Tag Archives: CSR communications

Communication bridges the CSR Words vs Actions gap

Communications may be the key to understanding and developing the relationship between companies and consumers when it comes to CSR.

The Cone Shared Responsibility Survey that was released a few weeks ago presents some interesting data. To varying degrees, 65% of Americans believe that companies should be active regarding environmental and social issues. And in large numbers, consumers hold companies responsible for a wide range of issues including everything from alleviating poverty to ensuring that products are produced safely and in an environmentally responsible manner. So, it’s clear that at least as a matter of principle, consumers care about CSR.

But what about the practice? Well, here it’s not so clear. Consumers did indicate that if a company incorporated their ideas (presumably about social/environmental responsibility), over 50% of them would recommend the company, 54% would be more loyal toward it and 61% would be more likely to buy its products and services. But when asked what initiatives they would adopt to influence corporate social/environmental practices, less than half (44%) said they would buy or boycott a company’s product or services.

There seems to be a great divide between words and actions here. The truth is that while there is abundant data on consumers’ buying intentions relative to a company’s CSR platform, we don’t know that much about whether that translates into action

Recent reports from the American south might provide an answer. Local news stories are indicating that some BP stations are selling 500 fewer gallons per day. That’s certainly a result of the Gulf oil spill and consumers’ perception about the company’s environmental irresponsibility. But that may just be an extreme example based on a sensational event.

The Cone study may provide some insight. While consumers indicate they want to be informed about companies’ CSR performance and can even suggest the ways in which they would like that to be done (advertising, in-store, social media), they are, at best, confused by the messages they are receiving. And, in fact, they are very cynical. Fully 87% of respondents said that companies share positive information about their efforts but withhold negative information. 67% said they are confused about the messages companies use to talk about their social and environmental efforts.

It seems reasonable to me that if consumers don’t feel they can trust the information they have regarding companies’ CSR activity, they aren’t going to take action. Let’s not doubt whether CSR is a source of competitive advantage. Let’s do a better job of communicating.

Passion Points:

  • Ensure that your company’s social and environmental activities are effectively communicated through a variety of channels
  • Use social media tools to monitor what consumers are saying about your company
  • Be consistent. Ensure that what you say about your CSR activity is the same across all channels
  • Be transparent. Tell consumers about what you have done but also about what is yet to be done.
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Green and Generosity – 2 New Envy Trends

There are significant CSR implications in Statusphere, the latest offering from trendwatcher.com – one of the world’s leading consumer trends firms. Based on the premise that “consumers are finding increasingly diverse ways to get their status fix,” it identifies five new areas in which consumers are vying for bragging rights.

One of them is Generosity. Perhaps as a reaction to the impact of greed on the latest economic meltdown, giving now trumps owing as a mark of prestige. Not only are consumers feeling a need to express their more altruistic side, they want to share the experience with others. Giving circles, crowdsourced giving and collaborative giving models abound. Online initiatives that allow individuals to choose the beneficiaries of corporate philanthropy are becoming increasingly common.

As it relates to CSR, many companies are recognizing that corporate philanthropy alone isn’t enough. A more strategic approach dictates a path of stakeholder engagement where customers are an integral part of the giving program – helping to make making decisions and given an opportunity to share experiences. (See Pepsi’s Refresh Project)

Another area identified is “Green Credentials and Unconsumption.” Increasingly consumers are anxious to demonstrate their “eco-credentials” to their peers. The latest ecological symbols and obviously eco-friendly products are taking on the status previously reserved for labels like D&G, Coach and others. And ecologically friendly services (from landscaping to roofing to banking) are taking on the same appeal. Just as in the case of Generosity, consumers are seeking the forums to tell the world they are truly green with envy. The days of the gas guzzling SUV as a badge of accomplishment are gone. Hybrid is the new hot auto label as consumers try to outdo their peers by consuming less.

Most companies have recognized that the green plank is essential to any CSR platform. The truly enlightened players are providing stakeholders with products and services that can express both the company’s and the individual’s eco-interests. Moreover, they are providing ways for stakeholders to share the experience by becoming actively involved and expressing their opinions. (See TD Friends of the Environment)

Passion Points:

  • Meaningfully involve employees and customers in your company’s philanthropic efforts.
  • Make sure your communications plan trumpets their successes and provides the forums for them to share their experiences
  • Ensure that your company’s eco-initiatives are well publicized and well-known by employees.
  • Wherever possible include a respected eco-certification with your green products and services
  • Provide employees and consumers with ways to be active partners in your ecological or sustainability efforts.