Ever wondered why most people aspire to buy an iPhone, or why sneakerheads rave about their new Nike shoes? It’s not that there aren’t other phone makers or shoe manufacturers — there’s a reason these brands are preferred over others: a good reputation.

These companies have, time and again, established themselves as superior brands through compelling products and actions. So what is reputation, and how can you build a good one for your brand? Keep reading to find out.

What is reputation?

In the simplest terms, reputation is how people perceive your business. That perception can be based on their own experiences with you, what’s written about you, or what they’ve heard. Even people who have never directly interacted with your business can hold a strong perception of it.

Why is reputation important?

Your brand’s reputation is almost like an invisible force that can make or break your business. Build a good one and you can be almost certain of success; build a bad one and you’ll watch your business slowly decline. In fact, one in three UK-based businesses believes that negative content written about them is causing real damage. That’s why building and maintaining a good reputation is so important.

Factors that affect your brand’s reputation

1. Customer reviews. Probably the single most important factor. Around 95% of customers read online reviews before making a purchase (Medill Spiegel Research Center), and roughly half will question a business's reliability when they see a negative one.
2. Social media presence. Your posts, your interactions with customers, your responses to negative reviews and your take on major events are all observed — and, done right, build a solid reputation.
3. Press coverage. What the media says about your company or product has an impact. Most people still rely on major media houses for information, so coverage can affect your reputation for good or bad.
4. Search engine rankings. Search engines remain one of the most trusted sources for product research (Edelman Trust Barometer), so if your website ranks higher, more people are likely to trust you.

How to build a good reputation

The same levers that shape your reputation are the ones you can pull to improve it:

• Earn and manage reviews. Encourage happy customers to leave reviews, and respond thoughtfully to the critical ones — reviews sway the vast majority of buying decisions.
• Stay active and responsive on social media. Show up consistently, engage with your customers, and handle criticism with grace.
• Earn positive press. Give the media something worth writing about, and nurture relationships that lead to fair coverage.
• Improve your search ranking. Invest in your website and SEO so that when people research you, they find a credible, well-ranked business.

Conclusion

These are some simple steps you can take to build and maintain a good reputation. Keep in mind, though, that no matter how much you try, you can’t please everyone — there may be haters. Focus on improving your products, and everything else will fall into place.