With the news awash with dramatic predictions about the impact new technologies will have on society and the workplace, it’s perhaps understandable that trust in digital technology can be low among customers. Research from the Queensland University of Technology highlights how important it is for businesses to address this lack of trust if they’re to attract new customers.

“Our ability to understand and measure trust plays a critical factor in every transaction we’ve ever taken part in. But today’s consumers, perhaps more than ever before, face a crisis of confidence fueled by a steady stream of cautionary tales in mainstream media and social channels,” the researchers explain.

“Not only are there widespread data security breaches close to home here in Australia, but advanced technologies including artificial intelligence, video analytics and biometric solutions remain under-utilized.”

Trust is key

According to the research team, trust plays an indispensable role in our daily lives and relationships. However, businesses are facing significant challenges in explicitly designing, managing, and measuring trust in the realm of digital technology.

This inadequacy in “trust literacy” is causing numerous organizations, particularly those operating in data-intensive environments, to hesitate or even refrain from adopting new digital technologies. As a result, these businesses risk falling behind in implementing data security and management standards, hampering their growth and competitiveness.

“Meanwhile, customers are increasingly assessing more than just products and services, instead looking for confidence-building trust signals and suppliers with a genuine disposition ‘to do good.’ Kindness and a desire to make the world a better place are rated highly,” the authors continue.

“Our white paper explores benevolence as one of the four key factors which affect customers’ trust perception. Beyond simply naming the problem, we hope the findings are a timely guide to navigating the complexities and barriers to trust which businesses and consumers face in the current digital frontier.”

Changing the narrative

Ultimately, the aim is to shift the perception of business away from being distrustful, while also helping leaders to gain the skills and knowledge to ensure they can effectively develop this trust among customers.

“Trust is still not a primary concern for most organizations and their trust literacy is in its infancy. We’ve found there are tangible, actionable steps organizations can take in their mission to become a trusted enterprise,” the researchers conclude.

“When customers hand over their private data, make online decisions on a product they have never touched or engage with sophisticated technologies such as autonomous systems, facial recognition payments or video analytics, the trust intensity of such engagements is high.

“Whether a customer trusts or not influences their purchasing intentions significantly. In addition and beyond individual considerations, global demands for sustainability and transparent and fair supply chains now require organizations to also be accountable for their social responsibility for all stakeholders as opposed to a common narrow focus on corporate, profit-driven performance with only immediate shareholders in mind.

“So, customers’ trust concerns also cover more comprehensive promises such as net zero targets.”