Importance of customer reviews in business growth

Customer reviews are a form of customer feedback which he had experienced while using product or service.

Customer reviews can be positive or negative based on his/her experience. Positive reviews tend to increase business growth. While negative reviews decrease company’s sales, revenue, brand value etc.

In today’s competitive era, importance of customer reviews is very high. Statics shows that reviews affect customers buying decision and encourages people to interact with the company. As per studies, 94% of online customer read reviews before making any purchasing decision. The importance of customer reviews is due to following reasons:

1. Helps you improve Product or Service

Customer reviews will help you identify problem areas which will enable you to take quick decisions to improve customer experience and resolve the issues that customers faced. Customer reviews helps you to ensure that your product or service will actually

2. Helps you to Increase margins

Customers are willing to pay more for the companies with high positive ratings. Companies with high positive ratings can charge little higher for better customer experience, quality and services.

3. Improves SEO ranking

Reviews are the most important ranking factor in local search. Pages with reviews which mention a keyword and/or the name of a city are ranked higher in google search index.

4. Reviews create brand loyalty

Reviews boosts customer loyalty towards a brand. When one customer leaves positive review about your product or service, it is like to come back for purchasing more products of your brand.

5. Reduces marketing budget

Reviews helps you to improve customer experience. Which helps in retaining existing customers who are not happy with your product or service. Acquiring new customers is difficult, time consuming and costly. However, retaining existing customers after solving their problems can reduce marketing budget.

Summing Up

There are many things that can influence customer buying decision. However, reviews are one of them. Businesses should collect reviews using different types of surveys and open discussions. Your clients will appreciate you value their opinion.