Master Online Reviews and Increase Your Revenue by 40%!
Businesses often ask us if online reviews are really important. The answer according to findings from a recent survey by Brightlocal is a resounding yes! They surveyed 2,534 Adults with 90% in the United States and 10% in Canada. They asked several questions about how consumers use online reviews in their buying decision. Here are some key findings of the survey:
Survey Question: Do you read online reviews to determine whether a local business is a good business?
92% of Consumers Regularly or Occasionally Read Online Reviews.
Less than one in 10 consumers never read reviews!
This study has been conducted 3 times now. Overall, the percentage of consumers relying on reviews are going up year over year.
Survey Question- What is the minimum star rating a business must have in order for you to do business with them?
87% of consumers will not consider a business with less than a 3 star rating.
Survey Question: What Percentage of consumers will use a business if it has “X” number of stars?
57% of Consumers will consider doing business with a 3 Star Rating
94% of Consumers will consider doing business with a 4 Star Rating.
The jump from 3 Star to 4 Stars is significant reaching 37% more consumers. The jump of 6% from 4 to 5 stars shows consumers are realistic in their expectations of a star rating for a business.
Survey Question:When judging a business on its reviews, which of these factors do you pay most attention to?
Overall star rating is the most important factor for consumers followed up by quantity of reviews.
69% of Reviewers Consider Reviews Older Than 3 Months as No Longer Relevant.
Businesses change on a regular basis-whether it’s quality of service, food, business owners, etc. Consumers want recent, relevant reviews in order to trust that business. Business owners need to generate reviews regularly on an ongoing basis in order to convert searchers into customers. As a business owner you need to engage in Reputation Management to help your business generate positive online reviews on a regular basis.
As you can see by the above study, reviews are very important to the success of your online advertising and your business overall. There have been many studies that show up to a 40% difference in revenue for a business with a 1 star rating that goes to a 4-5 start rating.
How to Manage Your Online Reputation:
It’s important that you respond to consumers that leave reviews. If they leave you a good review, thank them by responding to the review. It shows customer’s that you appreciate their business. It’s especially important to respond to low ratings constructively in a professional manner. Do not respond to a negative review in a negative manner such as accusing the reviewer of lying. A good way to respond is: “I’m sorry about your experience, we always try to maintain the highest level of customer service. It looks like we fell short of your expectations. Please contact us at your earliest convenience as we would like to resolve this issue”. To comprehensively monitor reviews from across the web and intercept negative reviews before they are posted publicly, you can use an online review management service like Pacific Review Builder.
Author Evan Means
Evan is the co-founder of Pacific View Marketing who brings over 15 years of digital marketing experience. He enjoys helping businesses grow through digital marketing programs. Evan has worked with both small businesses and large regional companies looking to build their online presence. When he is not working on digital marketing, he can be found mountain biking or out on the ocean paddle boarding.