Reputation Management and Social Proof

Updated July 6, 2024

Understanding Social Proof and Reputation Management

I use the term “social proof” when discussing customer reviews because I emphasize the power of positive feedback. A series of glowing testimonials can put a business on the map—social proof is powerful. It highlights how positive reviews can validate your brand story.

However, social proof focuses solely on positive feedback and doesn’t address negative reviews or provide strategies for handling them. We're leveraging your customers' positive reviews to support your story.

On the other hand, reputation management considers the bigger picture. It’s a more comprehensive approach that deals with negative reviews and is commonly used in SEO and other industries, focusing on a business's overall customer feedback.

For additional information on the idea of social proof, you can refer to this blog post as well as in this webinar.

Why Reputation Management and Social Proof Matter?

The following statistics highlight why reputation management and social proof matter. If you ignored customer reviews before, you will now. These numbers are eye-opening and illustrate the importance of providing an excellent customer experience.

• Most people (88%) like companies that reply to their reviews
• Almost everyone (92%) trusts what their friends say, and many (70%) trust what strangers say
• Most shopping (87%) starts with looking up stuff online first
• Nearly everyone (97%) says online reviews help them decide what to buy
• Sales pages sell 34% more with testimonials (people saying good things)
• Over half (56%) of American social media users feel FOMO (Fear Of Missing Out).
• Good reviews make people spend 31% more money.
• Most people (83%) think reviews older than three months aren’t helpful anymore.

40+ Social Proof Statistics (Latest 2024 DATA)

Reputation Management: Key Steps for Handling Negative Reviews

Negative reviews can significantly impact your business, as clients trust and value the opinions of their peers. Often, one negative review reflects the experiences of multiple customers who didn’t take the time to write a review themselves. Never underestimate the power of a negative review, but remember that handling it properly can help you gain respect and authority.

Turning a negative review into a positive experience can demonstrate your commitment to customer satisfaction. Here are the steps you should take when dealing with an unsatisfied customer:

Immediate Steps to Take

1. Respond to the review immediately. The quicker you react, the higher the chance the reviewer will improve their rating. Resolving the issue within 24 hours makes the reviewer 33% more likely to increase their score. Additionally, responding to reviews shows future customers that you value their experience and are committed to ensuring each interaction is positive.
2. Take the time to understand what happened. Listen for key phrases like, “if they had only,” or “I wish that,” which can highlight what the customer was hoping for. These insights are crucial for reaching a favorable resolution.
3. If an immediate resolution isn’t possible, let the reviewer know you’re looking into the situation and set a time to follow up within 12-24 hours. This demonstrates your commitment to addressing their concerns promptly.

Within 12-24 hours of Review

1. Gather Information: Get both sides of the story. Did the customer mention names in the review? What was their impression of the interaction? Was anyone else present? Always discuss these details in private.
2. Review and Reach Out: Assess all the information you’ve collected and then contact the customer. Seize the chance to develop a personal connection.
3. Be Empathetic and Understanding: Show empathy and understanding while remaining impartial. Put yourself in your client's shoes before responding. Each interaction is an opportunity to positively impact, it is not a burden.
4. Listen and Resolve: Have a resolution in mind, but let the customer lead the conversation. This approach shows you value their input and are committed to resolving their concerns effectively.

Within 36 Hours of the Review

1. Find a Solution Quickly: Aim to resolve the problem by the 36-hour mark. Consider what it will take to make the customer feel better about their experience. Remember, a lost customer means lost revenue for a lifetime.
2. Agree on a Resolution: Once you’ve found a solution, agree with the client. Before ending the conversation, ask if there’s anything else you can assist them with. Often, customers will give you another chance to impress them.
3. Request a Rating Update: After agreeing on a resolution, politely ask if the customer can update their rating. Don’t request a specific score or offer incentives for a higher rating.
4. Implement Changes: If the resolution involves changing policies, ensure everyone on your team is informed. This prevents the same negative experience from reoccurring with the same customer or others.

Immediately Following the Resolution with the Customer

1. Document the Experience: Take detailed notes on the incident, including the customer's name, contact information, and specifics of the event. Record the resolution details and keep them on file for future reference.
2. Respond Online: Publicly respond to the review. Apologize for the sub-par experience, mention the resolution, and thank the individual for their business.
3. Educate Your Team: Use the experience as a teaching opportunity. Discuss the preferred solution for handling similar situations in the future. Focus on learning and improvement rather than punishment.

Preventing Future Negative Experiences

1. Make Necessary Changes: To avoid similar negative experiences in the future, consider what changes can be implemented in training, policies, or employee practices. Think outside the box to find effective solutions.
2. Seek Additional Information: If you receive a negative review about an unfamiliar situation, don't hesitate to contact the review site for more details. If the site cannot reach the customer to verify the details, they may delete the negative review.
3. Follow Up Respectfully: If the customer does not change their review, reach out once to check if they are still dissatisfied. However, do not badger them to change the rating. Respect their decision and focus on improving for the future.