Corporate Eye

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Archives for November 2012

Un-Stalling CSR with the Value Creation Framework | Part 1/2

A few days ago a Forbes blog entitled Why has Corporate Social Responsibility stalled? did the rounds.  It’s an interesting read and I’m not out to criticise.  However it did bring to mind some research from a few years ago.

Back in 2008, before Lehman Brothers fell flat on its face, the European Academy of Business in Society (EABIS) launched a project entitled Measuring the financial and non-financial performance of the firm.

This took the form of an extensive dialogue between businesses, academics, regulators and investors with the objective of exploring the link between ESG performance and a company’s financial success.

You can see some of the headline conclusions on the Investor Value website and download the full report Sustainable Value (PDF) from the same website.

A major part of the report is the Value Creation Framework, produced by researchers from University Bocconi.  They described it as CSR .. The ‘C’ stands for Complex.  Looking at the Value Creation Framework model above, you can understand why!

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Social Media Demographics – Who Uses What?

social media apps iphoneWho are all of those people using social media websites Facebook, LinkedIn, Twitter, Pinterest, Tumblr, and Instagram? Pew Research Center reveals some demographic data about the most popular social sites in its Photos and Videos as Social Currency Online report from the Pew Internet and American Life Project. The numbers might surprise you.

First, did you know that 46% of adult internet users publish original photos or videos online? These are people who upload and post photos and videos that they created. Also, did you know that 41% of adult internet users share photos or videos that they find online through other social websites by reposting them?

Altogether, 56% of internet users either publish original photos or videos or repost and share photos and videos created and originally published by other people. 32% of internet users do both of those things — creating and curating photo and video content.

This information is important to brands that are trying to visually connect with audiences online and boost word-of-mouth marketing through compelling imagery. The trick for brands is finding the right sites and tools to communicate and share content with their target audiences. By reviewing the information from the Pew Research Center report, brands can narrow down their social media starting points. Some of the key data from the report follows:

  • Pinterest: 12% of online adults use Pinterest. 1 in 5 women use Pinterest compared to 1 in 20 men. Pinterest users also tend to be younger and well-educated.
  • Instagram: 12% of online adults use Instagram. The site’s adult users skew young. More than 1 in 4 internet users between the ages of 18 and 29 use Instagram. 11% of male and 12% of female internet users are Instagram users.
  • Tumblr: 5% of online adults use Tumblr. Like Instagram, the site’s adult users are young. 11% of internet users between the ages of 18 and 29 use Instagram. 4% of male and 7% of female internet users are Tumblr users.
  • Facebook: 66% of online adults use Facebook. 63% of male and 70% of female internet users are on Facebook. Users span all age ranges, education levels, and income levels. However, the largest number of users are young, less-educated, and have lower incomes than other social media sites analyzed in this report.
  • LinkedIn: 20% of online adults use LinkedIn. 21% of male and 19% of female internet users are LinkedIn users. Most users are between the ages of 30 and 64. They are well-educated and have higher incomes.
  • Twitter: 16% of online adults use Twitter. 17% of male and 15% of female internet users are on Twitter. Most users are between the ages of 18-29, have some college, and make over $75,000 per year. In other words, users span across all demographic groups more evenly than other social media tools like Pinterest and Instagram.

Of course, demographics are just one piece of the targeting puzzle for social media marketing plans, but the data from the Pew Research Center report provides a great place to start your planning. Which social media site is best for your brand?

Image: Jason A. Howie

Good Copy Habits

colourful tiesAn old boss of mine used to be infamous for bemoaning modern business dress standards and he was always complaining that nobody wears ties anymore. He’s got a point, however, and it’s now perfectly acceptable in most offices and boardrooms to wear an open necked shirt and trousers. Even for interviews, going tieless is generally acceptable.

Of course, we could blame changing taste or attitudes towards business, but a lot of it has to do with making a good first impression. In the past, a sharp suit and tie was guaranteed to impress, but now everyone, including prospective employees, is getting their first impression of you before they’ve even met you: via your website.

Much like walking into a interview situation with a suit that was once fashionable in the ’70s, an out of date website is the worst possible start you can make, so you need to get into good habits with your web copy as soon as you can. Here are some simple ways to ensure you don’t make a web based faux-pas.

Always Check Your Dates
It’s absolutely vital to ensure that any dates or deadlines on your page are up to date. On seeing ‘applications close in June 2011’ on a page, prospective applicants will assume you’re no longer recruiting, even if the copy itself is fresh. Ensure the main recruitment page ties to any linked pages, such as an application form, too.

Spring Clean Copy
However dynamic the recruitment business is, the specifics of a job role don’t always change that much and it’s reasonable not to rewrite this with every new intake. Applicants will, however, spot copy that reads the same as previous intakes, so make sure you freshen up areas that can be reworked.

Insist On Quality
You wouldn’t accept spelling mistakes in an application form, so applicants won’t accept spelling mistakes on web copy. If there are mistakes on your page, most graduates will simply close the browser window: it really does matter!

Take on Help
Writing copy is time consuming, so why not outsource it? Copywriters work either with marking organisations or freelance and are usually happy working remotely. Beware, though, quality copy costs: pay good fees and you will be rewarded.

Once you’ve established a system which keeps your pages furnished with top quality copy it will be with you for life; it’s getting into the habit that’s hard!

Store Brands Continue to Gain Popularity While Name Brands Lose Customers

generic store brand krogerThere was a time when the majority of consumers believed that name brands were better than generic store brands. With a perceived higher quality attached to name brands, products with those brand names on them came with higher prices.

However, the perception has shifted (I reported on the shift to store brands here on Corporate Eye multiple times over the past few years — links to those stories and statistics can be found at the end of this article). Today, most consumers believe that store brands and name brands are equal.

The perception gap between store brands and name brands has closed rapidly over the past few years. A recent study from the Integer Group found that 64% of consumers do not think that name brands are better quality than store brands (up from 57% in 2010). Today, 77% of shoppers consider both name brand and store brand products before they make a purchase. The percentage is even higher among women at 90%. Considering that women make or influence the vast amount of purchase decisions, this is an extremely important statistic.

The data from the Integer Group’s “Private Label” report also reveals that brand preference can be greatly affected by category. Important findings related to category brand preferences include:

  • Health and Beauty: 74% of women prefer name brand health and beauty products, but just 56% of men say they prefer name brands in this category.
  • Laundry Detergent: 69% of male and female consumers prefer name brand laundry detergent (the category where brand names were ranked highest in the study).
  • Medicine and Milk: Only 26% of all consumers prefer name brand medicine and milk over store brands.

The rise of store brands isn’t new. The shift has been happening for years as consumers have access to more information and can learn the ingredients in products within minutes. Comparing a specific name brand product to a generic brand product simply requires a web search and a few minutes of reading. With smartphones in hand, consumers can even research brands and products in stores when they’re actively making a purchase decision.

Store brands are well positioned to leverage this shift and steal more market share from name brands. On the other hand, name brands need to focus on building differentiated perceptions in consumers’ minds before they arrive in stores. It’s more important than ever for name brands to tap into consumers’ emotions and create the perception that there is no substitute for the name brand.

Is your brand up to the challenge?

More About Store Brand Trends and Statistics

You can download the full report here.

Image: Lisa Brewster

Business opportunities for inclusive and sustainable development | Part 2 of 2

(This is the second and last part of a blog detailing the opportunities businesses have to become “creative disruptors” and engage in inclusive and sustainable development around the world.  It is based upon DANIDA’s 50th anniversary conference and a paper presented there entitled “The challenge of, and opportunities for, inclusive and sustainable development” (PDF).  Part one can be read here.)

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