Today, most business transactions - whether buying shampoo or tonight's dinner - are faceless. That's why in our digital world, trust is the new currency. This shift in consumer behavior, sometimes called the "trust economy," is more than the quality of products or services you offer; it's about constructing a bedrock of reliability and transparency so customers choose you over competitors.
"Trust keeps society running. Even the
most trivial interactions rely on small acts of trust," the Economist
reported. This isn't lost on company leaders either. PwC's 25th Annual Global
CEO Survey reported that behind industry conditions, consumer trust is the most important predictor of a company's
past and future financial performance.
However, trust is increasingly difficult
to earn. Thanks to the recent emergence of AI, frequent mishandling of personal
data by companies and relentless cyber-attacks, customers are more skeptical
than ever. As product and service providers, PwC points out that we are
constantly evaluated by our customers on whether or not we are "forces for good
in society." Make one slipup and that trust is gone, perhaps for good.
How you handle data and use technology to
influence your customers' experience will decide your fate in the trust
economy. Prioritize the most important drivers of trust - empathy, reliability
and integrity - and grow your customer loyalty this year and in the years to
come.
Technology's Role In Improving Customer Trust
Our dependence on technology is
undeniable, yet this very reliance makes us vulnerable. Computer pioneer Willis
Ware once said, "The only computer that's completely secure is a computer no
one can use."
This statement hits a nerve, especially
for businesses navigating the complexities of digital security. The challenge,
then, is to harness technology in a way that boosts, rather than undermines,
customer trust.
Be Transparent About Data Usage
Ever been shopping for a new shirt only
to have an online ad pop up later for the same shirt? It's not a coincidence -
it's data. Although customers expect you to collect data, they want a say in
it. According to a report by Qonsent, 94% of consumers feel that having control
over the data they share with companies is important.
Make sure you have a clear privacy policy
that tells customers:
Additionally, don't collect more data
than you need, and ensure your team is well-versed in data security, drawing
from clear internal processes around data management. Slack's "Privacy Policy"
page is an excellent example of data transparency. It's written for the
consumer (not in legalese), and it clearly explains what data is collected and
why, and how users can change their preferences.
Take Cybersecurity Seriously
Customers want to know if you have a good
reputation for protecting their data and information. According to a 2022
McKinsey survey, 53% of consumers will only engage with a company after
checking for a good security track record. Even one breach could mean losing a
significant amount of your customer base.
To build trust with your customers, make
sure your company's cybersecurity strategy includes:
Leverage Technology To Improve Your Customers' Experience
According to a 2018 report by Deloitte,
customers spent 140% more with companies they had a positive experience with.
Additionally, companies with positive interactions reduced customer service
costs by as much as 33%.
Technology enables businesses to offer
personalized, seamless experiences that resonate with customers. Consider how
e-commerce platforms use encrypted payment transactions and tailored shopping
recommendations to provide secure and helpful interactions. Or CRM systems that
act like an assistant who never forgets a face or a conversation, so you can
manage customer interactions with greater personalization.
Above all, though, it's the quality of every interaction you have
with customers that builds trust. Whether over the phone, by e-mail or across a
store counter, remember that your customer wants to trust you. You just have to
deliver.
Embrace Trust And Earn Loyalty
Nearly half (46%) of consumers say
they'll consider another brand if data practices are unclear, according to the
McKinsey survey. On the flip side, organizations prioritizing digital trust are
more likely to experience a 10% annual boost to their top and bottom lines.
Listen to your customers. Prioritize a trust-based approach to your business
and digital security, and you're not just winning trust now, you're setting up
for years of loyal customers.
VECTOR CHOICE ADVANTAGE
Here at Vector Choice, we offer the necessary tools and expertise to provide digital trust to your clients. Let us help navigate your cybersecurity to ensure trust with current and new clients. Contact us today to learn more!
