Why Did You Betray Me, My Friend? When Selling Extended Warranty Backfires

Peter Mathias Fischer, University of St. Gallen, Switzerland
Robin Chark, National University of Singapore, Singapore
This paper identifies a negative effect when a firm sells warranty. When offer to buy a warranty, consumers’ betrayal aversion is activated and their trust in the brand decreases. This effect of betrayal aversion is found to be moderated by the relationship norm between the firm and the consumer.
[ to cite ]:
Peter Mathias Fischer and Robin Chark (2014) ,"Why Did You Betray Me, My Friend? When Selling Extended Warranty Backfires", in NA - Advances in Consumer Research Volume 42, eds. June Cotte and Stacy Wood, Duluth, MN : Association for Consumer Research, Pages: 478-479.