Small businesses that ‘claim’ their profiles on platforms like Yelp to gain control over their online presence may inadvertently trigger a sharp decline in customer ratings, according to new research published in Information Systems Research.
A study led by Florida International University (FIU) reveals that once a business claims its page, its average rating falls by more than 10 per cent. The researchers found the drop is driven by a sudden influx of one-star reviews and a corresponding decrease in five-star feedback.
The findings challenge the common marketing wisdom that claiming profiles is a low-risk administrative step. Instead, the study suggests that the “claimed” badge acts as a psychological trigger for consumers.
The accountability trap
According to the research, claiming a page signals to the public that the owner is present and paying attention. While intended to show engagement, this signal primarily encourages dissatisfied customers — who might otherwise have remained silent — to voice their complaints in search of a remedy.
“When customers see the page is claimed, they believe the owner is watching,” says Jong Youl Lee, assistant professor of information systems and business analytics at FIU. “That motivates very unsatisfied customers to write reviews they otherwise might not have written, and they tend to be more critical and more detailed.”
The study indicates that the likelihood of a one-star review rises by nearly 10 per cent following a claim. Furthermore, these negative reviews become substantially longer, often addressing owners or managers directly regarding service failures.
Hidden costs of free tools
The researchers analysed a large dataset of newly opened restaurants across the 200 largest US metro areas, comparing ratings before and after owners claimed their pages. They found the negative shift was “immediate and persistent”, lasting more than a year.
The study serves as a warning for resource-constrained businesses that may lack the staff to manage an active online feedback loop.
“Claiming your business page is not costless, even if it’s free of charge,” says Lee. “Businesses need to be prepared to monitor reviews and respond effectively. If they’re not ready to do this, claiming can actually hurt their reputation.”
