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Consumers Perceive That Whole-Number Average Ratings Reflect Less Variable Distributions

Fri, October 18, 3:30 to 4:45pm, Hyatt Regency - Atlant, Hanover B

Short Abstract

Consumers perceive less dispersion in the distributions of whole-number average ratings (e.g., 4) compared to those of non-whole-number average ratings (e.g., 4.10)—even when this is statistically unlikely. This effect is a product of the representativeness heuristic and drives consumer choice because consumers frequently prefer products with less variability.

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