CSR marketing outcomes and branch managers’ perceptions of CSR

Abstract

Purpose -The purpose of this paper is to analyze the role of bank branch managers' perceptions of corporate social responsibility (CSR) in CSR marketing outcomes. Design/methodology/approach -The paper proposes a causal model establishing that managers' perceptions of CSR influence the perception of CSR held by the branch's customers, which in turn directly affects customer satisfaction, customer trust, customer engagement and customer loyalty. The unit of analysis in this quantitative study is the bank branch. Two questionnaires were administered: one to branch managers and another to five customers in each branch. Findings -Branch managers' perceptions of CSR have a marked influence on customers' perceptions of CSR, which again have a notable impact on the relationship variables studied: customer satisfaction, customer trust, customer engagement and customer loyalty.Research limitations/implications -The sample was taken from two banks in the same country (Spain) and only five customers were interviewed in each branch. The type of customers analyzed should be taken into account since a growing number of customers now carry out all of their banking online and are less likely to visit their branch. Practical implications -The results highlight the importance of adopting socially responsible actions not only in the bank as a whole, but also in individual branches. It would, therefore, seem crucial for high level bank executives not only to involve branch managers in the bank's CSR strategy, but also to empower them to undertake CSR actions that involve the customers and local community with which they interact. Originality/value -First, the paper reveals the differences within the same organization in the way its CSR strategy is implemented. Second, intermediary figures or supervisors are shown to have a key role in ensuring the organization's CSR strategy is effective. Third, the study emphasizes the importance of customers' perception of CSR in achieving the main outcomes of relationship marketing (satisfaction, trust, engagement and loyalty). Fourth, the methodology applied in the study is innovative in its construction of dyads in which the branch is the unit of analysis, enabling a comparison between the manager's perceptions of CSR with that of five customers from the same branch. Fifth, the findings add to the knowledge of a particularly relevant sector in the recent economic crisis, namely, the retail banking industry.

How does organizational leadership contribute to the firm performance through social responsibility strategies?

“…Compared to this volume of studies on CSR, less study was performed on the leadership as an influential internal stimulus and their mutual effects on CSR. For example, a group of studies focused on evaluating the perception and level of CSR among leaders and managers ( Ahmad and Khan, 2019 ; Moliner et al., 2019 ; Ramasamy and Ting, 2004 ; Saeidi et al., 2017 ; Zhang et al., 2020 ). The results are different based on the region and indusry.…”

Corporate social responsibility and financial performance: bidirectional relationship and mediating effect of customer loyalty: investigation in Sweden

“…Furthermore, CSR performance is increasingly seen as a competitive advantage that contributes to consumer loyalty (Jeon et al , 2020), which is a great “showcase” of consumer appeal. Thus, the need to justify investments in CSR actions and to understand their benefits for consumers and other stakeholders is an important issue that still needs to be clarified (Kurniati, 2019; Moliner et al , 2019; Ahmed et al , 2020). Stakeholders are not only the shareholders and employees of the enterprise but also the customers whose interests need to be taken into account.…”

The Relationship between CSR Communication on Social Media, Purchase Intention, and E-WOM in the Banking Sector of an Emerging Economy

“…However, what has been missed in recent literature is the relationship of CSR activities with customer behavioral outcomes. Itis quite recent that modern researchersin the literaturehave started to recognize the importance of CSR to achieve marketing-related objectives [8,9]. This changing approach towards CSR is receiving the attention of contemporary researchers.…”