Opinions expressed by Entrepreneur contributors are their own.
In today's market, consumer trust has become paramount for businesses seeking sustainable success. A study by Edelman found that 81% of buyers cite brand trust as a deciding factor in their loyalty and purchasing behaviors. With the proliferation of information sources, companies can no longer maintain opaque practices that hide key details. They must operate in full transparency to gain customer trust and loyalty.
As CEO of Carbliss, an alcoholic beverage brand, I have witnessed firsthand how radical transparency around all manufacturing and business operations drives power customer loyalty and business growth. From our earliest days, we have been committed to an unwavering open-book approach that has helped cement valuable and long-term relationships with our client base. Below are the four criteria and best practices we prioritize to maintain transparency and customer loyalty.
1. Direct dialogue with customers
Today it is empowered CUSTOMERS can easily see through that insincere smokescreen. What they want from the brands they embrace is true honesty about every key aspect, including ingredients, sourcing practices, pricing rationale, regulatory challenges and more support for the products they consume.
A key way to nurture this culture of authenticity is by engaging directly with a high volume of customer inquiries yourself. Last year alone, I answered about 8,000 emails from Carbliss distributors, retailers, consumers and fans.
Ongoing honest dialogue is critical to fully understanding how customers perceive our brand identity, product qualities and customer service experiences in an unfiltered way.
Through raw, unapologetic honesty in these interactions, even when the facts may be unfavorable or uncomfortable for the customer to accept, we actively cultivate invaluable trust. The simple truth is that you can't build lasting customer loyalty through automated, impersonal responses or complicated corporate jargon.
Connected: Don't talk to another customer until you learn this simple customer service secret
2. Shining light on the complexities
Embracing this level of radical transparency means being prepared at times to face intense scrutiny from confused, perhaps deflated customers looking for simpler truths. We've found that winning is an extremely powerful brand reputation, anchored in truth, which ultimately breeds trust and sacred loyalty.
At my company, we willingly highlight details that other brands may hide or try to downplay, like our need to use “artificially colored” labels on cans, regardless of colors derived from natural sources, such as the brilliant blue of butterfly pea flowers.
We take every opportunity to explain the nuances of regulatory complexity that result in mandatory technical labeling jargon. We balance this by reaffirming our core principles of prioritizing high-quality ingredients that we legitimately consume ourselves and offer to friends and family without hesitation.
3. A culture of authenticity
As you grow and grow, it's important to maintain transparency across your entire team. This can be in the form of understanding the intricacies of the product, the track to profitability or the purpose of their unique role in the overall strategy. our EMPLOYEEregardless of role, we deeply understand the ingredients, resources and manufacturing methods behind our products so they can convey that knowledge accurately and reliably in their customer interactions activities.
Our detailed FAQ content clears up common misconceptions, from our avoidance of artificial colors to our premium pricing rationale based on operational costs and premium product positioning. While some buyers may be shocked by some of the realities we present, we insist on honesty because we have learned that it is the only way to foster understanding, respect and long-term customer loyalty.
Connected: How to Lead Authentically and Build a Thriving Workplace
4. Transparent best practices
For companies in any industry aspiring to foster strong brand loyalty by operating with complete transparency, the following are my personal principles:
- Be unconditionally open to all business practices by prioritizing clear and direct communication with customers at every opportunity
- Have customer interaction teams prepared to personally answer every question with unvarnished candor, barring any uncomfortable truths
- Thoroughly educate and train all employees on the paramount importance of authenticity in all their words and actions of interaction with customers.
- Embrace positive and negative customer feedback as a welcome opportunity to demonstrate a true commitment to continuous improvement.
- Secure it all content marketing and messages accurately reflect the true nature of your products, services and practices without ambiguity.
- Don't be afraid to openly discuss your company's real challenges, as this humanizes the brand relationship.
Connected: 5 Examples of Companies Succeeding Through Transparency
Backlash to Cultivate Loyalty
Of course, this radical embrace of transparency sometimes means confrontation opposite reaction by those who are dissatisfied with newly discovered information that contradicts their expectations. Cultivated trust and loyalty far outweighs any short-term friction. When you act with integrity and hold nothing back from your customers, you attract buyers aligned with your values who appreciate your courage and unwavering integrity.
If you are ready to push the truth customer loyalty and drive sustainable growth, it's time to embrace radical transparency across your organization. Do not complicate the realities; illuminate every aspect of your products, operations and business practices. Deal with the truth relentlessly, even when faced with scrutiny. Your authentic spirit and unwavering integrity will attract dedicated brand advocates aligned with your values.