Message Strategy Effects for Risk-Reduction Campaigns during Health Crises

Abstract

Advertising campaigns carried out by firms post-health crises have been well documented in the literature, but the results, in terms of their effectiveness in recovering demand, are mixed. This paper examines the effect of risk-framed message appeal (aimed at reducing uncertainty about a product by elaborating upon new safety controls) on reductions in losses resulting from crises in comparison. The article develops a model that accounts for the effects of health crises and advertising with different information on sales. Using real market data, the study empirically shows that the choice of a risk-reduction advertising campaign has no significant on sales.