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SEO BLOG

Are Online Reviews Important For Local Businesses?

Updated: Jan 24, 2023


Are Online Reviews Important For Local Businesses?

If you own a business, it's important to grow your online presence. A big part of that is online reviews. Potential customers are likely to check out your online reviews before they decide to do business with you.


A study done by BrightLocal showed that "84% of consumers trust online reviews as much as a personal recommendation." That means if you don't have many online reviews, you're already at a disadvantage.


As the world increasingly moves online, businesses must adapt in order to survive. One important way to grow your business is by paying attention to online reviews. Online reviews provide potential customers with an insight into your business that they wouldn't otherwise have. Good online reviews can help attract new potential customers, while bad reviews can deter them.



In order to take advantage of online reviews, you need to actively manage them.


Why online reviews are important?


As a business owner, you know that online reviews are important. After all, 92% of consumers say they read online reviews before making a purchase, and 88% of them trust online reviews as much as personal recommendations.


But why are online reviews so important? Here are three reasons:


1. Online reviews make your business more credible.


When someone searches for a product or service online, they’re looking for credibility. And one of the first places they’ll look for that is in the form of online reviews. The more positive reviews you have, the more credible your business will appear—and the more likely people are to do business with you.



2. Online reviews help you attract new potential customers.

If you want to grow your business, online reviews are important. They help you attract new potential customers and give you insights into what your potential customers think about your business.


Online reviews can be a powerful tool for attracting new customers. When potential customers see that others have had a positive experience with your business, they’re more likely to give you a try. And when you see what customers are saying about your business (customer feedback), you can make changes to improve the experience for everyone.


So if you’re looking to attract new customers and grow your business, make sure you encourage online reviews and take the time to read them carefully. You may be surprised at what you’ll learn. And, if your business is on Yelp, we can help you stay ahead of the curve.


Online reviews statistics to know for local business

Here are some statistics about online reviews (a study done by BrightLocal):

  • 92% of consumers read online reviews before making a purchase.

  • 85% of consumers trust online reviews as much as personal recommendations.

  • 80% of consumers have changed their mind about a purchase after reading negative online reviews.

  • 63% of consumers are more likely to purchase from a business that has positive online reviews.

  • Google is the most popular platform for reading and leaving reviews, with 72% of consumers using it to do so.

  • Yelp is the second most popular platform for reading and leaving reviews, with 47% of consumers using it.

  • Facebook is the third most popular platform for reading and leaving reviews, with 46% of consumers using it. )

  • Negative reviews can actually be beneficial for a business, as 70% of consumers believe that a business with some negative reviews is more trustworthy than one with only positive reviews.

  • The average consumer reads 10 reviews before feeling able to trust a business.

  • Local businesses with positive review ratings have seen an average of 18% increase in revenue.


The role of online reviews in search engine optimization



So it’s no wonder that businesses are increasingly focused on building up their presence on review sites in an effort to improve their search engine optimization (SEO). Here’s a look at how online reviews can impact your business’s SEO and what you can do to encourage customers to leave reviews.


First and foremost, online reviews are important for boosting your SEO because they help your business appear more relevant and trustworthy to search engines. Google s algorithm considers the quantity, quality, and recency of your online reviews when determining what rankings to show your website. So if you have a lot of five-star online reviews on Yelp, it will likely be shown higher in search engine results than a competitor who has three-star ratings.


Good reviews can help you rank higher in search results. Bad reviews can hurt your ranking and make it harder for potential customers to find you online.



How online reviews affect your click-through rate


If you want to grow your business, online reviews are important. Here’s why:


Online reviews affect your click-through rate. Positive reviews can increase your click-through rate by up to 30%. Negative reviews can decrease your click-through rate by up to 60%.



Would you buy a product with one star, even if it had great online reviews? Probably not. In the same way, would you click on a website with a low click-through rate (CTR)? Most likely not. Your CTR is one of the most important success metrics for your website because it directly impacts your revenue.


If you’re not sure what CTR is, it’s the percentage of people who click on your ad or link out of the total number of people who see it. A low CTR means that people aren’t interested in what you’re offering, which could be due to a variety of factors such as poor ad design or copywriting.


One way to improve your CTR is by monitoring and responding to online reviews about your business. Make sure you are regularly monitoring sites where you can get customer feedback and they can leave online reviews such as Google my business, Yelp, Yellow page, and Tripadvisor. Respond quickly and professionally to any negative reviews. And encourage happy customers to leave positive reviews.




Online Reviews can also influence potential customers’ decision-making process.


When it comes to making a purchase, potential customers will often seek out online reviews to see what others have thought about the product or service. After all, online reviews can provide valuable insights that help inform purchasing decisions.


But online reviews can also influence potential customers in other ways. For instance, positive reviews can increase confidence and encourage people to buy a product or service. On the other hand, negative reviews can dissuade people from making a purchase.


Ultimately, reviews play an important role in the decision-making process for potential customers. And businesses should take this into account when crafting their marketing strategy.



There are a few things you can do to encourage customers to leave positive reviews. First, make it easy for them to leave a review by providing links on your website and social media pages. You can also incentivize customers by offering discounts or other rewards for taking the time to write a review.


Remember that not all online reviews will be positive. Constructively responding to negative reviews can show potential customers that you're committed to providing an excellent customer experience.



The power of social proof with online reviews


Social proof is a powerful influencer.

It's official: social proof is a powerful marketing tool because social proof is a powerful influencer.


Need proof? Just look at the numbers. A recent study found that 92% of people say they're more likely to buy a product or service if it's recommended by a friend, and 70% of consumers trust online reviews as much as personal recommendations. People are more likely to trust the opinion of their peers over that of strangers, and when it comes to making purchase decisions, online reviews from other consumers carry a lot of weight.


What's more, social proof can even help boost your SEO efforts. Google takes social signals into account when ranking websites, so the more social engagement your site has, the better.



Positive reviews can have a ripple effect, leading to even more customers and sales. That’s because potential customers who see positive reviews and 5 star ratings are not only more likely to buy from you, but they’re also more likely to leave positive reviews themselves.


If you're not already using social proof in your marketing efforts, there's no time like the present to start.



How to increase the number of positive reviews


If you're a business owner, you know that customer reviews are crucial. Not only do they provide valuable feedback, but they can also help attract new customers and boost your bottom line.


So how can you increase the number of positive reviews? Here are a few tips:


1. You should focus on delivering quality products and services.


2. Make it easy for customers to leave a review. Include links on your website and social media pages, and make sure your contact information is up-to-date.


3. Respond to all online reviews, both positive reviews, and negative reviews. This shows that you're paying attention and that you care about your customers' experiences.



4. Offer an incentive for leaving a review. This could be a discount or coupon code, or even something as simple as a thank-you note.


5. Simply ask for reviews. Reach out to your customer when they are happy with your service and ask them to leave you an online review


There are some tools to help you accomplish this such as Reviews Booster. It will help you eliminate the negative reviews and only publish the 4 and 5 stars reviews. You should check it out.


What are the best online review sites?


Online reviews are an essential tool for potential customers when deciding whether or not to purchase from a local business. The best online review site offers users a comprehensive look at a company’s products and services so that they can make informed decisions. Potential customers trust online reviews. These sites should be user-friendly, easy to navigate, and offer valid and reliable online reviews.

The best online review sites will also provide positive reviews from real customers who have actually used the product or service being reviewed. Additionally, these online review sites should promote healthy discussions between customers and businesses alike in order to create an open dialogue about customer experiences. By utilizing the best online review sites, potential customers can make better decisions and local businesses can benefit from honest feedback.

some of the most popular and widely used online review sites include:

  • Google Reviews

  • Yelp

  • TripAdvisor

  • Facebook

  • Glassdoor

  • Trustpilot

  • Angie's List

  • BBB (Better Business Bureau)

  • Healthgrades

  • Zillow

Google reviews are considered one of the best online review sites as it has a wide reach and visibility on search engines, which can help boost a business's online presence and credibility. Additionally, it is also the most widely used review platform, which makes it a crucial platform for many businesses.

However, it's important to note that it's good to have a presence on multiple review sites, this way you can reach as many potential customers as possible.


Conclusion:


Yes, online reviews are important for local businesses and any business in general, because they provide potential customers with valuable information about your business. They also allow you to improve your business and increase customer satisfaction. To increase the number of positive reviews, focus on providing excellent customer service, responding to negative reviews, and actively soliciting feedback from your customers.


By following these simple tips, businesses can ensure that they are getting the most out of online reviews and using them to grow their customer base.




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