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Cause Marketing

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Cause Marketing. What is it?

Scratching your head about ways to expand your customer base in 2010? Consider cause marketing. What’s cause marketing? If you have worn a pink breast cancer awareness ribbon you’ve participated in cause marketing.

Cause-related marketing (CRM) is also known as charity marketing. And if the cause entails an event like a walk-a-thon or benefit concert then it’s called event marketing. Whatever the name, it is not a new concept. American Express launched the first cause marketing campaign in 1983, raising almost $2 million for the Statue of Liberty Restoration Project by donating a penny for every AMEX card purchase made.

Why should you care?
Many nonprofits are seeing a decline in giving. Turn on the news and you’ll probably see a report of a nonprofit closing their doors or cutting back. But the interesting thing is charity marketing is still doing well (see Resource Links below). Why?

In today’s economic climate, consumers are looking for ways to make their dollar go further. If they can purchase a product or service and give to a good social cause, all the better. By participating in cause based marketing you’re telling the world that you are as reputable and as worthy as the cause you’re associating yourself with.

If your target audience contains a large number of women this next statistic should interest you. According to a Barkley cause survey, done in partnership with PR Week, “two of three women have purchased a brand because it supports a cause they believe in, and three of four have recommended a brand to others for the same reason.”
[Source: http://adage.com/goodworks/post?article_id=138175]

Who’s doing it?
We see the high profile examples in the newspapers and on Facebook all the time. But chances are there are examples of CRM in your neighborhood.

A hospital participating in the Susan G. Komen’s, Race for the Cure http://ww5.komen.org/
A pet grooming service providing pet food for the local animal shelter
A dry cleaner doing a coat and blanket drive for a homeless shelter

Tip: Before you start your own cause related marketing program, visit a local business and ask the owner a few questions about their program. How long have they done CRM? What were their goals? Have they seen tangible results like increased sales? What non-tangibles (like increases in employee moral and customer loyalty) have they experienced?

How can you start doing CRM?
Make sure the cause you align yourself with is something you care passionately about. Research the target audiences of the nonprofit or cause you want to become affiliate with. Are they similar? Will the partnership advance you in your marketplace? If so, how? More sales? Increased visibility? Write your expectations down in a marketing plan and consistently stick with the plan. Be prepared to give an account for the amount of money and time you’re giving toward the cause or charity.

Remember, you are after partnership building. Not just writing a check once a year. Attend the nonprofit’s live events or create your own. Talk it up on radio and TV if you have the chance. Merely being a good spokesperson for the cause can be your entre to free appearances and a mention of your business title and name. Don’t be afraid to broadcast your involvement on social media channels like LinkedIn, Facebook, and Twitter. If you’re really creative, post a well-made video about your cause on your Youtube channel.
(See the Pink Glove Dance at http://www.youtube.com/watch?v=OEdVfyt-mLw)

Taking it a little further
In some cases you will want to make the alliance more official with a contract. This is a marketing agreement after all. In the agreement specify things like where and how often your logo should go on your CRM partner’s Web site, newsletter, event banner, etc. Incorporate ways to track your involvement to learn what part of the marketing efforts work and don’t work.

Charity marketing is an excellent indirect yet strong way to speak volumes, and make solid connections to your current and future client base. So go forth and do good, for good reasons. Boost business and give back.

Online Resources Links: