The Internet has become the essential showcase for the new consumer, from the most compulsive to the most reflective, with online platforms where reviews are a beacon in the dead of night that strongly attracts or repels the buyer, also when purchases are made.  Saint Kitts and Nevis Email List in physical establishments. Specifically, 70% of consumers are willing to spend more in physical establishments if they have seen positive evaluations, and 47% value online reviews as a determining factor for the purchase, raising the figure to almost 60% for the most youths. Its impact is greater in women than in men. These are some of the conclusions of the report “Online reviews, the sales lever in postcovid retail”, prepared by Apache Digital, part of LLYC, and Appinio.

The objective of the study is to find the level of influence that reviews from other users on online platforms have on purchase intention, average ticket and intention to buy back in retail. And it explains how we allow ourselves to be conditioned on the purchasing power by these opinions.

For Jesús Moradillo , CEO and founder of Apache, “the opinion generated by users is a very powerful stimulus that we must take care of and know how to take advantage of because it influences the consumer’s purchase decision, it is a third-party validation that impacts the cycle of life of the customer. The user has become a social buyer who validates their purchases with user communities linked by interests in the network, which in turn co-create reality based on the narrative that arises from shared experiences “.

Livia Mirón , Country Manager at Appinio, anticipates that “the study revealed that, in reality, although we assume that all reviews are important, the importance varies a lot according to the type of consumer and the sector. Therefore, understanding how they affect Each target is key to extract relevant learning; this data can help us improve the customer experience or even generate a better average mark and stand out from our competition. Knowing the impact of reviews not only has a differential effect on immediate sales, but in the medium and long term it is a very relevant factor in local SEO, and helps to improve conversion and reduce costs in marketing campaigns “.

What grade determines our purchasing power?
Beyond popular knowledge that a score out of 5 the higher it is, the better, the report estimates a positive rating from 3.97 and a negative rating from 2.31.

But a good evaluation not only encourages the “click”. These opinions influence both purchases in physical establishments and online. And this, after the new consumer who has left the pandemic, is an incentive that drives him to approach and feel comfortable in the space of a lifetime.

What are we willing to spend more on?
When it comes to higher average tickets, up to 70% of respondents report increasing their average ticket when they have previously been exposed to positive reviews. If this behavior is analyzed by age range, those between 16 and 24 years old are much more predisposed, and they raise the figure to 80%, and those between 55-65 years old, the least.

If we analyze how the predisposition to higher spending affects according to the category, the top 5 is for footwear, children, pets, supermarkets and toys, which indicates that in these verticals the consumer is willing to pay more, probably in search of quality and security, the latter especially in the field of food and children’s territory.

And if gender analysis is introduced in this variable, women are more willing than men to spend more if the comments are positive. Their ranking of preferences for a higher spending decision includes the categories of children, footwear and sports equipment, while for them the cash payment is intended for pets, footwear and supermarket.

And in which sectors do opinions influence the most?
The sectors where the reviews have the most impact on sales and the purchase decision (unrelated to the predisposition to spending) are electronics and household appliances, practically as much as in health, and closely followed by workshops, training, insurance and beauty and welfare.

In an analysis by age ranges, those under 25 years of age are more influenced in the categories fashion, training (academies, schools, universities) and sport (gyms, martial arts, swimming pools, yoga / Pilates).

By gender, women are the most sensitive to categories such as health or cosmetics and perfumery, while men are more influenced by comments from the workshops and electronics sectors.

How many opinions does it take to have credibility?
The volume of reviews is also important when it comes to trusting the credibility of the testimonials. The range that consumers value the most is between 50-200 and only 17% trust if there are between 1-50 comments, so the consumer demands volume to build trust. In addition, the younger generations (16-24 years) are more likely to want to visualize volume in these reviews, between 100-200, while the 55-65 age group prefer small volumes under 50.

In addition, if these online opinions are included in a ranking of determining factors for the purchase, together with variables such as price / quality, brand, dependents, location or the COVID protocol, these reviews carry considerable weight, especially in the new generations: for the GEN Z the online opinions are in third place, only after the price / quality and the dependents. While for the consumer over 40 years of age it drops to number 9, behind other factors such as those mentioned above, in addition to the establishment, location, health protocol or waiting time.

How to be successful?

The report also includes conclusions for companies to be successful, in which it recommends working on three fronts: opinion management technology (understanding these as a key source of information), the ability to encourage these opinions and inclusion of reviews in all phases of the customer life cycle, not just in the final phase of the call to purchase.

 

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