Consumer response to fake news about brands on social media: the effects of self-efficacy, media trust, and persuasion knowledge on brand trust

Published date09 October 2019
Pages188-198
DOIhttps://doi.org/10.1108/JPBM-12-2018-2145
Date09 October 2019
AuthorZifei Fay Chen,Yang Cheng
Subject MatterMarketing
Consumer response to fake news about brands
on social media: the effects of self-efcacy,
media trust, and persuasion knowledge on
brand trust
Zifei Fay Chen
Department of Communication Studies, University of San Francisco, San Francisco, California, USA, and
Yang Cheng
Department of Communication, North Carolina State University, Raleigh, North Carolina, USA
Abstract
Purpose Drawing on theoretical insights from the persuasion knowledge model (PKM), this study aims to propose and test a model that maps out
the antecedents, process and consequences to explain how consumers process and respond to fake news about brands on Facebook.
Design/methodology/approach Contextualizing the fake news about Coca-Colas recall of Dasani water, an online survey was conducted via
Qualtrics with consumers in the USA (N= 468). Data were analyzed using covariance-based structural equation modeling.
Findings Results showed that self-efcacy and media trust signicantly predicted consumerspersuasion knowledge of the fake news. Persuasion
knowledge of the fake news signicantly inuenced consumersperceived diagnosticity of the fake news and subsequent brand trust. Furthermore,
persuasionknowledge of the fake news mediated the effectsfrom self-efcacy on perceiveddiagnosticity of the fake newsand brand trust, respectively.
Originality/value This study contributes to the literature of brand management by examining how consumers process and respond to fake news about a
brand. It also extends the persuasion knowledge model by applying it to the context of fake news about brands on social media, and incorporating antecedents
(self-efcacy and media trust) and consequences (perceived diagnosticity and brand trust) of persuasion knowledge in this particular context. Practically, this
study provides insights to key stakeholders of brands to better understand consumersinformation processing of fake news about brands on social media.
Keywords Brand trust, Social media, Self-efcacy, Persuasion knowledge, Fake news
Paper type Research paper
In April 2016, the website News 4 KTLAreported that
Coca-Cola was recalling its product Dasani water because of
some clear parasites found in bottles distributed across the
USA. Later, the news was revealed to be untrue and Coca-Cola
issued its response regarding this hoax (Evon, 2016).
Nevertheless, this misinformation was rapidly transmitted on
social media, even after the news was identied as fake. Coca-
Cola is not the only company that has been exposed to the
threat of fake news. In a recent North American
Communication Monitor report, more than 20 per cent of the
1,200 surveyed communication professionals indicated that
fake news had impacted their organizational reputation (Reber
et al.,2018). Among them, 80 per cent also noted that fake
news was published and transmitted on social media such as
Facebook, Twitterand blogs (Reber et al.,2018).
The wide spreading of fake news about brands and companies
on social media as shown in the abovementioned case and
research results is concerning in todays society. While the
interactivity and ease of information transmission on social media
have provided brand managers powerful tools to better engage
with consumer, these features have also allowed fake news to get
transmitted more easily without prudent editorial judgment. Fake
news such as the one involving Coca-Colas case may reduce
consumerstrust in companies and brands. Such threats raise the
urgency for brand managers to better understand how consumers
process and respond to fake news about brands on socialmedia.
Undoubtedly, the impact of fake news on society reaches
beyond the realm of brand management and has compelled
scholars to analyze its transmission process and outcomes
(Burkhardt, 2017;Vargo et al.,2017). While fake news itself is
not a new phenomenon, the scale of its impact has been
drastically magnied owing to the increased speed of its
transmission (Burkhardt, 2017). Traditionally, fake news is
primarily spread via word of mouth, written words and printed
media, but the prevalent use of internet and social media
Thecurrentissueandfulltextarchiveofthisjournalisavailableon
Emerald Insight at: https://www.emerald.com/insight/1061-0421.htm
Journal of Product & Brand Management
29/2 (2020) 188198
© Emerald Publishing Limited [ISSN 1061-0421]
[DOI 10.1108/JPBM-12-2018-2145]
An earlier version of this paper was presented at the 26th International
Public Relations Research Symposium (BledCom) in July 2019 in Lake
Bled, Slovenia.
Funding for this study was provided by the North Carolina State
University Faculty Research Award.
Received 1 December 2018
Revised 7 May 2019
Accepted 28 June 2019
188

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