Reviews are one of the most important ways for home service businesses to grow. Reputation marketing is the practice of generating those reviews. And you can turn them into profits when done well.
If you’re new to reputation marketing, this guide will get you started. You’ll learn:
- The reputation marketing definition and why it’s so important for service providers
- The difference between reputation marketing vs. reputation management
- Reputation marketing strategies with examples from businesses like yours
- How online tools help you generate review requests and respond to customers
You’ll also read about the connection between positive online feedback and revenue. Getting this right is the ticket to financial stability and eventual growth.
What Is Reputation Marketing?
Reputation marketing is the process of building online standing for your business. It’s done through customer reviews that show how happy people have been with your company’s services.
Other forms of reputation marketing can include social media posts and website testimonials. What happens when prospective customers see reviews from local people just like them? They’re more likely to trust your business.
There are two primary goals with reputation marketing:
- You don’t want to wait for people to get around to making referrals on their timeline. Instead, you proactively solicit reviews.
- Potential customers might not see reviews if they’re only in one place online. So, it’s best to spread them out over multiple sites.
Reputation marketing definition
The definition of reputation marketing is proactively creating your business reputation. You could naturally allow customers to refer you by word of mouth to friends and family. But that takes a long time, and you have little control over the process.
A better approach is to ask satisfied customers to leave reviews and testimonials. This proof then shows up online for prospective customers looking for your services.
Why it’s different from traditional advertising
Reputation marketing differs from conventional advertising in a couple of ways. First, it’s ideally spread across the web on different sites, unlike ads in one or two places. This gives you broader reach over potential customers.
Also, traditional advertising is more focused on your business. A typical ad says what you do and how customers can contact you for service.
Reputation marketing, however, puts customers front and center. It shows how you solved a problem for them or added convenience to their lives. When business prospects see this social proof, they’re more likely to hire you. It makes you look more trustworthy in their eyes.
Reputation Marketing vs. Reputation Management
Reputation marketing vs. reputation management—is there a difference between them? Yes, and it’s important to understand it.
What each focuses on
Reputation marketing highlights positive feedback about your business. You ask a satisfied customer to leave a review after you fix their furnace, for instance. Or you solicit a testimonial to post on your website.
The keyword here is “satisfied.” You control who you are asking for reviews by knowing first that they’re happy with your work.
Reputation management is more of a defensive process. It involves responding to negative feedback about your business to minimize damage.
For example, it could be responding to a bad review with an offer to fix an issue. Or it could mean issuing a refund if a customer isn’t pleased with your carpet cleaning results.
How they work together
The reality is that you’re never going to get 100% positive reviews. You need to use both reputation marketing and reputation management together.
The idea is to keep asking for reviews and other feedback from happy customers. Simultaneously, you address negative opinions right away. You don’t want those unhappy customers to stand out online. They can ruin your reputation marketing efforts.
Why Reputation Marketing Drives Revenue for Home Services
When done right, reputation marketing can seriously boost your business’s revenue. Let’s examine how that works in more detail specifically for home service companies.
Reviews as a local-ranking & trust signal
When you own a service business, you’re not seeking customers around the country or overseas. You need clients in your immediate area.
And you’re providing a service in someone’s home. You’re not sending them merchandise like an e-commerce business. That makes prospective customers extra picky about who they hire.
Reviews from local residents increase people’s trust in your business. They see the reviewer as someone like them. And that means you can solve a similar problem, like cleaning their gutters or fixing a broken faucet.
How star ratings affect conversion
Customers pay close attention to the stars given by their neighbors in reviews. In fact, some people will only search for and hire businesses with high ratings.
When they see a majority of five-star reviews, they think, “Wow, this business is really good!” It makes them more likely to hire you when they have a choice.
Think of stars like rankings with your customers. But they can also be literal rankings with search engines and review sites.
Within the same geographic area, service businesses with better reviews tend to rank higher on Google. Yelp’s algorithm leans toward the same results. However, over 90% of leads start with Google to find local services.
The data: reviews → revenue
Researchers have quantified the effect of both positive and negative reviews on businesses.
You can create an equation for approximate losses due to negative reviews. This assumes the common standard that about 80% of people will be put off by negative reviews:
Annual lost revenue = (Number of customers viewing negative reviews per year × 80%) × Average customer purchase
There are other ways that poor reviews can cost you. You might lose an opportunity for partnership or capital investment. Or you could be denied a loan you need for equipment if the lender thinks your business will tank.
The good news is that glowing reviews can have the reverse effect. Consider these statistics:
- Consumers spend 31% more with businesses with good reviews.
- Among online users, 74% felt positive Google reviews gave them more faith in the business.
- An oft-quoted 2019 study showed that moving up a star on Yelp increased revenue by 5–9%.
As much as positive reviews are important, the quantity of your reviews counts too.
Have you ever looked at a business with just a couple of reviews? Was it maybe the owner’s family member or friend who left them? Did it make you suspicious about their validity?
That’s why it’s essential to try to get a large number of reviews. It makes your business look more credible.
And be sure to keep that number up. Customers are also leery of businesses with no current reviews. Quality may have slipped, or the business could be under new management.
We talk more about how to get reviews and highlight them in the next section.
RELATED ARTICLE — Why Homeowners Trust Businesses with More Reviews
A Reputation Marketing Strategy for Home Service Businesses
A reputation marketing strategy should have four basic components. It’s easier to get the results you want when you break the process down into logical steps.
You should also think of reputation marketing like your sales funnel. You always have reviews in different stages of the process. That way, you stay on top of your reputation and have a continuous stream of fresh reviews.
Generate a steady flow of reviews
Start by getting the reviews flowing in:
- Claim your Google Business Profile (GBP). Set up profiles for any other sites where you want reviews, like Yelp. Be sure to optimize your profiles with keywords that customers would use to find you.
- Start a review collection system. Ask customers after every job to leave a review, and tell them where to leave it. We’ll explore tools that help you automate this below.
Respond to and manage reviews
Once you start getting reviews, engage with your customers. Thank them for positive feedback. It sends the message that their review was seen and appreciated. It could be the ticket to repeat business in the future.
What if you get negative reviews? Remember, reputation management is part of the picture too. Respond quickly, and determine what the problem is.
Be aware that some negative reviews may require an apology, a refund, or similar action. Some, though, may not be your fault. Sadly, there are businesses that leave fake, fraudulent reviews for competitors.
Showcase reviews across your site, GBP & ads
The next step is to put those good reviews to work! You want to put them where future customers can see them.
Where can you showcase them?
Start with the Google site itself. You can “like” a review, which shows Google the review is helpful. That often moves it up above other reviews. Some businesses report that responding to reviews also does this.
Another option is to embed the review on your website using a widget for that purpose. Customers who write stellar reviews could also be invited to compose a testimonial.
Don’t forget you can also share positive reviews on social media. This is much more compelling than using an ad.
Measure impact on leads & revenue
Finally, you want to know if your reputation marketing campaign is actually working. Are you getting more reviews? Are they positive?
Are those great reviews turning into leads? Are those leads becoming paying customers? How is that affecting your revenue?
All of this is easy to track and quantify because it’s objective data. You just need to set up a system for collecting and analyzing it regularly.
RELATED ARTICLE — How to Get More Google Reviews
Reputation Marketing Examples
Let’s look at a few reputation marketing examples. These will help you see how the process works in action and in different scenarios.
Review-powered website copy
You could use your reviews as a feature of your business website. For example, say you own a plumbing business. Customer reviews rave about your punctuality, cleanliness, and fast response to emergencies.
Those are all great ways to stand out from local competition. You could write website copy that talks about those attributes. And you embed some of the reviews on the website as more social proof.
Social proof in ads & email
You don’t have to abandon conventional marketing when you embrace reputation marketing. In fact, you can leverage the power of reviews in advertising and email campaigns.
Why not include one of your best reviews in your local print ads or in online ads? Lift a quote that best shows what makes your business stand out. You could do the same with email campaigns.
Perhaps you have a segment of HVAC client leads who are concerned about rising energy costs. You could use a review that talks about how furnace cleaning lowered their utility bills.
Video testimonials
Video testimonials from customers are ideal to use in TV advertising or on your website. They also often translate well to radio. Verbal and/or visual reviews target customers who may not respond to written reviews.
There are platforms you can use to send a request for a video review versus a written one. Or you can create your own video with the customer’s permission.
Film your team fixing or cleaning something. Then have them speak about their satisfaction at the end. This is a terrific combination of how-to and testimonial. Post it on YouTube and other social media channels.
How do you make video testimonials more persuasive?
- Tell the customer what you would like them to talk about in advance. But don’t have them read a script. That sounds fake.
- Keep the testimonial short. If it’s too long, it can sound staged, or the customer may ramble.
- Film the testimonial immediately after providing service. You want the customer’s memory to be fresh. They’ll be more enthusiastic as well.
- When asking questions, go beyond yes/no answers. Get to the heart of what they liked about your service.
- Try to show how the customer is similar to prospects who could use your services.
- Ask why the customer chose you. What made you stand out to them versus the competition?
Reputation Marketing Tips for Small Businesses
Tiny operation and low on time? Here are a few suggestions for reputation marketing for small businesses.
Start with your happiest customers
You know who your most satisfied customers are. Begin with them when soliciting reviews.
They’ll be more inclined to oblige you. And you know the results will be positive. That will buoy you moving forward.
Make leaving a review effortless
Do the heavy lifting for the customer when requesting reviews. Send them a text and/or email right away after service. You can follow up with another a few days later, if needed.
Send them the link where they can leave a review. Then they don’t have to waste time surfing the web trying to find the right platform.
Keep reviews fresh
As mentioned earlier, don’t let your reviews get stale. That can turn customers off. Remember, review generation is like lead generation. It’s a constant process.
Is it a slow time of year? Haven’t had many reviews lately?
Post a “we’re here to assist you” notice on your community’s Facebook group page. It’s a surefire way to get past customers to ring in with how helpful you were in solving their problems. Boom—instant reviews and social proof.
How Review Software Powers Reputation Marketing
There are tools to help businesses make the most of reputation marketing. They offer several functions that appeal to people with limited time. These platforms are also far less expensive than using an agency, with more in your control.
Automated review requests by SMS & email
One feature that makes these tools so helpful is automated review requests. Once a job is finished, the customer is contacted by text message and/or email. They get a review request reminder with a link showing where to post their review.
The best platforms let you connect your business with customers before starting work. So by the time they get a review request, they feel comfortable communicating with you.
Monitoring & response in one place
Another key feature of review software is the ability to monitor reviews in one location. You can also respond to reviews there.
Through a dashboard, you can integrate your Google profile and see growth data. You can even compare your ratings to your competitors’ to see how you’re doing in your market.
RELATED ARTICLE — Online Reputation Services Benefits
Frequently Asked Questions
What is reputation marketing?
Reputation marketing is the process of proactively building an online reputation. Rather than waiting for word-of-mouth referrals, you take charge of the process. You ask satisfied clients to leave you a review or write a testimonial for your website.
Is reputation marketing the same as reputation management?
They’re similar but different. Reputation marketing involves creating a positive reputation via happy customers. Reputation management is more defensive. It entails dealing with unhappy clients who leave bad reviews or negative comments.
How do reviews increase revenue?
When prospective customers read reviews, they identify with the review writer. It’s a homeowner with a problem similar to theirs. When they see a good review, they tend to think you can achieve the same results for them. That brings in new business and increases income.
Do I need an agency for reputation marketing?
No, you don’t need an agency. You can do it yourself. The key is to work smarter, not harder. Use online tools to automate the process and make it faster and easier. Then you can spend your time in the field on billable work.
Conclusion
Is your business ready to start working on its reputation marketing? Here are some expert tips to get you started:
- Begin with easy tasks that get you motivated and build confidence. For example, set up and optimize your Google profile.
- Think about sites where your customers are most likely to leave reviews. That might be Yelp, HomeAdvisor, or Facebook.
- Ask your regular or most enthusiastic customers to leave reviews on the site(s) of your choice. Send them the link so it’s easy for them.
- Train employees to ask every customer to leave a review when they finish a job.
- Explore review generation software as you grow and want to automate the process. Remember, it’s a continuous task, just like your sales funnel. But once you get it going, you’ll love the results that contribute to your bottom line.