The internet has connected us globally, but the world is getting more impersonal it seems. In the past and since Ancient times, people knew the people they conducted business with. But thanks to the internet, we don’t have to do business in a brick and mortar structure anymore. Some people do nearly all their purchases online without seeing a human face.
With more people coming online all over the world, more and more commerce is happening over the internet and the trend is expected to continue rising for a long time. Internet transactions are very impersonal, and a great deal of trust is required for these exchanges to be successful.
But there’s a widespread lack of trust in the world today. This has not only affected personal interactions over the internet but business transactions as well. There are a lot of scammers, hackers and other unsavory characters on the Web which has made people more distrustful.
This has affected their attitudes toward business and internet users are getting very careful when choosing businesses to buy from. Internet security, identity theft, low quality or dangerous products, and fraud are some of the issues that people are worried about when transacting online.
So if businesses hope to succeed in generating sales and revenue, they will have to work hard to build trust with their customers. The key to building trust with your customers is to understand why it is important in the first place.
Creates brand loyalty
Trust creates brand loyalty. When you establish genuine emotional connections with your customers, chances are you will earn their trust as well. Brand loyalty is the bread and butter of commerce and is the ultimate goal of every business. It is the key factor in customer retention. When a customer is loyal to your brand, they will keep coming back to you and keep buying more from your company.
This can be beneficial to you in two ways. First, you will see an increased sales volume as a result of repeat customers. Second, the cost of retaining a customer is way lower compared to the cost of seeking new customers. It will cost you 5-10 times more to find a new customer than retaining your existing one. Also, current customers spend 67% more than new customers.
Earns you a great reputation
A good reputation is a must for any business on the internet. Reputation means how a business or a brand is perceived by customers, stakeholders and the market as a whole. Your reputation is determined by the ideas and emotions that these people associate with your brand.
Users will perceive your brand well if they had a great customer service experience when they bought from you. Also, if the products or service delivered was of high-quality, and the after-sales service was to their satisfaction they will likely recommend you.
Customers are more likely to recommend brands or products that they trust. So if a user has a wonderful experience with your business and trusts your brand, they will likely recommend you to their friends and family. They will also probably write positive reviews about you if they had great customer service experience. 61% of customers read reviews before making a purchase, so you cannot afford to have a bad reputation.
Form genuine connections with customers
One way of building trust is by creating meaningful and genuine connections with your customers. Once you have gained their trust, you need to maintain this connection and nurture it. By constantly engaging with your customers, you will be able to understand their needs better which in turn allows you to serve them better.
The benefits of building trust online cannot be overstated. Having a genuine trust with your customers can help you stand out from your competition, create brand loyalty and maintain a good reputation.
Trust is one very important aspect to focus on, as it can make or break your business. You need to cultivate it, continually work at it and maintain it if you are to develop a successful online business.