Observed Signal · Jun 15, 2026 · Research Study · Source: Manager Magazin · Impact: 2/5 · Sentiment: Neutral
Study: Apologies Can Reduce Customer Spend
A Harvard Business manager piece reports on a June 2026 Journal of Consumer Research study showing that reflexive corporate apologies for minor service lapses can harm revenue and customer loyalty. Researchers from D’Amore‑McKim School of Business and Belk College of Business ran field experiments with a large food-delivery partner: in one period customers were not informed about short (≤15 minute) delays, and in another period customers received proactive apology calls for similar delays. Customers who received apologies were less likely to reorder within 90 days, ordered later when they did, and had smaller baskets; the delivery firm lost about $65,000. Additional experiments using neutral notifications (Uber‑style ETA updates) found that apologies — unlike neutral information — lowered satisfaction because they made customers aware of lapses and signalled firm failure. The authors advise selective, context-dependent apologies (exceptions for ethical or safety issues and for explicit complaints).
Empirical findings affect CRM and CX strategies (automated notifications, apology policies) with measurable revenue and loyalty implications for customer-facing firms and martech practices.
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Key Takeaways & Evidence Grounding
- Field experiment run in collaboration with a large food-delivery company compared silence vs. proactive apology for short delivery delays (≤15 minutes).
- Customers who received proactive apologies were less likely to reorder within 90 days, reordered later, and had smaller baskets.
- The delivery service in the experiment experienced an estimated revenue loss of $65,000 due to the apology condition.
- The study is published as: Mason R. Jenkins et al., “Are Apologies Always the Best Policy? Apologies for Service Failures Backfire When Consumers Are Not Aware of the Failure”, Journal of Consumer Research, June 2026.
- A parallel experiment using neutral ETA-style notifications (no apology) did not reduce satisfaction, whereas apologies lowered satisfaction by making customers aware of the failure.
Connected Companies & Entities
1 Entity mappedRelated Market Signals & Shifts
Recent verified developments and strategic activity across this market segment.
Callaway ad exposes broken corporate apologies
PR expert Andy Barr argues that brands have lost the ability to apologise sincerely, blaming overcautious legal teams, marketing framing and executive interference. Using Callaway’s recently criticised advert and its subsequent statement as a primary example, Barr recommends short, heartfelt apologies delivered by the senior leader and warns against naming third parties (he criticises Callaway’s mention of media partner Good Good). He contrasts poor responses with examples he considers effective: KFC’s candid apology after a logistics failure and Nick Varney’s handling of the Alton Towers Smiler accident while CEO of Merlin Entertainment. The piece is an opinion on crisis communications best practice.
Four Brand Apologies Over Two Weeks
Adweek reports that four high-profile brand missteps in a two-week span prompted public apologies. Examples include Neutrogena responding to allegations involving Hayden Panettiere four days after her death, Target removing an offensive Halloween costume from shelves, and Good Good Golf taking down a video that depicted violence toward women. The story notes that all brands issued mea culpas but none responded to Adweek's request for comment. Mike Kresch, VP of strategy at Moburst, is quoted saying brands must closely examine products and marketing before release. The article frames these incidents as recurring examples of tone-deaf marketing by large companies.
Marketing tactic: 'Oops' follow-up email works
This newsletter piece describes a deliberate email-marketing tactic where a sender first sends a believable “mistake” email and then follows up moments later with an apology containing the real pitch or working link. The author cites Coframe (the sponsor) as an AI platform for nonstop website A/B testing, claims Coframe is partnered with OpenAI, and gives examples where companies (Replit, Dropbox, Intuit) reportedly drove performance with the tool. Several brands (Virgin Voyages, The Fork, Indochino, Epidemic Sound) are shown using “oops” emails as marketing. The article warns not to overuse the approach.
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