Is the BBB still relevant and is accreditation worth it?
September 13, 2012 9:44 AM Subscribe
Can you help me figure out if it's worth $500/year to get my small business accredited with the Better Business Bureau?
Thinking of getting accreditation with the BBB for my small business and trying to work out the cost-benefit stuff. I already have a free listing with the BBB that gives me an A- (the minus is for only having been in business for two years), but it says "THIS BUSINESS IS NOT BBB ACCREDITED" in big text above the listing.
The customers who are likely to see the online listing are the ones that we especially want to reach (their projects typically range from the high 4- to low-6 figures). I have no idea how much cachet the BBB holds among professionals-- is it just a place to complain or does it carry any weight among decision-makers?
Also, here's my super-short list of positives and negatives-- what am I missing or wrong about?
Positives:
-- "Legitimize" online by being accredited
-- Use of BBB logo on my site
-- Quality backlink to my site (SEO)
-- Will show up in search results for my business name
-- Will have an "A" rating out of the gate
-- Tax deductible
Negatives:
-- Just under $500/year (about $40/month)
-- Potentially opens us up to complaints (but not likely given our customer base) (I can elaborate if necessary)
-- I find the rather aggressive sales calls from the BBB (in frequency, not in content) kind of strange
The cost is the real concern to me here-- if I'm spending $500 I definitely want value for it. Thoughts?
Thinking of getting accreditation with the BBB for my small business and trying to work out the cost-benefit stuff. I already have a free listing with the BBB that gives me an A- (the minus is for only having been in business for two years), but it says "THIS BUSINESS IS NOT BBB ACCREDITED" in big text above the listing.
The customers who are likely to see the online listing are the ones that we especially want to reach (their projects typically range from the high 4- to low-6 figures). I have no idea how much cachet the BBB holds among professionals-- is it just a place to complain or does it carry any weight among decision-makers?
Also, here's my super-short list of positives and negatives-- what am I missing or wrong about?
Positives:
-- "Legitimize" online by being accredited
-- Use of BBB logo on my site
-- Quality backlink to my site (SEO)
-- Will show up in search results for my business name
-- Will have an "A" rating out of the gate
-- Tax deductible
Negatives:
-- Just under $500/year (about $40/month)
-- Potentially opens us up to complaints (but not likely given our customer base) (I can elaborate if necessary)
-- I find the rather aggressive sales calls from the BBB (in frequency, not in content) kind of strange
The cost is the real concern to me here-- if I'm spending $500 I definitely want value for it. Thoughts?
Best answer: I think that money is better-invested in other forms of marketing; I doubt that "BBB-accredited" will sway a potential buyer one way or another. I occasionally buy B2B services and it wouldn't have an effect on me (and, to be honest, I'd think publicizing it was a bit hokey).
posted by downing street memo at 9:58 AM on September 13, 2012 [3 favorites]
posted by downing street memo at 9:58 AM on September 13, 2012 [3 favorites]
A former employer of mine successfully negotiated the price of BBB accreditation down a bit. I have no idea how common that is, but if cost is the only factor, you might as well speak to someone at the BBB and see if they're willing to work with you, especially if you might be willing to pay the whole $500/year eventually when your business has been around longer and is bringing in more money.
posted by needs more cowbell at 10:02 AM on September 13, 2012
posted by needs more cowbell at 10:02 AM on September 13, 2012
Response by poster: If it's a significant expense...
Nope, I just don't want to get suckered into something without value.
posted by mireille at 10:04 AM on September 13, 2012
Nope, I just don't want to get suckered into something without value.
posted by mireille at 10:04 AM on September 13, 2012
I came to say what spacewrench said.
posted by JohnnyGunn at 10:05 AM on September 13, 2012
posted by JohnnyGunn at 10:05 AM on September 13, 2012
Best answer: -- Use of BBB logo on my site
I think adding these sorts of badges to a web site makes the proprietors look amateurish. I wouldn't do that part.
I mainly see the benefit of the BBB to a business as a toothless destination for complaints giving you another chance to either make things right when you know someone is Serious, or at least to waste their time and energy before they file a lawsuit or complain to a governmental official or the media. But it looks like they will still do that for free, right?
Do you really think people are going to check your BBB listing before doing business with you? (Does it show up high in Google searches for your business name?) If so, then maybe you should try it. If not, then skip it.
posted by grouse at 10:14 AM on September 13, 2012
I think adding these sorts of badges to a web site makes the proprietors look amateurish. I wouldn't do that part.
I mainly see the benefit of the BBB to a business as a toothless destination for complaints giving you another chance to either make things right when you know someone is Serious, or at least to waste their time and energy before they file a lawsuit or complain to a governmental official or the media. But it looks like they will still do that for free, right?
Do you really think people are going to check your BBB listing before doing business with you? (Does it show up high in Google searches for your business name?) If so, then maybe you should try it. If not, then skip it.
posted by grouse at 10:14 AM on September 13, 2012
Best answer: i can't think of a single instance in my life when I googled a small business and their BBB listing showed up high enough for me to click it. My feeling, FWIW, is that the BBB is where people go to complain. I don't know how often people go there as part of research, especially since it seems like you would have to go directly to the BBB site and then search within it to actually get to a listing.
posted by COD at 10:16 AM on September 13, 2012 [1 favorite]
posted by COD at 10:16 AM on September 13, 2012 [1 favorite]
Response by poster: Very helpful answers-- just what I needed to know (and kind of suspected but wasn't sure). I'll spend the money on something better (my question on how to beat last years awesome corporate gifts will be coming soon). Thanks!
posted by mireille at 10:22 AM on September 13, 2012
posted by mireille at 10:22 AM on September 13, 2012
At a previous job (working for a CPA firm), we had several new clients who were referred to us from our listing on the BBB's website.
posted by Barry B. Palindromer at 11:35 AM on September 13, 2012
posted by Barry B. Palindromer at 11:35 AM on September 13, 2012
Quick google search on BBB reveals the following video. Make of that what you will.
http://abcnews.go.com/Blotter/video/investigating-better-business-bureau-12188004
posted by zen_spider at 12:16 PM on September 13, 2012
http://abcnews.go.com/Blotter/video/investigating-better-business-bureau-12188004
posted by zen_spider at 12:16 PM on September 13, 2012
Data point: My dad (70 years old) checks BBB for everything. Myself (35 years old) has never checked once. I use other online reviews.
posted by dripdripdrop at 12:38 PM on September 13, 2012 [1 favorite]
posted by dripdripdrop at 12:38 PM on September 13, 2012 [1 favorite]
I have owned a small business and now work for a somewhat larger firm in the same industry (custom screenprint & embroidery, etc.). I have never had a customer ask about my BBB membership or lack thereof.
I *have* had the BBB telemarket me using their scare tactics - the pitch usually goes "We're calling because someone has inquired about your business with us," and they won't "tell" you about the "details" (quote marks because I believe the entire story to be an out and out lie) with the hope that you'll join to be told more. I am very off-put by this sort of scammy sounding pitch, and refuse to join.
I'd put the money into fabulous screenprinted or embroidered goods with your local company that does that, or more seriously - join your local chamber of commerce. CoCs are much more likely to be the place where someone checks your reputation. And/or, if you're in a service business typically referred/served by them, Angie's List.
posted by randomkeystrike at 1:28 PM on September 13, 2012 [1 favorite]
I *have* had the BBB telemarket me using their scare tactics - the pitch usually goes "We're calling because someone has inquired about your business with us," and they won't "tell" you about the "details" (quote marks because I believe the entire story to be an out and out lie) with the hope that you'll join to be told more. I am very off-put by this sort of scammy sounding pitch, and refuse to join.
I'd put the money into fabulous screenprinted or embroidered goods with your local company that does that, or more seriously - join your local chamber of commerce. CoCs are much more likely to be the place where someone checks your reputation. And/or, if you're in a service business typically referred/served by them, Angie's List.
posted by randomkeystrike at 1:28 PM on September 13, 2012 [1 favorite]
I know of several places that are BBB accredited and have consistently sucked on many levels for years. And I'm a nice and patient customer person.
fwiw ymmv
posted by ducktape at 1:58 PM on September 13, 2012
fwiw ymmv
posted by ducktape at 1:58 PM on September 13, 2012
the BBB is Yelps grandfather. IF you run a shady business, you pay the BBB so that complaints that your company gets have a trash can to go into and disappear.
If you don't pay BBB, and someones complains to them, they slam your rating till you pay up.
I don't even bother with BBB complaints as a consumer, as they are useless. I go to the Attorney Generals office.
posted by couchdive at 2:26 PM on September 13, 2012 [1 favorite]
If you don't pay BBB, and someones complains to them, they slam your rating till you pay up.
I don't even bother with BBB complaints as a consumer, as they are useless. I go to the Attorney Generals office.
posted by couchdive at 2:26 PM on September 13, 2012 [1 favorite]
BBB has been turned into a scam.
They simply don't have any oversight. You can have the worst rated business ever, and all you have to do is send the BBB a couple hundred bucks, and voila you're on the five star list.
From my personal experience, they may have been useful in the pre-internet days, but now they're a poorly disguised shill for anyone's business that has an extra couple hundred dollars and is crying for some legitimacy.
posted by Sphinx at 5:20 PM on September 13, 2012 [1 favorite]
They simply don't have any oversight. You can have the worst rated business ever, and all you have to do is send the BBB a couple hundred bucks, and voila you're on the five star list.
From my personal experience, they may have been useful in the pre-internet days, but now they're a poorly disguised shill for anyone's business that has an extra couple hundred dollars and is crying for some legitimacy.
posted by Sphinx at 5:20 PM on September 13, 2012 [1 favorite]
You get an automatic A rating just for signing up? As in, no customer has actually contributed reviews and feedback about your service or their experience with your company?
I think your money might be better spent advertising with Yelp and/or Angie's List, depending in your target market (as others have said, go with the BBB if you want to get in good with the geriatric set).
And as randomkeystrike pointed out, the BBB has a script that they read from when they call business owners ("we've already had several inquiries about your business and frankly we can't believe that you haven't signed up already..."). They are selling a product, but not a service.
Good luck, whichever way you decide to go.
posted by vignettist at 10:37 PM on September 13, 2012
I think your money might be better spent advertising with Yelp and/or Angie's List, depending in your target market (as others have said, go with the BBB if you want to get in good with the geriatric set).
And as randomkeystrike pointed out, the BBB has a script that they read from when they call business owners ("we've already had several inquiries about your business and frankly we can't believe that you haven't signed up already..."). They are selling a product, but not a service.
Good luck, whichever way you decide to go.
posted by vignettist at 10:37 PM on September 13, 2012
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It seems to me that if you're doing 4-6-figure jobs, then $500/year is well down in the noise. That is, you can sign up for a year, and then just track your customers to find out who considered BBB in picking you. (If it's a significant expense, then you may need to look at your margins more carefully -- a business that has to pinch pennies so tightly that $40/month is a big deal, is probably running a pretty big risk just by taking 4-6-figure jobs.)
There are myriad organizations trying to sell this sort of certification. BBB has a long history, so although I roll my eyes when somebody says the certification meant something to them, or that they expected that complaining to the BBB would solve some problem they had with a seller, it's clear that a lot of people still do believe that there's something there.
IANYL, TINLA.
posted by spacewrench at 9:57 AM on September 13, 2012