The proliferation of the internet has given rise to social media platforms, where people can freely post and distribute information. User review platforms such as Yelp, Zomato, and Amazon serve as an open channel for people to provide first-hand feedback about their personal experiences with restaurants, businesses, and service providers.
For local businesses and entrepreneurs, social media and review platforms can be beneficial, as these channels can help generate a positive buzz around a brand or company. At the same time, however, these same platforms can also damage the reputation of a business.
According to the 2015 Local Consumer Review Survey conducted by BrightLocal, 92 % of all consumers use online customer reviews to determine the quality of a local business, an increase from 88 % in 2014. The research discovered that 68 % of consumers trust a business with positive reviews. Furthermore, the study revealed that consumer awareness is also being heightened with regards the spread of fake reviews.
This speaks volumes about consumer behaviour with regards to arriving at purchasing decisions in the digital era: At this day and age, the online reputation of your business can severely affect your business health.
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