It's no secret that online reviews are effecting businesses deeply. And it's no longer surprising after hearing for the last few years that the vast majority of these online reviews are actually positive. However, it is still important to note how they work. Let's take Yelp for example. How much do you know about the way they filter reviews? It's not as simple as posting the newest reviews on the top of the page in the same manner that new comments are added on your Facebook wall. In fact, there's a good chance that your review will never show up!
Yelp has decided that the most credible people on its review site are the ones that are using it on a consistent basis. So let's say that you are not prone to using Yelp, but one day you have such an awful experience somewhere (or perhaps it was so good you had to tell somebody!) that you decided to set up your own Yelp account just so you could let people know. Well, because you have never Yelped before, Yelp treats your review (especially a 1 or 5 star review) as unworthy of being shown to others using the site for their own research purposes. Yeah, I said it, if you're getting on for your first time or hardly use the site, they will most likely filter you out unless you set up your profile in a manner they deem credible. Ouch! I try your service that is supposed to be in place to help my fellow community members and you weed me out? Hmmmm...
So although they weed your comments out, I feel it is necessary to state that your review still counts in their star rating system. In other words, even though no one will be reading your comments (most likely the most helpful part) your rating will still be a part of the company's overall average. The craziest part to me is not actually the filtering, but the qualitative data showing how much these reviews matter. A difference in one star can increase/decrease your conversion rate by 5-9%, according to research being conducted at Harvard Business School. 5-9% is a lot of money walking in, or walking out, your businesses door whether you're local or a large chain.
A Warning
As a business owner, it is also extremely important to note that Yelp is a system that is built so that it won't be "gamed." In other words, Yelp is on the lookout for fake profiles (so don't try to build profiles to make your business sound good). This can hurt you twofold because not only do they block these entries when they find them, but they will also start blocking the good content from real Yelpers, resulting in none of the best content about your business being found when your business is searched. Now I don't say all of this to tell you to hate Yelp, because they can actually do a lot of good for your business, but it is important for the reviews to be genuine and to come from real customers, that is why they have built this elaborate filtration system. Understanding how it works is half the battle, the other half is to continue providing the great customer service and quality products that you want to represent your business.
So what should you do with all of this information? Well, if you're a Yelp user, it's probably a good idea to get to know how to set up your profile in the right manner. I recommend finding a friend that uses the program somewhat often and modeling your profile after theirs. It's also really important to use your power of review semi-often, just keep in mind the possible damaging effects it can have. Sometimes venting may be needed or even worth it, but sometimes it's worth it to talk to the manager.