User Generated Reviews Provide Greater Transparency and Trust for Retail Companies

User generated reviews allow potential customers to see what experiences other people have had with a company in the past. This results in increased transparency and trust for retail companies in relation to their potential customers. According to a Local Consumer Review Survey from 2014, 88% of people have determined the quality of a business by reading customer reviews, and 39% of people read reviews regularly. Reviews can help individuals looking to purchase products from retail companies determine which companies they should trust and which companies they should not.

There are many things you can learn about a retail company through user generated reviews. The amount of people who have given reviews about a retail company online is indicative of how many people have purchased and used the products. Ratings displayed through 1-5 stars can be summarized into an overall rating for the retail company. Comments explaining what previous customers have encountered and experienced with the retail company can allow the potential customer to weigh the pros and cons of utilizing that retail company. User generated reviews help form trust and convey transparency and act as a link between the company and their customers.

Quantity

Reviews can provide information regarding quality and quantity. Consumers need to know how many people have purchased the product before them, not just how exemplary the product is. By researching a company you will be able to see how many people have purchased products from their site. This will give insight to whether or not the company is reliable. If it’s not, people wouldn’t keep buying from that company! Customer reviews give honest feedback to whether or not you should be spending your money at a certain retail company.

Ratings

You will be able to receive a summary of the ratings of the retail company. Ratings can give you a visual towards which companies perform well. Today’s age of online shopping and retail companies may make consumers weary about purchasing goods online, so ratings and seeing if people had satisfactory experiences can help ease the worry that comes along with online shopping from various retailers.

Comments

Aside from the initial amount of people giving customer reviews and giving the company a rating out of 5, previous customers who have purchased products from the retail company will be given a chance to share their opinion; either positive or negative. Either way, you will gain insight to customer experiences with certain companies. Comments vary from shipment time and cost, product prices, manufacturing warranty and product flaws, operation instructions and hazards, etc.

A balance of positive and negative comments indicates the pros and cons of purchasing a product from a retail company, especially online. It is beneficial when users give descriptions of the products that they’ve purchased and their encounters with them, as well as compare the products to other brands who sell the same types of things. In the case of retail companies, it is important to know whether or not the apparel is made with quality material and that the products are coming from a trusted place. Negative reviews can help to increase trust within a brand as well. What works for one person may not work for another; people have different styles and preferences. It is effective for a potential customer to weigh the good and bad of all retail companies.

Third party reviews are not on the retail company’s website, but on their own unrelated website. According to an article from ConversionXL, “Third party reviews are, by and large, a good thing for consumers as well as for your business. At least in theory, it promotes meritocracy. If your service is good, you get good reviews. If it’s bad, you get bad reviews. Customers are granted greater transparency, and good businesses get more trust (and therefore more business).”                                                                                                
eKomi is a company that collects real customer reviews for shops, products, and services. eKomi awards different companies with either a gold, silver, bronze, or standard seal of approval so that potential customers can make informed purchasing decisions. 123Stores is one retail company that was awarded a bronze seal of approval by eKomi. eKomi reviews for 123Stores may provide insight to different aspects of the retail company, such as products sold, or even 123Stores customer service. For making informed purchasing decisions among various retail companies, be sure to use eKomi for customer reviews! Reviews can help bridge the gap between retail companies and their potential customers.