In the digital age, customer reviews play a pivotal role in shaping purchasing decisions and influencing a business’ reputation. These authentic and honest insights serve as the modern equivalent of word-of-mouth recommendations, making them crucial for local businesses in significantly impacting sales numbers.
Understanding Customer Reviews:
A Key to Business Success
What are Customer Reviews?
- Customer reviews are authentic reflections of customers’ experiences with your products or services, shared through various platforms like social media, business websites, or review websites.
Why are Customer Reviews Important?
- Customer reviews provide crucial insights into customer sentiment, influencing purchasing decisions, building trust, and directly impacting sales.
- Leveraging customer reviews allows businesses to enhance their reputation, attract new customers, and continuously improve offerings.
Importance of Customer Reviews
1.) Informed Purchasing Decisions:
- More than 99.9% of online shoppers read reviews, relying on them for informed purchasing decisions.
- Customer reviews provide genuine insights that traditional marketing campaigns struggle to replicate.
2.) Building Trust and Credibility:
- About 79% of people trust online reviews as much as personal recommendations, establishing social proof for the quality of your offerings.
- Positive reviews contribute to building trust and credibility for your business.
3.) Impact on Sales:
- Positive reviews make 91% of consumers more likely to support a business, showcasing the direct impact on sales.
- Negative reviews, especially with a two-star rating or less, deter around 87% of potential customers.
Techniques to Encourage Customer Reviews
1.) Collect Email Addresses During Billing:
- Request customer email addresses during purchase, providing an opportunity to follow up and ask for reviews.
2.) In-Store Placards and Signage:
- Utilize in-store signage, banners, and even bill receipts to encourage reviews.
- Implement kiosks with in-store apps or QR codes leading to review platforms, demonstrating your commitment to customer feedback.
3.) Verbal Appreciation for Honest Feedback:
- Train staff to verbally express appreciation for honest feedback, creating a sincere and non-pushy approach.
- Encourage staff, both in-store and online, to ask for reviews when appropriate.
4.) Offer Incentives on Future Purchases:
- Motivate customers to leave reviews by offering discounts or coupons on future purchases.
- Ensure incentives are unbiased, applicable to all customers, and comply with review platform guidelines.
5.) Include Review Reminders on Your Website:
- Simplify the review process by incorporating call-to-action buttons and pop-ups on your website.
- Use direct link generators to provide easy access to review pages through emails or websites.
6.) Leverage Social Media:
- Post specific questions on social media platforms to engage customers and direct them to leave reviews on preferred platforms.
- Encourage customers to share their experiences through social media, boosting brand engagement.
7.) Thoughtful Responses to All Reviews:
- Respond promptly and thoughtfully to all reviews, showcasing your commitment to customer satisfaction.
- Use negative reviews as opportunities to address concerns, improve, and demonstrate responsiveness.
8.) Deliver Exceptional Customer Experiences:
- Ensure that in-store experiences exceed customer expectations, fostering a positive environment for reviews.
- Strive to delight customers, as exceptional experiences lead to genuine and positive reviews.
By actively encouraging, monitoring, and responding to customer reviews, businesses can stay ahead of the competition, build a positive online presence, and ensure long-term success. Online reviews are not just a reflection of past experiences but a powerful tool for shaping the future of your business.
Edward McWilliams, CPA
Partner
Ed is a Partner in the firm’s tax and business advisory practice focusing on providing services to middle market private companies across different industries as well as to early stage startups. Ed has over a decade of experience providing tax and business consulting services to these companies of different sizes and across different industries, bringing a broad and diverse knowledge base and strategic solutions to the many complex issues that businesses face.
