Betrayed by the favorite brand: Rise and consequences of brand shame

Purpose: This research investigates how consumers’ desire for retaliation and intention to voice negative word-of-mouth – following a transgression of their favorite brand – can be explained by feelings of brand betrayal and brand shame.
Design/methodology/approach: A scenario-based online survey (Study 1; n = 627 adult consumers; freely selectable favorite brand) and an online experiment (Study 2; n = 603 adult consumers; favorite smartphone brand) were conducted. In both studies, participants were confronted with a realistic, symbol-laden transgression of their favorite brand. All hypotheses are tested utilizing structural equation modeling.
Findings: The empirical results showed that after a transgression of the favorite brand, the impact of brand dissatisfaction on the desire for retaliation is sequentially mediated by brand betrayal and brand shame. An increase in desire for retaliation leads to a rise in negative word-of-mouth. Overall, the findings demonstrate that also minor brand transgressions make brand fans realize that they have relied too long on the wrong favorite brand.
Research limitations/implications: Our work enriches the literature on consumers’ negative reactions after brand transgressions. More specifically, it is the first to highlight the mediating role of betrayal-initiated brand shame, which is responsible for brand-harming outcomes. However, research limitations may arise due to missing field data and the possibility of neglecting moderating variables.
Practical implications: The results of our study show that marketers are well advised to avoid even small transgressions of their brand, but when they occur, marketers should focus on reducing feelings of betrayal and shame, which typically arise among earlier brand fans.
Originality: Our work is the first to consider the interplay of brand betrayal, brand shame, brand retaliation, and negative word-of-mouth to show consumers’ sensitive reactions to transgressions of their favorite brand. Most notably, we pioneer in explaining customer retaliation based on brand betrayal and brand shame.