Do product reviews really reduce search costs?

The literature on online product reviews is based on the fundamental premise that reviews impact search costs and also affect consumers' confidence in their purchase decisions. However, this proposition has not been proven in the literature. To this end, we conducted an experiment using an eye-tracking machine to measure the impact of online editorial and customer reviews on consumer's information search costs and on decision confidence. Search costs in this study are defined in terms of time costs and cognitive effort costs. We find that when present, both editorial reviews and customer reviews separately reduce both search time and cognitive effort considerably, but not when present together. We also find that the presence of both types of reviews increases decision confidence considerably, but do not lower search costs. These results suggest that ecommerce firms can benefit from the presence of either or both editorial and customer reviews through either lower search costs, or higher decision confidence. We conclude with several managerial recommendations for ecommerce firms.
Publisher
TAYLOR & FRANCIS INC
Issue Date
2017-08
Language
English
Keywords

ONLINE CONSUMER REVIEWS; WORD-OF-MOUTH; EYE-TRACKING; VISUAL-ATTENTION; DECISION-MAKING; EXPERT REVIEWS; INFORMATION; INTERNET; DEMAND; CONFIDENCE

Citation

JOURNAL OF ORGANIZATIONAL COMPUTING AND ELECTRONIC COMMERCE, v.27, no.3, pp.199 - 217

ISSN
1091-9392
DOI
10.1080/10919392.2017.1332142
URI
http://hdl.handle.net/10203/225204
Appears in Collection
MG-Journal Papers(저널논문)
Files in This Item
There are no files associated with this item.
  • Hit : 74
  • Download : 0
  • Cited 0 times in thomson ci
This item is cited by other documents in WoS
⊙ Detail Information in WoSⓡClick to seewebofscience_button

qr_code

  • mendeley

    citeulike


rss_1.0 rss_2.0 atom_1.0