9 May 2019
Discover the significant impact of online customer feedback on purchasing decisions. Learn why positive reviews attract customers and how to leverage both positive and negative feedback to improve your business.
The impact of online customer feedback is significant. Ensure that as many positive reviews as possible are present.
Consumers increasingly rely on online feedback about businesses when making purchasing decisions. But are businesses truly aware of how crucial customer opinions are?
For small businesses, even a single customer review can be the difference between success and failure. Positive customer feedback attracts new consumers and even allows small businesses to compete with larger advertisers. We've previously noted that 97% of customers check online reviews before purchasing and 85% trust them as much as personal recommendations (source: BrightLocal).
Consumers want to know if they can trust a provider before making a purchase. Just think about your own buying process. When was the last time you chose a restaurant or bought a new mobile phone without first checking reviews from diners or customers? Customers are willing to spend 31% more with a business that has good customer reviews (source: BrightLocal). Conversely, negative reviews deter customers from purchasing and damage a company's credibility. A recent study showed that 22% of customers will not make a purchase after reading just one negative review they believe. If they read 3 negative reviews, the number of lost customers rises to 59%.
Experts say that businesses must accept their customers' opinions in every case, both good and bad. Good reviews attract new customers, while bad ones provide an opportunity to correct mistakes.
Ken McGarrie, Korgen Hospitality: "The biggest fear for businesses should not be good or bad customer reviews. You should be most afraid of not knowing what customers think about you!"
Thank customers for positive feedback and respond to complaints you receive. If you can't respond to every piece of feedback, communicate en masse. Find a way to tell customers that you value their opinion and that you are working to further improve their satisfaction.
Customers are much more likely to write a complaint than praise on their own. However, even a small encouragement can change the narrative. Be open with your customers and tell them you'd appreciate their opinion. This way, satisfied customers will write their reviews, which they might not have done without prompting. Your rating will be higher, and you will attract more new customers.