Bad online reviews hit online businesses hard

56% of British companies selling online have been the victims of negative reviews and star ratings in the last year, according to research by Brightpearl.

The problem is now costing them an average of £125k a year to put right, whether through in-house social media managers, reputational agencies, or on promoting positive endorsements.

A third of shoppers have left a negative review online, with seven in ten having done so in the last year, as Brits take to social media or online review sites like Trustpilot or Yelp to share their anger or dissatisfaction.

In a poll of 1,000 decision makers (and 2,000 shoppers), 29% said poor reviews are getting worse and four in ten business owners remain flummoxed by them. 76% said online reviews and star ratings are very important to their financial status and reputation, and one in five agreed that a single one-star negative post could severely damage their business.

46% of respondents regularly check star ratings for online retailers before buying from them, and two in five consumers have been put off a brand or a retailer they might have shopped with – by a single unfavourable review.

The study also reveals that just 23% of brands always respond to negative feedback, despite 58% of shoppers looking more favourably upon retailers who actively respond when such content posted about their services online.

On average, Brits want a brand or retailer to have 30 positive online reviews before they’d trust it enough to part with their cash. Shoppers become highly dubious about shopping with any brand that has more than five negative reviews in a six month period.