New Cone research reveals 80% consumers have changed their minds about purchasing a recommended product or service based solely on negative information they found online. This is up from just 67% of
consumers who said the same in 2010. Online information, a trustworthy source for 89% of consumers, has the power to make or break a product recommendation, concludes the report.
Positive
information has a similar effect on decision making, with 87% of consumers agreeing a favorable review has confirmed their decision to purchase. But, negative information is gaining traction and is
now just as powerful in tipping the scales against a recommended purchase.
advertisement advertisement Influence
of Information (% of Respondents) |
Influence | 2010 | 2011 |
Negative information I've read online has
made me change my mind about purchasing a product or service recommended to me | 68% | 80% |
Positive information I've read online has reinforced my decision to purchase a product or service recommended to me | 80 | 87 |
Source: Cone Trend Tracker, August 2011 |
Bill Fleishman,
president, Cone, says that "... online content on buying decisions cannot be ignored... marketers must... connect with those who have significant influence over their peers and will champion the
brand message."
Easy access to the Internet sends more consumers online to verify purchase recommendations. As compared to one year ago, consumers are more likely to purchase when they
can find online recommendations to support offline advice (85% versus 77%).
The report says that this year-over-year increase in online verification may be attributed to near-universal access
to the Internet and the pervasiveness of the smartphone. Today, online product or service information is literally at consumers' fingertips with 59% reporting that they are more likely to research
recommended products online because they can easily access applications on their mobile phones, and 81% crediting wide-spread access to the Internet.
Reasons For Research Online (% of Respondents) |
When
Research Online | 2010 | 2011 |
After recommendation before deciding whether to purchase it | 81% | 85% |
More likely to purchase when can find additional recommendations online | 77 | 85 |
Research online because easy access to Internet almost anywhere | n/a | 81 |
Research online because easy access on mobile phone | n/a | 59 |
Source: Cone Trend Tracker, August 2011 |
Consumers turn to product/service information and customer reviews, but blogs are gaining
traction.
Before Deciding To Purchase (% of Respondents) |
Go Online To: | 2010 | 2011 |
Research product/service information | 61% | 69% |
Search for consumer or user reviews | 55 | 64 |
Search for the product/service on ratings websites (e.g., Consumer Reports, Angie's List,
Yelp!) | |
43 | 50 |
Search for opinions from product/service experts | 38 | 43 |
Read articles or blog posts about the product/service | 28 | 42 |
Solicit opinions from their social network(s) | 10 | 12 |
Source: Cone Trend Tracker, August 2011 |
The increase in online purchase verification may also be attributed to careful spending. Americans are nearly 25% more likely to verify recommendations for high-cost
purchases, such as cars, today than they were in 2010 (89% today vs. 72%), while moderate- and low-cost purchases did not experience the same jump.
Technical Industries Most Often Require Recommendation Verification (% Of Respondents) |
Industry | Do Online Research After Recommendation | Find information useful/relevant |
Automotive and transportation (e.g., personal vehicles, vehicle maintenance, travel,
mass transit) | 53% | 55% |
Food and beverage (e.g.,
restaurants, bars, cooking/recipes, nutrition) | 39 | 49 |
Electronics and household appliances (e.g., tvs, refrigerators, computers) | 59 | 60 |
Health and beauty(e.g., cosmetics, hair care/stylists, diets, fitness) | 29 | 40 |
Consumer packaged goods (e.g., cleaning supplies, paper goods,
household products) | 24 | 36 |
Retail (e.g.,
department stores, convenience stores, supermarkets) | 29 | 46 |
Footwear and apparel (e.g., fashion designers, sportswear, handbags, jewelry, accessories) | 30 | 38 |
Sports, media and entertainment (e.g., concerts, movies, college sports, museums) | 33 | 44 |
Telecommunications (e.g., mobile phones, internet, cable) | 48 | 54 |
Financial and professional services (e.g., lawyers, real
estate agents, doctors, accountants) | 34 | 39 |
Source: Cone Trend Tracker, August 2011 |
Mike Hollywood, director of New Media, Cone, concludes that "... consumers want
reassurance... personal recommendations alone are not enough to guarantee a purchase... word-of-mouth channels and the adoption of online verification have changed the marketing landscape...
"
The 2011 Cone Online Influence Trend Tracker presents the findings of an online survey conducted June 27-29, 2011 by ORC International among a representative U.S. sample of adults.
The margin of error associated with a sample of this size is ±3%.
For additional information, please visit
Cone here.