How Much are Negative Reviews Costing Your Business?





Harshly critical comments like these on TripAdvisor, Amazon, Yelp and other shopping or review sites are killing your sales and ruining your brand’s cherished reputation.

Depending on the size of your company, negative reviews like this may be costing your business hundreds of thousands or even millions of dollars.

Here’s why:

1.       Online reviews influence what people buy. 83% of online consumers say reviews influence their purchase decisions, according to Opinion Research. In the hotel industry, travelers are 3X more likely to book a room at a hotel with 5 stars vs. a hotel with 3 stars, Morpace has found.

2.       Negative online reviews are a “silent killer.” Prospects don’t call you and say, “Hey, I just decided to eat at a different restaurant because I heard your service sucks.” They just go to a different restaurant.

How to Estimate Impact of Negative Reviews

Here’s a simple formula of how much business is lost by negative Word of Mouth in the form of negative reviews, using a restaurant as an example:

Brand Under Attack? Fight Back!

Identify and energize your Advocates, those highly-satisfied customers who act as champions for your brand and products. Invite them to rate and review your products and services. Make it easy for them to share and publish reviews on shopping and review sites and elsewhere.

Here are a few real-world case studies:

-Rob Fuggetta, Founder/CEO, Zuberance

Webinar Presentation: Turning Loyal Customers into Salespeople #hotelmktg

Our latest webinar, produced with HSMAI, covered the difference between loyalty and advocacy, and how to leverage both to boost bookings and positive Word of Mouth. How to Achieve Social Media ROI in the Hotel Industry: Turning Loyal Customers into Salespeople

View more presentations from Zuberance


Key Takeaways:

  • Always be thinking about the next horizon. Customers now own the conversation. You must play amongst them to influence that conversation.
  • As marketers, we used to own the message. Now, we facilitate the message.
  • Loyalty and advocacy are not the same, though creating memorable experiences is the foundation of both.

Make sure to download a free copy of the whitepaper, “How Hotels Can Turn Word of Mouth & Social Media into Sales.”