Study finds online reviews a powerful tool
Do travel and other consumers use online reviews? Yes. Are they willing to pay more for high ratings? Yes.
So says a recent study that found consumers were willing to pay at least 20% more for services receiving “excellent” or 5-star rating opposed to those receiving “good” or 4-star ratings.
“These data show the importance of local service review sites in consumers’ purchase process,” said Steve Marshall, Research Director for The Kelsey Group.
The study focused on examined the impact of consumer-generated reviews on the price consumers were willing to pay for a service delivered offline. The study covered hotels, restaurants, travel and other areas, according to comScore.inc.
The study is based on a survey of more than 2,000 US Internet users in October of 2007.
Nearly one out of every four Internet users (24%) reported using online reviews prior to paying for a service delivered offline. Of those who consulted an online review, 41% of restaurant reviewers subsequently visited a restaurant, while 40% of hotel reviewers subsequently stayed at a hotel.
More than three-quarters of review users in nearly every category reported that the review had a significant influence on their purchase, with hotels ranking the highest (87%).
Were the reviews accurate? The study found that 97% of those surveyed who said they made a purchase based on an online review said yes.
Review users also noted that reviews generated by fellow consumers had a greater influence than those generated by professionals.
“This study underscores the importance of providing not just good, but excellent, service if a business hopes to generate positive consumer reviews which will result in greater sales,” said Brian Jurutka, Senior Director, comScore Marketing Solutions.
Report by David Wilkening
David
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Phocuswright reveals the world's largest travel markets in volume in 2025
Cyclone in Sri Lanka had limited effect on tourism in contrary to media reports
Higher departure tax and visa cost, e-arrival card: Japan unleashes the fiscal weapon against tourists
In Italy, the Meloni government congratulates itself for its tourism achievements
Singapore to forbid entry to undesirable travelers with new no-boarding directive