SAN FRANCISCO – July 23, 2019 – Womply, a marketing and CRM software provider for small- and medium-sized businesses (SMBs), today published its Impact of Online Reviews on Small Business Revenue study, the first comprehensive look at the correlations between online review patterns and sales revenue at American small businesses.
Among the major findings, the study revealed low ratings on Google are more damaging to small businesses than poor ratings on Yelp or Facebook. Companies with an average Google star rating of 1 to 1.5 average 33% less revenue per year than the average business. For comparison, businesses with the same star rating on Yelp or Facebook average 19% and 9% less yearly revenue than the average business, respectively.
To compile this study, Womply’s data science team conducted an in-depth analysis of transaction and online review data for more than 200,000 U.S. small businesses in every state and across dozens of industries, including restaurants, retailers, lodging places, salons, auto shops, and medical offices.
The findings are publicly available on Womply.com and shed light on a number of questions facing small businesses, including:
“Every business is more successful when they can make data-driven decisions, but small businesses have historically not had access to good data,” says Womply Founder and CEO Toby Scammell. “This groundbreaking study ensures that small business owners don’t have to rely on conjecture when making critical decisions about how to manage their online presence and engage with their customers online.”
Other key findings from the study:
Of all small business categories, Americans are kindest in online reviews to chiropractors (95% positive ratings), followed by religious organizations (92%), art galleries (91%) and dance schools (91%). Americans are the harshest to taxi and shuttle services (65% positive ratings), followed by hotels and motels (67%), real estate businesses (67%), and auto wash and detail business (67%).
“This study gives small businesses insight into where to spend their efforts online,” says Scammell. “We’re excited to democratize this level of data analysis, giving small business owners unparalleled visibility into the financial impact of online reviews so they can better understand their patrons and run more profitable businesses.”
Womply’s mission is to help small businesses thrive in a digital world. Our AI-powered data platform enhances our comprehensive small business management software, which includes the world’s only pre-populated CRM plus small business intelligence, reputation management, marketing automation, and integrated payments. Every day, we serve more than 150,000 small businesses across 400+ verticals, in every corner of America. To learn more, visit www.womply.com or email firstname.lastname@example.org.