Opinion has never been so powerful until the Internet was invented. Not to say that opinion was not important or powerful in pre-Internet era. The point is opinion is not readily available then as compared to now.

One negative product review or blog post can destroy or tarnish the reputation of even the most stable companies. You can only imagine what it will be like for small businesses that are just starting out in creating relationship with its audience. Business in this era involves relying on the Internet for exposure and sales.

This is the main reason why reputation management is highly important especially for small businesses. Like in everyday life, if you want to establish good relationship with your colleagues, you have to start with a clear name and a good reputation. People with bad record tend to be ostracized and denied in a certain community.

Reputation has a lot to do with our interactions with other people. It is both a cause and effect of an individual’s activities. As unfair as it is, reputation does play a big role especially in business wherein people need trust to establish a good partnership.

Reputation management is important in the event that there are negative comments, posts, or reviews made online. Once this happens, make sure you stay calm and do not panic. You cannot please everyone. Negative reviews do happen. There are three steps to consider so that a small business can start getting more positive reviews.

1.)    Look for the reason why there are negative comments or reviews about the business or the company.

2.)    Respond to this negative comment as consistently, transparently, and sincerely as possible.

3.)    Encourage customers who are satisfied with your business or company to post reviews about the company as well. This way there’s a balance between good and bad reviews. This leaves incoming customers to decide for themselves.

Reputation management refers to the process of tracking, reporting, and reacting on a specific entity’s behavior. It could be an employee, a celebrity, or any public figure whose reputation needs to be checked. It may also involve a business, materials, locations, and even animals.

The fact that reputation management spans from objects to personalities is proof enough that reputation is indeed important. The rise of several online reputation management firms supports this as well. The advent of computing has paved the way for reputation to become a variable and thus, measurable.

Today, reputation management systems employ predefined criteria to process complex data that results to a report on an entity’s reputation. This system is used in different operations to automate and facilitate the process of measuring trustworthiness. This process is known to be central to different kinds of human interaction such as international diplomacy, stock market, and interpersonal relationships. It is also central in public relations, sports, and marketing.

Today, different organizations connect to their stock holders through a reputation management software services. This serves as a communication through different companies and business tycoons. It is like a weather report of the international market.

In the real world, one of the best examples in reputation management is found in a small town where the population is small. Interactions between the different members of the community are frequent. They also communicate face-to-face.

In small towns, reputation is not acquired by a person alone. In most cases, a child is born with it. It is passed on from one generation to another. In some cases, this even leads to stigma and even legends about a family. In other words, reputation in small towns is acquired through action and inheritance.

It is more complicated in the big city as well as the online community. It is more complex however, the logic is the same. Reputation is both created and inherited. No wonder why businesses have to watch over their reputation especially now that information can be passed on through the Internet in just seconds.

Captain Shakespeare in Neil Gaiman’s Stardust said reputation takes a lifetime to build and seconds to destroy. Good or bad, everyone has a reputation to keep. So what does that have to do with online business?

In today’s business environment, reputation is very important. You have probably heard of libel cases filed against people for badmouthing a corporation or an individual. This is how important reputation is. People can go to jail because of it.

The advancements in today’s methods of communication have made reputation all the more important and vulnerable at the same time. The Internet has the power to make or break even the most respected corporations. Imagine how bad publicity could affect business transactions and relations.

Whether we like it or not, people usually base their purchase on reputation. This is why designer products are still in demand despite the financial crisis. Big time business leaders from all over the world can confirm the importance of public relations to the success of a business.

As mentioned earlier, the Internet has the power to create or destroy a company. With that in mind, online reputation should be managed properly. The advent of blogs and social networks make it easier for people to pass information about a product or a service.

This means maintaining a one hundred percent clean online reputation is near to impossible. What you can do, however, is manage it. Most big time companies have public relations crisis management to handle issues concerning publicity. How about small companies? Is there a way to manage your online reputation without hiring an entire department for it?

One of the most effective ways in maintaining a good online reputation is by using a reputation index. This is an assessment from customers, current and potential employees, investors, shareholders, general public, and the media. These are your stakeholders and their opinions will vary.

Despite these varied opinions, you can draw from it your strengths and your weaknesses. Learn from it and adjust what you can. You have to learn from these stakeholders for you to be successful in online business, or in any business for that matter.

Reputation management is vital in today’s business environment. Just think of how fast information is processed today. The Internet can make or break even the biggest corporations. That is why creating and keeping a healthy reputation online is important to stay ahead of the competition. Business leaders from all over the world can attest to the importance of online pr. They all agree to the value of corporate reputation to the success of a particular corporation.

There is no doubt that a good reputation precedes confidence. It creates security and a feeling that a business is run by reasonable and responsible leaders. Any business with this kind of reputation is bound to succeed.

A business or corporation’s reputation is assessed by the customers, potential employees, current employees, general public, investors, shareholders, and the media. The opinions and perceptions of these stakeholders oftentimes vary. This is why an all positive review is not a very easy task to accomplish.

Some companies or corporations even have public relations crisis management to handle image or reputation issues. One way of determining reputation issues is by measuring your Reputation Index. This is done by gathering information from the different stakeholders groups and identifying which part fell below average. From here, a corporation decides where priorities should be.

For example, a company that has above average reviews from journalists and investors has a good public relations department. On the other hand, if a company’s Reputation Index is below average for potential customers, perception improvement should be the company’s priority.

This means any exercises on identity management should recognize what drives a reputation and which stakeholder group has real impact. The result of these exercises should be analyzed to identify weaknesses and strengths within the corporation. From here, future actions should be planned out.

Regular reputation measurements should be practiced in a corporation. This is important especially in a very competitive environment. In other words, corporations with high corporate financial value have good reputation. You should start building yours today and measure your efforts using a reputation index.

Information can be disseminated through the Internet. Something that is uploaded in Youtube can be viewed by people from different continents at the same time. If gossip travels fast before the Internet, you can say that it now travels in the speed of light through online communication.

Today there are online communities that provide feedback systems, write-ups, karma, and wiki. These are some of the new terms invented for online reputation. Among the biggest online communities include eBay, Everything2, Slashdot, Meatball Wiki, and Wikipedia. These communities provide information, reviews, and comments among others.

EBay, for example, is an online marketplace. Participants in this community join in a forum to exchange comments about goods. This online community also has a feedback system where users post their opinions about a transaction with a business or a person.

This feedback system can make or break a business. One way or another, it is an advantage for the consumers since businesses have to work hard to retain a positive reputation. Most users are sensitive to negative feedback that they stay away from products that has it.

Of course there are abuses in this system. It is completely natural for an unregulated and free marketplace. That is why it is also important for both consumers and businesses to keep a critical mind.

It is due to these negative feedbacks that Search Engine Reputation Management was created. SERM tactics are used both by individuals and companies who wish to protect themselves from damaging contents via search engine queries. Some companies use this tactic to minimize damage caused by blogs created by consumers and in some cases, competitors.

As much as search engine optimization is important to create traffic, search engine reputation management is equally important. You do not want your SEO efforts to all go to waste just because blogs with negative feedbacks appeared on top of the search results.

So you have an online business and you need to spread the word. Most website owners are more concerned on the technical aspects of the job. Sometimes they forget the crucial yet underrated factor for a successful online business. This factor is online reputation.

Much like promotion, reputation is a way of putting your best foot forward. The same logic applies to selling products. Shoes from reputable brands are usually sold faster. This is because most customers consider the brand and its reputation.

Of course there are people who are not conscious about brands. This, however, does not remove the fact that customers in general would rather buy a product that is known for its quality. People these days are wiser in terms of spending their money. Along with that awareness is the sensitivity to reputation.

Online reputation takes this concept to another level. Google tends to put web sites with good reputation on top of the list. Sites that do black hat promotion or those that do not follow proper guidelines in search engine optimization are either penalized or banned. There are even instances wherein IP addresses are blocked from a specific community.

Internet users are more sensitive to reputation since the technology and the laws that protect users are limited. Online anonymity is another issue in its own. It is very difficult to trust people online. Imagine how much more difficult it gets when money is involved.

Online businesses have to maintain a clean online reputation because customers build their trust in it. Buyers look for a true accountable partner. If you have this reputation, chances are they will flock in your site and buy your products.

One way of becoming an accountable partner is by having a customer service department. Small businesses that do not have enough resources for an entire department can provide a venue where clients can air their concerns. Technology today can provide convenient solutions for both business owners and their clients.

5 Golden Rules for Reputation Management

Reputation management is like putting off a fire. It is repairing or maintaining what is left of an emergency. You see, reputation takes a lifetime to construct and seconds to demolish. So you have to save what needs to be saved before it’s too late.
The first rule in reputation management is to check your ego. As they say people or, in this case, businesses who are so wrapped up in itself make a pretty small package. What you need is to replace ego with proper internal and external communication. Once you have built this up, the rest will follow.
The next rule is for long term reputation. A positive reputation that lasts a lifetime is built on trust and honesty. This means you have to be transparent, accountable, consistent, and humble.
The third rule is to always consider the effects of your actions before doing them. Sometimes we cannot avoid mistakes especially in big corporations. What you can do is to be considerate. And if you did commit mistakes, apologize for it. Then perform the necessary actions to make up for your wrong actions.
The fourth rule is to know and understand the difference between image and reputation. Image is what a Hollywood actor projects in front of the camera. Reputation is built on a deeper foundation. And the best foundation is honesty and truth. This is the only way you can get your clients to trust you.
Finally, an excellent reputation is one that makes you a true accountable partner. When you have an accountability partner, you share every highs and lows. Choosing the best accountability partner is as important in business as it is in real life.
When your reputation is in crisis, seek for counsel immediately. If reputation management is like putting off a fire, then you should put it off as soon as you can. Before everything gets burned and you’re left with nothing but black smoke and cinder.