Our Top 5 Business Trends: #3 Trust

Trend: Trust
Hand-in-hand with privacy is the matter of trust. Without a clear, unequivocal position on the former, the latter is not possible. Trust, at its heart, is about transparency. Globally, trust in business to do what is right is at 50%, while trust in business leaders to tell the truth is a mere 18%*.

“It is rather ironic. We have more data than ever before, but the overwhelming evidence is that customer loyalty is lower,” said Chris Malone, managing partner at Fidelum Partners, who took part in a Wharton Marketing Conference panel titled, “Building Loyal Customers in the Information Age.”

As we have stated previously, in the short term, customers will stop knowingly providing their data, as they understand completely the value of their data. They will also withhold their data until they are convinced businesses will use their data in the customer’s best interest. It is simply a matter of trust that must be demonstrated.  It is not clear whether businesses subscribe to this policy, as it often conflicts with their business’ interest.

References:

* World Economics Forum, Why Businesses Need to Reshape Society
Knowledge at Wharton, The New Model for Innovation is Social and Mobile, But are Companies Ready?