Online reviews are tangible goodwill for a business

Online reviews are tangible goodwill for a business

A recent news story about a campground operator in Gore, Southland got me thinking about online reviews, goodwill, and word of mouth.

The traditional method of spreading goodwill about a business was analogue and worked perfectly well in the pre-digital age. One person with a good experience would tell others, and so on, until a reputation was spread that would put a business in a great place. It also worked to warn others of businesses to stay clear of.

” . . . even if one person hears good feedback about a business, they will search online to seek out more reviews to cement what they have already heard.”

Today that still works but is nowhere near as effective – only because of the fact that over 90 percent of consumers are looking elsewhere – online and even if one person hears good feedback about a business, they will search online to seek out reviews to cement what they have already heard.

In essence this means that every business without online reviews is missing a trick that really isn’t that tricky and will only attract more customers and increase profits.

“There’s a book full of happy people. Anyone who doubts the authenticity of that can come and have a look at it”

The news story in question concerned a gentleman named Lyndon Copland who runs the Gore Motor camp and a number of negative TripAdvisor reviews that he labelled as “ . . . fake. They’re bullshit. But this is what happens with human nature. If you say to somebody ‘look, you’re going to have to go, you’re not smoking in the toilets anymore, you’re not cleaning up your mess in the kitchen like you’re supposed to – and this is what you get.”

Mr Copland suggested that these fake reviews didn’t tell an accurate story about the motor camp and how he ran it and said that the camp’s visitors’ book was filled with positive feedback. “There’s a book full of happy people. Anyone who doubts the authenticity of that can come and have a look at it,” he said.

“In this instance, Mr Copland’s plight puts into sharp relief the issue of not being proactive and taking control of an online reputation.”

Therein lies the problem. Who would come to the camp to read the feedback before considering staying? I imagine that number would be almost negligible. Today, travellers will very rarely even consider booking accommodation anywhere in the world without having the surety of positive online reviews. That goes for practically every other sort of business as well. No reviews, no chance.

In this instance, Mr Copland’s plight puts into sharp relief the issue of not being proactive and taking control of an online reputation. Instead of bemoaning the negative reviews his business had accrued and doubting their validity and the concerns that campers had raised he would be far better off ensuring that all of his customers were directed to a third party review site, like TripAdvisor to leave feedback.

Having control is essential

Visitor books are great for museums and tourist attractions but they do little to actually create new customers for a business such as a motor camp. They aren’t about generating future interest at but rather a place where visitors can leave their impressions and other visitors can read them. They are completely removed from committing to an online review platform where a business has control over the reviews.

Having control is essential. It means is informed of new reviews as they are posted, so that they can be replied to and if there is ever any negative feedback, the issues raised can be resolved. More importantly a business can make obtaining online customer reviews n essential part of its overall strategy.

Goodwill, like a reputation, is an asset and the two work hand in hand. Online reviews accumulated over years are a visible and tangible barometer of a business’ strength and contribute to its value if it is to be sold. Word of mouth dissipates, leaves no trace and in today’s digital world is worth far less than it used to be.

NoCowboys is New Zealand’s premier online reputation marking platform. To find out how they can help grow your business – email here.

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