This study aims to explore how brand referrals impact consumer behavior and the role of brand loyalty in this process.
Conducted a one-way between-subjects experiment with four conditions: personal referral, high-loyalty brand referral, low-loyalty brand referral, and paid social media marketing.
Evaluated consumer attitudes and behavioral intentions toward referred brands based on loyalty.
Compared the effectiveness of brand-to-brand referrals with traditional advertising methods.
Referrals from high-loyalty brands were as effective as personal referrals from close friends.
Referrals from low-loyalty brands resulted in similar outcomes to paid social media marketing.
Brand-to-brand referrals present a low-cost alternative for online startups in customer acquisition.