Do travel and other consumers use online reviews? - Yes
In today’s world travelers and consumers turn first to on line information for it ease and availability.
Are they willing to pay more for high ratings? - Yes
Consumers are more than willing to pay a slightly higher rate for such a service.
So says a recent study that found consumers were willing to pay at least 20% more for services receiving "excellent" or 5-star rating opposed to those receiving "good" or 4-star ratings.
"These data show the importance of local service review sites in consumers' purchase process," said Steve Marshall, Research Director for The Kelsey Group.
The study focused on examined the impact of consumer-generated reviews on the price consumers were willing to pay for a service delivered offline. The study covered hotels, restaurants, travel and other areas, according to comScore.inc.
The study is based on a survey of more than 2,000 US Internet users in October of 2007.
Nearly one out of every four Internet users (24%) reported using online reviews prior to paying for a service delivered offline. Of those who consulted an online review, 41% of restaurant reviewers subsequently visited a restaurant, while 40% of hotel reviewers subsequently stayed at a hotel.
More than three-quarters of review users in nearly every category reported that the review had a significant influence on their purchase, with hotels ranking the highest (87%).
Were the reviews accurate? The study found that 97% of those surveyed who said they made a purchase based on an online review said yes.
Review users also noted that reviews generated by fellow consumers had a greater influence than those generated by professionals.
"This study underscores the importance of providing not just good, but excellent, service if a business hopes to generate positive consumer reviews which will result in greater sales," said Brian Jurutka, Senior Director, comScore Marketing Solutions. Report by David Wilkening
RateNantucket.com represents a powerful way to connect you with customers on Nantucket and around the world. We get ever increasing number of unique users per month and many of them come online to find Nantucket companies that can provide them with the products and/or services they need. Our business database is growing every day with new additions in every category, but online users can't find your business unless you list it.
