Are We More Willing to Forgive an Underdog? An Investigation of the Consequences of Second-Hand Product Failures

As more firms enter the re-commerce market, selling second-hand products poses unique brand risks. This study explores how consumers respond to negative experiences with second-hand products sold by the original brand. Experimental results reveal that consumers are more forgiving of failures in second-hand than new products, leading to less negative word-of-mouth, higher purchase intentions, and more positive brand attitudes. This response is shaped by an ambivalent “underdog” image associated with pre-used products: perceived passion and determination enhances forgiveness, whereas perceived external disadvantage reduces it. The findings offer strategic insights for managing second-hand brand offerings.