Consumer-Generated Reviews Spur Shopper Loyalty
Seventy-seven percent of online shoppers depend on consumer-generated product reviews and ratings, and shoppers who find them useful are more loyal to stores that feature reviews and ratings, according to Patti Freeman Evans of JupiterResearch. Evans' August 2006 research report, "Retail Marketing: Driving Sales Through Consumer-Created Content," reveals that the number of online buyers who cite customer ratings and reviews as the most useful feature of a site more than doubled between 2005 and 2006.
Other findings:
* Online shoppers who find user-generated product ratings/reviews useful spend more money online than average buyers.
* Online buyers who write a lot of product reviews make up 20% of the online shopping population but account for 32% of online sales.
*Shoppers that find reviews useful say they are more loyal to stores that feature reviews/ratings; they buy more frequently and return products less often as a result.
