Community Engagement & Corporate Community Involvement (CCI), or company efforts to support societal causes, is on the rise.
A CR Magazine and NYSE-Euronext survey of over 300 companies, for example, found that 72 percent of respondents have CCI or other corporate responsibility programs and that 77 percent say these programs will expand over the next three years. One reason for the popularity of CCI is that its business value is becoming increasingly evident.
Evidence is showing that CCI makes a measurable difference on both internal and external business functions. Below are a few examples:
1. Harvard Business School research found that companies with more corporate social responsibility practices significantly outperform their counterparts over the long-term, both in terms of stock market and accounting performance.
2. A study that investigated the market reaction to corporate press releases announcing donations to the relief effort following the December, 2004, tsunami in Southeast Asia indicated a statistically significant positive 5-day cumulative above-normal return in companies that donated. The larger the donations, the greater the increase in return.
3. Research has uncovered evidence that, for firms in industries that are highly sensitive to consumer perception, corporate giving is associated with subsequent sales growth.
4. 59% of Americans are more likely to buy a product associated with a corporate-nonprofit partnership, a study found.
5. 56% of Americans will travel an extra 10 minutes out of their way to purchase a product that supports a cause they care about and that 71% are willing to pay at least $2.28 more for such a $10 product, according to research.
How is your company addressing the business need for community involvement?
GIVINGtrax® helps companies leverage the power of giving to engage employees and foster customer loyalty by offering cloud software to manage corporate philanthropy, community giving, employee engagement and sharing impact.
GIVINGtrax® expands corporate giving from a transactional event into an engaging activity that involves both employees and customers.
To learn more about GIVINGtrax® visit http://www.givingtrax.com.
Contact us at 206.486.0185 or [email protected] for more information.