Most business owners know that online reviews can help or hurt their customer acquisition efforts. However, many companies we consult with don’t know how much they impact consumer buying decisions. For that reason we have put together the following Infographic with 8 important statistics you need to know.
Trust is they key. Reviews and ratings are all about one thing, Trust. As we will see from these statistics, online sentiment helps to reassure potencial clients and customers they are making the right buying decisions. If your company has to few or outright bad sentiment, reviews and ratings people simply won’t trust your business.
Ask yourself one question. Are my reviews and ratings helping or hurting my business? If the answer is “I am not sure”, you have a serious problem. We highly suggest that you run a free review scan. When looking at the statistics below just imagine that you have negative sentiment floating around online that you don’t know about. Maybe you don’t and that is great, but take the simple step of knowing for sure.
So Here Are the Facts About Online Reviews
1. 70% of consumers consult ratings and reviews before making a purchase. That means if you have negative sentiment you could be missing out on up to 70% of your potential customers/clients.
2. 41% of consumes say they read 4 to 7 reviews before making a decisions. That means if you are a business that has 0 or only a few, your potential clients and customers may not trust your business enough to purchase from you.
3. 63% of consumers are more likely to purchase from a site that has ratings and reviews. Have you seen the stars under search results on Google. People are much more likely to click on your website in search results and then to purchase from you if you have star ratings.
4. 50% of people are more likely to use a local business after reading positive online reviews. That is an important statistic. It is saying that if you have positive reviews and ratings you could potentially increase your business by up to 50%.
5. 71% of people say that consumer reviews help to reassure them they are buying the right product or service. If your business has a sufficient number of high quality reviews it will dramatically increase your conversion rates for turning visitors to your website or physical location into customers.
6. 64% of consumers search for online reviews before making a purchasing decision. It always amazes us at the number of businesses we consult with who have no online reviews. It always amazes them at what happens to their customer base after we start generating high numbers of ratings and reviews for their company.
7. 57% of consumers visit a local business’ website after reading a positive review. This is one of the easiest ways to increase traffic to your website.
8. 80% of consumers say that reading negative online reviews changes their mind about buying a product or service that has been referred to them. This is a truly staggering statistic. The reason is that referrals have always been the #1 highest converting business acquisition chanel because people are getting refered by someone they know and probably trust. This stat is saying that 80% of those people are likely to change their mind.
We hope by now, if you were not already, that you realize how important reviews and ratings are to your business. They are one of the easiest ways to dramatically improve website traffic, local business foot traffic, customer/client acquisition and resulting top line revenue. If you are looking for ways to increase your positive reviews while managing and eliminating negative ones we invite you to take a look at our Review Management Platform. If you have enjoyed this article and these stats we humbly ask you to use the share buttons to the left.