The impact of corporate social responsibility on brand loyalty.

Abstract

This article describes corporate social responsibility (CSR) as an organisational tool whose successful implementation can be used to gain brand loyalty. The benefits of CSR to society have been well documented to a great extent. However, there is very little information on the benefits of it to the actual corporations that practice it. This lack of knowledge is what motivated the study on which this article is based. The key objectives of the study for the article were to determine consumer attitudes towards specific CSR programs, determine the impact of CSR on brand image and brand loyalty and determine what kinds of CSR programs are considered to be adequate by consumers to qualify as socially responsible. A quantitative survey was done using customers of the South African mobile phone service provider Vodacom. A self administered questionnaire was used as the primary data collection instrument. The main findings of the study were that although most consumers were not aware of what CSR as a concept is, they felt that companies are obligated to be socially responsible. Most importantly however, it was determined that the knowledge of a firm’s CSR initiatives may lead to enhanced corporate image and brand loyalty. From the findings, this article recommends that corporations need to take a more proactive rather than a reactive approach to societal and environmental issues. It also recommends that companies need to be more transparent about their CSR initiatives to consumers which in turn leads to increased stakeholder engagement.

How Does Corporate Social Responsibility Affects Brand Positioning and Brand Loyalty: An Empirical Analysis of Selected Fmcg Companies

“…Finally, the research proved that there is a significant impact of CSR on brand positioning and brand loyalty. These findings were in line with previous empirical studies Battaglia, et al ( 2014); Dapi and Phiri, (2015); Nagalatha (2015), Lin, (2016) ;Bediako, (2017);Lu, et al, (2020).…”

“…It has become the common phenomenon in the present world because of its notable impact on society. Fortune companies across the world spend billions of dollars in fulfilling CSR activities to enhance their reputation and to maintain strong customer relationship management (Dapi and Phiri, 2015).…”

Does doing good do well? An investigation into the relationship between consumer buying behavior and CSR

“…Multiple researchers have shown a link between CSR and positive consumer loyalty with quantitative studies -this is of relevance for marketers because it could improve sales levels and profits. From the findings, Dapi and Agabu Phiri (2015) therefore suggest that corporations take a proactive rather than reactive approach to social and environmental issues. Maignan and Ferrell (2001, p. 13) similarly established a positive relationship between the two, showing "active support for companies committed to cause-related marketing, environmentally friendly practices, or ethics".…”

“…Results from Maignan and Ferrell (2004) suggest these different connections are intrinsically bound in social context. However, Dapi and Agabu Phiri (2015) aimed to determine consumer attitudes towards specific CSR programs in their study which surveyed South African telecoms consumers, and overwhelmingly found that consumers expected companies to be socially responsible. Min et al (2012), similarly established that consumers had become expectant of this variable.…”

Complex Customer Loyalty Measurement at Closed-Loop Quality Management in B2B Area—Czech Example

“…The definition of corporate social responsibility from ISO 26000 standard [63] is quite conclusive: "The responsibility of an organisation for the impacts of its decisions and activities on society and the environment, resulting in ethical behaviour and transparency which contributes to sustainable development, including the health and well-being of society; taken into account the expectations of stakeholders; complies with current laws and is consistent with international standards of behaviour; and is integrated throughout the organisation and implemented in its relations." A set of facts that significantly confirm the strong and positive link between corporate social responsibility and customer loyalty, regardless the branch and business, was brought by [64][65][66][67].…”