Do companies’ climate change actions increase customers’ attitudinal loyalty? An empirical investigation of direct, mediating, and moderation effects

As climate change accelerates worldwide, companies are under pressure to develop actions to mitigate the environmental impact of production processes and heighten individuals’ sense of involvement with this problem (hereafter “climate change engagement”). However, the literature lacks clear insights into how customers respond to such actions. To advance knowledge in this field, we assessed whether customers’ responses depend on their trust in companies’ climate change actions. Across two studies − an experimental study and a field survey with hotel customers − we found that said trust leads customers to engage with climate change and that engagement, in turn, enhances their attitudinal loyalty. Moreover, customer pro-environmental behavior moderates the positive effect of trust on climate change engagement. Theoretically, these results unveil the crucial role of trust in activating customers’ climate change engagement. Managerially, the results highlight the importance of building trust in climate change actions to boost customers’ climate change engagement and loyalty to climate-friendly companies.