The current study contends that customer-related CSR dimensions (such as trust and awareness) about social media take a favorable influence on consumers’ positive and negative electronic word of mouth and intentions to purchase a particular product or to avail services, whereas customer attitude towards social media acts as a mediator. The proposed conceptual framework applied to Chinese banks is tested for several reasons, such as the humanized industry offering the same sorts of products, which leads to a question about customer retention. A ray of hope will be given to policymakers that thorough and well-planned corporate social responsibility initiatives underneath the marketing umbrella can hold customers retained and only lead to electronic word of mouth and purchase intentions. Secondly, in the presence of all sectors in the country, the banking sector offers an established and visible CSR structure, but CSR activities are still in their infancy based on social media. Due to the high volatility factor existing in the banking industry and competitiveness, this is quite challenging for every bank in comparison with the rest of the market.
Therefore, integrating CSR underneath the marketing umbrella makes the banking industry realize more about customer retention and ensures a competitive advantage through social media platforms. This study is going to add to the current literature a variety of ways with regards to corporate social responsibility and its market domain [44]. Previous studies emphasize the linkage between corporate social responsibility and organizational performance variables.In a similar manner, the research will contribute to the existing body of CSR literature in the context of customer behavior. It proposes that customer-related corporate social responsibility (CSR) initiatives on social media produce good emotions among customers, which ultimately impact the customers’ behavior in a positive way by cultivating an attitude, EWOM (both positive and negative), and purchase intentions. In conclusion, the current study contributes to the limited body of literature on CSR in social media. This is because most studies conducted in the past have concentrated on traditional media. In the following paragraphs, you will find an explanation of the component of the literature review devoted to the formation of hypotheses and the presentation of a suggested study model.
2. Literature Review and Research HypothesesCSR-related social media activities are conducted between an organization and its customers. Businesses employ and rely heavily on various virtual media platforms, such as organizational websites, Facebook pages, Twitter content, etc., to develop a conversation with clients [45]. Customers have a more positive impression of a company that uses social media to communicate with its stakeholders about corporate social responsibility [13,46]. Customers who feel that the company treats them fairly and openly are more likely to have a favorable impression of the brand on social media [47]. CSR (customer service) communication in the digital era is a powerful marketing approach that strengthens customers’ emotional and logical connections to a company [48,49]. The idea is that companies may win over customers by letting them tag along on their social media “customer service journey” and letting them read their corporate social responsibility messages [50]. Customers can voice their opinions about the company and communicate with other users by sharing, liking, and commenting on social media posts [51,52]. Through social media’s interactive features, users form emotional connections with the company, which in turn boosts brand loyalty [53]. Customers have a favorable impression of a company because they are able to convince themselves that the company not only cares for its customers but also responds positively to society when they see an organization sharing its CSR activities on social media. This gives customers the impression that the company not only cares for its customers but also responds positively to society. Because of this, clients are left with a positive impression of the company [54]. Consequently, it is rational to claim the following hypotheses.H1.Customer-related CSR trust positively relates to a customer’s attitude towards social media platforms.
H2.Customer-related CSR awareness positively relates to a customer’s attitude towards social media platforms.
Customers base their purchasing decisions on their organization’s health and an appraisal of the goods. If customers have a favorable view of a company’s CSR efforts, it is anticipated that their appreciation of the company will increase [5]. However, evidence indicates that clients frequently do not comprehend CSR programs due to their limited knowledge of CSR initiatives [55]. If they are not constantly considered, it is rather difficult to accomplish the CSR effect with a purchasing purpose. Customers’ comprehension of CSR initiatives will depend at least in part on the quality of CSR information supplied to them by the organization [55]. The concept of corporate social responsibility (CSR) has been around in China for the better part of two decades, but it is still in its infancy, and most consumers lack a good level of understanding and information about the value of CSR. The advent of social media is a game-changer in this regard because it gives businesses a forum in which to discuss their corporate social responsibility (CSR) strategies with various interested parties, including customers, and to draw attention to the positive effects of their CSR work in the local community and the environment [56,57]. Because of the two-way nature of communication between the firm and its clients, it is vital that the CSR activities of a business that directly affect those customers be carried out on social media. The social and engaging nature of social media is a significant factor in increasing customers’ propensity to make purchases from a certain business [58], emphasizing the role of social media interaction between organizations and customers leading to an increase in customer confidence and customers’ purchasing intentions. Prior research on consumer response and CSR has focused on behavioral response and perceived reaction, with the former relating to external response and the latter to internal response [59,60]. The perceived reaction is the internal response of customers, and it describes how CSR initiatives influence customer perceptions and how customers evaluate a business in terms of sustainable practices. Behavioral responses are the exterior responses of customers, which frequently involve the influence of CSR activities on customer behavior, such as buying behavior, loyalty, purchase intentions, and willingness to pay a premium price [61]. Customers are more likely to accept services and products from a respected company that actively engages in CSR initiatives [62]. The present study concludes that when a firm interacts with its customers on social media by sharing CSR efforts, trust is built and awareness is increased. It is predicted that customers will respond positively to such socially responsible behavior, which will ultimately influence their positive and negative electronic word of mouth, as well as their purchasing inclinations.H3.Customer-related CSR trust positively relates to a customer’s electronic word-of-mouth.
H4.Customer-related CSR trust positively relates to a customer’s purchase intentions.
H5.Customer-related CSR awareness positively relates to a customer’s electronic word-of-mouth.
H6.Customer-related CSR awareness positively relates to a customer’s purchase intentions.
Employing a CSR program raises the profile of a company and inspires more interaction with its customers. As a result, it stands to reason that a company’s participation in CSR initiatives will generate favorable word of mouth among its customers [63]. Many consumers evaluate a company’s social responsibility alongside the quality of the products and services it offers. A company’s public profile can only benefit from its dedication to CSR [64]. In what is known as the “halo effect,” the public’s favorable impression of a company is boosted because of that business’s corporate social responsibility (CSR) initiatives. Customers are attracted to the company’s products and services thanks to this balanced view of the company through trust and awareness [65]. Customers who use a business with active CSR programs tend to have a more favorable impression of that business and are more likely to recommend its products and services to others. When clients see a company, they do business by actively participating in CSR programs, they develop a favorable impression of that business, and they are more likely to talk positively about it. This, in turn, increases the company’s positive word of mouth and, on the contrary [66], if the company does not provide what customer desires, than the trust and the awareness factor is missing, and the attitude of the customer is going to be negative, which will lead to negative electronic word of mouth and which lead to low purchase intentions [67]. When customers have a positive experience with a firm, they are more likely to spread the word about what happened to be concluded in a longitudinal study [68]. E-WOM is defined as “word-of-mouth” communication that is spread among potential clients by means of electronic media [57]. In various services-related sectors, electronic word of mouth, i.e., positive and negative, can lead to high and low service utilization by customers [69].Researchers today agree that electronic word of mouth (EWOM) is crucial for expanding a business’s customers [70]. Scientists have created associations between positive electronic word of mouth and brand preferences [71], purchase intentions [72], and loyalty [73]. Many argued the importance of negative electronic word of mouth with purchase intentions [74], brand loyalty [75], brand switching behavior [76], and corporate social responsibility [77]. Therefore, WOM is crucial for businesses that successfully employ it to boost sales or promotion. Thanks to the internet and other forms of online media, word of mouth (WOM) communication has become increasingly commonplace. Furthermore, businesses engage in CSR for a variety of reasons, such as the word of mouth (WOM) benefits that can be gained [27]. Participating customers are more likely to brag about the company’s CSR initiatives to their circle of acquaintances. By engaging in CSR, businesses can enhance their reputation as caring, ethical entities in the marketplace [78]. Companies in the modern day use social media to explain their CSR initiatives to their clientele and other interested parties. Customers who are proud to be associated with a company will share positive feedback about that company with their online communities after witnessing such actions [79]. However, things become ugly for the company if social media users share negative word of mouth, which can spread up to a mass effect on purchase intentions [80].H7.A customer’s attitude towards social media positively relates to a customer’s electronic word of mouth.
H8.A customer’s attitude towards social media positively relates to a customer’s purchase intentions.
Long-standing studies have shown that when customers learn that a company cares about the community, their perception of the brand improves [47,81]. This is because when customers learn that a company cares about the community, they form favorable mental associations with the brand. When consumers learn that a company cares about the community, they form favorable impressions of that company and its products. The present study hypothesized, in line with the theory of reasoned action, that brand attitude influences both electronic word of mouth (E-WOM) and consumers’ propensity to make purchases [82]. The advent of social media has given customers a more participatory and adaptable venue for airing their grievances with a company and spreading viral messages than traditional media [83]. According to the theory of reasoned action, customer brand attitude is positively correlated with purchase intention. In the same vein, it can be expected that the CSR activities of an organization will influence customers’ brand attitudes, which will, in turn, increase customers’ purchasing intentions for a brand or organization [27,84]. Recent studies in the scholarly literature have explored how factors such as openness, trust, and social responsibility might be used to further develop the rational choice theory of reasoned action. The authors of [85,86] proposed a model in which consumers’ perceptions of an organization’s commitment to social responsibility and transparency drove both their positive feelings toward the brand and their propensity to engage in E-WOM and make purchases. Please refer to Figure 1 for research framework. 4. ResultsTable 1 clearly depicts the demographic profile of the respondents. It implies that 70% of the respondents were male and 30% respondents were female. The majority of the respondents were from the age bracket of 20 years to 25 years. The education profile of the respondents clearly show that almost 54.3% of the respondents were a graduate, whereas 29% had a Masters and 10% possessed a PhD. Table 2 explain the descriptive statistics with a sample size of (n = 304), with mean values and standard deviations of (M = 5.1, SD = 1.19) indicating that average respondents agreed that they have corporate social responsibility trust as well as mean values and standard deviations of (M = 5.3, SD = 1.16), agreeing that they have corporate social responsibility awareness. Attitude toward social media has a mean value of 5.4 and the standard deviation is 1.04. Purchase intentions have a higher consistency Cronbach alpha value of 0.83, which shows greater reliability.Authors should discuss the results and how they can be interpreted from the perspective of previous studies and of the working hypotheses. The findings and their implications should be discussed in the broadest context possible. Future research directions may also be highlighted.
Table 3 explain the Kaiser–Meyer–Olkin. The Kaiser–Meyer–Olkin measure of sampling adequacy value is 0.873, which is significant at five percent. All components based on the studied variables were reported in the rotated component matrix table (Table 4) through the applied mechanism, which is known as principal component analysis in SPSS. The rotated component matrix shows the components of all constructs, i.e., corporate social responsibility trust, corporate social responsibility awareness, attitude towards social media, electronic word of mouth, and purchase intentions. Values extracted through KMO, i.e., 0.873 and Bartlett’s test, are significant.Table 5 clearly implies bivariate correlations of the studied variable. There is no sign of multicollinearity, as no independent variables are correlating with each other. The corporate social responsibility awareness measure showed a weak to moderate relationship with corporate social responsibility awareness. Corporate social responsibility trust (CRT) and corporate social responsibility awareness (CRA) show a weak to moderate relationship with attitude towards social media (ATS), (0.443 ** p-values less than 0.01 show a high significance. 4.1. Measurement of ModelThe measurement model designed in Smart PLS version 4.0 based on the data from 304 respondents clearly depicts the external loadings, average variance extracted, internal consistency, and construct validity, respectively. Please refer to Figure 2 regarding measurement model estimate with beta values.Table 6 clearly explained the factor loadings of each indicator with the justification of the cut-off point. The values of substantial item loadings between 0.40 to 0.70 are the benchmark. Hence, the present study’s external loadings are at a greater than cut-off point than the one provided by the scientist. Similarly, the criterion of item reliability representing each construct is met.The cross loadings criterion along with the heterotrait-monotrait ratio (HTMT) is displayed in Table 7 and Table 8, respectively. It was indicated that all indicators met these criteria and that the indicators loaded the highest on their associated constructs ([97]). All values of HTMT are less than 0.85 [98], showing the discriminant validity. 4.2. Structural ModelIn order to yield the β-values between the studied constructs, t values, p values, R-square, Mediating effect, Pls Predict through smart pls software, structural model is deduced on the basis of prior research conducted by [99]. The method of boot strapping was adopted. Please refer to Figure 3 for path coefficient with p-values and Figure 4 with path coefficient with t-values. 4.3. Mediation EffectMore importantly, the assessment of variance described the endogenous latent variables (i.e., electronic word of mouth and purchase intentions). The R-square value indicates the percentage of variation in the dependent factor that could be justified by one or more predictor variables [99]. In PLS-SEM, 0.60 can be considered a substantial and acceptable value for R2, with 0.33 as mild and 0.19 as low [100]. Thus, the R2 value found for this work was 0.24, which was above the benchmark.
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