Social value, social impact, meaningful business, purpose-led business – these are the current buzzwords signalling a shift in how organisations behave. The idea is that business is no longer purely about profit but increasingly incorporates an ethical dimension. Central to this shift is the replacement of traditional CSR (Corporate Social Responsibility) with more impactful, embedded social value strategies.
This evolution is a welcome one. CSR too often amounted to disjointed efforts – well-meaning but inconsistent. While certain charities and causes may have benefited, CSR rarely addressed the root causes of social inequality or environmental degradation. A focus on social impact has the potential to go far deeper – if it’s done properly.
To be truly effective, an organisation’s social value strategy must be integrated into the brand itself. It cannot be a bolt-on or afterthought. If it’s not connected to your core offering, it risks becoming just another version of outdated CSR.
Take environmental impact, for instance. Scientists continue to warn of impending climate disaster, yet many businesses respond with shallow gestures – classic greenwashing. Offsetting a large carbon footprint by planting trees might sound good, but unless those trees are planted strategically – say, in the Amazon rainforest or areas of ecological priority – the actual benefit may be negligible.
Similarly, the fast fashion industry often channels funds into charitable schemes while continuing to exploit low-paid workers and waste vast natural resources. That’s not social value – it’s PR. A genuinely responsible brand would focus on improving the working conditions of its supply chain, ensuring fair wages, and reducing its environmental footprint at source. That’s where social value lies – at the heart of your business model, not on the margins.
Closer to home, consider LNER. The company has made notable strides in social impact – one example being their award-winning automated deer deterrent system, which has reduced animal fatalities on train tracks and improved operational efficiency. It’s a strong initiative that shows how environmental goals can align with business performance.
However, LNER’s social value record is far from perfect. While it supports community schemes and the environment, its ticket pricing policy tells another story. The majority of people in the UK work for small businesses – the lifeblood of local economies and key to regional growth. These are the very businesses that LNER should support, yet its inflexible pricing structure often works against them.
Small business owners, who need to travel at short notice and operate within tight budgets, are now faced with a dilemma: book a cheap, inflexible ticket and risk losing the fare if plans change or, pay a steep price for flexibility. Neither option serves them well. This model suits large corporates and leisure travellers – but penalises the very communities LNER should support. In that context, its social value credentials are undermined by its own pricing practices.
Social impact has real potential to be transformative – for business, for communities, and for the planet. But only if it’s more than a surface-level commitment. Unless your social value strategy is fully aligned with your brand’s core purpose and operations, it will remain just that – a meaningless add-on.
