. Consumer trust plays an important role in brand advocacy, social media engagement, and the success of new products. While much of the analysis and conclusions surrounding trust in the business world has tended to be on the theoretical side, a recent survey has revealed some very interesting, concrete facts and statistics surrounding consumer trust. And this survey has revealed that trust isn't just a “nice to have” thing for your business or organization; it's now a “must have” if you want your company to succeed.