Businesses are part of a local community and one of the most significant ways to show support for the community is through corporate
donations to charities and other non-profit organisations.
However, according to a recent report by the Centre for Corporate Public Affairs, charities are reporting an increase of up to 50% on the demand for services. And with the reduction in business
donations because of the economic crisis, many charities are now depending on smaller donations from individuals and community groups. Without support for organisations like The Smith Family, helping jobless Australians, solo parents or disadvantaged children becomes incredibly difficult.
According to American studies, Cone/Roper Cause Related Trends report (1999) and Cone/Roper Corporate Citizenship Study (2001), on corporate donations:
- 8 in 10 consumers have a more positive regard for a company that supports a cause
- 87% of workers are more loyal towards companies that engage in partnerships with nonprofit organisations
- 81% of consumers surveyed are likely to brands that support and provide donations to charities or a cause-related program.
- 90% of workers feel proud of their companies when they provide in corporate donations and partnerships with non-profit organisations and other cause-related programs.
These findings are supported by a recent Curtain University study that found corporate donations and partnerships significantly increased a company's reputation, economic gains (through increased customer, investor or stakeholder loyalty) and competitiveness in the marketplace.
Of course, corporate donations also directly help community organisations. For example, ANZ and The Smith Family are working together to improve the financial literacy skills of disadvantaged Australians.
