The Business Case
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:
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82% of citizens worldwide agree that companies should do more than give money to solve social problems. (Corporate Social Responsibility Monitor, 2003)
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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)
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76% of consumers would switch brands to one that practices social responsibility. (Edelman, Corporate Social Responsibility Study, 2001)
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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)
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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)
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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)
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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)
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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)
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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)
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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)
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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
Tags: research
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January 28, 2009 7:30 PM You mention the 03-04 Boston College survey. We're getting ready to release the '07 survey (blogging about it at www.corporatecitizen07.com). Of most direct relevance to your post the survey finds that (among other things): * 79% of Americans but only 54% of senior executives believe companies should be responsible for ensuring that all materials a corporation uses to make its products have been produced in a socially and environmentally responsible manner; * 61% of the public but only 42% of senior executives believe corporations should be responsible for improving education and skills in communities where they operate * 53% of Americans versus 31% of senior executives believe corporations should be responsible for increasing economic stability in the world. * 51% of the public versus 30% of senior executives believe corporations should be responsible for supporting progressive government policies and legislation * 49% of public versus 21% of senior executives believe large companies should be responsible for helping reduce the gap between rich and poor. |
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November 19, 2007 8:36 PM Thank you, Derek. Here are some helpful stats on communicating "citizenship" with one from your shop... •51% of consumers felt that companies should communicate their good deeds through corporate advertising and public releases. 40% felt that minimal releases such as annual reports and the Web were sufficient, while 9% felt that companies shouldn’t communicate about their good deeds at all. (Harris/Interactive/The Reputation Institute, Reputation and Trust: Neglected Assets, 2002) •85% of companies believe that they do a great deal more for their communities than is talked about. (The Center for Corporate Citizenship, The State of Corporate Citizenship, 2003-2004) •62% of UK companies and 43% of US firms claim they do not monitor communications about their companies on the Internet at all (i.e. positive and negative news, updates, issues reflecting the company’s corporate citizenship activities.) Many international firms appear to be gradually improving their online monitoring. (Hill & Knowlton, Corporate Reputation Watch, 2002) •Media criticism is considered the greatest threat to corporate reputation, with European CEOs being the most concerned about negative coverage in comparison to U.S. CEOs. (Hill & Knowlton, Corporate Reputation Watch, 2002) •From 2001 to 2002, in all forms of media, stories citing “trust in companies” have increased 20%. (The Reputation Institute, Reputation and Trust: Neglected Assets, 2002) •Global media coverage of corporate citizenship issues increased by 52% between 2000-2001, and by 407% between 2001-2002. (Echo Research, 2004) •There is a strong trend in favor of disclosing more information about corporate social responsibility: a quarter of the CEOs say that they currently issue a public report dedicated to corporate social responsibility issues. (PricewaterhouseCoopers, 5th Annual Global CEO Survey |
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December 4, 2007 2:18 PM Very helpful. Thanks Kristian! |
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April 17, 2008 5:44 PM Do you have a works cited/bibliography for the studies you cite? |
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April 17, 2008 8:11 PM Hi Jamie, Do you mean a works cited page for the actual studies that I pulled the stat's from? I think for the majority of them - they are all primary research of the group I referenced. Just let me know if there's something more you need. Since your post brought me back to this spot, here are some great stats from a study Cone did on the business case for cause partnerships for nonprofits: 89% of Americans believe that corporations and non-profits should work together to raise money and awareness for causes. Moreover, after hearing about these partnerships, Americans are more likely to feel better about that NONPROFIT organization and support the cause... o 76% of Americans believe that partnerships result in a more positive image of the non-profit o 79% are more likely to buy a product that supports the non-profit o 76% are more likely to tell a friend about the non-profit o 70% are more likely to donate money to the non-profit Americans agree that non-profits should leverage a variety of corporate resources to support their causes... o Employee volunteerism (75%) o Cash and product donations (67%) o Information about the charity on the company’s product or packaging (66%) o Marketing and advertising support (67%) o A percentage of a product’s sales to support a cause (58%) I LOVE this study because it shows that nonprofits can benefit from the "halo" of a corporation. Interesting! Best, Kristian |
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