The Fuel to Double Your Business
by bobrichards ~ March 23rd, 2009. Filed under: trust in business, trusted advisor.Most business owners think that to grow their business, it takes more money or more personnel. But maybe another ingredient is more important, the ingredient of trust in business.
As an illustration of the importance of trust in business, consider the financial crisis. It’s not a financial crisis or liquidity, it’s a crisis of trust. One day, Lehman Brother’s trading partners stop trusting Lehman. So they withheld business, decided not to extend credit and Lehman had to declare bankruptcy. Consider the banks slowness to lend—they don’t trust that the loan will get repaid. Or consider the credit card company’s reduction in credit lines because they don’t trust that the cardholders will pay.
In fact, the main reason that the US has the largest economy is because its residents have had the most trust in one another. We consider signatures on contracts to be binding (because we trust the legal system to enforce signed contracts) and in most business transactions, we even rely on the other party’s word. But now, we see what happens when trust comes into question. Parties stop dealing with one another and the economy shrinks. Other countries have smaller economies because they have less developed systems of trust and we are now have a taste of what goes on in other economies.
Trust has the same impact on the micro-economy of your business as it does on global trade. Your prospect does not buy from you because the investment has a “terrific ROI.” They buy from you because they trust you. In their eyes, you are the “trusted advisor.” If a stranger approaches you on the street, hands you a dollar and says “I will sell you this dollar for a dime,” the fantastic ROI is insignificant compared to your skepticism that something is fishy. You don’t trust the stranger and you turn down the guaranteed 900% ROI. Your prospect feels the same way.
Your prospects don’t become your clients because you have great financial options. They become your client because they trust you. The next several posts will deal with the issue of how you build trust so that you can rapidly convert prospects to clients.
“You can have all the facts and figures, all the supporting evidence, all the endorsement that you want, but if you don’t command trust, you won’t get anywhere.”
–Naill Fitzgerald, Former Chairman, Unilever
Listen to this post
June 13th, 2009 at 11:45 am
I UNDERSTOOD THAT APART OF ALL THE OTHER THINGS THE MOST IMPORTANT THING FOR A PARTICULAR BUSINESS’S GROW UP IS THE TRUST!I AGREE TO YOU!
Famous quotess last blog post..Father’s day Quotes
June 22nd, 2009 at 12:02 am
It’s true. Just as external shock can affect the economy as a whole, it can also affect your business. Levels of investment and consumption depend mainly on trust and business reputation, so the more trust you can build, the more people likely to buy or invest in your business.
June 29th, 2009 at 2:59 pm
That’s actually really true. A great look at things. But if the economy is to get better, who should start trusting more, the clients or the companies?
July 7th, 2009 at 12:33 am
[...] I read in an article that besides money and people (input), we also need trust to grow our business. Is it true? How can we keep trust when we meet many new people and we know that everyone just wants to benefit? Well, as written in the article, trust has been proven as an essential tool to keep thing going well. Remember how financial crisis was becoming severe and severe in Asian countries because the citizens didn’t trust that their governments would be able to accommodate their needs and safety? See the opposite happened at developed countries? People do business with you mostly because they trust you, that you will do your role well. And you do the same to the others, and your business can grow. Read more here. [...]
July 13th, 2009 at 8:23 pm
I strongly agree that trust is very important in the business, even if your product or services is great, if your prospect clients do not trust you or the company they will not invest. Make sure that you build a trust to every prospect clients and you’ll definitely hit the nail on the head.
August 15th, 2009 at 11:05 am
Yes.. I too agree with this. I even tell this to my assistants. At this time of recession, many people never think that its a crisis of trust. Even u have everything, trust plays a major role.
August 20th, 2009 at 4:06 pm
great post!! i agree with you that Levels of investment and consumption depend mainly on trust and business reputation, so the more trust you can build, the more people likely to buy or invest in your business.
August 22nd, 2009 at 9:29 pm
Building trust is the backbone to any organisation! Great Article!
September 30th, 2009 at 1:16 am
Very good article. i very much agree. Trust is the fundamentel of every business
October 11th, 2009 at 6:30 am
Trust is important but let’s remember creativity is what makes you stand out.
October 12th, 2009 at 12:32 am
Hi Bob
Absolutely agree that it comes down to a trust issue when you really start to look at the underlying issues in the financial markets. It was also very surprising to see how it became a global issue in a relatively short period of time. That in part is due to access to information 24/7 via the TV and internet etc.
Good points
Make it a great day
October 15th, 2009 at 4:34 pm
Hi,
I agree with you the fuel to build any business is building trust on your customers. I really like your article. Keep posting.
October 15th, 2009 at 4:48 pm
A trust is very important factor of any business, I agree also, but sometimes I am a sceptic because of a bad experience I once had with my partner in business. I am very careful now in choosing my moves and I am not so willing to take a risk anymore.
October 15th, 2009 at 7:31 pm
A trust is very important in every business, but I am a sceptic sometimes because of a bad experience I once had with my former partner. You can trust someone but he or she will not do what they promised to do and that is the risk of every job but that can also close your shop.
October 27th, 2009 at 2:17 am
Building trust can be great way to double up the income of business. Because it will create loyalty customers. Thanks for sharing
November 1st, 2009 at 7:16 am
That’s 100% True, that’s why older marketers take out all of the business in the Internet marketing world.
People trust us so they buy, but, if you start getting carried away and begin promoting none to worthy products you will lose your credibility and lose the people who trust you and helped you build your business.
I think its better to give than receive, but, you should get what you deserve.
November 16th, 2009 at 10:36 am
Trust is very important and - like other elements involved in a business’s marketing - is based on perception. Specifically in online marketing, the perceived credibility of items such as landing pages is very important. Components like security seals, telephone numbers, and listing the physical address of the business can all help to build confidence and trust. When a business is not brick and mortar, it’s critical that it does as much as possible to give the right impression in the online space.
November 18th, 2009 at 9:20 pm
That’s an interesting take on growing your business. I never really thought about it from that perspective. I’ll definitely be sure to make sure that I keep trust on the top of my priorities now.
November 20th, 2009 at 9:24 pm
Great Post.Too many businesses are so busy with building up their reputation online but they forgot to install trust to their potential customers.
It will take time to make someone trust you but in the long run , it will benefit both sides.
November 23rd, 2009 at 8:13 pm
Its trust, but also reputation, and secure property rights in your country. Signing on the dotted line is only reputable because there are rammifications if you do not hold up your end of the bargain. The law helps to keep us productive and collaborative
December 1st, 2009 at 1:37 am
well that goes without say that trust is a major factor, but knowing this and finding real trust is completely different ball games, specially in today’s market….hmm
December 1st, 2009 at 7:56 pm
Trust is the main word for business- 100% agree with the statement
December 1st, 2009 at 8:28 pm
Thanks for sharing informative and interesting post.According to my view point to built up your business successfully you need trust because trust is the main factor for continuing your business with your clients.
December 3rd, 2009 at 12:12 am
This is very interesting reading. Always knew that the crisis had something to do with psychology - but never saw trust as the actual driving force. But there is probably something to it! Thanks!
December 7th, 2009 at 12:16 am
Indeed trust is very important in building a business. It is particularly hard to do especially if your business is new like mine. You have to be able to come off as legitimate and at the same time be able to convey a certain degree of professionalism. Also what I found is that good referals always help in being perceived as trust worthy. Honesty and openess is the key.
December 10th, 2009 at 3:26 pm
I agree on the importance of trust. Trust is probably the most tangible of the intangibles when it comes to surviving or growing your business. Once your customers do business with you, there is an established trust right there that you cannot break. Like me, when I said that silver is a better investment than gold, a lot of my readers listened because they trust me. Now that they’re listening, I showed them the recent ten year relative performance of silver vs. gold. All we needed is a gold/silver ratio price chart and they became believers. That’s why it’s important to make sure that you have something to follow up on that trust.
December 18th, 2009 at 3:33 pm
Great information!Trust is the key resource for success.So there is need to build trust before starting any business without it there would be lack of many things.Thanks for sharing.
December 19th, 2009 at 7:52 am
Trust is essential,like online business,i often buy things from well-praised online store,i believe,consumers’ trust is the most important to business man
December 22nd, 2009 at 2:40 am
i think trust comes first and then other aspects. I strongly agree with you. People buy things just because of they trust you.
December 30th, 2009 at 10:17 pm
trust is the key on bussinness. i’ve already knew it before read the article. nevertheless it strengthen my knowledge. very inspiring. thx.
December 30th, 2009 at 10:54 pm
If you don´t invest in trust, other people certainly won´t do it too.
Cya.
January 9th, 2010 at 6:31 am
Agreed that trust is extremely important for business. In consignment, our suppliers are regular people and they need to have the trust in our company to sell & maintain their goods. Some customer have come into our store and vented their frustration with some other shops in our local area.
January 13th, 2010 at 2:23 am
Trust for your employees is also very important since you need them to make your business succeed.
January 13th, 2010 at 4:08 pm
In our business trust is king. The client has to trust the trainer to deliver the appropriate safety training and the employer must trust the employee to carry out important safety procedures. The culture of trust cross the bridge between client and supplyer
January 15th, 2010 at 5:03 pm
An interesting perspective indeed. Trust is certainly the most important in business. Business is like a relationship. What you want is returning customers!
January 16th, 2010 at 12:23 pm
I agree with you about trust. Trust is the basic of all business. Whether it’s a small company or a big one….
January 17th, 2010 at 12:58 am
Trust plays a huge part in my divorce practice as well. Potential clients don’t want to hire a divorce attorney who they don’t feel comfortable with. I market my law practice primarily online and the credibility of my page design, marketing scheme, and overall web presence is of primary importance. Keep the great blog entries coming, they are always thought provoking.
January 22nd, 2010 at 1:03 am
It is really a nice post and very true. I share the opinion that you can have whatever you want but if you don’t have peoples trust it won’t mean nothing. This can be applied for every business that exists, peoples trust is the more important one.
January 22nd, 2010 at 8:12 am
I love this blog on trust– how true! thanks.
January 25th, 2010 at 9:20 am
Yes i agree trust is important, especially when your business model is supplying other businesses with goods and services. The marketing of goods and services to help and support businesses is highly competitive and i have noticed a slight decrease in my monthly sales volume, mainly due to many companies simply tightening their belts when it comes to online spending. As the economy continues to stabilize i am sure that most online businesses like myself are sure to see a nice rebound in sales!
January 31st, 2010 at 4:09 am
Thats true our whole economy is built on trust in one way or the other if people cant trust you they will not do business with you, and you business will fail which will hurt the economy in the long run.
February 1st, 2010 at 9:04 am
Here, here!
Trust is a must in business, any kind of businese activity is actually a cooperation, eithor between company and customer or between companies. If you wish to continue your business with your former cooperator, trust is needed. Besides, trust is needed not only in business, but also in every aspecp of life. So, everyone should keep trust in their heart.
February 1st, 2010 at 10:17 pm
I half agree… trust is part of the reason someone bought from you, however, they only knew about you because of your wider marketing efforts. More money or more people could extend this further.
I guess one cannot exist without the other but which is more important is a tougher question to answer!
February 1st, 2010 at 11:37 pm
I believe the US trust in the legal system is a little overrated.
1st of all the terms and conditions of use. You never see a contract that’s smaller then 5 pages. If it is you know that sooner or later that company will be sued for one thing or another. In my opinion that’s the opposite of trust: you provide some quality services and clients invoke some stupid reason to mooch off of your investment and profits.
2nd of all, it’s because of all this trust that things have come to this. Too many loans have been made. Banks and other corporations don’t care. They knew why they did it, they knew that eventually the economy will collapse because too much money was spent, and that eventually they will be put into a position where they’ll loose their belongings.
Anyway, as far as customer-trust goes, because of bad results on trusting my clientele, right now most of my contracts involve 2 thirds cash payment up front when we sign the contract and the rest when the final product arrives. I hate working like this, i practice good prices and great services yet a golden rule can never be forgotten: “When you work with people you have NO guarantee”. Sad, but true…
February 6th, 2010 at 1:26 pm
I see this in my business. The more I trust in the business to be successful the more successful it gets.
February 6th, 2010 at 1:34 pm
All it is true. I agree that the most important thing in a business is trust. When people trust you, they will buy from you.
February 7th, 2010 at 10:06 pm
Ya it is true Bussiness depends on the trust,if no one trust you,then u cannnot stand in the market
February 10th, 2010 at 11:15 am
Yes, trust is important factor for business because without trust you cannot deal with other person & in this recession period so many peoples are do their business very carefully & after that they are interested in small business with no credit facility.
February 11th, 2010 at 8:46 am
When trust goes away, we will see depressions. So we better trust each other LOL
February 11th, 2010 at 1:26 pm
Really inspiring article! I appreciate your article moral that “trust is the main thing to double our income”.Today my business is so good and i am successful at achieving profit due to trust among all partners.If there was not trust then we all fight with each other and our company will be collapsed.I love to read your blog and will try to recommend it to all of my friend.
February 24th, 2010 at 2:11 am
I would expound on this issue of trust and go further. What builds trust?? Trust is built by relationships and isn’t that the true foundation of business. You start with some form of non-business relationship usually and then it leads to a business relationship built on a relationship of trust.
March 8th, 2010 at 7:11 pm
Remember, it would have been better to define WHY would anyone trust your business and focus on the causal links between your actions, trust and business success.
March 9th, 2010 at 5:58 pm
trust is definately the key to growing any business! thanks for the great read, excelent blog by the way =)
March 18th, 2010 at 12:51 pm
I think that both parties should be trusting equally. If not, then what sort of deal do you have going on? I think it shouldn’t be any more weighted on either side.
March 19th, 2010 at 9:14 am
That makes sense! Trust applies everywhere like your business, your relationship, your career, etc. Trust yourself and trust others!
March 23rd, 2010 at 11:29 am
building trust is very important, especially when building an organization. to keep moving forward and growing challenges.
article that helped me
March 26th, 2010 at 5:12 pm
Hey,
Actually trust is a major thing in business, without trust well..it can be very difficult to do business..
Warm wishes,
epagini
March 28th, 2010 at 6:26 pm
Trust is indeed very important, not only in business dealings but in almost everywhere. How else can this world go on without it? No sales people will ever be successful without the ingredient of trust, as the article puts it.
April 6th, 2010 at 5:15 am
Thanks for the good article. I feel that doing business that genuinely provides value for the customers is the best way to gain trust. That is not too common nowadays when everyone tries just to survive during the tough economic times.
April 6th, 2010 at 4:11 pm
relationship management and trust goes a long long long way to establishing a business’ future
April 6th, 2010 at 4:17 pm
Trust can’t be beaten and can’t be emphasized enough. Businesses are built on trust in the owners and then moved on to trust in that particular brand.. However it is easily lost!
April 7th, 2010 at 7:49 pm
Trust/honesty is absolutely the most important factor to success..
April 13th, 2010 at 3:05 pm
Yes, I agree with you the most important thing for the business is trust at the same time deep trust may give you problem so identify each and everything before act.
April 15th, 2010 at 11:28 am
i totally agree on this one; however, trust does not happen in just a snap…it takes a long process…
April 21st, 2010 at 3:58 am
Trust is especially important in the mom and pops type businesses that are slowly becoming extinct in todays society. These types of businesses rely on their reputation to keep their customers coming back through the doors and the reason the customers come back is because they trust the familiarity of the small, local business they’ve used for years.
April 26th, 2010 at 10:41 pm
Trust is the main factor to a good relationship. It should be practice in businesses in order to succeed. .Once trust has been obtained you can build up a good team to work smoothly in your business.
April 28th, 2010 at 6:02 pm
I totally agree that the most important thing in business is trust. Consequently building trust can be seen as the backbone to any organisation.
April 28th, 2010 at 8:01 pm
Totally agree, I know of plenty of businesses that are cash rich but dont have the faith to re-invest as they are worried that things are yet to take a turn for the worse.
April 29th, 2010 at 5:06 am
If you don’t have trust in a business partner, your relationship won’t last long. I’ve worked with partners in whom I trusted until an issue came up that they couldn’t handle or wouldn’t handle. That destroyed my trust in them and I quickly began looking for another partner to work with.
April 29th, 2010 at 11:44 pm
There are so many great ways for businesses to build trust and costumer relationships. Facebook is one way - and it’s free!
May 5th, 2010 at 1:25 pm
Trust is sooo important. I occasionally get asked to do some consulting and when I an currently working with someone who has not established trust from his customers. I am amazed how some businesses overlook how important it really is.
May 13th, 2010 at 10:05 am
Trust is key to everything. Unfortunately too many financial dealing are not dealt with trust. Business has become very untrustworthy. The days of a hand shake are long past which is why we see so much abuse and corruption today.
May 15th, 2010 at 10:14 am
This is so true. How can you successfully handle your business if you don’t trust the people who works for you? Although trust is earned, make sure to hire those you know you can really t depend on and you can entrust the growth of your company with.
May 16th, 2010 at 7:42 am
Nice post. “Trust” applies to all the businesses not only the financial industry. I am quite agree with your point as we keep hearing that “Brand” is “Symbol of Trust”. If there is no trust between buyer and seller, there is no long-term business.
Thanks,
Preston Guyton
May 17th, 2010 at 10:17 pm
Luck do not favor everyone , money matters alot you can’t trust someone to play with your money on experimenting new things
May 20th, 2010 at 5:49 pm
Trust does play a big role in it!!
May 25th, 2010 at 11:01 am
This is so true. I think that many businesses underestimate the power of trust. And whats more, the devastating effect the loss of trust can have on their businesses.
Once your customers lose their trust in you, it’s virtually impossible to gain it back in my opinion.
May 26th, 2010 at 2:10 am
Very true. Trust is key in any relationship, especially in one that involves money. You need to trust that your money will be safe, that you will be getting a good fair deal, and that you won’t be ripped off. Today’s economy has heightened the need for trust and brought out people’s innate doubts of others. It is key to gain your potential customers trust first and foremost in order to convert them into customers. If you have their trust they will be more likely to forgo those two benefits that your competitor has over you. Trust is key. Don’t trivialize it. Gain it and profit off of it.
May 27th, 2010 at 5:30 pm
Thank you for good. I think doing business, we sincerely offer valuable is the best way to win trust. It is not too common now everybody just to survive, in the difficult economic times.
May 30th, 2010 at 6:15 am
tnskks Hi. Trust is indeed very important, not only in business dealings but in almost everywhere. How else can this world go on without it? No sales people will ever be successful without the ingredient of trust, as the article puts it.
May 31st, 2010 at 9:11 am
I have never thought about the financial crisis not as a financial crisis, but a crisis of trust. Its true. Who can you believe with all the shakeup lately. It really is a trust issue now. Thanks so much.
June 10th, 2010 at 8:03 pm
I definitely agree in this article. We’re not actually having a financial crisis, but were having lack of trust.
June 22nd, 2010 at 2:04 am
This articles is very true. Trust is the basis of our business transactions. This falls under the Relationship model of selling, which roughly states that by building a relationship with clients you stand to have them as life time customers.
I am personally fed up with companies trying to swindle money out of hard working people with fine print and automatically signs you up for a useless, yet heft program. Or companies that promise to cancel service, do so, but still charge you…UGH!!! with such lack of morale and dignity in business, it’s easy to see why many businesses fail. They fail to realize that customers are their biggest assets, but once a hater of a company - always a hater. Okay, that’s my rant for this post. But great article.
June 22nd, 2010 at 8:33 pm
On top of any marketing strategy is of course a nice and quality product or a service. Because if you have a quality product or service, this will eventually make your business gain trust from the buyers/consumers.
June 26th, 2010 at 1:45 pm
Well i admit lack of interest can cause great loss and financial loss once done is recovered very gradually and slowly… So take care in investing your money..
June 29th, 2010 at 5:43 pm
I have been doing bussiness for 5 years and yes, i totally agree with above articles. very hard to new company to build the trust but after a lot of customers trust to us….this is the key to be success and grow up.
July 1st, 2010 at 12:33 pm
True. Trust is key factor in any relationship, especially in one that involves finance.Your article is informative.
July 1st, 2010 at 1:32 pm
Trust and transparency within a business is vital as it plants possibilities of better expansion and growth. I personally believe that two partners in a business should put loyalty above everything. The target audience and the market develop faith in your company and brand only once you showcase honesty towards your business deals. Thanks for such an informative post.
July 1st, 2010 at 1:59 pm
All are OK but make sure that you build a trust to every prospect clients and you’ll definitely hit the nail on the head.
July 1st, 2010 at 3:30 pm
Yes trust is the main thing any business if you trust your business then only you will do it successfully thanks for this informative post……
July 2nd, 2010 at 7:57 am
Trust is the main issue in personal and business life. I totally agree. To bad there are so few people and even businesses that you can trust these days.
July 3rd, 2010 at 12:50 pm
In the current economy and even before, the trust is crucial and the biggest part of our business.
Cheers,
Robert
July 9th, 2010 at 2:47 am
I agree with SEOPressor we are not exactly living in very trusting times and for good reason. The current economy has the most trust worthy people doing things that they would never dream of doing. I would like to learn how to master these techniques.
July 10th, 2010 at 12:33 pm
it is ture ,i can understand.Trust is indeed very important, not only in business dealings but in almost everywhere.so i will be always became trust first.
July 11th, 2010 at 4:17 pm
I agree that trust plays an important part for prospects becoming clients. Trust in what you have to offer, trust in your product/service, and trust in the person behind it.
July 13th, 2010 at 1:14 am
Yes it is very critical to have a trusting realtionsship. Othervise your business can go under.
Great post
James
July 15th, 2010 at 8:08 am
This is the whole approach behind social media: to build community with others who get to KNOW you, come to LIKE you, and finally TRUST you. The trick for me has always been trusting my clients to be on the up-and-up with me. Get burned once by a customer, you never forget. You burn a customer, and they never forget - and they tell everyone!
July 22nd, 2010 at 4:49 am
This is true, but if you are getting no customers in the first place, you need money to get you up in the search engines, or to place ads in Google. Trust doesn’t magically equal sales though I will admit it is a big part of it.
July 22nd, 2010 at 2:32 pm
Trust is essential,like online business,i often buy things from well-praised online store,i believe,consumers’ trust is the most important to business man….