Survey on corporate responsibility
A shortage of trust: Germans urge companies to be more digitally responsible
Social responsibility instead of profit seeking: This is one of the pillars of Corporate Digital Responsibility (CDR). A representative survey commissioned by the Federal Ministry of Justice and Consumer Protection shows that responsible business practices are very important to Germans. But there is a clear gap between expectations and reality.
Berlin, 9 June 2021 Maximum data protection for consumers, transparent and easy-to-understand terms of use, or intelligent consent management for cookies. These are all examples of responsible business practices in the age of digital transformation. Indeed, many companies have adopted such an ethos of digital responsibility. But what does this actually mean in practice from the consumer's point of view? What do Germans believe to be the greatest shortcomings in companies’ activities? And what are their greatest concerns when dealing with digital products and services online? These and other questions are addressed in a current, representative survey of 1,038 citizens commissioned by the Federal Ministry of Justice and Consumer Protection and conducted by the ConPolicy Institute for Consumer Policy.
Important, but often neglected: corporate digital responsibility
When asked about the importance of corporate digital responsibility, the survey results paint a clear picture: 70 percent of Germans state that it is "very important" or "important" to them for companies in Germany to assume responsibility for society. However, only one third of Germans (32 percent) believe that this corporate responsibility is well implemented in practice. 29 per cent classify corporate practices as neither exemplary nor detrimental, and over a quarter of Germans (27 per cent) rate the corporate actions of German businesses as "not" or "not at all" responsible.
Broken down into individual fields of action, Germans see the greatest shortcoming in the area of "participation and inclusion", for example in terms of accessibility. 39 percent do not believe German companies take on responsibility here. The situation is similar for environmental protection and digital education, where 37 percent and 28 percent of respondents respectively see a lack of responsibility on the part of businesses. Even when it comes to cyber security (28 percent) and data protection (27 percent), more than a quarter of Germans still find that companies do not act in a socially responsible manner.
"Corporate responsibility means taking the decision: just because something is technically possible does not mean we should implement it. Many companies still have some catching up to do in this respect. If we want to shape digitalisation in human-centric way that serves the common good, we must take a responsible approach to the risks and opportunities of new technologies," explains Christian Kastrop, State Secretary at the Federal Ministry of Justice and Consumer Protection.
Theft of money and data: the main concerns of German consumers online
A further key aspect of the survey was consumer trust in digital services and products. A clear majority of 78 percent stated that trustworthiness is important to them in deciding whether to use online products or services. At the same time, there are multiple concerns that can have a negative impact on the trustworthiness of digital providers.
The biggest concerns of German consumers online are data theft (56 percent) and financial loss through fraud (38 percent). The survey also revealed that consumers had concerns regarding the quality they would receive when using online services (27 percent). On the other hand, just under a quarter of respondents complained of a lack of personal contact with human operators through customer care (24 percent). In this context, 21 percent of respondents had concerns about "algorithmic decisions" made in the background by online applications.
"Trust is the most important currency in the process of digitalisation. It cannot be ordered by law, but instead must be earned through actions. Wherever trust is undermined by questionable corporate practices, entire sectors of the economy may suffer. Therefore, all actors should have an interest in a conscious and responsible approach to digitalisation," said Christian Kastrop, State Secretary at the Federal Ministry of Justice and Consumer Protection.
Trust Building Measures: More data protection and personal contacts
How can lost trust be regained? According to the survey, German consumers would above all like to see high data protection and security standards (53 percent). Additionally, direct contact with employees (39 percent), instead of chatbots and automated computer voices, could also strengthen trust in digital providers. More than a quarter of the respondents (27 percent) would like to see clear labelling of when and where exactly algorithms are used.
Bricks-and-mortar vs. online What Germans value in their shopping experience
Ideas concerning further trust-building measures can also be gleaned from statements by the respondents about the advantages and disadvantages of online shopping compared with offline retail. While Germans value the convenience of online shopping such as permanent availability (46 per cent) or time savings (27 per cent), when it comes to bricks-and-mortar retail it is aspects of the physical experience they value most. For example, those surveyed believe the opportunity to try out products (57 per cent) and the individual advice (51 per cent) to be the greatest advantages of offline shopping. As many as a quarter of Germans (26 percent) also see paying cash when shopping as a major advantage.
Background information
For the study entitled “Corporate Digital Responsibility: Results of a Representative Survey”, the Institute for Consumer Policy ConPolicy commissioned an online survey on behalf of the Federal Ministry of Justice and Consumer Protection. This survey was conducted by YouGov Deutschland. For the survey, 1,038 people were interviewed throughout Germany in April 2021. The results were weighted and are representative of the population in Germany aged 18 and over. Further information on the sample and the socio-demographic indicators can be found on page ten of the publication.