KOREASCHOLAR

Online reviews enable brands to promote their products by means of word-of-mouth communication. In an e-commerce environment, user-generated customer feedback, as a form of electronic word-of-mouth (eWOM), is a crucial source of information in the prepurchase stage as many customers base their purchase decision on feedback from other customers. eWOM is perceived as a reliable source of information and has become especially important in an online environment (Chevalier & Mayzlin, 2006; Li & Zhan, 2011). Existing research has shown that customer feedback positively influences sales (Chevalier & Mayzlin, 2006; Forman, Ghose, & Wiesenfeld, 2008; Ha, Bae, & Son, 2015). Yet, only very limited research on how to communicate customer feedback to maximize a company’s top-line growth has been conducted (Packard & Berger, 2017). In this study, we aim to fill this gap by investigating how numerical customer feedback metrics should be communicated to attract new customers. Using an experiment, we empirically investigate which of the two widely established numerical customer feedback metrics, a customer recommendation rate or a customer satisfaction rate, is better suited to attract new customers and hence stimulate company growth. The impact of the stimulus on the purchase process is measured by means of three different dependent variables to imitate the hierarchy of a purchase decision: consumers’ interest towards the ad, their attitude towards the product shown in the ad as well as their purchase intention. Furthermore, we include several moderating factors, which have proven to be relevant when looking at online reviews, namely product type as well as consumers’ motivation and ability to process persuasive communication (Gupta & Harris, 2010; Klein, 1998; Petty & Cacioppo, 1986).

• Gerrit Hufnagel(Ludwig-Maximilians-Universität Munich, Germany)
• Tobias Morath(Ludwig-Maximilians-Universität Munich, Germany)
• Manfred Schwaiger(Ludwig-Maximilians-Universität Munich, Germany)