wjousts writes:
Panos Iperitos set out to study the dollar value of online reputation, and along the way he discovered the counter-intuitive ways that reviews inform it
Not surprisingly, people are willing to pay a premium (up to 5%) to buy a product for a seller with a good reputation, but interestingly, negative product reviews can lead to higher sales:
One reason is that buyers gain confidence that "if this is the worst this product will throw at me, it must be pretty good."
"Negative reviews that are specific actually tend to serve as risk mitigators," says Ipeirotis
On the other hand, the phrase "good packaging" makes it sound like there was nothing else in the transaction worth complimenting.
Spelling and grammar in reviews also have an impact. So much so that unconfirmed rumors have suggested that shoe seller Zappos has spent $0.10 per review to have Amazon's Mechanical Turk correct spelling and grammar in Zappos reviews.