The roles of digital communication channel type and crisis response strategy during product recalls of varying levels of severity: investigating the effects on consumer trust and purchase intention
by Ardion D. Beldad; Jelle Scholten
International Journal of Business Continuity and Risk Management (IJBCRM), Vol. 13, No. 4, 2023

Abstract: When a crisis strikes, adequate communication is imperative to reduce potential damages to reputation and stakeholder trust. The study described in this paper tested the effects of crisis response strategy, communication channel type, and product recall severity on trust and purchase intention, as these are consumer outcomes that could be jeopardised by a product recall. A scenario-based experiment using a 2 (crisis response strategy: rebuild vs. excuse) × 2 (digital communication channel type: personal and impersonal vs. impersonal) × 2 (product recall severity: high vs. low) between-respondent design was conducted among 197 Dutch participants. Analyses of variance (ANOVA) results indicate that using a rebuild response strategy enhances customers' trust in a company and their willingness to buy from that company. This positive effect is mediated by message sincerity. Furthermore, the results reveal that using both communication channel types will enhance customers' trust in the company that initiated the recall.

Online publication date: Tue, 24-Oct-2023

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