Building Consumer Trust through Ethical and Sustainable Brand Narratives: An Empirical Study
saharnabi3@gmail.com ,
Abstract: In this study, the impact of sustainable and ethical brand narratives on consumer trust is examined, with particular attention paid to the moderating influence of consumer ethical sensitivity and the mediating function of perceived brand authenticity. Understanding how narrative-driven communication strategies impact trust has become crucial as consumers look for brands that share their values. With 384 respondents, a quantitative, cross-sectional survey was carried out. Structural Equation Modelling (SEM) via AMOS was used to analyse the data. The results show that consumer trust is greatly enhanced by brand narratives that are both sustainable and ethical. Furthermore, the relationship between ethical brand narratives and trust was found to be partially mediated by perceived brand authenticity, suggesting that authenticity is crucial for the development of trust. Furthermore, the study demonstrates that consumers with high levels of ethical sensitivity react more favourably to value-based communication, thereby moderating the impact of ethical narratives on trust. These findings add to the literature on branding and marketing by emphasising how crucial ethics and genuineness are to gaining the trust of customers. The study has useful ramifications for marketers who want to use honest and ethical storytelling to build stronger relationships with their customers.
Keywords: Consumer Trust, Ethical Brand Narratives, Sustainable Branding, Perceived Brand Authenticity, Consumer Ethical Sensitivity, Brand Loyalty, Narrative Marketing
INTRODUCTION
Brand narratives are real content that changes how people think about a brand and builds trust over time (Hollebeek & Macky, 2019). A strong brand story helps people connect with the brand on an emotional level and understand it better (Ives & Ryu, 2023). This level of immersion can make stories more convincing and make them seem more real. Authenticity, on the other hand, boosts brand trust, credibility, and willingness to pay (Abratt et al., 2025). Tourism branding has done a lot of research on authenticity (Bu et al., 2023), but green marketing hasn't done as much research on it. This is important because consumers are sceptical and greenwashing is on the rise (Tarabieh, 2021).
Building on the importance of brand narratives in influencing consumer perception and trust, consumers' preference for brands that exhibit environmental and ethical responsibility has significantly increased in recent years. When making purchases, modern consumers—especially younger generations—are giving transparency, sustainability, and social impact more weight (Mehta, 2024). Increased consumer awareness of corporate social responsibility, unethical labour practices, and climate change is contributing to this shift by encouraging them to support companies that share their values (Napoli et al., 2015). But as greenwashing—the practice of businesses making exaggerated claims to be environmentally friendly—has increased, consumers are now more dubious and want real, substantiated commitments to sustainability. Because of this, real ethical and green brand stories are now important not only for standing out, but also for rebuilding and keeping consumer trust in a market that is both competitive and socially aware.
Consumer trust has become a crucial resource for brands looking to establish enduring relationships and achieve long-term success in today's values-driven and cutthroat market. A growing number of consumers are evaluating brands based on how well they align with their values, especially in areas like perceived value, customer satisfaction, brand image, and sustainability practices, rather than just the quality or price of their offerings (Huang et al., 2022). Particularly when based on moral behaviour and open brand behaviour, trust improves customer retention, fortifies loyalty, and has a favourable impact on financial performance (M. T. Lee & Suh, 2022). In this regard, perceived value is crucial because it aids customers in weighing a brand's overall advantages in relation to its costs, which makes it a crucial differentiator in crowded markets (Bigné Alcañiz et al., 2000). Research also shows that trust is directly related to satisfaction and positive service experiences, especially when trust is strengthened by CSR practices and sustainability perceptions (Murali et al., 2016).
Stories that are centred on sustainability and ethics have grown to be effective tools for influencing consumer attitudes as this trust depends more and more on factors other than functional performance. Consumer trust is more likely to be earned and maintained by brands that exhibit openness, equity, and a sincere dedication to social and environmental responsibilit. Authenticity and brand image can be enhanced by effective communication about CSR initiatives and green practices, especially when supported by clear and consistent brand storytelling (Villagra et al., 2021),