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BizReport : Blogs & Content archives : July 18, 2019

Study: Fake reviews harming brands

In the digital space, merchants and brands are encouraged to include product reviews as part of their site content. Product pages need reviews, listings on sites like Amazon need reviews, and content on sites like YouTube need reviews. But, one new report, indicates the veracity of reviews is becoming more and more important.

by Kristina Knight

If your brand is including reviews as part of product content, make sure those reviews are truthful. That's a key takeaway from new Sift data which finds that 40% of consumers who have purchased a product, and later learned the reviews for it were fake or misleading, won't buy from that merchant or brand again. And, one-third of consumers have returned purchases because of fake reviews.

Researchers further found that while most consumers (71%) believe all consumer goods need product reviews, and most also believe that online reviews are "often fake/fraudulent" (85%).

"It all comes down to trust - whether your customers trust you, your products and the community you've created online. With 85% of respondents believing the reviews they read online are often fake or fraudulent, it's clear consumer trust is wavering," said Kevin Lee, Trust & Safety Architect, Sift. "Our findings show the direct affect fake reviews and content can have on user trust. It makes them wary of online companies - with 40% saying they will never buy from a brand again after just one run-in with a misleading review. Ultimately, fake reviews can lead to brand abandonment, which impacts overall business growth."

Other interesting findings from the Sift report include:

▪ 33% have returned products because of fake/fraudulent reviews
▪ 50% of businesses expect fake reviews/fraudlent content to increase over the next year
▪ 70% of consumers believe reviews are more important than star ratings

More data from Sift's Fake Review report can be accessed here.

Tags: advertising, ecommerce, ecommerce reviews, fake reviews, loyalty marketing, mobile marketing, product reviews, Sift

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