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Cause Related Marketing

cause related marketing

Definition Of Cause Related Marketing

Cause related marketing is part of a company’s corporate social responsibility policy . That is, a for-profit business establishes a long-term relationship with a non-profit company. The former expects to profit by selling more products and gaining positive publicity. The non-profit, on the other hand, benefits financially and through publicity.

Breaking Down Cause Related Marketing

Cause related marketing is different from philanthropy. In fact, while the latter consists of donating cash or in-kind contribution directly to a charity or a foundation, the former falls back into a wide range of activities. The purposes in this case are to:

  • Create a business model with an identity strictly connected to a social cause
  • Increase the revenue flow
  • Enhance brand image
  • Generate publicity 
  • Help the nonprofit with a share of the revenues 

Here are a couple of good cause related marketing examples that can give you an idea:

  • Toms case: Toms is a retail company focused on designing and selling shoes. Its largely successful business model relies on the “one for one concept”: every time they sell a pair of shoes, one is going to a child in need from an underdeveloped country. This idea boosted Toms image while contributing to a restless revenue flow. The good outcome of this plan is due to the fact that this idea is simply achievable and transparent. It’s part of the brand’s identity, while activities such as donations and grants appear to the eyes of the customer as tax-deductible operations rather than selfless acts
  • Pampers and Unicef partnership: this marketing relationship resulted in the funding of more than 300 millions of tetanus vaccines. As well as for Toms, the success of this model relies on the simplicity and the transparency of the message: one pack of Pampers equals one vaccine.

Useful Links

Great Examples of Cause Related Marketing

CSR: can beer be a source of good? Buying beer for charity

Sources

Great Examples of Cause Related Marketing

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