2009 Idea Lab Moving from Win-Win to Win-Win-Win with Cause Marketing Steve Drake President, Drake & Company February 23, 2009 Connecting Great Ideas and Great People

Power of Cause Marketing

Basic

What? Cause marketing happens when a not-for-profit and a for-profit partner for purpose, passion and profit. Basic

Cause marketing happens when a not-for-profit and a for-profit partner for purpose, passion and profit.

Why? Create awareness to advance your mission Generate funding for your organization and/or the cause Engage members Get caught doing good Basic

Create awareness to advance your mission

Generate funding for your organization and/or the cause

Engage members

Get caught doing good

Why? Summary of Cone Research 85% of Americans have a more positive image of a product or company when it supports a cause 79% would likely switch from one brand to another if the other brand is associated with a good cause Top “issues” are education, economic development, health & disease, access to clean water 91% of Americans want companies to tell them how they are supporting causes 79% want to work for a company that cares how it impacts society Basic

Summary of Cone Research

85% of Americans have a more positive image of a product or company when it supports a cause

79% would likely switch from one brand to another if the other brand is associated with a good cause

Top “issues” are education, economic development, health & disease, access to clean water

91% of Americans want companies to tell them how they are supporting causes

79% want to work for a company that cares how it impacts society

Total 79% 38% 28% Gen Y 88% 51% 41% Why? Summary of Cone Research Response Likely to switch to brand with cause Have purchased product or service associated with a cause (last 12 months) Want to see a percentage of purchase donated to charity Basic

Total

79%

38%

28%

Gen Y

88%

51%

41%

Summary of Cone Research

Response

Likely to switch to brand with cause

Have purchased product or service associated with a cause (last 12 months)

Want to see a percentage of purchase donated to charity

Who? Non-profit + For-profit Corporation 501(c)(6) 501(c)(3) Cause: Military families Basic

Non-profit + For-profit

How? If you are a 501(c)(3) with a charitable purpose … Look for corporations seeking partners If you are a trade association or a professional society … Look for charity / non-profit with a mission for which your members would have a passion Look for a corporation that is interested in the charity and your members Basic

If you are a 501(c)(3) with a charitable purpose …

Look for corporations seeking partners

If you are a trade association or a professional society …

Look for charity / non-profit with a mission for which your members would have a passion

Look for a corporation that is interested in the charity and your members

How – Finding Partners? Look for a company that “fits” “ Frame” your search: “ Size” Use “tools” to search for the company “ Geographic scope” “ Product” or “Service” “ Philosophy” Company Web sites Internet directories Business sources such as Hoovers Basic

Look for a company that “fits”

“ Frame” your search:

“ Size”

Use “tools” to search for the company

“ Geographic scope”

“ Product” or “Service”

“ Philosophy”

Company Web sites

Internet directories

Business sources such as Hoovers

How – Cause Types What “tools” can be used to implement the cause? Social / Public Service marketing Use “tools” to search for the company Purchase Plus Product sales Product licensing Promotional campaign Co-branded program Co-branded events (runs, rides, auctions, golf, etc.) Basic

What “tools” can be used to implement the cause?

Social / Public Service marketing

Use “tools” to search for the company

Purchase Plus

Product sales

Product licensing

Promotional campaign

Co-branded program

Co-branded events (runs, rides, auctions, golf, etc.)

12 Steps to Cause Marketing Select cause Harmony (with mission) is key Make it personal For donors, members, employees Decide on partner(s) Big or small pond? Understand each other You own your brand Disclose special arrangements Transparency Who is doing the PR? Determine which form See list of types of cause programs Develop PR support plan Get recognized for doing good Establish metrics Measure your marketing Refresh & update Continuous improvement Be flexible Change on fly if needed Review & evaluate Set a date on when you will review and renew Take time to celebrate Build celebration into your campaign Include volunteers, partners, staff, etc. Basic

Select cause

Harmony (with mission) is key

Make it personal

For donors, members, employees

Decide on partner(s)

Big or small pond?

Understand each other

You own your brand

Disclose special arrangements

Transparency

Who is doing the PR?

Determine which form

See list of types of cause programs

Develop PR support plan

Get recognized for doing good

Establish metrics

Measure your marketing

Refresh & update

Continuous improvement

Be flexible

Change on fly if needed

Review & evaluate

Set a date on when you will review and renew

Take time to celebrate

Build celebration into your campaign

Include volunteers, partners, staff, etc.

Practice

Target & St. Jude Practice

Pedigree Adoption Practice

Sam’s, Aquafina & KAB Practice

Colgate & RIF Practice

Life in art: Capturing yours & saving another Example 5 Wedding Photography: 1-time, expensive ($5,000+) Purchase Donates portion of wedding fees to purchase one water filter in name of the couple Davis Photography & TRI Practice

Wedding Photography: 1-time, expensive ($5,000+) Purchase

Donates portion of wedding fees to purchase one water filter in name of the couple

Measurement & Evaluation Did it achieve objectives? “ Survey” participants & members Media “hits” Funds raised Public opinion (consumer polling) Other Practice

Did it achieve objectives?

“ Survey” participants & members

Media “hits”

Funds raised

Public opinion (consumer polling)

Other

Measurement & Evaluation Practice

Case Study Practice

The Challenge Trees to troops Practice

Trees to troops

The “Call” Practice

The Partners 1,250 members 30+ million customers Advance Spirit of Christmas for kids, families & environment Fed Ex : Delivery vehicles & logistics U.S. military All branches Practice

1,250 members

30+ million customers

The Program 10,000 - 12,000 trees Local media Coordination & Fund-raising 4,000 – 6,000 trees from consumers Fed Ex : 59,000+ miles + 10,000 air miles + volunteers Arrangements Families Practice

10,000 - 12,000 trees

Local media

50,554 military families received farm-grown Christmas trees Delivered to 53 military locations in 17 countries Coordinated international media coverage Practice

50,554 military families received farm-grown Christmas trees

Delivered to 53 military locations in 17 countries

Coordinated international media coverage

Building on Success GM (Saturn) New Holland Enterprise Rent-A-Car Foundation Help-America Foundation Sundt Foundation Sato Labeling American Freedom Foundation USA TODAY Drake & Company Individual Donors Practice

GM (Saturn)

New Holland

Enterprise Rent-A-Car Foundation

Help-America Foundation

Sundt Foundation

Sato Labeling

American Freedom Foundation

USA TODAY

Drake & Company

Individual Donors

23.4 MILLION households said they saw, read or heard about Trees for Troops 3.4 MILLION households said T4T “influenced” their decision to purchase a Real Tree in 2008 Reach & Impact 2008 Trees for Troops Practice

Evaluating (CSF perspective) Delivered fresh, farm-grown trees to 50,500 families in four years Generated $1 million (cash + in-kind) per year for four years Produced millions of media impressions Recognized by 23 million U.S. households Engaged and touched 71% of organization’s members Earned three national awards What other program could reach this level? Practice

Delivered fresh, farm-grown trees to 50,500 families in four years

Generated $1 million (cash + in-kind) per year for four years

Produced millions of media impressions

Recognized by 23 million U.S. households

Engaged and touched 71% of organization’s members

Earned three national awards

What other program could reach this level?

Key Learnings Make it personal Make it relevant Make it transparent If you are the charity, own “the brand” Example, it is the Trees for Troops program NOT the FedEx Trees for Troops program Be clear on this (upfront) with corporate partners Create partnerships Seek other non-competing partners Continuously refresh and update 7.44) Share the passion Practice

Make it personal

Make it relevant

Make it transparent

If you are the charity, own “the brand”

Example, it is the Trees for Troops program NOT the FedEx Trees for Troops program

Be clear on this (upfront) with corporate partners

Create partnerships

Seek other non-competing partners

Continuously refresh and update

7.44) Share the passion

Resources : 12 Steps to Successful Cause Marketing http://blog.drakeco.com/2008_06_01_archive.html Cone-Duke Research http://www.businesswire.com/portal/site/google/?ndmViewId=news_view&newsId=20081001005317&newsLang=en 2008 Cause Study, PR Week http://barkleyus.com/articles/show/43-pr_week_cause_survey_2008#

12 Steps to Successful Cause Marketing http://blog.drakeco.com/2008_06_01_archive.html

Cone-Duke Research http://www.businesswire.com/portal/site/google/?ndmViewId=news_view&newsId=20081001005317&newsLang=en

2008 Cause Study, PR Week http://barkleyus.com/articles/show/43-pr_week_cause_survey_2008#

Contact Information: Steve Drake President, Drake & Company Phone: 636-449-5050 E-mail: drake@drakeco.com Websites: www.asaecenter.org www.drakeco.com Connecting Great Ideas and Great People

Contact Information:

Steve Drake

President, Drake & Company

Phone: 636-449-5050

E-mail: drake@drakeco.com

Websites: www.asaecenter.org

www.drakeco.com