As we approach the halfway point of 2022 now is a great time to take stock of the many lessons learned over the last few months and think about a still rather murky 2022.
The term “corporate social responsibility” or CSR, is one we are seeing tossed around a lot of late. And it is becoming a pretty prevalent one in the retail world. More and more retailers are realizing that giving back doesn’t just make the world a better place – it can also be good for business.
Here’s a few statistics that illustrate this notion pretty clearly:
• According to a report by Forrester Research, 52% of U.S. consumers factor values into their purchase choices, seeking brands that proactively promote beliefs and values aligned with their own.
• A recent Nielsen survey found that 66% of consumers were willing to pay more for goods from brands that demonstrated social commitment.
• Yet another study by public relations and marketing firm Cone Communications found that 87% of Americans will purchase a product because its company advocated for an issue they cared about.
CSR matters to consumers more today than it ever has, and that is particularly true when it comes to younger demographics, with millennials leading the way here. So, suffice it to say, it is extremely important to consider what types of CSR activities are effective in targeting younger consumers.
Among the more common, CSR efforts we’ve seen over recent years are things like recyclable packaging, promotions that spread awareness of prominent societal issues, and directing portions of profits toward local charitable groups. That represents the tip of the CSR iceberg.
Look, as we approach 2022’s halfway point, a large percentage of U.S. retail efforts will focus on simply clawing back – a task that could take the retail sector years to accomplish.
Brick-and-mortar sales will continue to weigh down overall retail, long-term. Brick-and-mortar retail sales continue to fall in 2022 (-0.2%). It might take three years for offline sales to return to pre-pandemic levels.
Inflation and economic hardships are projected to continue well into 2022; thus, focusing some time and effort on a smart CSR strategy is one way to help smooth out some of the bumps you’ll hit along the way.