WhyRave Reviews: Why Do They Matter Most to Local Businesses

94 WOULD RECOMMEND Rave Reviews 125 WOULD RECOMMEND WHY THEY MATTER MOST TO LOCAL BUSINESSES According to the Small Business Search Marketing Survey by American Express OPEN, U.S. small businesses can still count on word-of-mouth as a top way for shoppers to find them. Close behind, however, is the Internet. Local consumers now heavily rely on search engine power when shopping locally. We take a look at what this means for your small business. SEEK 'N FIND The survey reveals how new customers are finding their local small businesses. SOURCES NEW CUSTOMERS USE TO FIND SMALL BUSINESSES *Numbers do not add to 100 percent because respondents were allowed multiple answers. 82% 66% 37% 23% 23% 17% 21% 100 80 60 40 20 WORD-OF-MOUTH INTERNET ADVERTISING YELLOW PAGES NEWSPAPER / STOREFRONT OTHER MAGAZINES While 82 percent of respondents considered word-of-mouth when SEARCH looking for a local business, percent also do research on 82% the Internet. 66% FREQUENT USERS And finding a local business via the Internet isn't an anomaly. Eight percent of respondents do it every day. HOW MANY TIMES HAVE YOU USED THE INTERNET TO FIND A LOCAL BUSINESS IN THE LAST 12 MONTHS? 15% 9% 25% 17% 10% 16% 8% Every Month Almost Every Day 2-5 6-10 Every Week 20 40 60 80 100 Only 15 percent of consumers did not SEARO use the Internet to find a local business in the past year. PUBLIC VIEWS Prior to engaging with a local business, consumers read online reviews with noted regularity. DO YOU READ ONLINE CUSTOMER REVIEWS TO DETERMINE WHETHER A LOCAL BUSINESS IS A GOOD BUSINESS? Yes, Regularly Yes, Occasionally No 27% 49% 24% V***** Over a QUARTER (27 percent) of consumers regularly use online reviews to determine which local business to use. OPINIONS MATTER Consumers are not only reading the reviews, they are largely relying on the opinions expressed by others to determine whether they will engage with the local business. HOW DO ONLINE CUSTOMER REVIEWS AFFECT YOUR OPINION OF A LOCAL BUSINESS? Positive customer reviews make me trust a business more. 58% I read the reviews but they don't influence my decision on which business to use. 25% I don't take notice of online customer reviews. 17% 20 40 60 80 100 Positive reviews can establish greater trust between a local business and its shoppers. As customers rely predominantly on the Internet before committing to buy, local businesses must make sure their online presence is a good one. In fact, business owners may want to consider readjusting their advertising budget and using the extra funds to provide a better experience for shoppers, as this would help garner both word-of-mouth references and positive online reviews. ★★★★★ 58 percent of consumers trust a business that has a 58% positive online review. Milo SOURCES: SEARCHENGINELAND.COM EMARKETER.COM