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Service failures are common and companies must decide how best to respond to these incidents. The purpose of this study is to examine service recovery efforts that incorporate a donation component, in addition to financial compensation. More specifically, the relative effectiveness of these recovery efforts was explored according to the regulatory focus framing (i.e. prevention- or promotion-focused) of the donation message.

Three experiments are conducted to test the hypotheses.

Drawing from regulatory focus theory (Higgins, 1997), the authors determined that prevention framing (e.g. highlighting the negative outcomes avoided by a donation) leads to better service recovery outcomes compared to promotion framing (e.g. highlighting the positive outcomes of a donation) the donation message. Furthermore, warmth (e.g. perceptions of caring and helpfulness) and competence (e.g. perceptions of capability and usefulness) underlie this effect and message trust moderates the effect of regulatory framing on warmth.

This study offers several theoretical and managerial implications. First, a novel recovery approach that benefits multiple stakeholders was illustrated, particularly when the donation message is prevention (vs promotion) framed. The authors focused on donations in particular, but future researchers should explore other corporate social responsibility activities such as those pertaining to sustainability, ethical labor practices or educational training.

Companies should consider incorporating donations into service recovery efforts. Moreover, companies should use prevention as opposed to promotion frames in their donation messages. Using a prevention frame enhances perceptions of company warmth and competence.

Very little research has explored the effectiveness of donations following service failures despite evidence that companies use donations in this context. This research highlights the importance of regulatory focus framing and demonstrates how a donation, paired with financial compensation, is more/less effective according to the framing of the communication. Thus, this research demonstrates a novel effect, identifies its underlying mechanism through warmth and competence and establishes an important boundary condition according to message trust.

This paperaims to investigate a novel expectation by examining how framing a company as its constituent members (members frame) versus an organization (organization frame) can influence consumer evaluations of a product or service from this company.

Four studies were conducted examining the effectiveness of an organization (vs members) frame in a between-subjects experimental design (a pilot study, Studies 1a, 1b and 2). Study 2 also tested the moderating role of donation strategies (amount-focused vs frequency-focused).

Results show a members (vs organization) frame leads to a higher purchase likelihood of a product from a company engaging in corporate donations. Further, this framing effect is mediated by increased levels of consumers’ perceptions about how committed the company is to the cause and the emotion of moral elevation in response to the company’s corporate donations. Moreover, this effect is moderated when the company uses a frequency-based (vs amount-based) donation strategy.

This research contributes to the literature on message framing by demonstrating how the same information about a company may lead to differential effects on consumer evaluations, depending on whether the company is framed as its constituent members versus an organization.

This paper presents significant managerial implications for small companies, in which the owner is the company, about how they can effectively communicate corporate donations to the consumers.

This research provides a novel perspective on how the same information about a company may lead to differential effects on consumer evaluations, particularly in the context of corporate donations.

The purpose of this paper is to explore the impact of donation amount and framing on financial products, this research investigates consumers’ attitudes and behaviors toward cause-related credit cards with different donation sizes and framing types.

This research investigates consumers’ perceptions of green credit cards using two experiments with a between-subject design (n =297) and a mixed design (n =238), respectively. All the participants, recruited from a major state university in the USA, are undergraduate students who use credit cards.

A medium-size donation optimizes the outcome of a cause-related credit card offer. Moreover, a donation framed as cash rewards has stronger effects on a consumer’s perception and consequent reactions to the “green” credit cards than an annual percentage rate framing. Finally, consumers with high levels of environmental concern and propensity to volunteer have stronger intention to adopt and are more likely to recommend the proposed credit card.

Building upon the theories of social exchange and symbolic interaction, this research is the first to provide empirical evidence regarding the application of volunteerism and perceived consumer effectiveness for financial institutions and their cause-related marketing campaign partners in selecting suitable environmental causes.

Corporate social responsibility (CSR) marketing has become ubiquitous in the hospitality industry. The purpose of this paper is to examine the effectiveness of donation appeals containing warmth-focused versus competence-focused messages in hospitality CSR marketing. Moreover, we offer an innovative visual design strategy focusing on the typeface (handwritten vs machine-written) in donation appeals to encourage consumers’ donations and boost their brand loyalty.

This research used a 2 (message framing: warmth-focused vs competence-focused) × 2 (typeface: handwritten vs machine-written) between-subjects experimental design.

The findings suggest that donation appeals featuring warmth-focused messages combined with handwritten typeface and competence-focused messages combined with machine-written typeface can maximize donation intention and brand loyalty. Furthermore, results from the moderated mediation analyses indicate that brand trust is the psychological mechanism underlying these effects.

Hospitality managers should use typeface design, which is easy and inexpensive to manipulate, to enhance the effectiveness of CSR marketing. Specifically, for donation appeals featuring warmth-focused (competence-focused) messages, the handwritten (machine-written) typeface can boost consumers’ donation intention and brand loyalty.

To the best of the authors’ knowledge, this research is the first to reveal the competitive advantage of typeface design in hospitality CSR marketing. This research sheds light on the congruency effects of message framing and typeface design in donation appeals on consumers’ donation intention and brand loyalty while using the contemporary context of The Coronavirus Disease 2019 to test the theory.

Cause-related marketing (CRM) is an increasing popular marketing strategy in which a firm donates a specific amount to a designed cause when customers engage in revenue-providing exchanges. Based on balance and attribution theory, this paper aims to explore the interaction effect of donation amount and ad orientation, two important factors of formulation and communication of CRM, respectively, on consumer response and the mediating effect of consumers’ perceived company motives.

Two 2 (donation amount: small vs large) × 2 (ad orientation: product- vs cause-oriented) between-subjects experimental studies were conducted in marketing course with 284 and 157 Chinese undergraduate students participating in Studies 1 and 2, respectively. ANOVA and regression were used to test the hypotheses.

Study 1 shows the significant interaction effects of donation amount and ad orientation on consumers’ response. When CRM has a large donation amount, cause-oriented (vs product-oriented) ad leads to consumers’ more positive company attitude and higher purchase intention. The opposite is true for the small donation amount condition. Study 2 shows that the above interaction effect is mediated by consumer-attributed company motives. The attributed motive of sincerely caring about social cause has significant positive effect on consumer response, whereas the attributed motive of increasing sales or improving corporate image does not.

This paper contributes to the literature by empirically examining the interaction effect of donation amount and ad orientation on consumer-inferred motives and behavioral response. The findings are valuable because they indicate the importance of matching between factors at formulation and communication stage. In addition, this paper found that consumers are “tolerant” of companies using CRM to promote product sales and improve brand image.

Cause-related marketing (CRM) is a sales strategy that is used to improve the success of a product by including a donation to a charitable cause in its price. While marketers can present CRM donations to consumers as either absolute amounts or percentages, the predominant practice in marketing is to use the latter. As the influence of such presentation formats is not well understood, the purpose of this paper is to systematically examine their effects while taking into account the numerical ability (numeracy) of the consumers.

In two experiments, the presentation format of the donation amounts (absolute vs percentage) were manipulated and individual differences in numeracy were measured. The product type (hedonic vs utilitarian) and sales price were varied. We found this effect for high and low price levels and for hedonic and utilitarian products.

The results of both experiments consistently supported the hypothesis presented in this paper that for people with lower numeracy, their purchase intentions were higher when absolute donation amounts were presented. We found this effect for high and low price levels and for hedonic and utilitarian products.

The present paper shows that the current practice of presenting donations in percentages is inferior to presenting donations in absolute amounts because a large number of consumers have trouble interpreting percentages appropriately. Therefore, it indicates that the default option for marketing managers should be to present donations in absolute amounts for hedonic and utilitarian products with low and high prices.

The purpose of this paper is to study the usage of ethical business strategies, in particular those using the corporate social responsibility (CSR) approach, of Egyptian businesses. The authors primarily focus on one facet of CSR strategy – cause-related marketing (CRM) – which has been increasingly used by marketing practitioners in recent times.

In the context of Egyptian household goods business, the authors investigate the factors that motivate/hinder consumer participation in their CRM campaigns using a sample of 261 respondents in a mixed research design.

Results show that motivational attribution significantly predicts consumers’ responses toward CRM, with moral judgment playing a partial mediating role in such relationship. In addition, several variables such as altruism and religiosity among personality characteristics are found to arouse consumers’ positive motivational attribution, whereas skepticism was negatively associated with CRM responses.

The findings of this research have both practical and social implications for academics and practitioners alike. Successful campaigns should include the factors inducing motivational attribution, which, in turn, enhances consumers’ attitude toward a company and their purchase intentions. Personal characteristics also impact consumer responses and should be paid attention to.

In a world characterized by fast-changing pace of globalization, it has become critical to study an important phenomenon like CRM in the Middle East, and this original research provides insights into how effective CRM campaigns can be developed there. This will strengthen our cross-cultural understanding of the similarities and differences in consumer viewpoints between developed and developing countries.

Businesses embark on corporate social responsibility initiatives such as cause-related marketing (CRM) as a strategy to enhance behavioural intentions. This study was undertaken due to the limited ability of the existing CRM literature to directly examine whether and how consumers’ trust affects the donation intention, specifically in the private-label grocery retailing context. This study employs social identity theory as a unified theory to explain the variables adopted and contributes to the body of knowledge on CRM-linked private-label consumption.

This study used SPSS 25 and AMOS to analyse the quantitative data. The structural equation modelling was adopted to test moderation and mediation effect and the sample consisted of 456 private-label grocery shoppers.

The findings of this study established that general trust in CRM alone would not translate into triggering donation intentions for CRM private-label brands and further validates the mediating role of trust in retailers’ CRM campaigns (TRCC) in shaping monetary donation intentions. Moreover, religious values confirmed a significant moderating role while translating TRCC to donation intention.

The limitation of this study was the restricted focus on private labels. This research may be limited to only one private-label packaged product but may focus on other private-label products in future research.

This study has practical significance for advertising managers in designing and implementing campaigns. More specifically, it establishes that consumers who trust the CRM phenomenon and seek private-label products associated with CRM campaigns are likely to provide monetary donations towards non-profit organization (NPOs).

This information will help practitioners, including grocery retailers, NPO managers and advertising professionals, design effective CRM campaigns for private-label products by understanding the fundamental relationship between trust in CRM campaigns and monetary donation intentions.

This study aims to investigate how professional financial statement users use carbon accounting information in their decisions and whether this use is sensitive to changing the decision context from an investment to a donation.

Using a sample of 173 US professional financial statement users, the authors conduct an experiment that manipulates an investment or donation choice to evaluate how differing levels of carbon sequestration affect decision-making across contexts.

Carbon sequestration information affects users’ donation decisions but does not affect investment decisions. Variation in the reliability of the information and whether the information is linked to strategy do not affect users’ decision-making.

This study is performed by an experiment and informs our understanding of the relevance to users of carbon sequestration disclosure. Results indicate that carbon sequestration disclosure has value for donation but not investment decisions. The authors interpret this as evidence of some value of this type of disclosure in professional financial statement users’ decision-making but not for a financially focused evaluation.

This paper provides unique insights into the effect of reporting carbon sequestration on decision-making. There has been significant research on the broader topic of corporate sustainability, and capital markets research indicates that the market values increased sustainability disclosure. This study extends the research by examining a specific component of carbon disclosure that is not currently widely reported and by the use of information for different types of evaluations. The results find evidence that the value of this type of carbon disclosure does not stem from a purely financial perspective but instead, from other nonpecuniary factors.

Many studies conducted on cause-related marketing (CaRM) are concentrated in advanced economies. However, there is very little work reported pertaining to CaRM in emerging economies like India. Hence, the aim of this study is to analyze the effect of CaRM on the customers' purchase intention (PI) in the Indian fast-moving consumer goods (FMCGs) sector, which is the fourth largest sector in the Indian economy. Further, this study tests the mediating effect of attitude and the moderating effect of cause involvement.

This paper employs a quantitative methodology. Primary data were collected from 1220 respondents from North India. PLS-SEM is employed to examine the data.

The findings reveal that CaRM strongly impacts FMCG customers' purchasing intentions. Further, a positive attitude toward cause-related marketing triggers the customer purchase intention. Third, the results show that cause involvement moderates purchase intentions, so those who feel passionately dedicated to the cause are more inclined to buy while being involved in the cause-related marketing program.

The results would aid marketers in developing effective CaRM campaigns for their FMCG brands by understanding the different combinations of factors influencing CaRM.

FMCG is one of the major pillars of the Indian economy. This research proposes a comprehensive conceptual framework for the current study that is supported by literature. This study provides evidence of the increasingly important role of CaRM in establishing a win-win association with customers, aiming to solve specific societal causes and creating a favorable image of the brand in the FMCG sector.