The fake news effect: what does it mean for consumer behavioral intentions towards brands?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Aruba Sharif ◽  
Tahir Mumtaz Awan ◽  
Osman Sadiq Paracha

Purpose This study aims to understand how fake news can cause an impact on consumer behavioral intentions in today’s era when fake news is prevalent and common. Brands have not only faced reputational losses but also got a dip in their share prices and sales, which affected their financial standing. Hence, it is significant for brands to understand the impact of fake news on behavioral intentions and to strategize to manage the impact. Design/methodology/approach This study uses several branding and marketing concepts such as brand experience, brand trust, brand credibility, consumer behavioral intentions along with variables suggested by Elaboration Likelihood Model and Heuristic Systematic Model such as personal relevance/involvement. For fake news, news truthfulness, news credibility and source credibility are used. Findings The results of this study shows that positive brand experience, brand trust, brand credibility help in creating positive behavioral intentions for brands. This study shows that brands focusing on providing positive brand experience have a stronger brand trust and credibility and are affected less by fake news than those brands which do not emphasize on these factors. Practical implications This paper can assist brand managers in understanding the impact fake news can have on behavioral intentions of consumers. The managers can strategize such that the fake news affects their brands the least. Originality/value The authors in this paper attempt to fill in the gap in literature, which is to study how the fake news impacts the brands considering the credibility, trust and experience they establish with their customers. The existing literature discusses the generation and dissemination of fake news on social media and its impact on political scenarios and personalities. Also, studies explain the impact of fake news on the financial position of brands, but marketing facets are not tested empirically.

2016 ◽  
Vol 44 (6) ◽  
pp. 588-606 ◽  
Author(s):  
Imran Khan ◽  
Zillur Rahman

Purpose – The purpose of this paper is to examine the influence of e-tail brand experience on e-brand trust and e-brand loyalty. The study also tests whether gender moderates this influence. Design/methodology/approach – In all, 429 responses were collected using both offline and online survey methods. Confirmatory factor analysis and structural equation modelling techniques were performed to test the measurement and structural models using SPSS 20.0 and AMOS 20.0 statistical software. Findings – Empirical results confirm the impact of e-tail brand experience on e-brand trust and e-brand loyalty. Gender was found to moderate the relationships. It was further found that e-tail brand experience developed almost same levels of e-brand trust in both males and females. However, males became more loyal to e-tail brands when they received positive e-tail brand experiences. Practical implications – E-tail brand managers should focus on the design and delivery of unique e-tail brand experiences to develop e-brand trust and e-brand loyalty in customers. The direct influence of e-tail brand experience on e-brand loyalty was found to be weaker in females, which suggests that managers could take steps to specifically deliver experiences that please female customers which might result in increased e-brand loyalty of this segment. Originality/value – Examining the phenomenon of brand experience in context of online retail while considering gender as moderator highlights the originality and contribution of the present study to existing retail and brand experience literature.


2018 ◽  
Vol 36 (2) ◽  
pp. 393-408 ◽  
Author(s):  
Estelle van Tonder ◽  
Daniël Johannes Petzer

Purpose The purpose of this paper is to examine the impact of source credibility (expertise and trustworthiness) on perceived value (perceived usefulness (PU)), as well as the latter’s impact on sub-dimensions of customer citizenship behaviour (helping and advocacy intentions (AIs)) in an electronic banking services setting. Design/methodology/approach In total, 439 respondents who use at least one form of electronic banking service and who have previously received positive messages about electronic banking services from other customers were approached to complete a self-administered structured questionnaire. Findings Source credibility dimensions have a positive and significant relationship with PU. PU in turn has a positive and significant relationship with helping intentions and AIs as forms of customer citizenship. Research limitations/implications The findings advance understanding of the extent to which customers rely on the perceptions of other customers in determining the usefulness of a service as well as their willingness to advocate the benefits of the service and help other customers. Practical implications The findings may guide retail banks in obtaining a greater understanding of the customer citizenship behaviour process and the extent to which banks can rely on customers to convince other customers of the benefits of electronic banking services. Originality/value This study offers insight into the antecedents of the advocacy and helping intentions sub-dimensions of customer citizenship behaviour. It also explains how value between customers can be created by considering the elaboration likelihood model and social exchange theories, and customer citizenship behaviour.


2020 ◽  
Vol 122 (9) ◽  
pp. 2993-3007
Author(s):  
Hai Minh Ngo ◽  
Ran Liu ◽  
Masahiro Moritaka ◽  
Susumu Fukuda

PurposeWhile the essential role of brand trust toward consumer decision to purchase food products has been well addressed, there has been still little research on its influential factors. The primary purpose of this study was to explore factors affecting consumer trust in brands of safe vegetables.Design/methodology/approachStructural equation modeling technique was applied to test the hypothetical relationships based on a sample of 361 consumers from a face-to-face interview in the urban areas of Hanoi city, Vietnam, in March and April 2018.FindingsThe authors' findings show that both brand credibility and brand reputation positively affected brand trust. The trustworthiness of a safe vegetable system had a more important role than the competence in building brand trust. While the effects of system trustworthiness on brand trust were found directly and indirectly (through brand credibility), system competence only had an indirect influence on brand trust via brand reputation. Notably, while risk recall directly reduced brand trust, risk information caused a directly positive effect on brand trust. In addition, the impact of food hazards on brand trust was indirect through brand credibility.Practical implicationsBased on our results, the Vietnamese government and stakeholders in the safe vegetable chain should improve brand trust based on fulfilling comprehensive traceability, expanding the brand reputation and providing an appropriate risk communication strategy to the public.Originality/valueThis study is one of the first attempts to model and evaluate factors affecting brand trust in the food sector directly and indirectly.


2019 ◽  
Vol 31 (5) ◽  
pp. 610-645 ◽  
Author(s):  
Richard Huaman-Ramirez ◽  
Dwight Merunka

Purpose The purpose of this study is to examine how brand attachment is related to brand experience. The model tests the partial mediating role of brand trust and the moderating role of age and income. Design/methodology/approach A total of 334 participants consuming brands with an experiential offering completed an online questionnaire in a cross-sectional study. The data were analyzed through partial least squares structural equation modeling (PLS-SEM), and advanced methods such as the heterotrait–monotrait ratio and the Henseler’s multigroup analysis were used. Findings Brand experience is positively related to brand attachment, more so for younger consumers. This relationship holds for both hedonic and utilitarian brands. Results demonstrate the partial mediation of brand trust in this relationship, especially for utilitarian brands, and with a weaker indirect relationship for high-income consumers. Research limitations/implications The research was conducted in one country (Peru). Generalizability of results should be established by carrying out additional studies in other settings or countries. Practical implications Experiential marketing both as a positioning strategy and through marketing operations may help brands to increase consumer attachment. This may be managed both through the direct effect of favoring positive experiences and through the enhancement of brand trust. This is particularly the case for target markets composed of young and low-to-medium-income consumers. Originality/value Results confirm the impact of brand experience on brand attachment for both utilitarian and hedonic brands, and establish both the mediating role of brand trust and the moderating role of age and income. These are new insights on the process itself and on boundary conditions of an important established relationship.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Halil Erdem Akoglu ◽  
Oğuz Özbek

PurposeAdopting the brand resonance approach, this research aimed to reveal the effect of emotional (perceived quality) and rational (brand trust) factors between brand experience and brand loyalty.Design/methodology/approachThis article uses the brand resonance model to examine the above-mentioned relationship. The sample of the study consisted of 385 sports consumers between the ages of 18 and 65 years. An online survey was used to collect data and surveys were delivered to sports consumers via social media. Using SmartPLS 3.0 software, a partial least squares structural equation modeling analysis was conducted in this study.FindingsThe results support the hypotheses and demonstrate the importance of quality and trust in building customer loyalty for companies in the sports industry. Brand experience has a positive direct effect on perceived quality, brand trust and brand loyalty. It has been revealed that there is an important intermediary role of perceived quality and brand trust that manages the relationship between customers' brand experience and brand loyalty.Practical implicationsThe findings of this study are essential for brands that want to develop and are included in the sports industry in the online shopping environment, which increases with the development of technology to create long-term loyalty in customers.Originality/valueIt reveals two mediating roles in the relationship between brand experience and brand loyalty, namely perceived quality and brand trust. These research results help to understand the processes of shaping the loyalty of sports consumers towards sports brands. Unlike previous studies, it examines this relationship in the sports industry by adding new mediator variables and contributes to the development of the model.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mazzini Muda ◽  
Muhammad Iskandar Hamzah

PurposeIn spite of the increasing organic and interactive marketing activities over social media, a general understanding of the source credibility of voluntary user-generated content (UGC) is still limited. In line with the social identity theory, this paper examines the effects of consumers' perceived source credibility of UGC in YouTube videos on their attitudes and behavioral intentions. Additionally, source homophily theory is included to predict the antecedent of source credibility.Design/methodology/approachThree hundred and seventy two Generation Y respondents were interviewed using snowball sampling. Data were analyzed with component-based structural equation modeling technique of partial least squares-structural equation modeling (PLS-SEM).FindingsFindings confirmed that perceived source credibility indirectly affects purchase intention (PI) and electronic word-of-mouth via attitude toward UGC. Besides, perceived source credibility mediates the effect of perceived source homophily on attitude toward UGC.Practical implicationsSince today's consumers have begun to trust and rely more on UGC than company-generated content on social media when making purchase decisions, companies may reconsider democratizing certain aspects of their branding strategies. Firms may fine-tune their marketing communication budgets – not only just by sponsoring public figures and celebrities but also by nurturing coproductive engagements with independent content creators who are ordinary consumers. Endowed with their imposing credibility, these micro-influencers and prosumers have high potentials to be uplifted to brand ambassadors.Originality/valueWhile consumers' purchase outcome can be measured easily using metrics and analytics, the roles of source homophily in stages leading up to the purchase is still elusive. Drawing on the rich theoretical basis of source homophily may help researchers to understand not only how credibility and attitude are related to PI but also how this nexus generates positive word of mouth among UGC followers within the social media circles.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Khudejah Ali ◽  
Cong Li ◽  
Khawaja Zain-ul-abdin ◽  
Muhammad Adeel Zaffar

PurposeAs the epidemic of online fake news is causing major concerns in contexts such as politics and public health, the current study aimed to elucidate the effect of certain “heuristic cues,” or key contextual features, which may increase belief in the credibility and the subsequent sharing of online fake news.Design/methodology/approachThis study employed a 2 (news veracity: real vs fake) × 2 (social endorsements: low Facebook “likes” vs high Facebook “likes”) between-subjects experimental design (N = 239).FindingsThe analysis revealed that a high number of Facebook “likes” accompanying fake news increased the perceived credibility of the material compared to a low number of “likes.” In addition, the mediation results indicated that increased perceptions of news credibility may create a situation in which readers feel that it is necessary to cognitively elaborate on the information present in the news, and this active processing finally leads to sharing.Practical implicationsThe results from this study help explicate what drives increased belief and sharing of fake news and can aid in refining interventions aimed at combating fake news for both communities and organizations.Originality/valueThe current study expands upon existing literature, linking the use of social endorsements to perceived credibility of fake news and information, and sheds light on the causal mechanisms through which people make the decision to share news articles on social media.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tao Zhou

PurposeThe purpose of this research is to draw on the elaboration likelihood model (ELM) to examine users' information adoption intention in online health communities (OHC).Design/methodology/approachThe authors collected 350 valid responses using a survey and conducted the moderated regression analysis to examine the research model.FindingsThe results indicated that users' information adoption intention is influenced by both central cues (argument quality) and peripheral cues (source credibility and emotional support). In addition, self-efficacy moderates the effect of both central cues and peripheral cues on information adoption intention.Originality/valuePrevious research has focused on the effect of individual motivations such as reciprocity and benefits on user behavior, and has seldom disclosed the influencing process of external factors on OHC users' behavioral decision. This research tries to fill the gap by adopting ELM to uncover the mechanism underlying OHC users' information adoption.


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