B2C brands aren’t the only ones expected to tackle Corporate Social Responsibility (CSR). Learn how consumer views on CSR are changing and what it means for B2B suppliers.
As the struggle for racial equality continues, many big box consumer brands have taken a stand to combat years of systemic injustices against minorities and people of color. But what about commercial and B2B companies?
Brands are being held accountable for social responsibility and activism. However, B2B brands have typically flown below the radar when it comes to political and social discussions. But the fight for social and human rights is no longer reserved for consumer-facing brands. It is seen as shared responsibility across all brands and businesses.
Here are a few reasons B2B companies must embrace corporate social responsibility (CSR) and social activism:
Consumers are Looking Closely at the Products They Buy
While your business may not be a direct-to-customer brand, with so many resources available, consumers can quickly learn where their favorite brands are sourcing services and materials. Supplier actions directly affect consumer companies’ reputations, so ensuring your business performs ethically is critical to attracting new customers.
Your Internal Stakeholders are Watching You
In many cases, a brand’s biggest supporters come from within. Many existing and prospective employees will examine how your brand responds to social issues and current events. In fact, 70% of job seekers value a company’s commitment to diversity and inclusion, according to a new survey from The Manifest. Your brand’s ability to attract and retain talent hinges on its commitment to—and action on—issues such as diversity and sustainability.
All Brands are Expected to be Sincere and Authentic
Your brand’s CSR should be an integral part of your company’s culture. Authentically communicating this commitment to CSR and social activism as a commercial business may seem daunting, but ensuring that you hold your brand publicly accountable is a crucial aspect of CSR.
Investors Want to Feel Good About Where Their Money Goes
Communicating your company’s commitment to CSR to investors is an increasingly important aspect of investor relations. Investors are interested in CSR reporting, as it shows that companies are becoming more transparent by disclosing key CSR metrics, which decreases risk for particular investments. More than 80 percent of professional investors prefer to invest in a company known for its social responsibility, according to Aflac’s 2018 Corporate Social Responsibility Survey.
It’s the Right Thing to Do
The real bottom line is that a good CSR plan that addresses current issues, considers stakeholder interests, and puts action behind words is simply the right thing to do. Your business has the power to influence, mobilize, and educate its employees, customers, investors, and the general public about the issues that matter most.
Communicating your company’s CSR actions may seem like it takes away from authenticity, but a commitment to CSR is a contract between your company and its stakeholders. This comes with a responsibility to communicate what you are doing. It’s not bragging; it’s simply delivering on your promise.
Not sure where to start or how to communicate what your company is doing? Want to talk through ways a solid CSR plan can benefit your business and make the world a better place? Get in contact with us and see what the power of "&" can do for you.