Corporate Philanthropy and Corporate Community Relations: Measuring Relationship-Building Results

Abstract This study explores the impact of corporate philanthropy and corporate community relations programs on the relationship between a company and its customers. Using communal and exchange relationship characteristics as well as the relationship factors of trust, mutual control, commitment, and satisfaction, the study measures the strength of the relationship between a municipally owned utility company and its customers. It compares the strength of the company–customer relationship for those customers who are aware of the corporate philanthropy and community relations programs with the strength of the relationship for those customers who are unaware of these programs. Results demonstrate that these programs and customers' awareness of them corresponds with a stronger relationship, and with the type of relationship being more communal than exchange.