By Sharon Fain
Student Writer

Cause-related marketing (CRM) and corporate social responsibility (CSR) are playing a larger role in corporate PR strategies and non-profit funding. However, with an economic downturn and what some see as growing public suspicion of corporate motives, the field is facing questions of transparency, usefulness to businesses and charities, and relevancy to younger consumers. At the annual Kenneth Owler Smith Symposium, hosted by USC Annenberg and the Public Relations Society of America Los Angeles (PRSA-LA), a panel of practitioners and advisors discussed these and other issues related to the future of CRM and CSR on Feb. 28.

Director of public relations studies Jerry Swerling moderated the panel that included Michael Rouse, Corporate Manager, Philanthropy & Community Affairs, Toyota Motor Sales; Greg Donaldson, National VP, Corporate Communications, American Cancer Society; Maureen Carlson, Principal, Caliber Sales & Marketing; and Ed Chansky, Corporate-Philanthropy Attorney, Levett Rockwood P.C. Issues included not disclosing the portion of funds donated per purchase, campaign promotion spending vs. donation amount, social media’s affect on PR strategies, CRM vs. corporate philanthropy, and the evolution of CRM and CSR strategies.

Panelists advised practitioners to consider the values of the company to see what sorts of charities would be most compatible as well as what customers expect.

“The research shows that consumers want us to be involved in environmental and safety initiatives,” Rouse said. He added that this was a natural fit for Toyota in its business model with its hybrid vehicles and green manufacturing plants as well as a commitment to vehicle safety.

This type of perspective also lends itself to creating integrated CRM and CSR, where internal publics that align themselves with the corporation also will align themselves with the charities it supports. Swerling said that in an era of citizen journalism, the people who you employ will be your biggest advocates in who you support as a company. This will be promoted or disparaged in the new media depending how authentic the company is in its philanthropy.

A question from the audience asked how CRM and CSR will change if the economy enters a recession. Panelists agreed that - if anything - traditional corporate philanthropy would probably suffer and said CSR and CRM will still play an important role.

“I don’t think it’s going to be going away,” Donaldson said. “I think what will change is the types of causes that companies are involved in will change.”

Carlson said the bottom line is that PR people will need to get creative.