The Benefits of a Cause Marketing Campaign
Cause marketing is the way of the future and companies who conduct themselves in an ethical manner and participate in cause marketing can expect to have a significant leg up on the competition.
Here’s what you need to know.
Cause marketing, also known as cause-based marketing, is a marketing strategy that involves the collaboration of a for-profit business and a non-profit organization to mutually promote and benefit their respective companies. Cause marketing brings attention to a charitable cause and a commercial product or service at the same time.
Often, a campaign of this nature will involve gifting of profit percentages, goods, or services from the business to the non-profit. However, it is not enough for a company to make a simple donation. Cause marketing must involve a cooperative relationship between the two organizations on a deeper level than a simple, singular gift.
What Does Cause Marketing Do?
Cause marketing partnerships create win-win-win scenarios. A win for the company: When a company associates itself with a charitable cause, the marketing campaign should improve the company’s public image and show that they are socially responsible. It should also attract buyers to a certain product or service, while generating support for the associated charity. A win for the charity: the charity receives valuable assets- whether monetary donations, volunteers, or publicity – to further their mission. A win for the community: strong cause marketing partnerships result in the community working together to alleviate a community concern. Cause marketing is becoming increasingly popular and can be extremely rewarding for everyone involved.
Cause marketing is effective. For example, Cone Communications, a public relations agency, has been studying the effect of cause marketing and corporate social responsibility for years. In 2006 they conducted a study that showed 89% of consumers in the United States ages 13 to 25 would choose one brand over another in favor of a cause marketing campaign.
The same study also showed young people were more willing to seek out employment with a company they felt was socially responsible. In 2015, a different study conducted by Cone found the percentage of young people willing to switch brands for this reason had risen to 91% and 62% were willing to earn less money if they were able to work for a “virtuous” company. Their results suggest there has been a steady increase of Americans (particularly young Americans) who shop or look for employment based on cause marketing.
What Can Cause Marketing Do for Me?
The date paints a picture of the American consumer and the future of buying trends. Millennials are the latest generation of buying power in the U.S. and they have made their preferences very clear, and lean toward companies with a cause.
Effective use of cause marketing can boost business, particularly with young people. It can connect your name with a good cause, and you can use your commercial influence to make your community a better place. It is an outward demonstration your company is socially responsible and committed to meaningful work. It can spread your company’s name and connect you to the consumer in a personal way. If it is important to you, join with your customers to make a difference together.