The Power of Online Reviews

A recent Facebook poll determined that 20 out of 20 applicants have made a decision based on a user review and if they did stumble upon a negative review online, 75% of them passed the word on to a friend or family member. (Hooked Media, March 2011)

Consumer reviews are significantly more trusted — nearly 12 times more — than descriptions that come from manufacturers, according to a survey of US mom Internet users by online video review site EXPO. (eMarketer, February 2010)

In a study conducted by social networking site myYearbook, 81 percent of respondents said they’d received advice from friends and followers relating to a product purchase through a social site; 74 percent of those who received such advice found it to be influential in their decision. (Click Z, January 2010)

90% of consumers online trust recommendations from people they know; 70% trust opinions of unknown users. (Econsultancy, July 2009)

44% of Moms use social media for brand/product recommendations; 73% trust online community recommendations. (BabyCenter LLC, July 2009)

Users put great trust in their social networks. One-half of Beresford respondents said they considered information shared on their networks when making a decision and the proportion was higher among users ages 18 to 24, at 65%. (eMarketer, October 2009)

A March 2009 study by Knowledge Networks found that between 10% and 24% of US social media users turned to social networks when making purchase decisions about various categories of products and services. (eMarketer, October 2009)

Facebook, blogs, Twitter and customer reviews are considered the most effective tactics for mobilizing consumers to talk up products online. (Etailing survey of 117 companies, September 2009)

61% of people rely on user reviews for product information or research before a buying decision is made. (Razorfish, 2008)

Consumer Demand for Ratings and Reviews

A High service rating will increase likelihood of purchase for 55% of consumers. (eConsultancy, July 2010)

Nearly two-thirds (64%) of the UK population have researched products/services online within the last 3 months. (European Commission, May 2010)

By 2014, 53% of total retail sales (online and offline) will be affected by the Web, as consumers increasingly use the Internet to research products before purchasing. (Forrester, March 2010)

When making purchase decisions, North American Internet users trust recommendations from people they know and opinions posted by unknown consumers online more than advertisements on television, on the radio, in magazines and newspapers, or in other traditional media. (Nielsen Online, April 2009)

84% of consumers said they were more likely to check online for reviews prior to making a purchase compared to twelve months ago, according to a recent survey by Brand Reputation. (Retail Bulletin, October 2009)

A survey of 1,000 online shoppers found that, while 46% of e-shoppers find value in product recommendations from their friends, 47% look to onsite customer reviews when making a decision. (Manage Smarter, September 2009)

Customer reviews are the most effective social tactic for driving sales, followed by question-and-answer features and a Facebook fan page where companies post information. (Etailing survey of 117 companies, September 2009)

Some 70% of Americans say they consult product reviews or consumer ratings before making a purchase, according to an October 2008 survey by Penn, Schoen & Berland Associates, a research and consulting firm. (Business Week, October 2009)

According to a survey of 2,445 US online consumers, 82% considered user-generated reviews to be extremely valuable or valuable. (North American Technographics Retail Online Survey Q3, 2008)

Customer reviews are an important research tool for online consumers, with 71 percent agreeing that consumer reviews make them more comfortable that they are buying the right product. (Nielsen Online Holiday Survey, December 2008)

The Trust in Advertising survey of 26,000+ found that Consumer Recommendations are the most credible form of advertising. (“Social Media Marketing: The Right Strategy for Tough Economic Times” Awareness, 2008)

Nearly 49% of shoppers have made a purchase based on a recommendation through a social media property; respondents most relied on the following sources when making a purchase decision: 60.53% user reviews; 20.48% comparison charts; 15.41% editorial reviews; 3.58% shared shopping lists. (Razorfish, October 2008)

As of October 2008, almost half of US online adults read ratings and reviews at least once a month, and 19% post them. Nearly twice as many read reviews compared with 2007. (The Growth Of Social Technology Adoption, Forrester, October 2008)
More on the Web!

Between one and three bad online reviews would be enough to deter the majority (67%) of shoppers from purchasing a product or service, according to a Lightspeed Research study. Read Article…

Google is stepping up the integration of reviews into its search engine results. That’s a clear signal that it’s becoming even more important that companies start to pay attention to this aspect of social media. Read Article…

“Local Search Usage”study shows that just over 60 percent of local searchers find ratings and reviews to be important, which is up four points from 2009. This percentage increases when looking at social networkers and mobile users, specifically (78 percent of social networkers and 71 percent of mobile users find consumer ratings and reviews extremely important). Additionally, social networkers and mobile users tend to use ratings and reviews more than any other type of local searcher. Read Article…