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. The term is sometimes used more broadly and generally to
refer to any type of marketing effort for social and other charitable causes,
including in-house marketing efforts by non-profit organizations. EXIN Media brings for you the basic
information that you needed to know about Cause Marketing.
Cause marketing differs from corporate giving (philanthropy) as
the latter generally involves a specific donation that is tax-deductible
while cause marketing is a marketing relationship not necessarily based on a
donation.
Numerous studies have shown that cause-related marketing has helped to
increase a company’s profits. The possible benefits of cause marketing
for non-profit organizations include an increased ability to promote the non-profit
organization’s cause via the greater financial resources of a business, and an
increased ability to reach possible supporters through a company’s customer
base. The possible benefits also includes positive Public Relations (PR),
improved customer relations, additional marketing opportunities, and making
more money.
Although originally a marketing strategy that occurred offline, cause
marketing has been conducted more and more through online channels in the last decade.
This is due in part to the increasing percentage of households with internet
connections. As with other types of marketing campaigns, companies can leverage
online marketing channels along with other offline channels such as print and
media.
Cause marketing can take on many forms, including:
ü Transactional Campaigns: A corporate
donation triggered by a consumer action (e.g. sharing a message social media,
making a purchase, etc.)
ü Point of Sale Campaigns: A donation
solicited by a company at the point of sale but made by the consumer (e.g.
consumers are asked to round up their purchase or donate a dollar when they
check out online or in-stores)
ü Message-Focused Campaigns: Business
resources are used to share a cause-focused message. For example a campaign that
encourages behavior change (e.g. don’t text and drive), drives awareness about
an important cause (e.g. talking with elderly parents about driving) or
encourages consumer action (e.g. signing a petition to save whales from
captivity).
In recent years, online auctions have been used in cause marketing
strategies using a number of different online auction platforms. Companies
have created programs to help sellers and corporations donate a percentage of
their sales to a non-profit organization through the use of auctions.
Businesses and non-profit organizations can also use the program for Cause Marketing
and non-profit fundraising programs.
