Reviews Impact Business Revenue/ Here’s the Data that Proves It- HILBORN DIGITAL SEO Agency.png

Reviews have been playing an important role in the consumer purchasing process for years. While everyone in the SEO world knew reviews were important, there was never any concrete data that showed how reviews impacted businesses revenue.


Now we do. A recent study done by Womply shows a connection between online reviews and revenues. Here is what they found.


More Listings Claimed Equals More Revenue

One of the first steps we take as an SEO agency is to claim our client’s business’ listings. Claiming listings on key sites such as Google My Business is key to a successful online presence. It allows customers to easily find the business and it allows the business to easily provide customers with updated information.


It’s not surprising then that data shows that the more listings a business claims the more revenue it makes. Businesses that claim online listings on multiple sites earn 58% more revenue. It’s important to remember that not every customer will use the same listing platform, which is why claiming all the relevant listings matter.


Reviews Impact Business Revenue/ Here’s the Data that Proves It- HILBORN DIGITAL SEO Agency.png


Responding to Reviews Impacts Revenue

For the past few years, there have been signs that responding to online reviews is increasingly important. This new data shows just how important it is. Businesses that respond to reviews get 35% more revenue on average. Unfortunately, 75% of businesses don’t reply.


Customers are more inclined to purchase from businesses that respond to online reviews. Having good online customer service implies to customers that they can expect better service all around. Businesses should reply to both positive and negative reviews, but make sure you reply in a professional manner to the later.


Reviews Impact Business Revenue/ Here’s the Data that Proves It- HILBORN DIGITAL SEO Agency.png


There’s an Optimal Rating Range

One of the biggest misconceptions businesses have is that having all 5-star reviews is the best. The new research shows that there is actually an optimal rating range. Businesses that have a 3.5-4.5 star rating make more on average than those below or above.


It’s obvious why businesses with lower ratings don’t earn as much, but why do 5-star businesses perform worse? There are a few reasons. The first is that those with 5-star ratings tend to have fewer reviews. The second is that a 5-star rating often feels manipulated, and customers may be skeptical. So next time you get a 3 or 4-star rating, or even a 1-star review, don’t panic.



Quantity Over Quality

Often in business, the quality of the product and service is more important than the quantity. When it comes to reviews that’s not the case though. The study found that businesses with more than the average number of reviews bring in 82% more in annual revenue. However, this probably doesn’t expend to businesses that are below the optimal rating threshold.


Reviews Impact Business Revenue/ Here’s the Data that Proves It- HILBORN DIGITAL SEO Agency.png


What Does This Mean?

Most businesses know that online reviews are important. Now we just have data that shows how reviews impact businesses. So how can a business manage reviews better to improve revenue?


Here are some key tips:

  • Respond to all reviews, but be sure to keep the replies to negatives one professional as to not aggravate the situation
  • Don’t strive for all 5-star reviews
  • Get as many reviews as possible, but be sure to follow the listing guidelines as to not get flagged or banned
  • Claim as many relevant listings as possible


If you need help managing your online presence contact us today!



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