Trust failures infect successful brand building…

Now more than ever, earning consumer trust is paramount to the growth and development of your business. You can’t claim it. You can’t invoke it. Trust is only earned through credible, verifiable behaviors and openness. We believe this is sufficiently important that it deserves a unique discipline in the marketing eco-system we’re calling “Trust-ology.” Emerging trend: the world around us keeps supplying consumers with reasons to be skeptical, wary and thus more susceptible to perceiving added risk from engaging the vast array of brands and businesses seeking our attention.

Dramatic and ‘didn’t see it coming’ case in point

The iconic, premium positioned grocery Deli dominant meat brand, Boar’s Head, suddenly faces an unprecedented self-inflicted challenge to its busines and reputation. Tainted meat processed at one of their plants is recalled after 9 customer fatalities and 57 hospitalizations from listeria food poisoning. Amazingly, the investigation reveals an incredible failure in the most fundamental aspects of quality control, food safety and plant hygiene. Astounding. Once again, the world sees a business reputation fouled by performance that incredibly fractures the perception of basic standards and values the public expects. What was hidden behind a corporate veil is suddenly revealed in the intense, bright spotlight of media reporting.

As the lens of this media scrutiny inevitably widened on Boars Head, we also discover disturbing allegations of sexual harassment, racial and disability discrimination the company is facing in the form of lawsuits now getting visibility in the press. Where there’s behavioral smoke, there’s bad reputation fire?

Yet another example of why consumers are skeptical and hesitant of what companies say vs. what they do. What appeared as bright and shiny on the outside (gorgeous roasted hams) is revealed to be darker and without proper values on the inside. Thus, why trust must be earned through openness, vigilance and purpose when brands operate with the consumer’s best interests in mind 100% of the time.

This recurring barrier to brand belief is soaking in reputation challenges

In the digital era, all things that can be known, will be known instantly. Every brand now exists in a glass house that too often reveals breakdowns in trust. We observe brands, businesses and individuals outed on half-truths, misstatements, bogus claims, failures to admit mistakes, reckless hyperbole, baseless assertions, lies by omission, overt selfishness and outright deceit.

Who do you believe?

Who has an unassailable reputation?

Who is honest?

How do you know what’s truthful?

The mechanics of effective brand marketing requires trust. Without it, messaging becomes noise, dismissed as self-promotion wired to self-interest acted out on a paid media stage.

Consumer shift

Consumers today are demanding, for good reason, more information about the products they use and how they were created – some companies are paying attention. Earlier this year, bedding brand Boll & Branch launched Origin Track, which lets consumers trace how their sheets are made, from raw materials to finished product. At the foundation of this development is trust and how to acquire it. Brands that offer more disclosure and information earn deeper loyalty and engagement from consumers.

The dawn of trust-ology

Trust is needed in any brand-to-consumer relationship that lasts. You can’t simply say ‘we’re trustworthy’ and expect consumers to fall in line. Trust must be earned through daily deed and credible supporting action. Trust is the must-have goal as you work (hard) to secure consumer belief in your statements. This requires vigilance and intent.

Anatomy of trust-ology

• Belief is an idea rooted in a form of truth
• Faith is more than a thought — it is a deep-seated conviction
• Belief is centered in faith, and faith is centered in trust
• Trust is actionable, based on a credible, verifiable validation of rightness

Trusted means you accept the sender’s message because you believe they have your best interests at heart. You have faith in them and what they tell you. It is earned through consistent actions and verified by the validation of third-party trusted sources – expert voices without a compromising financial incentive.

The hierarchy of trust-ology

1. Consumers come first – you genuinely care about their welfare and happiness
2. Their best interests are always served
3. It is supported by honesty, reliability and consistency in how you operate (business behavior)
4. Your brand is consistently empathetic to their needs and aspirations

Trust-ology as strategy

In a study from Innova Research on the Top 10 Trends of 2023, they report 66% of consumers would trust a company that is upfront and truthful about the challenges they’re facing to operate more sustainably. The report goes on to say honesty and transparency are the most important values related to food. More specifically:

• How food is produced
• Where ingredients are sourced
• How value chain stakeholders are treated

In sum, consumer interest in transparency is fueling demands for more transparency. Why? Enabling trust. Allowing consumers to see for themselves how you do what you do results in credible proof of what you want them to believe. Thus, why trust building is a core proposition underneath brand strength and business growth.

Will you do something bold, new and unexpected in the name of earning credibility?

The trust-ology building platform – Champion Transparency Council

Champion Petfood owns some of the highest standards for quality ingredients in the pet food industry. However, that can be a tough message to credibly convey in an industry known for its lack of transparency and visibility to supply chain details, verified ingredient standards and manufacturing processes. Champion needed to reinforce trust at a critical time when consumers were demanding that pet food companies back up their assertions of high quality, human grade food ingredients.

Three steps to transparency transformation

1. Emergent’s solution: build trust through the voices and observations of real people and respected Veterinarian physicians
2. The strategic vehicle: The Champion Transparency Council
3. Their mission: see everything in every phase of pet food making from farm to production and report on what they witnessed firsthand

Leverage: we tapped into a unique operational commitment at Champion — their legacy long-term contracts to supply fresh proteins from farms, ranches and fisheries within driving distance of their kitchens.

We took Council members to nearby farms and fisheries to witness how animals were raised, chat with farmers and hear about their story and methods. We took them fishing so they could participate in the harvest of fish that would be used in making pet food. They observed the fresh proteins arriving at Champion’s kitchens. We invited them to see and ask questions about every aspect of pet food manufacturing, from intake to final packaging.

Their first-person reports verified Champion’s claims and were published through an array of channels reaching consumers and retailers. It was the truth about pet food making from a company that had nothing to hide and everything to gain by being totally transparent.

The Council strategy nourished Champion’s community of brand evangelists and enthusiasts with validation and proof that their faith was warranted and respected. We provided the media with unprecedented access to Council members for interviews.

Does your organization see transparency and traceability as a business opportunity? If so, how are you surfacing data and information to enable it and help your business benefit from it?

Components of trust-ology

Access

Openness

Dialogue

Customer-first values

Demonstration

Transparency

Integrity and honesty

This approach assures that the marketing story is consistent with company performance and consistent delivery of promises.

Why is this so vital to business growth?

Imagine for a moment that consumers no longer trust the claims and assertions brands make. Consider that their fears of misplaced loyalty and belief are confirmed in surprising moments of outing via an internal whistle-blower, government or media investigation or aftermath of a recall event. This manifests as a compelling need to know more, see more and make an informed evaluation based on evidence provided. Trust is merited through trustworthy actions.

This is why trust-ology should be a component of the marketing discipline, and trust creation must be a considered and embedded platform within the brand marketing game plan.

Open the curtain and let people see firsthand. Actions speak louder than words. At stake is rewarding their faith in your brand. When trust is secured, you should continue to invest in retaining it. As we’ve seen repeatedly, once lost, trust can be hard to reacquire.

• Trusted brands earn loyalty, admiration, and advocacy. Just make sure this commitment is woven into the fabric of your organization’s belief system. Efforts here will make your marketing more effective and your brand more resilient. Someday we hope to see a Chief Trust-ologist on the c-suite team.

If this discussion makes you anxious to discover more about the pathway to deploying trust-ology and belief, use the link below to arrange an informal meeting and start a dialogue on your questions.

Link to Download Champion Case Study

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Bob Wheatley is the CEO of Chicago-based Emergent. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Fighting the creep of commoditization…

As all business categories grow and evolve, there’s a law of physics in the food, beverage and retail industries that comes into play to establish an implicit set of brand rules and behaviors. This often emerges in the form of industry accepted standards, regulatory requirements, consumer and trade partner expectations and competitive actions.

A pervasive condition, it creates a palpable magnetic momentum that pushes category participants towards the middle of the market — and away from whatever unique corner of the industry they originally occupied. Over time, it will manifest in comparable features, benefits, even pricing and product offerings. The edges of distinction get dull.

At its zenith it translates into sameness across business practices, supply chain standards and manufacturing processes – all helped along by growing similarity in product development as well as the technical processes employed for manufacturing.

The impact of category commoditization unleashed

As category players inevitably work to drive scale, secure efficiency gains, improved margins and retail leverage, brands level out their distinctiveness to appeal to a wider mass market. This happened in the dairy aisle cheese category as the major branded players eventually started to compete on price rather than disruptive innovation. The similarity in product choices and packaging helped commodify the consumer’s perception of quality.

The outcome? “Cheese is cheese is cheese” took root and the share leadership torch passed to private label products. Inevitable because the product experience wasn’t substantially different between private and national brands.  This ushered in an era of tit for tat price wars as combatants worked to build share by reducing price at the expense of brand equity and margins.

We encountered this condition and moved to tackle it while representing Sargento. The agency/client team launched a multi-stage process aimed at repositioning the brand, optimizing the product portfolio and walking away from “all things to all people” forms of marketplace behavior. The resulting “premiumization” of the Sargento brand showed up in new European influenced package design, new value-added products called Artisan Blends that borrowed equity from artisanal cheese makers. Most important to success, breaking out required recasting who the core customer is. We narrowed and focused on a high involvement premium cheese consumer called The Food Adventurer – roughly 26% of the category shoppers.

The customer priority decision was key to breaking the back of commoditization. It pushed our marketing team to rethink everything from innovation to messaging, media and market strategies while building in separation from all other players in the dairy case. The impact was startling. Sargento brand strength and resilience multiplied, while also helping establish more control over what was a price-driven business. The impact resulted in share gains against a larger competitor and fostered a spirit of creativity that set the stage for break-through new category ideas like the Balanced Breaks snack cheese innovation.

We’ve observed commoditization conditions blossoming in other places such as cell phones, computers, airlines and mainstream cars. When meaningful brand differentiation and separation dissipates, market leverage moves almost automatically to favor expanded budget investments that chase “top of mind awareness.” When the brand isn’t remarkably, authentically different, dependency on profit sapping awareness spending is required to keep repeatedly reminding consumers of the product features. Whereas distinctive and differentiated brands are naturally alluring and therefore less dependent on heavy media spend to attract and retain a loyal following.

When meaningful differentiation starts to fade, courage is required

It takes vision, fortitude and courageous leadership to create and launch the antidote to commoditization. You must be willing to tear up the category conventions rule book and seek fresh territory in the form of:

• New and emerging markets where competition is still forming.

• Bravery to jump over category behavior traditions and pursue whitespace opportunities that offer a new solution.

• Become a disruptor – a challenger brand that pursues radical differentiation designed to shut the door on equity robbing price competition.

When a brand is informed by a clear set of values, a strong “why” and a purpose that brings deeper meaning beyond transactions, it’s easier to recognize the advance of commodity behaviors and react proactively.

Sound strategy ignites the engine

Pushing the envelope of new category creation is a dynamic and powerful exercise intended to dial the brand far enough to the right or left of the vanilla middle that a new, ownable category can be established.

• Distinctiveness here is the essence of sound strategy because the goal is to offer a product or service the consumer can’t get anyplace else.

Here’s the catch: the forces at work in every category that drive brands towards similarity are fierce. Thus, vigilance around observing the creep of commodity inducing behaviors in pursuit of a mass market are ever present. Simply said, you will face it eventually. Your courageous efforts to catch this early before it takes root will pay long term dividends.

The last thing you want to hear is the word “mature” to describe your brand, which is code for the plateau you reach just before tipping towards the slippery slope of declining relevance.

If this discussion has you thinking about remedies to ever-present commodity pressures in your category — and fresh thinking around renewed emphasis on differentiation — use the email link below to start an informal conversation about refreshing your plans and programs.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. For more information, contact [email protected] and follow on Twitter @BobWheatley.