Global consumers are conscientious but how does that impact a company's bottom line?
Here's what you need to know about conscientious consumers in the digital age.
1. The majority of consumers are happy to pay premium prices to socially responsible companies.
66% of global consumers will pay higher prices for products and services from socially responsible brands.
And, if your target market includes 'millennials' (most likely), that number is even higher with 73% of global millennials willing to pay extra for sustainable offerings (Source: Nielson).
Premium pricing depends on specifics of a product, service and target market involved, but typically consumers are willing to pay premium prices of about 10-15% more (Source: Wall Street Journal).
2. 85% of global consumers AND 91% of millennials will switch brands to another associated with a cause.
Turns out that even though consumers will only pay an additional 10-15% in prices, consumers punish companies for a lack of social responsibility by shopping elsewhere.
In the digital age, consumers are constantly engaged in comparison shopping, and that includes looking for ways to support businesses that make socially responsible choices with a positive impact (Source: Cone Communications).
3. Consumers expect to see and engage with socially responsible brands over social media.
A lip service blurb on your website isn't gonna cut it these days.
53% of global consumers and 66% of millennials expect brands to convey their part in socially responsible activities through social media channels that offer real-time engagement, storytelling and authenticity. (Source: Huffington Post)
Look for ways to take part in local efforts to get started and give people an easy way to take part, like '$1 donated for every retweet' feel good campaigns.
4. Even small incremental improvements to sustainable and socially responsible actions have a strong impact.
Getting involved in the corporate social responsibility doesn't have to be a massive undertaking.
Research shows that small and incremental initiatives still have a large impact on influencing consumer behaviour (Source: Forbes).
6. Protecting the environment and promoting social equality are the two top concerns for consumers today.
If you're looking to tap into the conscientious consumer priorities, be sure to keep in mind that environmental sustainability and social equality are top concerns (Source: Deloitte).
7. Socially responsible companies attract the best and the brightest - for less.
Socially responsible companies get the best and the brightest for less because they want to be part of positive social contributions in the workplace (Source: Deloitte).
Companies involved in socially responsible choices have a major hiring advantage when it comes to attracting and keeping the best people on your team (Source: Choice).
And, that includes compensation with 62% of millennials stating that they are willing to take a pay cut to work at a sustainably responsible company (Source: Deloitte).
8. Socially responsible stories are a key part of content marketing today.
What's the best content marketing story ever?
How your brand is a real life hero that has real positive impact.
9. Being socially responsible is just the right thing to do.
No matter how you look at it, socially responsible companies that support sustainability are in it for the long haul.
Not only do people like your brand better, but let's face it, it's just the right thing to do cause we're all in this together.
10. Demonstrate good ethics with how you treat people - your consumers and your employees.
Like the old saying goes, good charity starts at home.
A company with lack lustre customer service or a shitty workplace is just another corporate drone taking marketing aim at ethics with lip service and that'll never work.
The foundation of corporate social responsibility is built on a fair workplace and good customer service. From there, your word of mouth and company culture organically grow to become one of the recognized socially responsible companies who live, breathe and grow sustainability ethics that customers love to love.