Sustainability as a driver of customer choice: evidence from SMEs in Oman

Purpose This study investigates the impact of sustainability practices on customer choice in the context of small and medium-sized enterprises (SMEs) in Oman. It further examines the roles of customer trust and subjective norm in explaining how sustainability practices influence customer purchasing decisions toward SMEs. Design/methodology/approach A quantitative cross-sectional research design was employed using an online structured questionnaire distributed to customers with prior experience purchasing from or interacting with SMEs in Oman. Data were analyzed using partial least squares structural equation modeling (PLS-SEM) through SmartPLS. The proposed model examines the direct effects of sustainability practices, customer trust and subjective norm on customer choice, as well as the mediating role of customer trust. Findings The findings indicate that sustainability practices positively influence customer trust and customer choice. Customer trust and subjective norm also showed significant positive effects on customer choice. In addition, customer trust partially mediated the relationship between sustainability practices and customer choice. The predictive assessment further confirmed that the model possesses satisfactory predictive relevance and out-of-sample predictive power. Practical implications The findings provide practical insights for SME owners and managers by showing that visible and credible sustainability practices can strengthen customer trust and improve customer preference toward SMEs. The study also highlights the importance of sustainability communication, social influence and customer-oriented sustainability initiatives in enhancing customer engagement and competitive positioning. Originality/value This study extends sustainability research by explaining how sustainability operates within resource-constrained SMEs rather than treating the SME context as equivalent to large corporations. It shows that visible sustainability practices can function as market signals that strengthen customer trust and choice, while subjective norm captures the socially embedded nature of customer decisions. By providing evidence from Oman, the study further contributes context-specific understanding of how relational proximity, informal reputation, trust and social influence shape customer responses to SME sustainability.