Trust: The Foundation of Every Successful Business

Today I want to talk about something fundamental and critical to every successful business, and that's the idea and the application of trust. Now, whether you're running a cafe, managing a small creative marketing agency, an accounting firm, selling handmade products online, trust is the heart and the soul and the centre of everything we do.

It's what keeps our customers coming back, encouraging our employees to stay loyal, and it builds long-term partnerships with suppliers and our team. But trust isn't just that thing just that happens miraculously. It's something we need to actively develop and maintain. But let's break it down. Now,

firstly, why is trust such a big deal? Well, think about your own experiences. Have you ever worked with a business you didn't trust? Maybe a supplier who didn't deliver on their promises, or a shop where a star seemed indifferent to your needs? How did they make you feel? Frustrated, cheated. I doubt it was being elated.

Now, flip that on its head. Think about a business that you trust wholeheartedly. It could be your local butcher, a plumber who shows up on time, an online retailer who delivers faithfully, a shopkeeper who knows your name. What's the differentiator there? The chances are they've proven themselves reliable, consistent, and honest over a period of time.

We might be asking ourselves quite naturally, why does trust matter in business? Why is it such a big deal? Well, for many small businesses and large businesses, trust is more than just a nice to have. It's not something on our checklist. It's critical, and here's why. Well, certainly some of the reasons.

Customer loyalty. Trust is what keeps customers coming back. People are more likely to stick with a business they trust, even if the price by a competitor is at a lower amount. Word of mouth. In today's world, a trusted business gets those growing recommendations. People like to have good stories to share.

Positive reviews and referrals are very powerful. It's social proof and they're cost-effective, a form of advertising on your behalf. Team morale is another thing. Trust builds strong, motivated teams and employees who put faith and trust in their leaders tend to be more engaged and willing to go that extra mile or kilometre if you want it

Metric. Resilience is often overlooked, but in challenging times, trust acts as a cushion. Customers and suppliers are more likely to support you if they believe in your integrity. That's all well and good, but how do we actually build and maintain trust in our business? Well, let's have a look and dive into some practical steps.

Step one, be honest and be transparent. Transparency is the bedrock of trust. People want to know that they're dealing with a business that's open and honest with them, even if their honesty is not what they want to hear. It's what they invest in. For example, if there's delay in delivering an order, don't wait for the customer to chase you.

Be proactive and keep them informed. Let them know what's happening and when they can expect that delivery. If you're doing work for a client and that work is going to be delayed, then don't just bury your head in the sand, inform and communicate. Now if you're in a situation running a bakery and a customer orders a custom cake for a party, on the day of delivery you realise it's running late.

Instead of saying nothing and hoping it'll go away and hoping they won't mind. You call them, apologise, explain… Customers appreciate honesty even though they might not like the news you are sharing with them and they admire and respect your efforts to try and rectify it. Step two, don't make promises you can't deliver on.

Reliability is essential. It's key. If you say you'll do something, then you must do it. Consistently meeting expectations is one of the fastest ways to build trust, but remember, it's better to underpromise and overdeliver than the other way round. For instance, if you own a cleaning service and you promised to complete a job in three hours, make sure it's done on time or maybe a bit earlier.

Going over that three hours and exceeding and underachieving there is not going to stand you in good stead. Exceeding expectations, even by a small margin, leaves a lasting impression. Step three, communication. Clarity of communication is vital. Good communication is the glue that binds and holds trust together.

Plain speaking, avoiding overcomplicating things and making sure you are approachable is what customers and employees feel comfortable with. Now, put yourself in a situation of negotiating a deal with a supplier. Instead of using a vague phrase like it, we'll sort it out later. Be specific. Tell them when that order is going to be placed.

Tell them when the payment is going to be made. Clarity of communication on both sides avoids misunderstanding, and it builds confidence. Step four, show consistency. It's all very well to say that you have good values and integrity. If your behaviours don't meet that, trust grows when people see that your actions align with your values time and time again.

It's not just enough to be reliable on one occasion. It's consistency that you need to be doing. For example, if you are running a cafe and you take pride in using locally sourced ingredients, you stick to that promise. I've seen many business owners, they will take on something that's worked very well and they will try and cut corners.

They offer a quality offering or certainly announce it, but then they start to use cheaper ingredients. Customers notice when your values start slipping, and consistency reassures people they can rely on you and who wouldn't want that? Step five, take responsibility. Now nobody's perfect. Mistakes do happen and they will continue to happen, but it's how you react to them, how you handle them

that makes all the difference. Own up to your errors, apologise sincerely, and put things right. Now, imagine that scenario. Mistakenly, you've overcharged a customer. A business that is trusted won't wait for the customer to complain. They'll spot the error, apologise and issue a refund immediately. Taking responsibility shows integrity and reinforced trust, and focusing in my own businesses when mistakes have actually happened,

I've always encouraged my staff and told my staff, we own up to what we've done wrong. We try and put it right, even if it means a slight embarrassment, you need to make sure you take ownership of those mistakes. Now, trust isn't built overnight. It takes time, effort, and genuine care. Get to know your customers, your employees and suppliers, and small gestures like remembering somebody's name, celebrating that work anniversary can make an impact, but do with genuineness.

Now trust also extends to protecting it online and in today's digital world, trust extends to our online presence. Be transparent about policies like returns and refunds. Respond promptly to online reviews, even the negative ones. That's good content if you know how to handle it. And make sure your website is secure for payments.

Make sure there’s another nice little friendly padlock by it. If you do happen to get negative reviews online, respond with professionalism and not emotion, and a willingness to try and resolve the issue. Now, trust is also important with suppliers and your own team. It's not just with customers. Now with your own staff team, you as the trusted leader in your business, is the one or the one that inspires loyalty and teamwork.

And here's some tips on how to foster that trust within your team. Lead by example. If you are expecting your team members to act with some degree of honesty and integrity, make sure you echo those sentiments. Show honesty and integrity and respect in how you behave. Secondly, encourage open dialogue. Try and create that space where employees feel safe.

Sharing ideas or concerns, and they're not going to be shot down for them, and they're not going to be ridiculed. Open communication goes two ways. If somebody does something good, well, a simple thank you goes a long way. But remember, this isn't just a tick list here. You've got to mean it. You've got to feel it, and it's got to be genuine.

Now, when you walk building trust, remember the trust goes outside and it goes with people that you are working for. Now, for me, don't just dive in to build up a relationship with somebody. Do your due diligence. Check the veracity of what they're saying. As much as you're building trust for yourself, you need to make sure that you are confident that you have that trust in the people that you're working with, the suppliers that you use, whether they're for services or for product.

Now, there are immense long-term benefits in trust. If trust becomes the foundation of your business, you create a loyal customer base, you build stronger partnerships, foster a positive work environment, and it also gives you a USP and it makes what Port would describe those barriers to entry much higher.

These aren't just feel good results. They've got real financial benefits. Loyal customers spend more with you. A handy statistic folks, it's three times more expensive to recruit and get new customers than it is to retain your existing ones. Happy employees tend to be more productive and trusted businesses attract more opportunities.

Now, as a small business owner, you may not have the resources of a big corporation, but trust is your secret weapon. It's what's a differentiator. It sets you apart and it makes people come back to you. Before we wrap up and say goodbye, let me finish with this thought. Trust is like a savings account. You build it up over time and it gives that security when you need it most.

So take the time to invest in trust and your business will thank you for it.