Online shoppers don’t have the luxury of touching and feeling products or physically trying them, but they can read about products and the user experience from a variety of like-minded people, which makes sensible shoppers out of Web users. And informed and sensible shoppers likely take less customer service resources and likely return fewer items.

A report on the impact of consumer reviews by a US based Yhelp and Bazaarvoice have found ,   among other things, that conscientious consumers write reviews to help others make better purchase decisions and that even negative review can improve merchants’ operations and conversions.

According to them, “80 percent of all product reviews receive four or five-star ratings. Even the remaining 20 percent, the four-stars or lower ratings, can help increase conversion. Quality is relative to each user and a negative review may be trivial to one shopper but important to another. One consumer may give a laptop a two-star rating because the display produces a glare in the sunlight. However, this comment may be insignificant to an office worker.”

The report noted that, “Negative reviews can even improve company operations as analysing the authentic feedback and using it to make improvements is important to deliver the products that customers demand.

Reviews inform brands of their shortcomings, which helps the companies improve processes and product offerings. Customer reviews can also tip off brands to potential business opportunities. Companies that address negative reviews to customers’ satisfaction send the message that they genuinely care about their customers, which often leads to increased sales and brand loyalty.”

The report further indicated that shoppers are 186 percent more likely to purchase from a brand that responded to a review where the product’s owner misused or provided deceptive information over a company that did nothing. In the word of online reviews, however, not all shopping experiences are treated equally. Customer reviews are less likely to influence a decision making process when a consumer is adamant about obtaining a specific brand.

It noted that all reviews whether positive or negative add value to the consumer’s experience, as well as his or her perception of an organisation. The idea is to drive both positive and negative reviews so the consumer can make the best possible purchase decision