Online Success for Businesses Starts with Trust

The Internet has profoundly revolutionized allsubmit resumes with employment or education
aspects of our lives, both personal andclaims that are later found to be false. What are
professional. It has literally opened upthe best tools to expose false information?
communication with a whole new world, a place inAccording to recent surveys, between 25-30% of
which many people spend almost as much timeall managers rely on a simple search engine to
engaged in as in their physical one. While this newcheck a potential employee’s credibility.
world is exciting for online business, laying the(Bowers) The problem with this is that there are
groundwork for establishing trust is imperative.many people with the same name, and
Webster’s defines “Trust” as ainformation on the internet can be faulty. It is a
“Firm reliance on the integrity, ability, orrisky resource at best, especially considering that
character of a person or thing.” Trust is anThe Association of Certified Fraud Examiners
essential component to any good relationship,reports that Occupational fraud and abuse costs
particularly in people-powered industries such asorganizations about $600 billion a year, or roughly
consulting, recruiting, education, childcare,6% of gross revenues. To help remove some of
healthcare, and professional services.the doubt, use a background screening service to
Jupiter Research, one of the leading providers ofcheck candidates’ backgrounds and verify
research on Internet commerce, recentlytheir credentials and references, making sure to
revealed studies that showed 64 percent of onlineget permission from the candidates before you
consumers are unlikely to trust a websiteinvestigate.
(Peckham). How do you successfully beat these9) Handle, do not hide from, negative press, buzz,
odds and reflect your firm’s honesty andand feedback in a timely manner. Not all clients
your people’s authenticity to your clients?may be satisfied with your services all of the
Top 10 Tips for Successfully Establishing Trust intime. Humans, and therefore people-powered
an On-Line Environmentcompanies, make mistakes by nature; it is
1) Use referrals as trust builders. This tried andthrough our handling of our mistakes that our true
true classic method is still one of the bestcharacters are revealed. Immediately address any
business moves to make. Ask satisfiednegative publicity by stating very specifically how
customers to serve as references and includeyour company will rectify the situation, and then
quotes.follow your word. According to Mari Peckham, it is
2) Solicit online feedback to establish youra fact that “98 percent of people will continue
reputation. On your website, include a place forto use a business even AFTER they have had a
comments. Although eBay is probably not a siteproblem, if their problem was resolved in a
you would market your services through, it doesprompt and courteous manner.” Make sure
provide an example of how rating systems canthis news is broadcast in all appropriate venues.
build up a businesses’ reputation online and10) Protect your clients’ privacy by creating a
help them profit. As iKarma’s CEO Paulsecure online environment. Produce a privacy
Williams stated, “People (on eBay) with anpolicy and make sure users know about it. If you
established reputation, as opposed to thosehandle user logins, use login protection similar to
without a reputation, made 20 percent more salesthat used by banks for online transactions including
with an average of 10 percent higher cost.”security questions, IP recognition, and image
(CNET website)prompts. Vidoop is an interesting service that
3) Encourage your employees to list their affiliationmakes some of this easy to accomplish. Use
to your company on their professional socialencryption to protect data transfers, and make
network profiles. When people are thesure your servers are firewalled. Consider getting
“product,” social networks such asMcAfee Secure certification to further protect
LinkedIn provide an outlet for the six degrees ofyour users. Appoint a privacy and security officer
separation to be played out for corporateand periodically subject your firm to an internal
members. Displaying connections to other peopleand external audit.
of integrity is an opportunity for your employeesThe rules for navigating and conducting business
to show their credibility. Taking advantage of thisonline are evolving and continue to be defined, and
system can expand your network to tens ofthe above tips are just a starting point.
thousands or more.Regardless of what new technologies develop,
4) Provide value in your field. Become an experthowever, one principal which will always remain is
in your area of specialty, and volunteer to helpthe importance of establishing trust with
others in your field. Offer online classes or coffeecustomers and clients.
webinars (you could offer participants’ giftThis article is sponsored by Crederity, Inc., a
cards to Starbucks or other coffee shops) onweb-based trust-building company that offers
topics related to your firm. Contribute articles oronline identity and credential verification to
other helpful resources. Start a blog on your ownpeople-powered companies. Visit to sign up for a
web site or use a third party service like Blogger.free beta account or contact Crederity by e-mail
Host a meet up on Volunteer to give talks orat for more information.
host workshops through your local Chamber ofResources Cited:
Commerce or similar groups.Bowers, Toni blog “Bringing in the Big Guns to
5) Spend time and money on the creation of aDefend Your Reputation Online” June 21, 2007.
well-designed website. According toMay 26, 2008
TheWebforBusiness.com, “If your site isBuilding Initial Online Trust: A Social Learning
graphics heavy, takes a long time to download,Theory Perspective and Application on
doesn't have intuitive navigation, contains brokenBrick-and-Click Companies. Xu Yunjie, Kim
links, relies heavily on plug-ins that users have toHee-Woong, Padmal Vitharana, Research paper,
download separately or has other design featuresNational University of Singapore. April 15, 2004.
that make it difficult for visitors to find theMay 23, 2008.
information they're looking for, they will leave.”Gefen, D., 2003. Trust and TAM in online shopping:
A well-designed website requires substantialan integrated model. MISQ 27(1) 51-99.
investment (Kirmani and Rao/Yunjie et al(as appears in Building Initial Online Trust: A Social
Research Paper). However, like a physicalLearning Theory Perspective and Application on
storefront, it also “suggests the care theBrick-and-Click Companies article referenced
business has taken to offer a better purchaseabove)
experience to customers (Gefen 2003), and theKirmani, A., Rao A.R. 2002. No pain, no gain: a
technical and financial strength of thecritical review of the literature on
company.” McKnight et al. (2002) and Gefensignalingunobservable product quality. Journal of
found empirical evidence that the web designMarketing 64 66-79. (as appears in Building Initial
affects a client’s trust.Online Trust: A Social Learning Theory Perspective
6) Be transparent. Make it clear to yourand Application on Brick-and-Click Companies
customers what they can expect and do notarticle referenced above)
purposefully withhold information or accidentallyMcKnight, D.H., Choudhury, V., Kacmar, C. 2002b,
leave your clients in the dark. A study from the“The Impact of Initial Consumer Trust on
Wharton School of Business found that the moreIntentions to Transact With a Web Site: A Trust
you demonstrate your intentions and remainBuilding Model”. Journal of Strategic
transparent early on, the likelier you are to buildInformation Systems 11 297-323. (as appears in
trust with new parties.Building Initial Online Trust: A Social Learning
7) Prominently display reputable affiliations. OnTheory Perspective and Application on
your site, display any business certification sealsBrick-and-Click Companies resource referenced
you have the rights to use, such as those of theabove)
Better Business Bureau or Chamber ofPeckham, Mari. “Creating Trust” on Online
Commerce membership, and the logos ofBusiness Help. Jan. 20, 2004. May 23, 2008
reputable business partners. The saying aboutTerdiman, Daniel. Start-up lets sites track user
getting to know more about a person based onkarma. March 2, 2006. June 12, 2008.
who his/her friends are holds equally true in theTrust Building Among Strangers: An Experimental
corporate culture. Displaying your affiliations alsoInvestigation of Mutual Trust and Trustbuilding.
helps to signal that you have been vetted byHua-Ho Teck and Keith Weigelt. Research paper
outsiders.as Published in Knowledge @Wharton September
8) Hire people you can trust. An ADP survey in28, 2000
2003 revealed that over 50% of job seekersWeb for website. May 23, 2008.