Buying a new product??? Let’s check the reviews first.

Posted by Ajay Vinayan and Keshav Dhawan (Team 69)

May what people say or brag about them being brand loyal. At some point of time, they tend to have a change, whether it be a brand or the whole product itself. That is what everyone likes, move along with the trend, and change as per the world changes.

So you are going to buy a new phone, do not buy without having a look at the reviews and ratings. Have you checked the unboxing and review video on YouTube? That phone is awesome, I just read its reviews. That new brand is better I heard, the mobile specialists on Facebook says so.

I have been a constant phone changer, and I have heard along the years since I started using mobile phones and kept changing it for a better model available. I sometimes, get into dilemma with the comments my friends give. A person who has only used an iPhone can never comment on a Android operated Samsung device.

So what do we resort to, consumer reviews from those who have actually used them. Be it a phone, or any other random product in the world worth like an investment, I do not think there is any individual who does not go for a review check before buying that product.

And the best part of it, you yourselves also give your insights on the products you have used.  Consider social media as a bait or just a platform, it is pounding huge impacts on each and every brand. The good and bad, boon and curse, name the feature, you can get all of it in just the click of a button, known as the Social Media. When a new product launches, Social media is the one who usually decides it fate.

Below is a research study conducted by Nielsen and McKinsey on the impact of social media on brand marketing.

Consumers are spending more time than ever using social media, as demonstrated in the Social Media Reportrecently published by Nielsen and NM Incite, a Nielsen/McKinsey company. Building on this report, research by NM Incite helps uncover what impacts social media may have for marketers trying to build their brands and connect with their audience more directly.

Social media plays an important role in how consumers discover, research, and share information about brands and products. In fact 60 percent of consumers researching products through multiple online sources learned about a specific brand or retailer through social networking sites. Active social media users are more likely to read product reviews online, and 3 out of 5 create their own reviews of products and services. Women are more likely than men to tell others about products that they like (81% of females vs. 72% of males). Overall, consumer-generated reviews and product ratings are the most preferred sources of product information among social media users.
Nielsen Mckinsey Logo

Research shows that social media is increasingly a platform consumers use to express their loyalty to their favorite brands and products, and many seek to reap benefits from brands for helping promote their products. Among those who share their brand experiences through social media, at least 41 percent say they do so to receive discounts. When researching products, social media users are likely to trust the recommendations of their friends and family most, and results from Nielsen’s Global Online Survey indicate that 2 out of 3 respondents said they were either highly or somewhat influenced by advertising with a social context.

Preferred-source1

Social Media also plays a key role in protecting brands: 58 percent of social media users say they write product reviews to protect others from bad experiences, and nearly 1 in 4 say they share their negative experiences to “punish companies”. Many customers also use social media to engage with brands on a customer service level, with 42 percent of 18- to 34-year-olds acknowledging that they expect customer support within 12 hours of a complaint.

CompanyExperience1

On the flip side, another interesting trend is the interest of consumers to act as ambassadors and advocates for brands through social media. A majority of active social networkers (53%) follow brands. These brands are increasingly recruiting their fans and followers to spread word-of-mouth recommendations about their products and services, and among consumers who write product reviews online, a majority say their share their experiences to “give recognition for a job well done” by the company. Social media users are also interested in collaborating with their favorite brands, with 60 percent of 18- to 34-year-olds saying they want to give product improvement recommendations, and another 64 percent who want to customize their products.

To conclude, do you think, Social Media as a single entity is the ultimate fate to new products in line to enter the big market?

Do you trust on your own instincts, or rather would like to believe someone whom you have never met, whose intellectuality you have no idea about?

http://www.nielsen.com/us/en/insights/news/2011/how-social-media-impacts-brand-marketing.html

Advertisements

14 thoughts on “Buying a new product??? Let’s check the reviews first.

  1. Brand Loyalty is not an ambition to be achieved, being loyal to brand it a two way relationship, company makes the product keeping the values and weights of consumer in mind and in return consumer reward the company with the purchase of that product, even though before purchasing the consumer may go through reviews of friends peers or online community(social media), its just that when making a purchase the priority will be to the brand he is showing his loyalty to. Being loyal does not put an obligation on consumer to buy a value deficient product from its valued company.

    No definately not social media will not decide the fate it may accelarate sales to boost profit, may enhance marketing of the product but ultimately it will be the value proposition of the product that may decide the success or failure of a product in market place. Necessity will always be sold irrespective of social media.

    I would rather trust my own and near ones if the product is really costly to me in terms of finance, time, emotions, safety. But can have trust strangers and social media with other products if the products value is immaterial to me.

    Liked by 1 person

  2. Social media cannot single handedly be the ultimate fate for new products because much as we tend to listen to what others say about different new products, most of us want to find out for ourselves what the product is like so we go out of our way and buy it and then decide whether it’s as good or bad as it’s been made out to be. Reviews that people write on social media can be useful or harmful depending on the writer’s motive so one just has to be discerning on which ones to believe in. What one considers to be important attributes in a particular product may not be my main concerns or visa versa, so at the end of the day I don’t rely so much on reviews but on what appeals to me as an individual.

    Liked by 1 person

  3. I am inclined to agree with the above comments – while social media is definitely a great tool to reach out to those audiences who use it most, I am not sure it will manage or solve all future marketing strategies on it’s own. In just the same way that companies today use a variety of different modes or media to reach their target audiences, companies of the future will do the same – and they will include social media in the mix of strategies they use. Many people like to check out reviews or their friends, particularly if they are making a large investment in a product.

    I am rather disinclined to trust someone I don’t know, but someone who has celebratory status who endorses a product can influence people toward the product – although even then I tend to be somewhat cynical as to their genuineness – we all know they are saying good things because they are being paid to do so. Good solid word of mouth, good and consistent reviews of the product, the after sales service, the little extras a company can do to make the purchase experience better and being competitive on price for the quality of the product will always be important in a purchase decision.

    Liked by 2 people

  4. Hi guys,
    Point acknowledged. I am also a same person who does have a same kind of thinking when it comes to social media and its impact over different products. Now the reason I have chosen this topic is to get an opinion from people on what they respond and how they decide with such situations. Glad to hear, that most of us here are like-minded. When it comes to social media, an individual who is loyal to a specific brand would not like to change it as long as the brand serves his need. So does that challenge new products? It might or it won’t, but the question arises on how to gain their attention who are completely bound to stick to a single brand. Social media plays a crucial part and this drives them most of the times to change their decisions. That is what have explained in this blog, and how social media affects consumers at large.

    Like

  5. Thanks for this great post. I am planning to buy a new phone – Samsung galaxy s6 recently. If you ask me ‘Will you check the reviews before you buy the new phone?’ My answer would be ‘Yes’. I did check the reviews on YouTube two days ago and got lots of ideas and comments about it. I think that is the phone I want based on the reviews, but I still will ask my close friends for comments and I will go to the store to try and feel it by myself before I make the decision. Why? A new phone is a shopping purchase with medium involvement for me. I need spend time and effort before the purchase. For convenience and low involvement purchases, I won’t even check the reviews and just go to try it. While, for specialty and high involvement purchases, I usually spend a lot more time and effort before the purchase.

    In my opinion, Social Media as a single entity is not the ultimate fate to new products in line to enter the big market, but is one of the tools. I trust on my own instincts and word of mouth from my close friends, while still would like to know someone else’s experiences and comments of the product.

    Cheers,
    Ivy

    Liked by 1 person

    • Thank you Ivy for the response. Yes I understand that it(Social Media) is not the ultimate fate to deciding a product value. But it still holds an integral part in consumer decision, yes but obvious, for a larger investment mostly. We consumers as a whole, go by trend and find it helpful about others giving good reviews on your desirable purchase. Making it crisp, if not the decision maker, social media definitely gives a boost to the decision, maybe we can say it acts as a catalyst, both positively and negatively.
      Last but not the least, All the best on buying your new phone.

      Regards,
      AJ

      Like

  6. My own research and WOM from people I know and whose opinion I value and trust guides my purchasing decisions. I find the social media reviews and comments useful only in pointing to considerations I may not have thought off (particularly of a new product I have not engaged with before) and the volume of positive or negative feedback is also helpful. I am mostly believe that people are more motivated to complain that provide positive feedback and so take individual reviews with a grain of salt. I wonder if this is a generational thing – from a middle aged man who doesn’t have a Facebook account.

    Like

  7. I agree with @davin306. Brand loyalty is not an ambition to be achieved. Nowadays, customers are usually follow the marketing trends when they buy something and tend to listen to what others say about different products. Some customers buy a new product just because of the outlooking. Social media can be good or bad, i think it’s depends on customers.after purchase the product and give the feedback. It’s hard to measure whether it’s good or not.

    Like

  8. I always recommend validating product, I recognize there are many successful online businesses created by entrepreneurs that just went with their gut or that created demand where no demand existed prior. No single approach is appropriate for every person, product and business. I recommend you decide what you think is best for you. All validation tactics are done to build confidence before investing your time and money. There is no single test that can give you an answer, rather it’s a combination of everything, including your gut feeling, you should rely on.

    Like

  9. according to some research, for nearly 9 in 10 consumers, an online review is equally as important as a personal recommendation. With word-of-mouth still the most popular way of recommending a local business, this stat highlights the value of a positive review.

    However, this trust comes with a caveat. There is almost a 50/50 split in what drives trust for this 88% of consumers. For one half, this trust will only be granted if there are multiple reviews to read. For the other half, this trust is dependent on the reviews being authentic. In this case, quality is equally as important as quantity.

    The subject of fake reviews has had a lot of news coverage and is clearly in the consciousness of the average consumer. It’s likely that they will only become more discerning in their trust of reviews as this issue becomes more prevalent.

    Like

    • Thank you @ce732 for your reply. I accept to the fact that reviews or word of mouth have a connection between consumers and products, and the nature of the reviews influence consumer decision, be it positive, negative or false. Quality plays a role when you have to produce enough impact to create an impression.

      Like

      • No worries @ajayvinayan93. I believe that reviews or word of mouth, even bad ones are better than nothing! Just like what they say: there is no such thing as bad press exposure. Hope my point would help you in your reflective eaasy.

        Like

  10. Thank you @ce732. Yes definately it will help in making reflective essay.
    even I acknowledge to the way that surveys or informal exchange have an association in the middle of buyers and items, and the way of the audits impact customer choice, be it positive, negative or fake. Quality assumes a part when you need to create enough effect to make an impression.

    Individuals trust in surveys/Reviews more than the brand royality or quality.

    Like

  11. I agree with most of the comments in here. I do read reviews for some products but sometimes I follow my instinct too. Reading reviews can influence people’s purchasing decision. I usually decide to buy a product if it has good reviews from many people, not only by one person. It will strengthen my decision to buy the product if any of my friends have ever bought the products or experience with it.

    The research that was conducted in this website on 2013, 79% Of Consumers Trust Online Reviews As Much As Personal Recommendations. http://searchengineland.com/2013-study-79-of-consumers-trust-online-reviews-as-much-as-personal-recommendations-164565

    Social media definitely can help new product to enter the market but it is not the only tool. You need people to aware of your new products are exist in the market before social media can help. You need to spend some money for marketing campaign or advertisement for people to be attracted to buy new products.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s