90% of consumers won’t shop with online brands that have a bad reputation

Anne Freier

In Mobile Advertising. September 10, 2019

Brand reputation plays an increasingly important role for consumers when making a purchase. According to research by Trustpilot, the majority of consumers (90%) choose not to make a purchase from a company if it has a bad reputation.

The company surveyed 1,700 online shoppers on their preferences for making purchase online. It found that 93% of consumers read reviews before buying online – especially if they shop with a company they are not familiar with.

Even a single review can increase trust in a brand. Just 9.3% of consumers would shop with a brand with no reviews compared to 60% who would buy from a brand with a single review.

Among the main factors that decrease trust, respondents rated the deletion of negative customer reviews (95%), and a company that had negative reviews (88.8%).

The main factors that respondents said would increase their trust in a brand include a good online reputation (95.6%), positive customer reviews (93.7%) and quick customer service (92.9%).

Over half (62%) of shoppers also research the company they are going to purchase from and 48% recommend brands to others when a brand has taken a stand over social issues.

Meanwhile, 83% of Gen Z shoppers said they told their peers to stop purchasing from a certain brand over a bad reputation.

For brands, it’s risky to take a social stand, but that risk could pay off if they get it right.

There are several ways in which brands can build a better reputation. Trustpilot recommends that they aim for transparency and even ask customers to talk about their products publicly. At the same time, they should monitor what customers are saying to adjust public strategies accordingly. Any criticism should be addressed.

“Today’s brands need to actively work on building and maintaining trust if they want to attract new customers, keep relationships with existing customers, and drive them to make purchases,” the report concludes.