Consumer Response to Negative Publicity: The Moderating Role of Commitment

TLDR

Negative brand information is widespread, yet systematic studies of how consumers process it are scarce. The authors conduct three studies to bridge this gap and to apply the framework for testing response strategies against negative publicity. They employ a theoretical framework to design and test response strategies for consumers with high and low brand commitment. The first two studies establish a framework for processing negative information and reveal that consumer commitment moderates its effects.

Abstract

Even though negative information about brands and companies is widely prevalent in the marketplace, except for case studies, there has been no systematic investigation of how consumers process negative information about the brands they like and use. In the three studies in this research, the authors attempt to bridge this gap. The findings of the first and second studies provide a theoretical framework for understanding how consumers process negative information in the marketplace. Commitment of the consumer toward the brand is identified as a moderator of negative information effects. In the third study, the authors use this theoretical framework to derive and test response strategies that companies can use to counter negative publicity for consumers who are high and low in commitment toward the brand.