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DOING BUSINESS THAT DOES GOOD:
                                                  GOOD
                         HELPING MARKETERS FORGE
                         PARTNERSHIPS OF PURPOSE




Stephanie Smirnov, President
DeVries P bli Relations
D V i Public R l ti
© DeVries Public Relations (April 2009)
Test
Test your C I Q *
          C.I.Q.



 *Cause intelligence quotient
The effort or inclination to
philanthropy
 hl    h
                   increase the well-being of
                   humankind, as by charitable aid
                   or donations



cause              A strategic positioning and
                   marketing tool that links a
marketing
                   company or brand to
                   a relevant social cause or issue,
                   for mutual benefit



corporate social   How businesses align their values
responsibility     and behavior with the expectations
                   and needs of stakeholders
(CSR)
(    )
FUN FACTS!

Source: Mintel Report on Cause Marketing, 2007;
Cone (2007), IEG Sponsorship Report (2007); Edelman Goodpurpose (2008)
52%
of consumers are more likely to
recommend a brand that supports
a cause vs one that does not
81%
say when price/quality are
equal, they’re likely to switch
brands based on cause
68%
of consumers would remain loyal
to a brand if it supports a cause

…even in a recession
71%
have either given the same
amount of (or more) time or
money to good causes

…even in a recession
 even
71%
have either given the same
amount of (or more) time or
money to good causes

…even in a recession
 even
A closer l k at women…
   l     look t




Source: Mintel Report on Cause Marketing, 2007
Significantly more likely than men to agree that
“sometimes a cause-related sponsorship will
                               p        p
affect my purchase”
More likely to be philanthropically minded
More aware of CRM efforts than men
Most concerned about health issues, education,
children’s welfare and poverty
                       p     y
1.5 billion
spent on cause
marketing last year


1.4 million
non-profit
organizations in
the U.S. alone
DOING GOOD & GIVING BACK
A BRIEF HISTORY
DRAISING     1900-1940s              1950s-1960s              1970s-1980s                1990s                               2000s

                           Early 1900s              1948                1980s                     1991                    2000s                2004
                           Wealthy Family           United Way          Epic Relief               Evocative               - Venture            Post-Tsunami
                           foundations              formalized, 1,000   USA for                   Icons:                    philanthropy       Mobile Giving
                                                    local chapters      Africa,                   AIDS/HIV                - Micro-philanthropy
                           1910s                                                                                                               2006
    ANTHROPY/FUND




                           Community Chest          1950s-1960s         Band-Aid,
                                                                        B d Aid                   Red Ribbon
                                                                                                  R d Ribb                                     Inconvenient Truth
                                                    Civil Rights        Live Aid
                           Late 1920s               and Anti-war                                  1996
                           Walkathon                movement                                      AIDS Quilt
                                                    transform ideals                                                      2001
                                                                                                  at the WDC              Post-9/11 TV
                                                    in public life.                               Mall                    “roadblocks”          2008
                                                                                                                                                Obama Campaign
                                                                                                                                                         p g
PHILA




                                                  TRANSACTIONAL                                                                        TRANSFORMATIVE


                                                                                                                           2004                 2006
                                                                                                    TANGIBLE               Nike. LAF and        - Pixel Donating
                                                                            TIED TO PRODUCT                                LIVE STRONG          - CRM spending
                                                                                                  1992                                          +24% vs ’0505
  USE MARKETING
              G




                                                                                                  Pink Ribbon
                                                                                                  (Lauder)
                                                                                                  1997
                                                                             1983                                          2005                 2007
                                                                                                  Revlon
                                                                                                                           Adventure
                                                                           AMEX &                   Run/Walk
                                                                                                                           Altruism
                                                                                                  1998
                                                                           Statue of              Avon Walkathon
CAU




                                                                            Liberty
                                                                                                                                             SOCIAL AND ACTIVE



                                                MASS PRODUCED: CREATED      FOR EVERYONE                  PRODUCED BY THE MASSES: CREATED            BY EVERYONE
MEDIA AND POP CULTURE




                           1900s-1920s              1960-1970s          1970s-1980s                Mid 1990s              Digital Explosion
                           Local community &        Epic concerts       Rise of ideals-            Ideals-driven start-   Online communities
                           small town ideals                            driven enterprise:         up culture captures    of shared interest
                           1930s                                        Ben & Jerry’s, Newman’s    popular imagination
                                                                                                                          Celebrity Culture
                           Great Depression &
                                   p                                    Own                                               Rise of the Uber-
                                                                                                                                      Uber
        D




                           uprooting of local                                                                             Influencer
                           communities
                                                                                                                          Social Media +
                                                                                                                          Mobile Culture
                                                                        1980s                                             Mutually assured
                                                                        “Reagan Effect” of                                connectivity
                                                                        cuts in gov’t funding
ENGAGING CONSUMERS
Transactional:
Doing Good through Purchase

            Buys
              y           Organizational
Consumer             $$
           Product         Beneficiaries
Active Altruism:
Doing Good Beyond Purchase


  Consumer
             Participates
               beyond
                            $$          Organizational
              Purchase      or           Beneficiaries
                            something
                            of value
Wired Giving:
    Doing Good Digitally

             Engages               Organizational
Consumer     Digitally &    $$      or Individual
             Socially               Beneficiaries




       Micro-philanthropy




                                 Hack-a-thons
CAUSE DECISION MAKING
      DECISION-MAKING
A ROADMAP
LET THE PLANNING BEGIN!

                                                                                         Have you         YES
                                                                                        engaged all
                                                   Have you          YES                 marketing
      Have you                                    factored in                           disciplines?
                                                                                             p            NO
                          YES                      needs of
                                                       d f
       aligned
     on success                               all stakeholders?       NO      STOP
     measures?            NO           STOP
                                                                                                        STOP



          YES            Is senior
                      management
                      aligned to the           YES                Have you done                  YES       Do you know
          NO                                                                                              what causes are
                          p j
                          project?                                 a landscape
                                                                            p
                                                NO                assessment?                              important to
                                                                                       STOP      NO         your target?
      STOP
                                              STOP

                                                                                              Is it conducive    YES
                                                                    Is your brand              to playing in
                                                                                      YES
                YES                                                      equity                cause space?      NO
Healthy                                                               or purpose
brand??                   Could cause
                          Co ld ca se          YES                 clearly defined?
                                                                    l    l d fi d?     NO
                NO          address
                           a business
                           challenge?           NO      STOP                          STOP                      STOP
Information & Inspiration
                 p
causemarketingforum.com        KATYA’S NON-PROFIT MARKETING BLOG
                               www.nonprofitmarketingblog.com/
                               www nonprofitmarketingblog com/




BETH’S BLOG                    PR MAMA
beth.typepad.com/beths_blog/   ssmirnov.wordpress.com
                               @ss
                               @ssmirnov
                                       o
Thank You!




Stephanie Smirnov, President
DeVries P bli Relations
D V i Public R l ti
© DeVries Public Relations (April 2009)

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Cause Marketing 101

  • 1. DOING BUSINESS THAT DOES GOOD: GOOD HELPING MARKETERS FORGE PARTNERSHIPS OF PURPOSE Stephanie Smirnov, President DeVries P bli Relations D V i Public R l ti © DeVries Public Relations (April 2009)
  • 2. Test Test your C I Q * C.I.Q. *Cause intelligence quotient
  • 3. The effort or inclination to philanthropy hl h increase the well-being of humankind, as by charitable aid or donations cause A strategic positioning and marketing tool that links a marketing company or brand to a relevant social cause or issue, for mutual benefit corporate social How businesses align their values responsibility and behavior with the expectations and needs of stakeholders (CSR) ( )
  • 4. FUN FACTS! Source: Mintel Report on Cause Marketing, 2007; Cone (2007), IEG Sponsorship Report (2007); Edelman Goodpurpose (2008)
  • 5. 52% of consumers are more likely to recommend a brand that supports a cause vs one that does not
  • 6. 81% say when price/quality are equal, they’re likely to switch brands based on cause
  • 7. 68% of consumers would remain loyal to a brand if it supports a cause …even in a recession
  • 8. 71% have either given the same amount of (or more) time or money to good causes …even in a recession even
  • 9. 71% have either given the same amount of (or more) time or money to good causes …even in a recession even
  • 10. A closer l k at women… l look t Source: Mintel Report on Cause Marketing, 2007
  • 11. Significantly more likely than men to agree that “sometimes a cause-related sponsorship will p p affect my purchase”
  • 12. More likely to be philanthropically minded
  • 13. More aware of CRM efforts than men
  • 14. Most concerned about health issues, education, children’s welfare and poverty p y
  • 15. 1.5 billion spent on cause marketing last year 1.4 million non-profit organizations in the U.S. alone
  • 16. DOING GOOD & GIVING BACK A BRIEF HISTORY
  • 17. DRAISING 1900-1940s 1950s-1960s 1970s-1980s 1990s 2000s Early 1900s 1948 1980s 1991 2000s 2004 Wealthy Family United Way Epic Relief Evocative - Venture Post-Tsunami foundations formalized, 1,000 USA for Icons: philanthropy Mobile Giving local chapters Africa, AIDS/HIV - Micro-philanthropy 1910s 2006 ANTHROPY/FUND Community Chest 1950s-1960s Band-Aid, B d Aid Red Ribbon R d Ribb Inconvenient Truth Civil Rights Live Aid Late 1920s and Anti-war 1996 Walkathon movement AIDS Quilt transform ideals 2001 at the WDC Post-9/11 TV in public life. Mall “roadblocks” 2008 Obama Campaign p g PHILA TRANSACTIONAL TRANSFORMATIVE 2004 2006 TANGIBLE Nike. LAF and - Pixel Donating TIED TO PRODUCT LIVE STRONG - CRM spending 1992 +24% vs ’0505 USE MARKETING G Pink Ribbon (Lauder) 1997 1983 2005 2007 Revlon Adventure AMEX & Run/Walk Altruism 1998 Statue of Avon Walkathon CAU Liberty SOCIAL AND ACTIVE MASS PRODUCED: CREATED FOR EVERYONE PRODUCED BY THE MASSES: CREATED BY EVERYONE MEDIA AND POP CULTURE 1900s-1920s 1960-1970s 1970s-1980s Mid 1990s Digital Explosion Local community & Epic concerts Rise of ideals- Ideals-driven start- Online communities small town ideals driven enterprise: up culture captures of shared interest 1930s Ben & Jerry’s, Newman’s popular imagination Celebrity Culture Great Depression & p Own Rise of the Uber- Uber D uprooting of local Influencer communities Social Media + Mobile Culture 1980s Mutually assured “Reagan Effect” of connectivity cuts in gov’t funding
  • 19. Transactional: Doing Good through Purchase Buys y Organizational Consumer $$ Product Beneficiaries
  • 20. Active Altruism: Doing Good Beyond Purchase Consumer Participates beyond $$ Organizational Purchase or Beneficiaries something of value
  • 21. Wired Giving: Doing Good Digitally Engages Organizational Consumer Digitally & $$ or Individual Socially Beneficiaries Micro-philanthropy Hack-a-thons
  • 22. CAUSE DECISION MAKING DECISION-MAKING A ROADMAP
  • 23. LET THE PLANNING BEGIN! Have you YES engaged all Have you YES marketing Have you factored in disciplines? p NO YES needs of d f aligned on success all stakeholders? NO STOP measures? NO STOP STOP YES Is senior management aligned to the YES Have you done YES Do you know NO what causes are p j project? a landscape p NO assessment? important to STOP NO your target? STOP STOP Is it conducive YES Is your brand to playing in YES YES equity cause space? NO Healthy or purpose brand?? Could cause Co ld ca se YES clearly defined? l l d fi d? NO NO address a business challenge? NO STOP STOP STOP
  • 24. Information & Inspiration p causemarketingforum.com KATYA’S NON-PROFIT MARKETING BLOG www.nonprofitmarketingblog.com/ www nonprofitmarketingblog com/ BETH’S BLOG PR MAMA beth.typepad.com/beths_blog/ ssmirnov.wordpress.com @ss @ssmirnov o
  • 25. Thank You! Stephanie Smirnov, President DeVries P bli Relations D V i Public R l ti © DeVries Public Relations (April 2009)