Corporations are no longer run as faceless entities with only their own bottom line in mind; in fact, business entrepreneurs around the world are fast becoming the leaders in philanthropic activities for local communities, towards a healthier climate, and for happier employees. Corporations are now considering some of the following benefits of philanthropy.
Creating Community Outreach and Impact
There is a two-fold benefit to involving local community groups in corporate philanthropic endeavors. First, helping the community in which a company does business and where the majority of its employees more than likely reside is sound public relations. Doing good things is positive advertising in and of itself that leads to more customers and builds their loyalty in the products. It also attracts other businesses to a corporation by virtue of their good works; everyone wants to be associated with an individual or entity that does something good for others. Most importantly, whatever philanthropic endeavors that a corporation produces will only have a greater economic impact and financially positive influence on the community overall.
Aligning Marketing with Philanthropy
If a corporation has a savvy marketing team, they will ensure that any philanthropic activities happen in coordination with significant marketing campaigns or product launches. For instance, if a corporation is promoting a new line dog toys, they should also announce that they will be having a local animal shelter fundraising event that will include donating their new dog toy products to each shelter. It also serves to maintain the corporate reputation as well as brand when their product is connected to a good cause. This tells the community that the corporate mission is not just about making money but also giving back to the community.
Enhance Employee Commitment and Engagement
Every person has a personal cause that is important to them. In fact, studies have shown that nearly 80% of employees welcome the opportunity to become involved in philanthropic activities while companies are increasing their social initiatives by nearly 75% since 2016.
So, it would only make sense that corporations would encourage their employees to share information about charitable organizations and local programs needing philanthropic assistance with a philanthropic incentive program. When employees know their corporation cares about the community they live in, it has a profound effect on employee loyalty, productivity, and even attendance when they have a personal stake in their company.