In a time where trust in companies is at an all time low, it’s more valuable than ever. That’s not a moral or values based statement, it’s about the impact on the bottom line.
This chart, from a presentation at McKinsey’s Chief Marketing And Sales Officer Forum, shows how much investors and consumers reward an outstanding reputation:
Despite the incredible value of reputation, according to McKinsey’s Betsy Holden, companies aren’t taking full advantage of their opportunities to increase it:
One thing they can do to improve their reputation is bolster their social media presence. They can publish material related to the above, like information about transparency or environmental efforts, and can use it as a customer service tool. Being accessible and accountable increases trust.
That route may be particularly effective because social media is trusted by consumers at a rapidly increasing rate:
Starbucks, purveyor of coffee flavored water, builder of coffee scented corner stores and shelter for no coffee drinking Wi-Fi leeches, has a new shtick: a premium gift card. It’s made of steel! It’s ‘specially etched’! And it’s a super, limited edition that inanely costs 450 bucks.
The gift card itself costs $50 to make, the other $400 will be loaded as Starbucks credit and can only be bought on Gilt. I guess Starbucks people go to Starbucks enough that the $400 will manifest destiny itself in the caffeinated brown liquid but damn if this isn’t some elitist craziness. The card, which will surely make its owners feel good about themselves, comes with “with gold-level Starbucks card membership benefits, such as gifts and freebie refills on brewed coffee and tea.”
Jason Goldberger, executive vice president at Gilt.com, told the USA Today it’s all about exclusivity:
“When you’re waiting in line at Starbucks, the next person in line won’t have it.”
Ugh. [USA Today]