Do c-stores need to get serious about customer reviews?
There is a perception that convenience stores that are cheap enough or in the right location do not need to worry much about what customers have to say about them — if they have anything to say about them at all. However, new research finds that reputations matter in the convenience store world and argues that responding to online reviews can be as much a benefit to c-stores as as any retailer.
The gas and convenience store sector generates a surprising number of online reviews, according to research by SoCi, as reported by Convenience Store News. The space came in sixth out of 18 industries for the reviews received, beneath categories like department stores, hotels and restaurants.
The research posits a 4.4 percent increase in conversion per every 0.1-star increase on a Google rating. That would result in a 44 percent increase in conversion for a rating that is one full star higher (conversions defined as calls, clickthroughs or requests for directions).
Every ten new reviews boost conversion by 2.8 percent. The research found that retailers that respond to all reviews on Google experience conversions at a frequency 16.4 percent higher than those that do not. The study anticipated an even higher conversion rate for convenience store operators given that so few currently do it.
The importance of c-store responses tracks with a 2018 survey from Uberall about what customers are looking for from retailer interactions. The survey of 1,000 consumers found that 65 percent believe retailers should respond to every review. (Eighteen percent thought they should only answer negative reviews.)
Review responses might improve conversion rates because of the personal connection it establishes between a retailer and a customer. Responding to reviews can also help retailers address negative feedback, possibly diffusing its influence on other customers.
Research by Georgia Tech in 2021 found that angry, negative reviews can dissuade customers from purchasing a given product, despite the same survey finding that customers find angry reviews less helpful than non-angry ones.