Why credibility is of importance in marketing
With the opportunity for people to reach out to a larger network and share information with one another, credibility have become increasingly important for consumer choices and purchase decisions. The evidence suggests that companies have much to gain by being more transparent in their marketing and thus become more credible.
“If you aren’t transparent and honest in your marketing, it could hit you back with negative publicity." -Fredrik Gahm, Business Developerat Dr. Oetker Sweden Ltd.
Smartson believe in the power of getting involved and taking people seriously. Instead of traditional advertising we are passionate about sharevertising, where innovative companies allows consumers to experience their products and share their genuine opinions with each other. Our thesis is that trust between producer and consumer is becoming increasingly important and credibility directly affects demand. Smartson’s clients are companies who understand that honesty is the way forward and good products deserve to be experienced.
Transparency is the key
Like Fredrik Gahm, we believe that transparency is a key concept in today’s marketing and consumers want the true story. They want to know what’s good and what’s bad with a product. We believe that companies and brands have much to gain in their communication with the consumer by being more transparent. It is suggested that transparency is no longer a choice, it will happen whether you like it or not.
The active consumer
With the development of technology and media, the image of consumers have changed. From passive recipients of the message formulated by the company to active consumers who are searching for information themselves through the Internet or with the help of friends and family. (McKinsey 2011). Unlike previous generations, today’s consumers have numerous choices, only a touch away. The rapid development makes it possible for the consumer to build and maintain large networks and share information with each other.
Consumers trust each other
Belief in what other consumers think, their opinions and recommendations play a major role and is perhaps even decisive for which brands to choose. According to Nielsen’s 2012, 92 percent of consumers around the world said they have a higher confidence in the so-called Earned Media like word-of-mouth and recommendations from friends and family, than for traditional advertising. Reviews on the web are also considered to have high credibility (Nielsen 2012 and Nielsen 2013). Therefore, we believe in the involvement of many people, allowing them to test a product and then share their experiences both virally and digitally with the purpose of helping other consumers. Sharevertising are the honest stories of consumers, available to all.
Read the interview with Fredrik Gahm at Dr. Oetker on his thoughts regarding credibility and experience of sharevertising. In 2011 he began using sharevertising and since have since then allowed over 20,000 test pilots experience Dr. Oetker products with the result: 40 % increase in sales year to year. Read more here
Image: Marianne Sund/Smartson