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How Can Brand Transparency Enhance Your Customers Experience (And Why It's Important)

Brand transparency 2021

Did you know over 90% of consumers say that brand transparency is important in their purchasing process?

Okay, now that's a large number! Consumers want transparency, for sure!

I mean, who would buy from a brand that doesn't align with consumers' personal values, right?

And when it comes to buying decisions, buyers are now more demanding than ever. Why? Because of the ever-changing societal, cultural, and political atmosphere.

So if you want to know how to enhance your brand transparency in 2021, keep on reading!

But wait, what do I even mean with brand transparency?

What is Brand Transparency?

Brand transparency is all about openness, authenticity, and honesty.

In the era of the digital age, information is more accessible to everyone. People are now more informed and empowered.

Consumers care about key issues and they want brands to talk about them.

So buyers don't buy from brands because the products are pretty. It doesn't work that way anymore.

Remember, buyers' personal values influence their purchasing decision.

So, if your brand values don't align with theirs, don't expect them to buy from you.

Also, customers need to know everything about your product. Not only do they care about your product's features and how it will benefit them. They also want to know your ethical practices.

You can be transparent in your brand practices by addressing your:

  1. Sustainable process. Consumers want transparency. They want to see what actions you're taking in making your products. They want to make sure that you are not harming the environment.
  2. Supply chain models. This is pretty much the same as knowing your sustainable process. The purpose of this is for your customers to know your ethical production process.
  3. Labor practices. More people around the world push for diversity and inclusivity. That's why consumers want to know who are the people behind a brand. This is to make sure that your brand is hiring talents regardless of age, race, gender, etc.

Stay with me because later, I will show you some examples of how other brands do it.

So why do you need brand transparency? Here are some reasons why brand transparency is important...

The Importance of Brand Transparency

Brand transparency benefits both your business and customers.

You give them what they need to know, and they support you in return.

It's a win-win situation!

But what types of importance exactly I'm talking about?

1. Customer Loyalty

There are so many ways to increase customer loyalty, and brand transparency is one of them.

Because of your authenticity, customers are willing to be your brand advocate!

Did you know that 65% of customers stay loyal if they think that a brand is genuine?

So consumers who like and support your brand will advocate for you. They will spread awareness about your brand, and that means free advertising.

Loyal customers will also come back to your store and refer you to their circle... which means an increase in revenue!

Does that excite you? Here's another one!

2. Higher Conversion Rate

Brand transparency in 2021 can enhance your customer experience. So as a result, you can have a higher conversion rate.

If you're an authentic brand, you can convert your visitors into consumers. That means more sales for your ecommerce store!

Not only that, but a higher conversion rate can also help you understand your buyers. How? Because of the information, you gathered as they purchased.

You can definitely use their purchasing behavior to improve your ecommerce store. It's like hitting two birds with one stone, right?

Think that's all? There's more!

3. Trust and Credibility

Trust is not just important in your personal relationships... because it's essential between brands and consumers, too!

Let me ask you: would you buy from a brand you don't trust??

If no, then you're part of the 81% of consumers who say they will purchase from a brand they trust.

That just proves that trust plays a significant role in brand transparency importance, right?

But aside from making sales, consumers who trust your company and your products are always willing to come back to your store.

If this brand transparency importance sounds amazing to you, it's time to learn...

How to Manifest Brand Transparency?

How to Manifest Brand Transparency?

Now that you know the brand transparency importance, it's time to learn how do you achieve brand transparency in 2021.

One of the best ways to start is...

1. Communicate Your Brand Mission And Values

Consumers want to buy from purpose-driven brands.

That's why it's important to communicate your brand values and mission effectively.

That way, you can attract the right people who are willing to be your life-long consumers.

Let's have an example.

Communicate Your Brand Mission And Values

Patagonia makes it clear that they are on a mission to reduce the environmental crisis. And they are constantly communicating their purpose on all their platforms.

Do I need to state the obvious? Of course, people who have the same personal advocacies support them and their cause.

Another thing to manifest brand transparency is...

2. Get Your Employees Involved

Getting your employees involved is one way to enhance your brand transparency in 2021.

You can ask them for feedback and learn more about their personal values, too.

Remember, your brand is a reflection of the people working behind it. That includes the CEO, stakeholders, employees, and even customers.

After all, 32% of consumers are more likely to purchase if they see a CEO's transparency on digital platforms.

So if you want to make sure that everything aligns with how you want to project your brand transparency, get your employees involved in the process.

And let me ask you again... how do you achieve brand transparency?

3. Provide Transparency Reports

If you think this is necessary to assure your customers that you don't have tricky practices, then do it.

Product transparency is one way to enhance the customer experience as they browse your ecommerce website.

To give you an example, this is the transparency published by Oatly in 2020.

Provide Transparency Reports

Oatly was honest that 2020 was a rough year for them as for everyone else.

But it has assured its consumers that its employees are safe despite their efforts to continue growing the company. And the consumers care about how they treat their employees.

Another example is the clothing company H&M.

Provide Transparency Reports

H&M shows inclusion and diversity in its labor practices and supply chain process. They emphasized that 63% of 1.56 million factory workers are women.

As I said, consumers want transparency.

So simply put, a product transparency report builds trust among your consumers. And if they trust your brand and that you are doing your best to leave a positive impact, they will like you.

You might be thinking that you're ready to enhance customer experience...

But wait! In brand transparency, there are things to avoid...

Things To Avoid If You Want To Enhance Your Brand Transparency in 2021

Things To Avoid If You Want To Enhance Your Brand Transparency in 2021

Surprising, right?

While you strengthen your transparency as a brand, you also need to learn how to protect it accordingly.

Because being proactive is better than reactive!

Does it make you curious?

Stay with me because there are things you need to avoid that might harm your brand.

1. Performative Activism

What is performative activism, you ask?

It is when a brand prioritizes profits over genuinely caring.

Since there are so many discussions online surrounding different issues, I understand that the pressure for brands to speak up about key issues is increasing. Your customers want to hear your thoughts.

But you don't have to comment on every social justice movement just because you want to please your customers.

So let me warn you now: Customers can easily spot if a brand is just being performative when it comes to key issues.

Another thing to avoid is...

2. Denying Your Mistakes

Let's say that your brand receives negative feedback.

You might think it will make your ecommerce store look bad...

But don't even try to delete the review.

Why? Because at least 85% are willing to give your brand a try again even after a bad experience... if you're transparent about it. And provide the solution.

As I said, transparency requires honesty.

That's why it's very important in times like this that you own up to your mistake instead of making the customer feel worse.

So to enhance your ecommerce customer experience, you need to address their concern.

3. Ignoring Your Customers

You probably think that it's the same as the previous one. But here, I am talking about not ignoring what they have to say for the sake of your brand

The digital world is just becoming more and more accessible. And communicating with your customers has been easier than ever.

So if some of your loyal customers have feedback or concerns on how you can better enhance their ecommerce customer experience, you have to take them seriously.

That's why if your customers want to say something, you need to amplify their voices. Make sure they are heard.

I will give you an example of this.

Glossier

Glossier, a beauty company, includes on their website that they stay in constant communication with their loyal customers. This is to make sure that they can give the public what they want.

So transparency includes openness. And being open to suggestions is one of the brand transparency importance.

Want more examples?

Here are some brands that are smashing their transparency game!

Some Brands Smashing Their Transparency Game

1. Patagonia

Patagonia

Patagonia is arguably one of the brands that have been advocating for social and environmental change for years now.

They are on a mission to do something about climate change.

In this specific part of its website, Patagonia is transparent about its sourcing process.

Patagonia's cause for a social chance helps them have loyal customers.

2. Everlane

Everlane

Another great example of brand transparency is Everlane.

Everlane is an ecommerce store that specializes in clothes. And we know that a growing number of consumers are demanding more sustainable fashion.

But Everlane gave them more than that. As you can see, they are also providing a pricing transparency result. It breaks down the labor cost to produce the product.

This kind of transparency gives them a competitive edge. The result? It had $100 million in revenue in 2016.

3. Shein

Shein

Another ecommerce fashion website was transparent when they made a mistake.

Shein published an apology after listing a Buddhist necklace on their website.

Sure, it has disappointed a lot of fans. But at least, they didn't try to ignore the backlash from their customers.

Ready to Enhance Your Customer's Experience?

Brand transparency is just one of many ways to enhance your customer experience.

And now that you know brand transparency's importance, are you ready to implement it?

If yes, then you need an optimized website first!

Just imagine this...

You have a great brand mission and vision...

You created winning social media posts...

And your customers are ready to support your ecommerce store...

But they land on a website that is hard to navigate and doesn't look pleasing to the eyes.

Uh-oh! I don't want that for you!

Lucky for you because Debutify offers 50+ add-ons to make your customers' shopping experience fun and worthwhile!

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Written by

Ricky Hayes

Ricky Hayes is the Co-Founder and Head of Marketing at Debutify - free Shopify theme, helping dropshippers build high-converting stores in minutes. He is a passionate entrepreneur running multiple businesses, marketing agencies and mentoring programs.


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