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The Influence Of Online Reviews On Customer Decisions In Algerian E-Marketplaces

Author

Listed:
  • Khaled Khellil
  • Kamilia Loucif

Abstract

This study examined how online review dimensions – quantity, consistency, reviewer expertise, and product ratings – influence purchasing decisions in Algeria’s emerging e-marketplace. While electronic word-of-mouth (eWOM) is pivotal in global e-commerce, research remains skewed towards developed economies, leaving North African contexts under-studied. In countries such as Algeria, low digital literacy and limited customer trust may alter consumer behaviour. Using the partial least squares structural equation modelling method (PLS-SEM) on survey data from 61 Algerian online shoppers, the study found that product ratings exert a statistically significant effect on purchase decisions, whereas review quantity, consistency, and reviewer expertise lack statistical impact. This contrasts with established markets, suggesting that Algerian consumers prioritise simplified metrics, such as ratings, due to cognitive load and distrust of complex review systems. Methodologically, the research validated PLS-SEM’s robustness for small-sample contexts, while theoretically challenging universal assumptions about eWOM efficacy. Practical insights highlight the need for platforms to enhance rating transparency and authenticity in nascent markets. Future studies should explore cultural and infrastructural moderators in similar regions and integrate mixed methods to uncover behavioural nuances.

Suggested Citation

  • Khaled Khellil & Kamilia Loucif, 2025. "The Influence Of Online Reviews On Customer Decisions In Algerian E-Marketplaces," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 70(246), pages 141-174, July – Se.
    • Handle: RePEc:beo:journl:v:70:y:2025:i:246:p:141-174
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    References listed on IDEAS

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    1. Marko Sarstedt & Christian M. Ringle & Joseph F. Hair, 2022. "Partial Least Squares Structural Equation Modeling," Springer Books, in: Christian Homburg & Martin Klarmann & Arnd Vomberg (ed.), Handbook of Market Research, pages 587-632, Springer.
    2. Pradeep K. Chintagunta, 1993. "Investigating Purchase Incidence, Brand Choice and Purchase Quantity Decisions of Households," Marketing Science, INFORMS, vol. 12(2), pages 184-208.
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    Cited by:

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    Keywords

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    JEL classification:

    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing
    • L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce

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