Using Corporate Social Responsibility (CSR) as a Hotel Reputation Management Tool
By Court Williams Chief Executive Officer, HVS Executive Research | December 15, 2019
Business these days is about more than simply earning revenue and building a profitable empire. Companies are expected to be socially conscious, not only in the way they operate, but also in the way they support the people who support them.
Corporate social responsibility (CSR) is an evolving business practice that integrates sustainable, ethical or humanitarian practices into the company's business model. The purpose of these actions is not to boost the bottom line, but to positively impact the social, economic or environmental factors affecting a community.
Benefits of a CSR Program
A corporate social responsibility strategy offers multiple benefits for any organization, including a company's reputation management strategy. In the incredibly competitive hospitality industry, hotel stays are almost always either a business or a leisure purchase, rather than a necessity. Reputation is vitally important when it comes to attracting visitors, because of the huge number of exciting destinations to choose from. In today's socially aware environment, employees and guests prioritize working for and spending their money with hotel brands that practice CSR.
A 2017 study on CSR by Cone Communications showed 87% of respondents would buy from companies that support issues they care about, while 76% would refuse to buy from organizations that back issues they oppose. This shows the value of highlighting a hotel brand's CSR activities, and companies that practice strong CSR have better reputations, enhanced brand images, higher customer loyalty, increased trust, and superior retention. These factors all help to improve public relations and create better visibility for investors, leading to increased sales and benefits.
Most Effective CSR Models for Hotel Brands
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