Word-of-Mouth on Social Media: An Investigation of Valence Effects on Prehire Outcomes

Abstract

Electronic forms of word-of-mouth (eWOM) on social media have now become a primary source of employer information. Thus, there is a need to understand how organizations can best capitalize on such information to build employer brands and attract potential talent. To contribute to current knowledge in this area, we sought to investigate how eWOM valence (e.g. positive vs negative vs balanced) influences the evaluation of potential employers. Results from two studies utilizing experimental vignettes on potential job seekers indicate the following. First, balanced eWOM containing both positive and negative attributes was perceived to be most credible compared to eWOM that was either one-sidedly positive or negative. Second, eWOM valence had a positive effect on organizational attraction, whereas this effect was weaker and less pronounced for employer reputation. Third, the pattern of effects associated with eWOM valence differed across symbolic and instrumental images. eWOM valence had a stronger impact on reputation for symbolic compared to instrumental images. We discuss the implications of these findings for the managing of employer image and branding on social media in an increasingly digital world of job search.