
HR or CSR (corporate social responsibility) representatives have a lot to consider before deciding on a CSR software. One of the primary considerations is affordability and, relatedly, the expected return on investment (ROI).
When it comes to CSR software solutions, the market has many more choices than it did 20 or even 10 years ago. Having more options, however, can bring about decision paralysis. Which tools have the capabilities you need to launch successful programs? Which ones come with avoidable expenses, and which are the best fit for your teams?
There are lots of questions to answer, and you’re not alone if you’re having a hard time narrowing down the right choice. Below, we break down key details–like pricing, platform capabilities, downsides, and more–about some of the top solutions on the market to help you gain some clarity.
The right pick for you should balance opportunity with reasonable pricing, robust customer support, and accessibility that engages teams. Let’s take a closer look at what your options might be.
CSR software helps companies create, execute, and manage programs that positively impact communities both large and small. The increasingly complex world of CSR, which now includes ESG (environmental, social, and governance) matters, all but requires purpose-built digital platforms to keep everything organized.
Some of the earliest CSR software providers—what many now refer to as the “legacy” guys—include Blackbaud, CyberGrants, and YourCause. These early players typically offered only one or two functions, such as grantmaking, corporate philanthropy, and employee volunteering, and weren’t designed to be all-in-one solutions.
It wasn’t until the late 2000s that many legacy CSR software companies began adding functions in an attempt to capture more clients. Modern solutions, such as Groundswell, recognized the importance of offering multiple CSR capabilities in a single software platform and built their platforms with that in mind.
Picking the right CSR tools is important for many reasons.
Choosing any subscription-based product or service (including CSR software) requires a thoughtful, discerning analysis of your options. You certainly don’t want to foot the bill for an entire year’s worth of licensing fees if the chosen software does not perform to your team’s expectations.
Getting the right CSR software is also important because you want to ensure the platform has the capabilities you have in mind for your company. Employees may sour on the experience if the first software they use doesn’t give them the support or functionalities they’re looking for. That can translate into decreased participation rates over the long term.
If you perform even the most cursory Googling on CSR platforms, you’re likely to encounter one or more of the following software providers. While each one commands a notable share of the market, there may be reasons to look more closely at their so-called value propositions.
Take a look at the pricing of CSR digital platforms below to get a feel for which ones are within your budget:
Perhaps the most well-known CSR software company, Benevity, which started in 2008, now offers multiple capabilities, including employee volunteering, grantmaking, corporate giving, and employee resource groups (ERGs).
While Benevity doesn’t have transparent pricing for its products, indications are that annual licensing fees routinely exceed $100,000. Furthermore, it can charge distribution fees of up to 2.9% every time it disburses donations to nonprofits.
YourCause, which Blackbaud bought in 2019, is now firmly entrenched in the legacy CSR ecosystem. It has, over the years, added capabilities and bills itself as a full-service platform provider. Like Benevity, YourCause lacks transparent pricing, but it has been reported to have entry fees of up to $40,000 and distribution fees hovering in the 3% range.
Another CSR software geared toward enterprise clients is CyberGrants, which was recently bought by Bonterra. CyberGrants focuses on corporate philanthropy and employee giving, with less emphasis on volunteering programs. Its average cost for businesses is around $30,000, along with various fees that usually range from 3-5%.
Ethos Tracking is one of the newer providers, having started in 2021. The company focuses on reporting and providing data to all sorts of internal and external stakeholders, including executives and investors. The platform also places an emphasis on ESG initiatives.
Ethos Tracking has received attention for its reporting capabilities, but its tools for managing volunteering programs are less robust. Additionally, software licenses often start at around $12,000 per year, with onboarding expenses adding up to as much as $50,000.
Based on annual licensing costs alone, it can be difficult to determine which CSR software offers the best value. It’s true that many CSR platforms offer the most basic versions of their software for free or next to nothing, but the functions might not be any more useful than well-organized Google Sheet documents.
On the other hand, most small and mid-sized companies simply cannot afford to pay tens of thousands of dollars per year in subscription costs. Another consideration is distribution fees, which can dwarf licensing fees for some businesses.
Analyzing every single CSR software may require time and resources that your team doesn’t have. Here are some pieces of advice to streamline your decision process.
In many cases, licensing expenses are only the tip of the iceberg. You must think about ad hoc fees, such as distribution costs, additional admins, onboarding, and customer support tickets. The sticker price is only one piece of this puzzle.
The low prices of some CSR platforms may seem enticing, but they are typically marketed exclusively to very small companies. To be sure, those companies deserve CSR software that works for them.
It’s also important, though, to choose a platform that’s designed to scale with your company as it grows. For instance, some CSR software only allows a certain number of users, while others charge per-user fees.
If you envision your company participating in multiple forms of CSR, you need software that supports every one of those programs. Even platform providers that claim to offer an all-in-one CSR solution may require separate logins or third-party agreements for each function, resulting in a disjointed user experience.
Speaking of a user-friendly experience, that should be a priority for every company’s HR or CSR representative. The principle here is simple—if employees feel that a voluntary platform is too complex, they will typically decline to use it. Decreasing friction will increase participation rates.
CSR software shouldn’t add so many tasks to your HR department that it becomes cost-prohibitive to use. Many legacy software companies distribute employee donations at the end of each month, which theoretically simplifies disbursements.
In effect, though, it creates monthly reconciliations and invoices for clients. A better CSR software solution will instantly match employee donations and send the funds to nonprofits within 24 hours, ensuring money gets in the right hands sooner rather than later.
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