ISSN: 2226-3624
Open access
As environmental, social, and governance (ESG) considerations become increasingly central to brand strategy, understanding how ESG practices influence consumer-based brand equity is both timely and theoretically significant. This conceptual paper explores the psychological mechanisms through which ESG practices affect brand equity, drawing on the Stimulus–Organism–Response (S-O-R) framework. In this model, ESG dimensions function as external stimuli that shape consumer responses through two key internal mechanisms: brand reputation and brand attachment. Brand reputation reflects consumers’ cognitive evaluations of trustworthiness and ethical standing, while brand attachment captures the emotional bonds consumers develop with value-aligned brands. This paper proposes a conceptual framework in which ESG practices positively influences both brand reputation and brand attachment, which subsequently drive brand equity. It also posits a sequential mediating relationship in which brand reputation fosters brand attachment, forming a dual pathway between ESG efforts and brand value. The paper contributes to the literature by integrating ESG, branding, and consumer psychology into a unified model, offering theoretical insights and practical implications for firms seeking to enhance their brand equity through responsible and emotionally resonant sustainability strategies.
Aaker, D. (1991). Brand equity. La gestione del valore della marca, 347, 356.
Aboalganam, K. M., & Alzghoul, A. (2025). The impact of digital marketing on the reputation of insurance companies: The role of service quality and brand trust. Insurance Markets and Companies, 16(1), 1-14.
Ahmadi, A., & Ataei, A. (2024). Emotional attachment: a bridge between brand reputation and brand advocacy. Asia-Pacific Journal of Business Administration, 16(1), 1-20.
Ayd?n, A. (2024). The Importance of Brand Equity and Branding in Terms of Product/Service Preference and Internationalization: An Analysis of Civil Air Transportation with Marketing Strategies. Journal of Aviation, 8(2), 182-191.
Cao, Y. (2023). ESG, Brand Trust and Brand Loyalty. Communications in Humanities Research, 22(1), 183-189. https://doi.org/10.54254/2753-7064/22/20231704
Chen, S., Song, Y., & Gao, P. (2023). Environmental, social, and governance (ESG) performance and financial outcomes: Analyzing the impact of ESG on financial performance. Journal of Environmental Management, 345, 118829.
Cheng, R., Kim, H., & Ryu, D. (2024). ESG performance and firm value in the Chinese market. Investment Analysts Journal, 53(1), 1-15.
Choi, C.-J., Xu, J., & Min, D.-G. (2024). Investigating of the influence process on consumer’s active engagement through emotional brand attachment and brand love. Asia Pacific Journal of Marketing and Logistics, 36(11), 3061-3080.
Chun, R. (2005). Corporate reputation: Meaning and measurement. International journal of management reviews, 7(2), 91-109.
Clément, A., Robinot, É., & Trespeuch, L. (2023). The use of ESG scores in academic literature: a systematic literature review. Journal of Enterprising Communities: People and Places in the Global Economy. https://doi.org/10.1108/jec-10-2022-0147
Connelly, B. L., Certo, S. T., Ireland, R. D., & Reutzel, C. R. (2011). Signaling theory: A review and assessment. Journal of management, 37(1), 39-67.
Erensoy, A., Mathrani, A., Schnack, A., Elms, J., & Baghaei, N. (2024). Consumer behavior in immersive virtual reality retail environments: A systematic literature review using the stimuli?organisms?responses (S?O?r) model. Journal of Consumer Behaviour, 23(6), 2781-2811.
Eroglu, S. A., Machleit, K. A., & Davis, L. M. (2003). Empirical testing of a model of online store atmospherics and shopper responses. Psychology & Marketing, 20(2), 139-150.
Fombrun, C., & Shanley, M. (1990). What's in a name? Reputation building and corporate strategy. Academy of management Journal, 33(2), 233-258.
Giese, G., Lee, L.-E., Melas, D., Nagy, Z., & Nishikawa, L. (2019). Foundations of ESG investing: How ESG affects equity valuation, risk, and performance. The Journal of Portfolio Management, 45(5), 69-83.
Goncalves, M. (2024). Global Markets, Diverse Economies: Integrating Economics, Culture and ESG Strategies. Walter de Gruyter GmbH & Co KG.
Han, S. H., Nguyen, B., & Lee, T. J. (2015). Consumer-based chain restaurant brand equity, brand reputation, and brand trust. International Journal of Hospitality Management, 50, 84-93.
Hasan, M. B., Verma, R., Sharma, D., Moghalles, S. A. M., & Hasan, S. A. S. (2024). The impact of environmental, social, and governance (ESG) practices on customer behavior towards the brand in light of digital transformation: perceptions of university students. Cogent Business & Management, 11(1). https://doi.org/10.1080/23311975.2024.2371063
Heidari, S., Zarei, M., Daneshfar, A., & Dokhanian, S. (2023). Increasing Sales Through Social Media Marketing: The Role of Customer Brand Attachment, Brand Trust, and Brand Equity. Marketing and Management of Innovations, 14(1), 224-234. https://doi.org/10.21272/mmi.2023.1-19
Holloway, S. (2024). Unveiling Customer Perceptions: A Qualitative Study on the Role of Supply Chain Transparency in Brand Trust.
Huaman-Ramirez, R., & Merunka, D. (2019). Brand experience effects on brand attachment: the role of brand trust, age, and income. European Business Review, 31(5), 610-645.
Jacoby, J. (2002). Stimulus?organism?response reconsidered: an evolutionary step in modeling (consumer) behavior. Journal of Consumer Psychology, 12(1), 51-57.
Japutra, A., Ekinci, Y., Simkin, L., & Nguyen, B. (2018). The role of ideal self-congruence and brand attachment in consumers’ negative behaviour. European Journal of Marketing, 52(3/4), 683-701. https://doi.org/10.1108/ejm-06-2016-0318
Jeffrey, S., Rosenberg, S., & McCabe, B. (2019). Corporate social responsibility behaviors and corporate reputation. Social Responsibility Journal, 15(3), 395-408. https://doi.org/10.1108/srj-11-2017-0255
Keller, K. L. (1993). Conceptualizing, measuring, and managing customer-based brand equity. Journal of Marketing, 57(1), 1-22.
Kim, J., & Lennon, S. J. (2013). Effects of reputation and website quality on online consumers' emotion, perceived risk and purchase intention: Based on the stimulus?organism?response model. Journal of Research in Interactive Marketing, 7(1), 33-56.
Kim, Y., Jang, H., & Seok, J. (2024). Uncovering the Relationship between ESG Practices and Firm Value: The Role of Reputation and Industry Sensitivity. Asia Marketing Journal, 25(4), 207-218. https://doi.org/10.53728/2765-6500.1620
Koh, H.-K., Burnasheva, R., & Suh, Y. G. (2022). Perceived ESG (environmental, social, governance) and consumers’ responses: The mediating role of brand credibility, Brand Image, and perceived quality. Sustainability, 14(8), 4515.
Lee, H. J., & Rhee, T.-h. (2023). How Does Corporate ESG Management Affect Consumers’ Brand Choice? Sustainability, 15(8). https://doi.org/10.3390/su15086795
Li, J., Sun, X., & Hu, C. (2022). The Role of Skepticism and Transparency in Shaping Green Brand Authenticity and Green Brand Evangelism. Sustainability, 14(23). https://doi.org/10.3390/su142316191
Li, T.-T., Wang, K., Sueyoshi, T., & Wang, D. D. (2021). ESG: Research Progress and Future Prospects. Sustainability, 13(21). https://doi.org/10.3390/su132111663
Lin, Y. (2024). The Role of ESG Strategy Implementation in Long-Term Value Creation for Companies. Journal of Social Science and Cultural Development, 1(2).
Loureiro, S. M. C., Sarmento, E. M., & Le Bellego, G. (2017). The effect of corporate brand reputation on brand attachment and brand loyalty: Automobile sector. Cogent Business & Management, 4(1), 1360031.
Makridou, G., Doumpos, M., & Lemonakis, C. (2024). Relationship between ESG and corporate financial performance in the energy sector: empirical evidence from European companies. International Journal of Energy Sector Management, 18(4), 873-895.
Mkhize, L. (2010). The role of self concept in understanding brand experience, brand attachment and brand loyalty in the consumption of premium clothing brands. University of Pretoria (South Africa).
Morgan, R. M., & Hunt, S. D. (1994). The commitment-trust theory of relationship marketing. Journal of Marketing, 58(3), 20-38.
Mu, H.-L., Xu, J., & Chen, S. (2023). The impact of corporate social responsibility types on happiness management: a stakeholder theory perspective. Management Decision, 62(2), 591-613. https://doi.org/10.1108/md-02-2023-0267
Nugroho, D. P., Hsu, Y., Hartauer, C., & Hartauer, A. (2024). Investigating the Interconnection between Environmental, Social, and Governance (ESG), and Corporate Social Responsibility (CSR) Strategies: An Examination of the Influence on Consumer Behavior. Sustainability, 16(2), 614.
Park, C. W., Macinnis, D. J., Priester, J., Eisingerich, A. B., & Iacobucci, D. (2010). Brand Attachment and Brand Attitude Strength: Conceptual and Empirical Differentiation of Two Critical Brand Equity Drivers. Journal of Marketing, 74(6), 1-17. https://doi.org/10.1509/jmkg.74.6.1
Porta, M. (2024). The relationship between ESG Performance and Financial Stability: are sustainable companies less likely to fail?
Rabbanee, F. K., Roy, R., & Spence, M. T. (2020). Factors affecting consumer engagement on online social networks: self-congruity, brand attachment, and self-extension tendency. European Journal of Marketing, 54(6), 1407-1431. https://doi.org/10.1108/ejm-03-2018-0221
Rasoolimanesh, S. M., Tan, P. L., Nejati, M., & Shafaei, A. (2024). Corporate social responsibility and brand loyalty in private higher education: mediation assessment of brand reputation and trust. Journal of Marketing for Higher Education, 34(1), 156-177.
Rastogi, N., Singh, J., Tyagi, S., Ahmad, V., Kumar, R., Singh, R., Sharma, A., Priyadarshi, N., & Twala, B. (2025). Building Trust through ESG: A Study on Consumer Behaviour in Sustainable Fashion. F1000Research, 14, 97.
Reimann, M., Castaño, R., Zaichkowsky, J., & Bechara, A. (2012). How we relate to brands: Psychological and neurophysiological insights into consumer–brand relationships. Journal of Consumer Psychology, 22(1), 128-142.
Rodrigues, D., Sousa, B., Gomes, S., Oliveira, J., & Lopes, E. (2023). Exploring Consumer Behavior and Brand Management in the Automotive Sector: Insights from a Digital and Territorial Perspective. Administrative Sciences, 13(2). https://doi.org/10.3390/admsci13020036
Russell, J. A., & Mehrabian, A. (1974). Distinguishing anger and anxiety in terms of emotional response factors. Journal of consulting and clinical psychology, 42(1), 79.
Schmitt, B. (2011). The consumer psychology of brands. Journal of Consumer Psychology, 22(1), 7-17. https://doi.org/10.1016/j.jcps.2011.09.005
Shimul, A. S. (2022). Brand attachment: a review and future research. Journal of Brand Management, 29(4), 400-419. https://doi.org/10.1057/s41262-022-00279-5
Sim, M., & Kim, H. (2024). Measurement validation of a consumer-driven environmental, social, and governance (ESG) index for the airline industry. Journal of Sustainable Tourism, 1-23.
Sohaib, M., Wang, Y., Iqbal, K., & Han, H. (2022). Nature-based solutions, mental health, well-being, price fairness, attitude, loyalty, and evangelism for green brands in the hotel context. International Journal of Hospitality Management, 101. https://doi.org/10.1016/j.ijhm.2021.103126
Stahl, F., Heitmann, M., Lehmann, D. R., & Neslin, S. A. (2012). The impact of brand equity on customer acquisition, retention, and profit margin. Journal of Marketing, 76(4), 44-63.
Stewart, R. (2025). Towards a better understanding of ESG ratings. Journal of Sustainable Finance & Investment, 1-20.
Suo, L., & Huang, Y. (2023). Brand Authenticity and Consumers’ Willingness to Recommend by Word-of-Mouth: The Mediating Effect of Brand Attachment. Journal of Community Development Research (Humanities and Social Sciences), 16(4), 73-90.
Suryati, L., & Fenny, F. (2024). The Relationship Between Brand Reputation and Risk Perception on Customer Purchasing Decisions on E-commerce Platforms. Siber International Journal of Digital Business (SIJDB), 2(2), 129-137.
Thomson, M., MacInnis, D. J., & Whan Park, C. (2005). The ties that bind: Measuring the strength of consumers’ emotional attachments to brands. Journal of Consumer Psychology, 15(1), 77-91.
Tosun, P., & Tav?an, N. (2023). The impact of perceived corporate social responsibility on consumer happiness and brand admiration. Management Decision, 62(2), 665-684. https://doi.org/10.1108/md-10-2022-1441
Tripopsakul, S., & Puriwat, W. (2022). Understanding the Impact of ESG on Brand Trust and Customer Engagement. Journal of Human, Earth, and Future, 3(4), 430-440. https://doi.org/10.28991/hef-2022-03-04-03
Valencia-Arias, D. A., Martinez-Tavera, C. R., Areiza-Padilla, J. A., Barajas-Portas, K., Veas-González, I., & Manzi-Puertas, M. A. (2025). The Power of Centennials and their Environmental Awareness: Willingness to Pay a Premium Price on the Internet for Sustainable Fashion Products. Cleaner Waste Systems, 100221.
Vuong, T. K., & Bui, H. M. (2023). The role of corporate social responsibility activities in employees’ perception of brand reputation and brand equity. Case Studies in Chemical and Environmental Engineering, 7, 100313.
Walsh, G., Mitchell, V. W., Jackson, P. R., & Beatty, S. E. (2009). Examining the antecedents and consequences of corporate reputation: A customer perspective. British journal of management, 20(2), 187-203.
Xie, C., Bagozzi, R. P., & Grønhaug, K. (2019). The impact of corporate social responsibility on consumer brand advocacy: The role of moral emotions, attitudes, and individual differences. Journal of Business Research, 95, 514-530.
Yu, E. P. Y., Guo, C. Q., & Luu, B. V. (2018). Environmental, social and governance transparency and firm value. Business Strategy and the Environment, 27(7), 987-1004.
Yuanlun, H. (2024). Evaluating the Role of ESG Ratings in Shaping Investment Outcomes: A Study of China's Stock Market. Journal of Digitainability, Realism & Mastery (DREAM), 3(11), 118-134. https://doi.org/10.56982/dream.v3i11.286
Zervoudi, E. K., Moschos, N., & Christopoulos, A. G. (2025). From the Corporate Social Responsibility (CSR) and the Environmental, Social and Governance (ESG) Criteria to the Greenwashing Phenomenon: A Comprehensive Literature Review About the Causes, Consequences and Solutions of the Phenomenon with Specific Case Studies. Sustainability, 17(5), 2222.
Zhao, X., Fang, L., & Zhang, K. (2023). Online search attention, firms’ ESG and operating performance. International Review of Economics & Finance, 88, 223-236.
Su, T., & Teo, P.-C. (2025). From ESG to Brand Equity: The Mediating Role of Brand Reputation and Brand Attachment. International Journal of Academic Research in Economics and Management Sciences, 14(2), 125–139.
Copyright: © 2025 The Author(s)
Published by HRMARS (www.hrmars.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode