Customer reviews can kill your company

Customer reviews can kill your company

social media impact on business

In today’s highly technological world where information is at consumers fingertips via the internet, online reputation is a very important factor that can and will help a business grow or affect it negatively. But online reputation is still one of those factors that many businesses do not take into consideration. But they should definitely do that!

There are several noteworthy statistics from a survey from McKremie:

How often do you research companies online before deciding to do business with them?

87% of consumers research companies online prior to deciding if they will do business with them. This can really hurt the bottom line of a business that suffers from negative reviews.

Research companies online before deciding to do business with them

The fact that only 3% surveyed never check out brands online before doing business should be eye opener for every business.

As a consumer have you ever posted a product or service review online?

Posted a product or service review online

The fact that 71% of those surveyed have left reviews online is huge. Nowadays it’s becoming more and more common place to leave reviews online about the companies you interact with and this number will only go up. These reviews will most likely live on the Internet for the life of the business.

Which type of reviews have you left online?

We generally tend to think that consumers only post reviews when motivated by some kind of negative experience. This survey suggests that online reviews have become more than a means to complain, with 68% of consumers sharing their positive experiences as well.

Type of customer reviews

Have you ever used social media to research the reputation of a company?

Asking for recommendations across your social networks is the easiest way to research a decision you’re faced with. “Can anyone recommend a good dentist in town?” or “Has anyone used Sarturn before?” will inevitably lead to a slew or responses about that company, but also recommendations about competitors that friends know, trust and like. Most people will trust the recommendation of their friends more than the marketing pitch on a website.

Use social media to research the reputation of a company

Too many companies still think of social media as a marketing communication tool and ignore the fact that it is now the preferred method for many customers to make complaints.

While social media isn’t the only medium that businesses can engage customers, it is becoming a more and more popular medium that businesses need to keep track of. If people are having conversations about the business and the business isn’t there to chime in and represent its own interests, then the business is allowing those people to shape the conversation about its brand and culture.

Social media has forced openness and transparency in businesses that was not possible before. The power has shifted to the customer who can – if dissatisfied with the business – impact the business.

Short URL & title:
Customer reviews can kill your company —

Share it:
If you enjoyed this article, please take 5 seconds to share it on your social network. Thanks!

About The Author

Torben Rick

Experienced senior executive, both at a strategic and operational level, with strong track record in developing, driving and managing business improvement, development and change management. International experience from management positions in Denmark, Germany, Switzerland and United Kingdom

Add a comment

*Please complete all fields correctly

Related Post

True obsessive customer focus
Posted by Torben Rick | April 16, 2017
True obsessive customer focus – A matter of trust
True customer obsession is a key principle that keeps companies relevant, competitive, and growing. Without it, companies stagnate, become irrelevant, decline, and die.
Customer words make brands
Posted by Torben Rick | September 16, 2015
Customer words make brands – Importance of word of mouth
Word of mouth’s growing importance Consumers have always valued opinions expressed directly to them. Companies may spend millions of Euro's on elaborately conceived advertising campaigns, yet often what really makes...
Social media has shifted the balance of power
Posted by Torben Rick | June 19, 2015
Companies that provide poor customer service can’t ride out the sit­u­a­tion
Companies that provide poor customer service can’t ride out the sit­u­a­tion Com­panies these days must under­stand that every­body has a voice. So the best way to avoid a pub­lic rela­tions...
Send this to a friend