Online reviews show that online reputation management is becoming more important in today’s digital age. A Harvard Business School study found that restaurants see a five- to nine per cent increase in revenue when their Yelp ratings are higher by one star.
These are just a few more statistics from online reviews that demonstrate the importance of managing your online reputation for your business.
- Positive customer reviews are more trusted by 72% of buyers than businesses without them.
- Eighty-six per cent of customers said they would be reluctant to do business with companies with poor customer reviews.
- Eighty-eight% of customers trust customer reviews online as much as personal recommendations.
Your customers’ purchasing decisions are influenced by online reviews. Positive reviews are more likely to be trusted by consumers, which can lead to higher revenues. This is a clear indication of how important reputation management is to businesses looking to attract modern consumers.
What Consumers Want in a Review?
A good understanding of what makes a great review is essential for reputation management.
- Star rating
- Legitimacy
- Recency
- Quantity
- Sentiment
It is important to have high star ratings. However, there are other factors to consider. A product with a rating of 4.5 and many reviews will be preferred by consumers over one with only a few reviews. Also, you should ensure that your reviews are current. Businesses are always looking for more customer reviews.
Hospitality Industry
This industry is more costly than other industries, so customers need to be convinced when choosing the right hotel or motel. Travelers always seek value for money and rely on reviews online to find the best hotel or motel.
According to statistics from reputation management, 49% of customers won’t choose hotels without reviews. A bad review or rating can cause a hotel to lose as many as 30 reservations.
Online review monitoring must be a top priority for hospitality businesses. This includes tracking customer mentions, responding appropriately to feedback, and increasing customer reviews.
Restaurants
Online review statistics show that 60 percent of diners check out online reviews, and that 67 percent prefer to eat at restaurants with four- or five-star ratings.
When choosing a restaurant to eat at, people are very careful. They consider many factors when choosing a restaurant to dine at. These include food taste, health concerns, allergies, and the atmosphere. A majority of millennials now prefer to order food from restaurants that deliver due to the pandemic.
Bright Local lists the restaurant industry among the top five industries in which customers are most likely to have read customer reviews. Online reputation management is an investment worth making for cafes and restaurants. It helps to increase sales and customer retention by monitoring and promoting positive brand images.
Healthcare
Online reviews are trusted by 76 percent of people as well as 90 percent of patients who evaluate doctors using them. Positive feedback and ratings will be abundant in the medical industry because patients tend to post positive reviews. Positive reputations can bring you more calls and visits.
Negative reviews can reduce visits and calls by as much as 1/3. Negative reviews from doctors should be treated with care. You are not permitted to confirm that the reviewer is your patient and to share any information with the feedback.
eCommerce
88% of consumers use online reviews to help them make an informed buying decision when the product is new. Products that have ratings between 4.2 and 4.5 out of 5 are more likely to be bought than those with lower or higher ratings. Customers are more likely to purchase products with 5-star reviews. Customers will prefer brands that have more reviews and feedback, no matter how positive or negative.
Retailers must increase their review acquisition efforts. Spiegel Research Center found that displaying reviews can increase your conversion rates by as much as 270 percent.
