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March 1, 2024

The Secret to Measuring Brand Trust in Real-Time

Explore the intricacies of measuring brand trust in real-time.

What is brand trust?

Trust is defined as the reliance on the integrity, strength, ability, surety, etc., of a person or thing. Trustworthy people share several common attributes. They do what they say they will do, tend to be transparent in their decision-making, listen to others’ input, and put the interests of others over their own self-interest. But what is brand trust?

Like trust in individuals, brand trust is confidence in the brand’s ability to deliver on what it promises. According to psychological research1, there are 3 core centers of trust with an organization or brand: within the company, between organizations, and with customers.

When consumers trust a brand, they believe that it will consistently provide high-quality products or services, act ethically, and prioritize their needs and satisfaction. When expectations aren’t met, consumers switch brands. It’s well known that your brand reputation has an impact on your bottom-line but understanding exactly what your reputation is, and how it changes in real-time, can be challenging.

How can we measure brand trust?

One of the most common methods for measuring brand trust is through surveys. However, brand studies, while effective at providing in-depth detail, can be time-consuming and costly. Moreover, they only offer a snapshot of trust and given their infrequency, they fail to capture the dynamic nature of brand trust. Marketing leaders need to be agile in response to reputational changes and promptly address issues as they emerge.

So how can we measure brand trust on a continuous basis? Let’s consider the 3 core centers of organizational trust:

1. Within the company

Understanding trust within an organization is crucial for fostering employee satisfaction, team cohesion, and innovation. When employees trust their organization, they are more likely to feel satisfied in their roles, leading to reduced turnover rates and increased productivity. Fostering a culture of trust within your organization is also likely to impact external brand perception as your internal culture will bleed into employee interactions with customers and prospects. Some real-time indicators of trust within an organization are:

  • Company reviews: Reviews and feedback provided by current and former employees on platforms like Glassdoor, can offer insights into the company culture and leadership trustworthiness.
  • Employee turnover: High turnover rates may indicate a lack of trust or satisfaction among employees, reflecting poorly on the brand's internal trustworthiness.

2. Between organizations

Trust between organizations is crucial for successful partnerships, risk mitigation, and long-term relationships. When companies trust each other, they collaborate more effectively, reduce perceived risks, and cultivate stability in their partnerships, leading to mutual benefit and growth. Some real-time measures of trust between organizations are:

  • NPS: NPS is commonly used to gauge customer loyalty and satisfaction. In a B2B environment, NPS measures how likely someone is to recommend your brand to another company.
  • Contract renewal rates: High rates of contract renewals or extensions between organizations suggest a level of trust and satisfaction with the partnership. When companies choose to continue their business relationship over an extended period, it signifies a mutual understanding and confidence in each other's capabilities.

3. With customers

Trust with customers is imperative as it forms the bedrock of lasting relationships, customer loyalty, and business success. When customers trust a brand, they are more likely to make repeat purchases, advocate for the brand to others, and forgive occasional missteps. Maintaining trust with customers is exceptionally import today where reputations spread quickly over social media and even small miscalculations can have widespread impact. Some real-time metrics to gauge trust with customers are:

  • GRR: Gross Revenue Retention is a stability indicator signaling how reliable the business's income is and ultimately how pleased current customers are. Unhappy customers churn. High GRR indicates high levels of confidence in the quality and reliability of products or services.
  • Social sentiment: Monitoring social media conversations, mentions, and sentiment around the brand is another great way to get a pulse on brand trust. Positive sentiment indicates trust and satisfaction, while negative sentiment may signal issues with trustworthiness.
  • Product reviews: Feedback and reviews left by customers on various platforms, such as e-commerce websites, marketplaces, or review forums provide great insight. Positive reviews reflect trust in the brand's products or services, while negative reviews may indicate areas for improvement.

Fostering brand trust is not merely about driving short-term sales but about building enduring connections that sustain business growth and resilience over time. Measuring brand trust across its three core centers—within the organization, between organizations, and with customers—is essential to understanding the dynamic nature of trust. While different organizations may prioritize certain areas, achieving a comprehensive understanding entails incorporating all measures into your model. By continually monitoring brand reputation and adapting strategies based on these metrics, organizations can cultivate trust, fortify relationships, and thrive in an ever-evolving marketplace.

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1. G. Dietz & D.N. Den Hartog, Measuring trust inside organizations, 2006

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