Consumers continue to prioritize social responsibility
across sectors, despite recession
WASHINGTON, DC (29 MARCH 2010) - Social
responsibility remains a high priority for consumers, regardless of
the recession, according to the second annual
Corporate Social Responsibility Branding Survey, released today
and conducted by research-based consultancy Penn Schoen Berland in
partnership with brand consulting firm Landor Associates and
strategic communications firm Burson-Marsteller. The survey finds
that 77 percent of consumers say that it is important for companies
to be socially responsible. The survey analyzed consumer views of
companies operating across 14 industries ranging from apparel to
telecommunications.
The research also reveals that consumers think that companies most
often come up short in the sectors where they believe responsible
behavior is most important. Of the five industries where
respondents most highly value responsibility, financial services,
healthcare, and media are perceived as performing worst on the
issue. The healthcare industry fared especially badly, as just 35
percent of consumers say that the industry has performed well on
social responsibility over the last five years - a 10
percentage-point drop since 2009.
"The Industries that consumers perceive as lacking in
responsibility may have the greatest opportunity to benefit from
authentically improving their image," said Scott Osman, global
director of Landor Associates' citizenship branding practice.
"Johnson & Johnson, a recognized leader in corporate
responsibility, performed very well relative to the healthcare
sector this year. The fact that consumers cite the poor performance
of these industries shows that they care and are paying attention.
By communicating real success in the area of corporate
responsibility, corporations have the potential for considerable
benefits."
The survey also found that companies have an opportunity to
influence consumer perceptions if they are able to communicate
their social responsibility efforts. Just 13 percent of consumers
report having read about a company's social responsibility agenda
on its website - but 75 percent of those who have done so indicated
that it made them more likely to purchase products or services from
that company.
"Companies need to combine strong social responsibility programs
with effective communication of what they are doing," noted Eric
Biel, managing director for corporate responsibility at
Burson-Marsteller. "While many consumers may not be precise in how
they define terms like 'corporate social responsibility,' they have
a clear sense of how they expect companies to behave. They expect
companies to offer high-quality products at good prices and to
explain how they treat their employees well, give back to their
communities, and respect the environment," added Biel. "Those
companies that can clearly articulate how they advance these values
to consumers can achieve real benefits for their brands and overall
reputation."
Socially responsible behavior can also have significant business
impact. Even during tough economic times, 38 percent of respondents
still plan to spend the same or more for products and services from
socially responsible companies. And 70 percent are willing to pay
more for a $100 product from a company they regard as
responsible.
"Social responsibility remains a differentiator for purchases.
Though the recession is causing consumers to be even more
price-sensitive than usual, many are still willing to put their
pennies where their principles are," said Scott Siff, executive
vice president of Penn Schoen Berland. "And when price is
comparable, the choice is no contest - 55 percent are more likely
to choose a product that supports a certain cause when choosing
between otherwise similar products."
Other key findings of the survey include:
- Of 14 tested industries, food, consumer goods and retailers are
perceived as performing best, while financial services, healthcare
and media are perceived as performing worst.
- Consumers perceive General Mills as the most responsible of 64
tested brands.
- Seventy percent report that they are willing to pay more for a
product from a company they regard as responsible.
About the Corporate Social Responsibility Perceptions
Survey
Penn Schoen Berland, in conjunction with Burson-Marsteller and
Landor Associates, conducted 1001 online interviews with the
general public in the U.S. (ages 18+) from February 10 - 12, 2010.
Overall, the margin of error is +/- 2.53 percent, and greater for
subgroups.
About Landor Associates
Landor Associates is one of the world's leading strategic brand
consulting and design firms. Founded by Walter Landor in 1941,
Landor pioneered many of the research, design, and consulting
methods that are now standard in the branding industry. Partnering
with clients, Landor drives business transformation and performance
by creating brands that are more innovative, progressive, and
dynamic than their competitors. Landor is part of WPP, one of the
world's largest global communications services companies. For more
information, please visit www.landor.com.
About Burson-Marsteller
Burson-Marsteller (www.burson-marsteller.com), established in
1953, is a leading global public relations and communications firm.
It provides clients with strategic thinking and program execution
across a full range of public relations, public affairs,
advertising, and web-related services. The firm's seamless
worldwide network consists of 57 wholly-owned offices and 46
affiliate offices, together operating in 59 countries across six
continents. Burson-Marsteller is a part of Young & Rubicam
Brands, a subsidiary of WPP (NASDQ: WPPGY), one of the world's
leading communications services networks. For more information,
please visit www.burson-marsteller.com.
About Penn Schoen Berland
Penn Schoen Berland is a global research-based consultancy that
specializes in messaging and communications strategy for blue-chip
political, corporate and entertainment clients. PSB has over 30
years of experience leveraging unique insights about public opinion
to provide clients with a competitive advantage. PSB executes
polling and message testing services for Fortune 100 corporations
and have helped elect more than 30 presidents and prime ministers
around the world. Penn Schoen Berland is a part of Young &
Rubicam Brands, a subsidiary of WPP, one of the world's leading
communications services networks. More information is available at
www.psbresearch.com.
Media Contacts:
Mindy Romero
Landor Associates
mindy.romero@landor.com
212-614-5261
Beth Lester
Penn Schoen Berland
blester@ps-b.com
202-962-3042
Paul Cordasco
Burson-Marsteller
paul.cordasco@bm.com
212-614-4522