Corporate Social Responsibility Benefits Companies
Corporate Social Responsibility (CSR) not only benefits the environment and society, but also the company that chooses to embrace its responsibility whole-heartedly. While social responsibility refers to the individual duty to make environmentally-friendly decisions, corporate social responsibility refers to businesses who take their duty to the environment and society seriously.
Some naysayers of CSR believe that, by nature, businesses cannot commit to social responsibility due to their drive for profit. However, CSR can be useful for companies who want to increase their profit and image alike. When a company determines they’re going to commit to CSR, the momentum behind the CSR program often boosts company morale, engages employees, and excites customers.
Practicing Social Responsibility
When companies implement CSR, their decisions and actions often support their mission statement. For example, some businesses implement social responsibility into the core of their daily operations by only purchasing Fair Trade Certified ingredients for product manufacturing to support sustainable farming. Other businesses practice their CSR by donating money to the communities in which they exist, either by supporting local nonprofits, providing education grants, or finding other creative ways to benefit their community.
Many companies choose to embed their social responsibility choices into the midst of their daily operations with philanthropy, volunteerism, waste reduction, ethical practices, fair wages, and other simple changes.
CSR Company Branding
Public perception of an environmentally-conscious company increases its popularity. Companies can build on their public image with monetary donations and partnerships with nonprofits. When this becomes public knowledge, the company gains favor with its customer base and potential future clients. Better yet, loyal customers are going to feel better about splurging on purchases with the company when they know that their money is helping the local and global community.
According to the 2016 Neilson survey, 56% of the participants said that a top reason for purchasing was “a brand being known for its social value” while 53% said that their leading reason for purchases was “a brand with community commitment.” In fact, studies show that customers are more loyal to brands when the corporate value lines up with their personal ones. As the largest population now, millennials make their purchase decisions based on sustainable manufacturing methods and ethical business standards.
More and more, customers show that they’re willing to pay more for products when they know that a portion of the profit is supporting sustainable practices or a noteworthy cause.
Employee Engagement Boosted
Happy employees mean better productivity. One of the best ways that a company can boost employee morale is by having a good public image. Studies show that 60% of employees who say they’re proud of their company’s corporate social responsibility are engaged with their work. In fact, businesses have discovered that CSR programs often attract and retain better talent. Millennials are even willing to take a pay cut to work for a socially responsible company.
Moreover, a company’s dedication to better treatment of the community speaks to how the company also chooses to treat employees. When employees feel respected, needed, and supported, they are more satisfied and more likely to be a brand ambassador for your company. While corporate social responsibility is currently just a nice-to-have perk, soon it will be considered a non-negotiable.
Creating a healthy corporate social responsibility program has the power to transform a company’s public image. At Golden Arrow, we understand the importance of using sustainable materials and a waste-free manufacturing process to create quality and styled packaging. If your business is ready to take the next step to unbox an improved public image, reach out today to discover future-forward packaging for your products.