Effect of Online Reviews and Ratings on Consumer Purchase Decisions

Abstract

In the digital economy, one of the most important elements influencing customer purchasing decisions is now online reviews and ratings. They serve as social evidence, assisting customers in assessing products and lowering perceived risk and information asymmetry. This study uses primary data gathered from 210 respondents via a structured questionnaire to examine how online reviews and ratings affect consumer purchasing decisions. The data was analyzed using multiple regression, correlation analysis, and descriptive statistics. The results show that perceived credibility and review valence the positive or negative aspects of reviews have a big impact on consumers' intentions to buy. Star ratings are also significant, although their influence is lessened when review trustworthiness is taken into account.