Preventing negative WOM on social media channels: firms must address unfavorable CSR associations

The advent of social media channels has made it much easier for consumers to share opinions and information about companies, brands and products. Indeed, many individuals make purchase decisions based on recommendations from significant others.From the organizational perspective, one notable downside of social media is that there is no hiding place for them. The tendency for negative views to spread more quickly guarantees as much. Hence, it is crucial that firms promptly address unfavorable information to prevent concerns escalating to become major problems.Both positive and negative opinions emerge from corporate associations that essentially reflect the information individuals hold about a particular firm. Scholars categorize them as either corporate social responsibility (CSR) associations or corporate ability (CA) associations.Prior work found that negative associations have scope to prompt unfavorable word-of-mouth (WOM) during a crisis situation. It was also noted that the degree of negativity can vary depending on how severe the crisis is perceived.However, insight into their impact when operating conditions are normal is lacking. Companies must therefore ascertain how and when negative CSR and CA associations prompt WOM under these circumstances. Firms can then find ways to effectively manage these associations and alleviate the negativity. But failure in this regard ensures that things such as reputation, stakeholder relationships and future sales become vulnerable.In the main, evaluations of CSR and CA associations are accordingly based on perceptions of “warmth” and “competence.” The first relates to belief as to whether an individual or entity has honorable intentions. With the latter, focus is on having competence or ability to ensure these intentions are carried out. Consequently, warmth pertains to CSR associations, while CA associations are reflected by competence. This respectively indicates individual belief in the firm’s:Both association types are integral to corporate communication and the strategies deployed. A key aim is to positively influence consumer attitudes and purchase behavior. It is worth noting, though, that the relevance and effect of CSR and CA associations often differ depending on the industry. To illustrate this point, consider hi-tech innovations. Competence perceptions are clearly most important for organizations in this sector. On the other hand, firms dealing with products that can affect the health and well-being of consumers will clearly be more affected by CSR associations. The food industry and those involved with such things as alcohol and tobacco are among the examples here.It is not all doom and gloom, though. Evidence shows how positive associations of both kinds function as a protective mechanism during a crisis. They are able to prevent damage to a firm’s standing and re-establish favorable consumer attitudes in its aftermath.In a non-crisis situation, different studies purport that both association types have the potential to trigger negative WOM on social media platforms. The premise with CA is that products or services perceived to fall below standards mean the company is failing to meet what the consumer expects. This shatters belief in the firm’s capabilities, and the ensuing sense of discord can trigger the desire to convey their negativity to others.With CSR, similar reactions are elicited when the organization is accused of flouting shared values and ethical standards. The consumer feels betrayed, angry, and has a desire to penalize the firm for its transgressions.Based on existing evidence, it is largely believed that online condemnation of a firm is more likely to occur from negative CSR associations than their CA counterparts. That said, some researchers found that the reverse was most likely in the United States of America.The likelihood of CSR associations having a stronger impact on negative WOM intention is based on characteristics of key cues emitted by each association type. Negative cues have been found to be more distinctive than positive ones in the case of CSR. But influence with CA is stronger for positive cues. Most noteworthy here is the fact that unscrupulous actions are seen as a reflection of intrinsic immorality. On the contrary, competence is viewed as the norm where CA cues are concerned.This prevailing imbalance steers consumers to feel more endangered by unethical behaviors than incompetent ones. Consequently, it is suggested that they will:Furthermore, studies have drawn attention to the scope for certain motivational factors to influence the impact of negative CSR and CA associations on negative WOM. In this scenario, motivation could be driven by “approach” or “avoid” intentions. Approach is typically linked with pleasure situations, while avoid refers to those that are discomforting.Notwithstanding this, approach is not always positive and can be driven by emotions like anger. The intention here will often be to exact revenge for perceived wrongdoing. When this involves an organization, engaging in negative WOM is seen as the ideal retort.Revenge is considered the most likely response when the alleged violation is CSR-related. Avoidance is different in the sense that the affected individual often instead chooses to ignore the company. This might materialize in situations where the consumer feels let down with product or service quality. Negative CA associations can compel a desire to remain distant from the company and refrain from making future purchases rather than go down the WOM route.Moon et al. (2024) conduct additional research in this area via an online survey of 478 participants residing in the United States of America. Each respondent was asked questions about one of 36 firms representing six different industries pertinent to the daily lives of participants. Social media presence and not currently experiencing a crisis were among other factors determining the selection of companies for the study.Analysis revealed findings here that essentially align with previous research. Of particular significance is that unfavorable CSR associations are likelier to generate negative WOM relative to unfavorable CA associations. Importantly, this applies to both crises and regular circumstances. Such a tendency is attributed to anger and desire to confront being fueled by pessimistic views of CSR. With CA, individuals are more disposed towards avoidance and passive responses that include giving the firm a wide berth and shunning its offerings. Any motivation to engage in negative WOM is usually low.The authors note the scope for a “ripple effect” when unfavorable perceptions of CSR and CA pre-exist. They point to the potential for negative views of a few individuals influencing others to the point that the company faces major problems under the guise of such things as negative WOM and desire for retribution. In addition, firms should be aware that such issues can emerge when routine appraisals of an organization are tarnished by negative CSR associations.In light of the above, companies must ensure that:The review is based on “Silent ripples: negative CSR associations’ impact in non-crisis situations” by Bitt Moon, Chang-Won Choi and Eugene Kim, published in the Corporate Communications: An International Journal.