"Reputation and credibilty for your business" by J. Germain [1/2]

Reputation and credibilty for your business.

In the current climate reputaion is everything by Judith Germain / Developping Leadership

(Source: Start Your Business, December 2008) 

In this day and age it is becoming increasingly important to be able to distinguish yourself from your competition so that you become the 'no brainer' choice in your chosen market.

Whilst there are many factors that can distinguish you from everyone else, the deciding factor seems to be the strength of your reputation and credibility in relation to your competition. This is especially true for smaller businesses and 'one man bands' in over-populated niches.

It is essential that you are consistent with what you say and do, especially on the internet where everything that is recorded there is of a permanent nature.

Brand reputation is becoming the ultimate decision maker and to ignore this trend will put your business and earning capacity in peril.

If we agree with the premise that potential clients will only buy high ticket value services from those that they trust, it becomes imperative that businesses consider how to develop, nurture and maintain that trust. The next consideration is to decide how to do this in the most cost-effective way for their business.

This may mean foregoing expensive marketing activity that only increases the business' visibility, but does nothing to lessen the risk of hiring the company.

This 'risk' perceived or otherwise, is continuously assessed by potential clients prior to them making the decision to hire you. The oft quoted maxim of 'the client needs to be 'touched' by you 7 times before they buy', is derived from this premise.

Credibility equals less risk

Lessening the risk of a client hiring you is especially important if the business has decided to use 'pull' rather than 'push' marketing as a strategy for their business. For example, 'push' marketing is where the business advertises its services to its target audience, unsure of whether they are looking for their expertise.

'Pull' marketing is where the potential client 'pulls' your services when he needs it - without specific advertisement. He might decide to use your service based on a referral from an advocate of yours. This means advertising spend has not been made to secure this client.

Those that rely on referrals or social networking to secure work will realise that the most cost-effective way to gain new clients is to use 'pull' marketing techniques to gain business.

First things first

Before building your reputation in your chosen niche you need to first understand your current position. An audit of your situation should reveal (amongst other things); your standing in relation to your competitors, whether your reputation is earning you enough referrals and if your business message is coherent across all your markets.

It’s important to ensure that your current business strategy (including networking strategy) is consistent with the reputation that you have and are building.

Reputation is personal in its nature, concerning itself with the character of the business (or person) and the intention of its (their) actions. It is essential that you are consistent with what you say and do, especially on the internet, where everything that is recorded there is of a permanent nature.

Inconsistency can be the biggest killer of reputation as it undermines the trust that is being established between the two parties. Credibility needs to be demonstrated and is based on your track record and competency. One of the ways to establish credibility is to ensure that your expertise and integrity is demonstrated regularly and effectively.

This can be done by providing expert opinion, a positive and strong personal brand, social proofing and having a strong trust account. This allows potential clients to sample your expertise enabling them to advocate your services or hire your business. If your business (and/or yourself) has a good reputation and credibility, it is more likely to be trusted by your potential clients, therefore increasing your revenue and sustainability. A trust account balance reflects the amount of trust in the relationship at any given time.

“It is a solid, credible reputation (not juts increased visibility), that will carry you and your business out of the crunch and beyond”

In anyone relationship there are two accounts. How we perceive a trusted relationship say one with a client; may not be the same as they see it. It would be wise to try and understand the balance that is held in each account.