In today’s world, businesses rise and fall to the tune of consumer reviews. Rating systems on sites like Google and Facebook allow customers to share their experiences with the masses. Local businesses, especially smaller ones, are more susceptible to this phenomenon.
While a single piece of negative feedback might not cripple your finances, reviews have the power to impact your revenue more than you might think. Here’s everything you need to know about the power of shared customer experiences and how you can make them work to your advantage.
The Age of the Review
Most business owners know that online reviews can either bring in or ward off potential customers. What they don’t know is how damaging that impact can be. A recent survey shows that 86% of consumers read reviews before bringing their business to local stores and shops, but that’s just the beginning.
On average, those consumers need at least ten local reviews to decide if they even trust a business. For 40% of those surveyed, those reviews must be from the past two weeks. When it comes to the 18 to 34 age range, 91% of individuals trust a review just as much as they would a personal recommendation.
With those numbers, it’s easy to see how vital the review process is to the success of your business. Keep in mind that feedback from individuals in your area is even more critical to the locals that could be potential customers.
Now that you know how much reviews matter to consumers, it’s essential that you understand the impact they can have on your revenue. Forbes reported that a single negative remark could cost you 22% of potential business. That number increases to 70% when four or more are present in your rating.
A handful or even a small string of negative customer experiences can turn your fiscal year into nightmare scenario. So, what can you do to turn the power of reviews into marketing advantage?
The Software Advantage
At first glance, these Debra Schoenberg ratings suggest that the firm has always held an advantage in San Francisco. That wasn’t always the case, however. They started out small just like any other business, competing in an oversaturated market. The key to their growing success lies in their ability to utilize client reviews as a marketing tool.
Companies like SFLG offer review monitoring software that has proven invaluable to business across the nation. These tools encourage consumers to leave reviews, boosting your rating, and allow you to handle negative feedback as quickly as possible.
The combination humanizes your brand, creating a deeper personal connection with your audience. Consumers can see that their business matters to you when you provide quality customer service in the form of a response to negative reviews. You can also ditch the bland rating prompt in favor of a customizable template, adding your personal touch to customer communications.
These and other tools allow you to harness the power of consumer reviews, turning them into a valuable marketing asset. Local reviews have the power to impact your revenue on a grand scale. So, why not work to make sure they’re increasing your bottom line instead of depleting it?