Are your negative reviews hurting your business?

Sep 16, 2023By Wendell Carr
Wendell Carr

If you're a business owner, you know that a negative review can feel like a punch in the gut. It's hard not to take it personally, especially if you've put your heart and soul into your business. But negative reviews are a fact of life, and how you handle them can make all the difference.

Why negative reviews matter

First things first: why do negative reviews matter so much? It's simple, really. People trust reviews. In fact, 84% of people trust online reviews as much as they trust their friends. If your business has a lot of negative reviews, potential customers are going to think twice before doing business with you.

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The impact of negative reviews on your bottom line

But it's not just a matter of people being turned off by negative reviews. They can actually have a direct impact on your bottom line. A study by Harvard Business School found that a one-star increase in a restaurant's Yelp rating leads to a 5-9% increase in revenue. On the flip side, a one-star decrease leads to a 5-9% decrease in revenue. Ouch.

How to handle negative reviews

So, what can you do about negative reviews? of all, don't panic. Every business gets negative reviews from time to time. It's how you handle them that matters.

Responding to negative reviews

The first step is to respond to the review. Be polite and professional, even if the review is unfair or untrue. Apologize for any inconvenience the customer experienced, and offer to make it right. This shows that you care about your customers and are willing to go the extra mile to make things right.

responding to reviews

Encouraging positive reviews

Another way to combat negative reviews is to encourage positive reviews. Make it easy for customers to leave reviews by including links to your Yelp or Google My Business page on your website and in your email signature. You can also incentivize reviews by offering a discount or freebie to customers who leave a review.

Improving your business

Finally, use negative reviews as an opportunity to improve your business. If you're seeing a lot of complaints about a particular issue, take steps to address it. This shows that you're committed to providing the best possible experience for your customers.

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The bottom line

Negative reviews can be tough to swallow, but they don't have to be the end of the world. By responding to reviews, encouraging positive reviews, and using negative reviews as an opportunity to improve your business, you can turn a negative into a positive. Remember: your reputation is everything, so it's worth putting in the effort to make sure it's a good one.