Collective Credibility
Definition: The impression the consumer has of a brand based on peer perception and public reviews
Before a new customer does business with you, there’s a strong chance they’ve already searched for you on Yelp or Facebook. According to Nielson, 82% of consumers that already have a purchase in mind will go to a review site before moving forward and spending their hard-earned money. Facebook has been proven to help consumers connect with brands based on the perception and interaction of their peers with that brand.
The influence of collective credibility can be extremely helpful, but also hurtful for brands. Another study by Cornell University documents that 92% of people will use a local business that has at least a 4-star rating, but what if a company doesn’t know they are being rated on a review site? Not knowing can be detrimental for their reputation: they can’t publicly address bad reviews, they are unable to improve on their flaws, and the negative word-of-mouth can deter new business.
Brands must always be sure to search review sites and social media pages to see what others are saying about them so they can keep their collective credibility in tact!
