Peer to peer reviews are becoming increasingly important for both online and offline retailers.
First impressions can make or break a brand's relationship with potential customers and research shows 86 percent of consumers will not buy products or services from negative reviews, whereas customers will spend 31 percent more when businesses have excellent reviews.
New research from brand management platform Chatmeter shows relying on word-of-mouth to drive customers into a business is the single most influential factor influencing which stores consumers visit. In the digital age, word-of-mouth has taken the form of online reviews with 84 percent of people trusting online reviews just as much as personal recommendations.
Online reviews are easily accessible
According to Chatmeter, the reason online reviews have become so influential on the consumer decision making process is because they are so easily accessible and provide the social proof consumers desire. Consumers can easily compare reviews for multiple businesses enabling them to make more confident decisions.
Consumers are also more likely to consult reviews if they’re purchasing a product from an unknown brand, says Trustpilot, or to assess quality if the product is new to market. Reviews also matter more if a consumer feels the purchase is expensive.
While negative reviews can have some pretty severe consequences on a business, they are also some of the most valuable and important feedback that companies receive. Retailers can use these negative reviews to their advantage to help improve their business as a whole.
It is key for retailers to respond to every review, both positive and negative. First, it shows search engines the brand is constantly active and engaging with customers and therefore worth recommending to searchers. Additionally, responding to reviews shows both the reviewer and searchers looking at reviews the brand cares about customer feedback and is listening to what they have to say.
Positive reviews are valuable assets
Reviews are one of the most valuable assets companies have in today’s marketplace. A Brand with a powerful online reputation and an abundance of positive reviews is not an easy goal to achieve, but those who do will reap the benefits.
Chatmeter helps retailers make a distinct impact in revenue by identifying several areas in their online presence that drives customers to choose their stores over competitors.
Photo credit: Peer review