Build Your Business by Building Trust: 10 Facts You Should Know
September 7, 2014
Your organization’s reputation for providing trustworthy service determines your success.
Why is people’s trust in you so important?
People do business with organizations they trust and with people they trust. People buy because of the relationship, the experience and the service.
Consider these facts.
1. 73 % of customers will not buy products from organizations they do not trust
(Edeleman Trust Barometer of 2011 and 2013)
2. 75 % of customers recommend products and services of organizations they trust (Edeleman Trust Barometer of 2011 and 2013)
3. 67 % of customers proactively criticize an organization or products they do not trust to friends Edeleman Trust Barometer of 2011 and 2013)
4. 70% of customers base their purchasing decisions on how they feel they have been treated. (McKinsey)
5. Customers are 4 times more likely to switch to a competitor if the problem is service, then if the problem is price or product related (Bain and Company).
6. Price is usually not the main reason for the loss of a customer. More often is due to the overall poor quality of customer service. (Accenture global customer satisfaction report 2008)
7. Happy customers who get their issues resolved tell about 4-6 people about their experience – White House Office of Consumer Affairs
8. 85 % buy products and services from organizations they trust (Edeleman Trust Barometer of 2011 and 2013)
9. Customers who rate you 5 on a scale from 1 to 5 are 6 times more likely to buy from you again, compared to only giving you a score of 4.8 (Telecation data research)
10. 96% of unhappy customers do not complain, however 91% of those will simply leave and never come back (F1 Financial Training services)
Knowing these facts, you realize in business you can not afford to get trust wrong. As clients are asking questions and determining who to do business with, your organization’s voice needs to be the one they listen to.
When clients trust you, they will do repeat business with you.
Other indicators of client trust include: sales, market share, requests for proposals, referrals, cost of sale, time to make a decision, length of time to client takes to pay an invoice and offering product ideas just to name a few.
Do you know if your clients trust you? Do you know why?
Start today in building a culture of trust. Build a plan to improve your current approach. Remove anything from the way you do business that erodes your client’s trust in you. Build trust. Protect the trust you have. And watch as your repeat business, and your profitability builds with it.