3 Ways Philanthropy Will Boost Your Competitive Advantage
Looking to improve your bottom line? Start giving.
BY SAFIA AMIN
When you first filled out your business model canvas, you probably thought that your value proposition was enough to set you apart from the competition. Unfortunately, it’s not as easy as it was before. The services you offer? Thousands of other businesses offer them. The product you’re selling? They’re probably making identical, knock-off versions as we speak. So what really sets your brand apart? It’s time to start talking impact.
Success lies in the hands you feed, not the amount of food you make.
If you truly want to differentiate your company from its competitors, it’s time to think differently—it’s time to give. Aligning your business with philanthropic efforts can have a positive impact on your company, inside and out. Here are three reasons why you need to embed philanthropy into your business model:
Positive efforts equal more press coverage.
What publication wouldn’t want to shed light on a company that helps make the world a better place? The fact of the matter is, charitable causes get people talking. We get it—you’re running a business, and you want everything you do to benefit said business.
Aligning yourself with social causes can not only net you more press coverage but will also attract more like-minded consumers to your brand. According to the Unilever Consumer Study, 33% of consumers are now choosing to support brands they believe are doing social or environmental good.
Here’s an example of the benefits of a charitable campaign: Boxes2Move wanted to shed light on those affected by homelessness with their #SpareAThought campaign. Boxes2Me paired up with local charities that provide aid to the homeless and distributed their boxes to neighbouring businesses who wanted to donate clothing and non-perishable goods. The company ended up getting not only excellent press coverage but also improved B2B relations in their community—a double win.
When you show you care, others will care about what your business stands for.
Social responsibility drives employee engagement.
It’s not all about unlimited beer and state-of-the-art foosball tables. You want your employees to be proud to work for you. Studies have found that employees actually care about their company’s social responsibility—and they care a lot.
One study by Net Impact found that workers who had the opportunity to make positive social or environmental impacts on the job were more satisfied by a factor of 2:1. Another study survey by Gallup found that social responsibility was highlighted overall as one of the most important drivers of employee engagement. And as an added bonus: companies with higher engagement rates had higher productivity and profitability when compared to companies with lower rates.
The takeaway? By giving your employees the opportunity to positively affect change, not only are you highlighting your own awesomeness as a company—you’re highlighting theirs. And awesome people make awesome things happen.
Don’t underestimate the power of personal fulfilment
We don’t mean to get all Tony Robbins on you, but what’s the purpose of your life? It’s a rather heavy question for a simple blog post, but it’s one we all need to eventually ask ourselves. What kind of mark do you want to make on this world?
The benefits of involving yourself in philanthropic efforts don’t stop from a business perspective; it also positively impacts you internally. There’s no greater feeling than feel fulfilled at your job, and what better way to do than that to help transform the world into something better?