Are you wondering how your consumers buy a product online?
How you proceed?? Let me tell you how I make my decisions to purchase and I strongly believe most of your consumers would be following the same steps
- Search on google / amazon (Mostly by required features eg. Hard wood shoe rack or sometimes directly by product name eg. Apple iPhone 6 plus.
- View all suggestions – variants, similar products, sometimes even advertised products, etc.
- Shortlist – Shortlist products (Based on required features and price ranges)
- Reviews – Scroll down to the reviews section of shortlisted products
Check the ratings for the product (On Amazon, I found it easy to evaluate the reviews as amazon lets consumers view the critical reviews separately)
E-consultancy study suggests 61% of consumers refer to online reviews before making purchase decision.
It is crucial for you as an e-tailer to track reviews for your products.
Online reviews are one of the most effective ways of consumer driven marketing.
Mckinsey found two-third of the 20,000 consumers regard online reviews and word of mouth for the active evaluation.
What E-tailer can monitor from the online reviews?
Brands can evaluate the consumer perception towards their products by analyzing the product reviews. Like, a fashion brand would benefit by evaluating the consumer’s attitude towards style and color of the product.
In E-commerce it’s not only the manufacturer and consumer. Product has to travel a lot before reaching its final destination. Third Party Logistics handle the packaging services. For the outsourcing decisions, Manufacturers can evaluate the Logistic Providers by opinion mining from the online reviews.
Quality control is the never ending process. Manufacturers need to ensure their products meet quality standards. Sentiment Analysis facilitates manufacturers to derive at the features necessary for quality assurance.
Like, for a Cotton Kurta of pink color, the quality acceptance of the fabric used can be accessed from the reviews. The reviews like this would help Manufacturer in accessing the parameters that need to be improved.
Online reviews can also be used to find defects in the products and improving and thus assist in the correction of inadvertent mistakes.
Negative reviews for your products lets you classify the reasons for dissatisfaction.
Like, the below image for reviews of bean bag would let seller conclude the reason for the dissatisfaction as the material used. The consumer prefers to buy bean bag of Rexine material.
For a new product development or competitive analysis, E-tailer can refer to the online reviews available for the competition to analyze the consumer demand.
Like, for launching a new smartphone: Mobile company can analyze the positive reviews for the competitor products. From the online reviews, the Must Have Should Have Could Have Would Have (MOSCOW) analysis can be done for deciding the attributes of the product.
A review posted by a user for a mobile clearly states the Pros and Cons of a specific mobile. Evaluation of these would help to set features for a new entrant.
Some tips for E-tailers for handling their Negative reviews:
- Politely respond to the consumer reviews.
- Respond smartly and quickly: Do not delay in reverting to the consumer queries. Revert and resolve the issues consumer is facing.
- If required resolve the matter personally on offline mode.
- For the false/ fake reviews, request the e-commerce sales channels like amazon, Flipkart, etc. to remove those justifying yourself.
- Do not ignore negative reviews. Evaluate them and perform root cause analysis to arrive at the possible causes. Ishikawa Analysis can be used to find the potential causes for the problem.
- Encourage your customers to leave reviews online. Don’t be afraid of the negative reviews. Keep in mind – To offset the impact of negativity, positivity is must.
- Smartly highlight the positive aspects of your product while responding to the negative reviews.