Four ways customer reviews and feedback can grow your business

When choosing where to do business or what to buy, most consumers consider customer reviews and feedback. Among shoppers browsing local businesses, 75% always or regularly read online reviews.

What customers say about your products, services, and the experience you provide can make or break your reputation and success. Customer feedback from social media and third-party sites such as Yelp and Google can benefit your business in four key ways.

1. Good customer reviews attract new customers

Positive online reviews are incredibly powerful, with 50% of consumers saying they trust consumer reviews as much as personal recommendations from friends and family. When satisfied customers share their experiences online, they become advocates for your brand. This organic form of marketing builds credibility and can attract new customers without any additional marketing expenditure.

Added exposure leads to greater visibility for your brand and business and draws in potential customers who are looking for services or products like yours. More reviews mean more content that search engines can index, increasing the chances your business will appear in local search results.

How does it work? Google and other search engines prioritize websites with frequent and positive reviews. The more reviews you have, the more likely your business will climb the search engine ranking pages (SERPs). This creates a beneficial cycle for your business: Strong reviews lead to better rankings, which lead to more traffic and, in turn, more reviews.

2. Positive customer feedback drives sales

There's no escaping the power of reviews to influence sales. According to a study by Power Reviews, 98% of consumers see reviews as an essential part of the decision-making process, and 45% of consumers won't purchase a product if there aren't any reviews.

Positive online reviews and social media posts build trust in your business. Knowing others have had good experiences with your business reassures potential customers that they are making the right decision in choosing your products or services, leading to increased sales.

In addition to attracting new customers, positive reviews can also drive sales from existing customers. When customers are satisfied about their product and experience, they're more likely to buy again, recommend a business to family and friends, and leave favorable reviews, which creates a positive feedback loop.

3. Customer feedback improves your business

Constructive criticism from reviews is invaluable in identifying areas of improvement. Feedback, whether about products or customer service practices, helps you understand what needs adjustment. Quickly implementing changes in response can result in better customer satisfaction and continuous business growth.

Value the honesty and unbiased nature of reviews. By listening to what your customers have to say, you can learn about any issues they may have encountered with your business, including faulty products, poor customer service, or difficult website navigation. On the flip side, positive reviews help you identify what your business is doing right so you can replicate those successes.

Reviews provide a wealth of information about your customers' preferences and needs. Analyzing this feedback can highlight common themes and specific issues, giving you deeper insights into customer needs and preferences. With this knowledge, you can fine-tune your customer service strategies and business practices to more closely align with what your customers value most.

4. Reviews open lines of communication with your customers

Monitoring and responding to online reviews, especially negative ones, allows businesses to address issues promptly. By addressing negative feedback from dissatisfied customers publicly and promptly, you can show you care about their experiences and are committed to making things right.

Social media platforms allow for real-time interactions with customers. By actively engaging with reviews and comments on social media, you can foster ongoing conversations with current and potential customers. This continuous engagement helps build and maintain strong customer relationships and keeps your brand top of mind.

Open and honest communication can often turn a negative situation into a positive one by showcasing your customer service excellence. Consumers are 88% are more likely to choose businesses that respond to positive and negative reviews, compared to just 47% who would consider a business that doesn't respond to any reviews.

Timeliness is key. Respond to negative reviews and feedback as soon as possible to show you value customer feedback and are committed to resolving issues promptly. Start by acknowledging the customer's concerns and offering a genuine apology for any inconvenience or negative experience, which can help de-escalate the situation. Acknowledge the customer's concerns, take responsibility, and offer a solution to make things right.

Quick responses to complaints can prevent customer churn and demonstrate a commitment to customer satisfaction, often turning dissatisfied customers into loyal ones.

How to get more customer reviews

Customer reviews and feedback impact business growth, brand, reputation, and bottom line. That's why encouraging and cultivating customer reviews is an important business strategy. Here are some strategies to get more reviews.

Ask. Simply ask for reviews during face-to-face interactions and as part of any follow-up communication.

Make it easy. Provide straightforward instructions, user-friendly forms, and direct links to your review pages.

Use in-store reminders. Take advantage of in-store signage, receipts, or business cards to remind customers to leave a review.

Engage with reviews. Quickly respond to both positive and negative feedback and thank customers for their reviews.

Offer incentives. Consider providing small discounts, offers, or incentives for customers who leave good or bad reviews. Ensure your incentives comply with the policies of the review platform you're using.

Harness the power of customer feedback to attract new customers, drive sales, improve your business, and foster better communication with your customers. By actively engaging with your customers, you create a positive feedback loop that promotes continuous business growth. Embrace customer reviews as an important ongoing strategy, and watch your business grow and thrive in today’s competitive marketplace.

About Snap Finance

Snap Finance harnesses the power of data to empower consumers of all credit types to get what they need. Launched in 2012, Snap’s technology brings together more than a decade of data, machine learning, and nontraditional risk variables to create a proprietary decisioning platform that looks at each customer through a more holistic, human lens. Snap’s flexible lease-to-own and loan solutions are changing the face and pace of consumer retail finance.

For more information, visit snapfinance.com.

Snap-branded product offering includes retail installment contracts and lease-to-own financing. Talk with your local Snap sales representative for more details on which product qualifies at your store location. For more detailed information, please visit snapfinance.com/legal/financing-options.