Know Why Online Reviews are Important for Auto Dealerships

Today, a significant number of people are using the Internet to find the best products and services. Over the past few years, the Internet became one of the popular platforms for consumers to shop and for businesses to sell their products. Almost every business including, auto dealerships, have an online presence today.

If you’re an auto dealer, ask yourself, are you successfully leveraging the benefits of the Internet? Do you know what people are doing online when they want to purchase a vehicle or when their vehicle needs repair? How do they know if a dealership is trustworthy and competent? Here’s the answer! They are simply reading online reviews – personal recommendations by fellow buyers or end users. According to a Nielsen global consumer report, ‘Global Trends in Online Shopping 2010’, 45 percent of online respondents consider reviews on cars as most important online influences when making a purchase.

Customers usually publish their reviews on review sites, forums, blogs, or even on the dealer’s website. Consumers aren’t the only ones who benefit from reviews; dealers also benefit from online reviews. The more positive reviews for your dealership, the better customers, or potential customers, feel to approach and do business with your dealership. Through customer reviews, dealers will know what they are doing right and what needs to be improved in their service. Reviews give dealers an idea on how their product or service is actually doing in the market. This shows that online reviews are very important for auto dealerships to stay ahead of their competitors and win prospective buyers.

Makes your dealership trustworthy
Consumers tend to believe what previous customers say about your product or service since the latter have already used them from your dealership. Online reviews mentioning satisfactory experiences of customers are likely to instill confidence among potential customers. Thus, if most of the reviews about your dealership are positive, the chances for your sales to improve from prospective customers will increase because people prefer to deal with dealers they can trust. Online reviews and testimonials in dealer’s website build initial trust among potential customers.

Influences buyers’ purchase decisions
Online reviews by customers are often overlooked by dealers. Today, there are enough studies proving that online reviews influence a buyers’ purchasing decision. According to a latest survey released by Opinion Research Corporation, 84 percent of Americans say that online customer reviews have an influence on their decision to purchase a product or service. Dealerships should take a broader look into how they can use online reviews.

Effectively targets new vehicle buyers
Customers usually have a pre-defined dealer in mind from where they want to buy a new vehicle. In order to target these new vehicle buyers, your dealership needs to persuade the customers to come to your showroom. Online reviews, which include vehicle ratings and reviews, consumer ratings and reviews, dealer ratings and reviews, can be effectively used by automotive dealers to alter these online users’ consideration and get them into your showroom. Online reviews and testimonials by existing customers efficiently targets new vehicle buying segment and directs them to your website.

Auto dealerships should be aware that consumers are viewing online reviews as part of their buying process. Therefore, it is very important for dealerships to manage their reputations online in order to be considered by consumers and to be ever-present in the customers consideration set. If they can do it, dealerships can undoubtedly raise sales-conversion rates and increase loyalty among the customers.

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