In 2018, a study by Label Insight revealed that 94% of consumers are likely to remain loyal to brands that are transparent. The message is clear: transparency isn’t just a nice-to-have; it’s a cornerstone of successful marketing.

Transparency in marketing builds trust, and trust drives long-term relationships. Take the example of Everlane, a fashion brand known for its “radical transparency” approach. Everlane shares detailed information about the costs of its products, the factories where items are made, and even their profit margins. This level of openness resonates with consumers, resulting in a fiercely loyal customer base and annual revenues reportedly exceeding $100 million.

The opposite is equally true. Lack of transparency can erode consumer trust irreparably. Consider the backlash against Volkswagen during the 2015 emissions scandal. Their attempt to manipulate emission tests cost the company over $30 billion in fines, recalls, and settlements, not to mention untold damage to its brand image.

But transparency isn’t just about avoiding scandals. It’s about creating a brand narrative that customers feel good about supporting. Patagonia, for instance, doesn’t shy away from discussing the environmental impact of its products. Instead of glossing over imperfections, the company engages customers in its journey to improve, earning widespread admiration and a projected $1.5 billion in revenue in 2023.

Being transparent doesn’t mean being perfect—it means being honest. Share your wins, own your shortcomings, and involve your audience in your mission. The result? A brand that people trust, respect, and advocate for.

In a competitive marketplace, trust is your greatest asset. And transparency? It’s your best investment.