Running head: THE HALO EFFECT: A LITERATURE REVIEW
The Halo Effect: A Literature Review
Karla De Jesus
July 5, 2016
Dr. Bartholomew
Liberty University
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THE HALO EFFECT: A LITERATURE REVIEW
Abstract
The halo effect is a term that has significantly affected the way that consumers perceive brands.
With the increase in social media, reviews, and customer satisfaction surveys, businesses must be
able to understand how the halo effect works and how to properly implement an effective
marketing strategy that addresses issues with halo effects. A company can impact the halo effect
positively or negatively by how they choose to respond to incidents of recalls, through proper
employee interpersonal training and appropriate corporate social responsibility practices. Further
studies suggest that there are most aspects to the halo effect that can be addressed, such as the
possibility of changing a negative halo effect within a customer’s perception.
Key words: Halo effect, brand equity, customer perception.
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THE HALO EFFECT: A LITERATURE REVIEW
Introduction and History
The halo effect concept is a psychological term that can be used to describe the notion
that a person’s perception of a person or thing in one area is affected by their perception of that
thing in another area. The Encyclopedia of Social Psychology (2007, para. 1) describes the
