"Extreme Trust" presented by Don Peppers

SOCIALMEDIA.ORG/SUMMIT2013ORLANDO

“Extreme Trust: Honesty asa Competitive Advantage”

DON PEPPERSPEPPERS & ROGERS GROUP

DECEMBER 9–11, 2013

COPYRIGHT © 2013. ALL RIGHTS PROTECTED AND RESERVED. 1

Extreme Trust: How Honesty Can Actually Be a

Competitive Advantage

Orlando

10 December 2013

@DonPeppers

Strategy. Execution. Results.


Competence

Having customer

trust has always

been important

Good Intentions

Doing things right

Doing the right thing



Moore’s Law

Every 20 years, computers get a

thousand times faster and cheaper



Every 20 years, we interact a thousand

times more with others!

Zuckerberg’s Law



And the more we interact,

the more trust we demand

Trust makes interactions more efficient

Interaction generates transparency



A new standard: Extreme Trust

Proactive trustworthiness

To serve socially connected customers, it’s not

enough simply to refrain from cheating or lying

“Trustability”



Extreme Trust often requires reducing

short-term profit to gain long-term value



Competence

Good Intentions

Doing things right

Doing the right thing

Proactively

Extreme Trust

“Trustability”



x Profiting from a customer’s error

x Failing to notify

x All “caveat emptor” policies!

Trustability Previously acceptable marketing

practices will soon become “untrustable”

Because of rising customer

expectations with respect to



70% of consumers trust the

recommendations of their friends

~50% trust online recommendations

from complete strangers

Just 10% of consumers trust advertisers

Is it any wonder why consumers

no longer trust marketers?

2013 study of 58,000 consumers

COPYRIGHT © 2013. ALL RIGHTS PROTECTED AND RESERVED. 11 11

“Once the trust goes out of a relationship,

it’s really no fun lying to them anymore.”

Norm Peterson,

on the TV show “Cheers,”

accurately summarized the

dilemma marketers now face



Linda Kaplan Thaler, CEO, Kaplan Thaler Group

Screw up today, and the

“news” will be permanent

“You

can’t

un-Google Yourself”



Grant Robertson, blog post, May 1, 2007

“Dude, you can't take something bad off the Internet.

That's like trying to take pee out of a swimming pool.”



Thousands of bees constantly explore

territory looking for blooming flowers

When a bee finds a nectar-rich flower, it

returns to the hive to do a “waggle dance”

How Honeybees Find Food



Now suppose you were a food

source for bees…

In the absence of communication

among your customers, advertising rules

But when customers talk to each other,

it’s the customer experience that counts



“Just because nobody complains doesn’t

mean all your parachutes are perfect”

Or, as Benny Hill said…

Before customers interacted in social

media, failures were just not as visible


Your employees want to work for a trustable company!

At one US client we asked rank-and-file workers

for suggestions on being more trustable

We received ideas and suggestions from more

than 3000 employees!

Hundreds of ways they thought their company

should be more honest with its customers!



And one more thing:

Integrity is not elastic

No one ever has just “some” integrity

If you can earn and keep the Extreme Trust of

its customers, then

Workers will trust managers and each other

Vendors, stakeholders, partners and

investors will all trust your company more



won’t just make you a more

profitable company…

…it will make you a better company!

Trustability


Peppers & Rogers Group

Customer strategy consultants

with offices around the world

1to1 Media

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@DonPeppers

www.lnkd.in/donpeppers

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