Abstract

Faced with an abundance of information on online review platforms, users must find helpful reviews written by reliable reviewers. Consumers reviewing local businesses (e.g., restaurants) can be categorized as either locals or travelers. For example, identifying as a local or a traveler signals different kinds of knowledge and perspective. Yet, it remains unclear how helpful such categories are to platform users. This study investigates the relationship between identification as a local reviewer and the helpfulness of one’s online reviews. Using data from Yelp.com, we empirically test hypotheses derived from attribution theory. Our results suggest that neutral and positive reviews by locals tend to be perceived as more helpful than traveler reviews. Conducting an additional online experiment, we find that causal attribution mediates the impact of a reviewer’s local status on helpfulness. Our findings carry valuable practical implications for both online review platforms and local offline businesses.

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When does Local Status Matter? – The Relationship between Reviewer Location and Perceived Usefulness of Online Reviews

Faced with an abundance of information on online review platforms, users must find helpful reviews written by reliable reviewers. Consumers reviewing local businesses (e.g., restaurants) can be categorized as either locals or travelers. For example, identifying as a local or a traveler signals different kinds of knowledge and perspective. Yet, it remains unclear how helpful such categories are to platform users. This study investigates the relationship between identification as a local reviewer and the helpfulness of one’s online reviews. Using data from Yelp.com, we empirically test hypotheses derived from attribution theory. Our results suggest that neutral and positive reviews by locals tend to be perceived as more helpful than traveler reviews. Conducting an additional online experiment, we find that causal attribution mediates the impact of a reviewer’s local status on helpfulness. Our findings carry valuable practical implications for both online review platforms and local offline businesses.