Perceived Brand Circularity and Its Effect on Brand Attitudes and Behavioral Intentions

The establishment of circular business models represents the evolution from traditional linear business models to those committed to sustainability. The effect of circular business models on brand-related outcomes remains, however, unknown. The aim of this paper is therefore to assess the effect of perceived brand circularity on brand-related attitudes and behavioral intentions. We test a conceptual model across three product categories using six brands. The results of a pre-study (n = 147) and a subsequent main study (n = 441) show that perceived brand circularity positively affects consumers’ rational as well as emotional brand attitudes. Rational brand attitudes thereby directly affect behavioral intentions towards the brand, while emotional brand attitudes work both directly and via a personal connection between the brand and consumer. This study shows consumer-oriented effects of perceived brand circularity and suggests that adopting circular practices may improve consumer attitudes and behavior.