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October 21, 2011 at 11:53 AM by Research & Insights

Consumers have spoken - when it comes to making a true and lasting difference in the world, they say look not outside, but within. In the recently launched 2011 Cone/Echo Global CR Opportunity Study, consumers prioritized changing operations as the leading way for companies to address social and environmental issues (31%), trumping traditional approaches like making donations (7%) and raising awareness (11%). These ubiquitous strategies were even beat out by applying unique assets (19%) and developing new products and services (16%).

 

 

Companies are already making headway in applying their business acumen for greater change. Akhila Vijayaraghavan of Triple Pundit notes that General Motors has taken steps to innovate its business model by incorporating nontraditional materials in its manufacturing processes. Recycled and bio-based components, such as old bumpers, bottles, carpets and blue jeans, are making their way into GM vehicles, which has in part attributed to GM's 97 percent waste recycling rate.

Glad Products Company is meeting consumers' expectations to reinvent its products by launching a garbage bag that uses 6.5 percent less plastic than traditional bags. It may seem like a small feat, but in just one year Glad Products will see a 6.5 million pound reduction in plastic use.

Today's savvy consumers see that companies must address social and environmental matters from the inside-out, and companies can start by working to innovate operations. While it's apparent companies are most eager to address material environmental issues, companies should look beyond the environment and use their core competencies to solve for a variety of social ills, from health and disease to education. Consider TOMS, who just added a new one-to-one product line, promising the gift of sight for each pair of glasses sold.

The incentive for listening to consumers? It's not just social progress; it's a boost to the bottom line. When companies act on the approaches consumers find most critical, consumers state they are very likely to reward them with higher trust (57%), loyalty (52%) and purchasing power (53%).

What other companies are going one-step beyond donations to address social and environmental issues?

Tags: environment research operations recycling study

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October 14, 2011 at 1:01 PM by Research & Insights

Three years into the global recession, it is no surprise consumers worldwide cite economic development as the one issue they want companies to support, according to the 2011 Cone/Echo Global CR Opportunity Study. Yet, Americans – more than any other country’s citizens – were the most resolute that this issue be the number one priority for companies to address (43% versus the global average of 34%).

 

 

Although economic development may seem like a big problem to tackle, companies are already embracing the issue and bringing it to life with campaigns that are relevant to both consumer needs and the brand itself. Starbucks has recently launched the “Create Jobs for USA” campaign, which pools donations to support small business lending in order to spur job creation across communities nationwide.

Companies should take note that economic development is a macro issue that extends beyond microfinance and into a variety of material issues affecting both business and communities. For example, Chipotle has enlisted the help of Willie Nelson and the Yeah Yeah Yeah’s Karen O in a movement to support America’s small farms. Not only does the effort invigorate local economies, but it also assists Chipotle’s “Food with Integrity” brand.

The 2011 Cone/Echo Global CR Opportunity Study showed 87 to 96 percent of consumers in all countries expect companies to support a range of causes, from the environment to poverty. Addressing these diverse issues is the cost of doing business today. Yet, to encourage further differentiation, companies should think about creating new programs or reframing current social commitments within the context of economic development. Doing so will allow companies to make real impact around the one issue truly on the minds of today’s American consumers.

Tags: research global economicdevelopment campaign

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June 21, 2011 at 2:14 PM by Guest

I am very excited about the latest results from Deloitte’s Volunteer IMPACT Research Series. These findings reveal important, new data: millennials who frequently participate in workplace volunteer programs are more satisfied on a number of measures than their peers who rarely or never volunteer. They are more likely to feel proud of, and loyal to, their company. Further, they are more likely to be satisfied with their career progression, and they are more likely to think their corporate culture is positive. These are powerful statistics that suggest providing frequent volunteerism opportunities makes business sense.

 

 

At a time when this and other studies reveal that one-third of millennials are considering other job opportunities, Deloitte’s findings offer a strong argument for making volunteerism a business priority. Companies that view their volunteer programs as strategic assets and factor community involvement into their business planning may have a distinct advantage when it comes to engaging this civic-minded generation of workers.

 

Michelle Nunn, CEO of Points of Light Institute and co-founder of HandsOn Network, recently wrote an op-ed that appeared in the Atlanta Journal Constitution, which came to similar conclusions.

 

I’m interested to hear what you think, too. Drop me a line at communityinvolvement@deloitte.com to share your thoughts.

 

Evan Hochberg, national leader of Deloitte’s community involvement initiative

 

*Deloitte is a Cone client.

Tags: Millennials Deloitte research volunteerism businesscase

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April 29, 2011 at 1:40 PM by Sarah Kerkian

It’s not all butterflies and rainbows when it comes to effective environmental advertising. Or is it? The Biennial Green Ad Language Study by the Soap Group found environmental language in ads is down – only nine percent of the 100 ads researchers examined included language describing the green attributes or benefits of the product, service or company, compared to 22 percent of ads in 2009.

 

But there’s more to these findings than meets the eye. The Soap Group notes, “This does not mean, however, that green was missing from ads. In fact we saw a disproportionate amount of ads implying sustainability through graphics with no linguistic reference to anything remotely green. Products (tires, servers, windows, shoes, makeup, etc.) were placed in forests, dangling in mid-air, and found resting in fresh fields in order to imply green.” Rarely were these images actually tied to product attributes or performance, the report notes.

 

Vague environmental imagery is a troubling trend in the green marketing space and poses a real risk of consumer misinterpretation. Cone’s recent Green Gap Trend Tracker asked consumers to “purchase” the most environmentally responsible of three generic cleaning products based on an isolated marketing approach. Nearly one-in-five (19%) consumers chose the product with a green image (pictured above) without any other indication it was better for the environment. Some consumers believed the environmental imagery indicated this product was safe for the environment (14%) or that it could even help reverse the effects of climate change (4%). The Soap Group study calls this implied environmental benefit the “face of greenwashing today,” and it’s hard to disagree. With the risk of such extreme consumer misperception, a mountain lake or virgin forest suddenly doesn’t seem so pristine.

Tags: research environmentalmarketing greenwashing

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April 8, 2011 at 1:07 PM by Research & Insights

It may not be news that consumers are often unaware of corporate environmental initiatives, but would it surprise you to hear corporate executives may also be out of touch? The 2011 Gibbs & Soell Sense & Sustainability Study revealed 88 percent of FORTUNE 1000 executives report their companies are “going green.” Yet, only 29 percent believe a majority of other businesses are committed to sustainability.

 

 

The disconnect is more than a little surprising considering the momentum in the space. New commitments are announced almost daily – from the world’s biggest brands to its smallest enterprises – across product lines, business functions and industries. Environmentally responsible products increasingly line our shelves, corporate environmental stories flood our inboxes and green conferences fill our calendars. So why aren’t executives recognizing these efforts among their peers? Are they truly unaware or are they downplaying other companies’ initiatives, at the same time, perhaps, as they are overestimating their own?

 

It’s difficult to know what is at the root of this data disconnect, but each of these explanations is troubling and signals a deep communications problem in environmental responsibility. Forget consumers for a moment. Executives should take a look inward and consider whether they are accurately assessing and communicating the depth of their own companies' environmental commitments and whether they are staying abreast of others’ efforts. A little green envy among peers will foster innovation and benefit us all.

Tags: corporateresponsibility executives research sustainability green environment

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March 25, 2011 at 1:15 PM by Research & Insights

Three years after Cone conducted its 2008 Green Gap Survey, the latest look at Americans’ perceptions of environmental marketing claims proves not much has changed. Sadly, consumers are still confused and overwhelmed, according to the 2011 Cone Green Gap Trend Tracker.

The data reveal many consumers misinterpret common phrases used in environmental marketing – thinking terms such as “green” or “environmentally friendly” indicate a positive impact on the environment (41%) – giving products a greater halo than they may deserve. Despite their misinterpretations, consumers don’t take environmental claims lightly. Most say they will punish a company by boycotting a product (71%) or even a company’s entire suite of products (37%) if they find an environmental claim to be misleading.

A recent controversy at risk of consumer backlash is the case of S.C. Johnson’s “Greenlist” label on its Windex and Shout products. A civil lawsuit raised questions about consumer deception, saying the Greenlist label implied third-party verification, when in reality it is a self-imposed label and rating system. Although the 2011 Cone Green Gap Trend Tracker found that a majority of consumers (51%) interpret an environmental “certification” on-pack to mean it has been verified by a credible third party, the Greenlist case proves this is not always an accurate assumption.

There is hope for marketers taking an authentic look at their companies’ environmental impacts – a majority of consumers (75%) say a company does not need to be environmentally perfect, as long as it is honest and transparent about its efforts. But consumers do want companies to help them better understand the environmental terms they use (75%), even by providing detailed information on-pack so they can make informed shopping decisions at the point of purchase (79%).

Americans today are interested in environmentally responsible products, yet they clearly need more information to make the right decisions. Generic claims will no longer cut it among discerning consumers; therefore, corporate claims must be accurate and properly aligned with consumer perceptions. Companies must be transparent to garner trust or risk facing the consequences.

The full 2011 Cone Green Gap Trend Tracker is free to download on the Cone website.

 

 

Posts under the Knowledge Leadership byline come from Knowledge Leadership team members Sarah Kerkian and Casey Brennan. Follow us on Twitter: @ConeLLC, @SarahKerkian, @CaseyB 

Tags: corporateresponsibility transparency environment sustainability marketing labels research cone

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November 12, 2010 at 1:27 PM by Research & Insights

Veterans Day weekend is a great time for retail promotions, as shoppers get a head start on holiday gift hunting. But it’s also an opportunity for companies to pay homage to our veterans and active military and to build goodwill among consumers. After all, 85 percent of Americans believe it’s important for companies to support military nonprofits, according to a survey by Cone. A few initiatives we’ve seen this year for Veterans Day include:



Dunkin Donuts is donating a pound of coffee to the USO for every two pounds purchased in-store or online (up to 100,000 pounds).

Outback Steakhouse offered a free Bloomin’ Onion and beverage to any military personnel who ate at the national restaurant chain on November 11 as part of its ongoing “Thanks for Giving” program.

JCPenney and JOE Joseph Abboud partnered with IAVA this October to give away $1 million worth of apparel to 5,000 returning Iraq and Afghanistan troops. The initiative aimed to help veterans transition back to the civilian workforce by providing professional attire.

Southwest Airlines dubbed November “Military Heroes Month” and kicked off a number of veteran-appreciation initiatives including: providing customers with postcards to write a letter of appreciation to military serving abroad, a commemorative exhibit at the San Antonio airport and a special welcome home to Operation Freedom Bird veterans at the Phoenix Sky Harbor Airport.

Microsoft dedicated its citizenship website, Facebook page and blog to inspiring U.S. military veteran stories. The web makeover is part of its ongoing commitment to help prepare veterans and their spouses with the skills and resources needed to be successful in today’s workplace.

Walmart announced a five-year, $10 million commitment to help improve the employment outlook of veterans.

These approaches are all distinct – some are traditional cause programs benefiting military nonprofits, while others are just designed to honor our veterans and active military through in-kind donations – but each leverages the company’s unique assets to serve veterans’ needs and connect in ways that resonate with their consumers and employees.

Stay tuned for more on consumer holiday cause shopping trends and data in the coming weeks.


Tags: causebranding research cone trends holiday

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November 9, 2010 at 12:44 PM by Craig Bida

In response to the USA Today KINDNESS blog post declaring the death of cause marketing as we know it:

Billions of dollars have been raised, millions of consumers have been engaged and untold lives have been impacted across the globe.  Rest assured, cause marketing is alive and well.

But don’t just take our word for it. An overwhelming 83 percent of Americans want to see more companies support social and environmental issues, as revealed in Cone’s 2010 Cause Evolution Study. This is particularly true among moms and Millennials – the consumers driving spending and the social agenda – who are virtually unanimous in their desire to see companies stand for something.

Most professionals have long-agreed that simply tying a ribbon to a product is not a meaningful strategy for either business or social growth.  And it doesn’t build brands either.  Instead, what sets brands apart today is:  1) supporting issues aligned with their business growth and diverse stakeholder needs, 2) meaningful engagement beyond the transaction and 3) trusted, mutually beneficial partnerships.

Over the last two decades, cause marketing has changed our social fabric, giving consumers a way to contribute to critical issues like women’s health, education and preventable disease.  Today, we are on the cusp of innovation as we evolve from transactional to transformational.  Look to the future for dynamic, collaborative problem-solving against new (and emerging) issues, bold public commitments to drive impact and brands built on transparency and trust.

Lofty?  Perhaps.  But achievable, when put in the hands of the consumer through cause marketing.


- Craig Bida, Executive Vice President

Tags: youth causebranding research cone trends

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October 1, 2010 at 2:12 PM by Research & Insights

Although moms stand out as the most socially conscious segment of consumers, according to the 2010 Cone Cause Evolution Study, it comes as no surprise that their Millennial-aged children (18-24), are close at their heels. Ninety-four percent believe cause marketing is acceptable, and more than half (53%) have purchased a cause product/service in the past 12 months (vs. 88% and 41% respectively for the average consumer).

 
The Millennial segment provides the clearest view of the nation’s future cause consumers – and the outlook is good. Nearly three-quarters (73%) are willing to try a new product they’ve never heard of if it supports a cause. And, more than a quarter (26%) are willing to pay more for products associated with a good cause.

Ford is looking to capture the attention of this segment through the allure of cause marketing. As part of a new collaboration with Pandora, a Web radio station popular with digital-natives (a.k.a. Millennials), Ford will make a donation to one of two charities, chosen by featured artists John Legend and Jewel, every time Pandora users share a “mixtape” by either musician. This is sure to strike a note with Pandora’s Millennial users, while also promoting the integration of the Pandora service into Ford vehicles.

More than their counterparts in other age categories, Millennials are even willing to keep the greater good in mind when making decisions outside the store – 87 percent consider a company’s cause commitments when deciding where to work. Companies are putting this into practice, for example Deloitte (client) uses its community involvement initiative as a core recruiting differentiator.

Millennials are entering our workforce and marketplace with a fierce sense of social and environmental responsibility. Whether companies are trying to recruit the next generation of talent or differentiate on the shelf, aligning with a cause is a powerful way to prepare for the future. 


Tags: causebranding youth research cone trends employee

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September 24, 2010 at 1:07 PM by Research & Insights

Today we salute moms. But first, let’s just call them what they really are – Supermoms. According to the 2010 Cone Cause Evolution Study, moms are by far the nation’s most active cause consumers. A near-unanimous 95 percent (vs. 85% average) find cause marketing acceptable and 61 percent (vs. 41% average) have purchased a cause-related product in the past 12 months. With moms making 80 percent of household purchasing decisions, this is good news for companies engaged in cause marketing.



But what is it that makes Supermoms stand-out cause consumers? We see today’s moms as multitaskers – they work, shop, act as chief health officer, often balance checkbooks and tuck the kids in at night. With busy lifestyles, moms today are looking for a double impact when they shop. Cause marketing is no doubt an effective strategy for companies to help the socially conscious mom attain her emotional and practical needs.

One program hitting the mark with this demographic is Quaker Oat’s Chewy Granola Bars’ “Afterschool Rocks” campaign. The brand has enlisted a host of kid-friendly musicians to lend their songs to the brand’s online music library, all with goal of raising awareness and support for afterschool programs. In addition, parents can get codes for free downloads by purchasing specially marked boxes of the product. Though just one application of cause marketing to moms, the Quaker Oat’s campaign fulfills both practical (purchasing snacks) and emotional (support for afterschool programs) demands of this conscious consumer base.

Moms are clearly passionate about cause consumption – both for themselves and their families. How will your next cause campaign connect with moms, while also satisfying their desire to give back?


The full 2010 Cone Cause Evolution Study is free to download on the Cone website.


Tags: causebranding nonprofitcausebranding research cone trends

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September 22, 2010 at 5:01 PM by Research & Insights

You’ve heard from us, but we want to know what you have to say. So we reached out to some of our favorite bloggers and experts who have valuable insights about the world of cause to get their reactions about the 2010 Cone Cause Evolution Study findings. We asked them what stood out or surprised them from the study. Here’s what they said:

 

On the overall findings:
“The 2010 Cone Cause Evolution Study is a treasure trove of insights into our field's oft-debated questions: Should programs focus on one issue or emphasize consumer choice? (the former.) Are consumers more impressed by programs that describe major corporate donations orlink donations to their purchases? (slightly in favor of the latter.) Do Americans reduce their won donations after making cause-related purchases? (rarely.) Everyone managing corporate cause initiatives should read it -- at least twice!”

- David Hessekiel

President, Cause Marketing Forum, Inc.

On moms:
“What this study found about moms, in particular, didn't surprise me as much as it helped confirm my broader view of women and sustainability. ”Having a baby changes everything," and women with kids are all the more expecting shared values and authentic social and environmental commitment from brands. These Cone cause marketing insights are key in that they hint at an even bigger, developing sustainability story that all companies need to tend to.”

- Andrea Learned
sustainability and consumer behavior expert

 

On Millennials:
“Cone's findings are beautifully aligned with what we're seeing in the field. Today's socially conscious youth are REALLY good at tugging mom's purse strings, and it's hard to argue when your kid says, ‘We shouldn't buy such-and-such, it's bad for the environment, let's buy this one instead.’ That said, I'd like to see brand managers invest more heavily in their consumer’s ‘cause’ literacy rates.This need is articulated in the 2010 Cone Cause Evolution Study, but at a slightly lower percent than I would have thought, which surprised me – especially with regards to the Millennials. (I'd imagine this will come up with GenZ.)”

- Lee Fox
Founder, KooDooZ

 

On employees:
"What surprised me most about the Cone Cause Evolution Study was how much of a role frontline employees played in getting consumers to donate. 70% of Americans said they are more likely to donate to a cause if an employee recommends it. This puts the frontline employee in a very influential role, one I think none of us ever fully appreciated."

- Joe Waters
Director of Cause Marketing, BMC

Blogger, Selfishgiving.com

Tags: youth nonprofitcausebranding employee causebranding research cone

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September 17, 2010 at 1:47 PM by Research & Insights

Economic turmoil. Environmental disasters. Corporate corruption. When it comes to the role of business in society, the last two years have been turbulent at best. Despite the hardships Americans have faced, their purchasing behavior and appetite for cause-related products and services has soared, according to the just-released 2010 Cone Cause Evolution Study. This 17-year benchmark study explores Americans’ attitudes and expectations of companies to support social and environmental issues.
Americans’ enthusiasm for cause marketing emerged from the turmoil fully intact and continues to strongly influence their purchase decisions:

• 88% say it is acceptable for companies to involve a cause or issue in their marketing;
• 83% want more of the products, services and retailers they use to benefit causes;
• 85% have a more positive image of a product or company when it supports a cause they care about; and,  
• 80% are likely to switch brands, similar in price and quality, to one that supports a cause.

Not only are consumers willing to switch among similar brands, they are also willing to step outside their comfort zones. When it supports a cause:

• 61% of Americans say they would be willing to try a new brand or one unfamiliar to them;
• 46% would try a generic or private-label brand; and,
• Nearly one-in-five consumers (19%) would be willing to purchase a more expensive brand.

The data signal a ripe opportunity for companies to engage consumers on a new level – one that fulfills both their needs for goods and to do good. Consumers are insisting companies support social issues and it clearly serves as a powerful differentiator in an increasingly competitive environment.

The full study is free to download on the Cone website, which includes a look at the role of employees as cause ambassadors and two of the most socially driven consumer segments in history – moms and Millennials.

Cone EVP Alison DaSilva discuss the research in a video announcement of the 2010 Cone Cause Evolution Study.


Tags: economy trends research cone causebranding nonprofitcausebranding

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September 15, 2010 at 10:55 AM by Research & Insights

Cone EVP, Alison DaSilva, discusses the findings of the 2010 Cone Cause Evolution Study.

 

Tags: economy causebranding research cone trends

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August 27, 2010 at 11:34 AM by Mike Lawrence

The Wall Street Journal prominently featured an opinion piece this week challenging Corporate Social Responsibility. The article, authored by University of Michigan business school professor Aneel Karnani, argues that it is “fundamentally flawed” to believe companies have a responsibility to act in the public interest. Professor Karnani takes the position that “in most cases, doing what’s best for society means sacrificing profits.” Since he believes all business decisions should be based on maximizing profits, he warns that CSR is “dangerous,” and “an illusion.”



Karnani’s argument is based on two faulty premises. First, the reality is that Corporate Social Responsibility – properly planned and practiced – can and does drive profitability. Second, the reality is that with corporate sins and secrets spilling onto computer screens, empowering citizen activists, it is in a company’s self-interest to consider the public interest.

At Cone, we call this “Better Business, Greater Good.” And we talk about “Corporate Responsibility” – dropping the word “social” – because key aspects of the strategy also impact economic and environmental business practices.

 

read more...

Tags: corporateresponsibility roi research trends walmart sharedresponsibility

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July 23, 2010 at 1:37 PM by Research & Insights

From philanthropy to cause marketing to CSR, no good deeds went unpunished this week in opinion news. Professor Angela Eikenberry says in The Conference Board Review that cause marketing “distracts our attention and resources” from the issues. Writer Chrystia Freeland in The Washington Post called CSR a “cult” that “muddies the waters” of core business needs. The Wall Street Journal Europe’s opinion columnist Jamie Whyte writes “corporate philanthropy is tantamount to theft.”

These arguments would sting if they weren’t so tired and misinformed. Esteemed bloggers immediately went on the defensive to highlight the fallacies in these arguments, including Fast Company expert blogger Alice Korngold, who put it nicely – “CSR isn't about puppy dogs and ice cream. CSR is about conducting business with integrity and attention to the community in a way that benefits shareholders.”



Freeland and Whyte pulled the old Milton Friedman card, writing, “The job of business is to make money.” No arguments there. But this is just part of the story: corporate philanthropy, cause marketing and responsible business build reputation and drive shareholder returns. Here is even more proof: according to APCO Worldwide’s latest research, addressing business issues such as philanthropy, community engagement and energy efficiency spur reputation growth. And a better reputation translates into bottom-line benefits: the study notes that with a mere 1 point increase on its Reputation Index, the average consumer will spend an additional $133.05 every year. What will the shareholders think of this?

The big picture these criticisms are revealing is this: Cause marketing, CSR and philanthropy are so engrained in the way businesses should – and in many cases, do – operate today, that a critic can get valuable column inches just by offering a dissenting opinion. It gets attention and starts a flurry of letters to the editor, blog posts and tweets. But as long as efforts are authentic, sustainable and core to business values and operations, leading companies will rise above the dissenters, disprove the naysayers and continue to focus on meeting the demands of the increasingly conscious stakeholders with both business and societal returns. The critics have spoken, but your actions continue to speak louder.

Did you read any of these articles?  What did you think? 


Tags: corporateresponsibility causebranding philanthropy research corporategiving

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June 11, 2010 at 1:25 PM by Research & Insights

Is the sustainability message sustainable? This is the question posed for a session Cone will lead today for The Conference Board, and as many of us in this space know, the answer is an unabashed “yes.” For those still unconvinced, here are a few supporting points:

• Investment in CR Steady: 86 percent of companies say investments in green products and green product development will be the same or higher in 2010 than 2009. (GreenBiz.com)

• Consumer Expectations Remain High: 85 percent said their expectations of companies to make and sell environmentally responsible products and services during the economic downturn was the same or higher. (Cone)

• Reporting on the Rise: Nearly 40 percent of firms on the Standard & Poor’s 500 index filed non-financial reports last year, a one-third jump over 2008. (Corporate Register)

• Experts Agree Sustainability Works: 88 percent of global thought leaders agree that improving sustainability performance improves overall brand image. (GlobeScan)

There are many telling examples that showcase how sustainability is not just holding steady, but actually gaining steam, but yesterday’s Environmental Leader highlighted a particularly compelling case. U.K.-based Marks & Spencer launched Plan A in 2007, with 100 sustainability-focused commitments to achieve in 5 years. The program has effectively weathered the economic turmoil to stay on point to meet its 2012 goal. In fact, the company has achieved 62 of its original targets and is slated to achieve all except seven by 2010 – two years ahead of its original schedule.



The company this year ALSO added 80 new or extended commitments with a goal of becoming the world’s most sustainable retailer by 2015. The icing on the sustainability cake is that not only is the company meeting or exceeding its original goals, Plan A became cost positive in 2009. This year, Plan A generated a $73 million dollar profit that was reinvested in the company. And if there's one thing that makes a corporate initiative sustainable, it's a financial return.
 
See Marks & Spencer’s “How We Do Business Report 2010” for complete details about its commitments, including candid stakeholder feedback about the activities – and, yes, responses from the company on how it’s addressing these concerns.


Tags: corporateresponsibility cone economy sustainability conferences bestpractices campaigns research

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May 28, 2010 at 12:49 PM by Research & Insights

Consumers rule the roost when it comes to online conversations. Technology, paired with low trust in business, has created the perfect environment for consumers to broadcast their objections to business practices and programs. And communicating your well-meaning cause effort is no guarantee the chatter will always be nice.


Case in point: the online backlash to KFC’s “Buckets for the Cure,” which was met with seething criticism by both consumers and seasoned cause marketers. The disconnect between the issue (breast cancer) and the product (fried chicken) was the main point of contention. As the conversation simmered, both the fast food chain and the nonprofit partner came under attack. The fact that this partnership has raised millions to-date is lost, perhaps forever, amid the perfect storm of skeptical consumers and critical chatter online.

The best defense? A good offense. Engage the would-be activists early in the process to better predict what issues could arise. In fact, our research found that consumers want to be engaged in the decision-making process for your social or environmental efforts. To help influence initiatives, consumers are willing to take part in a variety of activities, including participating in a survey (70%) or emailing, calling or talking with the company or an employee (32%). By providing these forums for consumers to voice their opinions, organizations will be better equipped to react to possible criticism and adjust their programs accordingly.

And the benefits don’t end there. When their ideas are put to work, consumers are more likely to buy those products and services (60%), feel more loyal to the organization (54%) and are more likely to recommend it to others (51%). So before you tie a ribbon on your soon-to-launch product, why not ask your consumers what they think about the cause, the nonprofit partner and the details? They’ll be eager to engage, and it may just swap a future headache for a brand halo.



Tags: research cone engagement advocacy sharedresponsibility

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May 21, 2010 at 12:21 PM by Research & Insights

For more than 30 years, we have been helping organizations address social and environmental issues (Cause Branding) and change the way they operate for maximum business and societal benefit (Corporate Responsibility). Today, we see a convergence of these distinctive yet synergistic business strategies taking place. We call this intersection of business and society “Shared Responsibility,” and believe the future of sustainable business rests in this alignment – where companies will collaborate with their stakeholders to help address the social and environmental obstacles that stand in the way of greater business opportunity.



In light of this emerging perspective, we fielded research to explore how companies can take a “Shared Responsibility” approach and more effectively collaborate with consumers to help solve social and environmental issues. The Cone 2010 Shared Responsibility Study revealed that despite great opportunity, companies are not quite making the grade when it comes to engaging consumers. Key findings include:

• Eighty-four percent of Americans believe their ideas can help companies create products and services that are a win for consumers, business and society; yet, only half (53%) feel companies are effectively encouraging them to speak up on corporate social and environmental practices and products.
• Three-quarters (75%) of Americans give companies a “C” or below on how they’re engaging consumers around key issues.
• If a company incorporated their ideas, consumers say they would be more likely to buy its products and services (60%), more loyal (54%) and more likely to recommend the company (51%).

Issues today are far too complex and significant for any single entity to address on its own. Shared Responsibility requires the combined resources, ingenuity and sweat equity of business, government, NGOs and consumers. To explore how consumers want your organization to engage them on key issues, check out the full results of the study or read more about where we see Shared Responsibility playing a role.


Tags: research cone engagement sharedresponsibility

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March 12, 2010 at 11:28 AM by Research & Insights

As more than 1.5 million nonprofit organizations in the U.S. vie for the attention of potential donors and supporters, the newly released 2010 Cone Nonprofit Marketing Trend Tracker reveals a powerful, if unexpected, ally – for-profit companies. According to the new survey, more than three-quarters (78%) of consumers believe a nonprofit’s partnership with a trusted company or brand makes a cause stand out.

 

We have long known such cross-sector partnerships benefit companies, but the results of this survey reveal the nonprofit is perched under the same halo. Not only do many consumers feel better about a nonprofit when it partners with a company (56%) – they are also more likely to support it:

• 59% of Americans are more likely to buy a product associated with the partnership;
• 50% are more likely to donate to the nonprofit;
• 49% are more likely to participate in an event for the nonprofit; and
• 41% are more likely to volunteer for the nonprofit.

American consumers are highly attuned to nonprofit-corporate partnerships in the marketplace today and, as a result, want to see the complete picture. They are seeking details of partnerships (61%) before deciding to support the cause, and they want to see results – 75 percent want to hear about the effect on the social issue or the0 money raised for the cause. In light of this penchant for detail, fewer than half (45%) think nonprofits and companies disclose enough information about their partnerships.

Leading nonprofit brands can harness the power of strategic corporate partnerships and, by offering complete details and a compelling call-to-action, enhance relationships with existing supporters and rally new cause ambassadors.

For additional results and insights from the 2010 Cone Nonprofit Marketing Trend Tracker, download the release and fact sheet from our Web site. 

Tags: nonprofitcausebranding research cone corporatepartnerships

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February 22, 2010 at 1:16 PM by Research & Insights

The following is a guest post by a Cone client. Evan Hochberg directs Deloitte’s national Community Involvement program where he provides strategic direction for philanthropy, volunteerism, pro-bono and workplace giving.

 

It has been 10 months since the Serve America Act was passed into law. During that time, the tremendous buzz created by President Obama and others on the subject of service has been palpable. However, much of the discussion has been focused on driving numbers – volunteers and volunteer hours. Today, as the corporate giving community celebrates International Corporate Philanthropy Day, I encourage the corporate philanthropy and nonprofit communities to extend the service dialogue beyond transactional goals and metrics. If volunteerism is to be a powerful driver of social impact and business value, we must focus not just on more volunteers, but on more productive volunteering.

 

It is not enough to simply encourage our employees to volunteer, when volunteerism too often equates to unskilled labor. Nonprofits are sophisticated organizations and they need more from us. When it comes to impacting critical issues through volunteerism, we must remember that this is not an area where more volunteers necessarily equals greater impact. Volunteers are a means to making a positive contribution to society, but it's what these generous people do with their time that is really important. We must design volunteer efforts that can truly make an enduring difference. For example, at Deloitte, we have developed initiatives that harnesses and contributes the best thinking of our people, including our $50 million pro bono program, our Deloitte Center for Leadership and the Community, and many other skills-based volunteering programs. By sharing our personnel’s critical business skills and knowledge, we are able to deliver more valuable outcomes to the nonprofits with whom we work and to the communities that depend upon them.

 

Deloitte has also been proud to serve as a co-convener of Reimagining Service, a coalition of leaders from the government, nonprofit and corporate sectors who seek to increase the impact of volunteers and their ability to address our country’s most pressing social issues.

Too often, talented people with good intentions are given volunteer tasks that do not leverage their skills and knowledge. A key to our success as a service nation is not just getting people to care, but also helping them figure out how they can make the greatest difference, given their time, their skills and the pressing needs of the community.

- Evan Hochberg, National Director of Community Involvement, Deloitte Services LP 

Tags: philanthropy research corporategiving

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January 29, 2010 at 3:20 PM by Research & Insights

Transparency is a critical issue for corporate leaders, one that separates the compliers from the leaders in corporate responsibility reporting. It is a difficult aspect to measure, but Corporate Knights has tried to do just that with a new and improved release of its annual study, The Global 100 Most Sustainable Corporations in the World.

 

 

The Corporate Knights added a unique measure this year, called a Transparency Indicator. The number quantifies how easy it was to find information for the 10 other Key Performance Indicators (KPIs), therefore indicating the level of disclosure companies are practicing. As Corporate Knights' editor-in-chief Toby Heaps notes, "You need to have transparency if you want people to take you seriously. Then you can get beyond platitudes and discuss issues that people really care about."

 

But Corporate Knights is not the first to incorporate transparency. In 2009, CRO based its analysis of the 100 Best Corporate Citizens on data that was publicly disclosed, but Corporate Knights took it to the next level by creating a transparency metric that factored into the overall scoring.

 

What effect does transparency have on the final rankings? At #1, GE had a 73 percent transparency rank and at #2, PG&E had a 25 percent transparency rank. It's difficult to say without further analysis, but could decreasing the transparency gap have helped PG&E rise to the top? Fortunately, Corporate Knights walked its own talk by publishing complete data tables on its Web site for you to review.

 

Tags: global corporateresponsibility research transparency

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January 22, 2010 at 11:30 AM by Research & Insights

Malaria has long been a global epidemic, with sub-Saharan Africans under the age of 5 bearing the brunt of almost all the estimated 3 million fatalities occurring every year. Nothing But Nets and similar programs have made great strides toward preventing the spread of this disease in African nations, but a cure has not yet been found.

Image: http://www.gsk.com/community/malaria/factsheets/amp_english.pdf

 
Some may say it’s a problem too big to solve – but GlaxoSmithKline (GSK) thinks otherwise. This week, the global pharmaceutical giant announced it will freely distribute its malaria research to any scientist interested in joining the challenge – marking the first time that a pharmaceutical company has made so much of its data public. What’s more, GSK will provide “open lab” placements for 60 scientists at one of its research labs and is collaborating with Medicines for Malaria Venture, a foundation focused on anti-malarial drug development. In an industry that is often highly confidential and competitive, GSK intends to use open-source collaboration to solve this epidemic.

This collaborative approach to the research process could speed solutions. As Dr. Timothy Wells of the Medicines for Malaria Venture notes, “By sharing the data, the research community…could set a new trend to revolutionize the urgent search for new medicines to tackle malaria.”

GSK is making a huge statement for the pharmaceutical industry, and for all of the corporate world, by recognizing some problems are too big and too important to solve alone.  By engaging the right stakeholders, sharing knowledge and taking a collaborative approach to critical social issues, GSK could be changing the way solutions are found for both business and society.

Tags: research engagement global sharedresponsibility disease

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January 8, 2010 at 11:58 AM by Research & Insights

 

Despite what the pundits may say, few of us are really certain what 2010 will bring – will the economy bounce back or get worse? Will nonprofits survive or fold under the fundraising pressure? Will the environmentally conscious lifestyle continue to resonate? So instead of predicting the future, we’d like to pause and look back at what has occurred in our portfolio of research – these highlights show powerful growth in just a couple of years for cause-related and corporate responsibility initiatives and may signal a positive outlook for the year ahead.

 

Cause Research:
Growth in Cause Acceptance: Americans’ acceptance of cause marketing increased from 66% in 1993 to 85% in 2008.
Growth in Global Focus: Since 1993, there has been a 6% decrease in consumers indicating they want companies to focus on the quality of life locally, within local communities and a 5% increase in desire for companies to support the quality of life globally, in countries around the world.
Growth in Differentiation: Americans' likeliness to switch to brands associated with a cause increased from 66% in 1993 to 79% in 2008.
Growth in Purchase: Consumers’ cause purchases almost doubled between 1993 and 2008, rising from 20% to 38%.

 

Environmental Research:
More Interest: 35% of Americans have greater interest in the environment today than they did one year ago.
Higher Expectations: 35% of Americans have higher expectations for companies to make and sell environmentally responsible products and services during the economic downturn.
They’re Watching You: 70% of Americans indicate they are paying attention to what companies are doing with regard to the environment today, even if they cannot buy until the future.

 

New Media Research:
More Interaction: 78% of new media users now interact with companies or brands via new media sites and tools, an increase of 32% from 2008.
Better Service: 68% feel better served by companies or brands present in new media, up from 57% in 2008.
Stronger Loyalty: 72% feel a stronger connection when companies or brands are present in new media, up from 56% in 2008.
Marketing is Okay: Consumer willingness to be marketed to via new media increased a dramatic 72% in one year - from 25% to 48%.

If the past year is any indication of what the year ahead holds, bring it on! As you plan for 2010, what questions do you have? What are you curious about? We’re listening to your comments - please share your outlook below.

Tags: corporateresponsibility newmedia causebranding environment research cone

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November 13, 2009 at 12:14 PM by Research & Insights

With all the chatter about the ups and downs of charitable giving during the down economy, it’s refreshing to hear some definitive - and positive - news. According to the 2009 Giving in Numbers Report, released this week by the Committee Encouraging Corporate Philanthropy (CECP), corporate giving was actually up during 2007-2008, despite worries that corporations would back down from charitable commitments as the economic turmoil raged in the second half of the year. What’s more, the data show that companies got creative when the economy started to sink, opting for pro bono work and skills-based volunteerism instead of simply backing down from their social commitments. In fact, the Wall Street Journal this week profiled how four chief executives at leading companies are rethinking their philanthropic strategies.

 

 

Other key findings from the CECP report include:

• A majority (51%) of companies surveyed increased giving from 2007 to 2008 despite 68 percent experiencing profit declines
• Among Fortune 100 companies, who experienced greater-than-average profit declines, 60 percent increased giving from 2007 to 2008
• Of companies surveyed, a full 91 percent report having an employee matching-gift program
• Ninety-four percent of survey respondents have at least one formal domestic volunteerism program and 49 percent of respondents have at least one formal international volunteer program
• The median number of pro bono time donated was 1,080 hours by companies that reported having such programs
• Consistent with past years, 86 percent of companies report having a corporate foundation

To download the full report for free, visit CECP’s Web site.

 

Tags: Volunteer economy donation philanthropy corporategiving research charity

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November 6, 2009 at 11:26 AM by Research & Insights

Temperatures are dropping and the holiday season is approaching, causing an outbreak of the “warm and fuzzies.” Yes, the giving season is upon us, and this year is already proving to be the most digitally driven to-date. Nearly every holiday cause campaign underway has an online component, thanks, in part, to growing consumer comfort interacting with brands via new media – up 32 percent from 2008.

Despite all the glittery online promotions, it’s important to recognize consumers are still hesitant to donate online. The 2009 Cone Consumer New Media Study showed some American new media users are concerned whether their donations will have an impact and others would rather donate offline. But that’s not to say online donations cannot be powerful. A leading holiday fundraiser and one of Cone’s Nonprofit Power Brands, the Salvation Army overcame the odds when, in 2008, online fundraising for its iconic Red Kettle campaign contributed an additional $10 million to annual revenues. However, the nonprofit was savvy enough to use new media fundraising as a complement to its offline efforts, ensuring donor comfort and convenience whatever the medium.

To help build confidence and trust among your online supporters this holiday season, keep in mind some best practices for new media fundraising:

• Demonstrate tangible impact: illustrate for consumers how their donation is being put to work by showcasing goals achieved in real-time
• Tap emotion: demonstrate why your cause is important to donors through emotionally compelling storytelling
• Provide value to contributors: don’t leave your donors hanging once they open their wallets – make them feel special by providing a badge of honor to display on their social networks or offer additional opportunities to support the cause
• Make it social: incorporate tools that make your campaign easy to share and pass along

The Big Warm Up installation, Boston

 

Doing its part to warm communities, Land’s End recently launched the Big Warm Up to encourage winter coat donations to the country’s homeless. The campaign embodies many of the best practices, having a robust online campaign that marries with its offline efforts - and, it just happens to be installed right outside our office windows.

 

Tags: causebranding donation campaigns nonprofitpowerbrand100 research top10 fundraising newmedia

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October 27, 2009 at 12:44 PM by Research & Insights

Last week, 13 winners of the 2009 Getting Attention Nonprofit Tagline Awards were announced, giving due credit to this often-overlooked but powerful marketing element.

 

Over 4,800 nonprofit professionals voted for taglines that best delivered the vision and mission of the organization, putting power in the hands of practitioners who live and breathe nonprofit branding. Winners spanned a range of issues and represented organizations that focus on local, national and international causes, indicating that any nonprofit can benefit from a clearly communicated brand.

 

A theme among the winners is a clear connection to the organization’s mission. Essentially, the winners followed the simple yet often disregarded best practice of “say what you do.” In fact, Cone’s research showed nonprofits who clearly state their issue focus in their brand names reaped the benefit of stronger consumer relevance – a key component to strong reputation. For more tips on how to foster a strong nonprofit brand, check out the "10 Essentials for Enhancing Brand Power," part of The 2009 Cone Nonprofit Power Brand 100 report.

 

For the full list of tagline winners, check out the Getting Attention blog.

 

Tags: nonprofitcausebranding nonprofitpowerbrand100 research cone nonprofit awards

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October 23, 2009 at 11:57 AM by Research & Insights

Cone’s latest research, the 2009 Cone Consumer New Media Study, shows consumers are actively engaging with companies and nonprofits through new media channels … but are they putting their money where their mouse is? The answer is divided.

 

 

When it comes to corporate responsibility practices, 62 percent of new media users polled believe they can influence business decisions by voicing opinions via new media channels. And although they report contributing their point-of-view on an issue (24%) or contacting a company directly to share feedback and grievances (23%), new media users are equally or more likely to bypass dialogue and act with their wallets:

• 30 percent indicate they have made a purchase based on POSITIVE information learned about a product, company or brand; and,
• 23 percent indicate they have switched brands or boycotted a company based on NEGATIVE information learned about a product, company or brand.

Yet, in the area of cause, consumer engagement and awareness is not fully translating into dollars. Although nearly eight-in-10 (79%) new media users believe companies and nonprofits should use these channels to raise money and awareness for causes, fewer than one-in-five (18%) have made a donation.

 

And some argue that’s quite OK.

 

As About.com’s nonprofit expert Joanne Fritz points out, using new media is “about making friends, not getting donations. If nonprofits focus on engagement first, the donations will come.” A sentiment nonprofit blogger Nancy Schwartz shares, saying she sees new media as “more about friendraising than fundraising.”

 

Do you agree – is it sufficient that new media is driving powerful awareness today, even if donations aren’t always quick to follow? Share your point-of-view by casting your vote in our latest blog poll.

 

For more information about the study, read the press release and download the fact sheets.

 

Tags: corporateresponsibility newmedia causebranding research cone trends

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October 20, 2009 at 11:40 AM by Research & Insights

Do consumers want to engage with companies and brands through new media?
Do they think they can influence corporate responsibility practices online?
Are they supporting social and environmental causes via new media?

According to the 2009 Cone Consumer New Media Study, the answer is a resounding yes … with a few caveats along the way. The new research released today explores American new media users’ interactions with brands, their engagement with corporate responsibility practices and their support of social and environmental issues.

 

This survey builds on Cone’s 2008 Business in Social Media Study, but this year, we expanded the research to explore the diverse ways in which consumers are engaging with companies and nonprofits through new media.

 

Key findings include:

• Brand Marketing: Almost 80 percent (78%) of new media users interact with companies or brands via new media sites and tools, an increase of 32 percent from 2008 (59%).
• Corporate Responsibility: Sixty-two percent of users polled believe they can influence business decisions by voicing opinions via new media channels.
• Cause Branding: Nearly eight-in-10 (79%) Americans who are active on new media believe companies and nonprofits should use these channels to raise money and awareness for causes. Yet, fewer than one-in-five users (18%) have made a donation through new media.

Read the complete release here, and visit www.coneinc.com/consumernewmediastudy to download all three fact sheets.

Tags: corporateresponsibility brandmarketing causebranding research trends newmedia

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August 3, 2009 at 3:10 PM by Research & Insights

We are humbled by Cone’s inclusion in Christine Arena’s article naming the “Foremost World-Changing Agencies” on the Fast Company Blog. Thanks to Christine for including us in her article and recognizing the hard work of our employees and clients to reach positive social and environmental outcomes.

 

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July 31, 2009 at 11:22 AM by Research & Insights

In Cone’s recent nonprofit brand report, we encouraged organizations to consider adopting “New Currencies” as an essential element to help boost their brands.  These alternative forms of philanthropy include non-cash support such as in-kind donations, pro bono service and skilled volunteerism.  Every organization needs dollars-in-hand to fulfill its mission, but when the financial resources of companies and consumers are dwindling, savvy nonprofits recognize the value to be found in more creative tender.  These currencies allow organizations to expand the scope of sponsorships and engagement opportunities, and foster relationships even when traditional financial contributions are waning.  At a time when the nation is flush with volunteers – according to a new study from the Corporation for National and Community Service, Americans donated 8 billion hours of volunteer time in 2008 – this trend likely won’t reverse even when the economy recovers.

 

 

The Center on Philanthropy at Indiana University found these philanthropy vehicles to resonate particularly well with Gen X donors.  Citizens in their 20s and 30s are more interested in social advocacy and engagement philanthropy and are more likely to want to work directly with organizations instead of just donating money.

 

The future landscape of philanthropy will include the next generation of not only high net-worth donors, but high-engagement contributors who want to offer their skills and engage in a more meaningful way.  As this shift occurs, nonprofits will need to prepare to accommodate this influx, including establishing the necessary space, guidance and structure for eager volunteers, a challenge many organizations are already experiencing.  Yet, for this effort comes the reward: the valuable assets skilled volunteers can provide include legal advice, IT support and consulting services, to name a few.

Tags: economy research donation nonprofitpowerbrand100 corporategiving

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July 24, 2009 at 11:10 AM by Research & Insights

Worldwide, a record number of companies are reporting on their sustainability performance. Whether these companies are reaching their employees with these messages is another story.

 

 

Two new studies uncover a disconnect between corporate responsibility efforts and employee awareness. According to a Public Policy Polling survey, nearly one-quarter (24%) of survey participants indicated their company has made sustainability a top priority in business decisions, yet only 17 percent said sustainability efforts are frequently communicated to the workforce. The 2009 Corporate Citizenship Survey, conducted by a group of firms, found a more startling figure – a full 70 percent of employees say they are not aware of any socially responsible practices their own employer is taking. A company’s social and environmental practices can affect everything from recruitment to employee pride, loyalty and retention, so inadequate communication has far-reaching implications inside a company’s own walls.

 

What’s more, employees serve as natural brand ambassadors for their organizations. Failure to adequately educate them about corporate responsibility efforts and initiatives hinders a powerful, cost-effective and credible channel for reaching consumers and other external stakeholders.

 

Tags: environment research engagement employees corporateresponsibility

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July 10, 2009 at 12:14 PM by Research & Insights

Organic, non-GMO, 100% recycled, “oh my!” By default, supermarkets are getting a rapid makeover as companies strive to become more responsible.

 

 

To start, shoppers can likely expect an influx of organics on local shelves, as it’s been identified as the No. 1 food trend of the coming decade, far surpassing easy meals and low-calorie labeling. With a market already estimated at more than $23 billion annually, there is no doubt that continued consumer interest will have companies rushing to capture a piece of the expanding pie.

 

Not to be outdone, Whole Foods is adopting a non-GMO verification for all its private-label products and is expected to begin rolling out new packaging later this year. Executives note that although the verification is not required, they hope it will help consumers make more informed purchase decisions.

And the momentum in the supermarket doesn’t end with the product itself. Earthbound Farm and Naked Juice separately announced they are raising the bar by converting to 100% post-consumer recycled plastic packaging. "These are major consumer brands using recycled content," says Anne Johnson, director of the Sustainable Packaging Coalition, in an article in USA Today. "It's a big deal." For its part, Earthbound Farms explains the move is about marrying its organic food with a responsible image. The switch has happened in light of research that found environmental packaging by food companies to be the third most important purchasing factor for North American consumers — ranking slightly below freshness of ingredients and additional health benefits.

Tags: corporateresponsibility research trends

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June 25, 2009 at 12:05 am by Research & Insights

Since yesterday’s launch of The Cone Nonprofit Power Brand 100, we’ve had many great discussions about the research. Every conversation starts with the same question. “What is it about the Top 10 that makes them the Top 10?” The answer, in a word, is ENGAGEMENT.

Whether 100+ years old, or newer kids on the block, these nonprofits are experts at leveraging multiple points of consumer engagement. Many have bricks-and-mortar facilities (YMCA, The Salvation Army, American Red Cross, Goodwill, Boys & Girls Clubs) or in-your-face marketing (Habitat, American Cancer Society) that keep them top-of-mind with consumers, donors and other stakeholders.

 

Other common threads include:

• Their services have broad appeal to an array of stakeholders
• They are entrenched in hundreds or even thousands of local communities across the country with extensive consumer touch points
• They provide a credible voice and are a sought-after resource to help in difficult times
• They have successfully partnered with companies to reach a broader array of constituents with a clear call-to-action
• They have derived significant revenue through cause commerce (selling goods or services that help fund their cause)

It’s also notable that six of the Top 10 Nonprofit Power Brands are domestic social needs organizations (The Salvation Army, United Way of America, American Red Cross, Goodwill Industries International, Catholic Charities USA and Habitat for Humanity International). This sector is thriving as Americans turn their attention homeward since the devastating disasters of September 11 and the 2005 hurricane season. And, in these tough economic times, individual support of nonprofits providing life’s basic necessities has actually increased, and we expect this sector and its organizations will only sustain their upward momentum.

Visit our Web site to get branding insights straight from the Top 10, or to hear from the CEOs of the United Way, Catholic Charities and the American Cancer Society.

Tags: research top10 cone nonprofit engagement nonprofitpowerbrand100

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June 24, 2009 at 12:11 PM by Research & Insights

The Cone Nonprofit Power Brand 100 is officially in the marketplace, and not surprisingly, amid all the chatter about who is ON the list, there is some about who is NOT. So, how did we choose the 100 leading organizations to evaluate? The answer is quite simple- we used Forbes 200 Largest Nonprofits list to give us a starting point. Check out additional info on the filter criteria.

 

We looked at 100 impressive organizations, but in the end that’s a fraction of the 1.5 million total nonprofits in the U.S., so there are bound to be some favorites that aren’t on the list. To the right, on our blog poll, we’ve listed a few notable absences. Who did you miss?

Tags: research cone nonprofit nonprofitpowerbrand100

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June 23, 2009 at 5:40 PM by Research & Insights

• The YMCA of the USA’s brand is worth almost $6.4 billion, making it the nation’s most valuable nonprofit brand.
  
• The American Cancer Society is the single most relevant nonprofit among American consumers.
  
• The domestic social needs sector is the most valuable nonprofit sector in the nation.
  
• Yet, by not fully leveraging their powerful brands, some nonprofit organizations may be leaving millions of dollars in potential unearned revenue on the table.

 

Intrigued? Then check out Cone’s latest research – The Cone Nonprofit Power Brand 100 – released today. In collaboration with Intangible Business, Cone valued the brands of some of America’s leading social, environmental and animal organizations. We’re excited to share with you this first-of-its-kind research that explores the unique relationship between nonprofit brand image and financial performance, which culminates in the nation’s first complete list of the top 100 nonprofit brands.

 

On the Cone Research and Insights page, we share the complete list and accompanying report, as well as much more, including insightful commentary from the CEOs and executives of many of the Top 10 organizations (for a sneak peak at the Top 10 list, see below).

 

We’ll discuss the research in greater detail right here in the coming days, but first we encourage you to take a look. Feel free to share your thoughts with us here – we’re looking forward to a robust discussion around nonprofit brand value.

 

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June 11, 2009 at 4:48 PM by Liz Gorman

The other day I was chatting with a reporter who was doing a story on the Federal Trade Commission’s (FTC) latest efforts to crack down on companies that make bogus “green” claims about their products. Specifically, the FTC is going after Kmart for claiming that its American Fare private label brand of paper plates is biodegradable. The FTC challenged Kmart, not because it questioned whether the paper plates actually decompose. Instead the complaint was issued because of the way Americans typically dispose of their trash.

Enter TerraChoice’s list of greenwashing sins. The FTC called Kmart out because it says the biodegradable claim is irrelevant, sin number five of seven common offenses. 

 

 

At issue is the mindset of consumers and whether they assume the paper plates will actually decompose after use. When the plates are tossed in the trash, as the FTC believes they will be, they will likely be sent to landfills and buried in deep holes where they won’t see the light of day. Without exposure to the elements of nature, they can’t possibly decompose in a reasonable period of time.

I have to wonder what Kmart was thinking. Perhaps Kmart sees a future when curbside pick-up of household organic compostable waste is the norm. This service already exists in a handful of municipalities in the U.S. Along with garbage and recycling pick-up, some residents are getting their yard, food and biodegradable paper waste also collected and sent to compost facilities where these materials are turned into soil enrichments for gardens.

But maybe Kmart was simply doing what other brands do when they claim their products are “eco-friendly.” According to TerraChoice’s 2009 research, 98% of the green product claims being made are vague, unsubstantiated, conceal any unpleasant trade-offs, use bogus certification labels or are just plain fibs. All of this has consumers confused and often misinterpreting the claims that companies are making, Cone found in its 2008 Green Gap Survey.

Kmart may be the victim today. But as the FTC continues to investigate instances of greenwashing, we can expect that more brands will receive the same treatment. It may take some time to bring order to the green marketplace so consumers can actually trust the products they purchase. Until then, I suggest that consumers beware!

 

- Liz Gorman, VP

Tags: research Trust FTC Greenwash

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June 5, 2009 at 2:49 PM by Research & Insights

Business leaders who hold traditional beliefs about the role of business in society continue to use the economic crisis to espouse their conviction that the primary responsibility is to do well, not good. In their recent BusinessWeek column, Jack and Suzy Welch argue just this. It’s not as one-sided of an argument as we often see, but the point is clear: profit begets purpose, not the other way around. If a rash of new M.B.A. programs is any barometer, however, fresh thinking is on its way in.

 

Case in point—a story this week about Harvard Business School’s creation of “The M.B.A. Oath.” This promise “to serve the greater good” was organized by students and 20 percent of the program’s 2009 graduating class has opted to take it. Student advocates of the oath hope to establish a formal code that all future graduates will be required to uphold, similar to the Hippocratic Oath for physicians or the pledge taken by lawyers to uphold the law and Constitution.

 

 

M.B.A. professors, too, are recognizing the shift in attitudes among today’s students, and schools have ramped up courses and created new centers focused on ethics and corporate responsibility to satisfy the increased demand. Business school professors agree “they are seeing a generational shift away from viewing an M.B.A. as simply an on-ramp to the road to riches” and are viewing “business as more than a money-making enterprise, but part of a large social community.” This trend shows that future leaders may well care about more than just profits, and feel a stronger sense of responsibility for the good of society.

 

It’s not just corporate responsibility seeing this shift in thinking. Enrollment in climate-focused M.B.A. programs is surging, graduates are opting for careers in community organizing and public service agencies such as Teach For America and the Peace Corps are experiencing a swell in applications. In fact, research shows that M.B.A. students are willing to sacrifice an average of 14.4 percent of their expected compensation to work for a responsible company.

 

There is little doubt that corporate America’s attitudes will shift even further when these graduates become leaders. Dare we predict consumer perceptions of corporate America will follow?

 

Tags: economy research trends corporateresponsibility MBA

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April 3, 2009 at 12:30 PM by Research & Insights

Citizen volunteerism is growing at a rapid rate, fueled by the poor economy, President Obama’s public call-to-service and allocation of stimulus dollars to government-funded service programs. But the time is also right for a surge in corporate volunteerism.

We know employee volunteerism is a valuable way for companies to give back to their communities and boost morale among employees, and a new study released by the Taproot Foundation’s Pro Bono Action Tank (PBAT) and the Committee Encouraging Corporate Philanthropy (CECP) provides a helpful standard for companies to better measure their contributions.

 

This valuation, of what can be an ambiguous line item for businesses that aren’t professional services firms, may provide the incentive they need to send more employees to serve their communities. The standards will allow corporations to more accurately track and report the value of pro bono services as cash equivalents, according to Charles Moore, executive director of the CECP.

As the old business axiom goes, what gets measured gets done.

 

Tags: Volunteer economy research

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March 27, 2009 at 1:11 PM by Research & Insights

New research finds that 63 percent of workers in the U.S. feel their companies should be doing more to reduce their power consumption. A simple step? Power down PCs.

The PC Energy Report 2009 found that businesses in the U.S. are wasting $2.8 billion a year in energy costs by failing to turn off computers. According to the report, “If all the world’s 1 billion PCs were powered down just one night, it would save enough energy to light up New York City’s Empire State Building – inside and out – for more than 30 years.” Shutting down office computers during the evenings and weekends when they are not in use can save individual organizations thousands of dollars each year, while helping to minimize overall office energy use.

This weekend is a perfect time to start. Saturday, March 28th marks the third annual Earth Hour event – a global initiative organized by the World Wildlife Federation to raise awareness about climate change. At the time of this story, an impressive 2,848 cities, 21,014 businesses, 6,299 organizations and 8,742 schools within 84 countries signed up to participate by turning off their lights between 8:30 and 9:30 p.m. local time on Saturday.

 

Take this symbolic act, which is designed to raise awareness, a step further to something that can have a sustained impact on your energy use and your bottom-line: encourage all employees to ensure their computers and monitors are turned off for the entire weekend. Earth Hour is an awareness builder, but only if it translates to true, ongoing action.

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March 20, 2009 at 11:33 AM by Research & Insights

The Salvation Army’s annual holiday fundraising drive, with its iconic red kettles, hand bells, and volunteers in Santa suits collecting change, seemed to defy the odds this holiday. Despite a retail season with lighter foot traffic and pockets with fewer coins to spare, the Salvation Army reported record fundraising in 2008, bringing in $130 million.  That’s 10 percent higher than 2007, which represents the largest one-year jump in revenue growth in more than a decade. With the economy on the brink of a meltdown, how did the Salvation Army achieve record-breaking fundraising?

 

It innovated. The Salvation Army stretched pocket-change fundraising to new heights, elevating its strategy to a multi-channel, highly engaging program.

 

First, it recognized the power of younger donors and sought them out where they were already plugged in- online via social networks and through their mobile devices. The 2008 program included the ability to donate online, to spread the word via social networking sites and to download an iPhone application specifically developed for the campaign. Other high-tech advancements in the signature red kettle collections included regional testing of “cashless kettles,” which accepted credit or debit cards and “mobile giving,” which allowed consumers to text donations from their cell phones.

 

 

The Salvation Army leveraged these online capabilities and went viral by providing turn-key online fundraising toolkits and incentivizing consumer participation. The Online Red Kettle Campaign provided tools such as email templates and widgets and featured the top fundraisers on its Web site. Internet giving alone brought in $10 million in 2008.

 

At the same time, the organization stayed true to more traditional means of fundraising and awareness by engaging the teen-idol band the Jonas Brothers, leveraging several corporate partnerships including Wal-Mart and Target and never forgeting its volunteer base of 25,000 on-site bellringers.

 

Research shows that consumers are generally giving the same this year but to fewer organizations.  By mixing traditional fundraising tactics with new digital approaches, the Salvation Army was able to tap those with money to give and came out of the season further ahead than ever before.

 

For more fundraising tips beyond the holiday season to use throughout 2009, read our latest article, Fundraising Remedies for the New Economy.

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March 13, 2009 at 1:29 PM by Research & Insights

A new report confirms short-term price cuts do little to breed customer trust or loyalty. In fact, the Yankelovich poll says, they can actually be damaging to your brand. Seventy percent of respondents said that price cuts probably mean the brand is overpriced to begin with or the company is just trying to move old product. “People are suspicious if you significantly discount your brand,” explained J. Walker Smith, president of Yankelovich Monitor. “If you make significant changes in your value proposition it can confuse them. You have to give them reasons to buy stuff as opposed to just lowering prices as a knee jerk reaction to the economy.”

 

 

But how can companies appeal to penny-pinching consumers who, at the same time, are seeking greater value? Forbes reports on several alternative ways companies are helping recession-weary Americans get back on their feet:

• FedEx, hoping to help those affected by layoffs, offered to print 25 free resumes for customers looking for a new job
• Hyundai offered to buy back cars purchased before a layoff
• The New Jersey Nets offered free tickets to unemployed fans who posted their resume to the team’s online job site
• JetBlue is refunding tickets for customers who lose their jobs after booking flights
• CitiMortgage (subsidiary of CitiGroup) offers three months of reduced mortgage payments for newly laid-off borrowers
• Various restaurants are running “Pink Slip” promotions, including Laiola Restaurant in San Francisco who offered a free meal to anyone who was recently laid off

Rather than slashing prices across the board, these companies are zeroing in on opportunities to show they care and to make life a little easier for consumers. For their effort, they will reap the reward of having a loyal customer base once the market turns around. Consumers who take advantage of companies’ generosity in their time of need are likely to return when they do have money to spend.

Have you seen other examples of companies stepping up? Tell us about it!

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March 6, 2009 at 11:38 AM by Research & Insights

Business and consumer news could hardly be more grim, but corporate environmental efforts seem to be coming through relatively unscathed. Companies are maintaining their investments and consumers continue to buy.

So why is “green purchasing” proving so resilient?

Three driving forces:

• Small Change – Companies are providing easy, cost-effective opportunities for consumers to make a difference through everyday purchases and activities (e.g, Marriott’s “Celestial Seasonings Trees for the Future” and the ongoing success of Clorox Green Works).
• True Value – Consumers evaluate much more than price when determining a product’s “value.”
• EcO-bama – The Obama administration’s continued attention to environmental policies and green stimulus spending have brought complex environmental issues into living rooms across America.

 

Trendspotting.com also lists 12 of its own eco-trends fueling today’s “eco-bounty” in its latest trends report, but we want to know what you think. Why does consumer environmental purchasing continue to grow despite the economy? Vote in our poll, located on the blog sidebar, and share your thoughts on what is motivating consumers to shop with the environment in mind even as they pinch pennies.

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February 20, 2009 at 10:55 AM by Research & Insights

Economy does not eclipse environment. It’s not a tongue-twister; it’s the very real, very encouraging takeaway from Cone’s newly released research, the 2009 Cone Consumer Environmental Survey. The brief survey explored the environmental attitudes and shopping behaviors of American consumers during today’s economic crisis and found that American interest, shopping habits and expectations of companies to act responsibly have not been blunted by the state of the economy. Key findings include:

• Purchasing: 34 percent of American consumers indicate they are more likely to buy environmentally responsible products today, and another 44 percent indicate their environmental shopping habits have not changed as a result of the economy
• Interest: 35 percent of Americans have higher interest in the environment today than they did one year ago
• Expectations: 35 percent of Americans have higher expectations for companies to make and sell environmentally responsible products and services during the economic downturn

Another key takeaway: Even if they are not buying today, consumers are still holding companies accountable for their sustainability efforts over time. A full seven in 10 Americans say they are paying attention to what companies are doing regarding the environment today, even if they cannot buy until the future.

As Andrea Learned states on her blog, “Don’t assume your brand can give up on ‘green’ to ride out these tough times. If your customers are sticking to their environmental ways through thick and thin (or at least trying very hard to so do), they’ll expect you to do the same.”

Please click here to access the complete 2009 Cone Consumer Environmental Survey release and fact sheet.

To see Cone’s past consumer environmental research, including the 2007 Cone Consumer Environmental Survey and the 2008 Green Gap Survey, please visit www.coneinc.com/research.

 

 

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February 13, 2009 at 1:18 PM by Research & Insights

We often talk about consumers’ inclination to purchase cause-related products, but Cone’s 2008 Cause Evolution Study found that a corporate-nonprofit partnership is also a valuable tool for activating consumers in other important ways. After learning about such a partnership, 42 percent of Americans are more likely to tell a friend about the charity, 36 percent are more willing to donate money and 23 percent are more likely to donate their time to volunteer for a cause.

Time is a precious commodity in today’s 24/7 society, so it is hardly surprising that volunteerism falls toward the bottom of the spectrum. What is somewhat troubling is the “service gap” that Porter Novelli’s latest Styles research uncovered. It shows a significant difference between the causes Americans find personally relevant and those to which they are most likely to give their time- up to a 64-point gap for certain causes. This disconnect, and 2009’s strong call for service by all sectors, presents a great opportunity for companies and their nonprofit partners to take their cause programs to the next level and to better engage consumers beyond product sales and donations.

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January 9, 2009 at 3:19 PM by Research & Insights

We’ve commented over the past few months about why and how cause marketing is an increasingly valuable strategy to drive consumer trust and loyalty for companies as the economy worsens.  No doubt it remains a win-win strategy for nonprofit organizations, as well.  Cause can dramatically increase sales (resulting in funds for both the corporate and nonprofit partners), but its power to drive awareness may be even more feasible and enticing to nonprofits right now.  In a recent news blurb (“’Idol Gives’ The Donations – Finally,” January 1, 2009), The NonProfit Times reports that American Idol Gives Back, the highly publicized cause effort in which millions of viewers helped raised more than $64 million in 2008 for several charities, has finally awarded the donations to the organizations, a full six months later.  What struck us about the article, however, is not the time it took to allocate the money, but this quote by Malaria No More’s communications director, “The exposure on American Idol is invaluable for a disease like malaria…You can’t put a price tag on the ability to educate more than 30 million Americans about a crisis halfway around the world in the context of their favorite TV show.”  He concludes, “We were flooded with interest and support.”

 

 

 

Unfortunately, Malaria No More and the other nonprofit recipients won’t have the benefit of such a forum courtesy of American Idol this year.  It has been reported that Idol Gives Back won’t air this season, likely as a result of the recession.  Beyond the millions of dollars raised directly, the decision is also disappointing because it takes away a powerful outlet for awareness-building for several worthwhile organizations.  Here’s why:

Cone’s research confirms that upon learning about a corporate-nonprofit partnership, 42 percent of Americans are more likely to tell a friend about the charity, 36 percent are more likely to donate money, 29 percent are more likely to participate in the charity’s programs and events and almost a quarter (23 percent) are more likely to volunteer.  Shopping aside, the exposure that cause marketing programs bring to nonprofit organizations and social and environmental issues is tremendous.      

Let’s hope American Idol reconsiders its decision in 2010, and in the meantime, others step in to be a voice that can help deliver both funds and awareness for nonprofit organizations addressing critical issues.

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January 6, 2009 at 3:18 PM by Cone Communications

On Dec. 30th, the US government expanded its multi-billion dollar bail-out of the auto industry with a $6 billion capital extension to General Motors’ finance division. It did this with the underlying fear that the company and its counterparts, Chrysler and Ford, may not survive the year and with the knowledge that a majority of Americans (6 in 10 according to a CNN/Opinion Research Poll conducted on December 3, 2008) are opposed to using taxpayer money to fuel a turnaround. 2008 was, no doubt, one that will remain etched in history as a year of reckoning. But, what real change will transpire in the New Year? Will 2009 be a turning point?

 

 

Indeed, a sea change may be on the way. Some influencers, like John McLaughlin, political commentator and host of The McLaughlin Group, have gone as far as to predict the rise of a new era of socialism, saying:

“Capitalism… will be the ultimate casualty of the global economic crisis of 2008. Governments everywhere are implementing socialist measures. The golden age of capitalism is kaput. Managed capitalism is what rules.”

Others, like President-elect Obama have proposed solutions to the culmination of events in 2008 via government-led regulatory reforms for business, as well as increased public and private social responsibility. Whether it be in the form of increased assistance to the underprivileged through tax relief, improved health care access and making universal early childhood education available, or the call for new personal engagement in local civic programs, charitable giving and volunteerism – the focus on the greater good for the incoming administration is unmistakable.

 

If changes like these take place, we might expect to see the role of corporations in cause-related activities to be diminished as government and individual involvement increase in caring for communities. However, as Ed Moed points out in his blog Measuring Up, brand reputation is a critical driver in purchase decisioning and consumer confidence. Certainly, companies that have acted unethically, are associated with failures as massive as the Big Three and are not perceived to be giving their fair share back to the communities and consumers that support them are likely to continue to be punished. In a down economy, price and quality will undoubtedly rule. But in fact, Cone’s recent research shows that most Americans (78%) believe companies should maintain or even increase their financial support of causes during a down economy, proving that significant consideration will be given to those that act in accordance with the newly re-birthed American commitment to the greater good.

 

How this is defined remains to be seen. Will it be manifested in greater compliance with environmental standards, increased fair wage and benefits offers, more transparency in financial and business reporting, new focus areas for strategic philanthropy, etc.? Will consumer expectations change? Will government be effective in incentivizing reform? The true answers will reveal themselves in the months and years to come. Since it’s a perfect time to make resolutions, I am going to resolve to hope and prepare for the best.

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December 31, 2008 at 10:57 am by Research & Insights

Some say the tradition of a midnight kiss on New Year’s Eve ensures good tidings in the coming year- and this year, Proctor & Gamble will ensure this is true for the benefactors of Operation Smile. For every kissing couple spotted on their Scope “ Kiss Cam ,” the packaged goods giant will make a donation to the nonprofit, which raises money to treat childhood deformities. This campaign is not only a great way to promote their mouthwash product when people are likely to get up close and personal with one another, but also a wonderful way to give back during the holidays.

 

 

The cause partnership will be carried into the New Year with an in-store promotion to benefit Operation Smile through March 2009. Scope’s brand manager anticipates they will raise enough money to help 200 children.

During these hard financial times, various companies are digging deeper to give back, with the hopes of not only making a difference in the lives of others, but also hoping to benefit from the additional reputational boost during times that are also tough on business. Cone’s 2008 research shows that 85% of Americans accept cause-related marketing such as the P&G “Kiss Cam” donation to Operation Smile, and 78% think businesses should continue to give the same or even more during tough economic times. Further creation of authentic, relevant and meaningful cause programs will be critical in the coming year, as businesses continue to compete for consumer attention during a time of tightening wallets. It will be the recognized leaders in charitable giving during hard times that will be strongest coming out of the economic downturn, making now more critical than ever for businesses to show they care.

 

Happy New Year!

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September 30, 2008 at 11:00 am by Cone Communications

Kristian Darigan spent the month of June researching CSR in China.  This post is the final of a four-part series where she will share her experiences and insights.

Due to the length of this series, each section will now be available in pdf form.  To access the pdf of Part IV, click here.

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September 18, 2008 at 11:59 am by Cone Communications

Kristian Darigan spent the month of June researching CSR in China.  This post is the third of a four-part series where she will share her experiences and insights.

Due to the length of this series, each section will now be available in pdf form.  To access the pdf of Part III, click here .

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August 26, 2008 at 10:05 am by Cone Communications

Kristian Darigan spent the month of June researching CSR in China.  This post is the second of a four-part series where she will share her experiences and insights.

Due to the length of this series, each section will now be available in pdf form.  To access the pdf of Part II, click here.

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August 14, 2008 at 9:58 am by Cone Communications

Kristian Darigan spent the month of June researching CSR in China.  This post is the first of a four-part series where she will share her experiences and insights.

Due to the length of this series, each section will now be available in pdf form.  To access the pdf of Part I, click here .

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August 2, 2008 at 10:25 am by Cone Communications

The turn of the 21st century has brought a significant shift in the balance of world markets. China, for years stymied by the economic isolation of the Maoist era (1949-76), has re-emerged as a powerhouse. For the country, the 1980’s were fueled by the opening of commerce to western business, which set off an evolution from a “planned” to “market” economy. The 1990’s were set apart by the redevelopment of Shanghai as a modern, global business epicenter and new benchmark by which other Chinese cities would work to similarly cultivate what Vice Minister Fu of China’s Ministry of Commerce called “5,000 years of history living with modern technology.” The 2000’s, built on this, have ushered in China’s joining of the World Trade Organization and the United Nation’s Global Compact, along with an incredible transformation of the country and its people.

 

Major contributing factors to this, include:  an economic boom driven by an effective government that has made constitutional amendments to ensure the adoption of a market economy and provided essential supports to speed growth; a new reflection on determining China’s ultimate purpose, with a renewed commitment to creating a “harmonious society”  through the adoption of corporate responsibility standards, new forms of cross-sector collaboration and prioritized efforts to close the gap between the countries haves and have-nots and an unprecedented “opening” of the government, allowing increased communications and a relative free-flow of information, fueled by the rampant rise of blog use among the Chinese.

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May 2, 2008 at 12:17 pm by Research & Insights

Conferences, seminars and offsites have long been part of the corporate lexicon when it comes to professional development (to a tune of over $100 billion annually), but an increasingly powerful tool in the employee training arsenal is volunteerism .

 

Traditional employee volunteerism is alive and well, but some of today’s leading corporate programs are facilitating more strategic skills-based volunteerism in which specific business expertise (e.g., marketing, accounting) is applied to help nonprofits around the world solve complex problems and work more effectively.  By lending talented staff, the return on investment for business is a more content employee whose skills have been sharpened and whose professional perspective is enhanced.

 

Yet, as is often the case in such initiatives, there is a disconnect between rhetoric and reality.  According to Deloitte’s* fifth annual Volunteer IMPACT Survey , the vast majority (91 percent) of Fortune 500 HR managers believe skills-based volunteering adds value to training and development programs, but only a handful (16 percent) intentionally and regularly offer such opportunities to employees.

 

Companies should strive to minimize this gap because skills-based volunteerism is a thoughtful, cost-effective approach to advancing institutional knowledge and developing the next generation of corporate leaders. 

 

*Deloitte is a Cone client

 

Thie insights brief is part of Cone's weekly roundup of cause, corporate responsibility, philanthropy and volunteerism news.  To subscribe, please email skerkian@coneinc.com

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November 30, 2007 at 2:46 pm by Research & Insights

According to this year’s Cone Holiday Trend Tracker , most Americans (71 percent) are motivated to purchase cause-related gifts this season because they want to introduce a cause they care about to others.  A number of organizations are providing opportunities for consumers to fulfill this need by offering gifts that allow recipients to make a donation to the organization or cause most relevant to them.  A few of the programs we’ve learned about this week include:

 

• Network for Good’s “ Good Cards ”
• Global Giving’s biodegradable, charitable gift cards
• ChangingthePresent.org , where consumers can purchase donation gifts for their friends and family from $2 to $5,000

 

Some companies, too, are offering gifts with a charitable or environmentally sensitive edge, including:

• MasterCard-branded “ GiveCard ”
• Barneys “ Give Good Green ”
• Hallmark’s part in the (PRODUCT) RED campaign

 

However, the Holiday Trend Tracker also found that while nearly half (49 percent) of survey respondents proactively seek opportunities to purchase gifts associated with a cause, a full 71 percent say they are not aware of what companies are doing to support causes around the holidays.  As holiday shoppers seek opportunities to make a difference with their purchases, companies must make a concerted effort to tell consumers not only what they as a company are doing to support a cause, but also how their consumers can get involved and the specific impact they stand to make.

 

*This insights brief is part of Cone's weekly cause and corporate responsibility newsletter.  If you are interested in receiving the newsletter, please email skerkian@coneinc.com .

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November 15, 2007 at 3:19 am by Cone Communications

Take my word for it...

I cannot tell you how many times I am asked for statistics to support the business case for cause and corporate responsibility, outside of our own. The good news is there are many other organizations that also have done terrific work to advance the field.  Here is a quick sampling of some global statistics (and related studies) out there:

• 82% of citizens worldwide agree that companies should do more than give money to solve social problems. (Corporate Social Responsibility Monitor, 2003)
• In forming impressions of companies, people around the world focus on corporate citizenship ahead of either brand reputation or financial factors. (Environics International, Millennium Poll, 2000)
• 76% of consumers would switch brands to one that practices social responsibility. (Edelman, Corporate Social Responsibility Study, 2001)
• 42% of North American consumers reported to have punished socially irresponsible companies by not buying their products, compared to 25% in Europe, 23% in Latin America, 18% in Africa, 10% in Eurasia, and 8% in Asia.  (Environics International, Global Public Opinion on the Changing Role of Companies, 2001)
• A strong majority of opinion elites say they have purchased a company’s products and services (72%), and have recommended the company to others (61%), in response to positive news about a company’s social responsibility.  (APCO Worldwide, Global CSR Study, 2004)
• 60% of opinion elites have boycotted a company’s products or services in response to negative news about a company’s social responsibility.  (APCO Worldwide, Global CSR Study, 2004)
• 14% say they have purchased shares of a company’s stock in response to positive CSR information, and a similar proportion (12%) have sold shares in response to negative news. (APCO Worldwide, Global CSR Study, 2004)
• Three-in-10 shareholders strongly agree that they would sell their shares in a company if it behaved socially irresponsibly, even if the share earnings were significant. (Corporate Social Responsibility Monitor, 2002)
• 88% of international executives agree that social responsibility initiatives contribute a significant amount to their company's overall reputation. (Hill & Knowlton, Corporate Reputation Watch: Global Survey of Business Leaders’ Views on Corporate Reputation Management, 2002)
• More than 70% of CEOs surveyed believe that mainstream investors will have an increased interest in corporate citizenship issues. (Why Global Corporate Citizenship Matters For Shareholders: A Survey of Leading CEOs, 2004, World Economic Forum)
• Executive perceptions of public expectations include (The Center for Corporate Citizenship, The State of Corporate Citizenship, 2003-2004):
  - 75% of businesses believe the public expects them to exceed the law to make sure products are safe and reliable
  - 58% of businesses believe the public expects them to exceed the law to protect the environment
  - 53% of businesses believe the public expects them to contribute time and money to address community needs
  - 53% of businesses believe the public expects them to be involved in solving problems in society
• 56% of respondents worldwide found a company’s social responsibility to be important in forming their opinion of that company, while only 34% found business basics to be important. (The Conference Board of Canada, Revered or Reviled: How Corporate Social Responsibility Can Affect Your Reputation, Choquette and Turnbull, 2000)

And this, of course, is just the tip of the iceberg. Please post your compelling facts as you have them here to help advance the dialogue and make a greater impact.

-Kristian Darigan

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October 19, 2007 at 1:37 pm by Cone Communications

Awards are a wonderful way to share best practices and innovations with other professionals and advance the field.  They also can be extremely helpful in garnering speaking invitations, securing industry press and, correspondingly, future financial support for your efforts.  One way to make sure the great work and advances you have made are continuously shared is to include award writing as a regular tactic into your communications plans under the heading of overall leadership positioning.  Below is a running list of organizations that do a great job of both recognizing excellent work and sharing key learnings.  Please feel free to add to the list, so we can continue to learn from one another.   

   

Association for Fundraising Professionals' Awards

BizBash Event Style Awards

Cause Marketing Golden Halo Awards

Committee to Encourage Corporate Philanthropy Excellence in Corporate Philanthropy Awards

CRO's Business Ethics Award

Fast Company Social Capitalist Awards

National Health Information Awards

Peter F. Drucker Award for Nonprofit Innovation

Points of Light Awards for Excellence in Workplace Volunteerism

PR News CSR Awards

PR News Nonprofit Awards

PR News' Platinum PR Awards

PRWeek, PR Week Awards

The American Business Awards - American Business ("Stevie") Awards

The Conference Board, Inc. - The Ron Brown Award for Corporate Leadership

The Holmes Report, SABRE Awards

US Chamber of Commerce - Corporate Citizenship Award

   

-Kristian Darigan

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October 11, 2007 at 10:55 am by Alison

As I shop the grocery aisle with my six-year-old son, I am constantly reminded about the power that the next generation will have on the world.  I am not exaggerating when I tell you he looks for General Mills Box Tops for Education Labels when he clamors to fill up my grocery cart.  He even has the core message down, “Mom, for every label that you redeem, I will get money for my school for needed stuff.”  What started as a loyalty program targeting mothers in 1996 has turned into a grassroots movement with children in the driver’s seat.

 

A few weeks ago, MTV announced it will launch a new Internet social network to encourage youth activism. It is being backed with funding from the Case Foundation and the Bill & Melinda Gates Foundation.  The site, Think.MTV.com, is actionable and relevant to young people.  It aims to inform as well as let users connect with other like-minded people on issues from the environment to sexual health to discrimination.  MTV is putting a lot of muscle behind this as thinkMTV co-sponsored the musical event at the Apollo Theater to cap off the Clinton Global Initiative Summit.  Former President Clinton, Bono, Wyclef, Shakira, Chris Rock and Alicia Keys were all in attendance to reinforce the importance of individual action.

 

This effort reflects a trend that Cone has identified and tracked since conducting our 2006 Cone Millennial Cause Study .  Our research found that Millennials care, want to get actively engaged and want to see the impacts of their efforts.   

 

Our research found that 80 percent of those surveyed have volunteered their time over the last year to support a social or environmental cause, participated in a fundraising event or written a letter to a company and/or the government in support of a cause.  However, Millennials question whether their efforts are making a lasting impact.  As a generation that expects immediate gratification and feedback, Millennials need to learn about and/or see an immediate benefit from their actions.

 

Several pioneering companies, such as ALDO, have harnessed the passion of young people not only to help solve social issues, but also to create the strongest brand ambassadors.  Our research also found that after learning a company is socially and/or environmentally responsible: 83% of Millennials are likely to trust the company more, 79% are likely to purchase that company’s products and 74% are more likely to pay attention to that company’s message because it has a deep commitment to a cause.

 

A significant way for companies to gain Millennials’ trust is by actually “walking the talk” through substantial cause alignment.  Companies are still in the early adopter stage when it comes to effectively embedding causes into their brands and engaging young people in a larger social purpose.  We encourage all companies to think about how to harness the passions of Millennials by creating authentic, impactful and well- communicated initiatives.

For examples of other powerful and recent initiatives, please check out some of the following links: 

 

A 16-year old teen in LA is throwing a fundraising event at the House of Blues to benefit homeless teens in the area.  

 

Unilever’s contest, “Go Green & Small with ‘All,’ ” a promotion targeting and rewarding students and schools with demonstrated environmentally friendly actions.
 
-Alison

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September 17, 2007 at 12:35 pm by Cone Communications

Back to the Future...

If you follow advances in the cause field, you know that we are living and working in a period of incredible progress. This innovation is driven forward by market forces including: consumer sentiment that commitment to a social issue is commonplace ; the network economy creating never-imagined connections; and mankind arguably more self-aware of its vices and virtues than ever before. Everyday a new development emerges to help improve the systems and standards that are in place to better society. We call today’s leaders social entrepreneurs , corporate citizens and changents , and we seek to glean insight into their creative and strategic processes to inform change in our own lives and organizations. What’s mind-boggling is that firebrands like these, albeit under different monikers, have been at work for at least a century.

Witness the innovation in the early 1900s, when robber barons applied scientific advances and new business models to identify more effective solutions to unmet social needs.   Searching for improved economies of scale and time, John D. Rockefeller hired Frederick Gates to professionally run his charities and attack public health problems like hookworm. And, rather than making traditional contributions to common issues of the day, including the provision free food, clothing, or need-based services for the poor, Andrew Carnegie set up his private foundation “for the advancement and diffusion of knowledge and understanding among the people of the United States,” eventually leading to the creation of the library system.

1935 saw the floodgates open as the Tax Law was changed to permit greater corporate giving. By the 1950s, GE was encouraging employee and retiree philanthropy through a corporate matching program, and in 1976, the Minneapolis Keystone 5% Club was established by 23 visionary companies pledging to give at that level to help call their peers to action.

Just 30 years ago, Newman’s Own was founded, giving all profits to charities. By 1984, the Statue of Liberty-Ellis Island Foundation and American Express had pioneered cause-related marketing and paid for the statue’s restoration with it. The later launch of the Avon Breast Cancer Crusade took the notion of corporate one-directional social commitments to a multi-dimensional business and social blend that would generate measurable returns for both for years to come.

In the last decade, venture philanthropy was popularized at first by Harvard Business Review and then the masses. ePhilanthropy emerged with the birth of GuideStar , Network For Good , and Charity Navigator . And, just last year, Product (RED) popularized understanding of a shared value venture, blending the work of a business, nonprofit and licensing agency.

The more things change, it seems the more they stay the same. And, in the case of continuous cause innovation, that’s very a good thing. With no shortage of historical lessons or inspirations from today’s pioneers, the possibilities for our personal roles in driving new meaningful change are limitless. So get out there – and change the game, for good.

- Kristian Darigan

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