Role of B2B reliance and brand image in reducing risk perceptions: a serial mediation model

Abstract

Purpose The study aims to explore the role of reliance and brand image (goods-based and service-based) in risk perceptions related to business-to-business (B2B) purchases. In particular, time risk (TR), performance risk (PR) and financial risk (FR) has been explored in this paper. Design/methodology/approach A questionnaire-based survey data has been collected from 152 respondents from different industries, and the model was validated using partial least squares structural equation modeling. Findings The study highlights the importance of reliance and brand image for reducing the effects of perceived risk. While reliance is negatively related to all the risk dimensions, the relationship between reliance and FR is serially mediated by service-based brand image (SBBI) and TR. The same is also mediated by PR. Furthermore, PR and TR are positively related to FR. Research limitations/implications The findings of this study highlight the importance of reliance and brand image for reducing the effects of risk dimensions. Reliance plays an important role in reducing all risk perceptions. Findings also highlight the importance of SBBI in reducing TR. Practical implications The findings provide managers with key insights for reducing risk perceptions by creating a strong reliance and B2B brand image, leading to long-term relationship strategies. Originality/value To the best of the authors’ knowledge, this is one of the few papers in B2B marketing that focuses on the importance of reliance and brand image in reducing the effects of perceived risk.