Dr. Abraham Ravid, professor of finance and chair of the finance department at Sy Syms School of Business, has had a paper accepted for publication with colleagues at the University of Texas on the effect of internet (user) reviews vs. professional reviews.
“This study is the first attempt to examine the effect of electronic word of mouth (user reviews) relative to expert reviews on movie-going decisions,” Dr. Ravid explained. “We find that expert ratings matter much more for movie-going decisions than user ratings and volume. Our data also shows that experts tend to be more critical (lower ratings) but more consistent in their reviews than users (who tend to offer ratings that vary a lot over time and among users). We find that experts, but not users, affect wide release movie going, contrary to industry thinking which suggests that it is the ‘artsy’ limited release movies which need expert reviews to succeed. Finally, we show that experts’ reviews matter most when consumers and critics are in closer agreement about the quality of the film.”
On another front, Dr. Ravid was interviewed by Marketplace. Here is a link to the segment broadcast Friday, April 12, 2019, with Michael Smith of Carnegie Mellon.