2Sustain

I often post here about CSR reports and other corporate social responsibility initiatives, but have you ever wondered how well information like this trickles down to the average consumer?

We know that there’s growing –and well-warranted –skepticism among consumers regarding greenwashing, but what about public perception on the flip-side? Are companies getting the recognition they deserve for genuine achievement in environmental stewardship, human rights, philanthropy, and the like?

According to the results of a study released last month, the answer to that question is, unfortunately, no.

The research-based consultancy Penn, Schoen & Berland Associates, brand consulting firm Landor Associates, and strategic communications firm Burson-Marsteller polled 1,001 American consumers to test their perceptions of 69 different brands, 23 of which were also ranked in the Corporate Responsibility Officer magazine’s 100 Best Corporate Citizens 2009 (CRO 100).

The researchers found no correlation between performance on key metrics and consumer perceptions. For example, only 30% of consumers surveyed considered Gap, Inc. to be a socially responsible company, yet it ranked 61st on the CRO 100.

“There is a definite disconnect between companies’ corporate social responsibility initiatives and the public’s perception and awareness of them,” says Scott Siff, Executive Vice President of Penn, Schoen & Berland. “Companies are not successfully delivering messages to consumers about their efforts in this area, despite the fact that many consumers say they would rather make purchases from socially responsible companies.”

Siff’s comments are backed-up by data from the survey. A full 75% of those polled indicated a willingness to pay more for products from companies they know to be socially responsible. More than half said they can pay at least 6% more on a $100 purchase to patronize such companies.

But, even so, few survey respondents could identify a responsible company. Only 13% mentioned the top-scoring company (Bristol Myers-Squibb). No company stood out as a leader in social responsibility.

Clearly, organizations need to better communicate their CSR achievements with consumers –and, based on these survey results, companies that are successful in doing are likely to be rewarded with market share.

More details on the survey are available here.