Message matters: Correcting organisational fake news

Abstract

Misinformation and fake news represent significant strategic and financial risks to organisations. To dispute or manage fake news, organisations are often compelled to respond. However, the most effective responses to organisational fake news are not well understood. Using an experimental design (N = 501), this research explored two common approaches organisations may employ when responding to fake news and examined their effects on consumer perceptions. Specifically, this research experimentally varied who delivers a correction to organisational fake news (i.e., correction source; CEO or Celebrity ambassador) and how the message is delivered (i.e., correction message; Factual or Narrative). The results indicated that consumer perceptions were not substantially altered when a correction was delivered by either the CEO or a Celebrity ambassador. However, corrections delivered using a narrative style were significantly more effective at enhancing consumer perceptions compared to factual corrections. Analyses indicated that the beneficial effects of a narrative corrective message on consumer perceptions was mediated by consumer's enhanced impressions of the source and message credibility. These findings suggest that organisations should develop risk management strategies that detail how corrections to fake news should be delivered to consumers, and particular attention should be devoted to the framing of the message.