Signaling Credibility Online: Brand Image, Brand Trust, and Loyalty Toward Local Fashion Brands on Indonesian E-Commerce Platforms
DOI:
https://doi.org/10.61098/jems.v4i1.376Keywords:
Brand Image, Brand Trust, Brand Loyalty, Local Fashion Brands, Signaling TheoryAbstract
Indonesian local fashion brands increasingly reach consumers through e-commerce marketplaces, yet the online channel removes the sensory cues that shoppers normally rely on to judge clothing, such as touching the fabric or trying on a garment, and places local labels side by side with imported and counterfeit alternatives. Drawing on signaling theory, this study examines how brand image and brand trust function as credibility signals that sustain loyalty toward local fashion brands purchased online. Data were collected through an online survey of 170 Jakarta residents who had bought local fashion brands on e-commerce platforms, selected through purposive sampling, and analyzed using partial least squares structural equation modeling (PLS-SEM) in SmartPLS 4. The results show that brand image positively affects brand trust and brand loyalty, and that brand trust positively affects brand loyalty. Together, brand image and brand trust explain 54.9% of the variance in brand loyalty, and brand trust partially mediates the effect of brand image on loyalty. The cross-validated predictive ability test (CVPAT) shows that the model predicts better than the indicator-average benchmark and as well as a linear model for brand trust, but less accurately than a linear model for brand loyalty, suggesting that its strength lies more in explanation than in out-of-sample prediction. The study extends signaling-based explanations of e-loyalty to local fashion brands in an emerging market and shows that, where products compete on the same search page, a credible brand image and the trust it generates are central to keeping online shoppers loyal. Managerially, local brands should invest in a consistent visual identity, accurate product information and better discoverability within marketplace platforms.
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