From signal to commitment: How perceived sustainability cues build brand trust and loyalty among Gen Z consumers across cultural orientations

Abstract

Generation Z (Gen Z) consumers are increasingly attentive to corporate sustainability, yet they remain deeply skeptical of unsubstantiated environmental and social claims. This tension creates what may be termed a sustainability trust paradox, where sustainability messaging is necessary but insufficient for building durable consumer brand relationships. This paper addresses this paradox by proposing and justifying a conceptual moderated mediation model grounded in signaling theory, relationship marketing theory, and cross cultural consumer behavior research. The model posits that perceived sustainability signals, including third party certifications, transparent corporate social responsibility (CSR) disclosures, and ethically consistent brand behavior, shape brand loyalty among Gen Z consumers through the mediating mechanism of brand trust. Critically, the model integrates cultural orientation (individualism versus collectivism) as a moderating variable that conditions the strength of both the signal to trust and the trust to loyalty pathways. A systematic literature review following PRISMA protocols was conducted, synthesizing 29 peer reviewed studies and 11 supporting theoretical and industry sources published between 2019 and 2025. The review reveals that credible, verifiable sustainability signals are more effective trust builders in collectivist cultural contexts, where community endorsement and social proof amplify signal reception, whereas in individualist contexts, personal relevance, value alignment, and authentic brand transparency are the primary drivers of trust formation and subsequent loyalty. These findings extend signaling theory into the domain of ethical brand communication and offer a cross culturally sensitive framework for understanding Gen Z loyalty formation. Practical implications are discussed for brand managers seeking to design sustainability communication strategies that resonate with this influential consumer cohort across culturally diverse markets.