THE IMPACT OF ONLINE REVIEWS ON PRODUCTS SALES AND BRAND REPUTATION

Abstract

Online customer reviews significantly influence purchasing decisions by affecting consumer trust and purchase intentions. Two critical factors in this process are the volume of reviews and their sentiment (valence).​ A higher number of reviews often indicates a product's popularity and credibility. Consumers tend to trust products with numerous reviews, perceiving them as more reliable. This trust can enhance purchase intentions, as potential buyers feel more confident in their choices when a product has extensive feedback. However, it's important to note that the authenticity of reviews is crucial; the rise of AI-generated fake reviews poses challenges to consumer trust. The interplay between review volume and valence is also noteworthy. For instance, a large number of positive reviews can amplify trust and purchase intentions. However, when negative reviews are prevalent, even in smaller quantities, they can significantly impact consumer trust and reduce purchase intentions. Moreover, the credibility of the review source, the depth of the reviews, and their recency further influence consumer trust and purchasing decisions. Consumers are more likely to trust reviews from credible sources, detailed descriptions, and recent feedback, all of which can enhance purchase intentions. The descriptive research method was used in this study to investigate how internet reviews affect product sales and brand reputation. In order to enable a clear comprehension of information distribution, this method comprised gathering, organizing, tabulating, and graphically presenting data through text, figures, tables, charts, and graphs. In order to guarantee generalizability and reduce bias, a total of 50 respondents—business owners who receive and depend on consumer feedback for their online businesses—were chosen through a random selection technique. Participants in the study were entrepreneurs who frequently received online feedback from clients after they bought their goods, since the researchers are students at Immaculada Concepcion College. This study presents the Online Reviews Scale (ORS), a standardized measurement instrument, and examines the essential elements that make up online reviews. By offering a methodical way to assess online consumer evaluations, the ORS seeks to fill up current research gaps. According to the study, the ORS is a robust and dependable measuring model that provides stakeholders—including companies, marketers, and researchers—with a useful instrument for evaluating the impact of online reviews. The ORS assists in identifying how online reviews influence consumer trust and influence purchase decisions by measuring review attributes. An online review is a customer's opinion regarding a product or service that frequently shows up in search engine results or on retail websites' product pages. These assessments reveal what consumers like and don't like about a product as well as if it lives up to the expectations that have been stated. In order to compute an average rating based on several assessments, online reviews usually incorporate a ranking system that uses stars, numbers, or other visual indications. Potential customers can use this technique to evaluate total customer satisfaction and make well-informed selections about what to buy.