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Impact of Consumer-Generated Online Reviews and Ratings on Purchase Behavior and Sales Performance

Author

Listed:
  • Dr. Mahendra Daiya

    (Department of Fashion Management Studies, National Institute of Fashion Technology Jodhpur, Rajasthan, India)

  • Dr. Bhawana Maheshwari

    (Department of Commerce & Management Studies Lucky Institute of Professional Studies Jodhpur, Rajasthan, India)

Abstract

The digital age has transformed traditional consumer decision-making processes. Among the most influential phenomena reshaping modern consumer behavior are online reviews and ratings generated by users. This research paper explores how consumer-generated content (CGC), particularly reviews and ratings, influences consumer purchase behavior and the sales performance of businesses. By analyzing current academic literature and empirical studies, the paper investigates the psychological mechanisms behind review influence, the effects on brand perception, and the tangible outcomes on sales performance. The study concludes with a discussion on the business implications of these insights and provides a framework for leveraging CGC in marketing strategies.

Suggested Citation

  • Dr. Mahendra Daiya & Dr. Bhawana Maheshwari, 2025. "Impact of Consumer-Generated Online Reviews and Ratings on Purchase Behavior and Sales Performance," International Journal of Research and Scientific Innovation, International Journal of Research and Scientific Innovation (IJRSI), vol. 12(6), pages 1345-1350, June.
    • Handle: RePEc:bjc:journl:v:12:y:2025:i:6:p:1345-1350
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    References listed on IDEAS

    as
    1. Floyd, Kristopher & Freling, Ryan & Alhoqail, Saad & Cho, Hyun Young & Freling, Traci, 2014. "How Online Product Reviews Affect Retail Sales: A Meta-analysis," Journal of Retailing, Elsevier, vol. 90(2), pages 217-232.
    2. Michael Luca, 2011. "Reviews, Reputation, and Revenue: The Case of Yelp.com," Harvard Business School Working Papers 12-016, Harvard Business School, revised Mar 2016.
    3. Chris Forman & Anindya Ghose & Batia Wiesenfeld, 2008. "Examining the Relationship Between Reviews and Sales: The Role of Reviewer Identity Disclosure in Electronic Markets," Information Systems Research, INFORMS, vol. 19(3), pages 291-313, September.
    4. Park, Sangwon & Nicolau, Juan L., 2015. "Asymmetric effects of online consumer reviews," Annals of Tourism Research, Elsevier, vol. 50(C), pages 67-83.
    5. Michael Spence, 1973. "Job Market Signaling," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 87(3), pages 355-374.
    6. Michael Luca & Georgios Zervas, 2016. "Fake It Till You Make It: Reputation, Competition, and Yelp Review Fraud," Management Science, INFORMS, vol. 62(12), pages 3412-3427, December.
    Full references (including those not matched with items on IDEAS)

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