How does star rating influence consumers' willingness to pay a premium? The roles of brand image, consumer involvement, and review volume

Saxena, Arun ORCID: https://orcid.org/0000-0002-1661-3739 (2023) How does star rating influence consumers' willingness to pay a premium? The roles of brand image, consumer involvement, and review volume. Doctoral thesis, O.P. Jindal Global University, Haryana, India.

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Abstract

Star ratings, prominently displayed on online retail websites, are influential in guiding shoppers’ decisions. However, scholarly research into their role in shaping perceptions of brands and willingness to pay is still limited. This study steps into this space, providing an understanding of star ratings' impact on consumer behavior. This study examines the effects of star ratings on online consumer behavior. This research study focused on answering five questions: (1) do star ratings influence shoppers' willingness to pay a premium? (2) do star ratings influence shoppers’ brand image perceptions? (3) Do shoppers’ brand image perceptions influence their willingness to pay a premium? (4) does the rating volume influence shoppers' perceptions, implying social influence? (5) does the purchase involvement moderate star rating persuasion? Drawing upon the theoretical frameworks of social influence and persuasion, the study employs a 2x2 between-subjects experimental design across two individual studies, dissecting the impact of star ratings on willingness to pay a premium (WTPP), with the brand image as a mediating factor. Study 1 focuses on the moderating effect of purchase involvement on ratings, while Study 2 delves into the moderating role of the rating volume. An obscure brand was selected to prevent bias resulting from pre-existing brand awareness. Pretests were conducted to determine appropriate levels for factors such as star rating, rating volume, purchase involvement, and the chosen 'obscure' brand. Data from 216 and 206 respondents from Study 1 and Study 2, respectively, were analyzed using Multivariate Analysis of Variance (MANOVA) and the Hayes process. Additional checks were conducted to ensure the robustness of the results, including evaluations for construct reliability, validity, discriminant validity, and potential common method bias. Four key findings emerged from the study: (1) The star rating has a positive effect on both brand image perception and WTPP, (2) Brand image perception fully mediates the relationship star rating and WTPP, (3) There is a significant interaction between star ratings and rating volume, which moderates the effect on brand image perception, and (4) The effect of star ratings on brand image perception is moderated by the level of purchase involvement. 6 The study extends marketing strategy, social psychology, and communication theory literature, offering practical insights for online marketers. Important managerial implications include the strategic use of star ratings in advertising and pricing strategies, emphasizing their role in enhancing brand image, influencing consumer WTPP, and optimizing market positioning. These findings suggest that businesses can leverage star ratings to reduce advertising spending, tailor advertising narratives, and inform dynamic pricing strategies, ultimately enhancing their competitive edge in the online marketplace. The study acknowledges its limitations and suggests future research directions, paving the way for a deeper understanding of the relationship between star ratings and consumer behavior in online retail.

Item Type: Thesis (Doctoral)
Uncontrolled Keywords: ratings | rating volume | social influence | brand image | willingness to pay a premium | WTPP | purchase involvement
Subjects: Social Sciences and humanities > Business, Management and Accounting > General Management
Divisions: Jindal Global Business School
Depositing User: Ms Kanishka Gupta
Date Deposited: 16 Sep 2026 09:58
Last Modified: 16 Sep 2026 12:17
URI: https://pure.jgu.edu.in/id/eprint/12608

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