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Consumer Trust and Brand Loyalty in Sub-Saharan African Digital Financial Services

Rita Korkor Agyei1, Ogochukwu T. Izuchukwu2, Dominic Feboh3, Abiola Idowu4

Abstract

Digital financial services have expanded across Sub-Saharan Africa faster than in any other region of the world, driven above all by mobile money, and in several economies more adults now hold a mobile money account than a conventional bank account. This expansion has made the region a distinctive setting in which to examine two constructs that marketing and information-systems scholarship have long treated as central to customer relationships: consumer trust and brand loyalty. Yet the conditions under which trust and loyalty form in Sub- Saharan African digital financial services differ materially from those assumed in the literatures that theorized them, because the services are frequently a consumer’s first formal financial relationship, are delivered through agent networks rather than branches, and operate in institutional environments where formal safeguards are still maturing. This paper reviews the dispersed evidence bearing on consumer trust and brand loyalty in this setting and synthesizes it into an account of their determinants and their relationship. Drawing together the commitment– trust and service-quality traditions in relationship marketing, the brand-equity and loyalty literatures, the technology-acceptance and online-trust literatures in information systems, and the development-economics evidence on mobile money in the region, the review organizes the determinants of trust and loyalty around six themes—institutional and structural trust, service quality and reliability, perceived risk and security, provider brand and reputation, social influence and network effects, and the satisfaction–loyalty–continuance sequence. Two findings recur: that trust in this context is disproportionately institutional and infrastructural rather than purely relational, because consumers are trusting an unfamiliar category as much as a particular provider; and that loyalty is shaped as much by switching costs, network effects, and agent proximity as by attitudinal commitment. The paper draws implications for providers and policymakers and identifies a research agenda for a setting the established theories were not built to describe.

Keywords

consumer trustbrand loyaltydigital financial servicesmobile moneySub-Saharan Africafinancial inclusiontechnology adoptionservice qualitycustomer loyaltyfintech. P-ISSN 2695-186X

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