Welcome Sector Champions. The session will begin soon.

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1 Welcome Sector Champions. The session will begin soon. Corporate Community Investment Practices, Motivations and Challenges: Findings from the Canada Survey of Business Contributions to Community Thursday, November 13th, :30 to 2:30 EST presented by Dr. Michael Hall, VP Research, Imagine Canada hosted by Mike Meadows, Senior Manager Corporate Citizenship, Imagine Canada 1

2 Crystal Melin Manager of Marketing & Membership, Imagine Canada Technology Overview Audio During the presentation please mute your phones. If you don t have your own mute button on your phone you can mute by pressing * 6. To turn mute off, press * 6 again. Problems at anytime, dial * 0 for operator assistance Web Conference Workspace window: where you view the presentation. Tools to use: Chat pod (to submit questions) Technical Difficulties If for any reason you are dropped from the audio or web portions of the conference, just dial/sign back in and you will rejoin the session in progress. Session Overview Presentation About one hour in length. 25 minutes for the presentation and about 30 minutes for questions and answers. Questions & Answers: Chat (Q&A) Pod: Use the pod to the right of the slides, type in your question at the bottom and Submit questions using After the presentation we will answer as many of your questions as we can. Feedback After the session we will you an evaluation questionnaire. (This helps us develop future SectorCast sessions.) 2

3 Corporate Community Investment Practices, Motivations and Challenges: Findings from the Canada Survey of Business Contributions to Community Thursday, November 13th, :30 to 2:30 EST presented by Dr. Michael Hall, VP Research, Imagine Canada hosted by Mike Meadows, Senior Manager Corporate Citizenship, Imagine Canada 3

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5 we re still a family company and the founder of our company was known as much of a philanthropist as a businessperson so that s a core value that he instilled in the company and it carries on today

6 Expectations in the community are very, very high

7 we do all this because it s expected and it s corporate goodwill but we should have a strategy behind it, there should be a business element to it that supports why you do what you do

8 I m continuously shocked at how little we measure it and track it

9 I think managing demand is my biggest challenge... It seems to be growing at a much higher rate than I could ever have imagined and I hear the same thing from every organization And the size of requests is going up.

10 The Business Contributions to Community Study Funded through the generous support of EnCana corporation First phase: Roundtable consultations with 47 business representatives Second Phase: Benchmarking representative survey of 1,500 businesses and a targeted sample of 93 of Canada s largest businesses Going forward: surveys to be conducted every two to three years to track changes over time

11 Key Themes Positive attitudes towards charities and nonprofits Broad support for community Narrow range of causes that businesses support Business reasons behind contributions Challenges How efforts are organized Implications

12 Background Widespread interest in CSR Some evidence that community investment is linked to business performance Increasing interest in strategic investment Very limited Canadian research U.S. studies: Committee Encouraging Corporate Philanthropy (US) found in its sample of 136 corporations, companies contributed a median.88% of pre tax profit Conference Board Study: 189 companies contributed a median 1.16% of pre tax profit

13 100% Business Contributions to Community Survey: Sample Characteristics 75% 61% 50% 25% 0% $100,000 to $499,999 25% $500,000 to $1,999,999 14% 93 businesses $2,000,000 + Targeted Sample of 25 million+

14 Views About Charities and Nonprofit Organizations 100% 100% 80% 60% 40% 20% 52% 41% 72% 27% Strongly agree Somewhat agree 80% 60% 40% 20% 49% 45% 71% 27% Strongly Agree Somewhat Agree 0% All Business 25 million+ 0% All Business $25 million + Charities and nonprofits generally improve the quality of life in Canada Businesses and nonprofits can mutually benefit from a collaborative relationship

15 Views About Charities and Nonprofit Organizations Most businesses that donate to charity would do so even if they did not get any business benefits in return

16 Types of Direct Contributions Donate money Donate goods / products Sponsorship Cause marketing Donate to corporate foundation 14% 26% 8% 17% 5% 43% 51% 59% 72% 69% 76% 97% 0% 25% 50% 75% 100% $25 million + All businesses

17 Value of Direct Contributions by Large Corporations ($25 million +)

18 Direct Contributions: Large Corporations vs. Broader Business Community All Businesses Median contribution: $3,000 Median cash: $2,000 Median contribution as % of pre tax profit: 1.25% 25 % give 0% of pre tax profit Large Corporations Median contribution: $275,000 Median cash: $190,000 Median contribution as % of pre tax profit: 1.00% 25 th give.06% of pre tax profit

19 Value of Direct Contributions: Large Corporations vs. All Businesses All Businesses Large Corporations Median TotalContribution $3,000 $275,000 Median Cash Donation $2,000 $190,000 Median Contribution as % of Pre Tax Profit Amount Contributed by 25% of Companies 1.25% 1.00% 0%.06%

20 Beneficiaries of Direct Contributions Social services 90% 66% Health 82% 66% Sports & Recreation 75% 58% Hospitals 74% 48% Public / Private Schools 53% 36% Arts and Culture 68% 30% United Way 71% 28% Universities & Colleges 67% 24% Protect Animals / Wildlife / 46% 24% International aid 28% 22% Environmental 57% 20% Industry or Trade 44% 13% 0% 25% 50% 75% 100% $25 million + All Businesses

21 Distribution of Direct Contributions By Type of Organization Social services Health Sports & Recreation Hospitals Public / Private Schools Arts and Culture United Way Universities & Colleges Protect Animals / Habitat International aid Environmental Industry or Trade 2% 4% 1% 4% 5% 2% 8% 10% 13% 15% 19% 17% 0% 5% 10% 15% 20% Direct Contributions

22 Other Types of Contributions: Mobilizing Stakeholders Raise money from employees Support / encourage company employee volunteering 18% 43% 83% 82% Provide a payroll deduction program Make matching grants for employee contributions 8% 9% 62% 71% Raise money from customers or suppliers 22% 50% 0% 50% 100% $25 million + All businesses

23 Reasons for Making Contributions It helps build a strong and healthy community, which is good for business 22% 36% 72% 51% $25 million+ All businesses It fits company traditions and values 22% 37% 73% 48% $25 million+ All businesses It is good for company's relationship with the community 23% 38% 72% 46% $25 million+ All businesses 0% 25% 50% 75% 100% Somewhat important Very important

24 Reasons for Making Contributions It is a good thing to do, irrespective of financial returns 43% 37% 46% 51% $25 million+ All businesses It is good for company's reputation 40% 39% 33% 55% $25 million+ All businesses It is good for relationship with clients or customers 39% 37% 32% 45% $25 million+ All businesses It helps recruit and retain employees Somewhat important Very important 46% 28% $25 million+ 19% 7% All businesses 0% 25% 50% 75% 100%

25 It helps build a strong and healthy community which is good for It is good for your company's relationship with the community If fits your company's traditions and values Reasons for Making Contributions for Large Corporations 22% 21% 22% 72% 72% 72% It is a good thing to do irrespective of financial returns It is good for your company's relationship with clients or customers 44% 39% 51% 45% It is good for you company's reputation 44% 51% It helps you recruit and retain employees 47% 28% 0% 50% 100% 0% 50% 100% Somewhat Important Very Important

26 Perceived Challenges to Contribution Efforts Difficulty responding to increasing requests Lack of company's resources Difficulty measuring the impact on business Difficulty managing the expectations of multiple stakeholders Lack of interest or support from employees Lack of interest or support from management 74% 79% 47% 64% 58% 46% 50% 37% 27% 32% 24% 26% 0% 25% 50% 75% 100% $25 million + All businesses

27 How Organized is Business Support? All Businesses 22% have regular ongoing programs for contributions 46% have senior management team or board leadership 13% measure the benefits of their community contributions 8% have a written policy Large Corporations 79% have regular ongoing programs for contributions 64% have senior management team or board leadership 27% measure the benefits of their community contributions 39% have a written policy

28 Conclusion Most business support charities and nonprofits Large corporations lead the way: Seek benefits in addition to doing good More contributions of all kinds Mobilize clients, customers and employees in fundraising Employee volunteering Organized and strategic

29 Creating Greater Impact Develop strategies to maximize impact for business and for community Deploy all available assets Find new niches for investment Get organized Communicate strategy Measure impact to better target efforts

30 our future depends on the success and the vibrancy and the health of this community as a whole so we recognize that we need to step up and support that in a meaningful way.

31 Thank You For more information about Imagine Canada and its research visit:

32 Questions & Answers To ask a question use the Chat (Q&A) Pod to the right of the slides. Type in your question in the window at the bottom of the pod and click the submit arrow. We will review questions and respond to as many questions as we can. 32

33 Thank you for participating in this SectorCast Session. An containing a link to an online evaluation survey will be arriving in your inboxes within the hour. Please take a few moments before the end of today to complete the questionnaire. The questionnaire will take approximately 5 to 10 minutes to complete. 33