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J Bus Ethics (2011) 104:449–460 DOI

10.1007/s10551-011-0925-7

''Why Don't Consumers Care About CSR?'': A Qualitative Study

Exploring the Role of CSR in Consumption Decisions
Magdalena O¨ berseder • Bodo B. Schlegelmilch •
Verena Gruber

Received: 28 February 2011 / Accepted: 30 May 2011 / Published online: 12 June 2011
Springer Science+Business Media BV 2011

Abstract There is an unresolved paradox regarding the role of more emphasis on communicating their CSR efforts while, on
corporate social responsibility (CSR) in consumer behavior. the demand side, consumer advocate groups are high-lighting
On the one hand, consumers demand more and more CSR irresponsible corporate behavior and calling for boycotts
information from corporations. On the other hand, research (Snider et al. 2003). The increased attention placed on CSR
indicates a considerable gap between consumers' apparent also seems to affect consumers' purchase intentions, as a
interest in CSR and the limited role of CSR in purchase number of surveys and experiments appear to show (eg, Brown
behavior. This article attempts to shed light on this paradox by and Dacin 1997; Mohr and Webb 2005; Sen and Bhattacharya
drawing on qualitative data from in-depth interviews. The 2001).
findings show that the evaluation of CSR initiatives is a complex However, despite consumers' interest in CSR and its
and hierarchically structured process, during which consumers ostensive impact on purchase intention, in reality, CSR still
distinguish between core, central, and peripheral factors. This only plays a minor role in consumption decisions (Mohr et al.
article describes these factors in detail and explains the 2001). This challenges many findings based on experiments
complexity of consumers' assessment of CSR. These insights and survey research, which suggests that con-sumers do take
then serve as a basis for discussing the theoretical and a company's CSR initiatives into account when making
managerial implications of the research findings. To this end, purchasing decisions. Possible explanations point to two
the article contributes to a better understanding of the role of dangers in this stream of research. First, the experimental
CSR in consumption decisions. setting of many studies induces artificial awareness for CSR.
Thus, while such studies offer some useful insights, the effect
Keywords Corporate social responsibility of CSR on actual consumer behavior may not be fully captured.
Consumer behavior Purchase intention Qualitative Second, most of these studies tend to suffer from a social
research desirability bias: When being asked, consumers declare their
willingness and motivation to consider CSR, but when it comes
to real consumption, only very few take account of CSR (Auger
Introduction and Devinney 2007; Devinney et al. 2010). The discrepancy
between reported intentions and actual behavior calls for a
During the past decade, consumers have become progres- better understanding of the limited role CSR plays in pur-chase
sively more interested in corporate social responsibility (CSR) decisions. Our article seeks to shed light on this issue and
(Carrigan and Attalla 2001; Maignan 2001). Several reasons attempts to provide a better understanding of the pro-cess by
for this have been advanced: On the supply side, firms are which consumers integrate their perceptions of CSR initiatives
increasingly engaging in CSR activities and place as a purchase criterion. To this end, we use qualitative data
from in-depth interviews. The findings show that the evaluation
of CSR initiatives is a complex and hierarchically structured
M. O¨ berseder (&) BB Schlegelmilch V. Gruber WU Vienna,
process during which consumers distinguish between core,
Institute for International Marketing Management, Augasse 2-6, 1090 Vienna,
Austria e-mail: [Link]@[Link] central, and peripheral factors.

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450 M. O¨ berseder et al.

This article is organized as follows. The next section discusses previous than positive news (Biehal and Sheinin 2007; Brown and Dacin 1997;
work on CSR and consumer behavior and identifies some of the common Marin and Ruiz 2007; Sen and Bhattacharya 2001). Furthermore, consumer
limitations inherent in extant research. Subsequently, the methodological identification with the com-pany plays a role when evaluating a company.
approach is explained, and the findings are presented. Finally, the The more consumers identify themselves with a company, the more
implications of the findings are discussed, and avenues for further research positively they assess it. Put differently, a company's CSR position leads
are suggested. to consumer identification with the company, which in turn leads to better
company evaluations (Sen and Bhattacharya 2001).

Background
Consumers' Perceptions of Motives for Engaging in CSR
Definition of Corporate Social Responsibility
Consumers' perceptions of companies' motives for engaging in CSR also
The concept of CSR has been characterized as elusive (Smith and play an essential role in their responses to the concept (Ellen et al. 2006;
Langford 2009), broad and complex (Mohr et al. 2001), malleable (Devinney Vlachos et al.
2009), and blurry and fuzzy (Geoffrey 2001). The basic idea behind it is 2009). Ellen et al. (2006) identified different types of attributions: other-
straightforward: Corporations are responsible for more than simply making centered (stakeholder-driven and values-driven attributions), self-centered
a profit (Godfrey and Hatch 2007). How-ever, achieving a clear and (strategy-driven and egoistically driven attributions), and win–win. Other-
common understanding of what these corporate responsibilities are has cen-tered attributions refer to consumers' perceptions that companies feel
proven to be diffi-cult (McWilliams et al. 2006b). Many scholars have tried ethically committed and see it as their responsibility to help; self-centered
to pin down the concept of CSR (see the in-depth literature review by ones depict companies engaging in CSR for strategic reasons (eg, to
Dahlsrud (2008)), but a unified definition is still missing (eg, Crane et al. increase their profits). Most consumers ascribe mixed motives to corporate
2008; Godfrey and Hatch 2007; McWilliams et al. . 2006a ; Smith and engagement in CSR and view companies in a positive light when they
Langford 2003 ; Devinney (2009) suggests that there are two kinds of credit CSR-related efforts with a combination of values-driven and strategic
views: those with a narrow focus, which perceive monetary economics attributions (Ellen et al. 2006; Vlachos et al. 2009). Vlachos et al. (2009)
within the framework of the law as the sole responsibility of a company, show that values-driven attributions positively affect trust, while stakeholder-
and those with a broader view, perceiving companies as organizations with driven, egotistically driven, and strategy-driven attributions have a negative
a much wider set of obligations. Most definitions are, however, positioned impact or no impact at all. Likewise, Becker-Olsen et al. (2006) generally
on the continuum somewhere in between these two views (Devinney that social motivation is essential for a positive consumer reaction, while
2009). This article follows the broader view of CSR in accordance with the profit-motivated initiatives have a negative impact.
European Commission, which has defined CSR as ''a concept whereby
companies inte-grate social and environmental concerns in their business
operations and in their interaction with their stakeholders on a voluntary
basis'' (European 2001). However, even the definition by the European

Commission is company-centric. It gives an idea of what CSR means to

corporations, but it remains unclear what the concept conveys to
consumers. This is discussed in the following section. Consumers' Awareness and the Communication of CSR

A common problem of most studies investigating the link between CSR

and consumer behavior is an assumed or artificially induced awareness of

CSR. However, consumers generally have a low level of awareness about

what CSR is (Pomering and Dolnicar 2009; Sen et al. 2006).

Still, when consumers are made aware of what CSR is, it appears that
CSR does lead to positive attitudes and stronger behavioral intentions
Consumer Responses to CSR toward buying products from a socially responsible company (Pomering
and Dolnicar 2009; Sen et al. 2006). Hence, communicating CSR activities
Impact of CSR on Product and Company Evaluations is essential to enhance CSR awareness. In particular, communication
channels that are not directly controlled by the corporation play a major
Several studies show that consumers take their commit- role in CSR communication, as does the type of CSR program (namely
ment to CSR initiatives into account when evaluating companies and institutional, as opposed to promotional) (Pirsch et al.
products. In both cases, negative CSR information has a much stronger
effect on the evaluation

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Exploring the Role of CSR in Consumption Decisions 451

2007; Pomering and Dolnicar 2009). Institutional CSR programs ''provide on CSR; contemplators think about CSR, but do not actually act on it;
a comprehensive approach to CSR, attempting to fulfill a company's social action-oriented consumers sometimes use CSR as a purchase criterion;
obligations across all stakeholder groups and touching on all aspects of and maintainers are committed to considering CSR when they buy. Most
the company'' (Pirsch et al. 2007, p. 126). Companies offering respondents (pre-contemplators and contemplators) have positive atti-
institutionalized CSR programs generate CSR policies for all stakeholders tudes toward companies who engage in CSR activities, but few (action-
and attempt to satisfy their moral obligations. This type of program has a oriented consumers) consider CSR to be an important purchase criterion.
greater impact on customer loyalty, attitudes toward the company, and Only a minority (21%) use a company's CSR position as a purchase
purchase intention than due to promotional CSR programs, which are criterion sometimes or on a regular basis (Mohr et al. 2001). Current
targeted at selling products (Pirsch et al. 2007).1 figures of fair trade are in line with this finding, showing that fair trade sales
account only for 1% of global trade (Siegle 2009).

CSR and Purchase Intention

Taken collectively, a growing body of literature focuses on CSR and
The type of CSR activity, consumers' support of the ini-tiative, and their consumer behavior. While the findings of this research show some impact
beliefs about the tradeoffs a company makes for the sake of its CSR play of CSR on consumers' product and company evaluation, they demonstrate
a crucial role in con- sumers' reactions to CSR activities (Sen and the limited influence of CSR on purchase intention. Moreover, the research
Bhattacharya 2001). Furthermore, the influence of CSR on consumers' points to the importance of the perceived motives of CSR and, in particular,
purchase intention can be direct or indirect. The effect is indirect when a to the central role of consumer awareness and communication of CSR.
corporate context for purchase intention is created, that is when consumers Similar results
know the company and its CSR efforts. However, a company's CSR
actions can also have a direct influence on the attractiveness of its products. have been obtained from a related stream of research on ''the ethical
consumer.'' However, in contrast to the liter-ature on CSR and consumer
behavior, the discourse about ethical consumption is already further
Here, a company's CSR initiatives directly affect purchase intention, as advanced and focus on the identification of antecedents of ethical
the CSR initiative corresponds to the con-sumer's CSR beliefs and his/
her support for the initiatives (Sen and Bhattacharya 2001). Consumers consumption. consumption. A recent example of this research stream is a
who respond more positively to CSR activities have also been found to contribution by Bray et al. (2011), who identify exogenous (consumer
take more responsible purchase decisions and act more responsibly in characteristics) and impeding variables in ethi-cal consumption and their
their disposal behavior (Mohr and Webb 2005). impact on various consumer behavior outcomes (eg, boycott, self-interest).
Our article expands this discussion by moving beyond individual (eth-ical)
product offers to the strategic level, ie, CSR initia-tives. Consequently,
Extant research also shows that CSR only has a positive effect on we attempt to shed light on the role a company's CSR activities play in
consumers' purchase intention when con-sumers are interested in the purchase decisions.
CSR activity and support it.
Moreover, there must be a good fit between the company's CSR activity Therefore we explore consumers' evaluation process of CSR perceptions
and its business. Furthermore, irresponsible corporate behavior has been as a purchase criterion.
found to have a greater impact on consumers' purchase intention than
responsible behavior (Bhattacharya and Sen 2004).
Qualitative Research Approach
However, Mohr et al. (2001) draw attention to the fact that only a small
segment of consumers uses CSR as a purchasing criterion on a regular As this study aims to understand the meanings that actions by individuals
basis. Building on qual-itative data, Mohr and colleagues identified four convey rather than to predict their behavior and explore and understand
different groups of consumers: (1) pre-contemplators, (2) contem-platers, perceptions, beliefs, and val-ues, qualitative inquiry seems to be most
(3) action-oriented consumers, and (4) maintainers. appropriate (McCracken 1988). Moreover, qualitative methods are
considered most helpful to examine situations where stated attitudes and
Pre-contemplators do not base their consumption decisions actual behavior diverge (Belk et al. 2005) and where a real-life context is
important (Sinkovics et al. 2005; Sykes 1990). Given these reasons, in-
depth interviews with consumers seem to be most advised, as they enable
first
researchers to gain ''a more accurate and clear picture of a respondent's
We would like to alert readers to the fact that there are different opinions regarding
position or behavior'' (Ghauri and
cause-related marketing (CRM). While some authors subsume CRM under CSR (Bower
and Grau 2009) others argue that there is a difference (Bronn and Vrioni 2001).

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Gronhaug 2002, p. 101) and to clarify and calmly elaborate on interesting was directed toward the question of whether consumers can influence a
answers. More precisely, we use an exploratory approach, aimed at company's behavior. Boycotts and support for socially responsible
developing a grounded under-standing of consumers' evaluation of their companies were debated. Finally, the real purpose of the study was
perceptions of a company's CSR position during the purchasing process. revealed and discussed.
A total of 22 individual interviews were conducted.
Interviewing continued until redundancy was reached, implying theoretical
saturation. The interviews took place in a Western European country in
Data Collection fall 2009 and spring 2010. To this end, we expand the research context
and provide a contrast to the US-dominated research on CSR and
Since the investigation of ethics-related topics is hazardous to social consumer behavior. The interviews lasted between 30 and 105 min. With
desirability bias, great care must be taken when collecting data (Brunk the participants' permission, each interview was audiotaped and

2010a; Mohr et al. 2001). Hence, to reduce social desirability bias, several transcribed, resulting in 575 pages of text. Furthermore, interview
measures have been taken: We decided to use face-to-face interviews descriptions and observation notes were taken.
over focus groups in order to minimize self-presentational concerns
(Wooten and Reed Ii 2000) and to reduce the pressure on the interviewees
to ''do and say the right thing'' (Bristol and Fern 2003). The interviews
were conducted in individuals' homes to make them feel comfortable. The
Sample

relaxing and familiar atmosphere, as well as the open, yet focused As qualitative research focuses on in-depth exploration, a small but diverse
interview style of semi-structured interviews offered the interviewees a sample is recommended. McCracken (1988) advocates that eight long
trusted environment, encourag-ing them to answer openly and honestly. interviews are a suffi-cient basis for qualitative research projects. In order
Moreover, before the interview, the participants were advised that the to obtain a diverse and interesting interviewee selection, we employed
focus of the study was to investigate their opinions and beliefs and that theoretical sampling. This means that we chose consumers who could
there were no right and wrong answers to the interview questions. For inform us about the research
particularly delicate questions, we used projective techniques, asking our
respondents to interpret the behavior of other consumers (Fischer 1993). problem addressed in this study (Creswell 2007; Glaser and Strauss 1967).
The main underlying dimension for purposive sampling is consumers'
attitudes toward CSR, that is varying levels of interest and different atti-
Being aware of this issue and despite taking measures to prevent social tudes toward CSR-related issues such as organic products, fair trade,
desirability, it cannot be completely eliminated. However, we have the etc. However, the objective was also to gather a balanced sample in terms
impression that the respondents answered openly and honestly and that of consumption habits. Conse-quently, consumers with different shopping
social desirability bias was reduced as much as was possible in this type habits were selected, ranging from price-conscious to quality shop-pers.
of study. Furthermore, we chose consumers with diverse backgrounds with regards
to demographic criteria such as age, gender, level of education,
The interview guidelines for the in-depth interviews were prepared and, occupation, and marital status. Thus, our sampling strategy was driven
after pretesting, carefully adapted. At the beginning of the interviews, the more by theory than by representativeness. Concerning the selection
study's real purpose was not revealed to participants. The questions were process we identified interviewees using two well-established approaches
designed from general to more specific inquiries that followed well- (eg, Brunk 2010b): First, the majority of interviewees were selected by
established interview procedures (Bernhard 1988). The realization of the convenience.
interviews was as follows: First, participants discussed the companies and
shops they liked and which products they had bought most recently.

Second, a few interviewees were recommended by par-ticipants

Then, they were asked why they visit those particular shops and which (snowballing). In these cases, participants were asked if they knew
purchasing criteria are important to them. In a next step, the interviewees consumers with a certain level of interest in CSR and consumption habits.
were shown visual stimuli representing the logos of predetermined If there was an interesting match, the respondents were asked to make
companies. Again, they were asked to choose those companies they like the contact to the potential interviewee and requested not to indicate the
and/or where they buy products. Then, consumers were asked why they real purpose of the study but to find out whether this person would be
like and why they shop at these companies. Subse-quently, the discussion willing to talk about his/her consumption habits. The detailed sample
moved toward the CSR policies and initiatives of these companies. After description and interviewee characteristics are shown in Table 1.
that, the conversation

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Exploring the Role of CSR in Consumption Decisions 453

Data Analysis purchase. purchase. If they are not met, CSR will most likely not play a
role in a consumer's buying decisions. These core factors are information
The basic steps in the analysis of qualitative data consist of coding the and personal concern. Furthermore, the consumer perceives the financial
data, combining the codes into broader categories and themes, and situation of a buyer as a central factor that determines the assessment of
interpreting the results (Creswell 2007; Sinkovics et al. 2005). The analysis CSR as a purchase criterion. Finally, the interviewees also identified
developed gradually during the data collection process (Strauss and Corbin peripheral factors that have an impact on the likelihood of considering CSR
1990); early analysis of the first transcript enables the discussion guidelines as a purchase criterion.
to be refined for subsequent interviews. After all the data had been
collected, the final analysis was conducted. As recommended by Glaser These are consumers' perceptions of the credibility of CSR initiatives, the
and Strauss (1967), the data analysis was an iterative process of reading, image of the company, as well as the influence of peer groups. Below, the
coding, discussing the coding with colleagues, and starting again with the three factors will be discussed in detail.
reading. Relevant sections of the transcripts were carefully re-read and
analyzed in the search for patterns and themes. This analysis employs
various procedures of categorization, abstraction, compar-ison, Core Factors

dimensionalization, integration, iteration, and refuta- tion (Spiggle 1994).

Consumers' perceive two core factors as decisions for a potential
consideration of CSR as a purchase criterion: information and personal
concern. They are both prereq-uisites for considering CSR in the
purchasing process.
The most important and complex one is information on a company's
CSR position. Past research also draws attention to the fact that information
Findings: Factors Influencing the Assessment of CSR as a Purchasing is a necessity for consumers to consider ethical product features in their
Criterion consumption decisions (eg, Bray et al. 2011; Devinney et al. 2006).
Information of two dimensions: level of consists of information and type of
Overall, the interviewees agreed on the minor importance of CSR compared information. The former describes the extent of knowledge (eg, no, little,
to other purchase criteria such as price, quality, brand, country of origin, or extensive knowledge) consumers have about a company's CSR
or service. This is in accordance with prior research, which shows that initiatives. The second dimension focuses on whether
CSR is not ''at the top of many consumers' lists'' (Beckmann et al.

2001; Belk et al. 2005; Bray et al. 2011; Lichtenstein et al. 2004) and that the CSR information consumers have is perceived as positive or negative.
only a very small segment of consumers consider CSR when purchasing The following two statements illustrate how the type of information shapes
products (Mohr et al. consumers' perceptions:
2001). The following statements illustrate this conclusion:

For me, it is important that it is affordable, I would say, and that I Zotter chocolate is expensive, but also really deli-cious, and it is a
am able to make use of it. That is what I mainly take into account: fair trade product. I also know that the company is looking after the
that it is inexpensive, that it is a good value-for-money-ratio (male, employees; and the employees have their own cook, and they can
25). also bring their children and other family members to eat with them,
In the case of sport equipment, for example, quality is, for me, as well as relief for the women working there (female, 22).
crucial. I mean, for instance, a running shoe: I look at the functional
parts. I think that is important, that it is a good product (male, 41).
This problematic nature is, of course, well-known, and you heard
I try to buy from smaller shops, since they offer better service. A often about child labor at Nike, Adidas, and Puma and all of these
small bike retailer is often more expensive, but it's worth paying a manufacturers of sports equipment. It is a constantly-recurring issue
bit extra for the service offered (male, 37). there (male, 23).

Although a company's CSR initiatives alone do not trigger a purchasing When consumers have no or only little information about a company's
decision in most cases, there are several determinants that increase the socially responsible behavior, CSR will inevitably be considered a
likelihood of taking CSR into consideration when making purchase purchase criterion. Put differently, when equipped only with some vague
decisions. Specifically, consumers clearly distinguish between core, idea of a company's CSR practices, consumers will tend to ignore this
central, and peripheral factors. Core factors determine whether CSR is information and continue with their customary purchasing behavior:
taken into account when deciding about a

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I can imagine myself doing that [engaging in a boy-cott] if I got to low wages; for me this definitely was a reason for not buying there
know it [that companies employ dubious practices], but I just don't (male, 25).
have access to the information. But I am definitely a person that
In the sample, there are even a few respondents who do not consider child
wouldn't go there [to a company employing dubious practices] in
labor or similar negative practices, because they attach little personal
case I would learn about something like this (female, 42).
importance to these and would not refrain from buying products associated
with such issues:

It [whether consumers consider companies' CSR activities] depends

on whether you know something about it or not. I think if you are There is a multitude of people that are not concerned with the
not especially interested in topics like that, consumers do not know environment. They will not feel addressed by this kind of information
anything about it. I mean, when I buy a hair shampoo, I have no [the environmental conduct of a company]. These people are still
clue how the company was producing it. I think it is important to get driving with their 20-year-old cars or with their huge cars that
more information on that (male, 22). consume 20 liters of gasoline. They will not be affected by it (male,
22).

Sure, H&M has always been blamed for using child labor, or from
In contrast to the two previous statements, consumers can also have
time to time you see those labels ''Made in Turkey'', or ''Made in
extensive knowledge of a company's CSR behavior. This can relate both
Bangladesh'', which you do not associate with something positive,
to positive and to negative corporate behavior. When well resourced with
but yes, you put up with it because it is cheap; unfortunately this is
comprehen-sive CSR information, the respondents believe that it is easier
the way it is (female, 22).
and more likely for them to integrate CSR into the decision-making process:

I am aware of the problems, but I think every company makes

negative headlines; so, for me this is no reason to stop shopping at
I prefer buying products from companies that I con- sider to be H&M (female, 51).
OK, for me OK. For example, I wouldn't buy Nike shoes, and I like
Most of our interviewees stated that they waited to be informed and then
Adidas much more. Also, I do not think they [Adidas] have been in
assess whether they could reconcile the obtained information with their
the media [for bad practices] (female, 43).
personal concern.

I consciously buy Fair Trade products, including flowers, orange There should be definitely more information [on CSR initiatives].
juice and coffee, sure this is only a small product range but here I This should not be hidden, but rather used for propaganda purposes.
pay attention to it. I really think this should be done. For me, it would be very important
I choose these products over others because I know that it is a to know that, for instance, a grocery store, if they have a surplus,
recognized label and I know that they use the money for a good they do not throw it away, but rather give it to charities (female, 65).
cause, helping [other people] (male, 25).

If consumers do have enough CSR-related information about a specific However, in a few cases, this process is reversed: Some respondents
company, they will evaluate whether the respective behavior can be have strong negative attitudes concerning certain issues and proactively
reconciled with their own personal concerns of CSR-related issues. This is seek corporate information on these issues:
a core factor and includes the attitudes consumers have toward CSR
initiatives, such as non-employment of child labor, fair wages,
Nowadays, consumers question certain things. I do not randomly
environmentally friendly practices, fair trade, organic production, etc. This
go into [any shops] and say I do not care [about their CSR activities].
core factor is very subjective in nature. In contrast to other factors, personal
Instead, I ask what is behind it [the company], what are they doing
concerns cannot be influenced by companies:
[in terms of CSR] (female, 48).

For me, it is also important how executives behave toward Central Factor
employees and workers, how they treat them… That plays an
important role for me (female, 48). The interviewees are stressed that the financial situation of a

consumer constitutes a central factor in this process. The factor not only
Wal-Mart and its sub-contractors, for example, severely exploit the describes the consumers' price perception and willingness to spend money
environment and pay only very on products from socially

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Exploring the Role of CSR in Consumption Decisions 455

responsible companies, but also the actual monetary resources of a It depends on the product and if the price is acceptable for me; it
person. With price being a very important criterion in decision-making has to be within reason that I say, ''OK, I will pay five euros more
among interviewees, the financial situation of the consumer is highly for a product because there are better working conditions.'' I do
relevant when purchasing goods. These findings are in accordance with not think it is possible. But that I pay two or three euros more, this
previous research on the importance price (Carrigan and Attalla 2001) I would definitely do (female, 25).
and the dominance of financial rather than ethical values in purchase
decisions (Bray et al. 2011).
In order to consider CSR as a purchase criterion, response stress that
the two discussed core factors and the
Thus, sufficient financial resources are a prerequisite for considering a
central factor has to be met.
company's CSR activities as a purchase criterion.
A lot of people do not know it [whether a company behaves socially
Price is frequently only a justification for not consider-ing products of responsible]. They might care about these issues, but do not know
socially responsible companies. Our responses assume that products of it. Then, if it [the product from a socially responsible company] is
a socially responsible company are more expensive than alternatives. In more expensive, it depends on the customer base. There are
some cases, such as fair trade products, this conclusion seems justified. definitely some customer groups that say they would rather pay
However, there is a multitude of products of socially responsible 10% more; […] First of all, they do not know about it, and then,
companies that are not higher priced. second, they do not care (male, 22).

Consumers may be willing to opt for the products of a socially responsible

company when these are not more expensive than ''regular'' products. I think that products made under socially responsible practices
However, they often make wrong price assumptions. From the data, it and terms, they [people] do not buy them because of their lack of
becomes clear that consumers infer that they will not be able to afford knowledge, their disinterest, and shortage of money (male, 45).
products of a socially responsible company.

These prerequisites limit the group of consumers who may take account
I can imagine that products that take care of certain issues and of CSR initiatives in their purchase decisions.
adhere to all regulations just cause higher production costs and And, worse still, our interviewees experience the assessment of the core
sales costs than other products that do not care, that are just and central factors as a complex process that demands much more
cheap and produced at an ecological minimum (male, 45). involvement than other criteria, such as brand familiarity, which is easy
for them to determine when standing in front of the shelf . This complexity
already offers a first explanation of the minor importance of CSR as
Finally, sometimes a company's CSR efforts are actually incorporated
purchase criterion. Moreover, the process follows a hierarchical structure,
into a product's price, as in the case of fair trade. Consequently, there are
as the central factor will not come into play without the presence of both
consumers who do not have the financial resources to buy these products.
core factors. However, even when all core and central factors are met,
our respondents argue that CSR does not automatically become relevant
It is definitely dependent on the money you have at your disposal. in their decision-making.
If you have a job where you don't earn a lot and you maybe still
have to support a family, it might be possible that you would like
to [consider a company's commitment or CSR efforts], but you just
can't (female) , 23). Peripheral Factors

When all core factors are met and the central factor—
Respondents agreed that, in most cases, purchasing products of
price—is perceived acceptable, our interviews revealed that the
companies with positive CSR activities is related to the assumed price
respondents considered three additional factors before they incorporated
premium of such products: If the price differs only slightly, they would
a company's CSR initiatives into their purchasing decisions. These
prefer the product of a responsible company over a company with a
peripheral factors include the image of the company, the credibility of
negative CSR profile:
CSR initiatives, and the influence of peer groups. The label ''peripheral
factors'' indicates that these factors, by them-selves, are not able to
I would rather pay more for coffee from fair trade than from Tchibo trigger an inclusion of CSR criteria in the decision-making process.
[coffee chain] (…) I won't pay 100 euros more, but if it is a question However, consumers state that they might further enhance or decrease
of 20 or 30 cents, then I will pay more for fair trade than for normal the probability of considering CSR in purchase decisions.
(female, 60).

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The image of a company is, according to the responses, refrain from buying certain products or to support a specific
an indication of whether or not it employs socially responsible company.
practices when conducting business. A positive perception of
At one time, I really liked shopping at H&M. But then I
a company's image evokes the association that the company
got to know, from my circle of friends, that the cheap
behaves socially responsible. Our respondents believe that
products are only available because children have to do
this, in turn, increases the likeli-hood to consciously opt for a
the work. This really shocked me, and I also know some
company's products and incorporate CSR efforts into their
others who stopped buying there for this reason. I also
purchasing decisions.
have a hard time shopping there (female, 42).
On no product it says, ''I am a socially responsible
company'' or ''I am not.'' It's not marked anywhere, but
rather you know the company. Yes, it either has a good
Synopsis
image or a less good image, and this is what matters in
the end. Eventually, it is an overall picture.
Our research identifies core, central, as well as peripheral factors and
If it [the company] treats everyone fairly and makes a their hierarchical relation. For the assessment of
good product, it will certainly have a good reputation
CSR as a potential purchasing criterion, it is important to
(male, 52).
evaluate the presence of core factors and the acceptability of
The credibility of CSR initiatives constitutes another peripheral the central factor price. If consumers do not have any
factor. The respondents agree that credibility is influenced by information or do not care about CSR initiatives, they do not
the fit between a company's CSR initiatives and its core consider CSR as a purchase criterion. If they do have relevant
business. Many consumers only consider a CSR initiative information, consumers will next evaluate whether they have
credible if it is aligned with a company's core business. The the financial resources and are willing to spend money on
respondents conceive that initiatives completely detached from products from socially responsible companies.
the business a company is operating in appear less credible This hierarchical process is reflected in previously cited
and are interpreted as a marketing ploy. Furthermore, initiatives consumer quotes. Of course, the interpretation of these quotes
are less credible if they involve only a monetary donation. was also based on interview observations and field notes. In
addition, this dynamic is also mirrored in the following quotes:

I think it is not credible if Mr. Hill,2 with his news-paper,

supports a village in Africa. On the other hand, if KTM Somebody who does not even know about it [CSR
tries to heal backbone injuries because they sell products activities of a company] and/or who is not interested in it,
which might provoke something like that, then I think it is has no attitude toward firms that do not engage in CSR.
well received (male, 37). Such a person will still buy the product because it is
cheap and good and he keeps within budget (male, 45).
Besides the fit, the credibility of CSR initiatives strongly
depends on the channel of communication.
I think people do not care about it [CSR activities]
The more ''low-key'' the communication is, the bet-ter. because they do not know about it, they are not interested
The more offensive, aggressive, or bold it [CSR initiatives] in it and/or they do not have the money when they
gets communicated, the more unpleasant I perceive it. compare it because I can image that products that take
Being listed as a sponsor on the program of a music certain things into account or that adhere to standards
event is OK, but a huge newspaper ad is quite annoying that they naturally imply higher production costs and
(female, 43). sales costs than products that do not care about this and
are manufactured very cheap and under ecologically
Finally, the influence of peer groups, which is closely connected
detrimental circumstances (male, 45).
to the image of a company, is the last peripheral factor. A
company's image frequently develops through interactions with
colleagues, friends, or family. Consumer respondents stress Peripheral factors can explain why some consumers are still
that peer groups can also directly influence their assessment skeptical about CSR although all core factors are met and the
of CSR as a purchase criterion. central factor is considered acceptable. The complexity of the
Family and friends can either dissuade or encourage consumers assessment of all core, central, and peripheral factors leads a
to buy from a socially responsible company. large number of consumers to ignore CSR as a purchase
According to the interviewees, this leads consumers to criterion.
It is important to acknowledge the inter-relatedness of these
2
Name changed to ensure anonymity. factors. This is particularly evident for the peripheral

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Exploring the Role of CSR in Consumption Decisions 457

factors, where image, for instance, is often affected by both peer groups peripheral factors offers new insights into the complexity of the assessment
and the credibility of CSR initiatives. How-ever, the inter-relatedness is and consumers' involvement in the
also visible across different layers of factors: Personal concern can exert process. process.

an influence on the acceptability of price, or personal concern can be This research also offers several managerial implica-tions. Managers
linked with peer groups. It is, therefore, important to assess these factors face two fundamental options: First, they could ignore consumers' interest
not as separate entities, but as integral elements of the overall process. in CSR and not integrate CSR initiatives into their marketing activities. In
Eventually, both context and person could have an influence on the this case, it is recommended to focus on a positive corporate image, as
purchase intent. It might be possible that acceptability of price becomes a consumers who are interested in CSR reduce CSR associations from an
peripheral factor for wealthy individuals. The following consumers verbatim overall corporate image. Second, managers could focus on CSR positioning

show the inter-relatedness between the and CSR in marketing communication. Here, managers have to bear in
mind the complex consumer evaluation process required to achieve
consumers' appreciation of CSR efforts. First and foremost, managers
factors: have to make CSR information more easily available and point out in which
ways a product or the entire company is connected to CSR initiatives. Com-
I often buy gifts at The Body Shop, and from now and then I also
panies should only communicate those CSR initiatives that are related to
buy something for myself when I want to reward myself [...] because
the company's core business—thereby accommodating the peripheral
I like their philosophy.
factor of credibility. More-over, they would be well advised to disseminate
However I do not buy there regularly because currently their
their CSR efforts through various channels of communication, taking into
products are too expensive for me (female, 21).
account that the credibility of the information is highly dependent on the
channels chosen for disseminating the information. Thus, managers have
It [whether a person considers CSR activities] always depends on
to assess the trade-off between the communication credibility and the
the social class you are in. Somebody who has no money will not
audience reached. Second, personal concern is the most difficult core
care about it, but if you have a good income and you are concerned
factor to take account of when incorporating this research's findings into
about your nutrition for example I do think you will con-sider it (male,
business practice. The most valuable approach, although difficult, would
23).
be to segment con-sumers according to their personal concerns and
communicate different CSR efforts to different target groups.
Despite these caveats, the process of assessing core, central, and
peripheral factors remains the same.

Conclusions and Implications

This article sets out to assess the role of CSR in the purchase decision- Companies could, for example, use direct marketing communication with
making process and to explain the limited role of CSR in these decisions. interested target markets. Social media such as Facebook, Twitter, etc.
The main contribution is the could be employed to initiate tightly targeted CSR campaigns to certain
investigation of a complex process that explains why CSR is hardly ever of segments. Third, regarding consumers' price perceptions, managers have
prime importance in consumer decision-making. To this end, our research to be aware that income will influence a person's ability to take CSR into
contributes to a better understanding of the attitude-behavior gap: account. Where appropriate, the focus should be on communicating that
Consumers report positive attitudes toward buying products from socially the prod-ucts of a socially responsible company are not pricier than other
responsible companies, but these positive attitudes are not transferred into products. In case the price is indeed higher, managers need to watch the
actual purchase behavior. Our research explains this discrepancy and differences to prices of competing products, as consumers pay a lot of
identifies a large number of factors that influence the assessment of CSR attention to the pro-portionality of price differences. Pricing is particularly
as a important for managers in high price/high-quality niches, as consumers
interested in CSR also look for high-quality products. If managers decide
purchase criterion. This illustrates the complexity of the evaluation process. to ignore consumers' potential CSR interests, it is better to offer products
This complexity may hinder even consumers with a positive attitude toward in the low-price segment.
CSR to incor- porate CSR into their decision-making process. Moreover,
our research discovered that the evaluation process follows a hierarchical
structure. While certain factors at the core

level are a prerequisite for an inclusion of CSR as purchase criterion, As a qualitative study, this research suffers from a limitation inherent in
others just exert a moderating effect on this decision. The distinction all such studies, namely that the results cannot be generalized. However,
between core, central, and the objective of

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458 M. O¨ berseder et al.

Qualitative research is exploration and conceptualization, rather than settings. Furthermore, as level of information is acknowl-edged to be a
generalization (McCracken 1988). Thus, future research on the influence crucial point for evaluating corporate CSR initiatives, further research
of CSR in purchase decisions could employ quantitative methods. More could focus on potential com-munication strategies and their impact on
specifically, the identified factors could be cast in a questionnaire, and a the target audience. Finally, the relationship between CSR initiatives and
large-scale survey could attempt to measure the influence of the factors price perceptions as well as the role of consumers' personal value system
we identified in different consumption situ-ations. In addition, the offer promises avenues for further research.
relationship between the identified factors, ie, the inter-relatedness of the
factors and feed-back-loops, would offer another promising possibility for
further research. Another interesting avenue for future investigation would
be a cross-cultural study to assess whether the identified factors differ in
various cultures Appendix

See Table 1.

Table 1 Sample description

Interview # Gender Age Consumer characteristics

Interview 1 Female 42 This interviewee has a high school degree and is employed as a medical technical assistant. She is married and
has two children, lives in a rural area. She has an average interest in CSR and fair trade, but not as a final result

Interview 2 Male 52 The respondents have completed a vocational training and is employed in public service. He is married, has two children, and lives
in a rural area. With regard to CSR, he questions companies' philosophies and expects that they behave responsibly

Interview 3 Female 62 She has a vocational training and is currently retired (from being a seamstress) and a housewife. She is married, has two
children, and lives in a rural area. In general, she is not interested in CSR. When purchasing products, high quality
is key
Interview 4 Female 25 This interview partner has a university degree in politics and is currently unemployed. She is single and lives in a
rural area. Even though she generally has a positive attitude toward CSR, she is critical when it comes to specific
initiatives. When shopping, she mainly looks for high-quality products
Interview 5 Male 35 The civil servant has a high school degree, is married, and lives in a rural area. When shopping, price is the most important
criterion, followed by quality. He attaches great importance to the experience of peers. The interviewee has an
average interest in CSR.
Interview 6 Male 49 This interviewee has completed a vocational training, is self-employed, and works as a farmer. He is single and
has one child. He is interested in CSR initiatives, especially the ones focusing on local community and environment

Interview 7 Female 48 Our seventh respondents is a housewife (and former teacher) and has a high school degree. She is married, has four children,
and lives in a rural area. She is quality-conscious; price is not really a criterion. She mainly buys organic and fair
trade products and products from local farmers
Interview 8 Female 65 This former surgeon has a university degree and is currently retired. She is divorced, has three children, and lives in an urban
area. She always buys organic and/or fair trade products and cares greatly about the environment Interview 9
Female 43 This respondents works as a freelance university lecturer and holds a PhD in business. She is married, has three children, and lives in an
urban area. She cares about environmental protection, buys organic products, and is partly surprising about the
true motives of companies' CSR engagement
Interview 10 Female 60 She has a high school degree and is self-employed, working as a trainer. She is divorced, has one child, and lives in an urban
area. She is rather price-sensitive, but if there is no difference in price, she prefers fair trade and organic products

Interview 11 Male 23 This geography student has a high school degree, is single, and lives in an urban area Interview 12
Male 55 Our 12th interview partner is a craftsman and has completed a vocational training. He is divorced, has two children, and lives in an urban
area. In purchasing situations, he does not care about CSR. However, he questions companies' philosophies
and expects that they behave responsibly Interview 13 Male 37 After finishing
vocational training, this interviewee became a locksmith. He is single and lives in an urban area.
He is not at all interested in CSR and is very price-conscious
Interview 14 Female 23 This student has a high school degree, is single, and lives in an urban area. She has an average interest in and
knowledge of CSR initiatives. She occasionally buys fair trade products, but only if the price is acceptable Interview
15 Male 34 This respondents has a high school degree and is currently enrolled at university. He is single and lives in an urban area. He is very
critical and questions everything (including price and quality). He generally considers CSR to be important, but is
very skeptical

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Exploring the Role of CSR in Consumption Decisions 459

Table 1 continued

Interview # Gender Age Consumer characteristics

Interview 16 Female 22 She is a student with a high school degree, single, and lives in an urban area. She is not very interested in CSR,
but rather price-conscious and would also buy products from companies known for bad practices. In her opinion, it is the
government's responsibility to take care of corporate practices and not that of consumers

Interview 17 Male 41 As a high school teacher in arts, this interviewee holds a university degree. He is married and lives in an urban area
area. area. area. He regularly buys organic and local products and is critical of MNE's practices. He has an average interest in CSR,
but does not consider it in purchasing decisions

Interview 18 Female 51 This woman is a medical technical assistant, has a university degree, one child, and is widowed. She prefers organic and healthy ingredients when
shopping for groceries. However, her overall interest in CSR is rather low, and she is very skeptical about CSR initiatives. She rarely
buys fair trade products, but also considers price when there are special offers

Interview 19 Male 45 Our next respondents is a cook and has a high school degree. He is divorced and lives in an urban area. He generally considers CSR to be a good thing,
but questions most initiatives because he assumes that the real motives are profit-driven. Due to his rather low income, he is very price-
sensitive

Interview 20 Male 25 This interview partner has a university degree and works as a consultant. He is concerned about CSR aspects and thinks that consumers have a responsibility
as well. He is critical and questions companies' CSR engagement.
(They sometimes appear like a marketing ploy to him.). Therefore, he occasionally seeks more information, eg, which criteria have to
be fulfilled for certain labels, etc.

Interview 21 Female 21 She is a graduate student and holds a bachelor's degree in social sciences. She is single and lives in an urban area. Even though she has restricted financial
resources, she tries to consider fair trade and local production when buying products. If she buys from companies where she is unsure
about their practices, she has a bad conscience

Interview 22 Male 22 This respondents has a high school degree and is currently enrolled at university. He is single and lives in an urban area. When purchasing products, he
pays attention to quality and price. He is also an impulse buyer and influenced by packaging. He does not really consider CSR in
purchasing decisions and feels poorly informed

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