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Navigating the complexities of online opinion formation: An insight into consumer cognitive heuristics

Author

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  • Zhang, Ruonan
  • Yu, Zhaoyang
  • Yao, Weiran

Abstract

Few studies have considered changes in consumer perceptions when faced with multiple levels of review ratings. Drawing on availability heuristic theory, we aim to explore the synergistic effects of different levels of review ratings on consumers' cognitive processes. Using a longitudinal dataset of reviews from 4637 restaurants on Yelp, we conducted an empirical study using individual and time-dual fixed-effects models. Our findings indicate that easy-to-retrieve (review) rating is better than aggregate ratings in predicting consumer purchase decisions. The inconsistency between easy-to-retrieve and aggregate ratings influences consumers' cognitive heuristic when interpreting online reviews. Additionally, inconsistencies and proportional changes in expert and amateur reviews influence consumer perceptions of different levels of information. Furthermore, we conducted two online experiments to validate the distinguishing impact of aggregate versus easy-to-retrieve ratings on consumers. These findings provide insightful implications for understanding consumers’ cognitive heuristics in online consumption contexts.

Suggested Citation

  • Zhang, Ruonan & Yu, Zhaoyang & Yao, Weiran, 2024. "Navigating the complexities of online opinion formation: An insight into consumer cognitive heuristics," Journal of Retailing and Consumer Services, Elsevier, vol. 81(C).
  • Handle: RePEc:eee:joreco:v:81:y:2024:i:c:s0969698924002625
    DOI: 10.1016/j.jretconser.2024.103966
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