Cause marketing or cause-related marketing refers to a type of marketing involving the cooperative efforts of a for-profit business and a non-profit organization for mutual benefit. Make no mistake, cause marketing differs widely from corporate giving philanthropy.
How it works: For-profit organizations provide the nonprofit with volunteers, donations, advisors, event sponsorships, best practices, space and more. The non-profit organization may provide deeper understanding of the needs that company’s employees, community, coaching, leadership experience, and even tax-deductible donations.
It’s obvious that the non-profit receives the most benefits, but I believe the for- profit organization may gain even more, in the long run, even increased sales! Today, we understand that a large number of consumers make purchases based on companies’ cause-related engagements. Practicing cause-marketing also often provides free media coverage; enhancing brand recognition. Priceless!
Cause-related marketing also increases employee morale, which has direct effect of employee retention. In today’s socially conscious world, it also attracts great applicants. It is very attractive to work for a good company that also takes a leadership role in the community and in the world at large. Even customers note all the time that they switch service providers to companies that practice cause-related marketing. A powerful example of this is Disney’s close relationship with the Make-a-Wish Foundation.
If you’re going to break into this space, be sure to find the non-profit(s) that best aligns with your company. Aligning your brand with theirs has to be genuine – and clearly understood by all, especially the public. This alignment could drastically and positively change the lives of all involved, as well as the financial benefits for both.
Now it’s your turn. Send me your thoughts. Was this helpful? Is your company practicing cause-related marketing? Would you have a point or two to add?
Yours truly,
Tommy Antonopoulos, Blogger for OfficeTime
PS: Get your no-cost trial the desktop version of our Time Tracking Solution at OfficeTime.net
http://en.wikipedia.org/wiki/Cause_marketing