In today’s hyperconnected environment, marketing is an ever-changing industry and consumer confidence is always at risk. Now that data breaches, false advertising and consumer’s consciousness of the value of responsible business are on the rise, consumers expect more from brands in terms of transparency and authenticity (Kobets 2024). It’s led marketers to a new world of money and long-term customer connections are built on how transparent and authentic their messages are. But why is transparency so important now more than ever, and how are organisations responding to these demands?
Fashion companies such as fast fashion companies are being investigated for unfair labor practices and environmental damage. So companies such as H&M and Zara have started sustainability campaigns to help make their supply chains more transparent (https://livefrankly.co.uk/sustainable-fashion/how-sustainable-is-zara-and-can-i-shop-there-with-a-clean-conscience/).
(Mushtari 2023)
But those campaigns tend to be subject to the trap of "greenwashing," where brands make bogus promises about the ecological advantages of their products. For academic studies to be useful, transparency has to be genuine (Smith, 2021). If customers see transparent work as lying, this backfires and erodes trust and loyalty. Even in the tech space data privacy and transparency issues are a problem. Facebook’s use of data, for example, caused the Cambridge Analytica scandal, which demolished the company’s image. Other organisations such as Apple have made themselves appear privacy-oriented and committed to the safeguarding of user data. The approach has been popular with consumers who are now much more aware of the dangers of data sharing (Dzhengizet al., 2023). Businesses who focus on being transparent with data will always have an advantage going forward.
(McCartney, 2023)
Now that transparency is a mainstream expectation, brands need to find a way beyond just plain compliance and get their audience in the story with them. This is one of the new phenomenons: the emergence of purpose-driven brands, which emphasise their social, environmental or ethical aims. Companies such as TOMS (who donate a pair of shoes for every pair bought) or Warby Parker (which has an analogous business model) have dedicated whole marketing campaigns to openness and social responsibility (https://www.csmonitor.com/World/Making-a-difference/Change-Agent/2011/1222/Warby-Parker-may-have-a-better-buy-one-give-one-model)
The other is blockchain-based supply chain transparency that is making its way into the spotlight (Maalmi et al., 2024). IBM’s Food Trust project, for instance, enables food from farm to plate to be traced on the blockchain so that consumers can know exactly where their food came from (https://www.ibm.com/products/supply-chain-intelligence-suite/food-trust). This is not just more transparent but also answers emerging questions of food safety and ethical supply.
Finally, consumer reviews and influencer collaborations are now essential levers of marketing transparency. Reviews are feedback of actual users and builds credibility among consumers. Lastly, influencers can be real, when chosen correctly, and help with brand messages. But marketers need to be open about the influencer relationships and share sponsored content in case they get accused of manipulation (Öndoğan et al., 2022).
Marketo has entered an infernal shift to become one in which authenticity and transparency reign supreme. The brands that can handle these demands will have more trusting relationships with their customers. The difficulty is not just being transparent, but being real and honest with it. If consumers are changing what they want, then marketers must change how they are relevant and customer-loving. The future of marketing will be a place where trust is the answer, and that unlocking is through transparency.
Read Assignment 3's discussion paper to gain valuable insights and thorough analysis on the topic at hand. A must-read for in-depth knowledge....
Delve into cognitive development stages, key theories, and influential factors shaping human intelligence from infancy to adulthood....
Learn why transparency is crucial in digital marketing and how it can improve your brand's credibility and customer engagement....