June 2025 Edition

BRAND TRUST ELEMENTS AND CUSTOMER LOYALTY: A STUDY OF PHARMACEUTICAL FIRMS

Onifade, T. A, Adekunle, A. R, Adedokun, O. S, Adeboye R. L, and Akindele, C.O

Abstract

Customer loyalty is a key driver of long-term organizational success, and brand trust elements play a critical role in sustaining loyal customer relationships. While previous studies have examined brand loyalty in several firms excluding pharmaceutical, limited research has explored how specific brand trust elements such as reliability, transparency, and competence jointly influence customer loyalty. This study aims to fill that gap by assessing the impact of these components of brand trust elements on customer loyalty. A quantitative research design was employed, with data collected through structured questionnaires administered to a sample of consumers. The data were analyzed using multiple regression analysis to determine the strength and direction of each variable's effect. The findings reveal that competence has a strong and significant positive influence on customer loyalty, suggesting that customers are more loyal to brands perceived as capable and skilled. Transparency also showed a significant relationship, although in a negative direction, indicating that unmanaged openness may lead to customer discomfort. Reliability, while conceptually important, did not have a statistically significant effect in this context. Based on these findings, the study recommended that organizations should prioritize competence-building, manage transparency carefully, and maintain reliability as a fundamental service expectation. These results underscore the strategic importance of brand trust elements in cultivating sustainable customer loyalty.

Keywords

Brand trust elements, competence, customer, loyalty, reliability, transparency

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