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Social commerce: bad reviews are good for business

Social commerce: bad reviews are good for business
Thursday February 2 2012

When it comes to social commerce, bad product reviews are good for business according to data from social commerce company Reevoo.

Sixty-eight per cent of consumers trust reviews more when they see both good and bad scores, while 30% suspect censorship or faked reviews when they don’t see bad scores. Shoppers who go out of their way to read bad reviews convert 67% more highly than the average consumer.

Three times as many consumers actively seek out and read negative user generated content as look for positive content: negative reviews are even more popular than “most recent reviews”, or “reviews from people like me”. Shoppers who seek out bad reviews are highly engaged with their pre-purchase research, viewing almost four times as many products as the average visitor to a site, and staying considerably longer.

Richard Anson, founder and CEO of Reevoo, said: “Consumers who seek out negative reviews outperform the average visitor to a website: we see a 67% bump in conversion rates for these shoppers. Counter-intuitive as it may seem, negative user-generated content is actually one of the most effective conversion tools,” he added.

The balance between positive and negative comments that a brand or retailer attracts varies according to whether a proactive or passive reviews strategy is employed. Download Reevoo’s ebook for more information on proactive/passive strategies and why bad reviews are good for business.

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