In this opportunity we are going to analyse what is the importance of online reviews for companies or businesses. Nowadays, users have great accessibility to leave their opinion about a service or the purchase of a product.

But what impact can this have on companies? Broadly speaking, we know that it can strengthen or weaken a company's reputation. And depending on the outcome this can be more or less critical.

It is important to note that online reviews, also known as reviews, reflect the personal opinion of users. Therefore, they can be both positive and negative.

Something interesting that allows us to appreciate the power of online reviews is that users are increasingly interested in learning about this type of opinion. Even more, this can be a determining factor in whether or not to make a purchase..

In fact, a study carried out by the EXprimeNet team showed that at least 75% of users rate online reviews of companies to check whether positive comments are predominant.

How important are online reviews for users?

As we have already mentioned, internet users are becoming increasingly interested in online reviews. This is especially true for online shops, but companies are not lagging behind either.

In our study we have determined that at least 85% of users undertake prior research before deciding whether or not to trust the company. This applies both to the purchase of products and to the purchase of services.

In turn, at least 49% of these users require at least a four-star rating in order to decide to hire or buy. This shows how important it is for potential customers to view online reviews.

Furthermore, it is not only relevant to recognise how important the prior assessment of reviews is for customers. For this also makes it clear that the generation of online reviews is a normal part of consumer behaviour.

Positive online reviews are essential for companies, especially to instil trust. This is key to consolidating sales and building customer loyalty.

For this reason, many companies have focused on managing measures to build a positive reputation. There is also a highly influential issue here, and that is the constant exposure to the opinions of third parties.

Nowadays both web portals and social networks allow us to discover new information, and finding out different details about companies is very easy.

According to the Global Consumer Survey of Spain 50% of the users interviewed focus on rating online reviews. of companies or businesses. Based on this, they form their assessment of the company in question.

Impact of negative reviews

As we have highlighted, 75% of users surveyed trust companies based on positive reviews. But what happens when a company has predominantly negative reviews?

According to our research at least 60% of users decided not to trust a company or merchant because of negative reviews. On the other hand, 40% users did not rate the reviews.

This shows that more than half of the respondents do take into consideration whether negative reviews predominate and determine their purchase decision.

Online business review systems usually allow for one to five stars, and allow for a short comment. But how many ratings are decisive for users?

The following graph provides details:

The role of review scores

The importance of online reviews also allows us to appreciate the impact of the rating scale. In this regard, our research allows us to determine that at least 49% of users are required to rate a four-star rating.

On this basis, they determine whether or not to trust the quality of service of a company or business. On the other hand, 19% of users are content to rate at least 3 stars in the reviews.

In turn, 6% of the respondents focus all their attention on the five-star ratings. Finally, 26% of the users who participated in the research have mixed opinions.

All this allows us to reflect on the fact that the importance of online reviews spans several areas. For example, it shows not only how many reviews tend to be rated, but also the ratings that influence a good appreciation by customers.

Current vs. older reviews

Companies or businesses that have a long history tend to have a large number of reviews. This is confirmed by a Google My Business profile.

Is the volume of reviews a relevant aspect for users? Actually, it does have quite an important influence. According to our research at least 73% of users rate the most up to date reviews.

Meanwhile, 27% of users focus their attention on opinions generated at various dates, both recent and older.

On the other hand, 80% users rate both randomly appearing reviews and personal recommendations. It seems that users are interested in making an objective evaluation.

Where can I find the reviews online?

So far we have looked at the importance of online reviews and how consumers behave around this. But how easy is it to access user reviews?

Although there are several platforms and websites where we can find reviews, Google is a specialist in showing us this information.

A clear example of this is Google My Business, a free platform where companies create a profile with their general information. But they also add other details about their services, location, reach, etc.

But in addition to the above functions, this platform also allows the publication of reviews. In this way users can share the experience they had with a brand or a company.

This platform, like many others, allows the rating under the system of one to five stars. But they also have a space for a comment where the opinion can be much more personal.

On social networks, we can also check the different opinions of users about a brand or a company. Generally speaking, this information is very exposed.

Benefits of positive reviews for businesses

You have probably realised how important positive reviews are for building a formidable reputation. This has a verifiable impact on attracting new customers or building customer loyalty.

Primarily, the importance of online reviews has to do with the possibility of to have an optimal brand image managementto keep this on the rise. This, in turn, is instrumental in helping customers make purchasing decisions.

But the benefits on the reviews do not end there, as they also has a positive impact on search engines. In fact, corporate profiles that have more comments tend to be better positioned.

In addition, the display of online reviews is also a starting point for companies. This has to do with the possibility of identify certain weaknesses and improve them.

Nowadays, it is essential to be in constant self-assessment and to strive for corporate growth. And for this, building a good reputation is quite important.

On the other hand, digital marketing trends are pointing to the fact that maintaining a closer relationship with users also influences the consolidation of a positive corporate image.

Conclusion on the importance of online reviews for businesses

One of the most important conclusions about the generation of online reviews has to do with how commonplace they have become. In general, users not only rate reviews but also give their opinions about their experience with brands.

According to our research at least 40% of the surveyed users have written a positive review. Whereas, the 30% have left negative reviews about their experience with certain companies.

A key thing about this is that most users take into account the ratings of others and accordingly create their own opinion about the company. Everything seems to point to the impact of the review generation today.

Also, the fact that a company collects several reviews is an advantage because it helps with the positioning of the company. However, if negative reviews predominate, the disadvantages will be obvious and not only in the short term but also in the long term.

Finally, according to research conducted by The Value of Trustworthy Brand Reputation in 2019 showed that 93.4% of users issue their own review analysis and take it into account when deciding whether or not to make a purchase. All this shows that this determination will become an increasingly common action.