Drucker was a writer, professor and management consultant whose scholarly articles talk about how humans are organized in government and business societies. He coined the term “knowledge worker,” and when it comes to creating success in the world of business, he knew exactly how to make it happen. In 2002, Peter received the honorary Presidential Medal of Freedom in recognition for his exceptional and unique contribution to world peace.

One of my favorite quotes of Peter’s is that “effective leadership is not about making speeches or being liked; leadership is defined by results, not attributes.” If every leader lived by these values, our nation and the world in general could accomplish wonderful things. Think about the leaders you most respect. There are many people who have ideas or can motivate others to vote them into a position of authority to make change. But there are only a few who, with or without the consent or authority from others, make things happen and get results.

In the business world Peter’s views has opened a few eyes. He knows what it takes to create a successful business. Peter said, “The single most important thing to remember about any enterprise is that there are no results inside its four walls. The result of a business is a satisfied customer.”  In other words, the only way to determine whether or not a business has achieved the results it sought is by recognizing whether or not its customers are satisfied. This research can be completed through customer satisfaction surveys like those provided by Shopper Approved, the Leader in Online Social Proof.

If you want to have a successful business, earn satisfied customers. Think about what the customers want to get and give it to them. The “quality in a service or product is not what you put into it. It is what the client or customer gets out of it,” noted Drucker.

Once you know what your customer wants and needs, a process made easier with customer satisfaction surveys, then all you need to do is provide what it is they want and you will be successful. Who knows, maybe next year your company will make such a difference in the world of customer satisfaction that you will earn the Presidential Medal of Freedom just like Peter Drucker did.

So how exactly can you use user-generated content to help you make more money more often?

Testimonials help build your reputation. Anytime people talk positively about your company or your product or service, it increases your brand awareness. Testimonials come from satisfied customers that post “likes” and comments about your products onto social networking sites. You can acquire sales-producing testimonials for your business by using customer satisfaction surveys.

Customer satisfaction surveys allow customers to provide business owners with feedback necessary for the improvement of their businesses. They also allow you to see what the customers appreciate the most. They can tell you which of your employees go beyond the scope of their responsibility to ensure your customers’ complete satisfaction.

Now, if you are a business owner, you’re probably thinking “How do customer testimonials that I get from user-generated content make me more money more often?”

Socrates said something that I really like and that I think applies to customer satisfaction. He said, “The way to gain a good reputation is to endeavor to be what you desire to appear.” By truly having good customer service, people will talk about it. They will talk about your business on Facebook, Squidoo and Hubpages. They will post pictures of them at your company onto Pinterest and other social networking sites, they will text and tweet and call and share. That’s because when we have a great experience, we want those close to us to feel what we enjoyed.

People will trust other people’s reviews of your business much more than they will trust what the actual company says, so use user-generated content to your advantage. Let your customers promote your business and help you make more money, more often.

Knowing this, you probably then should understand the importance of customer ratings and reviews. They are the gateway to exceptional customer service. Customer ratings and reviews allow your customers to rate and review your products and services, giving you the opportunity to improve your company based on the thoughts of the consumer.

So how can you properly do this?

First, give the customers the chance to let you know what they think and feel about your product, your employees and your service. You can ask them verbally, print one out and have them fill it out in the store or mail it to them using a postage paid postcard. Another, now popular way to get ratings and reviews is from a legitimate online ‘social proof’ provider like Shopper Approved that can send questions to your customers digitally.

Next, do something about what your customers say. If most of your customers are complaining that the prices are too high, rethink your manufacturing. The truth is, if one is thinking it, there are at least ten more that are also thinking it, but just not saying it. It’s the quiet customers you should be concerned about. They come, don’t have an enjoyable experience, and then go to your competitors.

React to what your more vocal customers tell you to fix. Then get the word out to the quiet customers as fast as you can that the issue has been resolved. This can be done through signage, word of mouth, newsletters, or online updates.

The key to winning the business game with customer ratings and reviews is to make it right as soon as you learn that there are issues. Nelson Boswell said, “Here is a simple but powerful rule: always give people more than what they expect to get.” If a customer is not happy, make them happy. Compensate them for their troubles and make it right. Go above and beyond what they would normally expect from a business and amaze them. These customers will recruit others to utilize your product or service and you will be successful.

We all know Henry Ford. He was one of the most successful business men in the world. He created a successful business in times of turmoil and distress. He said that “even a mistake may turn out to be the one thing necessary to a worthwhile achievement,” and “failure is simply the opportunity to begin again, this time more intelligently.”

When we make a mistake, often times that is the best way for us to learn and grow so that the same mistake does not happen again. Even when his car company began to go downhill, Henry Ford did not give up. He stepped back and analyzed the situation, determined what was wrong, fixed it and moved on. That is the syllabus outline for Business Recovery 101.

1. Step back. You can always see more when you look from a different angle. Keep your eyes shut and your mind open to new opportunities, and always go with your gut.
2. Figure it out. You have to determine the cause of the downfall, whether it be foreign cars taking over the industry, product malfunctions, high prices or poor service, figure it out. One popular way to do this is with online customer reviews and ratings like Shopper Approved.  Ask the customers how you can improve your product or service. Take advantage of your customers’ honest feedback.
3. Fix the problems or perceived problems! If your customers are telling you what you should fix to make your business better, listen to them. If your mistake is having prices that are perceived to be too high, “begin again… more intelligently,” as Ford would say. Figure out what you need to do to be successful and to win customers for life.
4. Move on. Never go back to your same mistakes. Never dwell on them or let them keep you down. Move on, move ahead, move forward – succeed.

Take Business Recovery 101 seriously. Saving your business from failure takes the strength and determination to move in the right direction, the courage to improve, and the will power to not look back.

There are many different ways you can satisfy your consumers and make them happy enough to want to keep coming back. Throughout the years, I have found a few strategies that always seem to work when it comes to creating loyal customers.

1. Give them your time. Ginger Collins said that, “The most valuable resource you can give customers is your time. Listen to them to uncover their real needs. Only then can you find a way to solve their problems or meet their expectations. Treat the cause, not just the symptoms.” The saying that God gave us two ears and one mouth so that we would use our ears twice as much as our mouth makes perfect sense when it comes to quality customer service.
2. Get professional customer service surveys. You can write your own customer service surveys, and it will be cheaper. However, I have learned from sad experience that they are not as successful at creating customer satisfaction as ones created by people who know how to ask what.

   Companies like Shopper Approved know how to coin phrases for customers and order surveys that on average get 70 x more customers to participate than their closest competitor. If more people respond, more people will rate your product and company and you’ll have more ratings and more potential for positive testimonials.

3. ACT! When you receive negative reviews from customer service surveys, act upon the information you receive as fast as possible. The first things you’ll want to do is to let them know that you received the information they sent you and that you will promptly be getting back to them with a resolution. This will help the customers feel more at ease about the situation and more willing to return after a poor visit.
4. Provide compensation for their troubles. I know that when a company displeases me, I want something in return for the inconvenience. Quickly resolving an issue as expected or even better than expected can turn a disgruntled customer into a loyal customer.

Customer satisfaction is essential to having a successful business. If you want to win customers for life, pay attention to their needs, provide them with professional customer service surveys, quickly act upon their requests and provide compensation for not having provided exceptional service in the first place (if such was the case).

Even though I feel like I’m just hanging out with my friends at work, it is still a job that requires a level of professionalism – especially when it comes to customer satisfaction.

In the food industry, if your customers are not happy with the food you serve or the service they receive during their visit, there is a good chance that they are not going to return. It is as simple as that. They have hundreds of other places they can go and that is what most of them will do.

This is why I pride myself on having excellent customer service – making sure everyone – even those sitting at other waitress’ tables are satisfied.

For instance, last Monday I had a cute elderly couple come in to eat. They were so sweet and just great people. The woman ordered her 6oz Sirloin, and the gentlemen ordered the Beef Tips Entree. However, when the man’s food arrived at his table he was disappointed. Though he had ordered the beef tips he was thinking of the Sirloin K-bob meal.

Even though it wasn’t our fault that he had ordered the wrong food, it was my job to make him happy. So I went to the back and ordered him the dinner he wanted, and let him keep what he had ordered while he waited.

It was awesome because he was so happy that I would go out of my way to make the situation right. He hugged me tight and kissed the top of my head like a grandpa might do and thanked me from the bottom of his heart. It was so great and made me feel awesome that I and the company I work for were able to make him happy.

Customer satisfaction is vitally important for every business. If you know how to satisfy your customers, you will never lose them. Shopper Approved provides an online outlet for your customers to rate their level of satisfaction and provide your business with testimonials concerning the quality of the product and service that you offer.

But now, with the new addition of Shopper Approved showing up in Google Product Search and Adwords (PPC), it’s like Google and Shopper Approved are now going steady.

We call it the Google Trifecta – Free Search, Product Search, and Adwords (PPC). This is the highest level of rating and review integration that you can get with Google.

As a Shopper Approved member, this is very important for you and your business for the following reasons:

- Your ratings and reviews are syndicated into 3 different strategic areas, all inside of Google.

- You have 3x more positive social proof in Google, which helps to warm up your customer base and establish a relationship of trust before they even visit your website.

- Your 5-star search listings and PPC ads completely stand out over all of the other listings and ads on the page, which means more eyes and traffic.

And the best part is that this is extremely easy to implement.

Here’s what you need to do to get the Google Trifecta working for you today:

- Free Search Listings – You don’t have to do anything. Google & Shopper Approved do this for you.

- Product Search – Simply upload your products into Google Product Search. To do that, click here.

- Adwords (PPC) – Just start an adwords campaign and the 5-star image, ratings and reviews will automatically show up. To set up adwords, click here.

Here are some screenshots of what Shopper Approved listings look like in Google. These screenshots are of Clog Hog’s listings (one of our members):

- Google is still spidering the ratings and reviews and figuring out the linking structure, so your ratings in Google might not accurately reflect your real-time rating count. As we continue to work with Google, this should become more accurate.

- You have to have at least 30 reviews (that Google has spidered) before your ratings will be displayed in Product Search and Adwords (PPC).

- With this additional exposure, it’s more important than ever that you take good care of your customers. Make sure you are actively using the Shopper Approved Customer Care Resolution Center to help any of your clients that may have special needs or issues.

We are so excited to be able to share this announcement with you.

If you have any questions, we’re here to help. Simply visit ShopperApproved.com to email, call, or chat with one of our friendly customer service reps.

With that in mind, here are four ways merchants can improve their ratings and reviews.

1. Include Review Forms on Product Description Pages
Providing customers with the option to write a review directly on the product description page is one way to encourage such activity. A number of companies provide easy-to-use rating and review software designed for use on product description pages. Here are three suited to the needs and budgets of smaller ecommerce merchants.

Shopper Approved is a rating and review software that boasts increasing the results of those who participate by more than seventy times. They offer a free trial and a one-size-fits-all low monthly price for unlimited pages, views, and reviews.

2. Ask for a Review
The simplest way to get customers to write a review is to ask them. One way is to conduct periodic customer surveys. You can always entice customers to participate by offering them a special discount or entry in a free drawing or sweepstakes.

3. Make It Simple to Submit a Review
Simpler is better when it comes to ratings and reviews, even if that is nothing more than a comment box accompanied by a request to write a review. Most rating and review software companies have a three-step process.

First, site visitors see a button on the product page encouraging them to rate the product.

Second, clicking the button takes visitors to a page, showing previous reviews and a five-star rating scale, along with a statement requesting that the visitor submit a review. Sometimes step two reveals previously-written reviews and ratings.

Third, once the link is clicked, the visitor is taken to a form where he or she can rate the product and write a review. It should only take a few minutes to do all of this once consumers log onto the site.

4. Make Reviews Social
There are a number of ways to leverage the use of social media to increase reviews. For example, if you use Facebook or Twitter, occasionally ask Fans and followers to submit reviews and include a link to the review form.

Facebook Pages include an app called “Reviews,” which allows Fans to write reviews for display directly on the Fan page. However, I would be reluctant to use the app for this reason – the Page owner has no editorial control over reviews. In other words, once a review is submitted, there is no way to edit the content or delete the review.

Increasingly, rating and review software providers are including the ability for users to share reviews with friends on social networks, or bookmark reviews using Digg, Reddit and other social bookmarking sites.

In today’s social Internet, the power of consumer-generated ratings and reviews to influence purchase decisions is very strong. Rather than fight the trend, merchants should embrace it. The benefits can lead to increased trust by the consumer and, subsequently, increased sales as a result.

Here’s a break down on various forms of social proof, and how some savvy digital companies are starting to measure its impact.

1) Expert social proof – Approval from a credible expert, like a magazine or blogger, can have incredible digital influence. Examples:
• Visitors referred by a fashion magazine or blogger to designer fashion rentals online received a 200% higher conversion rate than visitors driven by paid search.
• Mom-commerce daily offer site Plum District found that customers referred by influential digital moms shop at 2x the rate of customers from all other marketing channels.

2) Celebrity social proof – Up to 25% of U.S. TV commercials have used celebrities to great effect, but only a handful of web startups have to date. Some results:
• In 1997, Priceline.com was one of the first web startups to use a celebrity endorser – William Shatner – not a travel expert, but seemingly obsessed with saving consumers money. It has been a huge win; Priceline now has a $23 billion market cap, and the fee Shatner took in shares is estimated to be worth $600 million.
• ShoeDazzle launched with celebrity Kim Kardashian as chief stylist. Her involvement helped leapfrog the company to an estimated $25m in 2010 and $70 million in 2011 sales, plus a recent $40m financing.
• Celebrity endorsement by Jessica Simpson and aesthetician Nerida Joy recently helped Beautymint attract 500,000 visitors in the first 24 hours of its launch.
• The most authentic (and cost-effective) celebrity social proof is unpaid. Celebrity use on Turntable.fm by Sir Mix-A-Lot and producer Diplo generated viral buzz, helping the company skyrocket to 140,000 users in just 4 weeks.

3) User social proof – Direct TV marketers are masters at sharing user success stories. Companies mastering this digitally include:
• More than 61 million people visit Yelp each month to read user reviews. Reviews drive revenue. A recent HBS study showed that a 1-star increase in Yelp rating leads to 5-9% growth in sales.
• User-generated videos (UGVs) are a growing and important social proof phenomenon. Early visitors to Shoedazzle watched more than 9 UGVs on average, helping catapult sales; and user testimonials on YouTube drove a 3x conversion rate vs. organic visitors for Beachbody, the makers of P90x fitness.
• Negative user social proof is also important to track. The first negative user review on eBay has been shown to reverse a seller’s weekly growth rate from 5% to -8%. It also hurts pricing; a 1% increase in negative feedback has been shown to lead to a 7.5% decrease in sale price realized.

4) Wisdom of the crowds social proof – Ray Kroc started using social proof in 1955 by hanging an “Over 1 Million Served” sign at the first McDonald’s. Highlighting popularity or large numbers of users implies “a million people can’t be wrong.” Some digital examples:
• Fashion e-tailer Modcloth enables its community to “Be the Buyer” by voting on which styles they think it should sell in the future. Shoppers take strong cues from the community; styles with the “Be the Buyer” badge sell at 2x the velocity of un-badged styles.
• Ratings and Review genius software Shopper Approved allows customers to rate and review companies allowing 70x more ratings than their nearest competitor. That means more that there are crowds of happy customers telling new visitors that buying from a Shopper Approved website is a good idea.

5) Wisdom of your friends social proof – Learning from friends thru the social web is likely the killer app of social proof in terms of 1:1 impact, and the potential to grow virally. Some examples:
• Friends inviting friends to play through Facebook and other social networks helped Zynga grow from 3 million to 41 million average daily users in just one year, from 2008 to 2009.
• Moms, arguably the most valuable demographic on the social web, rely heavily on friends and family recommendations. A recent Babycenter study showed moms rely on the wisdom of their friends 67% more than average shoppers; and they rely on social media 243% more than the general population.
• Friends referred by friends make better customers. They spend more (a 2x higher estimated lifetime value than customers from all other channels at One Kings Lane); convert better (75% higher conversion than renters from other marketing channels at Rent the Runway); and shop faster (they make their first purchase after joining twice as quickly than referrals from other channels at Trendyol)
• They also make better contributors. People who see content from their friends on Trip Advisor contribute personal content to the site at 2x the rate of others, and are 20% more engaged than other users.

Now that you know the five types of social influences, choose which one(s) will work best for your product and industry.

What is social proof? Put simply, it’s the positive influence created when someone finds out that others are doing something. It’s also known as informational social influence.

Wikipedia describes social proof as “a psychological phenomenon where people assume the actions of others reflect the correct behavior for a given situation… driven by the assumption that the surrounding people possess more information about the situation.” In other words, people are wired to learn from the actions of others, and this can be a huge driver of consumer behavior.

Consider the social proof of a line of people standing behind a velvet rope, waiting to get into a night club. The clubs could let people in faster, but then there wouldn’t be a line. The line makes most people walking by want to find out what’s worth the wait. It breeds interest. Professor Robert Cialdini, a thought leader in social psychology, has many more such examples.

In one study, his team tested messages to influence reusing towels in hotel rooms. The social proof message – “Almost 75% of other guests help by using their towels more than once” had 25% better results than all other messages. And adding the words “of other guests that stayed in this room” had even more impact (also an example of how A/B testing of small details matters).

In another study, a restaurant increased sales of specific dishes by 13-20% just by highlighting them as “our most popular items”. Social Proof also works on your subconscious – it’s the reason why comedy shows often use a laugh track or audience; people actually laugh more when they can hear other people laughing.

Because of social proof and despite a shaky economy, many web companies are in hyper growth. This is reminiscent of the five-year period over a decade ago when companies like Amazon, Netscape, eBay, Yahoo, Google and PayPal were built.

There are several types of social proof. To get the word out to the masses, you need to know about all of them – and then chose those strategies that work best for your industry and product. Many companies have found that a “mixed salad” of various types of social proof is most effective. The beauty of the web is you can test, learn and retest quickly to find what works best.