In our childhood days, there were no online reviews. We often heard the words: “Don’t care what other people think” or “Stick and stones may break your bones, but words will never hurt you.”
These words of wisdom may help on a personal level, but in the online world, words mean everything. Customer comments, product reviews, patient referrals have all become a huge factor in the decision-making process of customers. 72% of customers consider online reviews as much as recommendations from friends and family. Think about it. Most people do not want to tell a friend or family they want to see a psychologist, find a drug rehab, or buy bathroom products. It is much easier to look at reviews online.
In today’s fluid online world where 93% consumers say reviews impact their decisions, maintaining your online reputation is one of the most important factors you, as a business or organization, should think about.
Many studies in the last year have made this very clear.
Customers Do Look at Online Reviews
- According to 64% of software buyers, consumers look at 6 reviews before purchasing. (Capterra)
- People their smartphones…all…the…time! Over 93% of people researching products or services continue on to complete a purchase of a product or service. (Google/Nielson)
- 91% of 18-34 year olds trust online reviews as much as personal recommendations. (BrightLocal)
- With each drop in a star rating, a business can lose up to 10% of its sales.
How Positive Reviews Can Grow Your Business
- 90% of respondents claimed that positive online reviews influence their purchase. (Dimensional Research)
- Good for local businesses: 92% of users will go local with 4-star reviews or better
- 92% of customers buying from other to businesses are more likely to purchase after reading a trusted review (G2.com)
- When a business shows it cares and truly responds to a review, a customer is more likely to give the business a second chance in the future.
How Negative Reviews Could Sink Your Business
- 86% of consumers did not choose a business because of negative online reviews. (Dimensional Research)
- Only one out of five consumers stayed with a recommended purchase after reading negative online reviews. (Cone Communications) 94% stayed away. (ReviewTrackers)
- A 3.3 star rating is the minimum rating of a business that consumers would engage with. (Podium) Very few would even consider a business with 1 or 2 star rating.
- Just one negative article can cost a businesses over 20% of its potential customers who are considering buying their product. If three negative articles pop up in a search query, the potential for lost customers increases to almost 60% (Moz)
What’s a Business To Do about Online Reviews
First of all, knowing that 68% of consumers will write a review if asked, make sure to ask your customers to review your business and give you a glowing recommendation. A simple way to collect customer feedback is to send your customer a appreciative, yet simple, email with a link directly to the review site where you want your customer to review, whether it is Google, or a more industry centered review site such as The Knot for wedding vendors. A strategic digital agency can offer more sophisticated and ethical solutions to obtain good reviews and deflect negative reviews. Be wary of agencies that try to promise that you will never get a negative review.
Most importantly, respond to your customers whether they leave a positive OR a negative review. Part of your customer support is your online responses. Customers do look at how a company responds. A Harvard Business Review study found that when businesses responded to customer reviews — good or bad – search ratings subsequently increased. That response will depend on whether your customer gives you a second chance.
Overall, a business needs to manage its reputation online, but to go one step further and ex expand your business, you need to use your reviews to market your business. Highlighting your best reviews and marketing your reputation help you in search results which in turn will bring you a more loyal customer base.
Stick and stones may indeed hurt, but the word that surround your business will have a big influence on your business growth. Treat them like your real customers.