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Why Amazon Product Reviews and Ratings are Important to Grow

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Why Amazon Product Reviews and Ratings are Important to Grow


The world is increasingly shifting to online shopping and has chosen Amazon as its flagbearer. The site’s efforts toward customer satisfaction have resulted in it building the kind of trust that attracts traffic in the millions. Third-party sellers have played a vital role in establishing that trust by doing their part in supporting customers throughout the sales funnel.

However, another component of this ecosystem that neither party contributes to but that matters as much as any other is Amazon product reviews and ratings.

There is no better marketer of your products than customers who have already bought them. Proof of that is provided by Amazon itself, which has found that 77% of customers looking to purchase a product will go through reviews and ratings before finalizing the transaction. That is why Amazon has provided a robust customer feedback mechanism. Sellers can use this to improve their listing and eStore reviews and ratings.

Here are some more reasons why product reviews for Amazon are the key to your online store’s success:

  • Your Products Will Rank High In Search Results

Online shoppers have a strong transactional intent. Most of them want their desired item to be found, bought, and delivered as soon as possible. So they search for that product using certain keywords, like the product’s name, type, brand, etc.

On the resultant search result page, the first few listings are more likely to get that sale. So, you must make sure they see your product on top of those results.

Customer reviews/ratings play a role in determining where your listings rank. According to many Amazon experts, the A9 search algorithm also considers customer reviews as criteria while deciding to rank products in respective search results. The more positive the reviews and ratings, the higher the ranking. And the greater the chances of you making a conversion.

  • Amazon Product Review Provides Word-Of-Mouth Marketing

Word-of-mouth has always been a staple of marketing. This is because people are likely to trust a person that has used that product over a company representative selling it. Amazon’s customer reviews and rating section does this very thing on a much larger scale. It lets prospective customers of a product learn about the experience it provides via others who are currently using it or have used it in the past.

So, even if that prospective buyer doesn’t know anyone close to them who has purchased and used that product, they are not deprived of the opportunity to learn about it from a third person. This means you will likely gain a new customer instead of a bounce.

  • They Can Help Improve Your Products

Market research is vital to creating products that customers want to buy. But that research doesn’t end during the initial stages of product development. The feedback that customers give after using the finished product is crucial to improving it. Manufacturers cannot foresee all the problems that may occur during a product’s usage as they don’t have the time to test the product that long. Thus, they rely upon customers to provide that information.

If you’re a vendor on Amazon, this feedback gives you direct insights into your products and the development lifecycle. If you’re a seller, you can learn more about the product and improve your description writing, along with passing on that information to the OEM.

  • They Improve Your Product Lineup

Following on the heels of improving your products themselves, Amazon customer reviews help improve your product lineup too. You are likely to make more sales if your product listings are in line with what the majority of your target audience is looking for. You may find information about what your customers want in the review section for a given period, enabling you to maximize current trends. It also lets you predict possible upcoming trends, which you can use to prepare for and change your product lineup accordingly.

  • You Get Information About Your Competitors

Competitor research is a proven way to improve your overall business process. You can learn what is working for them and what isn’t, helping you keep up with them or even outdo them. There are many sources that competitor research experts use to gather such important information ethically, one of which is customer reviews.

There are two ways you can gain information about your competitors through customers’ words. One is by analyzing the comments your competitors have received for their products and services. This is a more direct and time-saving approach but requires you to go through many reviews on many product pages of many competitors.

The other way is to analyze your product pages to find information that may have been provided by your customers who have used your competitors’ products and services. This is a game of chance but provides vital insights and direct comparisons about factors that may keep you ahead of your competitors or behind them. Either way, this kind of Amazon customer feedback will help you get an edge over the competition.

  • They Aid Your Marketing Efforts

Word-of-mouth isn’t the only type of marketing benefit you get from customer reviews and ratings. They contribute to every kind of marketing effort you could make on Amazon and beyond.

Your PPC campaigns’ CTR benefits greatly when you include high ratings in the ads. Likewise, with the inclusion of reviews. Such inclusions let the ad viewer know that your products/brand is trustworthy and have/has a proven track record of delivering on customer satisfaction. This builds trust and leads to increased traffic and conversions, especially with new customers.

Your SEO campaigns also get a boost since Amazon product reviews and ratings are important factors that the A9 algorithm considers while ranking your products in search result pages. The more the number of positive feedback elements, the higher the ranking. This also applies to your Sponsored Products ads; they will rank higher in search results pages if the product being advertised by them has lots of positive feedback.

Besides Amazon’s marketplace, these help you build your brand presence on other digital avenues too. Google’s search algorithm also prefers highly-rated products, so your products will appear prominently in google search results too, and in its “Shopping” section in particular. That is guaranteed to shoot up traffic to your product page.

Your social media marketing also reaches new heights. You can directly post your product reviews for Amazon purchases on your social media pages or let customers provide those reviews and ratings there. This will boost engagement on your social media accounts, spreading your brand name further and deepening brand trust simultaneously.

  • Your Customers Feel More Involved

Any customer will feel happy and empowered when they can actively contribute to developing and improving their favorite products. With reviews and ratings, they can do that easily.

A few sentences and taps/clicks to the star-based rating system are all it takes to change a product or the service they get possibly. Such engagement helps retain customers as they will feel that they matter and can get the product they want.

  • You Can Directly Interact With Your Customers

In traditional shopping, buyers interact with sellers directly before making a purchase. Online shopping doesn’t provide that opportunity, except in the review section. In conjunction with the Q and A section, Amazon product reviews give sellers on the platform an opportunity to reply to customers’ questions and statements.

You can ask customers about their motivation behind a negative review and assure them of rectifying the underlying cause. You can also take customers who leave behind positive comments and reviews, making them feel valued. These acts enhance a customer’s trust in your service, helping to retain them and spread your brand name through such positive experiences of theirs.

In Conclusion

Business deals have always been a two-way affair between seller and buyer. Online shopping via sites like Amazon introduced a new paradigm that has significantly reduced the interaction opportunities that made such seller-customer engagement possible.

Amazon customer reviews and ratings help bridge this communication gap while offering sellers many other benefits. Thus, they form a vital part of online selling that you can’t ignore, and their upkeep is something you should work on to keep your business heading in the right direction.

Featured Image Credit: Photo by Kampus Production; Pexels; Thank you!

Mike Wilsonn

Mike Wilsonn is a professional content strategist and writer working at SunTec India. He has over 5 years of experience creating compelling content on a multitude of topics like technology, travel, digital publishing, data management, and others. He pays special attention to eCommerce and Amazon Product Description Writing to help sellers successfully navigate the ever-changing eCommerce landscape.

Politics

Fintech Kennek raises $12.5M seed round to digitize lending

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Google eyed for $2 billion Anthropic deal after major Amazon play


London-based fintech startup Kennek has raised $12.5 million in seed funding to expand its lending operating system.

According to an Oct. 10 tech.eu report, the round was led by HV Capital and included participation from Dutch Founders Fund, AlbionVC, FFVC, Plug & Play Ventures, and Syndicate One. Kennek offers software-as-a-service tools to help non-bank lenders streamline their operations using open banking, open finance, and payments.

The platform aims to automate time-consuming manual tasks and consolidate fragmented data to simplify lending. Xavier De Pauw, founder of Kennek said:

“Until kennek, lenders had to devote countless hours to menial operational tasks and deal with jumbled and hard-coded data – which makes every other part of lending a headache. As former lenders ourselves, we lived and breathed these frustrations, and built kennek to make them a thing of the past.”

The company said the latest funding round was oversubscribed and closed quickly despite the challenging fundraising environment. The new capital will be used to expand Kennek’s engineering team and strengthen its market position in the UK while exploring expansion into other European markets. Barbod Namini, Partner at lead investor HV Capital, commented on the investment:

“Kennek has developed an ambitious and genuinely unique proposition which we think can be the foundation of the entire alternative lending space. […] It is a complicated market and a solution that brings together all information and stakeholders onto a single platform is highly compelling for both lenders & the ecosystem as a whole.”

The fintech lending space has grown rapidly in recent years, but many lenders still rely on legacy systems and manual processes that limit efficiency and scalability. Kennek aims to leverage open banking and data integration to provide lenders with a more streamlined, automated lending experience.

The seed funding will allow the London-based startup to continue developing its platform and expanding its team to meet demand from non-bank lenders looking to digitize operations. Kennek’s focus on the UK and Europe also comes amid rising adoption of open banking and open finance in the regions.

Featured Image Credit: Photo from Kennek.io; Thank you!

Radek Zielinski

Radek Zielinski is an experienced technology and financial journalist with a passion for cybersecurity and futurology.

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Politics

Fortune 500’s race for generative AI breakthroughs

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Deanna Ritchie


As excitement around generative AI grows, Fortune 500 companies, including Goldman Sachs, are carefully examining the possible applications of this technology. A recent survey of U.S. executives indicated that 60% believe generative AI will substantially impact their businesses in the long term. However, they anticipate a one to two-year timeframe before implementing their initial solutions. This optimism stems from the potential of generative AI to revolutionize various aspects of businesses, from enhancing customer experiences to optimizing internal processes. In the short term, companies will likely focus on pilot projects and experimentation, gradually integrating generative AI into their operations as they witness its positive influence on efficiency and profitability.

Goldman Sachs’ Cautious Approach to Implementing Generative AI

In a recent interview, Goldman Sachs CIO Marco Argenti revealed that the firm has not yet implemented any generative AI use cases. Instead, the company focuses on experimentation and setting high standards before adopting the technology. Argenti recognized the desire for outcomes in areas like developer and operational efficiency but emphasized ensuring precision before putting experimental AI use cases into production.

According to Argenti, striking the right balance between driving innovation and maintaining accuracy is crucial for successfully integrating generative AI within the firm. Goldman Sachs intends to continue exploring this emerging technology’s potential benefits and applications while diligently assessing risks to ensure it meets the company’s stringent quality standards.

One possible application for Goldman Sachs is in software development, where the company has observed a 20-40% productivity increase during its trials. The goal is for 1,000 developers to utilize generative AI tools by year’s end. However, Argenti emphasized that a well-defined expectation of return on investment is necessary before fully integrating generative AI into production.

To achieve this, the company plans to implement a systematic and strategic approach to adopting generative AI, ensuring that it complements and enhances the skills of its developers. Additionally, Goldman Sachs intends to evaluate the long-term impact of generative AI on their software development processes and the overall quality of the applications being developed.

Goldman Sachs’ approach to AI implementation goes beyond merely executing models. The firm has created a platform encompassing technical, legal, and compliance assessments to filter out improper content and keep track of all interactions. This comprehensive system ensures seamless integration of artificial intelligence in operations while adhering to regulatory standards and maintaining client confidentiality. Moreover, the platform continuously improves and adapts its algorithms, allowing Goldman Sachs to stay at the forefront of technology and offer its clients the most efficient and secure services.

Featured Image Credit: Photo by Google DeepMind; Pexels; Thank you!

Deanna Ritchie

Managing Editor at ReadWrite

Deanna is the Managing Editor at ReadWrite. Previously she worked as the Editor in Chief for Startup Grind and has over 20+ years of experience in content management and content development.

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Politics

UK seizes web3 opportunity simplifying crypto regulations

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Deanna Ritchie


As Web3 companies increasingly consider leaving the United States due to regulatory ambiguity, the United Kingdom must simplify its cryptocurrency regulations to attract these businesses. The conservative think tank Policy Exchange recently released a report detailing ten suggestions for improving Web3 regulation in the country. Among the recommendations are reducing liability for token holders in decentralized autonomous organizations (DAOs) and encouraging the Financial Conduct Authority (FCA) to adopt alternative Know Your Customer (KYC) methodologies, such as digital identities and blockchain analytics tools. These suggestions aim to position the UK as a hub for Web3 innovation and attract blockchain-based businesses looking for a more conducive regulatory environment.

Streamlining Cryptocurrency Regulations for Innovation

To make it easier for emerging Web3 companies to navigate existing legal frameworks and contribute to the UK’s digital economy growth, the government must streamline cryptocurrency regulations and adopt forward-looking approaches. By making the regulatory landscape clear and straightforward, the UK can create an environment that fosters innovation, growth, and competitiveness in the global fintech industry.

The Policy Exchange report also recommends not weakening self-hosted wallets or treating proof-of-stake (PoS) services as financial services. This approach aims to protect the fundamental principles of decentralization and user autonomy while strongly emphasizing security and regulatory compliance. By doing so, the UK can nurture an environment that encourages innovation and the continued growth of blockchain technology.

Despite recent strict measures by UK authorities, such as His Majesty’s Treasury and the FCA, toward the digital assets sector, the proposed changes in the Policy Exchange report strive to make the UK a more attractive location for Web3 enterprises. By adopting these suggestions, the UK can demonstrate its commitment to fostering innovation in the rapidly evolving blockchain and cryptocurrency industries while ensuring a robust and transparent regulatory environment.

The ongoing uncertainty surrounding cryptocurrency regulations in various countries has prompted Web3 companies to explore alternative jurisdictions with more precise legal frameworks. As the United States grapples with regulatory ambiguity, the United Kingdom can position itself as a hub for Web3 innovation by simplifying and streamlining its cryptocurrency regulations.

Featured Image Credit: Photo by Jonathan Borba; Pexels; Thank you!

Deanna Ritchie

Managing Editor at ReadWrite

Deanna is the Managing Editor at ReadWrite. Previously she worked as the Editor in Chief for Startup Grind and has over 20+ years of experience in content management and content development.

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