Companies that embrace good causes often end up seeing the results in their bottom line, according to Edelman’s 2012 Good Purpose Study.
The Edelman study reiterated the impact social purposes can have on the brand marketing of a company. The report showed consumers increased their “at least monthly” purchases from companies that support good causes by 47% over the past five years.
The study reported that -– since 2008 -– there has been a 33% increase in the acceptance of brands and companies that “do well while doing good” and noted that brand marketing has “entered a new Purpose paradigm.”
Companies have become good will hunters, but see more success if the quality of their products doesn’t take a dip. The report showed that social purpose as a purchase increased 26% since 2008, but it only took place when the quality and the price were equal against competition. When the quality and the price are equal, social purpose is the most important factor when buying a product.
The annual global research surveys the attitudes of consumers around social purposes and their expectations of brands and corporations. Of the 16 countries that were surveyed, America was the only country with a decrease in consumer involvement in a cause. The survey reported 82% of consumers were affected by the economy, which caused a 7% drop to 53% since 2010 in consumers donating to a cause.
American consumers, however, were the only consumers to feel it was their responsibility to fix society’s issues.
While consumers continue to buffeted by the negative economy, they still feel the responsibility to help “change the world.”
“The tension of this paradox spells significant opportunity for marketers. While U.S. consumers currently have less time and money to put towards societal issues, they still feel they’re most
responsible to help,” said Carol Cone, global practice chair of Edeleman’s Business + Social Purpose project, in a press release. “Brands and corporations can ease the burden for consumers by making involvement in social issues easier and more aligned with the core needs they face today.”
This seems to be the reason why, since 2008, consumers said they are 39% more likely to recommend a brand that supports a good cause, and 34% more likely to promote a product or service connected to a good cause. Consumers have become 9% more likely to switch over to a brand of similar quality if it is connected to a good cause.
The Edelman report surveyed 8,000 consumers from 16 countries. Each participant was at least 18 years of age.
-Dustin Bass, @dbass_cmn