Introducing the Better Business Bureau (BBB)
by Gregory A. Sanders
The Better Business Bureau. BBB. If you have been around business very much at all, you have probably seen the logo or heard the name. Maybe the logo made you feel a little more secure about a website you were visiting. Perhaps you have made a purchasing decision based partly on the rating a company had with the BBB.
How It Began
The roots of the BBB are complicated, but it is generally accepted that the concept for an organization dedicated to ethical standards in advertising and selling started with a man named Samuel C. Dobbs.
Dobbs, sales manager and later president of the Coca Cola Company, was shocked and embarrassed by a comment made by his company’s attorney in a meeting with the U.S. Attorney. The Coca Cola attorney is quoted as saying, “Why, all advertising is exaggerated. Nobody really believes it .”
The idea that the statement was probably true motivated Dobbs to speak out on behalf of truth in advertising. He found many friends and followers among the ranks of his fellow businessmen. Before long organized efforts were underway led by business, civic and academic leaders.
Why It Exists
The Better Business Bureau’s vision statement says it exists to promote, “an ethical marketplace where buyers and sellers can trust each other.” This vision was born out of business history and fueled by the continuous challenges to honesty and integrity in a free market culture. While most people are honest, there are many who have no problem making claims that are simply not true and taking people’s money for things they cannot deliver.
How It Makes a Difference
Business to Business – In a real sense, the Better Business Bureau is business policing business. The BBB is funded by its members, who are business owners. Business owners who pay membership fees care enough about the reputation of their company and the Better Business Bureau to become members. In order to become an Accredited Member, the company leadership must agree to abide by the BBB Standards for Trust. The standards are comprised of eight statements and twenty-five sub-points.
1. Build Trust
2. Advertise Honestly
3. Tell the Truth
4. Be Transparent
5. Honor Promises
6. Be Responsive
7. Safeguard Privacy
8. Embody Integrity
One on One – When you contact or query the BBB, you are actually in touch with one of 122 independent organizations, each serving a distinct geographic area. It is the local BBB office that monitors and maintains the information on businesses in its area. Advances in information technology have allowed these geographically diverse agencies to compile their information in a single online resource, www.bbb.org.
If you have a problem or question relating to a business, it will be the local BBB office that takes action on the issue. It is the local organization to which a business belongs and to which it is responsible.
Perception of Trustworthiness – The BBB can make a difference because a positive rating is important to businesses and consumers alike. Accreditation means someone in the business cares about being a trustworthy business. The perception of trustworthiness is a valuable commodity in the marketplace. That perception is becoming more valuable as technology multiplies the options available to consumers. Careful consumers look beyond the flashy website to see if that little BBB logo is at the bottom of the page before clicking on the Proceed to Checkout button.
What It Can Do
The BBB, like all non-government organizations, achieves their effectiveness through influence. Heightening awareness through public education and curbing abuses through voluntary efforts, the BBB works to achieve its corporate vision.
Leaders of reputable companies listen to the BBB. They understand and value the goals and values the organization is working to promote. If they are a member or an accredited member, they have paid money to support these ideals.
When a company is mentioned in a compliant or is taken to court, the BBB lists the complaint and the resolution of the complaint in its records. Consumers are able to see the track record of the company
What It Can Not Do
The Better Business Bureau has no regulatory authority. They cannot fine a business. They cannot shut a business down. The extent of power the BBB has is to report complaints and the resolution or lack of resolution in its Reliability Report. If an accredited business is involved in unresolved disputes with consumers, the BBB may revoke its accredited business status.
Realistic Expectations
There have been complaints over the years that the Better Business Bureau failed to protect consumers from unscrupulous businesses. In fairness to the BBB, it does not claim to protect consumers, only to inform them. This is an important distinction.
The Council of Better Business Bureaus strives to maintain the integrity of the system that so many consumers have come to rely on for honest assessment of the trustworthiness of businesses. You should expect the information you get from the BBB to be up to date and accurate.
You should expect to be informed about complaints and resolutions of those complaints when you look a company up at www.bbb.org. You should expect to be treated fairly by businesses who legitimately display the BBB Accredited Business logo.
Be Informed. Be Careful Out There.
While there is no single perfect system for identifying scam artists and illegitimate websites, the BBB system does at least provide a good starting place for consumers who want to be informed before buying. A BBB report is an important weapon in your informational arsenal as you step out into the wild world of commerce.