Study: Consumers Embrace Merchants With a Social Purpose

When it comes to buying brands and making a purchase from a merchant, doing good counts. U.S. consumers are spending with companies and brands which have a social purpose, according to the findings of a study conducted by the public relations firm Edelman.

The Goodpurpose Consumer Study found that 56% of consumers have purchased a brand that supports a good cause – even if it wasn’t the cheapest brand – while 56% believe a company or brand has earned their business because it has been doing its part to support good causes.

Why are consumers willing to get behind brands and shops with a cause marketing plan? It could have to do with the recession, as 74% of consumers say their ability to give money to community causes has been limited.

The study shows that 51% have given less financial support due to the current economic downturn, and 57% have tried to do more to support good causes in the past year because charities and other nonprofit organizations have suffered in this economic environment.

Also, 63% of the 1,005 U.S. respondents said they would recommend a brand that supports a good cause, up from 47% in 2008, and 63% said they would switch brands if another brand of similar quality supported a good cause.

What’s more, 38% said they are aware of brands that actively support good causes through their products and services, up from 23% last year.

The study also showed that 70% of consumers think brands and companies should spend less on advertising and marketing and more on good causes. That’s up 13% from 2008.

Partner Content

The Gift of Wow: Preparing your store for the holiday season - Netsuite
Being prepared for the holiday rush used to mean stocking shelves and making sure your associates were ready for the long hours. But the digital revolution has changed everything, most importantly, customer expectations. Retailers with a physical store presence should be asking themselves—what am I doing to wow the customer?
3 Critical Components to Achieving the Perfect Order - NetSuite
Explore the 3 critical components to delivering the perfect order.
Streamlining Unified Commerce Complexity - NetSuite
Explore how consolidating multiple systems through a cloud-based commerce platform provides a seamless experience for both you, and your customer.
Strategies for Maximizing Mobile Point-of-Sale Technology - NetSuite
Learn the top five innovative ways to utilize your mobile POS technology to drive customer engagement, increase sales and elevate your brand.