Sep 11, 2007
Web Stores Tap Product ReviewsBy Mylene MangalindanOnline.WSJ.com

Retailers have long admired Web pioneer Amazon.com Inc.’s product reviews — in which consumers rate books and other products — for the way they help persuade shoppers to make online purchases.

Now, other companies are tapping new technology that generates similar product ratings and reviews specific to their own Web stores. Early last year, Bass Pro Shops, an outdoor gear retailer, began displaying product ratings and reviews using an online-software service from a company called Bazaarvoice Inc. The software runs on Bazaarvoice’s computers and Bazaarvoice monitors the review content, so Bass Pro didn’t need to buy custom-built software or add staff to handle reviews.

Within six months of turning to the service, Bass Pro had generated reviews for 10,000 products ranging from $2 fishing lures to $500 propane-gas grills on its 18,000 Web pages. The Springfield, Mo., retailer ran fourth-quarter promotions touting the top-rated customer product picks and saw a 59% increase in the rate that shoppers made purchases, said David Seifert, director of operations in Bass Pro’s direct-marketing unit. That is significantly higher than the normal “conversion rate” of 3% to 5% when an average customer visits the site without a promotion and makes a purchase, he said.

“The payback was huge,” said Mr. Seifert, who had abandoned the idea of product ratings four years ago due to the high cost of hiring staff and buying in-house software. “I’m a happy camper.”

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