Employer branding: strategic implications for staff recruitment

Abstract

In many developed economies, changing demographics and economic conditions have given rise to increasingly competitive labour markets, where competition for good employees is strong. Consequently, strategic investments in attracting suitably qualified and skilled employees are recommended. One such strategy is employer branding. Employer branding in the context of recruitment is the package of psychological, economic, and functional benefits that potential employees associate with employment with a particular company. Knowledge of these perceptions can help organisations to create an attractive and competitive employer brand. Utilising information economics and signalling theory, we examine the nature and consequences of employer branding. Depth interviews reveal that job seekers evaluate: the attractiveness of employers based on any previous direct work experiences with the employer or in the sector; the clarity, credibility, and consistency of the potential employers’ brand signals; perceptions of the employers’ brand investments; and perceptions of the employers’ product or service brand portfolio.     

Role of variability in cultural dimensions across generations in the context of CSR advertising in an East Asian market

The study examines how, across generations, Korean consumers perceive corporate social responsibility (CSR) ads when various ad appeals (help-self vs. help-other) are employed. The findings show that younger consumers have bicultural orientations compared to older consumers who have collectivistic cultural orientations. The findings showed that younger consumers were more likely to form favourable attitudes toward CSR ads and products when they viewed help-other ad appeals over help-self ad appeals compared to older consumers. Furthermore, the study revealed that variability in biculturalism plays a significant role in viewing CSR ads with help-self ad appeals. Further managerial implications and future study ideas are discussed.     

Response to advertising on online social networks: the role of social capital

The objective of this study is to analyse the marketing value obtained from developing and maintaining social relationships through online social networks (OSNs). We propose and test a structural model that considers a number of antecedents to response to advertising, namely social capital, social status and sociability. Data was gathered through the administration of a structured online questionnaire to a sample of 274 OSN users. Results show that social capital derived from participating in OSNs has a positive impact on social status and sociability; in turn this has a positive impact in response to advertising. This study advances theory by analysing the impact of bonding and bridging social capital on both social status and sociability. Additionally, it examines the impact of both of these constructs on response to advertising. The confirmation of the significance of social capital gained through participation in OSNs and its impact on response to ads provides support for the notion that the relationally oriented and marketing‐oriented management of OSNs are compatible. These findings are of great relevance for the appropriate management of company presence on OSNs.     

Doing good matters to consumers: the effectiveness of humane-oriented CSR appeals in cross-cultural standardized advertising campaigns

This investigation contributes to the advancement of international advertising theory by developing a model of cross-cultural consumer responses to humane-oriented corporate social responsibility (CSR) appeals in advertising and by testing it using structural equation modelling with data from six countries (Germany, Switzerland, Austria, France, USA, and Chile). The model includes ad-, advertiser-, product-, and behaviour-related variables.

Based on survey data from 924 subjects, the model received support in all six countries which suggests that humane orientation is a favourable cultural dimension for advertising purposes, even in countries in which humane orientation is less highly valued. The higher the perceived degree of humane orientation in an advertisement, the more positive was the evaluation of the ad, and the more likely subjects were to evaluate the advertiser as being socially responsible. These two variables positively influenced attitudes towards the product and, consequently, behavioural intentions. Some support was found for a moderating influence of country on the relationship between perception of humane orientation in the ad and the evaluation of that ad and on the relationship between perception of humane orientation in the ad and perceived degree of social responsibility of the advertiser. Implications for the use of humane-oriented CSR appeals in international advertising are discussed. Results suggest that international advertisers may pursue a standardized campaign in multiple markets when incorporating humane-oriented CSR appeals. Limitations and directions for further research are addressed.     

The corporate social responsibility (CSR) employer brand process: integrative review and comprehensive model

ABSTRACT

Firms are increasingly drawing on corporate social responsibility (CSR) in their employer branding to improve attractiveness and engage current and potential employees, and to ensure consistency in employee brand behaviours. However, there is a dearth of literature synthesising CSR and employer branding research to understand employee engagement with CSR-firms from a branding perspective. In this article, the authors carried out an integrative literature review of CSR and employer branding literatures. Informed by signaling theory, the authors develop a conceptual model of the CSR employer branding process as a cohesive view from the potential and current employee perspective. Our review highlights the need for firms to achieve CSR consistency in terms of (a) embeddedness of CSR values, and (b) levels of internal CSR. These two factors frame a typology that enable managers to better execute their CSR employer brand identity to achieve favourable results, such as a high-quality talent pool and positive affective, cognitive and behavioural employee outcomes.     

Analyzing the relationship between CSR and reputation in the banking sector

Theoretical studies form the core of the literature on the relationship between corporate social responsibility (CSR) and bank reputation, with few empirical applications discussing the validity of these theoretical proposals. Additionally, the evidence for the links between CSR aspects and bank reputation is inconclusive. This study aims to shed light on the impact of CSR on bank reputation. First, a systematic review of the literature on the empirical studies that relates CSR to bank reputation is performed. These studies indicate significant discrepancies in the measurement of CSR and its links with bank reputation. Second, an empirical study is presented in order to test the impact that CSR (employer branding, integrity and social action) has on the reputation of leading banks in the United Kingdom and Spain. The results obtained call into question the ability of CSR to improve a banking reputation in an unstable financial system.     

Company reputation and its influence on consumer trust in response to ongoing CSR communication

There is considerable disagreement in academic scholarship and beyond as to whether, in cases of bad reputations, companies will want to communicate corporate social responsibility (CSR) activities because this kind of communication is likely to increase consumers’ skepticism. In this regard, the two empirical studies discussed in this article examine the influence of prior company reputation on consumers’ trust in response to CSR communication in general and the development in response to continuous CSR activities and their ongoing communication by companies as well as by the media in particular. The two studies show that consumers’ trust in companies’ CSR activities increases after a second presentation of information by companies even in instances when companies had prior negative reputations. The second study in particular fills a gap in the literature on underlying mechanisms of consumers’ reactions to CSR communication. The results suggest that companies with prior negative reputations do not need to remain silent about their CSR activities; instead, CSR communication can help improve consumers’ trust in companies. However, the findings of these two studies also suggest that this positive development is short-lived. Consumers’ developing trust in companies’ CSR activities decreases significantly if they are exposed to negative information on these companies.     

Public sector corporate branding and customer orientation

The objectives of branding and marketing in the public sector can differ in nature from those in the private sector, to include an improved responsiveness to public needs, rather than an increase in customer numbers. In addition, the customer orientation (a disposition that will influence brand perception) of public services is often questioned. Drawing from prior work in the private sector on the relationships expected between employee and organization customer orientation (hereafter referred to as CO), corporate brand personality, and both employee and customer satisfaction, the authors propose a number of models. These models are tested using structural equation modeling on data from a study of the employees (n = 302) and customers (n = 200) of a public hospital. Corporate brand personality mediates the positive links between employee customer orientation (hereafter referred to as ECO) and satisfaction; ECO influences brand personality, which in turn influences satisfaction. However, while both the needs and enjoyment dimensions of ECO improve customer satisfaction, the former has an unexpected, negative effect on employees. Organization customer orientation (hereafter referred to as OCO) influences customer, but not employee, satisfaction. The paper discusses the implications for managing and researching corporate branding in the public sector.     

Determinants of Success of Employer Branding in a Start‐up Firm in Nigeria

This article aims at providing an understanding of factors that determine the success and failure of employer branding. An African steel‐producing start‐up company developed an employer brand image, which enabled it to effectively attract and hire talent from the labor market and inspired high engagement and productivity. A few years later, the firm lost its attractive brand image and its employer brand loyalty also declined. The study is a longitudinal investigation, and data were collected from policies and through structured interviews with the employees, ex‐employees of the organization, and prospective employees. Findings show amazing success of the employer brand in the first six years in talent attraction, hiring, engagement, and retention. Thereafter, the brand lost its potency, and its dysfunctionality significantly impacted on the future of the firm—employee dissatisfaction, decline in productivity, and increase in turnover. The reasons include a toxic organizational environment, overbranding, failure to keep promises, disconnect between employer branding and human resource strategy, shift of emphasis by senior management from people to production, and lack of a dynamic and differentiated employee value proposition. The study offers practical lessons to managers. © 2017 Wiley Periodicals, Inc.     

Corporate Social Performance and Attractiveness as an Employer to Different Job Seeking Populations

This study investigates the hypothesis that the advantage corporate social performance (CSP) yields in attracting human resources depends on the degree of job choice possessed by the job seeking population. Results indicate that organizational CSP is positively related to employer attractiveness for job seekers with high levels of job choice but not related for populations with low levels suggesting advantages to firms with high levels of CSP in the ability to attract the most qualified employees.     

Ethical limits to the intrusiveness of online advertising formats: A critical review of Better Ads Standards

ABSTRACT

This article argues that advertising ethics, traditionally focused on ad contents and vulnerable audiences, should be also applied to ad format intrusiveness. The increasing appearance of highly intrusive advertising formats resulted in an extraordinarily growth of ad blocking systems. To fight the economic costs of the ad blocker phenomenon, the most relevant agents of the industry have created a never seen Coalition for Better Ads including marketers, publishers, and agencies worldwide. This article analyses the experiments carried out by the Coalition to create Better Ads Standards establishing the limits of ad format intrusiveness to be implemented worldwide by means of self-regulation. Based on classical and current approaches to advertising ethics, this work explains that highly annoying ads should not only be banned for practical reasons but for overpassing ethical limits in terms of respect for the persuadee, equity of the persuasive appeal, and social responsibility for the common good. A basic exploratory replication study is presented to simulate further research on the ethical limits of intrusive advertising. Establishing which ad formats are allowed to continue and which ones should gradually disappear is such a relevant process for many stakeholders that it requires further discussion by consumers and scholars.     

CSR and the national institutional context: The case of South Korea

The different institutional contexts in which businesses practice corporate social responsibility (CSR) lead researchers to challenge the validity of the extant standardized global approach. This study follows recent studies in employing institutional theory to explore the specific pressures and factors that lead CSR practices to differ between countries, and how they lead to those differences. The study is a detailed qualitative analysis of CSR practice in South Korea, a country with very different value and governance systems from the US and UK where contemporary CSR evolved. Contrary to simplistic expectations, Korea shows a concern for short-termism more than for sustainability; and a normative more than a strategic orientation in its CSR, where CSR lies at a crossroads between implicit and explicit CSR behavior. The practices reflect many Korean institutional factors, but not in simple and direct ways. Institutional factors interact in intricate ways to create complex and dynamic pressures for CSR practice. CSR research needs to consider these interactions and dynamic processes with care and institutional theory can help provide a sufficiently intricate research framework.     

CSR attributions and the moderating effect of perceived CSR fit on consumer trust,identification, and loyalty

Although many companies have engaged in corporate social responsibility (CSR) actions to elicit positive customer responses, the motivation behind CSR actions plays an important role in how effective they are, often leading to unexpected outcomes. While previous literature has placed a strong emphasis on value- and strategy-driven CSR actions, the changing consumer perceptions of and responses to these CSR actions remain less understood. Therefore, the current study investigates 1) how a company's CSR attribution affects consumer trust, identification, and loyalty and 2) how the perceived CSR fit moderates these relationships. The results indicate that value-driven, strategic, and stakeholder-driven attributions have positive effects on consumer trust, influencing consumer-company identification and loyalty positively. Further, we find that perceived CSR fit significantly moderates the relationship between strategic attribution and trust and between trust and loyalty. This study provides meaningful implications for both academia and industry, as it illustrates the changes in consumer views following the global pandemic relative to consumer views revealed in earlier studies.     

Understanding customer participation in CSR activities: The impact of perceptions of CSR,affective commitment,brand equity,and corporate reputation

This study investigates the mediating role of affective commitment in the link between perceptions of corporate social responsibility (CSR) and the intention to participate in CSR activities. We also examine the moderating role of firms' brand equity and corporate reputation in the relationship between perceived CSR and affective commitment. The data were collected from two online surveys and analyzed using Hayes' PROCESS macro. The results indicate a partial mediating effect of affective commitment and a significant moderating effect of brand equity. However, the moderating effect of corporate reputation is not significant. This study contributes to uncovering the process of enhancing CSR performance.     

Designing corporate brand experience in an online context: A qualitative insight

This study explores the dimensions and components of corporate brand experience in an Internet setting. Corporate brand experience (CBE), which is a source of a company's added value, could be an effective way to position a corporate brand in relation to the overall corporate marketing strategy. However, the concept of CBE has attracted very little attention from previous research, thereby our understanding of what the concept is and how to operationalize it is limited. Previous brand experience research is mainly focused on the conceptual understanding of brand experience itself, and/or the product brand level (rather than at corporation level). Understanding CBE is important because corporate brand equity (e.g. corporate image, brand loyalty) is dependent not only on how one is satisfied with the product (mostly addressed by functional/performance values of product), but also through the values of the corporation (corporate brand values). This study thus contributes theoretically to the corporate and online branding literature by proposing underlying new dimensions and components of CBE in an online environment. A series of focus group discussions (FGDs) with 32 online banking respondents informs the study. We identify five main themes and 26 sub-themes of corporate brand experience — corporate visual identity, functionality, emotional, lifestyle and corporate/self-identity. Financial service providers can address these dimensionalities during the process of brand positioning and when designing their corporate marketing in an online setting.     

Processes and effects of targeted online advertising among children

Increasingly, information from children's profile pages on social network sites is being used to target online advertising, a phenomenon known as profile targeting. This practice has raised concerns in society and academia; however, its effects among children remain unstudied. Therefore, we investigated the effects of profile targeting on children's brand responses (i.e., brand attitude and purchase intention). We examined two types of targeting: targeting of product and of form (i.e., color). In addition, we tested three underlying mechanisms: liking the advertisement, perceived personal relevance of the advertisement, and recognizing the targeting aspect of the advertisement (targeting recognition). A between-subjects experiment among 231 children aged 9–13 years showed that targeting the product leads to more positive brand attitudes and purchase intentions. In addition, the effects were explained by ad liking and not by perceived personal relevance or targeting recognition. These findings suggest that, unlike adults, children do not process profile targeting on an elaborate critical level. Rather, the processing seems to be less elaborate.     

Thinking pink? Consumer reactions to pink ribbons and vague messages in advertising

Many brands partner with causes in their advertising campaigns. Consumers appreciate that the brands they purchase participate in activities that contribute to a society’s well-being. This study uses copy-testing techniques to evaluate the number and types of thoughts and brand attitudes in the presence and absence of cause-related messages. Individuals saw an ad for one of two products. None of the ads stated the brand’s financial support to the cause, which is representative of many messages today. People viewing the Dansko ads with the pink ribbon generated significantly fewer thoughts than those viewing the ad without the pink ribbon. For the Fitbit ads, more thoughts were generated for the ad with the pink ribbon than the ad without the pink ribbon. The Fitbit ad with the pink ribbon and support message generated fewer positive and negative thoughts but more neutral thoughts that questioned the brand/cause relationship. Attitudes toward the brand did not vary based on the presence or absence of the pink ribbon. People who saw ads with the pink ribbon displayed more positive attitudes toward the brands’ commitment to society and misestimated the brands’ contributions to the cause.     

The Moderating Effects of Status-Consumption Motive and Age in the Relationship between CSR Advertising Appeal Type and Purchase Intentions

The primary purpose of this study was to examine factors that influence the effectiveness of benefit appeal types (i.e., help-other vs. help-self) in Corporate Social Responsibility advertising. To that end, we designed and administered a between-subjects experiment where participants viewed one of the two CSR advertisements crafted with help-self and help-other benefit appeals. Results provided evidence supporting the moderating effects of status-consumption motives and age on purchasing intentions. Additional analysis suggested consumers younger than 48 years old were more likely to be persuaded by a help-other ad appeal when they didn't have strong desires for status consumption. Results were discussed in light of the self-concept theory and value-expressive framework in CSR advertising.     

The role of CSR committee characteristics on R&D investments

We investigate the impact of corporate social responsibility (CSR) committees on research and development (R&D) investments. Using a unique sample of European listed companies, we offer three key results to the current academic and policy debate. First, we document that firms with a CSR committee exhibit lower levels of R&D investments. Second, we find that the CSR committee membership of either the CEO or chairman is associated with an increase in R&D investments. Finally, we provide evidence that firms whose CSR committees are chaired by a female director exhibit higher R&D investments. These results are of importance for academics, investors, and policy makers, since they shed light on the effect of CSR board committees on corporate outcomes, beyond their impact on social performance and/or sustainability disclosure.     

Value Priorities as Combining Core Factors Between CSR and Reputation – A Qualitative Study

This article explores the nature of corporate social responsibility (CSR) and corporate reputation using qualitative research approach. Specifically, the relationship between CSR and corporate reputation is examined from the viewpoint of value theory. This paper brings up for discussion the various value priorities lying in the background of CSR actions. The aim is to form categories of value priorities around CSR and reputation, based on qualitative research approach. The main concepts in this paper – CSR, reputation and value – are also defined. This paper further discusses the theory of value structure and content, which identifies certain principal values among different cultures. The data consist of eight interviews with employees of a newspaper company. The results suggest that value priorities play an influential role in CSR actions, influencing to the essence of certain reputation stories in the corporate context.