Impact of Online Reputation Management

Why Reviews Matter

Consumer Research: 85% of consumers conduct online research before making a purchase and 89% trust online reviews. (Cone Inc.)

Brand Trust: 72% of consumers trust online review as much as word of mouth. (Local Consumer Review Survey)

The Bottom Line: A difference of one “star” in the average rating in a typical online business profile can lead to a 5–9% difference in revenues. (Harvard Business Review)

Online Reputation Management Statistics for 2023

• 85% of consumers trust online reviews as much as personal recommendations.
• Nearly 3 out of 4 consumers trust a company more if it has positive reviews.
• 75% of consumers say that negative reviews made them not want to use a business.
• 65% of consumers need at least a four-star rating before using a business.
• Consumers read an average of 7 reviews before trusting a business.
• 97% of consumers search online for local businesses. 22% of consumers do so on a daily basis.
• 87% of consumers read reviews online for local businesses in 2020. This was a 6% increase from 2019, and a 20% increase from 2010.
• 79% of online users report trusting online reviews as much as personal recommendations from friends or family.
• While 63% of users reported referencing Google reviews, the most popular review platform, the Better Business Bureau (BBB) is considered the most trusted online review platform. 
• 72% of US consumers reported having written an online review in 2020, a 6% jump from 2019.
• 63% of online users have written a positive review.
• And these positive reviews have an impact – 94% of consumers report that positive reviews make them more likely to use a business
• 32% of online users have written a negative review.
• And, as with positive reviews, the impact of negative reviews can be substantial, with 92% of consumers less likely to frequent a business after reading negative reviews.
• Only 48% of online users would consider using a business with an average rating under 4 stars, and only 19% of online users would consider a business with fewer than 3.
• 73% of consumers report that they only pay attention to reviews written in the last month, and 50% report that they only read reviews posted in the last two weeks.
• The COVID-19 pandemic has also had a significant impact on businesses, with 67% of consumers reporting that they would not use a business if reviews said that COVID-19 health and safety measures were not in place.

Your online reputation is represented by your image on the internet. The technique of managing the online content that is displayed about you when someone searches you online is known as online reputation management. It also entails deleting bad and irrelevant content in order to present a more positive image of the brand and show more good results.

Online reputation management (ORM) is the practice of developing methods that mould or affect how the general public perceives a company, person, or other entity online. It influences how the general public feels about a company, its goods, and services.

Why Is Online Reputation Management Important for Your Brand?

According to Forbes, businesses may anticipate a 22% loss in revenue if a negative article about them appears on the first page of search results. This percentage rises to 44% with two unfavorable outcomes and to 59% with three. Perhaps it is now clear why managing a company's internet reputation is important.

Consumers Will Pay More For Brands With Positive Online Reviews

Did you know that customers will pay 20 - 35% extra to a company with positive reviews? pleasant testimonials tell your customers that other people are probably going to have a pleasant experience with your brand.

Strengthens the Credibility of Your Brand

• Keeping an eye on brand awareness

It's more crucial than ever for brands to be aware of what's being said about them online given the proliferation of social media and online reviews.

When you address consumers' needs and concerns, you attract a devoted following because people feel invested in your company's success.

• Building Credibility and Trust

Customers who are aware of your brand's online reputation as a community partner and an industry leader can become brand evangelists. They can jump in during a crisis and provide a positive perspective on your company.

• Respond to Comments or Feedbacks (Appropriately & Promptly)

It is very important to respond to all the comments and reviews that you find about your products or services. If there is any negative comment about your company, Respond appropriately and promptly (privately if possible) to discuss the issue. This will assure customer that brand is listening, just don't be defensive.

• Create Positive Content

Case studies, positive testimonials, press releases and blogging all help in bolstering your company’s online reputation. With positive content around, even if there are some negative comments, then those won’t be the only reviews or comments about your company & products that a prospect will find about you.

P.S : Never point potential customers to internet review sites when they inquire about your business. As you can never control what people say about you, it could be a very costly mistake.

• Be Transparent

Building customer trust and enhancing a brand's online reputation can both be facilitated by being open and honest about a brand's beliefs, mission, and daily operations. Transparent communication on a brand's website, on social media, on review sites, and in online forums can accomplish this.  

I appreciate Aakash Anand efforts in being upfront about his brand's beliefs and missions in his Brand Video, which helps him to earn the trust of his audiences. Customers' impressions on brands shift when the founder speaks about the product.  Very few brands use this type of open communication.

• Collaborate with Influencers

 Because influencers have a positive relationship with their audience, it is easier for potential customers to trust them. Collaborating with influencers will allow you to reach the audience that follows them as well as target potential buyers. This will assist you in meeting your business objectives and improving your internet reputation.

Influencers have a large influence on their followers, which is critical in creating a brand's identity and online reputation. Collaboration with influencers can assist the brand in reaching the target demographic in ways that other marketing techniques may not be able to.

• Set up a monitoring system

It is critical to remain active and engaged in social dialogues about your business. Knowing what people are talking about your Brand can help you respond effectively.

There is lots of software available to help you stay on top of this, including applications like Meltwater, Brandwatch, BuzzSumo Simplify360.

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