Community reputation's big impact on business

New research finds 74% of adults nationwide say their perceptions of a company as being community friendly influence their decisions to buy from them.

For 27% community friendliness has a "great deal" of influence, for 31% "a bit" and for 16% it is "slight": a total of 74%.

10% say is has "not much"; influence, while 5% say it has "none" and 11% "haven't really thought about it."

The study, conducted by Horizon Research for BACS (the Business and Community Shares trust which aims to connect companies and community groups for powerful results for communities), also measured what factors are most likely to improve a company’s perception of being community friendly.

Of 11 factors measured, these are the top three influencing companies’ community friendly status:

• Respect for the natural environment and the history of the community, and trying to preserve and take care of them (cited by 58%)
• Operating in a sustainable manner (40%), and
• Supporting diversity, not favouring one group at the expense of another or making racial or cultural distinctions.

These are the impacts of each factor on actual decisions to buy:

The survey, of 2019 adults nationwide in October, 2016, represents the New Zealand 18+ population at the last census and has a margin of error of +/- 2.2%.

It also delivers community friendly ratings for 5 main travel companies, 8 banks, 4 IT/ telecommunications companies, 5 oil/ service stations and 29 brands overall, including most BACS members.

Horizon Research is making its presentation to a November 25, 2016, BACS breakfast being attended by more than 50 organisations, available to BACS members and other companies wanting to understand how best to work with their communities – and also grow the number of people who would consider doing business with them.

For further information from Horizon please contact:

Grant McInman, Manager, Horizon Research

E-mail: gmcinman@horizonresearch.co.nz

Telephone: +64 21 076 2040