Trust and Competitive Immunity

At the heart of Competitive Immunity lies Trust. An organization that has Competitive Immunity is trusted by its customers, and has employees that trust their leaders.

Think about those organizations that you truly trust. The list is probably short, but consider why you trust them. The same is true for leaders you truly trust…what is it about them that engenders your trust?

A recent survey by PwC looked at trust in U.S. Business, and the results are illuminating. The survey found that customers and employees trust businesses that are accountable, communicate clearly, admit mistakes, and deliver consistent customer experiences.

The survey also identified the opportunities inherent in higher levels of Trust:

  • 49% of customers start purchasing or purchase more from a company because of Trust, and 33% are willing to pay a premium for it.
  • 44% of customers have stopped buying from a company due to a lack of Trust.
  • 22% of employees have left a company because of trust issues.
  • 19% of employees have chosen to work at one because they trusted it highly.

As for the role of the Leader, 73% of business leaders cite the CEO as either responsible for or accountable for Trust. At the same time, there is a disconnect between theory and practice. For customers, the survey found that the top trust driver is accountability. Yet only 56% of business leaders deem it “extremely important.” And only 46% of leaders say that their companies have implemented it.

It’s important to remember that trust is a choice. Humans choose to give their trust (or not give it) based on several factors in addition to those identified in the PwC survey. Customers give their trust to organizations that are competent, reliable, and consistent. Employees give their trust to leaders who are authentic, honest, and have empathy.

For organizations that seek Competitive Immunity, trust is an important goal. The way it is achieved is to be Trustworthy: continuously demonstrating that the organization can be trusted by customers.

For example:

  • The brand promise is consistent with what the customer experiences.
  • The values espoused by the organization are consistent at every customer touchpoint.
  • The customer experiences no dissonance between how the organization presents itself and how they actually show up.
  • The organization consistently keeps its commitments to customers.

Trustworthiness is also crucial for leaders that aspire to Competitive Immunity. They consistently demonstrate:

  • Authenticity, vulnerability, and character.
  • Clarity in their intentions, priorities, and expectations.
  • Congruity in their words and actions.
  • Empathy toward others.

For true Competitive Immunity, Trust is the goal. Trustworthiness is the way to achieve it.

Simple…but not easy. There are some important things to keep in mind about Trust and Trustworthiness:

  • Trust is always a choice, and always must be earned.
  • With every interaction, Trustworthiness…and therefore, Trust…can increase or decrease.
  • Trust is gained in drops and lost in buckets. As a result, you’re never finished demonstrating Trustworthiness.
  • Trust requires Credibility, which comes from being consistent, walking your talk, doing things right, and…most importantly…doing the right things.

Being Trustworthy and earning Trust is challenging. But the payoffs are tremendous:

  • Customers who are loyal, strongly connected, and resistant to the pull of competition.
  • Employees who are engaged, committed, and focused.

If you aspire to lead an organization to Competitive Immunity, a great starting point is making Trustworthiness a priority. Leaders must earn the Trust of their employees, who in turn must earn the trust of their customers. Only then will Competitive Immunity be possible.

As the PwC survey demonstrates, there is a tremendous opportunity in making Trust a priority, Leaders and organizations that do can be well on the way to establishing the foundation of success.

And that can lead to true Competitive Immunity.

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