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Why Customer Reviews are Essential for the Growth of a CPG Brand

Writer: Enthuse Foundation Enthuse Foundation

As an emerging CPG brand, there are many ways to stand out – hard-to-miss packaging, vibrant social media presence, unique brand positioning, and so on.


To be successful, not only do we have to believe in our products, but others must buy in as well. That's why five-star customer reviews are critical to attracting new consumers, especially for emerging brands.


According to a study conducted by BrightLocal, up to 98% of consumers read reviews before making a purchase. Moreover, customers tend to trust companies with a higher volume of reviews, with an average consumer reading around 10 before forming an opinion of trust. 


During our "How to Start Selling in Amazon's Store" webinar, Diana Mungu, Program Manager on Amazon's Small Business Partnerships & Education team, shared why customer reviews are critical. She mentioned how customer reviews:


  • Help brands earn credibility

  • Improve search ranking

  • Build a brand's reputation

  • Provide a mechanism to gather customer feedback


Brands can solicit product reviews via e-mail, text message, and directly from their website (editor's note: understand your e-commerce's platform capability for accepting and displaying reviews).


For companies selling in Amazon's store, Vine is a program that helps selling partners receive up to 30 high-quality reviews per product so customers can make informed purchasing decisions. After enrolling, companies provide products to a trusted network of reviewers, Amazon has invited to serve as Vine Voices. These reviewers request products they want to try free of charge and, in return, share their honest, unbiased opinions in a review. Learn more about Amazon Vine and eligibility requirements here.


Diana offered the following dos/don'ts for customer reviews. While intended for Amazon Sellers, bolded items apply to all brands.  

Do's

Don'ts

Send a neutral request for feedback in product packaging

Request a five-star review from customers

Leverage the request for review feature in Amazon Seller Central to ask for customer reviews after a purchase is made

Offer incentives for reviews (discounts and compensation)

Enroll in Amazon Vine

Contact customers directly to remove reviews

Monitor reviews regularly to identify opportunities for product improvement

Manipulate reviews


Ignore negative reviews

 

Use overly promotional language

 

While sellers anticipate that most product reviews will be positive (why would you ask for a review otherwise!?), the reality is that no matter how great your product is, you may receive so-so or less than flattering reviews.

 

So, the million–dollar question is: How should a brand handle a negative review? Editor's note: Depending on your specific industry (cosmetics, food, supplements, etc.), make sure to understand the legal requirements regarding negative reviews.

 

It never feels good to get negative feedback, but it's part of the job. Respond using the four "p" s -  professionally, promptly, proactively, and politely. Offer to solve the issue and thank the customer for taking the time to notify you about an issue.

 

BrightLocal also reported that 79 percent of customers said they would be "likely" or "highly likely" to leave a positive review after a business addressed the negative experience and provided a solution.

 

Customer reviews can also be repurposed as testimonials and user-generated content (make sure to get appropriate permissions first). Check out our blog post "Three Ways Brands Can Utilize User Generated Content (UGC)" for specific tips.

 

Bottom Line: Reviews are imperative for all brands, whether they sell in Amazon's store or not. Leveraging customer reviews can be one of the most potent strategies to accelerate growth, build credibility, and foster long-term success. Once you have a review collection method, ensure a reputation management strategy to respond to those reviews (a simple thank you – can go a long way)!

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