Abstract

The purpose of the present study is to examine the positive effect of negative word-of-mouth on consumers’ purchase intention towards an experience good. By introducing consumer’s need for closure as a moderator, the results of two situation-based experiments reveal that negative word-of-mouth of a well-known experience good would increase the purchase intention of consumers with a high-level need for closure (Vs. a low-level need for closure); the same effect would not happen to an unknown experience good; and the positive effect of negative word-of-mouth on the purchase intention of consumers with a high-level need for closure towards a well-known experience good only happens in the case of negative word-of-mouth for the first time (Vs. the second time). The findings contribute to the literature on online review and word-of-mouth from a new perspective.

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