Online Reviews: Its Good and Bad Sides

No business that wants to expand and flourish in this age can joke with reviews. That’s because more than ever before, reviews are beginning to shape customers’ attitudes and buying patterns. And several reports and research have established this trend. One such report was that of Fan and Fuel, where 97% of participants said customer reviews factor in their purchasing decisions.

In the poll, 92% of customers hesitated to make a purchase when customer reviews are not available, and 94% will read reviews when possible. Reviews are, it goes without saying, very important. But how exactly do they affect the generation of more online sales and can also be a risk at the same time? There are three approaches to this:

Customers Equate Reviews to Personal Recommendation

Word-of -mouth has been historically a vital factor when it comes to the reputation of a company. Yet with today’s broad internet connectivity, online customer reviews often hold as much weight as a personal recommendation from someone you meet. Consumers now believe that the best way to get an impartial assessment of a product or company is to read the opinions of past customers. The dire thing to recall here is that consumers trust in a high-quality and authentic review. However, if it looks spammy or paid for, it will likely have the opposite effect and turn off customers.

Reviews Show an 18% Rise in Revenue on Average

Customers are more likely to buy from a website that has customer feedback than from a website that does not. The showing of feedback on your website gives potential buyers more trust in their buying decisions and eliminates doubts resulting in a higher conversion rate. These reviews will also help to improve the reputation and sustainability of your brand. All of this results in more sales resulting from an increase in conversion rate, return rate for visitors, and average order size. And it is for this reason that no company can treat with levity what others are saying about them.

Negative Reviews Negatively Impact Sales

Unfavourable reviews have a negative influence on any business. A bad rating possibly signifies an inconsistency and unreliability of the product or service that a firm claims to offer. There is, however, a very critical point to consider: the utter lack of negative feedback on a product or service website would also undermine its reputation. Only favourable reviews make it look as if the entire site is inauthentic, while one or two slight negative reviews simply point out that you are a real company. After all, no one is perfect – and that also applies to businesses.

Find less favourable feedback to give your customer service skills a chance to shine. In the end, being able to fix the problems posed in negative customer feedback will have a positive impact on future customers as it shows that you care about your customers. Leaving them unanswered, however, would only harm your reputation and your relationship with your customers.