Impact of CSR Initiatives on Consumer’s Perceptions and Attitudes Towards Retailers

Abstract

This research aims to analyze how retailers’ endorsement of socially responsible and sustainable practices impact consumers’ attitudes and perceptions towards retailers’ products (private labels). A laboratory experiment, in which CSR practices were manipulated (environmental initiatives vs philanthropic initiatives) revealed that in general, CSR practices have a positive impact on consumers’ perceptions towards the retailer. Results suggest that consumers’ willingness to pay extra for products is higher for environmental than philanthropic initiatives. However, when analyzing behavioral intentions to purchase the products sold by retailer, results reveal a marginally significant preference for philanthropic vs environmental initiatives. Further analysis, this time considering consumers’ green values, indicate that high green consumers seem to infer higher product quality when retailers engage in environmental initiatives, while average green consumers seem to anticipate higher shopping experience when presented with an initiative of philanthropic nature. Overall, findings reveal interesting insights, highlighting how different CSR initiatives may have different impact in terms of product quality, willingness to pay, purchase intentions and shopping experience perceptions. Moreover, results also highlight a number of different psychological mechanisms that emerge when consumers hold distinct green consumption values.