User-generated content like reviews, ratings or questions contains valuable consumer insights. That’s why we would like to share this interesting and important study of KelloggInsight – Kellogg School of Management at Northwestern University, Chicago
Why reviews and customer opinions are crucial to the product development process.
Consumer products rarely remain static. Therefore they continually evolve based on customer needs. For a long time companies have relied on expensive market research to find out how customers feel about their products and how they can improve.
Nowadays, with the huge amount of marketplaces and web shops, new opportunities arise. We are talking about customer feedback on the internet in the form of reviews, ratings and other forms of user generated content.
At least for some categories, we are able to fully eliminate the need to conduct interviews and focus groups. And that is the most timeconsuming part of market research for customer needs.
Artem Timoshenko (KelloggInsight – Kellogg School of Management at Northwestern University, Chicago)
Interesting: 97 percent of the customer needs identified in the traditional market research interviews and focus groups were also found in the Amazon reviews. The quality of online reviews therefore can compete with expensive market research. (KelloggInsight)
Also: In comparison to regular market research, Amazon reviews contained eight additional customer needs (nearly 10 percent of the total), which were not mentioned during the conventional interviews. (KelloggInsight)
Visit KelloggInsight to read the whole study https://insight.kellogg.northwestern.edu/article/how-companies-can-mine-online-reviews-for-product-development-gold”>here.
