Does reputation define value?
Facebook is supposedly tracking users’ reputation for internal purposes. Previously, China is reported to implement a “social credit system” to rate its citizens and essentially reward or penalise them on the basis of their reputation. Apart from this, there are billion dollar businesses created on the back of managing other businesses reputations e.g. Yelp, TripAdvisor etc. So does good reputation mean good value and as a result bad reputation means loss in value — for both individuals and businesses?
On Google My Business, if a specific business does not have reviews, it can simply disappear from the search results. Simply filtering results on rating will cause businesses who are rated less or haven’t collected any ratings, to disappear from the results missing out on the local foot traffic (which a lot of local businesses depend on)
.So what does this mean — are we living in a time where our value is directly promotional to our public reputation, whether we like or or not? Or has it always been like this but now it’s simply more brutal than before? I think businesses and individuals reputation (good or bad) has always been important.
Similarly, Google Seller Ratings program allows businesses to push their customer feedback to Google via partners such as eKomi which helps in increasing click through rates and conversions (clearly, good reputation is good for business).
Our reputation determines what opportunities we (as individuals or as businesses) get, and what are the terms of those opportunities. This means that the value we get to create depends directly on the reputation we maintain.
It’s because of this reason, that we believe reputation must be managed proactively. This means internal reputation in an organisation as well as external reputation apart from inter-personal reputation. It is, therefore, important, especially as a business, to track satisfaction and use that to drive public reputation and perception of the business.