Why Showing Your Ethics Helps Boost Sales
Consumer labels like “Fair Trade” and “Free Range” have become so mainstream, buyers are now on the lookout for information on the origins of an ever increasing range of products. In order to make purchasing decisions, consumers want to know how, where, and by whom a product was made. Making this information freely available, especially when companies have nothing to hide, is a new marketing trend. In the fashion industry, and many others, displaying ethical considerations and policies can increase sales.
Formerly, clothing manufacturers thought making information about their creation processes available would diminish their competitive edge. Doing so could invite rivals to imitate profitable practices, or lead competitors to access particular supply chains. These days, in order to combat speculation about sweatshop production, or environmentally unsustainable manufacturing processes, some brands are letting trade secrets loose. Some in the industry believe in the future disclosing such information will become mandatory.
Bruno Pieters, former art director for Hugo Boss, is one who understands how consumers gather information either from the addition or absence of thorough product labelling. He has pointed out that, “If a brand is proud about something, they’ll make sure we know about it; if they’re doing something they believe we won’t appreciate they’ll keep us guessing.”
Letting buyers know what your company stands for and how you operate gives them the opportunity to spend their money in accordance with their beliefs. Everybody likes to know the background story and companies can gain new business and build loyalty by being upfront about how they do what they do. Emphasising how your company addresses business, humanitarian or environmental ethics will put you in the front of consumers’ minds, and ahead of the competition.