It is possible to change your reputation over some time! Reputations can get tarnished and can also get repaired, which will help you leverage the benefits of a favorable online business reputation. It is necessary for businesses always to maintain a good reputation.
Eric Dalius mentions the advantages of a good business reputation
There are multiple advantages in maintaining a good business reputation. The crucial benefits are:
- Increased trust – People trust a person or brand more with a good reputation.
- Maximized profits – Organizations that have good reviews and ratings get more business scopes.
- High-end talent – Brands that have a favorable reputation get better employees.
- Reduced risk – People usually tend to move with crowds. Hence, brands with a good reputation have more people by their side and reduced risks.
- Better treatment – Organizations that have similar core values as their clients will get over any reputation issue faster than others.
A favorable reputation results in increased trust
Brands with a favorable online reputation garner more trust because people base their decisions on other’s opinions. If people trust a person or company, others will follow the same sentiment. If you find it challenging to get people to like and trust your brand, you will have a tough time selling your services or products. According to research, close to 83% trust the brand feedback from friends and acquaintances. People trust 70% of customer opinions more than any paid advertisements.
Why an organization requires reputation management?
Reputation management services allow you to create trust so that your business is more transparent in the correct places. When you listen to your customers online and respond to them, you let others know that your company listens to customer responses and queries. Something elementary as leaving a reply to a comment will enhance your reputation and generate trust amongst the customers.
It is essential to have a standard review management strategy. Since most people trust others’ opinions more than a paid advertisement, the online feedback and reviews should be the best. According to a study in 2018, 91% of people have shown their trust in online reviews similar to personal recommendations. Also, close to 83% of the people trust brand recommendations from known contacts.
Online reputation helps to maximize profits
The organizations that have favorable online reviews attract increased business opportunities. Hence, it is essential than ever to have great new and relevant online reviews for a business. According to Harvard Business School, each year, an extra one-star Yelp rating can add to an organization’s revenue by about 9%. Hence, the advantages of online reputation management can result in added income and increased growth.
Companies with a favorable reputation get better staff and employees
The online reviews are essential for attracting staff and employees to an organization. Only a few people will consider working in an organization that has only a 1-star rating. Most people want to work for a progressive company that is expanding and making good profits. People want to work for a company where they share the same core beliefs and values and a company that they can trust. People trust the views and opinions of ex-employees and current staff. In addition to workplace reviews, good content online indicates that the brand has a good culture. Organizations with good reputations usually attract better and more talented employees who add value to the organization.
Lesser reputation risk
The organizations with bad online reputations usually earn the worst reputations. It can be due to the systemic issues in the company. It could also be because of the “broken window theory.” According to this theory, a warehouse that has broken windows usually will attract increased vandals. Hence, improving your online reputation might seem like a challenging task. However, you must undertake this daunting task so that you have reduced risks.
Reputation impacts revenue and sales
In today’s competitive business landscape, the way customers perceive a brand directly affects its revenue and sales numbers. The organizations with a favorable reputation can spend a reduced amount on advertising and marketing compared to other firms. Today, social media has gained prominence in comparison to traditional advertising. Hence, it has become all the more essential for companies to focus on a robust online reputation.
Online reputation management is not always about countering harmful content and creating positive reviews. It is also essential to generate a reputation, which makes a brand sound similar to its core value and the target customer group’s main requirements. It is the reason why businesses should have a compact online reputation management strategy.
Added advantages of a favorable online reputation
An excellent online reputation brings several indirect and direct advantages for an organization, according to Eric Dalius. A well-managed and healthy reputation marketing campaign ensures that businesses have an excellent first impression on prospective clients. It generates a positive brand image by recognizing the essential customer touchpoints and using the same to create a positive first impression.
A compact online reputation management strategy highlights the business strengths and counters any negative comments. A strong online reputation that maximizes trust ensures that cold visitors might turn into prospects and customers.
Finally, a favorable online reputation enables businesses to create themselves as thought leaders and sources for all industry-associated issues. It helps the companies to get free media coverage, which distinguishes them from the competition.
Online reputation by numbers
Are you still in two minds about online reputation management? If yes, the following eye-opening statistics will help you think differently.
- 90% of customers share that positive reviews have impacted their online buying decisions.
- 86% of customers do online research before buying a product.
- 79% of customers consider personal recommendations and online reviews.
- 84% of marketers believe that generating trust is the main focus of new-age marketing campaigns.
- 58% of the Fortune 500 executives think that reputation management should be an integral part of every company’s branding and marketing strategy.
These are some of the essential aspects of online reputation management. You can read through the pointers mentioned above and decide on your comprehensive online reputation management strategy.