Role of corporate social responsibility authenticity in developing perceived brand loyalty: a consumer perceptions paradigm

Abstract

Purpose Authenticity has become increasingly dominant in business practices, particularly in branding and corporate social responsibility (CSR) activities, as consumers want it in all aspects of their lives. Thus, the purpose of this study is to examine the role of perceived CSR authenticity in predicting perceived brand loyalty (i.e. brand trust, positive word of mouth [PWOM]) via perceived brand authenticity by considering the moderating effects of brand image on perceived brand authenticity and loyalty to determine its influence in the global branding context. Design/methodology/approach Using a non-probability convenience sampling technique, this study received 817 responses from consumers who regularly used global brands. Finally, this research examined 734 responses to test the proposed hypotheses using structural equation modeling. Findings This study discovered that perceived CSR authenticity strengthened perceived brand authenticity, which fostered perceived brand loyalty by enhancing brand trust and motivating consumers to spread PWOM about global brands. Similarly, perceived CSR authenticity directly influenced perceived brand loyalty by enhancing brand trust but did not affect PWOM. Likewise, the moderating effect of brand image was significant in fostering perceived brand loyalty by enhancing brand trust, but it had no effect on PWOM. In contrast, the brand image had a significant negative effect on perceived brand authenticity. Practical implications This research offered many insightful suggestions to global managers in the manufacturing and service industries that might assist them in designing and implementing several branding strategies to achieve corporate objectives. Originality/value This novel research contributes to the attribution theory by examining consumers’ perceptions of CSR authenticity, brand image, brand authenticity and brand loyalty from the global branding perspective.