Public Relations 101 – Business Transparency

At the end of the day, people are going to do business with people they feel they know and trust. While the aforementioned statement may initially seem like a no-brainer, business transparency is one of the key determining factors for the longevity of a business; however, many still struggle to achieve this without saying too much.

So what is transparency in business anyway? Does business transparency mean that companies must disclose every little detail to current and potential customers? In contrast, business transparency has less to do with how much is disclosed and more to do with the frequency of disclosure and how it is accomplished. For example, if a manufacturer of goods discovers that there may be a problem with the construction of one of its products, obviously the company must immediately inform consumers of the problem. It may not be necessary to say why the problem exists or how exactly the product reaches the consumer’s hands despite quality and warranty checks, as this can lead to unnecessary panic. However, it is essential that the company stays in almost constant contact with the consumer during the crisis situation so that the consumer feels that the company really cares about their safety, and not just about the bottom line of the company. Depending on the scale of the crisis, weekly and sometimes even daily updates may be necessary.

While company size is often a determining factor in scope, several approaches can be taken to ensure that the right information reaches consumers in a timely manner during a crisis situation. Press conferences are an option for larger companies, while “conferences” or similar announcements can be held on company websites or even on sites like YouTube and Twitter for smaller companies. Email announcements, newsletters, and brochures are always great ways to show consumers that the lines of communication are open. Finally, distributing press releases can ensure that your business message reaches consumers and other key stakeholders through major media outlets.

Remember, transparency has more to do with frequency than full disclosure. Always be sincere and truthful, but be careful to correctly construct the message you want consumers to receive, as that press release may be your only chance at redemption.