Corporate social responsibility has empowered companies across industries to directly improve the world. Whether organizing volunteering initiatives, matching employee donations, or sponsoring events, socially responsible companies have various ways to make their mark on movements that matter.

But the benefits don’t stop with the communities and nonprofits receiving assistance. On the businesses’ side, Double the Donation’s statistics speak for themselves:

• 55% of employees say they would take a lower salary to work for a socially responsible company.
• 77% of consumers want to purchase from companies with CSR initiatives. 
• 94% of major US corporations plan to increase or maintain their corporate giving programs over the next few years. 

Nonprofits and businesses alike understand that CSR is here to stay. Now, the challenge is innovating CSR engagement strategies (for businesses) and enhancing cases for support to businesses (for nonprofits). Let’s explore trends both sectors should consider when evolving their CSR efforts.

1. ESG initiatives remain crucial for investments and client loyalty.

ESG initiatives are a set of standards related to how organizations operate in three areas: Environmental, Social, and Governance. Having dedicated ESG initiatives is crucial for many companies to grow and retain investment funding—in fact, the ESG Finance Market stands at over $7 trillion and is expected to continue rising through 2029. 

Takeaways for Businesses

• Adopt an ESG approach. If you haven’t yet prioritized ESG, now is the time to start! Work with your leadership team to create a committee that develops and implements ESG standards across the business.
• Set a realistic scope for ESG activities. Build a strong foundation for your ESG strategy by researching similar approaches from other businesses in your field. Also, ask employees for feedback—they can bring helpful insights from previous experiences and provide ideas from a new perspective.
• Track ESG impact. Establishing an ESG program is only the first step—you’ll also need to prove its long-term value by continuously collecting and reporting key performance metrics (KPIs). Then, you can use these metrics for decision-making and reporting.

Takeaways for Nonprofits

• Mention ESG efforts in grant applications and funding requests. Companies with ESG initiatives are more likely to connect with your cause. For instance, if you pitch a specific corporation to sponsor your upcoming event, mention how sponsoring your nonprofit would support its ESG standards.
• Report on ESG efforts. Remember that your nonprofit should adhere to ESG standards internally, too! Check on your current standards and expand or update them if needed.

2. Candidates and employees prioritize CSR when choosing a workplace.

As previously mentioned, most employees want to work for socially responsible organizations. This holds true for potential job candidates as well, with 72% of the workforce wanting to make an impact through their role. 

Takeaways for Businesses

• Incentivize CSR participation. Encourage employee participation to maximize your CSR investment. Unwrapit recommends rewarding employees committed to CSR with small tokens of appreciation, such as gift cards or an extra day of paid time off. 
• Make CSR a core aspect of company culture. To attract socially-minded candidates to your business, they need to be able to sense your CSR commitment from a mile away. Detail your efforts with a Social Impact tab on your website and incorporate CSR-related questions into interviews.
• Recognize employee participants. Be sure to thank every employee who contributes to the success of your CSR initiatives to maintain a positive relationship with them.

Takeaways for Nonprofits

• Analyze each potential sponsor’s CSR resources. If a prospective partner is genuinely devoted to social impact, they’ll display it on their website and other channels, which can help you assess compatibility and tailor your pitch. 
• Foster internal CSR leadership. The same benefits of CSR apply to nonprofit workplaces—in fact, you have a unique advantage because your employees understand the importance of giving back. If you’re working with a tight budget, focus on offering lower-cost options, such as workplace volunteer outings.   

3. CSR technology is becoming more widespread.

Whether you need to coordinate volunteer outings, sponsorships, or corporate gifting initiatives that benefit nonprofits, a specialized CSR solution can help you get the job done. More tools that address specific needs hit the market all the time, and this sector’s growth shows no signs of slowing down. 

Takeaways for Businesses

• Ensure you use a solution built for businesses. Some types of CSR solutions, such as matching gift software, are made for nonprofits, while others are designed for managing the corporate side of CSR. Research what types of solutions best fit your CSR efforts so you can effectively manage your programs.
• Find solutions with convenient interfaces. The ideal CSR software puts social impact right at the user’s fingertips without distractions or roadblocks. Let’s say you offer a charitable donation as a corporate gift around the holidays—choose a corporate gifting platform that empowers employees to choose their preferred cause and donate without having to leave the portal.

Takeaways for Nonprofits

• Prioritize CSR software based on your capacity. Finding the team time and funding to adopt a new software solution can be challenging, especially as the market becomes more saturated. Prioritize quality over quantity when choosing solutions—don’t pay for elements you don’t truly need. Options like nonprofit discounts and flexible payment structures can help ease the cost burden as well! 
• Use tools that integrate with your corporate partners’ software. Collaborating and reporting impact metrics is much easier with solutions with similar capabilities and capacities. Though you likely have different budgets, communicate with your partners to ensure your tools support your mutual goals. 
• Keep tabs on the software market. While your corporate counterparts likely have more resources, time, and flexibility to adopt new tools, your nonprofit has to be as efficient as possible when choosing software. To avoid switching solutions after the fact, subscribe to nonprofit technology blogs and follow thought leaders so you can proactively plan and implement the best solutions.
  

CSR should undoubtedly be on your business’ or nonprofit’s radar as you build future strategic plans. By consistently following these trends, your organization can leverage the unmatched benefits of CSR and stay a step ahead.