The Power of Word of Mouth Marketing
In the phase of a changing world where technology is in use with marketing going digital, word of mouth has not neared its obsolescence in marketing. The power of word of mouth as a marketing tool remains intact, if not growing. With the interconnected network of digital channels at our fingertips, it is easier than ever for customers to tell others about their best or worst experiences. Online reviews are today's word of mouth marketing, and they can make or break businesses. Postings and reviews are useful tools that impacts the decisions of the buyers, increases discoverability of products, builds the reputation of buyers, and drives the sales of products.
Impact of Product Ratings and Reviews
To begin with, product ratings and ratings influence the decisions of the buyers of a product. Online directories and review sites have developed into a large data store aggregated from diverse sources. The large amounts of information in these sites have rendered them useful to the consumers due to improved credibility. Basic business information, the total number of reviews, and the star ratings are important aspects that prospective buyers consider before choosing a product. After reviewing the star rating, potential buyers then decide on whether to buy the product or not. In this regard, positive reviews attract customers while negative reviews send them away.
Building Trust through Reviews
Second, reviews help in building trust. Online product reviews are responsible for increasing the reputation of the vendor and trust, which plays a big role in the C2B relationship. This is even more important because online security is a significant barrier to entry of the many offline consumers yet to convert. Trust is useful in converting offline consumers online, and online consumers to loyal buyers.
Driving Sales with Reviews
Third, product reviews help drive sales. According to The Importance of Online Product Reviews from a Consumer's Perspective (2012), 85.57 percent of consumers check the reviews a product has before deciding on making the purchase decision. A strong relationship exists between reviews and the rate of sale conversion rates. A useful product review is a second opinion providing reassurance to the buyer for their purchase and prompts them to make a purchase.
Increase Discoverability of Products
Fourth, reviews increase the discoverability of products. In the early stages of the purchasing decision, potential buyers will filter their options based on ratings. It enables the buyers to break down their research into manageable sections. E-commerce sites are poised to benefit from a competitive advantage from positive online product reviews.
The Importance of Online Reviews and Ratings
In the modern world where technology has taken over every aspect of human life, online reviews and ratings have become vital for businesses. With online marketing and buying becoming more preferred day by day, more importance has been attached to reviews and ratings. Consumers depend on reviews and ratings to decide on which product to buy or not buy. Consequently, positive reviews increase discoverability of a product, drives sales besides helping companies build trust.
Works Cited
Lackermair, Georg, Daniel Kailer, and Kenan Kanmaz. "Importance of online product reviews from a consumer's perspective." Advances in Economics and Business 1.1 (2013): 1-5.
