IMPACT

OF
ONLINE REVIEWS ON
CONSUMER BEHAVIOR

(Group 6)
NUÑEZ, LUISA-ANN R.

PAJA, JERI MAE E.

PAYONG, GRACE ANN P.

PINOON, WILMARIE JANE SJ.

PITAS, JENELYN S.

REMODO, REOBEL A.

ACKNOWLEDGEMENT

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 First and foremost praises and thanks to the Lord, the

Almighty, for showering us His blessing for the completion of our

research study.

We would like to express our gratitude to our Professor,

Miss, Liezel M. Salvador for providing our group constant

guidance during our research project and for giving us all the

materials that we need that made this research project possible.

The knowledge’s that we learnt in this subject of your expertise

help us with application of the concepts to a practical real life

situation research. We will always be grateful for this

opportunity to show and deliver what we learn in our subject

“Marketing Research”.

We would also like to thank all the respondents who make

time filling out the questionnaires and for giving valuable

inputs during the exploratory research. Their unbiased and

valuable input has helped us to administer a project in which we

have taken out inferences about the Impact of Online Review in

Consumer Buying Behaviour.

EXECUTIVE SUMMARY

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The rapid growth and development of internet has driven the

numerous discoveries of different applications and sites that

have result to rampant usage of social media nowadays.

Individuals, businesses, and organization have taken advantage of

this development +++

TABLE OF CONTENTS

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Background.....................................Page 5

Objectives.....................................page 6

Research Approach..............................Page 7 - 8

Exploratory Research & Findings................Page 9

Secondary Data.................................Page

Questionnaire Design...........................Page

Project Findings...............................Page

Analysis.......................................Page

Limitations &Suggestion........................Page

Conclusion.....................................Page

Bibliography...................................Page

Data Sheet

Background

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 Consumer learning is the mechanism by which customers gain

information, experience, skills, and develop their purchasing

behavior over time. The terms "strong review," "moderate review,"

and "negative review" apply to the positive, moderate, and

negative reviews of the products. The impact of the number of

review ratings on customer behavior is examined in this paper.

The number of feedback and the credibility of the shop are two

factors of review material. The shop's credibility is comprised

of three categories: overview, logistics, and operation.

The number of reviews corresponds to the number of images.

The purchasing intention of commodities with a high ratio of

favorable online feedback is substantially higher than that of

commodities with a high ratio of negative online incentives,

according to a simulation of online purchase market behavior. The

quantity and ratings of online reviews have an effect on consumer

attitudes. When customers want to buy something, positive or

negative comments indicate whether they would like or dislike the

item.

Objectives

Primary Research Objective (PRO):

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To determine the impact of online reviews to consumers buying

behaviour online in the generation group of Gen X, millennial,

and Gen Z.

Secondary Research Objectives (SROs):

 To identify the importance of online reviews to

consumers.

 To understand how online reviews influences consumers

buying decision.

 To analyse how the online reviews can affect the image of

the product in the eyes of the consumer.

Research Approach

Data Collection Method:

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An exploratory research was conducted for which the following

techniques were used:

a. Close-ended questionnaire

Questions are used to determine the impacts of online reviews to

consumer (Gen X, Millennials, and Gen Z) buying behaviour.

b. Focused group discussions; Here, a discussion among a group of

BS in Entrepreneurship students of Universidad de Sta. Isabel was

group to bring out the Impact of online reviews to consumer

behavior that are evaluated by the students before the

consumers/buyers decided to purchase online.

For Secondary research, the following sources were used:

A: Related websites of online reviews impact on consumers/online

buyers.

B: Other related literature based on the impact of online reviews

found out in the exploratory research and the secondary research,

the information gap was identified and hence it was decided to

conduct primary research to determine the different impact of

reviews on consumer behavior. The research was conducted by

administering questionnaire for the target generation-group which

is the Gen X’s. Millennial’s, and Gen Z’s. For primary data

collection, Questionnaire administration was done personally thru

questionnaire sheets.

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Measurement Technique:

To record the data the following measurement techniques would be

used:

Multiple Choice Questions

Respondents were given 2-3 options

Likert Scale

The Likert scale would be used to determine the impact of how

online reviews impacts respondents’ behaviour as online

consumer/buyers.

Dichotomous Questions

These questions would be asked to get an objective answer.

Willingness of Respondents

Personal information and experiences in purchasing online.

Sampling Plan:

The sample for survey would be taken on the following basis.

Sample Frame: Online Buyers

Sample Unit: Gen X, Millennials, and Gen Z

Sample Size: 30 respondents (15 male & 15 females)

Time Frame: 10-15 Days.

Sampling Method: Simple random sampling (SRS)

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Exploratory Research:

Questionnaire:

1. How often do you purchase online?

2. Do you read product reviews before you purchase online?

3. Does positive product review gives you an assurance in your

purchase?

4. Does negative product review hinders you from purchasing a

product?

5. If you really like/need a certain product do you let bad

reviews stop you from purchasing?

6. Have you experience purchasing product with good reviews but

turned out to be with bad quality?

7. Do you also leave / write reviews to the product you purchase

online?

8. What do you prefer the most? Online or offline shopping?

Exploratory Research & Findings

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Secondary Data

Does online reviews impact buying behavior?

Online reviews impact purchasing decisions for over 93% of

consumers, report suggests. With 60% of consumers looking at

online reviews at least weekly, a recent survey by Podium

suggests that 93% say online reviews do impact their purchasing

decisions.27 Mar 2017

How important are online reviews in impacting on consumer

purchase intention?

When purchasing search products, literal (vs.

figurative) online reviews give consumers stronger social

presence, resulting in higher purchase intentions. When

purchasing experience products, consumers have stronger social

presence because of figurative (vs. literal) online reviews, thus

enhancing purchase intentions.21 Jan 2020.

How do online reviews influence consumers?

3 IMPORTANT STATISTICS THAT SHOW HOW REVIEWS INFLUENCE CONSUMERS

 88% of customers put as much weight on online reviews as

they would on personal recommendations. ...

 On average, reviews produce an 18% uplift in sales. ...

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  86% of people hesitate to do business with a company if it

has negative online reviews.

How do reviews affect consumers?

Online reviews affect the purchasing decisions of 67.7 % of

consumers. Positive reviews are beneficial for your business

because they improve your reputation, increase sales, enhance

ranking on search engines, and boost profitability.24 Sep 2019

How important are reviews to consumers?

Online customer reviews appear to be a great avenue

for grabbing consumer's attention and increasing sales. The

importance of customer reviews is tremendous as they are very

helpful to a vast majority of consumers and they are also

responsible for securing your online visibility in search

rankings.

Do user reviews wield too much influence?

Would you be interested? Well, according to the Bright Local

survey, an overwhelming 86% of customers read online reviews

before making a buying decision. This simple marketing tool may

have a huge impact on customer's behavior – both positive and

negative.

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Questionnaire Design

Questionnaire was designed keeping the objective of the research

in mind along with the following other basic things like type of

questionnaire, content, logical order etc.

Impact of Online Review to Consumer Buying Behaviour Online

Name:
Age:
Generation:
Gender:

Direction: check the column of your choice of answer.

1. How often do you purchase online?

Often Very often

2. What type of review platforms you’ve mostly checked?

Uploaded photos Video sharing Personal Blogs

3. Do you read product reviews before you purchase online?

Yes Sometimes Never

4. Does positive product review gives you an assurance in

your purchase?

Yes Sometimes Never

5. Does negative product review hinders you from purchasing a

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 product?

Yes Sometimes Never

6. If you really like/need a certain product do you let bad

reviews stop you from purchasing?

Yes Sometimes Never

7. Have you experience purchasing product with good reviews

but turned out to be with bad quality?

Yes Sometimes Never

8. Do you also leave / write reviews to the product you

purchase online?

Yes Sometimes Never

9. What do you prefer the most? Online or offline shopping?

Online Offline

Project Findings

Analysis

Limitations

Suggestion

Conclusion

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  Bibliography

 Online reviews impact purchasing decisions for over 93% of …

 https://www.thedrum.com › news › 2017/03/27 › online-r...

 Yes, Negative Reviews Can Impact Your Business But You Can…

 https://www.cmglocalsolutions.com › blog › yes-negative-...

 7 Reasons Why Customer Reviews are Important | e-

satisfaction.com

 The Impact of Online Reviews on Customer Decisions…

 https://www.thechatshop.com › article › impact-online-rev...

Data Sheet

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