In the early 70s, the boom of advertising using mass media burst with the spread of Television. To fund the airing of entertainment programs, Television stations tapped manufacturers to take advantage of their new and powerful medium to reach consumers. The game of marketing changed tremendously as communication reach increased massively, and increasing the influence of advertising in swaying consumer decision. Many marketers abused the power of TV with false or misleading advertising, putting marketing efforts in a bad light.
Now, with consumers more resistant and cautious about marketing claims, they give big importance to the manufacturers that they trust. The credibility and consistent good delivery of a corporation in delivering its promise weighs greatly in purchase decisions, shifting the power of marketing to corporate equity building over mass media marketing.
There are many ways to build a company’s reputation. One is practicing responsible marketing: promising only what they can deliver, and delivering exactly what they promise or more, but never less. But with the increasing consciousness of consumers on environmental and social issues that every nation is experiencing, their desire to contribute to these causes increases. This becomes their sweet spot.
In a competitive arena of strong brands that are equivalently efficient, it’s no longer just the product performance that can close the sales but the total experience with the total brand and company. This experience does not only revolve around the actual use of the product. It includes the proceeds of their purchase. If they choose one brand, they also consider if they’re supporting a company that they agree with.
Corporate Social Responsibility answers this concern. As consumers grow more aware about the increasing need for them to be more vigilant of environmental threats or social abuse incidence, they keep a closer watch of giants corporations, those that can make big dents on the world with their everyday operations. That’s why a corporation that shares their causes on environmental care and just social treatment within their organization earns the seal of approval of consumers.
A company with CSR in place gives the signal of credibility, honor, and respect. The strong implication of these important corporate values gives consumers assurance that they are making the right choice in buying a brand versus another, because their money goes a long way. While they enjoy the product, they are also doing their part as a good citizen by supporting a corporation that are responsible. With every purchase that they make, it’s as if they’re helping out in the cause.
Gaining consumers though CSR is a slow burn when it comes to sales, but it will deliver repeated sales due to loyalty of consumers who believe in the company and are happy with the product offers.
Mass media are powerful in generating awareness and disseminating information, but CSR is what places a company in a good light that consumers would like to support. The trust that a company gains from CSR sets the company apart from its competitors and ensures loyalty, securing unshakable consumer preference.