Previous research has suggested that if WOM (word-of-mouth) receivers are exposed to a video message in which a person tell that he/she had great effort to earn money and purchase a desirable product, they feel benignly envious and increase WTP (willingness-to-pay) for the recommended product; if they are exposed to another message in which a person tell that he had no effort to earn money and purchase the product, they feel maliciously envious and increase WTP for a related, but different, product. However, it may not be true in the context of e-WOM (electronic word-of-mouth) through SNS (social networking sites). This research conducted three laboratory experiments in the context of e-WOM, unlike the context of face-to-face WOM. The results showed that: (1) receivers were less likely to feel maliciously envious to friends and increase WTP for the products; (2) receivers were less likely to feel maliciously envious if they are exposed to the message as a tool for marketing; and (3) receivers were less likely to avoid the recommended product even though they feel maliciously envious if they have any other measures of retaliation. With these findings, this research contributes to a progress in the field of e-WOM through SNS.

Customers often rely on peers’ opinions and experiences when forming expectations and evaluating a service provider. New media channels such as consumer review platforms and social networking sites help customers obtain firsthand information from other customers to evaluate a service. Prior research confirms the effects of positive electronic word of mouth (eWOM) on recipients, yet less is known about how companies should respond to negative eWOM. The authors conducted a series of experimental studies in the context of new media online channels (i.e., consumer review sites and social media brand pages) to investigate the effects of various company response strategies on consumers’ perceptions. The results have two implications for service firms: First, adequate response strategies to negative eWOM compensate for the negative effects that occur when Internet users attribute responsibility to the firm. Second, the findings indicate that firms need both adequate response strategies and an engaged community to restore their perceived trustworthiness in consumers’ eyes.

This paper examines the situational, individual and social network determinants of negative online word-of-mouth on social network sites. The findings of the empirical study indicate that feeling of injustice, firm attribution, perceived service image, face concern, emotion regulation, SNS use intensity and tie strength significantly affects negative word-of-mouth.