Being transparent about your business practices is not only the RIGHT thing to do…
New research suggests it’s also the SMART thing to do.
I have to start this with a confession:
I eat out WAY TOO MUCH. I especially enjoy going to new restaurants. And when you live in New York City, there are a TON of new restaurants opening every month.
It’s great – last week alone, I went to 2 new restaurants.
So, yeah. That’s how I got fat.
I also noticed a new trend recently.
I noticed it in restaurants. But the trend is bigger than restaurants. This new trend applies to ANY business. Yes, even your business.
What’s the trend?
I call it the “Glass Kitchen Effect”.
Let me explain.
Kitchens USED to be a black-box:
You order food.
Food comes out.
What happens in the kitchen?
Maybe there’s a guy dripping sweat on my fries. Maybe they fished a bug out of my drink – right before they served it. Maybe someone farted on my steak?!
But those times are over…
Today, we live in a different world.
Because really: Who wants to eat at a restaurant where you don’t know what goes on in the kitchen?
Most people don’t.
That’s why today, kitchens are OPEN.
Here’s what I’ve noticed:
The trendy thing in restaurants is to put the kitchen in a sort of “glass box.” That way, the kitchen is in its own area. But as a guest, you can see inside.
Maybe this isn’t new. The point is:
What goes on in the kitchen is no longer a mystery.
No longer do you have to TRUST that your server didn’t eat half your appetizer on the way to the table.
You don’t have to trust that your food didn’t land on the floor before it hit the plate.
You don’t have to trust. You can just…
At least in theory.
That’s the Glass Kitchen Effect.
And I believe applies to ANY business today.
The Fastest Way to Build Trust for Your Business
David Ogilvy was right:
“The customer isn’t a moron. She’s your wife.”
He said this more than 50 years ago. So I’d add that… he’s your husband, too!
So why do some businesses still try to take their customers for idiots?
Food companies lie about their ingredients. People share fake testimonials inflated revenue numbers. Businesses try to sell hype instead of solutions.
Sometimes they straight up lie. Sometimes it’s big stuff. Sometimes it’s small stuff. For example, more than one person has ripped off my “Life of an Entrepreneur” graphic without giving credit.
But these shady tactics are counterproductive in the long run.
They’re a foolish attempt by companies trying to trick people into buying from them. The result? The exact opposite. These tactics will do is DESTROY all trust, as soon as people find out the truth – and people will find out.
That’s why you should never lie in business.
And why would you? It’s not just unethical. It’s bad for business, too. Because in reality, the FASTEST way to build trust is…
For one, anything but being honest doesn’t work:
Everything’s getting reviewed and rated. Everyone knows everything. Almost any information is freely available. Everything is just a Google search away.
So, if you’re trying to sell a crappy product or service, the word will spread. Of course, the opposite is true as well. If you sell a GREAT product you’ll get more referrals.
But as it turns out, transparency may be more profitable in the short run, too. There’s some pretty interesting research about this. And there are a lot of real-world examples, too.