p–ISSN: 2723 - 6609 e-ISSN: 2745-5254
Vol. 5, No. 1 January 2024 http://jist.publikasiindonesia.id/
Doi: 10.59141/jist.v5i1.850 1
THE INFLUENCE OF CORPORATE SOCIAL RESPONSIBILITY (CSR) AND
BRAND LOYALTY WITH VARIABLES MEDIATING BRAND EXPERIENCE
AND TRUST
Azizah Sani Wijaya, Ratna Roostika
Universitas Islam Indonesia Jogja, Indonesia
Email: [email protected], [email protected]
*Correspondence
ABSTRACT
Keywords: Corporate Social
Responsibility (CSR); Brand
Experience; Brand Loyalty;
Brand Trust.
This study aims to test and analyze the effect of corporate social
responsibility (CSR) on cosmetics consumer loyalty with brand
experience and brand trust as mediating variables. The methodology in
this study uses a quantitative approach with a purposive sampling
technique. The criteria for respondents in this study are cosmetics
consumers with an age range of > 17 years. The number of valid
respondents in this study was 205. Data processing in this study is using
the PLS-SEM method and SPSS. This study uses the variables of
corporate social responsibility (CSR) influence, brand experience, brand
trust, and loyalty. The results of this study indicate that the influence of
corporate social responsibility (CSR) has a positive effect on brand
experience. Corporate social responsibility (CSR) affects brand trust.
Corporate social responsibility (CSR) affects brand loyalty. Brand
experience affects brand trust. Brand experience affects brand loyalty,
and brand trust affects brand loyalty.
Introduction
The growth of the cosmetic industry as the years go by is increasing rapidly, which
is marked by the emergence of the cosmetic industry with various brands and diverse
types of products. The need for cosmetics is an excellent opportunity for the industry to
be able to compete (Amelia, 2023). The rapid market demand for cosmetic needs has
triggered the growth of companies in the cosmetic sector by taking the opportunity to
compete in the cosmetic industry. The diversity of existing cosmetic brands makes it easy
for customers to buy preferred cosmetic brands and products with value for customers
(Dam & Dam, 2021). Cosmetics are a mandatory need for women, so they have become
one of the pillars of economic turnover, experiencing rapid growth (Budianto &
Budiatmo, 2019).
New trends in the industrial world indirectly become why consumers often buy
cosmetics for certain activities, and then they become a necessity for many enthusiasts in
the cosmetic field. Based on statistical data from the pom agency (pom.go.id), in 2021,
the number of cosmetic industries in Indonesia has increased by 20.6% compared to 2020,
with the total number of industries in 2021 to 819, then in 2022, the number increased to
913 cosmetic industries (Brakus et al., 2009). The cosmetic industry in Indonesia mostly
already has a halal label, so competition between cosmetic companies is increasing; here
are some brands or cosmetic brands that have great interest in Indonesia, including:
Azizah Sani Wijaya
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 1, January 2024 2
Table I
Sales of Cosmetic Products for the January-March 2022 Period
No
Brand Cosmetic
Sales
1.
2.
Maybelline
533.2 billion
3.
Make Over
27.1 billion
4.
Luxcrime
24.3 billion
5.
Wardah
15.7 billion
6.
Focallure
14.4 billion
Table 1 data shows that cosmetic consumers are considered high, represented by
the sales of several cosmetic products in Indonesia. This can be found in the first total
sales of cosmetic products, namely the highest sales of the Maybelline brand, which was
recorded to have sales of 533.2 billion, followed by the sales of the Makeover brand,
which had a total of 27.1 billion. The Luxcrime brand earned total product sales of 24.3
billion, Wardah earned sales of 15.7 billion, and Focallure earned sales of 14.4 billion.
The high number of sales of several cosmetic brands is undoubtedly influenced by several
factors, including experience factors and brand trust, to foster loyalty to a particular
cosmetic brand (Atulkar, 2020).
Loyalty results from trust in a brand and the desire to repurchase the brand because
consumers feel emotionally attached. Positive consumer experience of a brand can foster
loyalty because there is trust in the brand (Astuti & Mulyawan, 2021). Several aspects,
including CSR, brand trust, and the consumer experience of a brand, influence brand
loyalty. The company's sustainability in business competition certainly requires strength
to maintain this, one of which is consumer loyalty. Loyalty to a product or brand is one
of the strengths prioritized by the company. Brand loyalty requires several stages before
it is formed, one of which is a subjective assessment influenced by experience, meeting
consumer expectations, and satisfaction with the brand (Adriani, 2020).
Brand experience, brand trust, and CSR are some of the things that can affect
loyalty. CSR is another critical factor affecting loyalty besides brand experience and trust
because CSR can drive repeat buying behavior consistently and influence consumer
perception (Abdel‐Latif et al., 2020). Consistency in repurchasing a brand is a form of
consumer trust. Higher brand trust can be characterized by meeting consumer needs and
consumer expectations so that consumers become loyal to the brand (Annabila, Rachma,
& Primanto, 2022). High consumer expectations of a brand can be met by maximizing
company performance and quality by creating a positive brand experience (Husain et al.,
2022). Building a positive relationship between brands and consumers is important
The Influence Of Corporate Social Responsibility (CSR) and Brand Loyalty With Variables
Mediating Brand Experience And Trust
Jurnal Indonesia Sosial Teknologi, Vol. 4, No. 12, December 2023 3
because it can maintain consumer trust so companies can benefit through increased sales
and consumer loyalty (Akoglu & Özbek, 2022).
Research objectives:
1. Test and analyze the effect of CSR on growth.
2. Test and analyze the effect of CSR on brand trust.
3. Test and analyze the effect of CSR on brand loyalty.
4. Test and analyze the effect of experience on brand trust.
5. Test and analyze the effect of experience on brand loyalty.
6. Test and analyze the effect of brand trust on brand loyalty.
Research Methods
This study describes the method to be used by the author. This study used a
quantitative descriptive method. According to (Priadana and Sunarsi, 2021), quantitative
research methods are methodologically designed phenomena and calculated by statistical
methods. This study analyzes the relationship between variables with one another using
statistical data. In this correlational study, there are three parts of variables: independent
variables whose existence affects other variables or is not influenced by other variables,
dependent variables whose existence is influenced by independent variables, and
mediation variables that strengthen or weaken the relationship between one variable and
another.
Population and Sample
1. Populasi
Population is a generational area consisting of objects and subjects with a certain
quantity and characteristics determined by researchers to be studied and conclusions
drawn. The population in this study is users who have experience using cosmetics in
Indonesia.
2. Sample
The sample is part of the number and characteristics that are part of the population.
The sampling technique in this study used purposive sampling techniques. Purposive
sampling is a technique based on specific considerations to solve research problems. In
this study, the samples used were cosmetic users in Indonesia. This study used SEM
analysis. The determination of the minimum amount for SEM, according to Hair et al.
(2010), is (Number of Indicators + Number of Latent Variables) x (5 to 10 times). Based
on these guidelines, this study's maximum number of samples is Maximum sample (37+4)
x 10 = 410 and Minimum Sample (37+4) x 5 = 205.
Data Sources
This study used primary and secondary data. According to (Priadana and Sunarsi,
2021), primary data is a data source that directly provides data to data collectors, and
secondary data is a source that does not directly provide data to data collectors. Data
collection techniques can include interviews, questionnaires, observations, and
combining all three. In this study, the author used a questionnaire using Google.
Data Collection Techniques
Azizah Sani Wijaya
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 1, January 2024 4
The data collection technique carried out in this study was using questionnaires.
The author provides respondents with questions or written statements about the research
problem. Then, each answer from the respondent is used to test the hypothesis that has
been determined. The author used the Likert scale to measure respondents' answers.
Likert scale measures attitudes, opinions, and perceptions of a person or group of people
about social phenomena. This social phenomenon has explicitly been determined by the
author, who uses it as a research variable (Amalia & Rahmadhany, 2023).
Variable Operational Definition
In this study, there are independent variables, namely Corporate Social
Responsibility (CSR), and two mediation variables, namely Brand Experience (BE) and
Brand Trust (BT). Then, the dependent variable is Brand Loyalty (BL). Dimensional
variables must help measurement techniques and facilitate field data collection.
Results and Discussion
Descriptive Analysis of Respondents
1. Descriptive Respondents by Gender
The descriptive respondents by gender can be shown in Table 1 below:
Table 1
Respondent's Gender
Gender
Number of
Respondents
Man
11
Woman
194
Total
205
Based on the results of descriptive statistics by sex in Table 4.1 above, it can be
explained that the majority of respondents in this study were 194 people (94.6%) and
11 male respondents (5.4%).
2. Descriptive Respondents by Age
The descriptive of respondents by age can be shown in Table 2 below:
Table 2
Usia Respond
Age
Number of
Respondents
17-27 years
199
28-37 years
5
38-47 years old
1
Total
205
The Influence Of Corporate Social Responsibility (CSR) and Brand Loyalty With Variables
Mediating Brand Experience And Trust
Jurnal Indonesia Sosial Teknologi, Vol. 4, No. 12, December 2023 5
Based on the results of descriptive statistics according to age in Table 4.2 above, it
can be explained that the majority of respondents in this study with an age range of 17-
27 years, namely 199 people (97.1%), ages 28-37 years as many as five people (2.4%)
and ages 38-47 years as many as one person (0.5%).
3. Descriptive Respondents by Education
The descriptive of respondents according to Education can be shown in Table 4.3 below:
Table 3
Respondent Education
Age
Number of
Respondents
SMA
33
S1
170
S2
2
Total
205
Based on the results of descriptive statistics according to Education in Table 4.3
above, it can be explained that the majority of respondents in this study with S1 Education
were 170 people (82.9%), 33 people in high school (16.1%) and two years old (1.0%) in
S2.
4. Descriptive Respondents by Occupation
The descriptive respondent by occupation can be shown in Table 4.4 below:
Table 4
Respondent's Occupation
Age
Number of
Respondents
Mahasiswa/i
108
Private officer
20
Staff
71
Wiraswasta
6
Total
205
Based on the results of descriptive statistics according to Occupation in Table 4.4
above, it can be explained that the majority of respondents in this study with student jobs
are 108 people (52.7%), Private Employees as many as 20 people (9.8%), Staff as many
as 71 people (34.6%) and Entrepreneurs as many as six people (2.9%).
5. Descriptive Respondents by Cosmetic Brand
Azizah Sani Wijaya
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 1, January 2024 6
The descriptive respondents according to the brand of cosmetics used can be shown
in Table 5 below:
Table 5
Cosmetic Brands Used by Respondents
Age
Number of
Respondents
Emina
9
ESQA
20
Luxcrime
10
Makeover
78
Maybelline
47
Wardah
41
Total
205
Based on the results of descriptive statistics according to cosmetic brands used by
respondents in Table 4.5 above, it can be explained that the majority of respondents in
this study used cosmetics with the Makeover brand, namely 78 people (38.0%), Emina as
many as nine people (4.4%), ESQA as many as 20 people (9.8%), Luxcrime as many as
ten people (4.9%), Maybellline as many as 47 people (22.9%) and Wardah as many as 41
people (20.0%).
Descriptive Analysis of Research Variable Statistics
Descriptive statistical variables of research are carried out to know how respondents
assess their responses to research variable indicators. The collected respondent data was
then analyzed to determine the descriptive answers on each variable. The rating uses a
five-point Likert scale, with the lowest rating on strongly disagree options (1 point) and
the highest rating on strongly disagree options (6 points). Furthermore, respondents'
assessment of research variables is evaluated based on interval criteria with the following
formula:
The calculation of the criteria is as follows:
Lowest value: 1
Top score: 6
Interval: (6-1)/6 = 0,83
Based on the calculation formula of these criteria, assessment limits are obtained
for each variable as follows:
Table 6
The Influence Of Corporate Social Responsibility (CSR) and Brand Loyalty With Variables
Mediating Brand Experience And Trust
Jurnal Indonesia Sosial Teknologi, Vol. 4, No. 12, December 2023 7
Assessment Interval
Interval
Category
1,00 – 1,83
Strongly Disagree
1,84 – 2,66
Disagree
2,67 – 3,49
Somewhat disapproving
3,50 – 4,32
Somewhat Agree
4,33 – 5,15
Agree
5,16 – 6,00
Agree
Outlier evaluation aims to determine whether the observation conditions of the data
obtained have unique characteristics that are very different and appear in extreme forms
from other observations, both for a single variable and a combination variable (Chen &
Wu, 2022). Detection of multivariate outlier evaluation is done by looking at the
mahalonobis distance value. The mahalonobis distance for each observation will show
the distance of a data observation to the mean value of the analysis. Observations far from
their centroid value are considered outliers and should be excluded from the analysis.
Multivariate outliers can be evaluated through the output of AMOS Mahalanobis
Distance. The criteria used are based on chi-squares at the degree of freedom at p level
<0.001. The distance was evaluated using X2 at free degrees equal to the measured
variables used in the study. In this study, Mahalanobis distance was measured using the
chi-square value at the degree of freedom of 37 indicators at p level < 0.001 using the
formula X2 (37; 0.001). In this case, a value of 69.34 is obtained. This means all
data/cases more significant than 69.34 are multivariate outliers.
Construct Reliability Test
Reliability tests determine the extent to which measuring instruments can give
relatively the same results if tested again on the same object. The reliability testing criteria
in this study use the Construct Reliability (C.R.) method, where the instrument is declared
reliable if it has a construct reliability value of > 0.7. The value of construct reliability
(C.R.) for reliability testing is obtained from the llwiormula: 
󰇛

󰇜
󰇛
󰇜󰌣󰕂
Information:
1. Standard loading is obtained from the Standardized Regression Weights estimate
results for each indicator obtained through the Amos version 25 output.
2. Ʃɛj is the measurement error of each indicator; the measurement error can be obtained
1 - (Standardized Regression Weights) 2 on each indicator.
Table 7
Construct Validity Test Results
Item
Loading
Factor
Loading
Factor
2
1-Loading
Factor
2
Construct
Reliability
CSR1
0,872
0,760
0,240
Azizah Sani Wijaya
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 1, January 2024 8
CSR2
0,865
0,748
0,252
0,982
CSR3
0,871
0,759
0,241
CSR4
0,858
0,736
0,264
CSR5
0,895
0,801
0,199
CSR6
0,796
0,634
0,366
CSR7
0,895
0,801
0,199
CSR8
0,856
0,733
0,267
CSR9
0,856
0,733
0,267
CSR10
0,916
0,839
0,161
CSR11
0,876
0,767
0,233
CSR12
0,868
0,753
0,247
CSR13
0,861
0,741
0,259
CSR14
0,894
0,799
0,201
CSR15
0,879
0,773
0,227
CSR16
0,861
0,741
0,259
CSR17
0,893
0,797
0,203
Ʃ
14,812
4,084
EXP1
0,856
0,733
0,267
0,978
EXP2
0,862
0,743
0,257
EXP3
0,885
0,783
0,217
EXP4
0,885
0,783
0,217
EXP5
0,900
0,810
0,190
EXP6
0,912
0,832
0,168
EXP7
0,901
0,812
0,188
EXP8
0,881
0,776
0,224
EXP9
0,900
0,810
0,190
EXP10
0,878
0,771
0,229
EXP11
0,888
0,789
0,211
EXP12
0,898
0,806
0,194
Ʃ
10,646
2,552
TRU1
0.861
0.741
0.259
0,895
TRU2
0.835
0.697
0.303
TRU3
0.831
0.691
0.309
TRU4
0.873
0.762
0.238
TRU5
0.897
0.805
0.195
Ʃ
4,297
2,167
LOY1
0.830
0.689
0.311
0,881
LOY2
0.844
0.712
0.288
LOY3
0.858
0.736
0.264
Ʃ
2,532
0,863
Based on Table 7 above, the results of construct reliability testing in this study show
a construct reliability value of > 0.7 on each research variable. This provides information
The Influence Of Corporate Social Responsibility (CSR) and Brand Loyalty With Variables
Mediating Brand Experience And Trust
Jurnal Indonesia Sosial Teknologi, Vol. 4, No. 12, December 2023 9
that all indicators (observed) on the construct used as observed variables can explain the
construct or variable they form.
Based on the results of research that has been conducted, it can be seen that
corporate social responsibility (CSR) has a positive and significant influence on the
consumer experience of cosmetic products in Indonesia. The standardized regression
weight coefficient was obtained at 0.812, which was positive; the CR value was 12.754
> 1.96, and the p-value was 0.000 < 0.05. This means that the better corporate social
responsibility (CSR) applied to cosmetic companies, the more positive experience felt by
consumers.
This study's results align with previous research conducted by Lo (2020), which
found that CSR significantly influences the experience by involving consumers in CSR
activities. The results of research conducted by Khan & Fatma (2019) involving 354
respondents by taking online data showed that CSR influences consumer experience. The
research results conducted by Carlini and Grace (2021) found that CSR positively affects
employee experience and increases employee performance. Then, the results of this study
align with the research (Ajzen, 2020), which states that consumer involvement in the form
of experience in CSR activities has a positive effect because consumers can feel purpose
and meaningfulness.
The company's role in supporting society and the environment through CSR
programs will be able to influence the experience felt by consumers. Consumers who
know that some of their payments go to social or environmental activities will feel a
contribution when shopping. CSR activities carried out by the company openly by
positively impacting these activities will create a positive consumer experience.
Companies that invest in CSR activities can obtain a positive image of consumers' values.
This will help companies create more meaningful consumer experiences and strengthen
long-term relationships between companies and consumers.
Conclusion
Based on the results of the analysis and discussion of the research that has been
done, several points can be concluded, namely:
1. Corporate Social Responsibility (CSR) positively and significantly influences the
consumer experience of cosmetic products in Indonesia. This research found that
implementing Corporate Social Responsibility (CSR) programs carried out by
cosmetic product brands in Indonesia can foster positive experiences consumers feel.
2. Corporate Social Responsibility (CSR) positively and significantly influences Brand
Trust in cosmetic products in Indonesia. Implementing Corporate Social
Responsibility (CSR) programs by cosmetic product brands in Indonesia can increase
consumer confidence that their products have good quality assurance and are safe.
3. Corporate Social Responsibility (CSR) positively and significantly influences Brand
Loyalty in cosmetic products in Indonesia. Implementing a sound Corporate Social
Responsibility (CSR) program by cosmetic product brand companies in Indonesia can
Azizah Sani Wijaya
Jurnal Indonesia Sosial Teknologi, Vol. 5, No. 1, January 2024 10
increase consumer loyalty to keep using the product and not try to switch to other
products.
The Influence Of Corporate Social Responsibility (CSR) and Brand Loyalty With Variables
Mediating Brand Experience And Trust
Jurnal Indonesia Sosial Teknologi, Vol. 4, No. 12, December 2023 11
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