Csr Case Study

Effects of Customer Participation in Corporate Social Responsibility (CSR) Programs on the CSR-Brand Fit and Brand Loyalty

Keywords

Moreover, the industry’s standardization makes it hard for coffee brands to capitalize on coffee quality, service quality, location, environment, or customer–company relationship. Brand coffee shops in this study are defined as multiunit chain-brand coffee shops, including international (e. Brand coffee shops face competition from other coffee franchises, independent coffeehouses, non-franchised chains, gas stations, fast food restaurants, convenience stores, and more. Service research indicates that CSR can increase trust, customer satisfaction, financial performance, and positive work outcomes of service employees

This study investigates (1) the effect of CSR-brand-fit on service brand loyalty, (2) the mediating role of personal and social identification, and (3) the role of customers’ CSR participation in loyalty formation focusing on the brand coffee shop industry. First, CSR-brand fit needs to be examined to give researchers a clear insight into how customers structure and enhance their loyalties toward brands within the context of brand-name coffee shops in Korea. In a study focusing on the quick-service restaurant industry, Swimberghe and Wooldridge (2014) suggested that CSR associations affect customer loyalty via customer trust but not through consumer satisfaction. Jones and Taylor (2007) suggest that service brand loyalty is similar to loyalty in interpersonal relationships, supporting the notion that service provider–consumer relationships can approximate friendships in some senses. Accordingly, identification with a coffee shop brand can develop into strong and long-lasting service brand loyalty. We posit that CSR initiatives that are consistent with brand

Findings of prior research on perceived fit are consistent with the network theory, which states that high levels of perceived relatedness create positive consumer attitudes toward firms or brands because consumers regard the firm’s actions as credible and appropriate (Speed and Thompson 2000. Perceived fit is important because it influences how much thought people give to a relationship, such as regarding increased elaboration about the firm, social initiative, and the relationship itself when perceived inconsistencies with prior expectations and information exist (Forehand and Grier 2003; Meyers-Levy and Tybout 1989. This perception will foster the belief that a brand shares, or conforms to, consumers’ own values and will boost their selfesteem to the extent that it supports the brand. If McDonald’s conducts a campaign for the prevention of AIDS, CSR-brand fit would be relatively low, because the cause (AIDS) seems to be unrelated to the McDonald’s service or its brand