From Trust to Turnover: Unpacking the Consequences of Brand Transgressions with Religiosity as a Moderator

Abstract

This study investigates the impact of brand transgression on consumer trust, brand loyalty, and purchase intentions, while examining the moderating role of religiosity. Brand transgression, defined as a violation of consumer expectations or ethical standards, often leads to a significant loss of trust. Using a quantitative approach, we collected data from 200 participants via a scenario-based survey to explore these relationships. The results show that brand transgression negatively affects consumer trust, which, in turn, mediates the relationship between brand transgression and both brand loyalty and purchase intentions. Furthermore, religiosity significantly moderates the effect of brand transgression on consumer trust, with highly religious consumers exhibiting greater trust erosion following a brand transgression. These findings provide theoretical contributions by highlighting trust as a crucial mediator and religiosity as an important moderating factor. Practically, the study offers insights for managers, emphasizing the need to rebuild trust through transparent actions and ethical behavior, especially when addressing religiously sensitive audiences. Limitations of the study include the use of a cross-sectional design and hypothetical scenarios, which future research could address by employing longitudinal or real-world experimental designs. Additionally, future studies could examine other moderating variables, such as cultural values or moral identity, to expand the understanding of consumer responses to brand transgressions across diverse settings. Overall, this research underscores the importance of trust in brand-consumer relationships and offers valuable implications for managing brand transgressions in sensitive markets.