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KWD Webranking Forum 2012

London, November 29th
Beyond „cut & paste‟ communications:
distinctive approaches to online CR
communications

James Osborne | head of CSR | Lundquist




                         KWD Webranking Forum, London, 23 Nov. 2012
Guess the business




                 German reinsurance   Swedish industrial

29-11-2012 | 3
Guess the business



                              Italian utility




                              Swedish metals




29-11-2012 | 4
http://pinterest.com/lundquistsrl/visualising-csr-common-practice/

2007-11-05 | 5
New approaches to CR communications

                         Once-a-year                      Ongoing


                            Silos                        Integrated


                 Disclosure and cut-and-paste   Communications & storytelling


                   Specialists (categories)       Stakeholders (Individuals)


                          Broadcast             Engagement & conversation


                           Generic                       Distinctive

29-11-2012 | 6
!          An anti-greenwashing recipe: what
                                              drives trust in stakeholders?


                                                                                46%
                   Performance data
                                                                       38%
                                                                                               Top two
                                                                         41%
          Intl. principles/guidelines
                                                                           43%                 categories
                                                                                               unchanged in
                                                                  35%
                 Quantitative targets
                                                       22%                                     2011-2012
                                                                32%
                 External assurance
                                                                32%

                                                          27%
                                                                                        Importance
             Partnership with NGOs
                                                         25%                            of external
                                                         25%
                                                                                        validation
   External experts‟ perspectives
                                                        24%

                                                 14%
        Incl. in sustainability index
                                                13%
                                                                                       2012
                                         1%
                               Other                                                   2011
                                         4%

                                        0%      10%    20%       30%         40%        50%
                                                                 Note: based on non-corporate respondents only. Two choices allowed.
                                                                 Source: Lundquist CSR Online Awards Survey 2011–2012


08-11-2012 | 7
What infuriates stakeholders?
        “I hate it when companies stick to
        GRI and do not communicate in an
        appealing and educational fashion”




                                             “Cherry picking; lack of
                                             performance data; bla bla”


08-11-2012 | 8
What makes stakeholders happy?




08-11-2012 | 9
As CR goes mainstream, it‟s time to
         capture attention of our audiences




2007-11-05 | 10
What about those who will never visit a
                    corporate website?




2007-11-05 | 11
The context…




                  Internet video will officially reach the halfway mark of consumer
                  internet traffic by the end of 2012

2007-11-05 | 12
Are you?
2007-11-05 | 13
The most important Facebook number




    “What does that mean? That Facebook is for real. That “active users” are active
    when it comes to bringing friends online. The network has matured into a thriving
    marketplace of friends, one where we self-organize into the same kind of tribal
    groups etched into our evolutionary history”
                                                     Chris Taylor, Mashable (Oct 5 2012)

2007-11-05 | 14
What‟s expected of corporate social
         media use?




                  Source: Lundquist CSR Online Awards Survey 2012

2007-11-05 | 15
The situation in Europe today




                  Source: Lundquist CSR Online Awards 2012

2007-11-05 | 16
The changing nature of relationships

                              FOSTERING “CONVERSATION”
           INTIMACY               INTERACTIVITY      INCLUSION             INTENTIONALITY

                 Reduce the
            distance, encourage
                                  Enable a two-way   Allow participation   Be clear about the aim
               honesty, go to
                                     exchange            by all sides      & tie it to the strategy
                 where your
               audiences are




                                                                      Inspired by: Talk, Inc.
                                                                         Groysberg & Slind
                                                     (Harvard Business Review Press, 2012)




2007-11-05 | 17
The CSR community on Twitter




2007-11-05 | 18
Social media & partnership




2007-11-05 | 19
Social media & partnership




2007-11-05 | 20
What will the future hold for us?




                              Source: Lundquist CSR Online Awards Survey 2012

09-11-2012 | 21
Surely consumers won‟t read a report?
          They may not know what “CSR” and “sustainability” mean but
           their expectations are closely aligned with “experts”
                  TRUST

                  • They don’t trust grand claims and generic commitments

                  CREDIBILITY

                  • They want credible data and concrete evidence of environmental performance

                  INTEGRATION

                  • They are keenly aware of the importance of sustainability to the core business of
                    selling products & services

                  PRIORITIES

                  • They want to see how companies are ensuring the wellbeing of employees,
                    suppliers and consumers

                  ONLINE

                  • They are connected, social, mobile… and impatient


09-11-2012 | 22
Strategic approach to the web
        The evolution in digital communications and corporate-stakeholder
        relationships require a strategic approach to the web for corporate
        responsibility, spanning reporting and communications


                                                               “Once the consumer
                                                               can hold up a QR code
                                                               to a garment and find
                                                               out its history, where it’s
                                                               made and what its
                                                               impacts are, that will be
                                                               the next big step.”

                                                                          Vincent Stanley
                                                                         VP of Marketing,
                                                                               Patagonia



09-11-2012 | 23
Approaches to video: Pepsi




                                 http://www.youtube.com/watch?v=H9o8TaZEK1E

2007-11-05 | 24
Approaches to video: CCE




                           http://www.youtube.com/watch?v=ByHcNZ2c8Mo&feature=related

2007-11-05 | 25
Approaches to video: Unilever




                                  http://www.youtube.com/watch?v=cpYhgqPRivw

2007-11-05 | 26
Approaches to video: Rainforest Alliance




                                   http://www.youtube.com/watch?v=3iIkOi3srLo

2007-11-05 | 27
Thank you

      James Osborne
      james.osborne@lundquist.it
      Twitter: @jabosborne


                                                                                 Lundquist
                                                                          Via S. Maurilio 23
                                                                          20123 Milan, Italy
                                                                      Tel. + 39 02 36754123
                                                                     Web: www.lundquist.it
                                                                Blog: www.lundquist.it/blog
                      Social media: Facebook, Twitter, LinkedIn, YouTube, Slideshare, Flickr


2007-11-05 | 28
BACK-UP


2007-11-05 | 29
Corporate responsibility & the internet




                  Reporting
                              Communications




09-11-2012 | 30
User-centred approach

          Aim of research is to examine
           how well companies are
           responding to user expectations
           and requirements through their
           online CSR communications
          5th edition of the research
          252 companies covered
          68 criteria: max. 100 points
          Input from 400 CSR experts,
           sustainability professionals and
           stakeholders in 52 countries
                   Supported by study of third-
                    party surveying of consumers

09-11-2012 | 31
Web as disruptive factor in the
         company-stakeholder relationship




09-11-2012 | 32
Time as a critical factor: responsiveness




09-11-2012 | 33
Do you prefer a PDF report or online report?


                                No preference
                                    10,1%



                                                             PDF
                                                            37,6%

                  Prefer both
                    30,9%




                                           Online
                                           21,3%



                                                Source: Lundquist CSR Online Awards




09-11-2012 | 34
What about a web-based approach?
                                              Don‟t know
                                                2,8%


                                     Depends on
                   Don‟t trust        assurance
                     online             11,3%
                  information
                      4,0%                                        Very useful
                                                                    32,2%
                                                                                    Total
                                                                                  positive
                            Only if
                         replicated in                                          response
                             PDF                                                   54.2%
                            19,8%


                                      Makes no
                                      difference        Quite useful
                                         7,9%             22,0%




                                 Source: Lundquist CSR Online Awards




09-11-2012 | 35
Current trends in reporting formats
      Top 100 listed companies in
      Europe by non-financial
      report format in 2012




09-11-2012 | 36
How are companies responding?

         G. NAVIGABILITY & USABILITY                                                   60%               .
                                                                                                                     SEARCH!
                      C. ENVIRONMENT                                                59%              =



                             D. SOCIAL                                              58%


                          A. OVERVIEW                                         52%              =


                  J. NEWS & RESOURCES                                         51%          .
                                                                                                                   STORY-TELLING!
                         B. REPORTING                                      48%         =


            E. ETHICS & GOVERNANCE                                 41%


         H. VISUAL COMMUNICATIONS                           32%        .                   VIDEO, DATA VISUALISATION!
                       I. INTERACTIVITY                    31%
                                                                                           SOCIAL!
            K. DIALOGUE & CONTACTS                         30%     .

                                                                                    ENGAGEMENT!
                                 F. SRI              24%

                                          0%   10%   20%     30%       40%       50%           60%           70%
                                                                             Source: Lundquist CSR Online Awards

09-11-2012 | 37
The CSR community on Twitter




2007-11-05 | 38
Data visualisation




2007-11-05 | 39

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CR communications James Osborne Lundquist_2012-11-29

  • 1. KWD Webranking Forum 2012 London, November 29th
  • 2. Beyond „cut & paste‟ communications: distinctive approaches to online CR communications James Osborne | head of CSR | Lundquist KWD Webranking Forum, London, 23 Nov. 2012
  • 3. Guess the business German reinsurance Swedish industrial 29-11-2012 | 3
  • 4. Guess the business Italian utility Swedish metals 29-11-2012 | 4
  • 6. New approaches to CR communications Once-a-year Ongoing Silos Integrated Disclosure and cut-and-paste Communications & storytelling Specialists (categories) Stakeholders (Individuals) Broadcast Engagement & conversation Generic Distinctive 29-11-2012 | 6
  • 7. ! An anti-greenwashing recipe: what drives trust in stakeholders? 46% Performance data 38% Top two 41% Intl. principles/guidelines 43% categories unchanged in 35% Quantitative targets 22% 2011-2012 32% External assurance 32% 27% Importance Partnership with NGOs 25% of external 25% validation External experts‟ perspectives 24% 14% Incl. in sustainability index 13% 2012 1% Other 2011 4% 0% 10% 20% 30% 40% 50% Note: based on non-corporate respondents only. Two choices allowed. Source: Lundquist CSR Online Awards Survey 2011–2012 08-11-2012 | 7
  • 8. What infuriates stakeholders? “I hate it when companies stick to GRI and do not communicate in an appealing and educational fashion” “Cherry picking; lack of performance data; bla bla” 08-11-2012 | 8
  • 9. What makes stakeholders happy? 08-11-2012 | 9
  • 10. As CR goes mainstream, it‟s time to capture attention of our audiences 2007-11-05 | 10
  • 11. What about those who will never visit a corporate website? 2007-11-05 | 11
  • 12. The context… Internet video will officially reach the halfway mark of consumer internet traffic by the end of 2012 2007-11-05 | 12
  • 14. The most important Facebook number “What does that mean? That Facebook is for real. That “active users” are active when it comes to bringing friends online. The network has matured into a thriving marketplace of friends, one where we self-organize into the same kind of tribal groups etched into our evolutionary history” Chris Taylor, Mashable (Oct 5 2012) 2007-11-05 | 14
  • 15. What‟s expected of corporate social media use? Source: Lundquist CSR Online Awards Survey 2012 2007-11-05 | 15
  • 16. The situation in Europe today Source: Lundquist CSR Online Awards 2012 2007-11-05 | 16
  • 17. The changing nature of relationships FOSTERING “CONVERSATION” INTIMACY INTERACTIVITY INCLUSION INTENTIONALITY Reduce the distance, encourage Enable a two-way Allow participation Be clear about the aim honesty, go to exchange by all sides & tie it to the strategy where your audiences are Inspired by: Talk, Inc. Groysberg & Slind (Harvard Business Review Press, 2012) 2007-11-05 | 17
  • 18. The CSR community on Twitter 2007-11-05 | 18
  • 19. Social media & partnership 2007-11-05 | 19
  • 20. Social media & partnership 2007-11-05 | 20
  • 21. What will the future hold for us? Source: Lundquist CSR Online Awards Survey 2012 09-11-2012 | 21
  • 22. Surely consumers won‟t read a report?  They may not know what “CSR” and “sustainability” mean but their expectations are closely aligned with “experts” TRUST • They don’t trust grand claims and generic commitments CREDIBILITY • They want credible data and concrete evidence of environmental performance INTEGRATION • They are keenly aware of the importance of sustainability to the core business of selling products & services PRIORITIES • They want to see how companies are ensuring the wellbeing of employees, suppliers and consumers ONLINE • They are connected, social, mobile… and impatient 09-11-2012 | 22
  • 23. Strategic approach to the web The evolution in digital communications and corporate-stakeholder relationships require a strategic approach to the web for corporate responsibility, spanning reporting and communications “Once the consumer can hold up a QR code to a garment and find out its history, where it’s made and what its impacts are, that will be the next big step.” Vincent Stanley VP of Marketing, Patagonia 09-11-2012 | 23
  • 24. Approaches to video: Pepsi http://www.youtube.com/watch?v=H9o8TaZEK1E 2007-11-05 | 24
  • 25. Approaches to video: CCE http://www.youtube.com/watch?v=ByHcNZ2c8Mo&feature=related 2007-11-05 | 25
  • 26. Approaches to video: Unilever http://www.youtube.com/watch?v=cpYhgqPRivw 2007-11-05 | 26
  • 27. Approaches to video: Rainforest Alliance http://www.youtube.com/watch?v=3iIkOi3srLo 2007-11-05 | 27
  • 28. Thank you James Osborne james.osborne@lundquist.it Twitter: @jabosborne Lundquist Via S. Maurilio 23 20123 Milan, Italy Tel. + 39 02 36754123 Web: www.lundquist.it Blog: www.lundquist.it/blog Social media: Facebook, Twitter, LinkedIn, YouTube, Slideshare, Flickr 2007-11-05 | 28
  • 30. Corporate responsibility & the internet Reporting Communications 09-11-2012 | 30
  • 31. User-centred approach  Aim of research is to examine how well companies are responding to user expectations and requirements through their online CSR communications  5th edition of the research  252 companies covered  68 criteria: max. 100 points  Input from 400 CSR experts, sustainability professionals and stakeholders in 52 countries  Supported by study of third- party surveying of consumers 09-11-2012 | 31
  • 32. Web as disruptive factor in the company-stakeholder relationship 09-11-2012 | 32
  • 33. Time as a critical factor: responsiveness 09-11-2012 | 33
  • 34. Do you prefer a PDF report or online report? No preference 10,1% PDF 37,6% Prefer both 30,9% Online 21,3% Source: Lundquist CSR Online Awards 09-11-2012 | 34
  • 35. What about a web-based approach? Don‟t know 2,8% Depends on Don‟t trust assurance online 11,3% information 4,0% Very useful 32,2% Total positive Only if replicated in response PDF 54.2% 19,8% Makes no difference Quite useful 7,9% 22,0% Source: Lundquist CSR Online Awards 09-11-2012 | 35
  • 36. Current trends in reporting formats Top 100 listed companies in Europe by non-financial report format in 2012 09-11-2012 | 36
  • 37. How are companies responding? G. NAVIGABILITY & USABILITY 60% . SEARCH! C. ENVIRONMENT 59% = D. SOCIAL 58% A. OVERVIEW 52% = J. NEWS & RESOURCES 51% . STORY-TELLING! B. REPORTING 48% = E. ETHICS & GOVERNANCE 41% H. VISUAL COMMUNICATIONS 32% . VIDEO, DATA VISUALISATION! I. INTERACTIVITY 31% SOCIAL! K. DIALOGUE & CONTACTS 30% . ENGAGEMENT! F. SRI 24% 0% 10% 20% 30% 40% 50% 60% 70% Source: Lundquist CSR Online Awards 09-11-2012 | 37
  • 38. The CSR community on Twitter 2007-11-05 | 38