Retail Transparency Tactics that Actually Work

Transparency in retail is of utmost importance to brands and the customers they serve. As retailers do their best to meet customer needs, predict shopping habits, and provide a competitive service, they are facing significant challenges writes growth specialist Daniel Groves

From affordability and convenience to competition and shopper demand, retailers have a lot to answer for. As such, they must search for new strategies to keep customers engaged, satisfied, and loyal for the long term. And one of the best ways to do this is by fostering transparency.

In this article, we will discuss the retail transparency tactics that actually work.

What is Retail Brand Transparency?

Retail transparency is, first and foremost, about honesty. It means retailers are open and honest with their staff, their suppliers, and their customers.

By prioritising transparency, retailers can establish trust with consumers, build a strong sense of brand loyalty, and create a positive brand reputation.

“Customers choosing home furnishings like blinds or curtains want to feel confident in the quality and sourcing of what they’re buying,” says Yvonne Keal, senior product manager at Hillarys. “By being transparent about our materials, made-to-measure process, and installation services, we build trust and help customers make informed choices for their homes.”

It’s this level of honesty that turns potential buyers into lifelong customers.

The Benefits of Transparency in Retail

According to research carried out by Business.com, “94% of shoppers prefer brands that are completely honest and transparent, and 70% actively research companies before making a purchase.”

Retail companies wanting to stand out and win more customers need to prioritise transparency. Let’s take a look at the benefits:

• Increased trust and brand loyalty
• Improved employee engagement and morale
• Attracting high paying customers
• Enhanced brand reputation
• Enhanced compliance
• Attract top talent
• A happier workplace culture
• Glowing feedback and testimonials
• Attract more customers
• Retail brand growth

With all those benefits, it’s not surprising that so many retailers are searching for ways to increase transparency in their business.

Retail Transparency Tactics that Actually Work: How to Create Loyal Customers

Retail transparency is all about being open and honest with your customers. If you can do that, you can achieve a whole lot. Here are our top four retail transparency tactics that actually work and will help you see real results.

Practice Clear Customer Communication

One of the most effective ways to instill transparency in your customers is to communicate clearly. This means being upfront with customers about your pricing, labour practices, product ingredients, data handling, supply chain improvements, and sustainability efforts (to name a few).

You can do this by establishing clear communication channels. For most retailers, these can be found on social media. Whether in the comments section or via direct message, social media is a great place to share information with your customers and strengthen those customer relationships.

Here are a few ways you can increase transparency in your retail business through clear communication:

• Publish financial and stakeholder reports.
• Share stories about your employees and how they contribute to your success.
• Communicate your brand values across social media and marketing materials.
• Ask for employee and customer feedback and take action where possible.
• Keep customers informed during product wait times.

Own Up to Mistakes

Mistakes happen. The best thing you can do if you make a mistake is to take responsibility.

Here’s how the Co-op were transparent about their data hacking issue. For transparency’s sake, you must communicate how you are going to fix the problem and prevent something like it from happening again. Here’s what that looks like:

1. Take responsibility for the mistake
2. Offer to fix the problem
3. Explain what went wrong
4. Express your sincere apologies
5. Ask for forgiveness

As Forbes explains, “Never shy away from saying, ‘I was wrong.’ While you might hate to admit your failings, doing so makes people respect you more than all the rationalisations and justifications in the world.”

Deliver on Your Promises

Honesty builds trust. We live in a fast-moving digital world where fake news is at the forefront and wealthy influencers fill our social media feeds. What’s more, there are countless worries about data breaches and online privacy. The brands that are winning are those working to gain customers’ trust. Here’s how you can achieve that:

• Offer great customer service
• Ask for and action customer feedback
• Deliver quality products and services
• Offer a reliable service
• Consistently meet customer expectations

Gaining customer trust means you need to deliver on what you promised. Have you told your customers you sell quality clothes? Deliver on that promise. Have you promised fast service? Deliver on that promise. You gain customer trust when you do the things you say you will. It’s as simple as that.

Show Supply Chain Traceability

An important aspect of retail transparency is supply chain traceability. This means customers can track and trace products they purchase from you through every stage of the supply chain, from raw material to finished goods.

When you can show supply chain traceability, you increase customer trust and loyalty by showing product authenticity, demonstrating ethical practices, and showcasing your sustainability efforts.

Final Words

Retail transparency sets the foundation for your business success. Competition is fierce in the world of retail and customer loyalty is hard won. However, we hope that with the tips we’ve shared you can increase transparency in every facet of your business and secure loyal customers for the long term.