How online reviews facilitate social proof, trust and sales

Social proof is an important component of how we navigate the world, and importantly, how consumers interact with your business. Big Commerce defines social proof as “a demonstration that other people have made a choice or partaken in a product or service – such as reviews – thereby encouraging others to do so”. 

Social proof is the reason why we read an article on Facebook that’s been shared countless times. If 50 of our friends think it’s interesting, it must be. It’s also the reason why we trust online reviews. If 200 people have given your business an average rating of 4.5 stars, consumers automatically trust this rating, and in turn, trust your business.

Social proof is the reason why online reviews, testimonials and user-generated content (UGC) are so effective for marketing a business. If a consumer sees the majority of reviews speak favourably about a business, they’ll follow the “wisdom of the crowd”, and think favourably about the business too. 

As a result, social proof boosts consumers’ trust and confidence in businesses.

Before the age of the internet, social proof was facilitated by word-of-mouth

A couple of decades ago, word-of-mouth travelled between people through real-life interactions. The opinion of our peers, friends and coworkers has always influenced how we engage with businesses – but the way word-of-mouth travels has been fundamentally changed with the introduction of the internet. 

While in-person word-of-mouth still holds weight, so does the digital equivalent: online reviews.

Today, we can access online reviews and peer-generated content instantly and easily. Added to this is the fact that today’s consumers are distrustful of traditional forms of marketing, and are getting increasingly sceptical of big campaigns. 

It’s reported that a massive 84% of consumers don’t trust advertisements anymore. This distrust has profoundly affected the way consumers evaluate and buy from brands. Instead of just taking your business’s word for it, they turn to online reviews, written by their peers. And it’s the social proof that reviews provide that makes this form of marketing so incredibly interesting and powerful.

Social proof indicates a business is trustworthy

If someone vouches for a company, potential shoppers take this endorsement as fact, but why? Online reviews are written by people just like them, looking for the same quality of product or service, which means the reviews are independent. 

This causes potential shoppers to automatically view a business as transparent and trustworthy because they’ve been validated by fellow shoppers.

Think about it, this means trust is more important than price! Thanks to the phenomena that is social proof, consumers automatically trust brands that have been endorsed by their online peers.

Online reviews are the most effective way to leverage social proof

When you consider the fact that 92% of consumers read online reviews, and 84% of shoppers trust reviews as much as they do recommendations from friends and family, it’s a no brainer. Making use of online reviews as a form of marketing is crucial. 

In particular, online reviews that are hosted on third party websites. Using an independent platform adds instant credibility to your business. Because you can’t edit or delete reviews, potential consumers trust this feedback as legitimate, honest and transparent.

Build up a bank of online reviews to gain consumer trust

Potential shoppers want to see a history of your interactions with consumers. The more reviews you have, the more potent the social proof. Therefore, it’s critical that you continuously generate, post and reply to online reviews. 

A willingness to interact with your online reviews further benefits you, by demonstrating you’re invested in your consumers. This results in the social proof provided by your online reviews being stronger, resulting in increased trust in your brand, and ultimately, sales!

Reviews on Hellopeter have helped over one million consumers make better choices. Had an experience you’d like to tell us about? Leave us a review here.