Reputational harm is one of the greatest business threats today. How can business owners best protect their companies?
Your business reputation is simply what others think and feel about your business. Those thoughts and feelings could be based on experiences with your business or on what people have heard about your business. And these experiences could be true or not.
Your reputation is important because potential customers don’t wait until they’ve verified accurate information about a business to decide whether to engage with it. They make decisions based on whatever information is available to them.
Your reputation can be created both online and offline. Online, it is created through your business website, your social media posts and online customer reviews. Offline, it is created through the appearance of your office or store, your events and your phone calls.
How can you maintain a good reputation? Carefully craft the appearance of your store. Maintain your offices. And think about how your behavior may be perceived. We hate to sound like a nagging mother, but if you can’t say something nice, don’t say anything at all.
If you aren’t careful, more than your reputation could be at stake. Libel and slander claims are pervasive, and the average cost to defend and settle these types of claims is more than $750,000.
For small businesses without proper coverage, these suits can prove devastating, so make sure you have the right insurance in place for your agency and your clients.