The Antecedents and Consequences of Brand Forgiveness
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Transcript of The Antecedents and Consequences of Brand Forgiveness
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The Antecedents and Consequences of Brand Forgiveness
Leigh Anne Novak DonovanJoseph PriesterC. Whan Park
University of Southern California
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Forgiveness
Repurchase versus Abandon
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3 Basic Questions
1. Antecedents
2. Consequences
3. Conceptual Model
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Methodology
4 Studies
o Manipulated Scenarioo Starbucks and iPod
o Measured Hypothetical Responseso Nike
o Real World Failureo iPhone
o Autobiographical Actual Product Failures
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RelationshipsConsumer –Brand Relationships
Brand-Self Connection
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Relationship Forgiveness
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Relationship Forgiveness
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Starbucks Scenario Results
Relationship Upsetx
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Forgiveness
Satisfaction Relationship Forgiveness
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Nike Survey Study
Relationship Forgiveness
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Why?
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Relationship Forgiveness
Attribution
Trust
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“Apple’s iPhone Price Cut Unleashes Complaints”
Sept 6th, 2007
Relationship Compassion Forgiveness
Solution to the
Problem
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Relationship Forgiveness
Attribution
Trust
Emotions
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ForgivenessFuture
Behaviors
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iPod Study
2 Scenarios Measure RelationshipPositive or Negative
Scenario 1 Brand Failure
You have compiled a playlist for your vacation.
iPod fails on vacation
Scenario 2 Brand Success
You have compiled a playlist for your vacation
Your iPod performs as
expected
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Repurchase: By Attachment and Scenario
0
1
2
3
4
5
6
7
8
9
10
LOW MID HIGH
POSITIVE OUTCOME NEGATIVE OUTCOME
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Forgiveness to Future Behaviors
Forgiveness
Willing to defend the brand
Less likely to seek revenge
Willing to consume the product in the future
Willing to repurchase the brand
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Autobiographical Failures
Relationship Forgiveness Purchased Since Failure
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The End!
Thank you very much for your attention!
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Overall Model
Brand Relationship
Forgiveness Behaviors
Attributions
Trust
Emotions
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2 Hypotheses
How does the relationship influence forgiveness
1) Marketing LiteraturePredict that those with a relationship would be less likely to forgive. Expectation Disconfirmation (Oliver)Relationship leads to increased expectations
Expectations
Strong Relationship 7.47Weak Relationship 5.98 (55.09, p < .0001)
2) Psychology LiteratureRelationship would lead to forgivenessRelationships increase relationship maintenance behaviors
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• Customer betrayal and retaliation: when your best customers become your worst enemies
• Yany Grégoire and Robert J. Fisher2
• The transgression become more hurtful when you are in a relationship
• Oliver’s expectation disconfirmation– Satisfaction = ƒ(expectations, disconfirmation)
• ACSI – Customer Expectations (disconfirmation) Satisfaction, along with other
factors: perceived quality and perceived value
• Service failure and recovery: The impact of relationship factors on customer satisfaction
• Hess, R. L., Ganesan, S., & Klein, N. M. (2003)
• In this literature, it is suggested that relationships may be able to buffer failures
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Starbucks Study
• We manipulated a brand failure scenario
• Starbucks – Failure– Given the wrong drink and it is cold
• Will consumers be willing to forgive?
• Who will be more likely to forgive – those with or without a relationship?
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Starbucks Results
• Relationship positively predicts forgiveness(F(1, 169) 55.02, p < .0001)
• Interestingly, the relationship does not predict how upset participants were with Starbucks following the failure (p>.05)
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Nike Study Results
• Willingness to forgive is predicted by all of our relationship measures
Attach (p < .0001), RCI (p < .0001), Escalas BSC (p < .0001)
• We now know that the relationship influences forgiveness
• Why?
• We are able to show 2 independent mediators
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Mediated by Attribution
• To what extent do you think that when something goes wrong with Nike shoes, it does not reflect its true quality?
(F(1, 190) 47.65, p <.0001)
(F(1, 190) 52.17, p <.0001)
(F(2, 190) 3.64, p =.06)
Sobel Test = 4.26, p < .0001
Relationship
Attribution
Forgiveness
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Mediated by Trust
• Trust Nike
(F(1, 190) 73.91, p < .0001) (F(1, 190) 58.68, p < .0001)
(F(2, 190) 1.22, p = .27)
Sobel Test = 4.87, p < .0001
Relationship
Trust
Forgiveness
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iPhone Results
• Again, we replicate that the relationship leads to forgiveness (F(1, 211) 10.43, p = .0014)
• The relationship leads to an emotional response towards the brand and the price cut (F(1, 211) 13.06, p = .0003)
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Mediated by Emotion
(F(1, 211) 13.06, p = .0003) (F(1, 211) 153.95, p < .0001)
(F(2, 211) 1.27, p = .26)
Sobel Test = 3.52, p = .0004
(F(1, 211) 4.2, p = .0418)
Relationship
Compassion
Forgiveness
Response a Solution to
the Problem
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Does Forgiveness lead to Future Behaviors?
• Starbucks Study
– Forgiveness predicts willing to defend the brand in the future (F(1, 169) 53.11, p < .0001)
– Forgiveness makes people less likely to seek revenge on the company (F(1, 169) 9.53, p = .0024)
– Forgiveness predicts willingness to drink Starbucks in the future (F(1, 169) 44.05, p < .0001)
– Forgiveness makes people more willing to purchase the brand again (F(1, 169) 164.1, p < .0001)
• Autobiographical Actual Failures Study– Forgiveness predicts if participants have actually purchased
the brand following the failure (F(1, 127) 5.82, p = .017).
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Autobiographical Failures
(F(1, 127), 14, 73, p = .0002)
(F(1, 127) 5.82, p = .017)
(F(2, 127) .90, p = .35)
Sobel Test = 3.91, p = .002
Relationship
Forgiveness
Purchased Since Failure
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Brand Relationship
(RCI, Attachment, Escalas,
Commitment)
Separation Distress
Trust
Forgiveness
Future Behaviors
Willingness s to Repurchase
Buy Again
Satisfaction After
Loyalty
Happen Again
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Brand Relationship Measures– To what extent:
• do you feel that you are personally connected to Starbucks?
• is Starbucks a part of you and who you are?
– To what extent are (do) your thoughts and feelings towards Starbucks:• often automatic, coming to mind seemingly on their own?
• come to you naturally and easily?
– Not at All = 0 Completely = 10
•
• Brand Self-Connection (Escalas)• To what extent does Nike reflect the values you personally cherish?
• To what extent do you feel that Nike reflects who you are?
• To what extent do you identify with Nike?
• To what extent do you use the Nike image to communicate who you are to other people?
• To what extent do you think Nike (could) help(s) you become the type of person you want to be?
• To what extent do you consider Nike to be “you”?
• To what extent do you think Nike suits you well?