No matter what you do, I still love you: an examination of consumer reaction to brand transgressions

Published on May 11, 2021in Journal of Product & Brand Management
· DOI :10.1108/JPBM-07-2019-2450
Eric Kennedy4
Estimated H-index: 4
,
Francisco Guzmán16
Estimated H-index: 16
Sources
Abstract
This paper aims to examine the impact that brand transgressions, and the effect of an apology or lack thereof, have on consumers’ intentions to co-create with a brand, perceived brand equity and brand love, and compares these effects on brands that are viewed positively versus brands that are viewed negatively.,Two studies were deployed. In the first study, a 2 × 2 between subjects factorial design using fictitious brands is used to test the hypotheses. The second study seeks to replicate the findings of the first study by using a brand connected to a real retailer.,Regardless of a brand issuing an apology or not, co-creation, higher perceived brand equity and increased levels of brand love, are more likely to occur when a consumer views a brand as being positive versus negative. However, the results vary when the consumer has a prior level of knowledge and a stronger relationship with a brand.,This paper focuses on consumers between the ages of 18 and 29 years. While the findings of Study 1 are mostly replicated in Study 2, a more generalizable sample could create additional insights into the impact of brand transgressions and issuing or not an apology.,The findings of this paper add to the current literature on co-creation, brand equity, brand love and theory of reasoned action, in terms of the impact of an apology, or lack thereof, on brand transgressions and consequent consumer responses.
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