EXCLUSIVE: Identity crisis for sector revealed in new research

A survey of hundreds of people whose values chime most strongly with the sector's has revealed that 72 per cent are not aware of any social enterprises - let alone understanding what they are.

When asked to pick out social businesses from a list of candidates, the confusion was evident, with the majority choosing Comic Relief or Childline.

Hardly any picked big players in the sector such as Big Issue, Eden Project, Jamie Oliver's Fifteen and Cafedirect.

The research has been produced for the Office of the Third Sector by government communications department COI. Key findings were unveiled at a private meeting of sector leaders hosted by the Cabinet Office on Wednesday.

It reveals that confusion and misunderstanding are hampering the sector's ability to inspire people and to convince potential supporters of its commercial viability.

Overwhelmingly, the sector appears to be seen as vague, woolly, worthy, small and inefficient. It is a sector ‘in waiting' rather than ‘the leading sector within socially driven commercial business'. And people have great trouble understanding that charity is something different.

Even the facts about the sector - such as 55,000 social enterprises existing in the UK - evoked questions such as: ‘Where are they?' and ‘If it's true, why aren't they more in our faces?'

Other comments flagged up the danger of being too associated with government, with one individual saying it was ‘yet another fly by night government initiative'.

The research is set to trigger a major debate about branding, identity and communications around the social enterprise sector, as well as what needs to happen and who will make it happen if the sector is to raise its game as a new business model that can survive and thrive in the mainstream.

The Social Enterprise Coalition has already launched an ‘identity project' looking at what the sector stands for and how it promotes itself.

It looks likely that government will offer support, but that the responsibility for stepping from niche sector to the mainstream will be put squarely on the shoulders of the sector itself.

Ways forward under consideration include creating a social enterprise ‘marque' and a campaign to raise awareness.

A recruitment initiative has also been mooted to engage the ‘hot prospects' who might want to work in social enterprise, ranging from mid-life career changers, to ethnic minority entrepreneurs, to city high fliers who might be in the jobs market thanks to the credit crunch.