Sep 29, 2011

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Trust – the glue that binds I interviewed Justin Basini for The Engaging Brand podcast, it will be published next week. But I found his book Why Should Anyone Buy from You? intriguing and asked him to share some of his thoughts ahead of the interview. Trust – the glue that binds Sticky and gloopy, trust like glue, is useful in a wide range of situations where you need two parties to come together and form a bond. But the trouble with trust is that whilst we know what it is like to feel trust, the concept is many layered and complex. Trust is a composed of three components: Functional trust – this is how well a brand delivers against its primary purpose Affective trust – this is how well a brand creates a relationship Bonded trust – is reserved for those brands that create a deep, loyal connection. It is bestowed not demanded. All businesses want to be trusted but unless you understand how you perform against these different layers then it is hard to achieve systematically. You don’t need to balance across all three you just need to understand the basis upon which you are going to command trust. As an example let’s take two very different brands: Ryanair and Apple. Both are trusted but in different ways. Ryanair with their contentious CEO Michael O’Leary have a single minded strategy which is to build trust on the functional dimension. The function of Ryanair is to deliver a safe flight as cheaply as humanly possible. Everything is focused on this – there is no attempt to build affective or bonded trust – in fact these are deliberately sacrificed to drive home the functional. This is why Michael O’Leary can proudly announce that he is considering charging for visiting the toilet on a Ryanair flight. The key message to the audience is, “I will do absolutely anything to ensure the lowest fares”. Apple on the other hand has a very different strategy. Apple attempts to build both functional and affective trust. Its products work functionally very well but where Apple excels is in affective trust building. From Steve Jobs, their former CEO and the original “genius” talking on stage with passion about their latest product, to the army of “geniuses” in store ready to guide, teach, enthuse and fix your Apple product, all these efforts are focused on raising a humble set of electronics to something that is a trusted part of your life. For many people Apple has done this so effectively that they have achieved a bonded level of trust that is characterised by irrational loyalty, huge price premium and massive advocacy. Understanding the basis of building trust for your business is important to the profitability of your customer relationships. There are many ways to build trust but they all start with decoding what trust is for your business.
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Show 353 - How to Innovate You Show 353 of The Engaging Brand leadership and marketing podcast is ready just for you. To subscribe or listen for free, you don't need to download anything and all explained at the end of the post. Jeff DeGraff Professor at the prestigious Ross School of Business at the University of Michigan and who created one of the first MBA top rated courses on Leading Creativity and Innovation joins Anna Farmery to talk about his new book Innovation You: Four Steps to Becoming New and Improved. They discuss Innovation is not a thing - its about relational improvement The problem with defining innovation How to be curious in everyday life and an example of curiosity whilst travelling How to purposefully seek out people who don't agree with you It is not about talking about dreams but how you can achieve your dreams How it is better to pick 20% of your life rather than 100% The business concept of finding new ways to try new things Is there a difference between innovators and innovating If you have feedback for me on the show or topics that you would like me to cover then e-mail me at anna@theengagingbrand.com or join me on twitter. Or leave a message at The Engaging Brand Fan Page or join me on Google+ for a huddle! How you can listen to The Engaging Brand 1) You can listen on your PC now without downloading any software just click hear to listen to the latest marketing podcast 2) You can subscribe to the show via iTunes or 3) If you use a different podcatcher then you can subscribe using the following RSS Feed

Anna Farmery

Social Marketing Architect, Speaker, Author and in spare time completing PhD on the future of the social business model

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