Consumers globally are willing to spend more with socially responsible companies – including in unlikely Asian countries Thailand, India, Indonesia and the Philippines.
Fifty percent of global consumers surveyed by Nielsen said they would pay more for goods and services from companies that have implemented programs to give back to society – up from 45 per cent in 2011.
More than two-thirds of respondents in the Philippines, Thailand and Indonesia – and three-quarters of respondents in India – say they would pay more for goods and services from socially responsible companies, whereas European respondents are least likely to pay extra (just 36 per cent).
“In countries where skepticism toward corporate social responsibility runs high, cause-marketers face an uphill battle,” said Nic Covey, VP of corporate social responsibility at Nielsen.
“In these markets, especially, social impact programs must be incontestably authentic to a company’s business objectives, vision and values,” he said.
According to Nielsen, 43 per cent of global respondents claim to have actually spent more on products and services from companies that have implemented programs to give back to society (just seven per cent fewer than those who say they would simply be willing to pay).
Consumers in Asia-Pacific are most likely to say they had spent more on products and services from socially responsible companies (Thailand, 66 per cent; the Philippines, 64 per cent; Indonesia, 56 per cent).
“Today, the question is not whether consumers care about social impact, but which ones, how much and how to appeal to them,” said Covey.
Respondents aged under 30 are most likely to say they would spend more for goods and services from companies that give back while 50 per cent of consumers aged 40-44 agree they would pay more.
“While cause-marketing programs seem to resonate most strongly among younger respondents, the rapid change in sentiment among middle-aged consumers expands the cause opportunity for brands,” Covey said.
“Today, brands can confidently focus purpose messaging on both younger and older consumers.”
