Online Retail In Review | DX3 Digest

For Online Retailers Looking To Stand Out, Effective Customer Review Incentives Are Key

Generally speaking, I am not someone you would expect to be involved with product reviews.? I don?t read critic insights on a movie or book I?m about to pay for, and after I?ve visited a restaurant I?m not terribly inclined to share my thoughts about the food I have eaten. Truthfully, I find it all much too subjective. And yet despite all this I?ll be the first to admit that, when I am considering an online purchase, I always go straight for the reviews section of the particular site I?m on.

This has, to this day, always made me stop and wonder.? Why is it that I am willing to put faith in a complete stranger who I have never met and who potentially has no qualifications to review the product in question? Does the appearance of transparency that comes with an ?amateur? review versus a professional one somehow make the former more credible? And finally, what is it that compels people to provide these reviews (oftentimes without hope of compensation or benefit to themselves) that ultimately prove so influential in the buying decisions of others?

These are all questions that, even as I willingly admit my own dependency upon online product reviews, I find myself asking over and over again.

Before I go any further, I want to distinguish the difference between my recognition of the value of online product reviews and my ambivalence towards simple ratings systems. Although many ecommerce sites offer customer ratings for their products, these are often not substantiated by further clarification as to why such these ratings were awarded. ?This means that a simple ?5 stars? system or something along those lines is a woefully uninformative resource for those looking to get specific insight into the merits of their potential purchase.

Written reviews, on the other hand, are immensely useful. Countless times I have almost hit the buy button only to see reviews explaining why the product I was about to purchase is inadequate on my screen. ?I never take these reviews at face value, but I?ve been consistently surprised to find well-written, well-argued reviews that have directly impacted my final purchase decision. Unlike simple ratings systems, a written review by a fellow shopper gives me the ability to understand what lead them to dislike (or like) the product in question and also affords me the opportunity to then evaluate their reasoning. If the latter holds up to scrutiny, I know whether to trust that reviewer?s opinion.

But what does the reviewer get out of this deal? Where is the incentive for strangers to help guide me in my own online shopping endeavours? ?Also important: what does the manufacturer do with this invaluable market research?

I?d like to see a greater emphasis focused on encouraging a culture of feedback on online retail sites. A big part of this would involve presenting some kind of incentive for customers to spend their time and effort commenting on products they have purchased. This could be in the form of price or shipping discounts for prolific reviewers, in-store loyalty points, or perhaps extra access to deals and promotions.

Now of course there is always the fear of customers ?gaming? the system with dozens of shoddy reviews just to get discounts, but that is why I would instead propose a comprehensive approach. Amazon, for example, does a great job of allowing reviewers to rate each other people?s reviews. This is an extra level of quality control that helps buyers make informed decisions, but also encourages accurate and well-written reviews. A system along these lines would make a loyalty-based reviews system significantly more feasible. It also would have the added benefit of potentially giving manufacturers valuable insight into the strengths and potential weaknesses of their products.

There are nearly no examples of online retailers making use of such a system? yet. I?d love to see this be the area where Canadian companies could take the lead ? especially as it?s still relative pioneer territory. ?In a landscape that?s becoming rapidly more crowded, an early adopter of a comprehensive review system that has clear incentives for customers to contribute could stand head and shoulders above the competition.

As a proud Canadian example, I?ve been excited to learn recently that Ren?s Pet Depot is incorporating a review process into their ecommerce site (run by Demac Media) that will specifically seek to encourage customer reviews.?? This launches on August 23^rd so it will be extremely interesting to see how well it works in practice.

Let?s hope their new system gets positive reviews.

Source: http://digest.dx3canada.com/2012/08/21/online-retail-in-review/

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