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Slides about cause marketing and cause related marketing,benefits and examples.

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  2. 2. CAUSE MARKETING Promoting social issues through efforts such as Sponsorships, licensing agreements And Advertising
  3. 3. Benefits of Cause marketing <ul><li>Can improve social welfare </li></ul><ul><li>Create differentiated brand positioning </li></ul><ul><li>Build strong customer bonds </li></ul><ul><li>Enhance the company’s public image </li></ul><ul><li>Reservoir of goodwill </li></ul><ul><li>Boost internal morale </li></ul><ul><li>Drive sales </li></ul><ul><li>Increase market value of firm </li></ul>
  4. 4. Effect on branding aspect <ul><li>Cause marketing can </li></ul><ul><li>Build brand awareness </li></ul><ul><li>Enhance brand image </li></ul><ul><li>Establish brand credibility </li></ul><ul><li>Evoke brand feelings </li></ul><ul><li>Create a sense of brand community </li></ul><ul><li>Elicit brand engagement </li></ul>
  5. 5. Branding Cause Marketing <ul><li>Three potential options: </li></ul><ul><li>Self branded: Create own cause program .Eg:Ronald McDonald House charities, Friends for life, NGOs like Thrani,NAACO. </li></ul><ul><li>Co branded: Link to Existing cause program .eg: Reliance’s sponsorship with Help age India. </li></ul><ul><li>Jointly branded: Link to existing cause program.Eg: conducting football match and cricket match by big business groups for funding poor children, or natural calamity. </li></ul>
  6. 6. Choosing a cause <ul><li>Companies choose to focus on one or a few main causes. </li></ul><ul><li>eg: Mc Donald’s sponsorship of a guerilla at Sydney zoo with an aim to protect the endangered species. </li></ul><ul><li>American Express contributes a percent of their income to Breast cancer foundation in USA. The Pink Ribbon campaign…. </li></ul>
  7. 7. <ul><li>Single cause- may limit the pool of consumers or stake holders. </li></ul><ul><li>eg: many companies have shown breast cancer as a cause. </li></ul><ul><li>Multi causes that fit their corporate image and brand image. </li></ul><ul><li>eg: Tata steel, Gillette, Melinda gates foundation, Arvind eye care.. </li></ul>
  8. 8. Examples <ul><li>Friends For Life- They undertakes campaign for road safety program. </li></ul><ul><li>I-flex- a leading software firm has mentioned their CSR aimed at children's issues like education and health. Promoting road safety awareness among children in India is the i-flex way of contributing to the community.” </li></ul><ul><li>Sobha developers- a school for brilliant children from poor backgrounds in Thrissur </li></ul>
  9. 9. Sobha developers <ul><li>Sponsorship of Anju Bobby George for the Olympics 2004 . </li></ul><ul><li>Sponsorship of PT Usha School of Athletics. </li></ul><ul><li>Impetus to Maj. Rathore, silver medal winner of the Olympics. </li></ul><ul><li>The Sobha Construction Academy, which gives preference to economically weaker candidates. </li></ul><ul><li>Creating a rehabilitation village for Tsunami victims in Kerala. </li></ul>
  10. 10. <ul><li>Adoption of 20 orphaned children and housed in a Sobha sponsored orphanage. </li></ul><ul><li>Sobha Hermitage - A unique senior citizens’ home with world class amenities. </li></ul><ul><li>Providing fully equipped infrastructure for primary school, dispensary and clinics. </li></ul><ul><li>Welfare of its workers and tradesmen who are not on Sobha’s pay rolls. </li></ul><ul><li>Workers’ Housing Colony – for facilitating a better quality of life and dignity </li></ul><ul><li>Regular contributions to worthy causes </li></ul>
  11. 11. Friends for Life-Road safety campaign
  12. 12. Cause marketing of Salvation Army
  13. 13. Cause marketing step of UNICEF
  14. 14. CAUSE RELATED MARKETING <ul><li>Donating a percentage of revenues to a specific cause based on the revenue occuring during the announced period of support. </li></ul><ul><li>Commercial activity in which companies and nonprofit organizations form alliances to market an image, product or service for mutual benefit. </li></ul><ul><li>It also sponsors non-profit organisations and charities </li></ul><ul><li>Cause related marketing is practiced on the rationale that consumers are human beings are kind hearted. The customer pay the amount with some satisfaction that the specific amount is to for  relevant social cause </li></ul>
  15. 15. Why Cause Related Marketing? <ul><li>Seeking ways of benefiting community organizations while also furthering companies’ business goals. </li></ul><ul><li>Enhance a company’s reputation and brand image </li></ul><ul><li>Impact a company’s bottom line through increased sales </li></ul><ul><li>Attracting and Retaining Customers </li></ul><ul><li>Market Differentiation </li></ul><ul><li>Outreach to Niche Markets </li></ul><ul><li>Motivated and Loyal Employees,Employee volunteering </li></ul><ul><li>Reinforced Company Mission </li></ul><ul><li>Contribution to society </li></ul>
  16. 16. Cause related marketing - examples <ul><li>: BILT the notebook manufacturers concentrate on providing education to drop out school children in rural and urban areas. </li></ul><ul><li>ITC has its motto itself as Enduring value.For every classmate notebook u buy,ITC contributes Rs.1 to its rural dev initiative that supports primary education in villages </li></ul>
  17. 17. <ul><li>American Express has impacted issues as diverse as hunger relief and the restoration of the Statue of Liberty,helping small business men etc… </li></ul><ul><li>ConAgra Foods- launched Feeding Children Better, the nation’s largest corporate initiative dedicated solely to ending childhood hunger. </li></ul><ul><li>Ford Division- Ford Division has been a leading partner of the Susan G. Komen Breast Cancer Foundation’s Race for the Cure events in the fight to raise awareness and the resources necessary to eradicate breast cancer. </li></ul>
  18. 18. Indian examples <ul><li>Tata Group: R un Endowment Schemes to provide higher education for deserving Indians, presented the first corporate sustainability report, social services—the thrust area rural development, community health, basic education and vocational training. It also spends on basic infrastructure and disburses money through various charitable trusts and relief and reconstruction societies. </li></ul>
  19. 20. <ul><li>Infosys: Formed in 1981 by N R Narayana Murthy, Infosys follows a socially responsible and sustainable path in conducting business. The company believes in sharing the wealth with the community and its employees.Sudha moorthy foundation is into social services </li></ul><ul><li>A V Birla Group: The A V Birla group’s initiatives are channeled through The Aditya Birla Center for Community Initiatives and Rural Development spearheaded by Rajashree Birla (wife of Aditya Birla). All the Group companies are dedicated to social development. Hindalco an AVB grp company is the best example for cause related marketing. </li></ul><ul><li>HLL announced a contribution of Rs 0.50 on the sale of each of its brand of lifebuoy brand soap to a diarrhea project </li></ul>
  20. 21. ITCs CSR steps <ul><li>E-choupal - as a more efficient supply chain aimed at delivering value to its customers around the world on a sustainable basis </li></ul><ul><li>Choupal Saagar Hub- transporting rural local economies to a new level of productivity and consumption. </li></ul><ul><li>Social forestry - conv wasteland into artificial forests benefitting 16000 families </li></ul><ul><li>Women empowerment- Through self help groups,Sunehra kal program </li></ul><ul><li>Livestock development- part of their rural development program </li></ul>
  21. 24. Some Cause Related Marketing Campaigns
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