Why is consumer trust at an all time low?
Trust is at an all time, low while cynicism is at an all time high. The most recent Havas Meaningful Brand Report has found less than half of brands (47%) are seen as trustworthy in the eyes of consumers.
So where did this cynicism come from? More brands are adopting purpose, the amount of B-corps are ever growing and CEO’s are finally using their businesses to take a stand on societal and environmental issues.
However 71% stated that they have little faith that brands will deliver on their promises.
As the purpose movement gains more traction, we’re seeing some big statements and promises from brands who have realised the business case in creating social impact through a purpose led business. However, as we often discuss in our blog- this is only half the job.
Consumers are more savvy than ever. Slick words and empty promises are no longer enough to sway the modern consumer to purchase a product.
Consumers want action.
The report found that 73% believed that brands had to act now for the good of society and the planet.
Not just say that they were supportive of causes- but to actually do something.
Businesses have something to prove to customers. 64% of respondents stated that they regularly took action into their own hands, preferring to buy from companies with a reputation for purpose. More than half (53%) of people said they would go even further, saying they are willing to pay more for a brand that takes a stand.
People have the power to vote with their wallets now more than ever before.
Customers are rewarding businesses who are actively striving to improve the state of our environment and society, and won’t hesitate to take their money elsewhere if they fail on their promises.
Are you walking your talk?