Fifty-two percent of customers who have left a bad review expect to receive a response from the business within seven days. This was a study conducted by Convince & Convert back in 2012. Now, in 2017, the appropriate response rates are under 24 hours.
The Internet has become a hotbed for word-of-mouth (WOM) communication and consumer activism. Customers' reviews and other forms of user-generated content are influencing enterprises' online reputations, search engine rankings and ultimately the success of their business. What companies don't know, is that in addition to monitoring what people are saying, managers also need to be responding to reviews: letting both the world and the search engines know that they're listening, they care and they want to be/do better.
Customers that received a response from a company after posting negative feedback about their experience, 33 percent turned around and posted a positive review and 34 percent deleted the original negative review. This is a huge motivation for businesses to take a proactive role in harnessing and managing consumer complaints online. The impact is three-fold: (1) customers want to be heard, (2) shoppers want to see that the company cares and (3) search engines want to see the business engaging with customers on their sites.
Staying active online and responding to reviews influences how both customers and search engines view businesses. Both translate review responses into trust. This trust then leads to higher local search rankings and more potential customers.
A third-party study recently conducted by Chatmeter found that 40 percent of shoppers will trust a business enough to visit and make a purchase, only if they have a 4-star rating or higher.
Today's consumer trusts the opinion of their online peers and is using ratings and reviews to determine the quality of a business. Review responses only help to further communicate the quality of an enterprise.
Which reviews should businesses respond to and how?
You may already know the answer to this question: respond to both happy and unhappy customers. Responding to positive reviews shows customers that the company appreciates their business and the effort they made to vouch for them. Responding to negative reviews shows everyone that the business is willing to acknowledge any frustrations and even make changes to improve the overall customer experience.
Positive Reviews:
Example: "Hi [Insert Name], thank you for your review! We're glad you enjoyed your burger and had a great time with your server Jessica! Next time, you should try our patty melt - it's made with the same 100% grass fed beef!"
Negative Reviews:
Example: "Thank you for your feedback, we're sorry your experience wasn't up to your standards. We would like to hear more about your experience to ensure this doesn't happen again. Please contact us at, [555-555-5555] or email [admin@mycompany.com] and we'll try to resolve your issue as soon as possible."
Enterprise Review Management and Responding
Responding to reviews begins with knowing and addressing the problem, which is a difficult challenge by itself. It is relatively easy for a small business owner to stay on top of all their reviews, but how can regional and national brands receiving hundreds of reviews every day keep up?
Someone like Kohl's has 1,200 stores, which equates to thousands of pages they would have to monitor daily for new reviews. That can't be done manually. Even if a business only has 50 stores, that would mean opening over 1,000 Web pages to look for new reviews. It's not just about monitoring, however, businesses really need a full review management platform.
When shopping for a review management solution, here are some features to look for:
There are several great enterprise solutions out there. Do some research online by searching for "Review Management."
A company's online reputation is one of their most valuable assets. It creates loyal customers, facilitates WOM and influences new customers to visit stores. By not responding to reviews, you run the risk of increasing your customer churn by a significant percent. Online reviews should no longer be seen as a static and one-way flow of information. Rather, it is important to interact and engage with customers, create an open channel for communication and build trust in the online community.
About the Author
Collin Holmes, founder and CEO, started Chatmeter in August, 2009. Prior to Chatmeter, Mr. Holmes was VP of Product Management and Marketing at V-Enable (now xAD). His extensive experience in the local search industry, both online and mobile, provides a solid foundation for the direction of the company. He has worked in leadership roles at several other startup companies and held other notable positions in product and marketing roles at Akamai Technologies and AT&T Wireless. He earned his MBA from San Diego State University and a BA from UC Riverside.