Negative feedback or positive feedback, customer reviews help a business build trust. Microsoft founder Bill Gates once said, “We all need people who will give us feedback. That’s how we improve.” Online reviews add credibility to a business and help make its products or services popular.
While positive reviews convince potential customers to take the plunge and give your business a try, negative reviews help them picture the worst-case scenario. Nearly 97% of customers read online reviews before making a purchase, as per Bright Local’s 2020 study.
Why do businesses require reviews?
Any business that solicits feedback from customers is in the business of keeping customers happy. Bright Local’s 2020 study also highlighted that any customer reads an average of 10 reviews before making a purchase decision.
- Customer reviews can help your online ranking. They are useful in letting people know who you are. Positive feedback helps build your brand’s credibility and negative reviews help them understand what could go wrong.
- Search engines are always on the lookout for updated content and updated reviews will go a long way in highlighting your business. Nearly 85% of customers will not entertain reviews that are over three months old, according to Finances Online.
- In a 2019 survey on the most common purchase influence among online shoppers in the United States, 62% of those surveyed admitted that they found online customer reviews very helpful. Global Web Index discovered that nearly half of all Internet users post reviews every month.
Another interesting fact is that customers are more motivated by online reviews than by discount offers or coupons. They want to know if they are getting their money’s worth.
Positive Feedback
Positive feedback focuses on the strengths and joys of using the product or service. It helps build trust in the brand and lends credibility.
Studies have found that people leave online reviews to help others by sharing their customer experience.
- Positive reviews push prospective customers before they decide to spend on your business. Finances Online found that 68% of customers deal with a deal because of positive reviews.
- While 57% of Global Web Index survey participants admitted to seeking expert advice before making a purchase, a third of the Internet users turn to reviews.
- Five-star ratings with positive feedback facilitate customer engagement and provide valuable insights into what people love about products and services.
Showcasing positive reviews and customer testimonials will drive up business and lead to greater profits.
Negative Reviews
Many customers hesitate to buy things from businesses with negative reviews or no reviews. One study found that a single negative review can drive away 22% of business while three negative reviews affect almost 59%.
- Negative feedback can damage the credibility of your business. However, all is not lost. One negative review can sometimes be more valuable than 10 positive reviews.
- Research suggests that approximately 85% of customers look for negative reviews to make informed decisions.
- Too many reviews with positive feedback can make your brand look fake or untrustworthy. This roadblock is eliminated by the presence of negative reviews.
- When you put out any product or service, avoiding negative feedback is impossible. It is how you deal with it that makes or breaks your brand in the eyes of the customer.
Legitimate negative reviews also point out some aspects of your product that is not working for the customer. Negative feedback can also help eliminate blind spots when worked upon judiciously.
How to prompt users to post reviews?
Bright Local’s 2020 study uncovered that 91% of consumers in the 18-34 age group trust online reviews as much as recommendations from family, friends, and other personal acquaintances.
Reviews boost customer conversion and also help SEO efforts granting your business more visibility, thereby leading you to more customers.
Northwestern University’s study showed that nearly 80% of reviews originate from post-purchase emails. Following up with customers who have patronized your business is crucial to garner candid feedback.
In the olden days, customers used to rely on word-of-mouth publicity to make their choice. But with the growth of digital marketing, people turn to online reviews to make their decision. Although it seems daunting, it is important to know how to garner feedback from your consumers.
OuterBox found that 80% of shoppers use their smartphone inside or outside of a physical store, to find reviews, compare prices, and even search for store locations.
a) In-Store Signage
If a business has brick-and-mortar stores, along with an online presence, it is important to place signage urging customers to post reviews.
Flyers, brochures, and posters can be placed strategically throughout the store, especially near the trail rooms and billing desk.
As QR codes gain popularity, it would be a good idea to keep scannable placards around the store.
b) Collect Email Addresses
Most online businesses today ask for a customer’s phone number and email address at the time of purchase. Although this is done under the guise of helping the customer track their order, these details are important in landing a review.
After the customer has received their order, send a follow up email after a week, asking them to share their experience. Some companies even offer discounts for reviews with images and videos.
Images and videos help add weight to the review with 62% customers admitting that they are more likely to buy products if that is the case.
c) Respond to Reviews
Everyone likes to be acknowledged and thanked. A simple “thank you” can sometimes encourage a customer to stick around.
Customers take time and effort to leave detailed reviews about their product. Responding to reviews lets customers know that the brand is keeping an eye on customer feedback.
On receiving positive feedback, the brand can leave a thank you or give some discount coupons for certain exceptional reviews. It is important to not be dejected by negative reviews.
When customers find brands addressing negative feedback, they will be convinced of the brand’s sincerity. It also makes the business appear authentic.
Which platforms should businesses have reviews on and their impact?
One of the business trends to work on is to ensure you have sufficient reviews online.
Google search engines are adept at tracking down reviews and 63% rely on them. Facebook and Yelp follow closely behind Company profiles on social media sites like Facebook, Twitter, LinkedIn, etc. are highly relevant for search queries related to businesses.
Review Trackers noted that 63.6% of consumers are likely to check Google online reviews before visiting a business’ website.
Collectively, Google, Yelp, Facebook, and TripAdvisor are home to 88% of all online reviews.
a) Google Reviews
Google is the number one choice for most customers. Almost 81% of customers admitted that they read Google reviews before making a purchase in 2021, according to Bright Local 2020.
- BrightLocal’s research also shows that the average local business on Google has around 39 reviews. The numerous benefits of having Google reviews include better SEO ranking, increased business credibility, and an improved online reputation.
- A large part of customer research comprises reviews on Google as it takes an average of 40 online reviews before consumers start believing the accuracy of a business’ star rating.
- According to Moz, roughly 9% of Google’s entire search algorithm is driven by review signals found on Google reviews. These reviews are assessed for quality and diversity.
- When properly executed Google reviews can be one of the most beneficial marketing techniques. Google business reviews also provide store locations on the map, literally driving traffic to your store.
The reviews on Google are also a reference point for the company, as it gives you skimmable info on what you should promote and what you need to work on.
A strong rating on Google works as a very public endorsement of your product.
b) Facebook Reviews
Facebook reviews are important marketing tactics for upcoming brands. According to Energise Web, 80% of customers are more likely to purchase from local businesses with positive reviews on their Facebook page.
- With over a billion active users, Facebook reviews lets users comment on your product and also engage other reviewers in conversation.
- Many customers use the social media site as their primary source of content, as it is interlinked to shopping sites, news sites, and more. Users can leave a comment on others’ review and talk about your product or service.
- Leaving a post pinned to the top, encouraging customers to leave a review when they visit your store.
- According to Bright Local’s Consumer Review Survey, consumers often sign into Facebook or on the platform searching for something, and they also feel more comfortable leaving a review there or buying a product is a good way to entice users.
Facebook strengthens positive relationships and makes people feel connected to the unknown community of buyers. Even though Facebook does not help with search rankings, it automatically updates on Google.
c) Yelp reviews
Yelp had an average of over 224 million reviews as of December 2021.
Last year, Yelp revealed that the home and local services industry received the most reviews, combined with the restaurant sector, at 18%. Shopping reviews follow close behind.
- As more than 145 million people visit Yelp each month, with over 70% of them constituting mobile users, it is important for any business to have a Yelp presence.
- A 2020 study found that approximately 45% of online shoppers use Yelp to review their purchases before making a purchase.
- For every Yelp star, businesses saw a 9% increase in revenue. Among the four most popular review sites, Yelp saw the largest year-over-year growth with 53% of consumers using the site in 2021. In comparison only 32% used Yelp in 2020.
When you visit the business page on Yelp, you can click on Write a Review and share your experience.
Invespro found that Yelp receives 26,830 reviews every minute.
d) Trip Advisor
As travel and tourism picks up, Trip Advisor managed to cross one billion reviews in 2022.
Travelers search for details like “sustainability” and “tourist trap” as they attempt to make conscious decisions about their trip and stay.
- Sites like TripAdvisor have seen considerable growth as people go online to share their list of dos and don’ts with fellow travelers.
- The most-reviewed hotel on TripAdvisor is the Luxor Hotel & Casino in Las Vegas, Nevada, which has more than 48,000 reviews.
- Stratos Jets discovered that only 222% of travelers will post unsolicited reviews. The number, however, skyrockets when hotels personally urge guests to share their feedback.
- Bright Local’s study states that consumers say the top ways they’ve been asked to make a review are by email (41%), on a receipt or invoice (35%), in-person/during the sale (35%), and by SMS text (27%).
It is clear that most customers need a slight push to reveal what they think about the product or service.
Why your business needs negative reviews
Businesses need negative reviews to work on themselves.
Invesp found that 86% of users will think twice about buying from a company riddled with negative reviews.
But a small amount of negative reviews show that it is not a fake business and that they can take constructive criticism.
Sadly, Womply discovered that 75% of businesses chose to ignore negative feedback and do not respond to them in the public space.
Being proactive and genuine to negative reviewers can build loyalty and showcase your exceptional customer service skills. Customers are also more inclined to give such businesses a second chance.
How to deal with negative reviews
Podium’s 2020 survey shows us that the way businesses respond to reviews matters to nearly 56% of customers.
The repercussions of deleting or fudging negative reviews are far worse than ignoring them. Google’s algorithm is trained to weed out businesses that delete negative reviews.
a) Acknowledge the negative review
Negative reviews are a cry for help from the customer. It is important to admit that you have seen their plea for help before deciding on the next course of action.
Check if the customer has a legitimate concern and accordingly escalate it to the relevant team. Social media images are of utmost importance as one wrong move can have you trending for all the wrong reasons.
Before crafting a response, make sure it is not a false review or something a competitor has published to besmirch your name. In such cases contact the site admin and get the review taken down.
b) Respond to the Feedback
If the concern is legitimate, apologize to the customer. Offer to make things right and acknowledge that they deserve better service.
After placating the customer, attempt to take the conversation offline via email or a phone call, to better understand their issues.
Amend the relationship by offering to fix the issue and offer a discount like free shipping or a coupon for the next purchase to retain their business.
Make it clear that the problem will be resolved and that it will not happen again in the future.
c) Take the conversation offline
Sometimes it is best to just leave a short reply and take the entire discussion offline. Some customers tend to bash the company online and attempt to damage its reputation.
Here, send them a private message and also post on their comment along the lines of – “We are very sorry to hear about your bad experience. Please let us make it up to you. Kindly share your order# so that we can look into it. We always strive to make our customers happy.”
Handling negative feedback well shows your customer service expertise and wins you brownie points in the eyes of other customers.
As Internet penetration reaches rural areas, a significant share of consumers are also more likely to search for customer reviews on their smartphones instead of speaking to a sales associate in-store, highlighting the popularity of easily accessible information.
Online reputation management has become an integral part of any B2B online marketing strategy. Reviews play a major role in how business you attract and how customers perceive your brand. Expert handling of not-so-rosy feedback and positive reviews will go a long way in helping your business pop up in search, as you flex your customer service skills.
