Recently, being transparent in business has become a top priority for companies around the world. It’s crucial for businesses to remain open and honest in everything they do, and have previously done. Our team at FocalPoint Coaching is here to share with you why it’s so important to be transparent in business and how that transparency can benefit you.
Honesty Transparency is the Best Policy
Customers are consistently drawn to companies that offer honesty about their operations, products and employee treatment. All of these factors combined help consumers to decide if their core values align with those of the company. According to a study done by Label Insight, about 94% of consumers said they were more likely to be loyal to a brand that was honest and open. Because of this, it is apparent that the openness of a company could make or break a sale for some individuals.
It’s a Treat for Employees and Customers Alike
The transparency of a company also affects employees, not just consumers. The ability to have open lines of communication with employees is so important in running a successful business. If there is not clear transparency internally within a company, there is no way that company could be fully transparent with their consumers. When a company is open with their employees it helps to boost morale and make the employees connect to the company on a deeper level. One great example of a company using transparency to their advantage is Patagonia: they made their entire supply chain process available to their consumers with the touch of a button—all a consumer has to do is go to the website, click on a product and a video will play for the product describing its supply chain. They also openly admit if something they are doing is not the best, and they ask their customers for feedback on how to improve.
It Will Help Build Brand Loyalty
In recent years, consumers have become more skeptical about big companies they deal with on a day to day basis. With several options for the same products or services, people now are interested in staying loyal to companies that better align with their values rather than just choosing the cheapest option. Consumers are no longer interested in handing big companies easy profit—instead, they want their purchases to mean something. With transparency becoming such a priority today, it’s important for companies to remain open on social media and provide information as quickly as possible. We live in a world where one rumor or one story can ruin the reputation a company has built for itself. With information moving so quickly in today’s digital age, it is better to release information on social media upfront rather than allowing it to be leaked, because this will only negatively affect the company. The key to transparency really is to be proactive in everything that you do. The more information you share upfront, the easier it is to control the image of a business.
Today, it is more important than ever before to remain open and honest in business. Transparency works from the inside out—it starts with employees, then branches out to consumers. Because consumers are more interested in business operations and a business’s story now more than ever, companies have to be prepared and begin their journey of open communication as soon as possible. Here at FocalPoint Coaching, we’re here to help. Give us a call today at (610) 768-7774 to get started on your path to transparency!