Infographic: The Economics of a Bad Review
In this age of social media and digital bullhorns, even one negative review can mean a drop in major revenue for businesses of all sizes. In this infographic, we'll look at some of the startling and harrowing stats behind what a bad review and experience can lead to. Just a heads up: It's pretty major.
My wife and I were recently chatting about this guy we knew that ran a restaurant for 35 years. (I haven't even been alive 35 years, and here this guy was running one of the most successful joints in all of southern California.) Anyway, she was regaling me with a night her and her family invited him over for dinner, and as the wine flowed, so did the years of wisdom.
"You know, I've always adhered to the sentiment that, 'If a person has a good experience, they'll tell a few friends. But when a person has a bad experience, they'll tell anyone that will listen!'" This was just a rule he lived by because he understood good customer service and tried to be the best host all the time. This had nothing to do with Yelp, Facebook, Google My Business, TripAdvisor, or any of the plethora of other review sites out there that are now proving they can make or break a business.
How? Glad you asked. Simple stat: 88% of consumers trust a random stranger's review as much (if not more) than a close friend's personal recommendation.
Today, if businesses don't understand the true impact that reviews have on their bottom line, they are actually missing out on, and being robbed of quite the hefty sum. How much exactly? This infographic, "The Economics of a Bad Review," from SOCi will tell you more...
Pretty nuts, but good to know.