PUTTING CSR TRENDS TO WORK FOR YOUR NONPROFIT
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- Bertram Paul
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1 PUTTING CSR TRENDS TO WORK FOR YOUR NONPROFIT CAUSE MARKETING FORUM Post-conference Workshop JUNE 2016
2 2016 CSR TRENDS PRESENTED BY: Maureen Carlson MAUREEN CARLSON Chief Strategy Officer at Catalist
3 2016 CSR TRENDS AGENDA Introductions Your Goals CSR Trends Exercise Q&A
4 2016 CSR TRENDS General Marketplace Trends Executive & Expert Interviews TOP 10 TRENDS Corporate Social Responsibility 2016 Aggregate Data Analysis
5 2016 CSR TRENDS
6 2016 CSR TRENDS
7 2016 CSR TRENDS Corporate social responsibility, often abbreviated "CSR," is a corporation s initiatives to assess and take responsibility for the company's effects on environmental and social wellbeing. CSR may also be referred to as "corporate citizenship" and can involve incurring shortterm costs that do not provide an immediate financial benefit to the company, but instead promote positive social and environmental change.
8 Transparency Clear Reporting CSR Approach Move To Strategy Content Creation & Access Big Data Driving Decisions In-kind Total Giving Partnership Alternatives TOP 10 TRENDS Corporate Social Responsibility 2016 Influencer Activation Sustainability Global Pressure Employees Driving Decisions Collaboration Companies Unite
9 CSR Approach Move To Strategy In 2015 we talked about an integrated approach to CSR. In 2016 and beyond, Corporate Social Responsibility goes a step further and becomes a strategic business tactic for corporations that drives decisions and has more of an important role at the executive table. DRIVERS: 74% of executive respondents say corporate citizenship can help increase profits at their company. 80% of consumers think a company should incorporate a culture of social responsibility into its business model. Following in India s percent CSR requirement footstep, Brazil and Indonesia have regulated that corporations doing business in their countries must designate a specific level of corporate societal investment. 84% of Millennials consider CSR before deciding where to shop and what to buy. Millennials represent $2.45 trillion in spending power.
10 CSR Approach Move To Strategy Ask Yourself: Do I know my corporate partner s overall CSR strategy? Have I ever asked?
11 Big Data Driving Decisions Companies are using their big data solutions to measure all their business activities, including their CSR efforts. Data analysis will become exponentially more important in decision making around what causes to align with and why. DRIVERS: 85% of companies have a big data solution with spending on data sources increasing year over year. 90% of the world s data has been captured in the last two years alone. Everyday we produce almost 2.5 Quintillion bytes of data. Enough to fill 10 million blue-ray discs. Google processes 3.5 billion requests a day. Up to 90% of data generated is unstructured including tweets, photos, texts, click streams, log files. What are companies using data for: Predictive Purchasing, Buying Patterns, Personalized Advertising, Streamline Operations, Reduce Emissions, Drive Organic Awareness and Buzz and on and on and on.
12 Big Data Driving Decisions Ask Yourself: How are you measuring and reporting impact and value to your corporate partners?
13 Influencer Activation Influencers are the new celebrity. CSR teams are following the lead of their marketing counterparts and looking for their cause partners to engage influencers (both in terms of your organizational media platforms and those influencers you can engage that speak to their target demographics.) DRIVERS: As of June 30, 2015, Facebook has close to 1.5 billion monthly users. Celebrating it's 10th anniversary, YouTube also has over a billion users who upload 300 hours of video each minute. As of May 2015, Snapchat has 100 million daily users. Digital marketing spend will grow by 12.2% with largest growth in social, mobile, and data analysis. Currently at an average of 10.7%, social media spend will grow to nearly a quarter of total marketing budgets in next 5 years. YouTuber Bethany Mota s average video view rivals the median viewership for many TV show
14 Influencer Activation Ask Yourself: Do you know who your influencers are on your platforms? Do you engage market influencers to generate buzz?
15 Sustainability Global Pressure When you think of CSR, you HAVE to include sustainability. Companies are VERY focused on sustainability efforts both domestically and globally. They are feeling the pressure of organization s like the UN creating mandates on their production practices. Without solid sustainability practices, they are subject to legal problems, PR issues and negative brand sentiment. DRIVERS: 55% of U.S. executives said they worked for companies with a sustainability program in place, another 12 percent are with businesses that are working on a strategy, and 19 percent are just beginning to develop a plan. 57% of companies have integrated sustainability strategies into strategic planning. The areas where most executives say their companies are taking sustainability action are reducing energy usage and reducing waste in operations. 76% of companies with annual revenue greater than $1B, publically communicate their sustainability goals.
16 Sustainability Global Pressure When you think of CSR, you HAVE to include sustainability. Companies are VERY focused on sustainability efforts both domestically and globally. They are feeling the pressure of organization s like the UN creating mandates on their production practices. Without solid sustainability practices, they are subject to legal problems, PR issues and negative brand sentiment. Ask Yourself: Will pressure to engage with environmental causes affect how my corporate partner will continue to engage with us?
17 Collaboration Companies Unite As the pressure increases for sustainability efforts and CSR become more of an integrated strategy, big companies will start to work together to create their own platforms. Think the We Mean Business platform created by several fortune 500 companies. DRIVERS: About a quarter of US nonprofits have created signature platform campaigns they want to monetize. On average, major companies receive anywhere from 2,000 to 5,000+ annual solicitations from nonprofit organizations. There are more than 1.5 million nonprofits in the US. Collaborations for good: The We Mean Business platform was created around committing to climate action. The collaboration between Coca- Cola and Heinz to produce the PlantBottle. The skin-care company Biotherm (L Oreal Group) and the automobile manufacturer Renault have devised the Spa Car, designed to simultaneously care for the health of its occupants and to protect the environment.
18 Collaboration Companies Unite Ask Yourself: If companies can unite to create their own platforms for social good, should our nonprofits unite for good and pitch together?
19 Transparency Clear Reporting Wikileaks, global pressure, data security issues, an emphasis from the consumer on understanding social impact in numbers and other issues are forcing companies to get transparent across all business channels, this includes who and how they support social issues and causes. DRIVERS: According to the 2014 Edelman Trust Barometer, 58% of people around the world trust companies but that leaves 42% that are less sure. More than seven in 10 (72%) of the S&P 500 now publish an annual corporate responsibility reports 8% of consumers expect companies to report on the progress of CSR efforts 86% of consumers believe if companies make CSR commitments, they must be held accountable for producing and communicating results Nearly six in 10 (59%) millennials actively seek out an employer that shares their values.
20 Transparency Clear Reporting Ask Yourself: If my partners have to report their support publically, am I providing them with the impact data and overall support metrics they need?
21 Employees Driving Decisions So much the conversation in the nonprofit sector has been around employee engagement and how we get our partners to engage their employees. But we need to be thinking about the shift from employee engagement to employee influence. It is not about telling employees how to support the causes the company already chose, employees are now being empowered to decide which causes the company will support in the first place. DRIVERS: 62% of employers would have a higher level or respect and loyalty for their company if it supported a cause. 71% of those employees not engaging with a cause through their company said they would if the company only asked. Companies with engaged employees outperform those without by up to 202%. Studies show that highly engaged employees are 87% less likely to leave their companies. Nearly six in 10 (59%) millennials actively seek out an employer that shares their values
22 Employees Driving Decisions Ask Yourself: Has my organization built enough of a relationship with my partner s employees that they feel invested?
23 Partnership Alternatives DRIVERS: No cause is really off limits anymore. In the cause partnership world many causes are no longer taboo. As the media makes certain issues mainstream and the organic conversation begins to swell, causes that might have seemed taboo just a short time ago are no longer. Brittany Maynard s Death With Dignity debate was covered by People Magazine, ABC, NBC, CNN, USAToday, The Washington Post and every major news outlet. The story was also estimated to have been shared more than 10 million times on social media. Actress Laverne Cox s appearance on the cover of Time magazine in June 2014 signals a new level of media attention in the struggle for equality among transgender people. And Time declared Transgender rights are a tipping point and America s next civil rights frontier.
24 Partnership Alternatives Ask Yourself: What will my team say to a company that considers supporting an issue made popular in the media?
25 In-kind Total Giving As companies narrow the causes they will align with into predetermined giving areas or pillars, they are bringing to bare the sum total of their parts to support those causes and they believe every part of what they do has valuable impact. Meaning the old debate about if we do or do not count gifts in kind in the total amount raised by a company is effectively over. DRIVERS: From 2012 to 2014, offerings of pro bono and board service had higher growth rates than any other volunteer programs In 2014, Communications, Health Care, Consumer Staples, and Technology led the other industries in terms of the percentage they gave in non-cash contributions. Non-cash giving makes up 17% of a company s overall giving to a cause. From , companies that measured social results and business impact of cause partnerships also increased giving at a rate of 18%.
26 In-kind Total Giving Ask Yourself: Are we being dismissive of in-kind giving and not including it in wrap reports and stewardship activities?
27 Content Creation & Access Probably the most important trend in CSR. Companies are looking to their cause partners for rich, impactful content that showcases or reinforces their commitment to the cause. Companies are also looking to create content with your organization and market that content together. DRIVERS: 77% of marketers will increase content production in the next 12 months. 92% of nonprofits say they engage in content marketing but only 35% feel they are effective at it. Half of buyers say they are more likely to seek out more information about a product and more confident in making an online purchase after viewing related video. Companies spend, on average, 25% of total marketing budgets on content marketing. Content with relevant images gets 94% more views than content without relevant images.
28 Content Creation & Access Ask Yourself: Is it easy to access our content? Do we create content together? How do we market that content once we do?
29 2016 GOOD TRENDS RISING SOURCES: 1. CMO.com, Mind-Blowing Stats About Content Marketing ; Content Marketing Institute & Blackbaud, 2015 Nonprofit Content Marketing Benchmarks, Budgets & Trends North America ; Catalist, Employees Are King Report; Summer Nonprofit Quarterly; The New York Times Insights, The Psychology of Sharing ; July Content Marketing Institute; Nielsen; Q TV Viewership 8. Forbes, Attentive.ly, How to Identify and Engage Your Influencers ; LinkedIn Corporation; Nonprofit HR, The Nonprofit Employment Practices Survey ; Adweek, Multiple Articles 13. Cone Communications 2015 Cause Evolution Study; Economist Intelligence Unit (EIU) Trend Report 15. BusinessToCommunity.com, Compelling Content Marketing Stats; Vcloud News, various content 17. CECP, in association with The Conference Board, Giving in Numbers: 2015 Edition 18. McKinsey, various content 19. KPMG, various content 20. Co-society, various content 21. The Muse, various content
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