To build trust, offer a loyalty reward tailored to a customer’s purchase history, as the customer shares a detailed review or refers friends, indicating stronger trust. [iStockphoto] Trust, they say, is earned when actions meet words. Longevity in business is all about building lasting relationships, and relationships do not just happen; they require a lot of effort to cultivate. Trust is the key element that holds relationships together. The theory of social penetration explains this concept well. The theory describes how interpersonal relationships evolve. Irwin Altman and Dalmas Taylor advanced it, positing that as people get to know each other,…
Author: By Grace Ngugi
As the familiar adage goes, information is power, and those who have it hold sway over those who do not. Such a scenario is best demonstrated by information asymmetry, whereby one party in a transaction or relationship has more or better information than the other. This explains the root cause of many misunderstandings, inefficiencies, and even injustices in systems—whether at workplaces, in service delivery, or society at large; this imbalance is everywhere. Information asymmetry, if left unaddressed, can breed mistrust, poor decision-making, and broken systems, eventually diluting the overall customer experience. Take the modern workplace, for instance. Specialisation of labour,…
As the familiar adage goes, information is power, and those who have it hold sway over those who do not. Such a scenario is best demonstrated by information asymmetry, whereby one party in a transaction or relationship has more or better information than the other. This explains the root cause of many misunderstandings, inefficiencies, and even injustices in systems—whether at workplaces, in service delivery, or society at large; this imbalance is everywhere. Information asymmetry, if left unaddressed, can breed mistrust, poor decision-making, and broken systems, eventually diluting the overall customer experience. Take the modern workplace, for instance. Specialisation of labour,…