Corporate social responsibility, electronic word-of-mouth and customer loyalty in Vietnam’s banking sector

Abstract

This research explored and examined the link between electronic word-of-mouth, corporate social responsibility, and loyalty of 282 customers using banking services in Vietnam (PLS-SEM) through the Partial Least Squares Structural Equation Modeling. The data were gathered using convenience sampling, with a sample of 282 customers who used banking services in Vietnam and interacted with the bank through social media. The survey is intended to include 16 questions separated into two parts: the first part contains 5 demographic questions, and the second part contains 11 questions divided into three sets of factors: corporate social responsibility, electronic word-of-mouth, and loyalty. The survey was emailed to customers using banking services and interacting with banks via social media in Vietnam. According to the findings of the empirical study, there is a direct and indirect link between corporate social responsibility, electronic word-of-mouth, and customer loyalty in Vietnam’s banking sector. The results of empirical research in Vietnam’s banking industry indicate that corporate social responsibility has direct and positive impact on customer loyalty; corporate social responsibility has a direct and positive impact on customer’s word-of-mouth; electronic word-of-mouth has a direct and positive impact on customer loyalty; and finally, corporate social responsibility has an indirect impact on customer loyalty through customer’s electronic word-of-mouth.