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Team 6

Katie Thornton

on 10 April 2013

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Transcript of Cause-Marketing

Team 6: Kristin Shulman, Jessica Yoguez, Crystal Gonzalez, Michael Renna, Katie Thornton
MAR 620
Dr. Canan Corus and its affects on consumer perceptions Social-Cause Marketing? Social-Cause Related Marketing Started in early 1980s by Cause Pioneers
(first to test these partnerships between companies and nonprofits/social issues) Social-Cause Related Marketing Well designed social cause marketing can help
build brand equity by: Selecting
A Social-Cause When selecting a social-cause marketers need to consider what consumers know about the cause and how that knowledge affects what they think about the brand when linked with the cause. Social-Cause
Marketing The most typical example is an advertisement stating that a company will contribute a certain dollar or percentage amount of the product purchased or service used to a specified charity. Cause Marketing is a commercial marketing partnership between a business and a nonprofit entity to market an image, product or service linked to a social cause or issue, for mutual benefit. 1990s: Cause Main streamers (in-store promos, celebrities)
MAC Viva Glam: celebrities
Box Tops for Education: in-store promos for groceries (cereals) 1983: First Cause Pioneer: American Express
Coined term “cause-related marketing” after successful efforts
Small effort in San Francisco area
National campaign to refurbish Statue of Liberty 2000s: Cause Innovators (new fundraiser models, global campaigns)
Dove Campaign for Real Beauty: to promote women’s self-esteem: global campaign
Pampers’ One Pack=One Vaccine: global campaign History of Benefits of What is Building brand awareness Eliciting brand engagement Evoking brand feelings
-Help justify self worth through social approval and respect. Establishing credibility
-Good examples: The Body Shop and Starbucks Enhancing brand Image
-Good examples: P&G brands Creating a sense of brand community
-Consumers feel a sense of kinship with other people who associate with the brand
-Example: Nike Factors to consider when linking a brand to a cause: Awareness and knowledge of cause
Relevance and meaningfulness of cause’s knowledge
Transferability of the causes knowledge Cause-Related Marketing Why Affinity Programs? NFL & Breast Cancer Low Affinity/High Impact Nike LIVESTRONG Cause Related Marketing & ROI Designed to improve overall reputation corporate or individual. High Affinity (High Fit) - Marvel/MilkDelivers.Org
Positives: Consumers feel brand is being responsible as it relates to their specific product/industry
Negatives: At times consumers may feel brand is being opportunistic Low Affinity (Low Fit)
Little association with Social Cause or Audience
Brands may have low affinity social cause, but may not always make sense
Shows that they are aware of social causes and initiatives The Pinking of America
Brand Association
Winning the hearts of the skeptical or unaware consumer High Impact/Low Affinity Providing extensive awareness and knowledge of a cause
Affiliation with Breast Cancer Awareness Month
Individual Athlete Affiliation Cause related marketing Impacts Subsidiary partnerships and impact NFL external Partnership Participation
EA Sports
Target Nike Livestrong
Corporate sponsorship of individual athlete while providing exposure to a specific cause
Lance Armstrong Foundation - LiveStrong Campaign
Tour de France affiliation Athletes and Bad Behavior
Nike and RadioShack say goodbye Negative Impacts Why Use Conjoint
Analysis? Research technique: Staple in marketing research field for assisting companies in predicting the most effective arrangement of attributes (warranty length, product size)
Has consumers reveal preferences for attributes indirectly
They make choices/tradeoffs among real options
Can help marketers estimate the effects of promotional programs using a small amount of target consumers before making a financial commitment to a particular program
Helps managers predict which marketing program will offer best ROI
Needed for several reasons:
Consumers are unique and have different preferences
There is no one perfect social cause that a company can affiliate with that will please all customers
Consumer Types (socially responsible consumer spectrum):
Activists Role of Brand-Cause Fit
in Cause Related Marketing An ad with a CRM message elicits more favorable consumer responses compared with a similar ad without a CRM message (regardless of brand/cause fit)
Positive impact of CRM occurs mainly on consumers’ attitudes toward the sponsoring company and its overall image, rather than the ad or the brand
The effect of a CRM message on attitudes toward the company may be less substantial when brand/cause fifit is low rather than high
The decision of engaging (or not) in CRM is more relevant when the priority is to enhance company image rather than to build brand equity
The decision of what kinds of CRM to engage in is more relevant when the priority is to build brand equity rather than to enhance company image
Also says brand consciousness is trait that moderates the relationship between brand/cause fifit and consumer responses towards the ad message and sponsoring brand
Those participants with high brand consciousness: high brand/cause fifit led to a more positive attitude toward the ad and brand than low brand/cause fifit
Those with low brand consciousness: brand/cause ffiit had no impact on either ad or brand evaluations Have you ever purchased a product or service and felt a little better about it because of the cause it supported? Study says:

As a result, the consumer feels like they helped - even though they didn't do anything more than just buy from Retailer A over Retailer B.
When all else is equal, many consumers choose brands that give back to the communities. People want to do good things! When given the option to support brands that do give back to a specific cause, they do, and feel good about doing so. According to studies... Potential issues

The cause formula for success with consumers is very simple: Engage, don't just sell. Educate, don't just market. The biggest issues with social-cause marketing are overexposure and disingenuous practices. Consumers will grow tired of product promotions that masquerade as cause marketing programs. Simply adding a donation from the sales proceeds doesn't qualify as real cause marketing. The cause has to be about engaging the consumer beyond the sale of one product. Companies need to demonstrate that they care about the cause every day, not just the day of the transaction. Likewise, nonprofits need to be mindful of the types of corporate partnerships they pursue. The true power and reach of cause marketing is missed if companies are simply slapping a nonprofit logo on a consumer product and thinking the consumer will remember them after the transaction is over. As always, the consumer perceptions will ultimately determine the success of the campaign. http://adage.com/article/goodworks/day-marketing-died/144166/





http://www.entrepreneur.com/article/197820# Steps for Marketers Marketers can follow the steps below to make socially responsible efforts a success for all partnering organizations and the community: Marketers should have a genuine interest and strong feelings for the nonprofit group/cause. Using a dedicated marketing campaign, you can reach and persuade the target group while also raising awareness for your business and its commitment to social responsibility. Work with the nonprofit to define how it will help your business increase its visibility, brand or company awareness. Integrate logos and slogans with both brands. Help consumers perceive the two brands as one.
Donating time, organizing events, and raising awareness for the cause can go much further than just writing a check. Getting directly involved will greatly enhance public perceptions and minimize or even eliminate negative perceptions
There needs to be strong connection between your brand or product and the cause. The stronger the connection, the more effective the campaign will be. Step 1. Give from the heart Step 2. Choose a related cause Step 3. Contribute more than dollars Step 4. Formalize your affiliation Step 5. Mount a marketing campaign Social-Cause
Marketing Examples 's ANY Resources Source: Building Brand Equity Through Corportate Societal Marketing Steve Hoeffle http://www.forbes.com/sites/chicceo/2012/10/15/cause-marketing-and-the-effects/ Consumer Responses to Corporate Social Responsibility (CSR) Initiatives: Examining the Role of Brand-Cause Fit in Cause-Related Marketing by: Xiaoli Nan and Kwangjun Heo Which Product
are you more likely to purchase? or
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