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Not just for the recommender: How eWOM incentives influence the recommendation audience

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  • Reimer, Thomas
  • Benkenstein, Martin

Abstract

Due to the high persuasiveness and broad accessibility of online reviews, companies have become interested in proactively managing this form of customer-to-customer communication. To date, marketers have commonly used monetary incentives to increase recommendation likelihood, thereby providing extrinsic motivation. However, in terms of the perspective of the review reader who is aware of the monetary reward, this incentive form also includes potential negative consequences, such as credibility loss of online recommendations and impairment of the company perception through consumer skepticism. This study analyzes two alternative incentive programs for increasing recommendation likelihood, addressing an altruistic form of motivation to overcome the drawbacks regarding perceptions of recommendations and of the company. A scenario-based experiment was designed to compare the effects of the eWOM incentives from a review-readers' perspective. We used attribution theory as conceptual framework to explain consumers' reaction regarding incentive-based reviews. Finally, the results are discussed and practical implications are deduced.

Suggested Citation

  • Reimer, Thomas & Benkenstein, Martin, 2018. "Not just for the recommender: How eWOM incentives influence the recommendation audience," Journal of Business Research, Elsevier, vol. 86(C), pages 11-21.
    • Handle: RePEc:eee:jbrese:v:86:y:2018:i:c:p:11-21
    DOI: 10.1016/j.jbusres.2018.01.041
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    References listed on IDEAS

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    Cited by:

    1. Chen, Ruolan & Yuan, Ruizhi & Huang, Bo & Liu, Martin J., 2023. "Feeling warm or skeptical? An investigation into the effects of incentivized eWOM programs on customers’ eWOM sharing intentions," Journal of Business Research, Elsevier, vol. 167(C).
    2. Golmohammadi, Alireza & Mattila, Anna S. & Gauri, Dinesh K., 2020. "Negative online reviews and consumers’ service consumption," Journal of Business Research, Elsevier, vol. 116(C), pages 27-36.
    3. Janina Seutter & Kristin Kutzner & Maren Stadtländer & Dennis Kundisch & Ralf Knackstedt, 2023. "“Sorry, too much information”—Designing online review systems that support information search and processing," Electronic Markets, Springer;IIM University of St. Gallen, vol. 33(1), pages 1-19, December.
    4. Vo Nga Thi & Chovancová Miloslava & Tri Ho Thanh, 2019. "A major boost to the website performance of up-scale hotels in Vietnam," Management & Marketing, Sciendo, vol. 14(1), pages 14-30, March.
    5. Wang, Xia & Ding, Ying, 2022. "The impact of monetary rewards on product sales in referral programs: The role of product image aesthetics," Journal of Business Research, Elsevier, vol. 145(C), pages 828-842.
    6. Shan-Shan Liao & Ching-Yuan Lin & Ying-Ji Chuang & Xing-Zheng Xie, 2020. "The Role of Social Capital for Short-Video Platform Users’ Travel Intentions: SEM and Fsqca Findings," Sustainability, MDPI, vol. 12(9), pages 1-22, May.
    7. Roma, Paolo & Aloini, Davide, 2019. "How does brand-related user-generated content differ across social media? Evidence reloaded," Journal of Business Research, Elsevier, vol. 96(C), pages 322-339.

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