Impact of Online Reviews in E-tailer Platforms
Stuart School of Business research presentation by: Harold L. Stuart Endowed Chair in Business Siva K. Balasubramanian and Zheng Zhou
Impact of Online Reviews in E-tailer Platforms: The Influence of Platform, Reviewer, and Review Characteristics on Overall Product Ratings and Purchase Intentions
- Harold L. Stuart Endowed Chair in Business Siva K. Balasubramanian
- Zheng Zhou (Ph.D. Management Science ’20), Assistant Professor of Business Analytics, Lewis University
Abstract:
Online reviews have become a vital influence on consumer purchase decisions, with shoppers increasingly aware of their potential use for manipulation. This study examines how perceptions of platform, reviewer, and review characteristics impact review outcomes such as overall product ratings and purchase intentions. Using higher-order structural equation modeling using a large-scale survey of United States consumers, findings reveal that all three constructs—platform, reviewer, and review trustworthiness—significantly influence purchase intention, with perceived reviewer trustworthiness having the strongest effect and influencing perceived review trustworthiness. Additionally, multiple-group analysis shows that annual online spending levels significantly affect these relationships. This research enhances our understanding of consumer response to online reviews, offering practical insights for e-tailers and platforms on managing consumer perceptions effectively.
All Illinois Tech faculty, students, and staff are invited to attend.
The Friday Research Presentations series showcases ongoing academic research projects conducted by Stuart School of Business faculty and students, as well as guest presentations by Illinois Tech colleagues, business professionals, and faculty from other leading business schools.