Why an All 5 Star Rating is Bad for Your Business

Inspiration for this blog post came after reading a post on FB that was a legitimate concern. The poster was cleaning a home and part of her task was to clean some dishes from the refrigerator containing food that was past its prime, if you know what I mean. The homeowner insisted on providing input on what food was good and what food was bad, when it should have all been tossed. The residential cleaner did the best she could with the time she had despite delays coming from the client's direction, and she completed the job.

However, the client left a review of 3 stars out of 5 saying that she cleaned well, but that she was slow. If the story holds true, then it means the 3 stars was an unfair rating despite the "cleans well" compliment. That poster was upset by those 3 stars. 

I recall two different studies I heard about on two different marketing podcasts that made the argument that all 5-star reviews are bad for your business. It's bad because reviews are bought and negative reviews make your business seem more authentic. One podcast said that a 4.1 rating is optimal. The other said 4.2. I responded back to that cleaner's post mentioning this and offered advice to leave as is, especially since the reviewer said that she cleaned well. 

But for the life of me I cannot recall the source for these two studies, and I can probably guess on the podcasts but it'd take hours to review it all. So, I'm using this blog post to dive in deep with some studies as a fresh perspective, to share that optimal rating based on my research with sourcing, and to share WHY it's bad to have all 5 Star reviews. 

Reviews Can Be Purchased

Over the years I've purchased 150+ gigs on Fiverr. Fiverr is a great way to get one-time jobs done like a website, brochure, sales copy, etc. I've used it for blog posts, T-shirt designs, video work, book covers, podcast art, keyword analysis, and much more. When I first started with them over a decade ago they used to have a lot of sellers on there who sold fake reviews. For a price you could pay someone to leave dozens, if not hundreds, of reviews on Google, Yelp, Facebook and others. These platforms over time have clamped down on this practice, along with gig sites like Fiverr. Kudos to them. But there are still companies out there that offer fake reviews. Below is a screenshot from my first search result from Google in looking to see if you can still buy fake reviews.

It's still a problem. It makes the process unauthentic. I recall having a cleaning client that offered travel agency services. As part of my sales process I look at my prospects' reviews. I'm looking to see if there are any complaints about cleaning which I can use as leverage in my sales process. This travel agency had over 30,000 reviews. Now, we're in a major metro area of Washington, DC and those numbers support that, but in our town there are only 40,000 inhabitants. Seeing how Google pulls in results that are immediately local, it seemed highly improbable that those reviews were legit.

Not only that, but nearly all of them were 5-star reviews. Of the hundreds of agencies in the area, there's no way this single one could pull in that may reviews. They purchased reviews. Anyone with any brain cells would know they purchased reviews. BTW, I checked the agency just now on Google. Years had passed and all of their prior reviews were removed. They sit at 14 reviews at a rating of 3.0 on Google. They're at 2.5 on Yelp. So much for soliciting or buying reviews. 

It's Impossible to Discern Good From Great

The Harvard Business Review in 2019 did a study on what makes a good review and what makes a great review. They cite the conundrum that people typically only leave a review if the experience or product was either really great or really bad. If average, they're not likely to leave a review and this creates a rating system that's not truly representative of the product or service. 

Shoppers Look for (and WANT to see) Negative Reviews

PowerReviews commissioned a study with Northwestern University found that 85% of shoppers actively search for negative reviews, and upon not seeing them, that shopper won't trust the brand. Among GenZ-ers, that number is much higher at 91%. In other words, if you don't have negative reviews, you could be fake. 

A Large Majority of your Prospective Clients Know Some Reviews are Fake

Don't feed into what your prospects already know: Many reviews are fake. According to Backlinko, 75% of consumers already know that some reviews are fake and they are truly concerned about it. They're already scrutinizing your overall rating and the comments behind these reviews. They're looking for authenticity and if they see a perfectly scored business they could end up looking elsewhere. 

Negative Reviews Can Help Your Cleaning Business

Negative reviews give you an opportunity to do better. I see in these FB groups all the time where the poster claim their service is perfect and are stymied as to why they received a negative review. Well, there are two sides to every story and I bet if we asked the other party we'd get a different response. Why not lean into this? According to Zendesk, if you improve your client experience, that client will have a 75% chance of spending more money with your company. It shows that you're responsive and trustworthy. 

Friends and Family Talk

Trustpilot cited a study with Nielsen's Harris Poll that said 82% of consumers seek out advice from friends and family before making a purchase. So let's say there is a negative review. This gives you a golden opportunity to apologize and make things right in some way or another. This stops or slows your past clients from spreading negative about your business. If you handled the situation in a positive way, they'll be your cheerleader instead. 

So, What is an Optimal Rating? (It depends on your Goals)

Perfectionism

According to a Northwestern University study, the optimal range for "perfect score" is actually 4.2 to 4.5; it's not a perfect 5. 

Profits 

Contrary to the above, a now-defunct Womply was cited within ReviewTrackers saying that companies who had a 4.0 to 4.5 rating earned 28% more in annual revenue. 

Borrowed from the British Sunday Times, It appears that British economist Charles Goodhart was right. "When a measure becomes the target, it ceases to become a good measure." Five stars has become a measure to that extent that it's become meaningless.