Numbers Speak Where Words Fail: Exploring the Effect of Online Consumer Reviews on Consumer Decision Making

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Abstract

Consumers are increasingly relying on online consumer reviews (OCRs) to facilitate their decision making process as a credible source of information. This study seeks to explicate why consumers deem OCRs as helpful and how they make use of OCRs in their decision making process. By drawing on Simon’s decision making model, this study posits that the two forms of OCRs (i.e., numerical ratings and opinionated reviews) facilitate consumers’ decisional processes in terms of the effectiveness of constructing consideration sets and the efficiency of arriving at a final decision. Consumers’ performance in decisional process in turn determines the justifiability of and the confidence in their decisional outcomes. To empirically test all the hypotheses proposed in this study, a field survey was conducted on users of a custom-developed online restaurant review website equipped with OCR curation features and populated with real restaurant review data. Except for two unexpected findings, all hypotheses were supported by the data analysis results. It is worth noting that, numerical rating exerts stronger positive influence on decisional process efficiency comparing to opinionated review. Furthermore, decisional outcome justifiability mediates the positive effects of both decisional process effectiveness and decisional process efficiency on decisional outcome confidence. This study contributes to both research and practice by offering a more in depth explanation to consumers’ reliance on OCRs through the lens of bounded rationality and providing excitable guidelines for enhancing the benefits of OCRs via curation features.
Original languageEnglish
Title of host publicationHCI in Business, Government and Organizations : Supporting Business. Proceedings Part II
Editors Fiona Fui-Hoon Nah, Chuan-Hoo Tan
Volume11
Place of PublicationCham
PublisherSpringer
Publication date2017
Pages246-263
ISBN (Print)9783319584836
ISBN (Electronic)9783319584843
DOIs
Publication statusPublished - 2017
Event4th International Conference on HCI in Business, Government and Organizations. HCIBGO 2017 - Vancouver Convention Centre, Vancouver, Canada
Duration: 9 Jul 201714 Jul 2017
Conference number: 4
http://2017.hci.international/hcibgo

Conference

Conference4th International Conference on HCI in Business, Government and Organizations. HCIBGO 2017
Number4
LocationVancouver Convention Centre
CountryCanada
CityVancouver
Period09/07/201714/07/2017
OtherHeld as Part of HCI International 2017
Internet address
SeriesLecture Notes in Computer Science
Volume10294 LNCS
ISSN0302-9743

Keywords

  • Bounded rationality
  • Curation design
  • Decisional outcome
  • Decisional process
  • Online consumer review

Cite this

Liu, A. F. (2017). Numbers Speak Where Words Fail: Exploring the Effect of Online Consumer Reviews on Consumer Decision Making. In F. F-H. Nah, & C-H. Tan (Eds.), HCI in Business, Government and Organizations: Supporting Business. Proceedings Part II (Vol. 11, pp. 246-263). Cham: Springer. Lecture Notes in Computer Science, Vol.. 10294 LNCS https://doi.org/10.1007/978-3-319-58484-3_20
Liu, Albert Fei. / Numbers Speak Where Words Fail : Exploring the Effect of Online Consumer Reviews on Consumer Decision Making. HCI in Business, Government and Organizations: Supporting Business. Proceedings Part II . editor / Fiona Fui-Hoon Nah ; Chuan-Hoo Tan. Vol. 11 Cham : Springer, 2017. pp. 246-263 (Lecture Notes in Computer Science, Vol. 10294 LNCS ).
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abstract = "Consumers are increasingly relying on online consumer reviews (OCRs) to facilitate their decision making process as a credible source of information. This study seeks to explicate why consumers deem OCRs as helpful and how they make use of OCRs in their decision making process. By drawing on Simon’s decision making model, this study posits that the two forms of OCRs (i.e., numerical ratings and opinionated reviews) facilitate consumers’ decisional processes in terms of the effectiveness of constructing consideration sets and the efficiency of arriving at a final decision. Consumers’ performance in decisional process in turn determines the justifiability of and the confidence in their decisional outcomes. To empirically test all the hypotheses proposed in this study, a field survey was conducted on users of a custom-developed online restaurant review website equipped with OCR curation features and populated with real restaurant review data. Except for two unexpected findings, all hypotheses were supported by the data analysis results. It is worth noting that, numerical rating exerts stronger positive influence on decisional process efficiency comparing to opinionated review. Furthermore, decisional outcome justifiability mediates the positive effects of both decisional process effectiveness and decisional process efficiency on decisional outcome confidence. This study contributes to both research and practice by offering a more in depth explanation to consumers’ reliance on OCRs through the lens of bounded rationality and providing excitable guidelines for enhancing the benefits of OCRs via curation features.",
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Liu, AF 2017, Numbers Speak Where Words Fail: Exploring the Effect of Online Consumer Reviews on Consumer Decision Making. in FF-H Nah & C-H Tan (eds), HCI in Business, Government and Organizations: Supporting Business. Proceedings Part II . vol. 11, Springer, Cham, Lecture Notes in Computer Science, vol. 10294 LNCS , pp. 246-263, Vancouver, Canada, 09/07/2017. https://doi.org/10.1007/978-3-319-58484-3_20

Numbers Speak Where Words Fail : Exploring the Effect of Online Consumer Reviews on Consumer Decision Making. / Liu, Albert Fei.

HCI in Business, Government and Organizations: Supporting Business. Proceedings Part II . ed. / Fiona Fui-Hoon Nah; Chuan-Hoo Tan. Vol. 11 Cham : Springer, 2017. p. 246-263 (Lecture Notes in Computer Science, Vol. 10294 LNCS ).

Research output: Chapter in Book/Report/Conference proceedingArticle in proceedingsResearchpeer-review

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Liu AF. Numbers Speak Where Words Fail: Exploring the Effect of Online Consumer Reviews on Consumer Decision Making. In Nah FF-H, Tan C-H, editors, HCI in Business, Government and Organizations: Supporting Business. Proceedings Part II . Vol. 11. Cham: Springer. 2017. p. 246-263. (Lecture Notes in Computer Science, Vol. 10294 LNCS ). https://doi.org/10.1007/978-3-319-58484-3_20