Skip to main content
  • Research Article
  • Published:

The effects of two kinds of corporate publicity on customer-brand relationship

Abstract

In the recent marketplace, corporate brands are exposed to a variety of corporate publicity, which may elicit unexpected consumer responses and requires more academic attention. This study explores how two kinds of corporate publicity (ability-related vs. social responsibility-related) influence customer-brand relationship. We propose that both kinds of publicity influence customer-brand relationship strength through brand trust and brand affect. In addition, the interaction pattern between the two kinds of publicity is further examined. Two competing hypotheses predicting divergent patterns of the interaction effect are proposed. A 2×2 between-subject experiment is conducted in the context of fast food service industry. Results show that, after controlling the existing customer-brand relationship, social responsibility-related publicity has significant influence on the strength of customer-brand relationship, while ability-related publicity has no such effect, given the fact that consumers probably have developed well-established perceptions on the focal company’s ability. Furthermore, the specific interaction pattern between the two kinds of publicity is consistent with the prediction based on fairness heuristic theory. In addition, brand trust and brand affect play mediating roles in the mechanism through which corporate publicity influences customer-brand relationship.

References

  • Aaker J, Fournier S, Brasel S A (2004). When good brands do bad. Journal of Consumer Research, 31(June): 1–16

    Article  Google Scholar 

  • Aggarwal P (2004). The effects of brand relationship norms on consumer attitudes and behavior. Journal of Consumer Research, 31(1): 87–101

    Article  Google Scholar 

  • Ahluwalia R, Burnkrant R E, Unnava H R (2000). Consumer response to negative publicity: The moderating role of commitment. Journal of Marketing Research, 37(2): 203–214

    Article  Google Scholar 

  • Bengtsson A (2003). Towards a critique of brand relationships. Advances in Consumer Research, 30: 154–158

    Google Scholar 

  • Berens G, Van Riel C B M, Van Bruggen G H (2005). Corporate associations and consumer product responses: The moderating role of corporate brand dominance. Journal of Marketing, 69(July): 35–48

    Article  Google Scholar 

  • Bond J, Kirshenbaum R (1998). Under the Radar: Talking to Today’s Cynical Consumer. New York: Wiley

    Google Scholar 

  • Brockner J (2002). Making sense of procedural fairness: How high procedural fairness can reduce or heighten the influence of outcome favorability. Academy of Management Review, 27(1): 58–76

    Article  Google Scholar 

  • Brockner J, Siegel P A, Daly J, Tyler T R, Martin C (1997). When trust matters: The moderating effect of outcome favorability. Administrative Science Quarterly, 42(3): 558–583

    Article  Google Scholar 

  • Chaudhuri A, Holbrook M B (2001). The chain of effects from brand trust and brand affect to brand performance: The role of brand loyalty. Journal of Marketing, 65(April): 81–93

    Article  Google Scholar 

  • Chowdhary N, Prakash M (2005). Service quality: Revisiting the two factors theory. Journal of Services Research, 5(1): 61–75

    Google Scholar 

  • Dacin P A, Brown T J (1997). The company and the product: Corporate associations and consumer product responses. Journal of Marketing, 61(January): 68–84

    Google Scholar 

  • Dahlen M, Lange F (2006). A disaster is contagious: How a brand in crisis affects other brands. Journal of Advertising Research, 46(4): 388–397

    Article  Google Scholar 

  • Dawar N, Pillutla M M (2000). Impact of product-harm crises on brand equity: The moderating role of consumer expectations. Journal of Marketing Research, 37(2): 215–226

    Article  Google Scholar 

  • Fiske S (1980). Attention and weight in person perception: The impact of negative and extreme behavior. Journal of Personality and Social Psychology, 38(6): 889–906

    Article  Google Scholar 

  • Fornell C, Johnson M D, Anderson E W, Cha J, Bryant B (1996). The American customer satisfaction index: Description, findings, and implications. Journal of Marketing, 60(October): 7–18

    Article  Google Scholar 

  • Fournier S (1998). Consumer and their brands: Developing relationship theory in consumer research. Journal of Consumer Research, 24(March): 343–373

    Article  Google Scholar 

  • Fournier S, Yao J L (1997). Reviving brand loyalty: A reconceptualization within the framework of consumer-brand relationships. International Journal of Research in Marketing, 14: 451–472

    Article  Google Scholar 

  • Garbarino E, Johnson M S (1999). The different role of satisfaction, trust, and commitment in customer relationships. Journal of Marketing, 63(April): 70–87

    Article  Google Scholar 

  • Geyskens I, Steenkamp E M, Kumar N (1999). A meta-analysis of satisfaction in marketing channel relationships. Journal of Marketing Research, 36(2): 223–238

    Article  Google Scholar 

  • Griffin M, Babin B J, Attaway J S (1991). An empirical investigation of the impact of negative public publicity on consumer attitudes and intentions. Advances in Consumer Research, 18(1): 334–341

    Google Scholar 

  • Gurhan-Canli Z, Batra R (2004). When corporate image affects product evaluations: The moderating role of perceived risk. Journal of Marketing Research, 41(May): 197–205

    Article  Google Scholar 

  • Henard D H (2002). Negative publicity: What companies need to know about public relations. Public Relations Quarterly, 47(4): 8–12

    Google Scholar 

  • Hui M, Zhao X, Fan X, Au K (2004). When does the service process matter? A test of two competing theories. Journal of Consumer Research, 31(September): 465–474

    Article  Google Scholar 

  • Keller K L (2001). Building customer-based brand equity. Marketing Management, 10(Jul/Aug): 14–19

    Google Scholar 

  • Klein J, Dawar N (2004). Corporate social responsibility and consumers’ attributions and brand evaluations in a product-harm crisis. International Journal of Research in Marketing, 21(3): 203–217

    Article  Google Scholar 

  • Kroloff G (1988). At home and abroad: Weighing in. Public Relations Journal, 44(October): 8

    Google Scholar 

  • Lei J, Dawar N, Lemmink J (2006). The impact of information characteristics on negative spillover effects in brand portfolios. Advances in Consumer Research, 33(1): 324–32

    Google Scholar 

  • Lind E A, Tyler T R (1988). The Social Psychology of Procedural Justice. New York: Plenum Press

    Google Scholar 

  • Luo X, Bhattacharya C B (2006). Corporate social responsibility, customer satisfaction, and market value. Journal of Marketing, 70(October): 1–18

    Article  Google Scholar 

  • Maddox R N (1981). Two-factor theory and consumer satisfaction: Replication and extension. Journal of Consumer Research, 8(1): 97–102

    Article  Google Scholar 

  • Mayer R C, Davis J H, Schoorman F D (1995). An integrative model of organizational trust. Academy of Management Review, 20(3): 709–734

    Article  Google Scholar 

  • Menon G, Jewell R D, Unnava H R (1999). When a company does not respond to negative publicity: Cognitive elaboration vs. negative affect perspective. Advances in Consumer Research, 26(1): 325–329

    Google Scholar 

  • Moorman C, Gerald Z (1992). Relationships between providers and users of market research: The dynamics of trust within and between organizations. Journal of Marketing Research, 29(3): 314–328

    Article  Google Scholar 

  • Morgan R M, Hunt S D (1994). The commitment-trust theory of relationship marketing. Journal of Marketing, 58(July): 20–38

    Article  Google Scholar 

  • Petty R E, Krosnick J A (1995). Attitude strength: Antecedents and consequences. Mahwah, NJ: Lawrence Erlbaum Associates

    Google Scholar 

  • Pullig C, Netemeyer R G, Biswas A (2006). Attitude basis, certainty, and challenge alignment: A case of negative brand publicity. Journal of the Academy of Marketing Science, 34(4):528–542

    Article  Google Scholar 

  • Renkema J, Hoeken H (1998). The influence of negative newspaper publicity on corporate image in the Netherlands. Journal of Business Communication, 35(4): 521–535

    Article  Google Scholar 

  • Rethans A J, Swasy J L, Marks L J (1986). Effects of television commercial repetition, receiver knowledge, and commercial length: A test of two-factor model. Journal of Marketing Research, 23(1): 50–61

    Article  Google Scholar 

  • Sen S, Bhattacharya C B (2001). Does doing good always lead to doing better? Consumer reactions to responsibility. Journal of Marketing Research, 38(May): 225–243

    Article  Google Scholar 

  • Sherell D L, Reidenbach E R (1986). A consumer responses framework for negative publicity: Suggestions for responses strategies. Akron Business and Economic Review, 17(2): 37–44

    Google Scholar 

  • Singh J, Sirdeshmukh D (2000). Agency and trust mechanism in consumer satisfaction and loyalty judgments. Journal of the Academy of Marketing Science, 28(1): 150–167

    Article  Google Scholar 

  • Sirdeshmukh D, Singh J, Sabol B (2002). Consumer trust, value, and loyalty in relational exchanges. Journal of Marketing, 66(1): 15–37

    Article  Google Scholar 

  • Stammerjohan C, Wood C M, Chang Y, Thorson E (2005). An empirical investigation of the interaction between publicity, advertising, and previous brand attitudes and knowledge. Journal of Advertising, 34(4): 55–67

    Google Scholar 

  • Swan J E, Combs L J (1976). Product performance and consumer satisfaction: A new concept. Journal of Marketing, 40(2): 25–33

    Article  Google Scholar 

  • Thorbjornsen H, Supphellen M, Nysveen H, Pedersen P E (2002). Building brand relationships online: A comparison of two interactive applications. Journal of Interactive Marketing, 16(3):17–34

    Article  Google Scholar 

  • Weinberger M G, Romeo J B (1991). Negative product safety news: Coverage, responses, and effects. Business Horizons, 34(3): 23–31

    Article  Google Scholar 

  • 何 佳讯 (He Jiaxun) (2006). 品牌关系质量的本土化模型: 高阶因子结构与测量 (An indigenous study on High-order Factors model of brand relationship quality and its applications). 营销科学学报, 2(3): 97–108

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Siqing Peng.

Additional information

Translated and revised from Nankai Guanli Pinglun 南开管理评论 (Nankai Business Review), 2009, 12(1): 1–12

Rights and permissions

Reprints and permissions

About this article

Cite this article

Xi, Y., Peng, S. The effects of two kinds of corporate publicity on customer-brand relationship. Front. Bus. Res. China 4, 73–100 (2010). https://doi.org/10.1007/s11782-010-0004-4

Download citation

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s11782-010-0004-4

Keywords