The Impact of Online Reviews on Sales and Revenue15 November 2021
Online reviews have a strong impact on sales and revenue for businesses today. In fact, from 82 to 84 percent of consumers now read these reviews on their smartphones or other digital devices before purchasing products.
Online reviews of a brand’s products and services are now rated as the most significant social support for companies. Buyers of all types of inventories and services are strongly influenced by company and product reviews posted by other buyers.
Evidence of the Impact of Online Reviews on Company Sales and Revenue
Facts revealing the strong impact of digital product and service reviews on a company’s sales and revenue include the following:
Consumers Trust Honest, High-Quality Reviews. Savvy consumers have learned to spot fake or paid reviews concerning a brand and its products or services. These same smart shoppers react favourably to positive, honest and well-written reviews. In fact, at least 88 percent of buyers trust quality online reviews and will purchase the products and services that receive these good reviews.
Customers Read Multiple Reviews Before Buying. On average, customers consult about ten digital reviews before deciding to purchase a product or service. Ten well-written positive reviews can convince potential buyers that a brand and its products and services are authentic, credible and reliable.
One Negative Review Can Turn Customers Away. One negative review can cost your company as many as 30 new customers. However, with a one-star increase in your company’s Yelp ratings, you can enjoy an increase of five to ten percent in sales revenues.
It is common sense that most consumers hesitate to purchase products from a business with only negative online reviews. However, if your website and brand show all 5-star reviews, this appears questionable to the majority of potential customers. Products and services with approval ratings in the 4.2 to 4.7 range are more likely to gain higher sales numbers than those in the 4.7 to 5.0 range.
Reviews Generate a Good Increase in Sales. Positive digital reviews can produce an increase of approximately 18 percent in sales rates. Once customers gain confidence and trust in a company and its products, these buyers are more likely to become return customers and loyal clients. They may very well join your regular customer base. Along with a significant increase in sales conversions, your company will probably benefit from larger product orders as well.
By contacting our experts at Online Reputation Management, you can receive top-rated information concerning the strong impact of online reviews on your company’s sales and revenues resulting in your growing business success. Our experienced professionals can also offer valuable advice concerning the best ways to improve your product presentations and customer relations for gaining more positive digital reviews.
With offices in Melbourne, Sydney and Auckland, our team is well-prepared to guide you in significantly improving your product and service reviews by customers. Our pros will help ensure that your increase in ratings for your brand, products and services will greatly enhance your business reputation, sales conversion rates and revenues.
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