--- description: Using brand reputation management can prove useful for maintaining a positive image online but do these practices get results? Software Advice UK investigates. image: https://gdm-localsites-assets-gfprod.imgix.net/images/software_advice/og_logo-55146305bbe7b450bea05c18e9be9c9a.png title: Study: brand reputation management online in UK firms --- # New research reinforces the importance of brand reputation management Canonical: https://www.softwareadvice.co.uk/blog/4410/brand-reputation-management-importance-firms Published on 09/01/2024 | Written by David Jani. ![New research reinforces the importance of brand reputation management](https://images.ctfassets.net/63bmaubptoky/3f5Os9046zDB20flA4J9iQ/95f4f4f021821fea5dd8e8ba4d610cce/AI-in-Brand-Management-1-UK-Software-Advice-HEADER.png) > The web can be a volatile place for brands as online reviews and customer feedback are open for all to see. So we asked 200 brand professionals how they look after their company’s reputation online. ----- ## Article Content The web can be a volatile place for brands as online reviews and customer feedback are open for all to see. So we asked 200 brand professionals how they look after their company’s reputation online.In this articleConsumer behaviour reinforces the importance of online brand reputation managementMeasuring brand reputation is the first step to good managementSoftware and reputation management go hand in handBrand crises happen, but it’s how you respond that countsThe benefits of brand and reputation risk management in focusIn today’s social-media-driven world, reputations can be made or ruined in minutes. The internet has the power to connect billions of consumers and their combined voice can have a profound influence on brand image and a company’s success or failure. To understand how firms approach the challenges that come with modern brand management, we surveyed 201 people in the UK who are involved in online business reputation management within their company. In part 1, we look at the state of brand reputation management in 2023, how to handle a brand crisis, and some of the brand management software that professionals use. In part 2, we will explore how advances in AI are transforming the industry and what companies are doing in response.Scroll down to the bottom of this article for the full methodology. Consumer behaviour reinforces the importance of online brand reputation management A positive brand reputation and its management clearly matter to the professionals responding to our survey. 90% said it was moderately or very important to their company, but this isn’t altogether surprising, given that respondents carry responsibility for how their brand comes across online.The reasons why they think this are perhaps more illustrating. Nearly two-thirds (63%) said reputation management is important because people online spend so much time talking about their experiences with brands. Respondents also highlighted a growing level of scepticism among consumers and increasing consumer demands towards the brands they use.Reputation management isn’t just an exercise in window dressing. Managing a brand’s image has a direct impact on the bottom line, according to those in our survey, and is aligned with a business’s wider goals. We asked respondents to select the top five objectives their company is seeking to achieve from online reputation management, as well as the top five benefits they’ve seen so far. Commercial considerations rank highly in both regards and it seems that expectations broadly align with reality in the experience of the professionals we surveyed.Companies appear to recognise the importance of reputation management and are investing significant sums in it. According to our research, brands commonly dedicate between 11% and 30% of their PR and marketing budget towards online brand reputation management. Of the professionals we surveyed, 57% estimated that their company’s current spend fell within this range, while another 21% said they allocate more still.Tips for SMEs If your company hasn’t already begun formally managing its online reputation, now could be a good time to get started. Brands that do this report significant business benefits, and the tools and techniques we explore below can help companies to do so efficiently and effectively.If you’re not sure how you’ll fund your reputation management activities, budgeting software could help. These tools provide a high-level overview of current profitability and allow you to predict future revenue. Many products also integrate with existing accounting and business intelligence tools.Measuring brand reputation is the first step to good managementOf course, managing a brand’s reputation is useless without some way of measuring it. Companies need a before/after picture to understand whether their efforts are having any effect at all.Today’s digital marketing tools offer many ways for marketers to measure reputation, reach, and consumer sentiment passively (i.e. without consumers having to voice their opinions to the brand). Brands do use these, but the most common method for measuring reputation and brand perception is still customer satisfaction surveys, used by 72% in our survey. Many also use social listening and media monitoring tools or check online reviews.When we explored the specific channels companies use for brand reputation monitoring, most online channels we asked about were important to respondents. Just under half said their company monitors its brand reputation on blogs/vlogs (43%), forums (44%), and marketplaces like Amazon or Etsy (44%). More kept their eye on review platforms (60%) and their company website (66%), but social media was the most monitored online channel (72%).Tips for SMEs You can’t manage what you can’t measure, and brand reputation is no different. Any organisation that wants to move the needle on how consumers perceive it needs to know what its baseline is and how its efforts are working. Experimenting with some of the monitoring tools in this article —many of them free of charge— will help you lay the foundations of your reputation management programme and figure out where to focus efforts.Software and reputation management go hand in handAlthough many of the brand and reputation management professionals in our survey said that they manually monitor some channels, almost all (97%) said their company uses software for online brand reputation management. Different tools come into play here ranging from the general (brand management software) to the specific (survey software).Overall, respondents were very happy with the software they used for online reputation management. 84% said they were satisfied, and users reported a range of benefits. Improved data analytics and insights were considered the biggest plus, which stands to reason since getting an overview of anything across the vast online world is a challenge for any company. But brands also valued the impact on end users. Improving customer satisfaction, for example, was a positive outcome for 54%.Reputation management tools and software in focusReputation management software helps organisations keep on top of how their brand is being talked about online, including on blogs, social networks, and media. Marketing professionals can use it to gauge consumer reaction to campaigns, which helps them refine ongoing activities and develop future ones. This was the most commonly used type of software for brand management in our survey, used by 52% of respondents.Brand management software was the second most popular, used by 49%. These tools include features for creating, compiling, updating and storing product information. Users can also build ads, distribute product material, and manage communications.There are certain risks involved when brands operate in public, and risk management software can help companies predict and mitigate some of these. It allows companies to monitor risk across the business, track incidents, understand the best course of action, and improve compliance. 47% of respondents to our survey said they use it. The above tools were the most popular software used to manage online reputation, but they weren’t the only ones used.Tips for SMEsBased on what users say, companies can gain a lot from reputation management software. If you’re considering a deployment, first think about any upskilling you might need, how your tool might interface with your existing systems and data sources, and whether your tool will cover all the functions you need it for.Brand crises happen, but it’s how you respond that countsOnline brand reputation management is an always-on activity, but the profession comes into its own during a crisis. These are occasions when a brand undergoes significant negative publicity for whatever reason. Traditionally, this would be because of critical media coverage, but today a crisis can occur in minutes without warning. All it takes is for one negative social media post to go viral.Such crises are not uncommon. Of our survey respondents, 27% said their brand has experienced one. Of those, bad media coverage was the most common occurrence, but misinformation was worryingly frequent, and the second most common cause of a brand crisis.As we have explored, damage to a brand’s reputation can have a tangible impact on business performance. The professionals who have experienced a brand crisis reported a range of undesirable outcomes for the business. The top five were:Loss in product sales (61%)Damage to our brand reputation (56%)Loss of customers (52%)Loss of business partners (30%)Loss of investors (24%)Tips for SMEsThe reported frequency and causes of brand crises underline the importance of good reputation management. Proper monitoring will allow brands to see if misinformation is being spread about them online. It could also help identify negative consumer sentiment and help brands take action before complaints turn into a full-blown media storm.The benefits of brand and reputation risk management in focusA well-managed brand reputation can result in improved sales, new customers, and a greater competitive edge. While a brand crisis can have the opposite effect, with a tangible hit to the company’s fortunes.Brand reputation is critical to modern businesses, especially those that operate online. Our research has shown good online reputation management can significantly impact financial performance, and companies spend significant amounts on the practice. Reputation professionals have enthusiastically adopted digital tools to help them in their work, and are broadly satisfied with them.Be sure to check back for part 2, where we will explore whether the latest AI technologies are disrupting the market and how brand professionals are responding.Looking for brand management software? Check out our catalogue. ## Disclaimer > Data for Software Advice’s 2023 AI in Digital Brand Reputation Management Survey was collected between 30th October - 10th November 2023. Results comprise responses from 201 UK participants. The criteria to be selected for this study are as follows:UK residentsAged between 18 and 65 years oldFull-time or part-time employed at a company with 2 or more employeesIn an intermediate to company owner level roleWorking in a sector with a focus on online reputation, company image, and/or brandingEmployed in companies with an online brand reputation management strategyModerately or very involved in online brand and reputation management at work ## About the author ### David Jani David is a Content Analyst for the UK, providing key insights into tech, software and business trends for SMEs. Cardiff University graduate. 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