Customer Reviews Drive Sales: How to Optimize Them for Your Business
August 6, 2020
Online customer reviews have the potential to make or break a business.
In fact, research now shows fully 88% of consumers are influenced in their purchases by the stories of past customer experiences. Published online reviews and assessments greatly influence the direction of companies as individuals have a powerful digital platform to voice their opinions.
Are reviews really that important for my business?
Business will see an increase in profitability as companies with over 80 reviews earn 54% more annually than those who do not. Customers are in control as they have an abundance of options when it comes to who they do business with, and an ever-expanding e-business platform only gives them more. Before they commit to a purchase, shoppers scan the reviews of a product or business to see what others say. A positive review can influence their decision to spend money with your company, or it could send them somewhere else. This is true for 66% of consumers who report having an increased level of confidence, dependent on the amount of reviews. Having trust in your business and your products could be the deciding factor.
3 Things You Need to Know About Reviews
Consumers will spend more on a similar product if it has more reviews
73% of consumers value a written review over a star rating
Businesses with reviews posted in the last 3 months earn 52% more than average in their industry
So, how can you use customer reviews?
As a business owner, one of the best things you can do is listen to your customers. Hear what matters to them and see if there are possibilities to incorporate their feedback into your business plan. Customers, particularly those who have grown up with social media tools as a routine part of their lives, want to be heard and they expect you to engage with them. Take time to let them know you’re listening and thank them for their feedback. Having an open dialogue can go a long way toward building trust and starting a valuable relationship with the people who matter most to you— your customers.
3 Ways to Utilize Reviews
Publish and promote top reviews on social media
Address negative reviews and adjust your business accordingly
Filter out fake reviews and create a community built on trust
How can I encourage reviews for my business?
When a review is left, customers are taking their own time to speak on behalf of your company. You want to ensure that it is an easy and convenient process. Featuring review options prominently on your website and throughout the shopping process makes it easy for the shopper. To stimulate review rates, offering incentives, such as a discount, gives the customer additional reason to leave their feedback. Addressing negative reviews and working to remediate the situation builds company trust. Clients want to see that their opinion is valued. Highlighting reviews on social media drives attention to a specific product and demonstrates previous customers satisfaction.