CREATING TRUST TO IMPROVE MARKETING
Creating Trust Improves Marketing
In business, as in any human endeavor, trust is the basis of a long term relationship. As marketers, it is our job to develop and maintain strong and positive relationships with customers. All the hard work we do in terms of branding is essentially to create a level of trust with customers.
In the April 28th issue of the Wall Street Journal, a study was presented that discusses a chemical named Oxytocin, that is believed to trigger trust in humans. And the trigger to the release of Oxytocin in humans is trust. So according to the article, when you trust someone and exhibit trusting behaviors, such trust will be rewarded with trust in return.
For marketers, the idea means that if we exhibit trust behavior towards customers, they will have a release of the “trust molecule” and be inclined to trust in return.
An example might be the offering of rate comparison data on the Progressive Insurance web site. By trusting the shopper with rate information, the potential customer is inclined to build up a level of trust with Progressive. This trust may even be enough to overcome a small rate difference that favors a competitor.
Experiments were cited in the article dealing with the release of oxytocin during moments of trust. You may wish to consider your own experiments in this regard and to review the trust elements of your marketing activities.
Jh
May 5, 2012
Can Business Achieve True Customer Loyalty?
Can Business Achieve True Customer Loyalty?
I am often asked by clients and students to discuss the issue of customer loyalty, customer retention, customer relations, and the lifetime value of customers. In fact, in discussions with students during the first week of April, we kicked around the issue and some of my students ideas are incorporated in the thoughts to follow so thanks to them.
The loyalty cards I carry to obtain a low price at the grocery stores is just that, a discount card. I will go from one grocer to another based on who has the best values that day. So what is true loyalty and how can we in business get even close to having truly loyal customers?
PEOPLE … first, loyalty is a uniquely human endeavor so the dimensions of loyalty rest on human interactions. Don’t expect a plastic card to do what it takes a person to accomplish. We are loyal to people, and to each other.
VALUES…. Our target audiences have shared values and we need to be included in their values. Loyalty needs to includes elements of trust, respect, appreciation and fairness. And by sharing, I mean that values is a two way street and we should expect to receive respect when we give respect, etc. Ritz Carlton famously lives by the mission, “Ladies and Gentlemen, Serving Ladies and Gentlemen” and this is a values based business, a two way street, and a firm that engenders loyalty from customers.
EMOTIONAL…we are emotional when it comes to our love of family, country, flag etc. We well up with pride as the Star Spangled Banner is sung (or cringe when it is abused by a singing group). Loyalty should engender an emotional response. So our marketing efforts need to touch the responsive chords of humanity and associate the brand with our humanity. Speaking of the flag, often we ascribe our loyalty to an idea or ideal through the use of icons and symbols, like the flag. Consider yout use fo symbols in this regard as well.
If you think that true loyalty in business is impossible and that the leaky bucket of customer attrition is a natural part of business, perhaps you need to examine your approach to loyalty.