Do Product Reviews Really Help Consumers?

Product reviews play a crucial role in helping consumers make informed decisions by providing insights into product quality, brand reliability, and real-life experiences. They also contribute to building trust and loyalty, ultimately influencing sales and customer satisfaction. In this article, we will delve into the importance of product reviews for consumers and explore six key benefits of product reviews.

## Boosting Sales

Reviews have been shown to produce an average of 18% uplift in sales, and businesses with more than 9 recent reviews earn 52% more than average[1]. Reviews are vital for maintaining a positive reputation, increasing sales opportunities, and driving brand recognition. Besides providing valuable information about products, reviews can be incorporated into your ecommerce businesses' marketing strategy. One of the most important tools in your ecommerce arsenal, reviews are user-generated content that doesn't cost you money, but can help you earn big profits.

## Increasing Trust and Loyalty

Product reviews improve customer trust and loyalty by showcasing what sets a product apart from similar brands and strengthening credibility[1]. In fact, 97% of participants said customer reviews factor into their buying decisions[6]. When asked what factors would lead to an increase in brand trust, three of the top 10 factors centered around reviews. Nearly all respondents said positive customer reviews increased their trust in a brand, while 80.1% said they trusted companies that have a lot of customers reviews[3]. Reviews serve as social proof, helping to establish trust and credibility for your ecommerce brand[7].

## Influencing Purchasing Decisions

Reviews and testimonials heavily influence how much a customer can trust a new brand or product, with even one negative review potentially dissuading a potential customer[3]. Research shows that 93% of consumers say online reviews will affect shopping choices, indicating that most consumers have the habit of reading[2][9]. Since reviews are comments from consumers’ perspectives and often describe their experience using the product, it is easier for other consumers to accept them, thus assisting their decision-making process[2][9]. 

## Guidance from Real-Life Experiences

Reviews represent real-life experiences, offering potential customers a glimpse into the quality, value, and reliability of a product[6]. Product reviews are almost always used on eCommerce to give customers a chance to rave about or air their grievances on the websites. Product reviews encourage your past customers to interact with your brand[5]. Reviews contain insights about products, processes, and purchasers. Consumer reviews can help surface issues with products, shed light on new use cases, and inform product innovations[14].

## Impact on Sales

Studies have shown that online reviews can demonstrably impact a brand's bottom line, with brands that are viewed positively having better sales and even improving star ratings having a positive effect on sales[6]. When researching products online, customer reviews/ratings are the most influential factor in purchasing decisions – outranking price, return policy, and shipping costs[12]. Positive online business reviews are worth a great deal and can offer your business benefits that a simple marketing campaign can’t[7].

## Helping Consumers Make Informed Choices

Over 88% of consumers trust online reviews to make informed purchases, as they offer valuable guidance, attest to a company's reliability, and provide insight about product quality[5]. Online customer feedback also gives you a forum to be frank with consumers and reinforce positive reviews with thanks or promotions[17]. Reviews enable new businesses to stand shoulder to shoulder with more established competition, and potentially gain a positive niche in people’s estimation and expectations[11]. 

In summary, product reviews indeed help consumers in various ways, as they provide valuable information and insights that can influence purchasing decisions. They also contribute to building trust and loyalty, ultimately influencing sales and customer satisfaction. Reviews have been shown to produce an average of 18% uplift in sales, and businesses with more than 9 recent reviews earn 52% more than average. Product reviews improve customer trust and loyalty by showcasing what sets a product apart from similar brands and strengthening credibility. Reviews and testimonials heavily influence how much a customer can trust a new brand or product, with even one negative review potentially dissuading a potential customer. Reviews represent real-life experiences, offering potential customers a glimpse into the quality, value, and reliability of a product. Studies have shown that online reviews can demonstrably impact a brand's bottom line, with brands that are viewed positively having better sales. Over 88% of consumers trust online reviews to make informed purchases, as they offer valuable guidance, attest to a company's reliability, and provide insight about product quality.

Citations:

[1] https://www.zoho.com/commerce/insights/importance-of-product-reviews.html

[2] https://www.frontiersin.org/articles/10.3389/fpsyg.2022.865702

[3] https://www.insiderintelligence.com/content/consumer-trust-relies-heavily-on-reviews-and-brand-honesty

[4] https://ecommercefastlane.com/21-real-life-examples-of-brands-retailers-using-reviews-in-their-marketing-for-2021/

[5] https://www.fera.ai/blog/posts/product-reviews-important-ecommerce

[6] https://www.dixa.com/blog/3-important-statistics-that-show-how-reviews-influence-consumers/

[7] https://www.referralcandy.com/blog/the-power-of-consumer-reviews

[8] https://www.indeed.com/career-advice/career-development/why-are-customer-reviews-so-important

[9] https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9216200/

[10] https://www.powerreviews.com/research/how-fake-reviews-destroy-consumer-trust/

[11] https://www.e-satisfaction.com/7-reasons-why-customer-reviews-are-important/

[12] https://emplifi.io/press/study-reveals-customer-ratings-reviews-impact-on-purchase-decisions

[13] https://insights.pasabi.com/blog/the-authenticity-of-online-reviews-and-consumer-trust

[14] https://www.bazaarvoice.com/blog/why-ratings-and-reviews-are-important-for-your-business/

[15] https://spiegel.medill.northwestern.edu/how-online-reviews-influence-sales/

[16] https://www.searchenginejournal.com/online-review-statistics/329701/

[17] https://mention.com/en/blog/online-reviews/

[18] https://www.sciencedirect.com/science/article/abs/pii/S096969892200159X

[19] https://yoast.com/creating-trust-testimonials/

[20] https://www.knowband.com/blog/ecommerce-blog/product-reviews-importance/

[21] https://www.fera.ai/blog/posts/product-reviews-influence-shoppers

[22] https://channelsignal.com/blogs/78-more-people-trust-reviews-than-ads-heres-why/

[23] https://www.itsallgoodsinc.com/insights/the-importance-of-product-reviews-and-how-to-get-them

[24] https://www.thechatshop.com/article/impact-online-review-customer-decision

[25] https://www.nearmedia.co/consumer-trust-in-reviews/