Our RetainTrust team conducted research on 250 companies and found that 64% of businesses neither manage their online profiles nor respond to customer reviews. An additional 24% respond randomly or very inconsistently. With only 12% of companies manage their profiles, respond to most reviews, and actively monitor web visibility.
This research highlights a big issue, businesses invest in their online presence through websites, digital marketing efforts, and offline campaigns to attract customers, but at the same time they often neglect managing reviews, which can significantly impact sales. For example, research from Northwestern University shows that a product with five positive reviews has a 270% higher likelihood of being purchased compared to a product with no reviews. And obviously, the lower the star rating, or negative reviews, the less likely a product is to be bought.
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Reasons Why Companies Fail to Manage and Respond to Reviews
Managing your online profiles on platforms like Google, Yelp, or Glassdoor and responding to reviews might seem easy. However, many companies struggle to take ownership of their profiles, especially when it comes to addressing and replying to negative or even fake reviews.
We spoke with one of our clients who shared their experience. When their company was a small startup in growth mode, they regularly responded to all reviews. But as the company expanded, internal conflicts arose over who should manage this task. The marketing department believed that customer success/service should handle it since reviews came from customers and it was their responsibility to resolve issues and keep buyers happy. At the same time, the customer support team felt that marketing should respond because they had the tools and expertise to do it professionally. As a result, the company neglected responses to customer reviews for years.
Another reason some companies don’t respond to reviews, is a lack of understanding of their importance or significance of the networks where these reviews appear. Some believe Google is merely for GPS navigation and office location, and Glassdoor is only for job searches, neglecting to manage or remove reviews on both platforms.
Also, many companies feel overwhelmed by the number of review networks and lack the resources to manage the volume of feedback. And smaller companies, may receive very few reviews and might not be notified when those reviews are posted, leaving them unnoticed for a long time.
Regardless of the reason, it’s important for businesses to manage their online reputation. If handling reviews in-house is a challenge, hiring a reputation management company is a good option.
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24% Companies That Respond Inconsistently to Reviews Miss Out on Maximizing Their Online Reputation
According to the same research by RetainTrust, 24% of companies respond to reviews inconsistently. They may reply selectively, respond very late, or manage their profiles sporadically, then stop for a period of time. This behavior indicates an effort to engage, but they struggle to do it regularly due to the volume of other work, changes in management or employees, loss of motivation, lack of proper tools and technologies, or simply not having enough resources to manage all reviews.
While these companies are making an attempt, another study shows that if a company doesn’t respond to an online review within 48 hours, they miss out on resolving the issue and demonstrating strong customer service. This delay can negatively impact sales and the overall customer perception.
For companies unable to manage all their reviews in-house, hiring a dedicated review or social media manager, or working with a professional agency, is a smart alternative.
12% of Companies Manage and Respond to Most Reviews, Maximizing the Full Benefits of a Positive Online Reputation
Companies that consistently respond to and manage most online reviews can significantly improve their sales and build better customer perception. Another research indicates that 52% of consumers are more likely to do business with a company that responds to negative reviews. At the same time, 57% are less likely to engage with a business that constantly ignores customer feedback.
Advice for the 64% of Companies That Don’t Respond to Reviews: How to Manage Your Online Reputation
Companies that neglect their online profiles and fail to respond to reviews, for any reason, are missing out on significant opportunities to increase their business. Data clearly demonstrates that actively managing your online reputation can lead to positive improvements. Therefore, it is smart to hire a professional review removal or reputation management agency. These experts can address online review challenges on your behalf, working similar to a PR firm by managing your online presence and ensuring your business receives positive reviews and rankings. RetainTrust offers these services, and you can always contact our team to learn more.
Need Assistance Managing and Responding to Online Reviews?
We help businesses manage and respond to online reviews, enhancing their reputation and boosting positive feedback.
