Marketing Letters

, Volume 25, Issue 2, pp 179–191

Product recalls and the moderating role of brand commitment

Authors

    • 395 Mendoza College of BusinessUniversity of Notre Dame
  • Rajdeep Grewal
    • Smeal College of BusinessPennsylvania State University
  • William T. RossJr.
    • School of BusinessUniversity of Connecticut
  • Rajendra K. Srivastava
    • Lee Kong Chian School of BusinessSingapore Management University
Article

DOI: 10.1007/s11002-013-9250-5

Cite this article as:
Germann, F., Grewal, R., Ross, W.T. et al. Mark Lett (2014) 25: 179. doi:10.1007/s11002-013-9250-5

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.

Keywords

Brand commitmentProduct recallCorporate crisesExperimentEvent study

Copyright information

© Springer Science+Business Media New York 2013