What are the benefits of CSR?
Corporate Social Responsibility is an imperative, indispensable tool for businesses in today’s world. As discussed previously, 21st-century customers are becoming increasingly aware of how their actions and choices impact the planet. Investing their time and resources into something that does not promise sustainability is not something they are interested in. This is why CSR becomes significant for businesses, more now than ever before.
In some of our previous blogs, we touched upon the various aspects of CSR and what goes into designing a well-rounded, holistic strategy, the dos and don’ts of it, and much more. This blog is dedicated to understanding the myriad benefits of CSR in detail and what makes it such a win-win formula.
A company that keenly listens to its customer’s expectations and is also committed to giving back to society is obviously an attractive one to its customer base.
Better, positive brand image
Such an entity enjoys an improved public/brand image, better brand recognition, and a positive business reputation.
Trust and loyalty
Not to mention, the brownie points that it garners with respect to customer loyalty, attracting new customers and employees, gaining stakeholders’ trust, and attracting new talent.
As per a 2017 Cone Communications CSR Study, 82% of millennials consider CSR efforts when deciding where to work. As per the report, about 70% of the respondents were willing to take a pay cut to work for a company with strong social values.
Boost to sales and revenue
Aren’t you more likely to buy a product or a service that is closer to causes that you support? Therefore, sustainable businesses get a great boost to their sales and revenue. Nearly 90% of the respondents said they will purchase a product based on a company’s advocacy for an issue they cared about, states the Cone Communications survey.
Innovation and growth
A great CSR campaign, revisiting it and giving it a periodical overhaul may even lead to new ideas, opening doors to uncharted, unexplored areas that the business can explore – thereby creating opportunities for organizational growth and better financial performance.
Reduced operational costs
A company’s CSR effort may also lead to minimizing its operational costs. Consider this example, as part of its CSR initiative, a firm may decide to employ local community and indigenous resources which, besides creating employment opportunities for the locals, may also slash the company’s operational costs while also promoting indigenous culture and its produce.
Besides this, the benefits of CSR activities also include easier and enhanced access to capital. Once your brand gets noticed and appreciated, attracting capital and investment becomes relatively smoother. Insights from a CSR campaign also help in assessing innovative ways to further minimize environmental impact and facilitate better risk management – a win-win, both for the organization and society!
What is Artemis Impact?
Artemis is an impact service & technology provider that enables companies to reduce their negative impact & create more positive impact. We offer a range of services & technology.
We use a combination of consultancy services & technology to deliver our solution to our clients. Get in touch with our experts.