CAUSE
Marketing Management
MARKETING
Presented By Absaar Javed (2018-EMBA-019)
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What is Cause Marketing?
• Type of CSR
• Increase Profitability
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• Betterment of society
• Promoting social issues via
• Sponsorships
• Licensing Agreements
• Advertising
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What is Cause Marketing?
• Licensing agreement between
• Commercial product marketer
• Leading nonprofit organization
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• Social issues marketing
• Dual purpose
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What is Cause Marketing?
• Nonprofit Organizations
• Assign rights to use name and logo
• Promotion of commercial products
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• Sponsor pays substantial sums of money for use of nonprofit’s
name and logo in advertising
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The rise of cause marketing
• Relatively recent phenomenon
• Earliest use (1983) involved promotion by American Express
• For each purchase made with card one penny contributed to
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renovation of Statue of Liberty
• Generated 28% increase in card usage
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Is it a significant form of marketing?
• Expenditures of $1 billion on cause related marketing
campaigns in 2014
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• Expenditures on sponsorship activities would be $2.3 billion in
2019
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Benefits of Cause Marketing for Commercial
Sponsors
• Can improve social welfare
• Create differentiated brand position
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• Build strong customer bonds
• Enhance the company’s public image
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Benefits of Cause Marketing for
Commercial Sponsors
• Reservoir of goodwill
• Boost internal morale
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• Drive sales
• Increase market value of firm
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What are the benefits to nonprofits?
• Further the organization’s mission
• Leverage the marketing budgets of corporations by obtaining
access to mass media resources it could not otherwise afford
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• Increase public awareness
• Gain an increasingly significant source of revenue
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Effect on branding aspect
• Cause marketing can
• Build brand awareness
• Enhance brand image
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• Establish brand credibility
• Evoke brand feelings
• Create a sense of brand community
• Elicit brand engagement 10
Branding Cause Marketing
Potential options:
• Self Branding: Create own program. E.g., NGOs
• Co Branding: Link to Existing cause program. E.g. Reliance’s
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Sponsorship with Help age India. (ongoing process)
• Jointly Branded: Link to existing cause program. E.g.
Conducting football match or cricket match by big business
groups for funding poor children, or natural calamity. (one
time thing)
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Choosing a cause
• Companies choose to focus on one or a few main causes.
• E.g. Mac Donald’s sponsorship of a guerilla at Sydney zoo with
an aim to protect the endangered species.
• American Express contributes a percent of their income to Breast
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cancer foundation in USA.
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Choosing a cause
• Single Cause
• E.g. many companies have shown breast cancer as a cause.
• Multi causes that fit their corporate image and brand image.
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Steps for Developing Cause marketing
Strategy
• Do your research
• Know your Brand
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• Team Effort
• Set Goals and Manage Expectations
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Examples
• DOVE’s Self-Esteem Project
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Examples
• Starbucks And World AIDS Day
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Examples
• Coca Cola and WWF’s Arctic Home
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Questions
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Thankyou
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