Call it collaborative consumption, the peer economy, or the sharing economy- all titles describe the force that is disrupting business as usual and carving space for some of the most unique and lucrative independent ‘businesses’ of the time. Everyone can participate and all one has to do is consider the use their car, home, time - or, one could posit their creativity as a product to be sold. From E-bay to Lyft and from Airbnb to Taskrabbit companies are leveraging their futures on the crazy idea that people will trust other humans, often more readily than they do the brick and mortar façades of organizations. One may think this would be good news for arts organizations that, after all, traffic in things that are purely human – humanly devised, made, and delivered. And yet, the arts have aligned themselves so rigidly with outdated business structures that it’s a daunting task to do what should come naturally – build trusting relationships with our communities through being truthful and transparent with our work. 

Similar to the four P’s of marketing (place, price, product and promotion) in traditional market places, I believe the three T’s (truth, transparency and trust) are the standard in this new model. Trust is the currency of the sharing economy. People build trust, using truths shared by others. Collected through technological platforms that foster transparency, like Yelp, feedback and ratings are the bricks that fortify these new ventures. People build capital in the form of their reputation in this new economy. So, what can arts organizations learn from this?  

An organization’s truth, otherwise known as its values, is expressed (intentionally and unintentionally) in its brand. The brand of an organization is the inward and outward expression of the various truths of the organization. Particularly now, as more and more people participate in collaborative, peer-based transactions, what you say your brand is has to match how people experience your organization. The ‘because we said so,’ model doesn’t work in a system that’s based on the voices of others being louder than your own.

Often the level of trust an organization is able to build with their various communities is based on how well they tell the stories of their lived-truths. In other words, organizations who build clear, transparent narratives of how they’ve navigated their challenges, struggles and successes will fare better than those who hide behind a curtain of silence when faced with criticism.

Trust enables willingness to engage with others, or an organization, even in the face of the unknown. Trust is paramount for arts organizations that rely on audiences’ ability to show up for something new. In order to try new things we need to feel safe. We feel safe, when we know and are aligned with the lived-values of another. Organizations must engage others through demonstrating that they live their truth-stories. They must be the change they profess they want to see.

This may seem lofty and somewhat circular, but in practice it’s fairly simple. Think about how you make decisions on a daily basis. Why do you shop at the stores you do or buy your chosen brands of toothpaste and deodorant? What motivates you to try something new – a new restaurant or hairstylist? Generally, it’s on the recommendation of someone else.  We all know about the value of word of mouth marketing, but what lies beneath successful word of mouth is a healthy dose of trust. And in the sharing economy, word of mouth is completely out of your control. So control what you can: be transparent. Tell your whole truth and make building trust with peer organizations and your communities your number one organizational goal. 

Jennifer Edwards is facilitating the Brain Trust at our National Arts Marketing Project Conference 2015 - REGISTER NOW before this Friday, 10/23 to hear her and other experts talk arts marketing in beautiful Salt Lake City.