Almost anyone considering a purchase online reads reviews beforehand. Literally: nearly nine out of ten shoppers do just that ahead of clicking on "buy". Whether it is a new bbq grill to enjoy Summer with friends and family or which dress will fit nicely, we're all checking previous customers' experiences with the products we have our eyes on.
When it comes to travelling, even more: how to choose a hotel between hundreds in the same price range if you don't have any recommendations from friends? Does this hotel even exist? Well, a recent study showed that 72% of consumers say that positive reviews make them trust a business more. Now, it is possible to know the hotel is right where it says it is. And 88% say they're less likely to buy from a business with negative reviews.
So, it's clear that displaying product reviews on your Shopify store, which is a great form of UGC, can make or break a sale. That's undeniable, especially for mobile commerce. The point is how can you actually use reviews to improve customer satisfaction, increase sales, and generate brand loyalty.
In this article, we'll discuss:
- The importance of reviews as user-generated content (UGC)
- How reviews will benefit your Shopify store
- How you can use customer reviews to improve customer satisfaction
- Ways to get more reviews for your Shopify store
Let's dive in...
There is so much more to customer reviews than that immediate sale. They're certainly important to the bottom line, but there are also some intangible benefits of having good comments about the business.
Reviews build trust
Surveys show that 79% of customers trust online reviews as much as personal recommendations. In today's age of fake news and online scams, people are increasingly sceptical of businesses. But other shoppers' comments can help build trust and show that you're a credible, reliable company.
Reviews improve SEO
Good reviews can actually help improve your search engine ranking. That's because search engines like Google take reviews into account when determining where to rank a business. So, if you want to attract more customers through organic search, focus on getting more positive evaluations.
Reviews give valuable feedback
In addition to increasing sales and improving SEO, reviews can also provide valuable feedback about your products or services. Customers can leave constructive criticism that can help you make improvements.
Now that we've covered some of the reasons why reviews are important, let's look at how they can help increase sales. Here are three ways that online reviews can impact your revenue:
Increased conversion rate
As we mentioned before, potential customers are more likely to trust a business with positive reviews. Not only that, they're more likely to make a purchase. In fact, research by BrightLocal found that companies with positive reviews see an average increase in conversion rate by 4.6%.
Higher average order value
Besides increasing your conversion rate, online reviews can also lead to higher average order values (AOV). According to the Spiegel Research Center, customers who read reviews spend an average of 31% more than those who don't. That's because customers who trust a business are more likely to spend more money when making a purchase.
Increased customer lifetime value
Not only can online reviews increase your conversion rate and average order value, but they can also lead to increased customer lifetime value. That's because customers who are satisfied with their products and services are more likely to return and make additional future purchases.
The way your business treats the comments received from your customers play a big part in how your brand will be perceived. Research shows 89% of consumers say they would be 'fairly' or 'highly' likely to use a business that responds to all reviews, positive and negative.
And customers' comments can also teach what's working and what can be done to make shoppers even happier. Thus, a good plan of action should follow these three simple steps:
- Respond to positive reviews. When customers leave positive reviews, be sure to respond and thank them for their feedback. This shows that you're paying attention and that you appreciate their business.
- Respond to negative reviews. No one would like that, but keep in mind it's not just positive reviews that are important. Responding in a constructive way shows that you're willing to listen to feedback and make changes based on customer input. Customers really appreciate that: 57% of them say they would be 'not very' or 'not at all' likely to use a business that doesn't respond to reviews.
- Use review data to make improvements. In addition to responding to individual reviews, it's also vital to use review data to make broader improvements to your products or services. If you see a trend of negative thoughts, that's a sign that you need to make changes.
There are a few different ways to encourage customers to leave reviews. Here are three of them:
1. Make it easy for customers to leave reviews
One way to increase the number of reviews you get is to make it as easy as possible for customers to leave them. This means providing links to review sites, making it clear how to leave a review, and following up with customers after they've made a purchase. Booking.com makes it quite easy to leave a review:
2. Offer an incentive
Another way to encourage customers to leave reviews is to offer an incentive. This could be a discount on their next purchase, a free product, or anything else that would make them more likely to take the time to write a review. Shoppers collect points on Shein when leaving reviews - even a few more when they upload pictures of the products. These points can be exchanged for discounts. Customers love the benefits; some items gather thousands of comments.
3. Ask for feedback
Asking customers directly is often the most effective way to get more reviews. You can do this by emailing customers after they've made a purchase, asking them to leave a review on your app, or even popping up a push notification asking for feedback.
The comments might not always be what you were expecting, but negative reviews can actually be used to improve your business. With these inputs, you may be able to identify areas that need improvement. Secondly, you can use them as an opportunity to show customers that you're responsive and willing to make changes. Finally, your approach might build trust with potential customers by showing openness and transparency about the negative feedback you've received. By using negative reviews in these ways, you can actually improve your business.
Reviews are like gold for businesses because they make customers feel more confident in their purchase decision. The likelihood that a customer will buy something with just five reviews is 270% greater than the chances of getting these same results without any feedback at all! You don't even need tons of reviews to see the benefits of customers' comments.
If you're looking for ways to increase your Shopify sales and improve customer satisfaction, then you should definitely consider using reviews. And if you want to make it even easier for customers to leave feedback, then StoreLab can help. We offer a custom integration that lets you include reviews on your Shopify mobile app. Talk to a member of our team to learn more about how you can grow your Shopify store through a mobile app.
