Can a drop in store traffic be linked to negative Google reviews?
by Sebastien Neveu on 8 December 2022
This mornings, you decided to take a look at the performance of your stores. And you almost swallow your coffee. The foot traffic in your Dijon store has dropped significantly compared to previous periods.
You decide to look into it and call the store manager. When you ask him about what's going on, he tells you that he doesn't know and that, from his point of view, there has been no characteristic change in recent weeks.
You then go for another lead:
What if that drop in traffic was related to negative Google reviews?
How can we be sure?
And, above all, how to :
- Prevent negative Google reviews from impacting store traffic?
- Take control of an ailing online reputation?
Here are a few avenues to explore.
#1. Understanding the impact of Google reviews on your in-store traffic
As a retailer, the question of why a customer chooses to come and shop in your store is at the heart of your business. What makes the customer choose you over your competitor?
For a long time, the answer in retail was the location. "Location, location, location". In short, whoever had the best place had a clear competitive advantage. Think, for example, of McDonald's
But does the customer come to you for convenience because you are close to their home, on their route?
This used to be true because customers needed to have all the tools to compare stores. And still, some customers were comparing paper catalogues looking for the best deals.
But today, comparing stores has never been easier. You can compare two stores with just a few clicks, thanks to online customer reviews. Moreover, consumers give more credence to their peers' opinions than the brands' communication.
The numbers are enlightening:
- 82% of consumers consult customer reviews about local businesses (Bright Local)
- 97% of customers who consult reviews say they have an impact on their purchasing decisions (FanandFuel)
The impact of e-reputation on in-store traffic is real. For example, a WizVille/EasyPanel study found that a lower rating than your local competitors could drop store traffic by up to 58%.
According to Review Trackers, 94 % des consommateurs affirment qu’ils éviteront un commerce s’il présente des avis négatifs.
So yes, a drop in store traffic can be linked to negative customer reviews. But, once you know this, how do you take control of your e-reputation and get back on track?
#2. Respond to negative reviews
Why respond to negative reviews?
E-reputation has an impact on in-store traffic and sales. And yet, many companies do not consider it a lever to increase physical traffic in the store. According to an Uberall study, French companies only respond to 7% of reviews.
But you can't just shrug your shoulders and say that you've done everything right anyway and that there will always be frustrated people who will vent their dissatisfaction in the public square.
To improve your online reputation, you have to act. But before you can work, you need to change your internal view of customer reviews. In most cases, customers are not trying to humiliate or harm you. Instead, they are mainly looking to make you react.
Of course, for the teams, the criticism is sometimes hard to swallow. But they should be seen as conversation opportunities rather than final judgments. 53.3% of consumers who post a negative review expect a response from the company within a week (Source: Review Trackers). And 95% of dissatisfied customers will return if the company can resolve the issue quickly.
In addition, customers who view reviews also read the company's responses. So it will also impact their decision if you respond quickly and effectively.
So, the first action to improve your e-reputation is to respond systematically to negative reviews.
How to respond to negative customer reviews?
When it comes to customer reviews, responsiveness is critical. You should respond to negative reviews within 48 hours to avoid letting the dissatisfaction spread and show the dissatisfied customer that you have heard him.
As much as possible, responses should be human and personalized. It is better to avoid standardized messages, as customers easily detect them.
Opt for a semi-personalized response in the case of recurring dissatisfaction. You can use a personalized message with the person's name and a detailed response to their discontent. For the most complex issues, you will completely personalize the message.
Also, remember to sign the response with the name and function of the person who handled the notice.
Propose a solution adapted to the dissatisfaction. And finally, remember to ensure that the customer is satisfied with the response once the problem has been dealt with.
Who should respond to customer reviews?
Logically, if the dissatisfaction expressed by the customer is about the point-of-sale experience, it is best to leave it to the local teams to respond.
Indeed, the field staff are the face of the brand in the customer's mind. As a result, they are also more likely to formulate a perfectly contextualized answer.
On the other hand, if the dissatisfaction does not relate to items specific to the store but rather to elements of the brand's customer experience, the head office can write the response.
More broadly, the underlying issue is the level of responsibility and autonomy of the various company levels.
Usually, this is not decided on a case-by-case basis because you will create bottlenecks if you have a large volume of notices to process. Upstream, you must anticipate and distribute the roles in terms of responses to messages. Setting up a RACI matrix to define roles and responsibilities is an excellent way to empower local teams while maintaining network consistency.
For this to happen, each company level must have the necessary information about the opinions. Therefore, the use of a satisfaction management solution that centralizes opinions and processes them with adapted access levels is a facilitator. In addition, it facilitates continuous monitoring of e-reputation.
#3. Monitor your e-reputation with a customer satisfaction management solution
Consider e-reputation as a dynamic rather than a snapshot
The problem with customer reviews and Google ratings is that they persist over time. Your overall rating remains impacted by negative reviews dating back several months.
That's why the rating itself can't always be objective. Instead, what matters is how that rating evolves.
To follow this evolution, you must monitor your e-reputation with tracking tools. This monitoring allows you to consider the developments over a given period or to see the impact of your recent customer satisfaction actions on the opinions.
Benchmark yourself with your local competitors on e-reputation
Today, if customers come to you rather than to your competitor, it is because they prefer you. But why do you have their preference? Why do they consider the in-store experience better at your store than at your neighbour's?
When you collect customer feedback, you gather information about how your customers perceive your customer experience. You can identify areas of satisfaction and improvement by analyzing the verbatim. But all this data doesn't tell you anything about your competitors.
Customer reviews offer public, accessible data on how your competitors' customer experience is perceived. They are, therefore, a godsend to compare yourself locally on customer satisfaction and online reputation and better understand why you are losing traffic.
#4. Get organized to limit the impact of negative reviews
Improve the customer experience in store
It would be a mistake to think that there will always be negative reviews and that nothing can be done about them. Unfortunately, however, this is sometimes the posture that some store managers adopt to avoid the subject of customer feedback management.
However, several actions contribute to limiting the quantity and effects of negative reviews.
The first one is obvious: improve the customer experience. If the experience is better, there will be fewer negative reviews. This requires the management of customer satisfaction, i.e. the implementation of customer feedback systems, data analysis and team empowerment, in particular thanks to personalized insights for the different levels of the company.
Increase the number of positive reviews
Negative reviews are overrepresented on public review platforms. And this overrepresentation is sometimes discouraging for teams.
But there is a way to get a rating and Google reviews more in line with the reality of a store's customer satisfaction: encourage satisfied customers to share their reviews.
The more reviews you have, the more credible and reliable the rating becomes for consumers. But, above all, increasing the number of reviews almost always positively impacts your overall rating. Consider inviting customers to share their thoughts on Google in your customer surveys.
#5. Conclusion
Your drop in traffic can be the result of a poorly controlled online reputation. Therefore, it is advisable to consider customer reviews as an indicator of customer satisfaction.
But be careful to interpret Google reviews carefully, as they only partially reflect the reality of your customer experience.
In any case, you have to look for the causes of these negative reviews, especially if they are recurrent, and compare them to the customer reviews you collect through your listening devices. Finally, by aggregating all this data and analyzing the verbatim, you will be able to identify priority areas for improvement.