The call of the day is that in evolving marketplace where the public has become more and more tuned with the corporate social responsibility (CSR) aspects of the businesses, yet, the businesses also are challenged to keep the balance between brand purpose and profit motivation. In this study, the extent to which consumers weigh CSR in deciding what to buy is examined, with an account of the influence of perceived CSR authenticity, product affordability, brand reputation, as well as quality on consumer behavior. Data was collected from 400 consumers by means of online surveys identified through a stratified sample and complemented by expert interview. The findings show that consumers have a strong preference for brands whose conduct engages in CSR initiatives, but still purchasing behavior is driven by price and quality. In its regression analysis, the perceived authenticity of CSR seemed to influence trust in the brand and purchase intent negatively, but negatively as compared to price sensitivity. The study also emphasizes integration of CSR into core businesses instead of placing it as an additional marketing platform. Brand that get social impact into their pricing and product excellence work better to trust and loyalty with their consumers. It is the first research to show how brand purpose can work with (improve) profitability in the consumer driven market. Future research should study the industry specific variation of CSR influence and evolutionary change of brand consumer relationship in the presence of developing consumer trends.

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Brand Purpose Versus Profit: Do Consumers Really Care About Social Responsibility?

  • R. Padmavathi,
  • M. Amsaveni,
  • P. S. Dharshana,
  • K. PoongothaI,
  • R. Shankar,
  • A. Karthikeyan

摘要

The call of the day is that in evolving marketplace where the public has become more and more tuned with the corporate social responsibility (CSR) aspects of the businesses, yet, the businesses also are challenged to keep the balance between brand purpose and profit motivation. In this study, the extent to which consumers weigh CSR in deciding what to buy is examined, with an account of the influence of perceived CSR authenticity, product affordability, brand reputation, as well as quality on consumer behavior. Data was collected from 400 consumers by means of online surveys identified through a stratified sample and complemented by expert interview. The findings show that consumers have a strong preference for brands whose conduct engages in CSR initiatives, but still purchasing behavior is driven by price and quality. In its regression analysis, the perceived authenticity of CSR seemed to influence trust in the brand and purchase intent negatively, but negatively as compared to price sensitivity. The study also emphasizes integration of CSR into core businesses instead of placing it as an additional marketing platform. Brand that get social impact into their pricing and product excellence work better to trust and loyalty with their consumers. It is the first research to show how brand purpose can work with (improve) profitability in the consumer driven market. Future research should study the industry specific variation of CSR influence and evolutionary change of brand consumer relationship in the presence of developing consumer trends.