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Product recalls and the moderating role of brand commitment

Author

Listed:
  • Frank Germann
  • Rajdeep Grewal
  • William Ross
  • Rajendra Srivastava

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

Suggested Citation

  • Frank Germann & Rajdeep Grewal & William Ross & Rajendra Srivastava, 2014. "Product recalls and the moderating role of brand commitment," Marketing Letters, Springer, vol. 25(2), pages 179-191, June.
    • Handle: RePEc:kap:mktlet:v:25:y:2014:i:2:p:179-191
    DOI: 10.1007/s11002-013-9250-5
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    References listed on IDEAS

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    15. Tom Joonhwan Kim & Youjae Yi & Jongan Choi, 2020. "The boomerang effect of brand personality congruency in a product-harm crisis," Australian Journal of Management, Australian School of Business, vol. 45(4), pages 645-661, November.
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