Product recalls and the moderating role of brand commitment

Frank Germann (), Rajdeep Grewal (), William Ross () and Rajendra Srivastava ()

Marketing Letters, 2014, vol. 25, issue 2, 179-191

Abstract: We assess attenuating and augmenting effects of brand commitment on consumer responses when product recalls occur. Consistent with our theorization, results from a laboratory experiment and an event study show that high levels of brand commitment attenuate negative consumer responses in low-severity product recalls but augment them in high-severity product recalls. Thus, while brand commitment seems to provide a reservoir of goodwill in the former case, it acts as a liability in the latter. These findings add to the extant brand and product recall literature by demonstrating that brand commitment has a complex effect on consumer responses when product recalls occur. Because product recalls are widespread, these findings also have managerial relevance. Copyright Springer Science+Business Media New York 2014

Keywords: Brand commitment; Product recall; Corporate crises; Experiment; Event study (search for similar items in EconPapers)
Date: 2014
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Citations: View citations in EconPapers (22)

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DOI: 10.1007/s11002-013-9250-5

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