Exploring the Impact of Corporate Social Responsibility Communication through Social Media on Banking Customer E-WOM and Loyalty in Times of Crisis

Abstract

Previous studies have largely explored corporate social responsibility (CSR) for organization-centric outcomes to achieve organizational performance, organizational commitment, or organizational citizenship behavior. However, the importance of CSR to achieve customer-centric outcomes is underexplored to date. Contemporary researchers have recently turned their attention toward CSR from the viewpoint of customer-centric outcomes. Therefore, the present study attempts to test the influence of CSR communication on social media and customer loyalty in the banking sector of a developing economy in times of crisis. This study also investigates the mediating effect of electronic word of mouth (E-WOM) with this relationship. The data of the present study were collected from different banking customers using a self-administered questionnaire. The empirical findings of this study validated that the CSR communication of a bank on social media increases customer loyalty, and E-WOM partially mediates this relationship. This study will be helpful for the banking sector to understand the importance of CSR communication to increase customer loyalty, which is very important for every bank in times of crisis.