According to World Economic Forum study, on average more than 25% of a company’s market value is directly attributable to its reputation. However, according to a survey by Deloitte and Forbes, companies are least prepared for reputation risk drivers beyond their direct control. One such risk driver which businesses need to focus on is Online Review Management of customer reviews and ratings on third party websites.
Almost half of the planet’s population is online. Brand recognition is not just a matter of media penetration and market share; businesses need to shape customers' perceptions of them as well.
Online reputation determines conversion rates just as much or more than content and search engine rankings.With this huge segment, there is a mind-boggling diversity of usage, opinions, behaviors, and preferences amongst the users. However, it is also true that together they depict some global trends or patterns that provide a potential opportunity for Consumer Goods companies.
These dynamics include –
Social Media – The online segment is going social, fast, on one or more of the 207+ social networking sites around the world
Total Control – With the rise of price comparison and analytics sites, the Gen-Y consumer wants to be in total control
Opinions – Review websites and social forums encourage outspoken reviews from consumers that can make or break brand image
Security and Privacy – These are two of the biggest concern areas for consumers
Buying channel – Consumers expect omnichannel experience from brands and failure to provide that experience on channels like mobile devices and social media can put consumer goods companies out of business
As society becomes more globally interconnected and expectations of business increase the pressure for companies to have strong, resilient corporate reputations continues to build, these concerns underline the growing need to engage better with consumers. Tie this up with the growing influence of search engines and websites in consumers’ purchase preferences, and consumer goods enterprises face a big challenge of managing online reputation and maintaining brand image to drive business.
To properly manage reputation, and to improve corporate resiliency in times of crisis, it is necessary to understand the economic, social and competitive context within which companies operate, and how they are positioned relative to emerging or ongoing sectoral issues and opportunities.
Enter Online Reputation Management (ORM)
The correct application of ORM strategies ensures positive public perception and opinions amongst individuals or organizations.These perceptions are built on positive reviews and feedback which also act as a backbone for buying decisions for a staggering 70% would-be buyers and influence 84% of buyers (source: marketingcharts.com).
These statistics make online reputation management the priority risk focus on other strategic risks for almost 90% of consumer goods marketing executives. (source: Local Consumer Review Survey 2014, Bright Local Study)
Another strong signal that depicts the tremendous influence of online reputation is that over the past 5 years, companies with leading reputations achieved shareholder returns 100% higher than competitors. (source: prophet.com)
Signals that demonstrate reputation disaster
- Better positive sentiment for the competitor brand
- Higher volume of negative sentiment for the brand in question
- Late response to negative feedback
- No real time insightful dashboard available with the marketing team
- Decreasing sales conversions
There have been numerous real life reputation management catastrophes that spelt tragedy for company bottom lines. A very prominent example was the case of an MNC in food and beverages that didn’t react on time to negative sentiments echoed on its environmental policies.
This led to a perception of complacency that attracted tremendous backlash. Eventually, they were forced to suspend activity on their public page to bring down the repercussions of the backlash.
Such instances call for a reliable solution to manage online reputation. Towards this, CIGNEX Datamatics’ Reputation Management Platform (RMP™) helps you strategically build, monitor, manage and amplify your business reputation.
The operational premise is simple yet highly effective – It helps you track what is being said or shared about your brand as well as competitors’ offerings. This insight helps you make real time decision to manage launch day sentiment, plan actionable campaigns and ultimately increase your online reputation.
Features of Reputation Management Platform
Real time insights – for competitive analysis, tracking user sentiments and identifying positive and negative keywords used
Analysis – Sentiments are correlated to trends, competition, and benchmarks using advanced analytics to derive reputation scores
Amplification of positive reviews – All positive reviews from different sites arranged at central place, which can be further shared on social channels
Segregation – Scores can be split by pointers such as geography and features. This helps fine tune marketing campaigns at a micro level for better efficacy
An International home, office and industrial products company needed to gain more from its online reputation management. The earlier manual system revolved around collecting data from 50+ review sites for analysis and action.
This took weeks by which time the efficacy of the solution was diluted.
With RMP™ in place, feedback for around 200 products from 50+ review sites arrived in minutes with special alerts for negative sentiments. This allowed management to quickly step in real time to address them and thus improve user experience.
It also carried out automated competitive analysis for better online positioning as a segment leader. This transformation happened in just 20 days of running the RMP on client side.
Interested in taking your online reputation to the next level? Do connect with us to know more about our Reputation Management Platform solution.
For more information:Make an Inquiry about this report HERE!
Category: Open SourceCompany about: CIGNEX Datamatics, a subsidiary of Datamatics Global Services Ltd., is a Silicon Valley based, global, pure-play, Open Source consulting company offering enterprise-grade solutions, platforms, products and services for Systems of Engagement and Insight. Since 2000, CIGNEX Datamatics has been Making Open Source Work® using open standards platforms and tools that integrate with existing systems to achieve unparalleled results and leveraging its Adopt-Open-Elevate ™ execution framework to mitigate ...