The Impact of Fake News on Brands and Social Media. (c2018)

Abstract

Brands have found themselves in a post-fact era in which truthiness is a main determinant of news truthfulness while factuality is rendered a less relevant criterion. The speed, reach, and believability of false information has made brand reputation vulnerable. The spread of fake news on social media, its biggest enabler, is affecting brands, consumers, and social media. The impact of fake news on brands and social media, thus far, has enjoyed little scholarly attention from academics. This study aims to examine these effects from a brand-centered perspective. The study follows a qualitative research design. Semi-structured in-depth interviews with social media users and social media experts were conducted. The transcribed data were coded using NVivo and thematic analysis was performed. Various models resulted from the study which examine consumer reaction towards brand-targeting fake news, mainly the variation in perceived authenticity of fake news, consumer motivation behind sharing fake news, and sentiment analysis through consumer blame. The effects of fake news on brands and social media are discussed. Experts’ solutions to fake news are presented, which have implications for brand strategy and brand communication. This research studies specific aspects of the consumer-brand relationship under fake news. It presents unprecedented insights into the effects and solutions of fake news from a brand’s perspective.