When team sponsorship of cause-related messages leads to unfavorable fan reactions: the interplay among competency, cause orientation, and message source

Abstract

ABSTRACT Research question One general conclusion from existing studies is that if a team spends more resources and efforts on socially responsible initiatives, fan responses are more likely to be favorable. In the current study, however, the researchers tested a boundary condition in which consumer responses toward a team's sponsorship of cause-related messages may be paradoxically unfavorable. That is, we sought to explore when and how ‘doing good’ (cause sponsorship) might not complement ‘doing well’ (performance). Research methods Two online experiments were conducted employing participants through MTurk. The main experiment was a 2 (sponsor competency: low vs. high) × 2 (cause orientation: philanthropic vs. promotional) × 2 (message source: team-controlled channel, sponsor vs. third-party channel, news media) between-subjects design; three specific cause categories (community service, donation, and pro-environmental activism) were utilized as a within-subjects factor. Four NFL teams were identified based on their cumulative athletic performance records. Results and findings The results revealed that for high (vs. low) competency teams, philanthropic (vs. promotional) cause sponsorship induced more favorable consumer responses. Also, communication with fans through sponsor-controlled channels exacerbated unfavorable fan reactions, especially in the case of competitive teams’ philanthropic cause sponsorship initiatives. Implications The current study helps broaden the existing knowledge of CSR effectiveness by exploring the seemingly counterintuitive consequences of cause sponsorship. The outcomes of the study also offer important suggestions for managers regarding potential approaches for sports organizations to strategically allocate their resources toward developing effective CSR initiatives.