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The Do Well Do Good
Public Opinion Survey on

CAUSE–MARKETING


     Summary Report
OVERVIEW
     Two years ago, the world was in turmoil. The foundations of the global economy nearly collapsed as
     banks were afraid to lend to each other. Companies began shedding workers swelling unemployment
     to their greatest length in decades. And then the worst was over and we find ourselves in a shaky post-
     recession economy. In some circles, the cultural excess that drove our economy to its knees has been
     shunned. Austerity is now no longer looked down upon – one would hope at least. It is in this post-
     crisis context that we at Do Well Do Good, LLC conducted our first public opinion survey on cause-
     marketing and corporate social responsibility. What do American consumers expect of the companies
     they buy from? How do employees view their company’s responsibility to society and the environment?
     Our intent with these surveys is to look deeper than surface-level feelings and to identify the extent
     consumers and employees say they would change their behavior.


Cause-Marketing Defined                                            What consumers say and do.
Cause-marketing and corporate social responsibility
programs are two tools of modern business practices that

by doing good in society. While cause-marketing and
CSR initiatives are fundamentally different, they can
help a company enhance or create new approaches in the
workplace, with the workforce, and in the marketplace.
They are more than just the “right thing to do.” These
programs can improve the bottom line and help a company
meet the expectations of their customers, employees, and



money, and/or consumer engagement in a social or
environmental issue.” To read the companion Summary
Report on corporate social responsibility, please visit www.    Bought a product where a money is given back to a
dowelldogood.net. We report the results of these surveys        charity as a result of my purchase
                                                                                                       71%
by looking at the response by the total population and we
also segmented the results to identify how men, women,
and moms view the questions asked.                              Donated my own money directly to a non-religious
                                                                charity / nonprofit:
Vox Populi: The Voice
Of The People
                                                                                               67%
                                                                Volunteered wit a non-religious charity/nonprofit
                                                                            29%
Consumers expect a lot of companies The Do Well Do
Good Public Opinion Survey on Cause-Marketing
                                                                88% of consumers agree companies should try to
                                                                accomplish their business goals while still trying to
support causes. Related to the general expectations of          improve society and the environment
companies:
 88% of consumers think companies should try to
                                                                                                                88%
 accomplish their business goals while still trying to          83% of consumers think companies should support
 improve society and the environment.                           charities and nonprofits with financial donations.

 83% of consumers think companies should support                                                             83%
 charities and nonprofits with financial donations.             32% of employees would seriously consider finding
 71% would like companies to increase their advertising to      a new job if the company they work for gives little
 tell what the companies are doing in the community.            money to charity
                                                                                  32%

 2                                                             The Do Well Do Good Public Opinion Survey on Cause-Marketing
Consumer Behavior: Going The Extra                                   For a $1 product, 45% of the consumers expect to pay no
                                                                     extra amount .
Mile (And Paying The Extra Dollar)
                                                                     For a $5 product, 45% expect to pay no extra amount.
But do consumers and employees match their expectations
of companies with their own behavior? In the past twelve             For a $10 product, 30%.
months, American consumers have done the following:                  For a $50 product, 29%.
 71% have bought a cause-product                                     For a $100 product, 29%.
 67% have donated to a non-religious charity                         For a $1,000 product, 30%.
 29% have volunteered with a non-religious charity                 Consumer loyalty also manifests in how much people are
In addition, only 19% of consumers report that they                willing to travel out of their way to buy a product that
have cut back on donating to charities because they have           supports a cause. Nearly 70% of consumers would be
bought cause-marketing products. If we take a more in-
                                                                   to purchase a product that supports a cause that means a
willing to pay for a cause supporting product? We call it          lot to them.
“a proxy for price elasticity.” In economics, price elasticity
measures marginal changes in demand as a response to



dollar amounts $1, $5, $10, $50, $100, or $1,000.
                                                                    The Price Elasticity of Cause- Marketing Products: If you
However, it is very important when looking at these                 needed and wanted to buy a product that costs $_____
numbers to also consider the percentage of consumers that           what is the most ADDITIONAL amount you would be
indicated they expect to pay no amount extra at each of             willing to pay if that extra amount were sent to a cause /
the price points.                                                   nonprofit/charity you care about.



   The most amount of time I would be willing to travel to a
   specific store to purchase a product that supports a cause I
   care about is:




                                                                    $1 product
                                                                                   $2.12
   Everyone                                                         $5 product

                               10.89            minutes                              $2.59
                                                                    $10 product
   Men
                                                                                      $2.98
                               11.35            minutes             $50 product
   Women                                                                                   $4.53
                                                                    $100 product
                               10.43            minutes                                        $6.41
                                                                    $1,000 product
   Moms
                                                                                                           $14.93
                               10.92            minutes


DoWellDoGood LLC ©2010                              www.dowelldogood.net                                                         3
36.1% were able to correctly identify (RED) as supporting HIV / AIDS relief in Africa
                                       (59.5% didn’t know),
                                                                        36.1%
                                       69.3% were able to identify the Komen Foundation with supporting breast cancer
                                       research (28% didn’t know), and
                                                                                                                69.3%
                                       15.3% were able to identify Pepsi as the beverage company that allows members of the
                                       public to nominate, vote, and select charities to receive the company’s financial donations
                                       (72.6% didn’t know).

                                                   15.3%
Consumer Awareness                                                 How To Answer The Public’s Call
                                                                   The question then becomes what are the most effective
more, and willing to go further to buy products or use             ways of getting participation with cause-marketing efforts?
companies that support a cause. However, how effective are         The results of the survey show that if a company or store
major cause-marketing brands and initiatives in connecting         creates a causemarketing program that involves either
with the hearts and minds of consumers?                            donation solicitation or a causeproduct, different methods
We benchmarked one of the most well known cause                    will yield different response. Namely, consumers have
brands, the Susan G. Komen Foundation and two prominent            mixed feelings about being asked to donate at the register.
cause-marketing initiatives: Product (RED) and the Pepsi           Across all demographics measured,
Refresh Project. Here’s what we found:                               30% liked being asked to donate at the register whereas
 36.1% were able to correctly identify (RED) as                      35% did not like the experience.
 supporting HIV / AIDS relief in Africa (59.5% didn’t
 know),                                                             In fact, only 38% of consumers said being asked to donate
                                                                   at the register would make them likely to participate in
 69.3% were able to identify the Komen Foundation with             a cause program. This number improves to 49% if a
 supporting breast cancer research (28% didn’t know), and          customer is told by an employee why a cause is important
 15.3% were able to identify Pepsi as the beverage                 and why the company is supporting it – which offers
 company that allows members of the public to nominate,            an important insight to empower employees with key
 vote, and select charities to receive the company’s               messages.
 financial donations (72.6% didn’t know).
In each of these cases, the respondents were also given the
option to select from two “dummy” answers in addition to
being able to select the correct answer and “I don’t know.”




                                                                                            30% liked being asked to
                                                                                            donate at the register whereas

                                                                                                           30%
                                                                                            35% did not like the experience

                                                                                                              35%

 4                                                               The Do Well Do Good Public Opinion Survey on Cause-Marketing
So if customers respond unevenly when being asked to
donate at the register, which cause-marketing tactics work
the best? The answer is resoundingly clear: matching funds.
A strong 79% said that a company matching donations
would make them likely to participate in a cause program.
Nearly half of those said it would make them “very likely”
to participate. In addition:
 79% said selecting a charity in-store would make them
 more likely to participate,
 67% said selecting a charity online,
 58% said signage in the store that explains the charity and
 why the cause is important, and
 64% said having a product branded (such as with a logo)            I would buy a new brand if it supported a cause,
 would make them more likely to participate.                        regardless of my involvement with that cause:
Consumers appeared indifferent to large advertising
campaigns backing the cause program. They also indicated                                           47%
that a celebrity endorsement and small disclaimer text              I would buy a new brand if it supported
would make them relatively unlikely to participate. It should       a cause that I care about:
be noted, celebrity endorsements aren’t necessarily a poor
choice of tactics as they can be useful in obtaining publicity
                                                                                                              65%
and raising awareness. Rather, the data indicates that a            I be more likely to participate in a cause-marketing
consumer is unlikely to be swayed by celebrity participation        program if an employee tells me why a cause is
in-store.                                                           important and why the company supports it:
Cause-marketing and corporate philanthropy can also                                              49%
extend to the workforce. Slightly over a third - 33.9% - of         I would be more likely to participate in a cause-
the employed survey respondents claim their employer has            marketing program if I am allowed to choose which
inspired them to donate money to a charity within the last          charity is selected in-store:
year. In addition:
 25% say that their employer has inspired them to
                                                                                                                  73%
 volunteer with a nonprofit or charity within the past year.
 15% say that their employer allows them to volunteer “on
 company time.”                                                  About the Survey & About Us
Of those whose companies allow them to volunteer on              The Do Well Do Good Public Opinion Surveys on Cause-
company time, the respondents report a median of 20              Marketing and Corporate Social Responsibility were
hours per year that they volunteered in the last year.           conducted through an online panel organized by Qualtrics
                                                                 Labs, Inc.. The survey was conducted between September
                                                                 23-25, 2010 with 1,017 respondents consisting of 503
                                                                 women and 514 men. The survey is estimated to have an
                                                                 error rate of + 3.1%.

                                                                 organizations whose leadership wishes to increase the
                                                                 positive impact of their corporate social responsibility,
                                                                 cause-marketing, and philanthropy initiatives. We provide
                                                                 the tools and enhance the skills of program managers in
                                                                 order to implement a clear and comprehensive strategy,
                                                                 improve communication between internal and external
                                                                 audiences, and integrate programs throughout all levels of
                                                                 the company.




DoWellDoGood LLC ©2010                            www.dowelldogood.net                                                        5

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DoWell Do Good Cause Marketing Survey 2010

  • 1. The Do Well Do Good Public Opinion Survey on CAUSE–MARKETING Summary Report
  • 2. OVERVIEW Two years ago, the world was in turmoil. The foundations of the global economy nearly collapsed as banks were afraid to lend to each other. Companies began shedding workers swelling unemployment to their greatest length in decades. And then the worst was over and we find ourselves in a shaky post- recession economy. In some circles, the cultural excess that drove our economy to its knees has been shunned. Austerity is now no longer looked down upon – one would hope at least. It is in this post- crisis context that we at Do Well Do Good, LLC conducted our first public opinion survey on cause- marketing and corporate social responsibility. What do American consumers expect of the companies they buy from? How do employees view their company’s responsibility to society and the environment? Our intent with these surveys is to look deeper than surface-level feelings and to identify the extent consumers and employees say they would change their behavior. Cause-Marketing Defined What consumers say and do. Cause-marketing and corporate social responsibility programs are two tools of modern business practices that by doing good in society. While cause-marketing and CSR initiatives are fundamentally different, they can help a company enhance or create new approaches in the workplace, with the workforce, and in the marketplace. They are more than just the “right thing to do.” These programs can improve the bottom line and help a company meet the expectations of their customers, employees, and money, and/or consumer engagement in a social or environmental issue.” To read the companion Summary Report on corporate social responsibility, please visit www. Bought a product where a money is given back to a dowelldogood.net. We report the results of these surveys charity as a result of my purchase 71% by looking at the response by the total population and we also segmented the results to identify how men, women, and moms view the questions asked. Donated my own money directly to a non-religious charity / nonprofit: Vox Populi: The Voice Of The People 67% Volunteered wit a non-religious charity/nonprofit 29% Consumers expect a lot of companies The Do Well Do Good Public Opinion Survey on Cause-Marketing 88% of consumers agree companies should try to accomplish their business goals while still trying to support causes. Related to the general expectations of improve society and the environment companies: 88% of consumers think companies should try to 88% accomplish their business goals while still trying to 83% of consumers think companies should support improve society and the environment. charities and nonprofits with financial donations. 83% of consumers think companies should support 83% charities and nonprofits with financial donations. 32% of employees would seriously consider finding 71% would like companies to increase their advertising to a new job if the company they work for gives little tell what the companies are doing in the community. money to charity 32% 2 The Do Well Do Good Public Opinion Survey on Cause-Marketing
  • 3. Consumer Behavior: Going The Extra For a $1 product, 45% of the consumers expect to pay no extra amount . Mile (And Paying The Extra Dollar) For a $5 product, 45% expect to pay no extra amount. But do consumers and employees match their expectations of companies with their own behavior? In the past twelve For a $10 product, 30%. months, American consumers have done the following: For a $50 product, 29%. 71% have bought a cause-product For a $100 product, 29%. 67% have donated to a non-religious charity For a $1,000 product, 30%. 29% have volunteered with a non-religious charity Consumer loyalty also manifests in how much people are In addition, only 19% of consumers report that they willing to travel out of their way to buy a product that have cut back on donating to charities because they have supports a cause. Nearly 70% of consumers would be bought cause-marketing products. If we take a more in- to purchase a product that supports a cause that means a willing to pay for a cause supporting product? We call it lot to them. “a proxy for price elasticity.” In economics, price elasticity measures marginal changes in demand as a response to dollar amounts $1, $5, $10, $50, $100, or $1,000. The Price Elasticity of Cause- Marketing Products: If you However, it is very important when looking at these needed and wanted to buy a product that costs $_____ numbers to also consider the percentage of consumers that what is the most ADDITIONAL amount you would be indicated they expect to pay no amount extra at each of willing to pay if that extra amount were sent to a cause / the price points. nonprofit/charity you care about. The most amount of time I would be willing to travel to a specific store to purchase a product that supports a cause I care about is: $1 product $2.12 Everyone $5 product 10.89 minutes $2.59 $10 product Men $2.98 11.35 minutes $50 product Women $4.53 $100 product 10.43 minutes $6.41 $1,000 product Moms $14.93 10.92 minutes DoWellDoGood LLC ©2010 www.dowelldogood.net 3
  • 4. 36.1% were able to correctly identify (RED) as supporting HIV / AIDS relief in Africa (59.5% didn’t know), 36.1% 69.3% were able to identify the Komen Foundation with supporting breast cancer research (28% didn’t know), and 69.3% 15.3% were able to identify Pepsi as the beverage company that allows members of the public to nominate, vote, and select charities to receive the company’s financial donations (72.6% didn’t know). 15.3% Consumer Awareness How To Answer The Public’s Call The question then becomes what are the most effective more, and willing to go further to buy products or use ways of getting participation with cause-marketing efforts? companies that support a cause. However, how effective are The results of the survey show that if a company or store major cause-marketing brands and initiatives in connecting creates a causemarketing program that involves either with the hearts and minds of consumers? donation solicitation or a causeproduct, different methods We benchmarked one of the most well known cause will yield different response. Namely, consumers have brands, the Susan G. Komen Foundation and two prominent mixed feelings about being asked to donate at the register. cause-marketing initiatives: Product (RED) and the Pepsi Across all demographics measured, Refresh Project. Here’s what we found: 30% liked being asked to donate at the register whereas 36.1% were able to correctly identify (RED) as 35% did not like the experience. supporting HIV / AIDS relief in Africa (59.5% didn’t know), In fact, only 38% of consumers said being asked to donate at the register would make them likely to participate in 69.3% were able to identify the Komen Foundation with a cause program. This number improves to 49% if a supporting breast cancer research (28% didn’t know), and customer is told by an employee why a cause is important 15.3% were able to identify Pepsi as the beverage and why the company is supporting it – which offers company that allows members of the public to nominate, an important insight to empower employees with key vote, and select charities to receive the company’s messages. financial donations (72.6% didn’t know). In each of these cases, the respondents were also given the option to select from two “dummy” answers in addition to being able to select the correct answer and “I don’t know.” 30% liked being asked to donate at the register whereas 30% 35% did not like the experience 35% 4 The Do Well Do Good Public Opinion Survey on Cause-Marketing
  • 5. So if customers respond unevenly when being asked to donate at the register, which cause-marketing tactics work the best? The answer is resoundingly clear: matching funds. A strong 79% said that a company matching donations would make them likely to participate in a cause program. Nearly half of those said it would make them “very likely” to participate. In addition: 79% said selecting a charity in-store would make them more likely to participate, 67% said selecting a charity online, 58% said signage in the store that explains the charity and why the cause is important, and 64% said having a product branded (such as with a logo) I would buy a new brand if it supported a cause, would make them more likely to participate. regardless of my involvement with that cause: Consumers appeared indifferent to large advertising campaigns backing the cause program. They also indicated 47% that a celebrity endorsement and small disclaimer text I would buy a new brand if it supported would make them relatively unlikely to participate. It should a cause that I care about: be noted, celebrity endorsements aren’t necessarily a poor choice of tactics as they can be useful in obtaining publicity 65% and raising awareness. Rather, the data indicates that a I be more likely to participate in a cause-marketing consumer is unlikely to be swayed by celebrity participation program if an employee tells me why a cause is in-store. important and why the company supports it: Cause-marketing and corporate philanthropy can also 49% extend to the workforce. Slightly over a third - 33.9% - of I would be more likely to participate in a cause- the employed survey respondents claim their employer has marketing program if I am allowed to choose which inspired them to donate money to a charity within the last charity is selected in-store: year. In addition: 25% say that their employer has inspired them to 73% volunteer with a nonprofit or charity within the past year. 15% say that their employer allows them to volunteer “on company time.” About the Survey & About Us Of those whose companies allow them to volunteer on The Do Well Do Good Public Opinion Surveys on Cause- company time, the respondents report a median of 20 Marketing and Corporate Social Responsibility were hours per year that they volunteered in the last year. conducted through an online panel organized by Qualtrics Labs, Inc.. The survey was conducted between September 23-25, 2010 with 1,017 respondents consisting of 503 women and 514 men. The survey is estimated to have an error rate of + 3.1%. organizations whose leadership wishes to increase the positive impact of their corporate social responsibility, cause-marketing, and philanthropy initiatives. We provide the tools and enhance the skills of program managers in order to implement a clear and comprehensive strategy, improve communication between internal and external audiences, and integrate programs throughout all levels of the company. DoWellDoGood LLC ©2010 www.dowelldogood.net 5