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May 15, 2017

Customer Reviews: Effects on the Business

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Word of mouth is the best referrals for any business and internet has only fuelled it. Sharing the review on the internet is becoming a common habit for all customers after they received the product or service from the business. And now it’s not only restaurants and e-commerce sites. These reviews are everywhere including the local vendor to the automotive dealer. And customer reviews are 12 times more trusted than business owner description.

And hence every business owner takes the reviews more seriously than ever. In fact, reviews contribute 10% in Google SERP rankings. And users are trusting the reviews posted online no matter whether they are buying a smartphone or a property. Bad review may hamper the business badly and good review may prove vital in increased sales. According to a study, for every star a business gets inn review, there will be 5-9% increase in revenues.

No doubt that reviews are contributing to the business like no one else does. Transparency gives the business an opportunity to showcase their strength and might in the arena. Many app optimisation techniques are available for the better user experience in apps so as to improve the ratings. And here are the effects of customer reviews on the business.

People trust the online reviews

Customers trust the reviews posted online. In a study, more than 72% customers accepted that positive reviews make them trust a local business. This has been seen as a common custom in all the business now days. Higher ratings result in better online visibility and more customers as well. Review website Yelp, more than 207 million visits each month, this proves the importance of the online reviews. People uses reviews as a base for their decision of buying or ignoring the product and internet is full of opinions.

People trust the online reviews

Negative reviews will appear more than positive ones

As frustration, people will post the bad review more easily and not the positive one. Users thinks it’s important to share a bad experience and not the good so as to inform the people. A single negative review may cost you at least 30 customers. What’s even worse is that a negative review in Google search results may hamper 70% of potential users. Although for e-commerce negative reviews increases product awareness, thereby helping in some cases.

Positive review helps a lot

A common human nature says that reading or hearing something good about someone, will make us trust that person. 90% of the customers read less than 10 reviews before making their mind for a particular business. Customers will spend 31% more on the business with positive reviews. In hotel business too, users are nearly 4 times likely to choose from good reviewed hotels. This boost the idea that if every other person is having good result with this business, then I will too do the same. App optimisation helps in getting the positive reviews in the business.

Positive review helps a lot

Turn the negative review into positive one

Although negative reviews cast a bad spell on your business, they need not to control the complete direction of the business. A review is just an experience of a single user and not the complete customer base. With replying to the bad reviews and satisfying their concerns you can turn them into positive review and force them to give a good rating to your business. Writing an apology can also go a long way. This shows that you value your customers and boosts the trust of users in your business.

Final Words

With the advent of the internet, people have become closer to each other. And this has impacted over several businesses. Reviewing has also been increased and users are trusting the comments of the past users and value the positive and negative thoughts expressed by them. This has made mandatory for the business owners to look into the review section of their websites and online pages.

Fluper is the top mobile application development company in India. We have catered over 50 clients from all over the world, which has gifted us the expertise and experience that we use in creating better apps for our clients.

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