The corporate world is notoriously competitive and there are very few markets that remain untapped. Thus, your company needs to gain every possible edge over the competition.
One factor that will likely prove to be pivotal to the success of your business is its reputation. Why is your business reputation so important and how might it be damaged?
Retaining customers and attracting new ones
You’re always looking to entice new customers to your brand, and a positive reputation – whether it’s communicated via online reviews or word of mouth – will help you to do this. At the same time, something that’s essential to all companies is securing repeat customers. Without a stellar reputation, you’re going to have a hard time keeping your customers, let alone attracting new ones.
Creating a strong team
As well as customers, prospective employees will also take note of your company’s reputation. If they hear that it offers innovative products and high-quality services, then they will be more motivated to work there. Being able to attract the most talented individuals and bring them onto your payroll will ultimately increase the profitability of your company. You’ll find it hard to do this with a damaged reputation.
How can your reputation be damaged?
One of the most common ways for businesses to suffer reputational damage is through defamation. Essentially, this amounts to negative statements in a verbal capacity, written form and (especially, nowadays) online. Importantly, these statements must have no factual basis to be classified as defamation. Sometimes, your rivals may engage in defamation because they are envious of your success.
Defamation is unlawful and it’s important to address it promptly. You may be able to have an offender retract a statement, apologize and even pay damages. Seeking legal guidance will give you a better idea of your options.