Is Neutral Review Objectively Rated? The Influence Of E-Wom On Online Product Purchase With Social And Physical Risks

ABSTRACT

The COVID-19 pandemic is forcing consumers to change their buying behavior from conventional transactions to online purchases. Online purchases can make it easier for consumers to transact virtually, but it can raise consumer concerns about the risk of the product being purchased. The purpose of this study is to analyze the effect of the nature of e-WOM (positive vs neutral vs negative) on risk perceptions in online product purchases with different levels of risk. This research was conducted in 2 studies using the experimental research method between participant design. The total number of study participants was 114 people. Study 1 aimed to analyze the effect of the nature of e-WOM (positive versus neutral versus negative) on risk perceptions by using online shopping site manipulation. Study 2 aims to determine the role of e-WOM by using a more risky product. The results show that positive reviews reduce consumer concerns about the risk of buying, compared to negative reviews, but have no effect on neutral reviews. The interesting results of this study suggest that neutral reviews rated more negatively on products with physical risks. This study supports the social judgment theory in persuading consumers and categorizing different messages. The implication from the research is for companies to manage and pay attention to customer satisfaction to increase positive comments on the product purchasing experience. © 2022 Bangladesh Institute of Legal Development. All Rights Reserved.