Brands Must Earn Trust Through Transparency and Ethics

Consumers have never been
more cynical. So if brands
want to engage with them
and
build loyalty, earning their
trust and being seen to do the
right thing are essential.
The services that make our
everyday lives easier are
capturing more of our
attention. So improving UX
and simplifying comms are
key, whether through cutting-
edge technology or clear,
considered design.
In our information-saturated,
automated lives, we continue
to crave unique experiences
that connect with us on an
emotional level and make
clear statements about who
we are.
TRUST EASE EXCITE
At the start of 2017 we looked at the key themes affecting consumers. We distilled
these down into the following:

Table19.co.uk • @WeAreTable19 3
TRUST became more important than ever
Political upheaval
Rising tension
at home and abroad
Terror and tragedy
TRUST became more important than ever as we saw political upheaval across the globe. Donald Trump was sworn into office in the US, Emmanuel Macron took
up his presidency in France, Robert Mugabe stood down from his post as Prime Minister of Zimbabwe. And in Britain, Theresa May suffered a shock loss in the UK
General Election. We saw rising tension in the UK as the government invoked Article 50, thus triggering Brexit negotiations with Europe, and the war of word
between the US and North Korea escalated significantly. 2017 also brought with it tragedy and terror in the form of a number of terror attacks and the Grenfell
Tower fire. Some major secrets were revealed later in the year, thanks to the leaking of the Paradise Papers, which disclosed the secrets of the elites hidden
wealth.

TRUST became more important than ever
Secrets and revelations People speaking out Growing environmental concern
And we saw further revelations as a result of the inquest into Donald Trump’s presidential campaign and it’s ties to Russia. 2017 was also monumental for
being the year that we saw people speak out. Whether that be against racial, sexual or gender discrimination. It was also the year that number of allegations
of sexual harassment and abuse were made against high profile figures across the entertainment industry, most notably against Harvey Weinstein which gave
rise to the #MeToo campaign.
It was also the year that conversation about the environment got serious, prompted by a number of hurricanes and growing awareness of the plastic waste in
our oceans.

New ways to make our lives EASIER
Facial and voice recognition More AI than ever Smart everything
Technology played a major role in making our everyday much easier. Through the increase adoption of both voice and facial recognition bought about by the
release of new smart phones and in particular the iPhone X. We saw AI adoption rates skyrocket as we engaged with more chatbots than ever before and
welcomed AI personal assistants such as Amazon Echo and Google Home into our lives.
We also continued to see the introduction of more smart technology. From lightbulbs to smart meters- the Internet-of-Things truly arrived in 2017.

We got EXCITED
Big film releases
New tech launches Royal announcements
(and other good news stories)
2017 was an exciting year for film, with several big blockbuster releases. Interestingly, 9 of the top 10 grossing films of 2017 were either sequels or remakes,
proving that the nation loves a retro classic. We were excited by new tech launches such as the long awaited iPhone X. And although we’ve been talking about
it for a long time, VR really did go mainstream with the arrival of Playstation's VR head set.
And to top it all off there was news of a royal engagement, as prince Harry and Meghan Markle announced their plans to marry.

With the occasional disappointment
Events that didn’t quite live up
to the hype
British sport Robots aren’t quite there yet…
Of course, there was the occasional disappointment, whether it was over-hyped events that didn’t quite (or at all) live up to expectations. The most notable
example of this being the Fyre Festival- billed as a luxury music festival, it turned out to be anything but! The event itself was promoted on Instagram by "social
media influencers" including Kendall Jenner, Bella Hadid, Emily Ratajkowski,, many of whom did not initially disclose they had been paid to do so, in violation of
federal law. During the Fyre Festival's inaugural weekend, the event experienced problems related to security, food, accommodations and artist relations.
Eventually, the festival was indefinitely postponed after some festival-goers had already arrived; where they had been finding tents and pre-packaged sandwiches
instead of luxury villas and gourmet meals they had been promised when they had paid thousands of dollars for admission.
And the ever-reliable source of disappointment; British Sport, as England were unceremoniously ‘smashed’ by Australia in the Ashes

We’re hopeful, but cautious
“The British public is looking forward to 2018 with a mixture of hopes and fears.
Most of us think that 2018 will be a better year than 2017, but otherwise we have
worries both at home and abroad. Britons are the most likely to expect a major
terrorist attack in 2018, while two in five think a war between the US and North
Korea is likely.
Britons also expect global temperatures to keep on increasing, and, like several
other European countries, are relatively less optimistic about the global economy
than people in emerging economies (although not quite as pessimistic as last
year).”
Ipsos-Mori

Tech will continue to grow
“Half of UK businesses plan to invest
£10m in digital by 2020…
73% say they will invest in robotics, 63%
in AR and VR, 62% in wearables, 54% in
biometrics and 43% in blockchain.”
Deloitte
The global intelligent virtual assistant
market is expected to grow by 31% over
the next 5 years, with estimates
predicting that by 2022 the market will
have expanded to be worth in the
region of $5.1bn.
Transparency Market Research

Tech will start to come of age
The Technology
Hype Curve

WHAT DOES THIS MEAN
FOR BRANDS?

In these increasingly fast-paced, digitally saturated and highly uncertain
times, we’re looking for comfort and reassurance from something simpler.
We seek a deeper and more human connection to the world around us.

Brands must embrace their human side to
bring the science and the emotion together

3 themes will continue to be key
4 key trends 3 key trends 3 key trends
TRUST EASE EXCITE

In our post-truth age, we’re more and more sceptical of the opportunities
offered and threats posed by new technology – as well as those who seek
to utilise and control it.
Our world is changing, and so too is the way we view it. Social issues once
regarded as moot – such as homophobia, racism, equal rights and the
environment – are now non-negotiable for the new generation of
consumers.
So to gain and keep our trust, brands will need to act with more integrity
and consideration for the wider world than ever before.

4 Key Trends
Genuine CSR Transparency
Identity &
Acceptance
AI Ethics

Concern for the environment is growing
Yet, as our understanding of the problem deepens, so too does the conversation. And with it, the sense of shared responsibility in trying to reverse some of the
damage done by generations who didn’t know any better. Brands are not exempt from this responsibility. In fact, they’re expected to be model global citizens by
consumers, who are increasingly willing to hold to account any business that falls short.

We’re holding businesses to account
#PlasticPopulation
Yet, as our understanding of the problem deepens, so too does the conversation. And with it, the sense of shared responsibility in trying to reverse some of the
damage done by generations who didn’t know any better. Brands are not exempt from this responsibility. In fact, they’re expected to be model global citizens
by consumers, who are increasingly willing to hold to account any business that falls short.

‘Sustainability’ and ‘green business’ are no longer acceptable
simply as buzzwords for generating positive PR.
In 2018, brands will need to walk the walk – not just talk the
talk. More than ever, customers will expect them to lead the
way and take responsibility for their impact on the world.

Sky Ocean Rescue
Sky is helping to raise awareness of the
issue, and has made changes across its
business to make it plastic-free.

Iceland
The food retailer has become the first
supermarket to vow to eliminate plastic
from all of its own-branded products,
claiming it will be ‘plastic-free’ in 5 years.

Glass box business
A business used to be a black box. Now it’s a glass box.
Unfair practices and accounting are being leaked.
Now anyone with a smartphone can
capture and expose businesses.
Over the past decade we have had our fingers burnt by those in positions of power who, behind closed doors, not always acted in the best interest of their
customers (and society at large).
We are now seeing a shift in the our tolerance for secrets and our appetite for leaks which spill the beans on all the dodgy goings on is only increasing. 2017’s
paradise papers is a clear example of this. We also see that thanks to point of saturation around smart phones i.e. everyone has a camera connected to the internet
in their pocket. Brands are no longer being allowed to get away will malpractice behind the scenes. Any one and everyone can capture and share to shine a light
on bad behaviour from brands.
As United airlines found out when they forcibly removed passenger David Dao from United Express Flight 3411, after Dao refused to leave the aircraft as airline staff
insisted. Police were called and dragged him off. Dao screamed as officers pulled him out of his seat, and his face hit an armrest during the struggle. Officers then
dragged him, apparently unconscious, by his arms on his back along the aircraft aisle past rows of onlooking passengers.
The video caught by a fellow passenger and uploaded to social media went viral, sparking major backlash from both the media, public and government alike.

We’re more protective of our data
New legislation designed to protect and hand back
ownership of customer data.
Experian has identified four distinct groups of
people: ‘the unaware’, ‘the acceptor’, ‘the
cautious’ and ‘the incognito’ – demonstrating
that there are varying levels of trust and
engagement with how personal information is
collected and used in exchange for products
and services.
Experian
37% are worried about their personal data and
67% think interacting with government online is
“creepy”.
KPMG

Adopting an open book policy will help earn consumer trust.
By showing the world that they have nothing to hide,
businesses will build confidence that they are acting in the
interests of all their customers – not just those of an elite few.

BBC
The broadcaster rebooted its email comms by encouraging
viewers to re-sign in and update their preferences.
At the start of and throughout the journey, customers were
clearly told how this data, combined with information on
what they already watch, would be used to make
recommendations more relevant.
Customers were given easy ways to feedback on the emails
they’d received at every opportunity.

Monzo
Beyond their regular updates
to help keep customers on
top of their finances, the
mobile first bank has a
transparency dashboard
which allows them to be
open about a range of issues
across the business.

Rising tide of hate and discrimination
Racism… Nationalism… Sexism…

Growing intolerance towards
discrimination

Brands in 2018 must visibly represent and serve all their
customers, and employees, in a fair and equal way.

L’Oreal
The cosmetics giant recently made
history by casting a hijab-wearing
model in a hair advertisement.
Amena Khan, the British blogger and
model who stars in the ad, describes
the campaign as ‘game changing’.

H&M
The fashion chain came under fire after a recent advert was called out as racist.
Despite an apology being issued, the ad sparked protests in South Africa and
caused brand ambassador, The Weeknd, to cut ties with the company. H&M
have since appointed a Diversity Leader.

Sephora
The cosmetics retailer is living up to its mission to show diversity in
beauty by using its own employees as models. Ten members of staff
from across the US were chosen to participate in its latest
campaign.

We’re welcoming AI into our lives
Hello!
How can I
help?
Gartner projects that more than 85% of customer interactions will be managed
without a human by 2020. And according to TechEmergence, chatbots are
expected to be the No. 1 consumer application of AI over the next five years.

Our relationship with AI is evolving?
Artificial Intelligence Will Create
More Jobs Than It Eliminates;
AI Will Create 2.3 Million Jobs in 2020,
While Eliminating 1.8 Million
Gartner

Understanding and harnessing the potential of
AI will lead businesses into the future.
But if they are going to build trust in 2018, brands must not lose sight of the
humans AI is designed to assist.

Microsoft
The tech giant released a book which focuses on
future AI and its relationship with humans. The
book aims to raise and begin tackling significant
questions such as: How do we ensure that AI is
designed and used responsibly? How do we
establish ethical principles to protect people? How
should we govern its use? And how will it impact
employment and jobs?

Table19.co.uk • @WeAreTable19
IBM Watson
This system sets out principles for businesses using AI:
“The key to maintaining ethics is for chatbots to provide
proof of why they are doing what they are doing. By
showcasing proof or its method of calculations, humans can
be confident that AI had reasoning behind its response
instead of just making something up”

How can brands build trust in 2018?
Genuine CSR Transparency
Identity &
Acceptance
AI Ethics
Don’t just talk the talk.
Walk the walk by
showing how your
brand takes
responsibility for its
impact on the world.
Show the world that
you have nothing to
hide.
Represent and
celebrate the diversity
of all your
stakeholders.
Embrace new
technology, but don’t
lose sight of those it’s
meant to serve.
We’re now living in a post-truth age. Digital (and traditional) communications have been exposed as being open to manipulation by those who seek to sway the
opinions of the masses. Which means that the adoption of new technology poses an ever greater risk of ‘malpractice’. But the public are becoming ‘wiser’ to the
game, with their scepticism extending beyond the politicians and the elites. It’s no longer acceptable for brands to simply say they care for their customers and
the wider world. Consumers now demand evidence of these ethics in action.
Issues such as homophobia, racism, equal rights and consideration for environment, which were regarded as moot by previous generations, are for millennials
and Generation Z non-negotiable. In order to gain and keep the trust of their customers, in 2018 brands and businesses will need to act with more integrity and
consideration for the wider world than ever before. Because trust is harder than ever to earn – and if lost, even harder to get back.

Technology adoption rates continue to rise and, in turn, so do the amount
of information and number of decisions we’re faced with daily.
Businesses have an opportunity to use this tech to find and offer solutions
which help their customers cut through the clutter and make their
everyday life a little simpler.
But as we outsource more of our decisions, based on past behaviours, are
we limiting our exposure to new things?
Brands in 2018 must offer us genuine ways to save time and effort without
compromising our opportunities for discovery.

3 key trends
A-Commerce YouTech
Choice vs
Serendipity

AI is creating business efficiencies
through automation
From production to fulfilment and delivery

Consumers too are automating
Outsourcing of certain retail experiences to smart devices and algorithms, meaning greater
automation of finding, negotiating, purchasing and delivering products and services.

In 2018, businesses will have the opportunity to introduce
increasing levels of automation into the purchase journey on both
sides of the transaction.
Those that can pass on genuine efficiencies to their customers to
save them time, money and effort will always be considered first.

Marks & Spencer
M&S’s Tuesday service uses a chatbot-style quiz to find out
your style preferences, and sends you stylist-curated
product selections.

Amazon Go
Amazon’s planned automated store is now a
reality, with more outlets set to open this
year. Sensors and cameras detect what items
shoppers have taken from the shelves, plus
what they have put back, in real time. When
they have everything they need, customers
then simply exit the store – at which point
they are automatically billed via the card
linked to their Amazon account.

What do we mean by YouTech?
Facial recognition Voice activation Fingerprint scan Vein recognition Iris scanner

Convenience outweighs security risks
“We’re seeing it across all age groups,
not limited to one generation, everyone
hates passwords”
Marc Grissen

In 2018 we will see more and more opportunities for integration of
tech and biometrics.
Brands that are able to allay fears will do well.
But ultimately, those that offer the greatest convenience will win.

CUBIC
A technology company is testing a
subway concept that would allow
travellers to pay for their travel with
facial recognition tech.

Three Square Market
The majority of employees at a
Wisconsin tech company have
voluntarily received RFID implants.
These allow them to open doors, log
on to computers and pay for things
like lunch and travel.

Digital technology is offering greater
convenience – but at what cost?
The digital revolution has offered us unparalleled convenience. It’s sped up our lives, removed the need for decisions and has helped to bring the things we like
closer to us than ever before.
But as we outsource more of our decisions than ever before and place greater reliance on algorithms of social networks and AI are we trapping ourselves in a
digital prison of our own biases?
Focusing too much on convenience, we could shut out other people’s divergent points of view and stifle innovation borne of cognitive and behavioural diversity
preferences, and tastes colliding. Thus removing Serendipity from our lives

Marketing only traps us further
“Programmatic has killed diversity of content in the
marketplace, with the oligopoly of media dollars
being spent on a short list of players. Google and
Facebook win at the expense of many, many other
open Web publishers.”
Media post
Further more, as marketeers seek to get the most bang from their buck from digital and social advertising, we as consumers are in danger of only ever
subjected to ‘recommendations’ made based on past behaviour and preference.
We’re already starting to see the signs of both industry and consumer backlash against the likes of what might be deemed lazy retargeted ads. Which don’t
consider our need for diversity and chances of discovery. Instead pursuing the path of least resistance by assuming just because we looked at / bought /
clicked on something once, we want to do the same over and over again.

In 2018, while making sure their offering remains as relevant as
possible, brands will need to build in opportunities for genuine
moments of surprise and discovery to avoid customer fatigue
and backlash.

Spotify
The music app curates new and
previously unheard content based on
listeners’ behaviour. Playlists are updated
weekly to keep suggestions fresh and
relevant.

Netflix
The streaming service reviews its customers’
viewing habits to suggest which movies and TV
shows they might like to watch next. Netflix
openly references past viewing data and provides
suggestions across multiple touchpoints, e.g. the
tile screen immediately after viewing, plus email
comms.

How can brands create EASE in 2018?
A-Commerce YouTech
Choice vs
Serendipity
Automate for
efficiency and pass on
the benefits
tocustomers
Provide convenience
through simple human
authentication
Balance behaviour and
preference targeting
with unexpected
discovery

As human beings we’re all hardwired to
have an emotional response to the world
around us. And it’s these responses that
spur us into action, whether it’s
buying, watching or sharing.
However, as the world around us becomes
smaller, faster and noisier, there’s a danger
that we’ll have seen it all before.
In 2018, brands will have to work harder
than ever to grab our attention, and make us
feel something that drives us to act.

3 key trends
A return to
storytelling
More
everyday
rewards
Great
expectations

Increasingly fragmented media
More media channels than ever
before (off and online)
With marketers increasingly spending
in channels with lower dwell time

The power of a good narrative remains
In spite of all the excitement, however, the human brain has
been on a slower evolutionary trajectory than the technology.
Our brains still respond to content by looking for the story to
make sense out of the experience. No matter what the
technology, the meaning starts in the brain.
Stories are authentic human experiences. Stories leapfrog the
technology and bring us to the core of experience, as any good
storyteller (transmedia or otherwise) knows.
Psychology Today

Customers connect to brands
that tell stories
74
There are several key components of brand storytelling.
These include:
• The reason your company came to be.
• What motivates you and your team to come to work
each day.
• Giving your audience an inside look at your company.
Huffington Post
The best marketers are storytellers
Chief Marketer

In 2018 we’ll see more emphasis from brands not only on sharing
campaigns with clear narratives, but also on engaging consumers
with the story behind the business in a consistent way across
multiple channels.

Nike: Breaking2
In 2017, three runners attempted to break the two-hour
marathon barrier.
Nike took a classic athletic story – man vs record – and
told it over a year across owned and earned channels.
The story culminated in the live-streaming of the
attempt, which was watched on Twitter, Facebook and
YouTube by 13.1 million people.

HBO: Mosaic
Steven Soderbergh’s new TV
series, starring Sharon Stone, has
an accompanying app that allows
viewers to choose which point of
view to take throughout the
narrative.

IKEA
The homeware retailer takes what can often be a
very functional part of the customer journey and
uses it to share part of their brand story. A short
video welcomes customers into the home of IKEA:
Almhult.

Reward-seeking behaviour is natural
When we receive a signal that a reward is on
its way, dopamine spikes in our brains,
providing a powerful driver towards that
reward.
Classic experiments in psychology show that
rewards are even more motivating when
they’re unpredictable – they keep us working
harder until we receive them.

Rewards drive retention and
loyalty
Unlike last year, when the promise of
deals most drove loyalty, customers
today find financial rewards (61%)
and programs highly tailored to their
needs (58%) much more enticing.
Accenture

Rewards beyond the transactional
Tesco over-invested in transactional rewards
and suffered when it tried to pull back
Social rewards
Signals of being liked and
accepted
Earned rewards
Things we’ve searched for or
hunted down
Greater self rewards
Progress towards personal
goals
Emotional rewards can be just as effective at
driving repeat behaviour

Offer customers reasons to keep returning and engaging.
Identify those who engage the most and invest in them both
financially and emotionally.

Advent calendars
Forget chocolate or picture windows – last
year, advent calendars became full-on daily
gift opportunities.
Some companies used calendars as a
showcase for their new offerings – whether it
was beauty products from Amazon/ASOS, or
craft beer from Iceland.

Pret A Manger
Rather than offering loyalty cards, the popular
sandwich shop chain allows its staff to give out a
certain number of free hot drinks and food items
each week to customers they like or find attractive.

Expectations affect our behaviour
Recent studies show that our behaviour isn't driven just by emotions. It’s also affected by our
expectations of how that particular emotion will influence our behaviour.
For example, if you believe you're more creative when you're excited, you will perform better
in a creative task when in that mood.

Expectations are high
Simply meeting expectations
isn’t always enough
Consumers are less
forgiving than ever
Tech is raising our
expectations
78% of consumers say
they retract loyalty
faster today than they
did just three years ago
(Accenture, February 2017)

Fuelled by the arrival of new technology and services, our
expectations of brands are on the rise.
In 2018, to retain customers and build advocacy, brands need
not only meet to but to exceed expectations – and do so more
often.

McDonald’s
A tie-in with cult TV show Rick and
Morty left fans disappointed, as
demand for special edition Szechuan
sauce was much higher than supply.

UberEats and Krispy Kreme
This partnership attracted the wrong kind of
attention in two ways. First, by timing a mass
doughnut giveaway to coincide with World
Diabetes Day, and second, by underestimating
demand, which caused UberEats to crash.

How can brands EXCITE in 2018?
A return to
storytelling
More
everyday
rewards
Great
expectations
Engage customers
with their story at
every opportunity
Move beyond the
transactional to offer
more rewards more
often
Exceed expectations
whenever possible

Brands Must Earn Trust Through Transparency and Ethics

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