There are several companies in the world in the many niches available. Despite the number of niches available, the ratio of the number of companies in the world to the number of niches will not be less than 20 million:1. The advent of the Internet has also made it possible for a company in China to sell directly to people in the USA and vice versa. Hence, several companies are competing with each other regularly.
The advent of reviews platform such as Usreviews has further increased the competitive environment for business owners. There are many ways reviews are influencing competition among businesses. Some of such ways are discussed subsequently.
Knowing how customers rate them
Businesses can easily know how customers rate them through the reviews the customers drop for them. Hence, from their overall average ratings, they get to know if customers rate them highly or not. This will help them to know if they should keep up their current way of attending to customers or if they should strive to improve significantly. Companies having an overall average rating of 4.5 stars to 5 stars out of 5 would not be bothered much as they know that rating will not turn back a prospective customer. However, customers with ratings lower than 4 stars out of 5 will be very much bothered about not having a rating lower than they already have as well as how to improve the ratings.
Knowing how customers rate their competitors
Reviews also affect the competition among businesses by helping businesses know how customers rate their competitors. They get to know if customers rate their competitors higher or lower. Hence, they will continue to try to get a higher rating than their competitor whenever they notice that their competitors are rated higher.
Knowing what customers love about them
By reading reviews, companies will get to know what their customers love about them. They will know where customers rate them highly and will strive to maintain the tempo in those areas so that the high ratings will continue. By knowing what customers love about them, the company will know what part of their operations they do not need to change.
Knowing what customers hate about them
Reading reviews also help businesses to know what their customers do not like about them. Whenever they see more than one customer complaining about a part of their business, they would see the need to change their operations in those areas. They would want to solve the complaint so that they can stop the damages coming up due to the poor nature of those areas of their businesses. When they successfully solve the problem, the complaints will stop, their ratings will improve and they will stop losing customers due to the negative effects of those complaints.
Knowing what customers love about their competitors
Another way review affects competition among customers is that they get to know what customers love about their competitors. Hence, they will also try to add those aspects to their own business where possible. That way, they can attract some of the customers of their competitors by having all or the most important things they love about their customers.
Knowing what customers hate about their competitors
Reading reviews will also help businesses to see what customers hate about their competitors. They will subsequently avoid having such attributes in their business as well. They can also capitalize on those attributes customers hate about their competitors during marketing. They can design their marketing campaign such that it is reflected that customers will not have to endure such attributes when they patronize them.