How Does Online App Reviews Affect Business Revenue?

Avantika Shergil By Avantika Shergil  |  May 16, 2023  |  App Marketing Mobile Apps
How Do Online App Reviews Impact Your Business Revenue

Online reviews are a powerful tool for customers and businesses alike. Users or customers use them to search for the best products and services. In addition, companies or businesses also use them to enhance their visibility, brand image, and revenue. The same goes with mobile app reviews wherein positive and high-star ratings of applications on the app stores shall draw people’s attention and indirectly build a bond of trust with every visitor.

According to various studies, online reviews have a significant impact on business revenue. For example, a BrightLocal survey found that almost 90% of consumers read reviews for local businesses. Another study by Harvard Business School found that a one-star increase in Yelp rating can lead to a 5-9% increase in revenue. Conversely, negative reviews can deter potential customers and lower sales.

Even further, a study by ReviewTrackers found that 94% of consumers avoided a business because of a bad review. In other words, online reviews are not just a feedback source, but also a driving force for overall business performance. So, your job does not end at finding and hiring a top mobile app development company to build an app, but also beyond that where you need to ask your tech partner to carry out a good plan for brand reputation management.

Online App Reviews Do Matter

Online App Reviews Do Matter

Online mobile app ratings and reviews are important because they show how popular and trustworthy your app is. They also help potential users decide whether to download your app or not.

App ratings and reviews can affect your mobile app conversion rates and user retention. Therefore, you should encourage your happy users to rate and review your app positively and respond to negative feedback promptly and respectfully.

The reviews are primarily reflected on the Google Play Store and Apple’s App Store where the number of reviews along with start ratings gives an impression of the app’s usefulness and performance. The better the reviews, the more the app attracts users to download it on the app stores. Hence, your app’s success can be directly measured through the number of downloads, positive reviews, and so on.

Here are the factors to consider –

Why Online app reviews is Important

Reviews are a powerful way to showcase your app’s popularity and trustworthiness. They reflect the opinions and experiences of your users, which can influence the decisions of potential customers. Reviews are a kind of valuable feedback that gives insight into how to improve your app and meet the needs of your audience.

Reviews Influence Potential Customers

Online app reviews are a kind of user-generated content that can influence the decision-making mindset of potential clients. Such feedback makes a crucial source of information for visitors or users who believe in making informed decisions. User feedback and ratings of mobile apps serve as insights into the benefits, drawbacks, quality, and features of a product or service along with customer gratification and faithfulness.

In addition, online app reviews are often considered a crucial factor to build the trust and credibility of a brand or seller and affect the perceived value and risk of purchase through various monetization models. Hence it can be said that app feedback via reviews, ratings, or testimonials has a significant impact on the company’s revenues.

Positive Reviews Establish Trusts

Positive customer feedback and reviews increase the trustworthiness, credibility, and attractiveness of a mobile application, leading to more downloads and purchases because they show that other customers have been satisfied with their purchase and recommend it to others.

Optimistic reviews of apps online are also a reflection of social proof which, in turn, reduces uncertainty for potential buyers. They can influence their decision-making process and increase their confidence in choosing a product or service. On the other hand, negative reviews can damage the reputation, quality, and value of an app, leading to fewer downloads and purchases.

Online App Reviews Improve Products and Services

Online app reviews are a valuable source of feedback for mobile app developers and service providers as well. They help them identify the strengths and weaknesses of their products and services, and make improvements based on user needs and preferences. By taking the suggestion of the customers positively and working on it you show that you care for their opinions and trying to improve their app experience however possible. This will help you to increase customer satisfaction and loyalty which ultimately increases your brand value and the profit of your business.

Reviews also Affect your App’s Visibility

Online app reviews are an important factor for App Store Optimization (ASO) process, as they can influence the ranking and visibility of an app in the different store to download application such as Apples’ app store and Google’ play store. According to experts, a mobile app’s average rating regulates where the app will be placed and rank on SERPs for keywords. Few or low ratings shall bring down the search rankings and induce negative visibility. This is because the app stores are designated to provide more visibility in search for apps with positive and more ratings.

On the contrary, a good number of user ratings surely boosts an app’s visibility which, in turn, results in more downloads. This can affect the number of organic and paid users, as more visibility means more exposure and more chances to acquire new users or retain existing ones.

How to Repair Your Online Reputation?

If you are an app marketer or owner, you know how important it is to have a positive brand image and reputation. However, sometimes things can go wrong and you may face negative feedback from your users or potential customers. Bad ratings and reviews of mobile app can damage your brand image and affect your app’s performance and profitability.

So, how can you repair your brand image after receiving bad reviews and ratings? Experienced digital marketing agencies often have a solution to this, so hiring professionals would be a good idea to face the bad reviews.

Meanwhile, Here are some tips that can help you:

How to Deal with Negative App Reviews and Feedback?

Acknowledge the Issue; Apologize

The first step is to admit that there is a problem and show that you care about your users’ opinions and experiences. Respond to negative reviews in a timely, polite, and empathetic manner. Apologize for any inconvenience or dissatisfaction caused by your app and offer a solution or compensation if possible.

Fix the Problem; Update your App

The next step is to identify the root cause of the problem and fix it as soon as possible. Whether it is a bug, a glitch, a security breach, or a missing feature, you need to address it and update your app accordingly. Make sure to inform your users about the update and what improvements it brings.

Monitor your Brand Image and Reputation

You need to keep track of what people are saying about your mobile app online and offline. Use tools like Google Alerts, social media listening, or online reputation management services to monitor your brand image and reputation. Analyze the feedback and identify the strengths and weaknesses of your app.

Capitalize on Customers’ Reviews

You can leverage your existing loyal customers and positive reviews to boost your brand image and reputation. Encourage your satisfied users to leave positive reviews and ratings on the app store and social media platforms. You can also use branded user-generated content, such as testimonials, screenshots, or videos, to showcase your app’s benefits and features.

Have a Damage Control Plan Ready

You never know when a crisis may strike again, so you need to be prepared for any possible scenario. Have experienced ASO agencies by your side that always have a damage control plan in place. They can surely outline how your company should respond to negative feedback, communicate with users, fix issues, and restore your brand image.

Ready to Lead the Market?

Online app reviews are vital for your business’s success. They help you improve your mobile app quality, increase your brand visibility, and boost your conversions. By encouraging and responding to app reviews, you can build trust and loyalty with your customers and gain a competitive edge in the market. Enterprises know the importance of mobile apps for businesses in recent and upcoming times, but they should also learn that app reviews are not just feedback, they are opportunities to grow their business.

By following the tips mentioned in this guide, you can increase your brand value with positive review and repair your damaged brand image due to bad app reviews and ratings, and regain your users’ trust and loyalty.

Avantika Shergil Avantika Shergil   |  May 16, 2023

An enthusiastic Operations Manager at, coordinating and managing the technical and functional areas. She is an adventure lover, passionate traveler, an admirer of nature, who believes that a cup of coffee is the prime source to feel rejuvenated. Researching and writing about technology keeps her boosted and enhances her professional journeying.


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