Do you feel like another Corporate James Dean? Spending millions on your highly fashionable CSR without gaining much market advantage? Perhaps you need to take stock of your CSR strategy. World over CSR is losing its effectiveness for many reasons; People are clearly questioning the motives of companies due to lack of tangible results, accountability and have begun believing this is yet another marketing ploy to get in to their wallets or worse another way to cover corporate sins by diverting attention. On the other hand Big Companies have not still mastered the Art of effective CSR. The combination of these reasons is more than sufficient to ruin your CSR agenda.
Given the current context the cause, the essence of a CSR program, must be carefully selected. Jumping on a popular cause could be a bad move if others have already taken it on or due to budgetary implications. For a CSR project to work, the company must be able to differentiate themselves from other players in the market, especially from the competition. Popular causes could also be subject to CSR hi-jacking by big companies with bigger marketing budgets (marketing is eventually a battle of resources) Instead of exploring already established causes such as HIV, recycling and green marketing, attempt to surface out new causes. A new cause is likely to give you the opportunity to create more interest and more engaging communication and thereby occupy "fresh mindspace" of all the stakeholders.
Judging by current incidents and trends we can expect tougher law enforcements on CSR in the near future especially in the areas of credibility, accountability and communication. Environmentalists around the world have protested that many major green marketing initiatives are nothing but just "Greenwashing" Tobacco & Liquor companies still continue to use CSR as a way of reaching out to promote their products. The practice of converting not-for-profit organizations to corporate cheerleaders too may not work in future as many such associations have been openly criticized by the media. Not-for-profit organizations may consider indirect approaches as tying up with marketing companies can cause irrevocable damage to their reputation.
We have experienced many innovations in CSR particularly in the area of Green Marketing. General Electric, undoubtedly one of the biggest environmental polluters, has started promoting Carbon Offset Credit Cards under "earth rewards" which, has become very popular in the US. Dell, Continental Airlines, Bank of America have already joined the bandwagon to off set the guilt created by using a PC, driving a car or flying on a jet. It's become a booming market there. One can expect greater scrutiny from both government and environmental organizations to avoid potential abuse of public trust.
I know most of us are more concerned about the communication aspect. Let me share two examples
Last year we saw Norway banning all car ads that claimed they are green and environmental friendly as producing cars directly contribute to more carbon emissions.
"Give life and help our planet breathe" campaign of Malaysian Palm Oil Council was banned in Britain as Palm trees are grown in illegally cleared rainforests.
Given the current context the cause, the essence of a CSR program, must be carefully selected. Jumping on a popular cause could be a bad move if others have already taken it on or due to budgetary implications. For a CSR project to work, the company must be able to differentiate themselves from other players in the market, especially from the competition. Popular causes could also be subject to CSR hi-jacking by big companies with bigger marketing budgets (marketing is eventually a battle of resources) Instead of exploring already established causes such as HIV, recycling and green marketing, attempt to surface out new causes. A new cause is likely to give you the opportunity to create more interest and more engaging communication and thereby occupy "fresh mindspace" of all the stakeholders.
Judging by current incidents and trends we can expect tougher law enforcements on CSR in the near future especially in the areas of credibility, accountability and communication. Environmentalists around the world have protested that many major green marketing initiatives are nothing but just "Greenwashing" Tobacco & Liquor companies still continue to use CSR as a way of reaching out to promote their products. The practice of converting not-for-profit organizations to corporate cheerleaders too may not work in future as many such associations have been openly criticized by the media. Not-for-profit organizations may consider indirect approaches as tying up with marketing companies can cause irrevocable damage to their reputation.
We have experienced many innovations in CSR particularly in the area of Green Marketing. General Electric, undoubtedly one of the biggest environmental polluters, has started promoting Carbon Offset Credit Cards under "earth rewards" which, has become very popular in the US. Dell, Continental Airlines, Bank of America have already joined the bandwagon to off set the guilt created by using a PC, driving a car or flying on a jet. It's become a booming market there. One can expect greater scrutiny from both government and environmental organizations to avoid potential abuse of public trust.I know most of us are more concerned about the communication aspect. Let me share two examples
Last year we saw Norway banning all car ads that claimed they are green and environmental friendly as producing cars directly contribute to more carbon emissions.
"Give life and help our planet breathe" campaign of Malaysian Palm Oil Council was banned in Britain as Palm trees are grown in illegally cleared rainforests.
CSR is not going to be easy to get away with!
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