Powering the Connection: Examining the Role of ESG Perception and Brand Relationship Attachment in Strengthening Brand Loyalty for Sustainable Development

Abstract

Purpose. This study investigates how consumer perceptions of Environmental, Social, and Governance (ESG) initiatives influence brand loyalty, emphasizing the mediating role of brand relationship attachment and the moderating effect of altruistic attribution. While ESG’s financial and strategic benefits are widely acknowledged, its psychological influence on consumer-brand dynamics remains under-explored.

Theoretical Framework. The research is grounded in Sustainability Branding Theory, Relationship Marketing Theory, and Attribution Theory. These frameworks collectively explain how ESG initiatives generate emotional bonds, how such attachments foster consumer loyalty, and how perceived motives, whether altruistic or self-serving, shape trust and long-term brand commitment.

Methodology. A mixed methods approach was employed. The quantitative phase used a structured survey of consumers across industries, analyzed via Structural Equation Modeling (SEM) to examine mediation and moderation effects. The qualitative phase involved in-depth interviews with brand and ESG managers, providing insights into how ESG strategies are developed and perceived as authentic or performative.

Findings. Results show that ESG perception positively influences brand loyalty through brand relationship attachment. This process is conceptualized through the original-created REAL Model, which integrates emotional and cognitive factors. When ESG actions are interpreted as altruistic, the effect on loyalty is amplified; when perceived as self-serving, the impact weakens. The REAL Model offers a novel lens for understanding ESG-driven loyalty and underscores the importance of authenticity in fostering enduring consumer-brand relationships.