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Why It’s Important to Build Trust Through Transparent Marketing

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FM Engage

Gaining consumer trust has always been a goal for business success, but today? It’s more important than ever before.

Edelman’s Trust Barometer survey reveals that 71% of consumers feel it’s more important to trust the brands they use or buy from today than it was in the past. And it’s probably not surprising to learn that Gen Z is leading the charge with the highest need for brand trust out of all generations. 

So how do you build trust? It starts with being open and transparent about how you portray your business.

What do we mean by transparent marketing?

Transparency is the process of openly sharing business information such policies, processes, values, product information, and data handling procedures. When consumers understand how their data is being handled and the ethical implications of using a product, for instance, they are more likely to trust (and do business) with a brand. 

Transparent marketing applies this philosophy to how a business promotes itself, its products, and its services. Adopting an open and honest approach to marketing encourages people to trust your brand and increases the likelihood they’ll engage with your messages. 

And it turns out those messages may be more important than we think. Let’s see why. 

Going beyond conversion: why transparency matters in insurance marketing 

Consumers don’t stop once they’ve purchased something. While this is the end goal for most if not all businesses, what if it’s no longer that simple? 

In fact, the interactions you have with a consumer after they’ve become a customer may be even more important than the ones that led them there. According to Edelman’s Trust Barometer survey, the majority of consumers interact with a brand beyond using their product or services. 

This type of relationship lets people evaluate a brand beyond its products or services, save money with special offers, or gather information and learn new things. And this dynamic is especially useful for financial services organizations where empowering consumers is a main driver of engagement and growth.

It helps simplify complex information

Misunderstandings around insurance coverage can create confusion, underutilization, and even decreased satisfaction with a customer’s insurance provider. To put it in perspective, just over half (54%) of employed Americans don’t understand the full scope of what their insurance offers. 

While tactics like influencer marketing can be useful, speaking in plain language and using easy-to-understand imagery is an accessible way to simplify your messaging across the board. When customers feel informed they also feel more empowered to make decisions, which leads to increased trust and credibility for you as well as a sense of confidence and financial security for them. 

It helps clarify (and deliver) on promises 

Transparent marketing also ensures that customer expectations are aligned with what you’re actually providing—from both a product standpoint and a messaging standpoint. Put another way, clearly communicating the features and benefits of your offerings with consistent messaging starts the process of building consumer confidence long before they ever spend a dime. 

This makes for a better customer experience across the entire journey, solidifies your brand’s consistency, and even makes it easier to see what is performing well during testing.

It helps educate and empower customers

The final benefit of successful transparency is educating and empowering your customers, positioning your brand as a trusted resource rather than just a seller. 

Just as transparent practices improve the customer experience, they also help you learn more from it. For instance: 

  • Seeing what messages and resources people engage with informs future content. 
  • Analyzing which products attract your target audience aids in developing new ones or bundling solutions together.  
  • Understanding where peoples’ knowledge of their insurance situation falters can help determine areas to focus on in your messaging. 

Adopting this sort of empowerment approach establishes credibility for your brand and leaves customers wanting more. Today’s consumers are ready to take the wheel when it comes to their finances, and you’ll be there to help them kick it into high gear.

Putting it all together to build trust through transparency

As we’ve seen, transparency is far from just a buzzword. It’s a means to connect with customers, it’s a way to more effectively communicate your brand’s strengths, and it’s a vehicle for empowering your customers to live their best lives through your products and services. 

Creating this type of symbiotic relationship establishes a positive feedback loop that will continue providing value for both you and your customers for a long time to come.

How we can help 

Want to discuss your own direct marketing to make sure you’re getting the best results possible? Give us a call, and we’d be happy to discuss. 

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