How much does ESG matter to consumers? It depends…
Blog Post18 Sep, 2020
How important is it that your key stakeholders are aware of your company’s ESG (Environmental - Social - Governance) initiatives? It’s important (especially if you are targeting millennials), but just how important depends on the specific business outcome you are trying to achieve. The RepTrak Data Science Team uses a machine learning powered modelling approach to analyze the importance of ESG in driving business outcomes. The results from two years’ worth of data show that the importance of ESG depends on the business outcome sought.
To the general public, ESG is the 9th most important factor when determining willingness to buy a company’s products or services. ESG’s importance rank goes up to the 5th most important factor when it comes to recommending a company. Counting on the public to give you the benefit of the doubt in a time of crisis? If so, our data shows that ESG should be a top consideration in your actions and communications as ESG is the 3rd most important thing people consider when deciding whether they will give your company the benefit of the doubt.
Stop Guessing What People Think. Start Measuring It Instead.
It’s not enough for your company to have ESG initiatives. You need to know what your audience actually cares about to communicate to them more effectively and then continuously measure whether you are changing hearts and minds.
If your stakeholders aren’t aware of your ESG efforts or you’re focusing on the wrong things, they won’t reward you for them. Make sure you are communicating your initiatives and tracking whether they are resonating with your target audience.
Not sure if your ESG initiatives are breaking through the noise? Click here to find out what your audience really thinks.