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Following the announcement of an investigation into online reviews by the Competition and Markets Authority (CMA), a new survey has found eight out of 10 UK retailers (79%) have no way for customers to publicly rate and review their service online – and a third don’t even have a system in place for public reviews of the products they sell.
Meanwhile, a new review app that rewards users for writing genuine and truthful posts with prizes, including free flights, is being launched in Edinburgh at the start of the festivals season.
Scottish company MDP Labs is aiming to disrupt the reviews website and app market with its new Trybal Feedback app, which it claims will avoid the dishonest and malicious posts that have plagued other sites by using an algorithm that ensures users are rewarded for providing balanced feedback.
The UK study, conducted by customer experience specialist Aura Corporation, looked at the websites of 52 of the biggest high street retailers specialising in high-value items – computers, electrical & white goods, furniture and department stores. These are purchases where reviews and ratings can be most valuable to consumers when checking delivery and aftersales service.
It found almost half (40%) of those that do offer a product review/rating system, use an in-house embedded system, which makes it easier for people to leave fake reviews than one that’s independently verified.
Managing director Mike Trotman said: “Online reviews and five-star ratings systems are commonplace when you buy a car or go on holiday, but for other big consumer expenditures it seems there’s a notable lack of opportunity for public commentary. You might not check reviews before buying a tube of toothpaste, but you’ll probably want to before committing hundreds of pounds on a new fridge.
“Considering how online retailers like Amazon and eBay are built around their review systems, UK retailers seem to be behind the curve in their digital presence . In particular, very few allow customers to rate the service experience – either in-store or online – which is just as important as price to many shoppers.
“This also means retailers have no way to analyse the reviews to see where their service needs to improve. They could be losing customers to a poor experience and have no idea what’s happening and why.
“Equally, the lack of independent verification among many retailers could come back to haunt them in light of the CMA investigation . Independent verification is the best way to shut down fake reviews and endorsements and makes the service trustworthy: when the customer feedback is verified, shoppers know that each review is genuine.”
The CMA report, published in June, included details of fake reviews being posted on review sites, negative reviews being withheld and businesses paying for endorsements in blogs and other online articles without this being made clear to consumers.
Further, a BBC investigation published earlier this year found a global trade in fake customer reviews, suggesting at least 20% of comments posted on review websites are bogus. Investigators found evidence of companies paying writers to post positive comments to boost their profile.
The new Trybal Feedback app was piloted in a three-month trial earlier this year, when it was used by 1,500 consumers. Since then partnership deals have been signed with more than 30 companies who have agreed to provide prizes in return for attracting truthful posts by genuine reviewers. Partners include Cairngorm Coffee and Pinto.
Edinburgh-based MDP Labs said its new platform is due to be rolled out this month in Edinburgh, to coincide with the launch of the International and Fringe Festivals. It’s also due to be launched in London and Pretoria, home to company owners, brothers Karel and Daniel de Bruin and Dieter Barnard.
Daniel’s background is in creating financial modelling software for the financial services industry, while Karel and Dieter are computer engineers.
Daniel said: “Trybal Feedback uses a system to avoid dishonest feedback, a problem that plagues other sites, meaning that both businesses and consumers are more likely to benefit from honest and constructive reviews.
“ Consumers can use the app to anonymously rate many different places around them . They can even review a business more than once, for instance where service has been poor one day, but was significantly better the next time they visited.
"Trybal Feedback allows consumers to be rewarded, in the form of prizes, for their honest feedback, whether it’s good or bad. The size of the prize depends on the consumer’s status in the app. For example, entry-level users can win free lattes or croissants, while advanced users can win free flights to Barcelona.”
The app includes a separate function to allow consumers to receive private secure replies from retailers and restaurateurs in response to reviews, ideas and suggestions.
Businesses of all sizes signing up to partner with the app to provide prizes can benefit from a free, three-month trial providing them with live access to anonymised customer data.
Daniel said: “ Consumers don’t only give ratings – they can also make suggestions which can be up-voted by other consumers , showing businesses the steps they should take to improve.
“ Real time alerts can also be created by customers to inform other consumers of any issues , for example ‘there are long queues at a certain branch’. Other features include real time opinion polls of shops and products in specific locations.”
MDP Labs said Trybal Feedback has successfully attracted seed investment of £200,000 to fund initial development. It is now preparing to launch a £2m Series A funding round to support a marketing campaign in the UK and South Africa.
