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Local Consumer Review Survey 2010, Part 3

Local Consumer Review Survey 2010, Part 3

About Survey Findings

The following findings are the 3rd part in a series of surveys into consumer attitudes & consumption of local business reviews and ratings.

The survey polled 2,012 online consumers in the US (1,138) and UK (874). The poll was conducted between 30th September & 10th October 2010.

The findings for Parts 1 and 2 of the survey can be viewed here –

Online reviews, ratings and opinions left by consumers are playing an ever increasing role in helping other, anonymous consumers asses the quality & trustworthiness of businesses, products and services. In part 1 of the survey we revealed that 70% of consumers trust online reviews as much as personal recommendations, and in Part 2 we learned that Reliability is the no 1 trait that potential customers look for when selecting a local business.

In part 3 of the survey we examine the methods and motivations that local consumers have for personally recommending a business how local businesses owners can motivate their customers to actively promote their business to the friends and colleagues.

Survey Questions


Question 1:

Which of these local business types have you/would you recommend to someone you know if you had a good or bad experience?

Chart: Men vs Women

Recommending business by types

Key Findings:

  • Restaurants (56%), Doctors/Dentists (49%) and Garages/Car Dealerships (38%) are the local business types that customers are likely to recommend to people they know*.
  • All types of local businesses can gain from personal recommendation.

*Note – our hypothesis was that Hotels would be the most recommended business type given the vast quantity of Hotel reviews & ratings found online. The results proved otherwise and we concluded that friends/colleagues are likely to have more frequent chats about their daily lives and interactions – which bring them into daily contact with restaurants, dentists, garages, shops and tradesmen – and have less regular conversations about vacations and hotels/B&Bs they’ve stayed in.


Question 2:

In the last 12 months have you recommended a local business to people you know by any of the following methods?

Chart: Men vs Women

Methods of recommending business by gender

Key Findings:

  • Word of Mouth remains the most popular method for recommending a business – 79% of consumers have done so in the last 12 months
  • Facebook is the 2nd most popular – 27% of consumers have recommended a local business on Facebook
  • 11% have written a review on an online directory, but only 6% of users have recommended via twitter

In the last 12 months have you recommended a local business to people you know by any of the following methods?

Chart: Age

Methods of recommending business by age

Key Findings:

Younger consumers are more likely to recommend a local business via Facebook, online directories and Twitter

  • 32% of 16-34 year old consumers have recommended a local business on Facebook
  • 22% of 16-34 year old consumers have recommended a local business on Online Directories

Question 3:

Which of these factors would make you more likely to recommend a local business to people you know?

Chart: Men vs Women

Factors in recommending business by gender

Key Findings:

Old fashioned values remain the key traits that lead customers to recommending local businesses –

  • Reliability & Professionalism are the traits that lead most consumers to recommend a local business -60%
  • Having a Friendly & Welcoming Service is the 2nd most important trait – 49%
  • Offering good value at the price is also an important trait to get customers recommending a business – 46%

But…

Simply asking your customers to recommend you without good reason is a not good motivating factor –

  • Just 13% of consumers would recommend a business because they were asked to

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Which of these factors would make you more likely to recommend a local business to people you know?

Chart: Age

Factors in recommending business by age

Key Findings:

Older customers are more likely to recommend a local business than young consumers

>>Customers aged 55+ are particularly impressed with Professionalism & Reliability


Question 4:

Would you be more likely to recommend a local business to people you know if they had a good value offer or discount?

Chart: Gender

Recommending good value business by gender

Key Findings:

Having a good special offer is a great motivator in getting customers to recommend a local business.

  • 52% of customers would more likely to recommend a business if it had a good special offer and a further 37% might be more likely to do so.

Would you be more likely to recommend a local business to people you know if they had a good value offer or discount?

Chart: Age

Recommending good value business by age

Key Findings:

Older customers are more deal conscious than younger consumers

  • 61% of 55+ customers would be more likely to recommend a business that has a good offer

Question 5:

Would you be more likely to promote a local business to people you know if you could benefit personally from doing so?

Chart: Gender

Promoting business by gender

Key Findings:

  • 40% of customers would be more likely to recommend a local business if they benefited directly
  • Up to 75% of customers would or might be more likely to recommend a local business if they benefited directly

Would you be more likely to promote a local business to people you know if you could benefit personally from doing so?

Chart: Age

Promoting business by age

Key Findings:

  • Customers aged 35-55 are the most open to recommending a local business if they benefited directly

Summary of Survey Findings:

  • Restaurants, Doctors/Dentists and Garages/Car Dealerships are the local business types that customers are likely to recommend to people they know
  • Word of Mouth is by far the most popular way to recommend a business but Facebook is growing fast
  • 32% of 16-34 year old consumers have recommended a local business on Facebook
  • Reliability, Professionalism & Friendliness are the most important traits that lead to a customer recommending a business
  • 52% of customers would more likely to recommend a business if it had a good special offer.
  • Older customers are more likely to recommend a local business than young consumers
  • 40% of customers would be more likely to recommend a local business if they benefited directly
  • Simply asking your customers to recommend you without good reason does not encourage customers to spread the word

The findings for Parts 1 and 2 of the survey can be viewed here –


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Ross Marchant
About the author
Ross is the former Marketing Manager for BrightLocal. With 9+ years SEO and content experience, Ross spearheaded the marketing and CRM initiatives which focus heavily on creating useful and informative content. Ross coordinated the research program at BrightLocal which delivers unique insights into both the SEO industry and local consumer behaviours.