Social Media Reviews Impact Brand Reputation
May 28, 2009 Leave a comment
I recently attended a forum on Social Media where I listened to Christopher Lower, Owner and Director of Media And Communications for Sterling Cross, and Greg Swan, Digital Strategy Manager at Weber Shandwick. Below is a recap of my take-aways from that discussion.
2008 business study in social media by Cone noted the following:
- 60% in America use social media
- 93% of online social media users believe companies should have social interactive presence
- 85% of those people believe companies need both social media presence and interaction with customers online
- 56% of users feel stronger connection and better served by companies when they can interact with them in the social media space
This same study also found that there is narrow lineation between control and credibility when it comes to social media. Success for brands online depends on being aware of and having the right dialogue between those lines.
- 89% of people read online reviews prior to purchasing. 43% most of the time. 22% all of the time.
- 83% of people take advice of a friend over Consumer Reports and reviews
- 75% trust review of a product and service in a magazine
- 63% trust review by a known expert
- 52% rely on customer reviews prior to purchase
Bottom line? Consumers typically don’t trust individually, but they do collectively. Companies need to have tools in place to retain their online reputation management. Consider putting your own rating system in place for your consumers. Think about how people review online and who reviews online.
Those “Critics” will include items such as:
- Post ratings and reviews of products and services
- Comments on someone else’s blog
- Contribute or edit articles on wikis
Think for a moment about all of the review platforms out there. Wiki alone has over 150 that they consider “mainstream review sites.” These mainstream sites receive their status by having more than 100,000 active users. If consumers trust groups when it comes to their purchases, imagine the impact a negative review can have for a brand.
Does your company “own” its online corporate identity? According to Weber Shandwick’s 2009 “Risky Business: Reputations Online,”
- 7 out of 10 global executives fear for their corporate reputations as online risk continues to gain momentum.
- 66% of global executives are not aware of or turning a blind eye to what their employees are saying about them online.
- 34% across the globe know of an employee who posted something negative online about their company