The document discusses how businesses and brands can benefit from adopting a social purpose and engaging in mutually beneficial marketing with consumers. It cites survey findings that over 80% of consumers feel it is important for companies to support good causes even during recessions. The document provides examples of companies like General Mills and its Box Tops for Education program that have seen commercial gains from cause marketing. It argues that adopting a clear social purpose can help differentiate brands and foster stronger emotional connections and loyalty with conscious consumers.

1. Mutually Beneficial Marketing why businesses and brands need a good purpose Global Winter 08 2nd Annual goodpurpose study inside

2. Global Call for Public Engagement “ So let us summon a new spirit of patriotism; of service and responsibility where each of us resolves to pitch in and work harder and look after not only ourselves, but each other .” “ But we also know that government initiatives are not enough. Each of us in our own lives needs to do what we can to help the poor. And until we do, our conscience cannot rest ….” Barack Obama “ Yes We Can”

3. And its more important than ever to put meaning into marketing Only 25 % of people find contentment from the shopping experience* - Recessionary times call for more substance Over 83 % of consumers are willing to change consumption habits to make tomorrow’s world a better place* Today 70 % of the brand consideration/adoption process is based on emotional subconscious factors** 63% of consumers think brands spend too much on marketing/advertising and should put more into a good cause* *Source: Edelman GP global study 2008 **Source: Brand Keys

4. Purposeful business pays General Mills’ Box Top for Education “… expects the program to raise more money this year than last , when it raked in $39 million. The initiative raised $250 million for public schools since it started…” “ When the economy is down , cause marketing let’s consumers give back by doing something they were always doing, buying cereal” “ When consumers engage in cause marketing, Mr. Peters said, it can ease the burden of charitable giving. “They [think] ‘I can write a check, but I don’t have to, because their cereal purchase diverts funds to public schools so they don’t have to open their wallet twice.” They can make their dollars go further, and that’s important for the consumer to be engaged.” Brian Peters General Mills Box Tops For Education

5. Recession: The 800lb Gorilla in the room On global level …. Globally (80%) of consumers feel that during a recession, it is still important for brands and companies to set aside money for social purpose Women are more likely than men to agree that “during a recession it is still important for brands and companies to set aside money for a good cause or purpose ” (82% v 78%) and that “if a company has to cut its costs during a recession it should not stop giving to good causes” (75% v 70%). (68%) of consumers say that in a recession, they would remain loyal to a brand if they support a good cause (55%) of consumers say that in a recession, they will buy from brands that support a good cause even if it is not the cheapest brand Nearly one in two consumers say that the economic downturn has made no difference in their support of a good cause Source: New findings from the Edelman goodpurpose 2 nd annual study

6. Mutual Social Responsibility: brands, companies and consumers actively working together to effect enduring positive social change Cause-Related Marketing : partnerships between for-profits and non-profits that create promotional and fundraising opportunities A new social purpose business paradigm? Consumer Empowerment Brand Democracy Brand Personalization Company’s New Social Role and Relevance Corporation in Trust Flux Corporate Social Responsibility: definitions vary, but CSR can be described as a commitment by business to mitigate risk, bolster reputation and create opportunities by being a good (corporate) citizen. This may involve any number of activities that move beyond compliance and health and safety policies, from corporate philanthropy to societal well-being Cause – Related Marketing Corporate Social Responsibility Mutual Social Responsibility Build bridge between CSR and Brand Marketing

7. Point-of-View Return on Involvement Foster Emotional Bond Engage Public Ownable Idea Mutual Social Responsibility Purpose Driven Build Mutual Trust & Mutual Benefit Build brand loyalty / Sustain Relationship Profit Meets Purpose

8. Why goodpurpose now? media, websites committed to purpose Good Magazine “ is for people who give a damn. it’s an entertaining magazine about things that matter” New Consumer , oneworld.net , stylewillsaveus.com , utopia.de , lohas.de , newethics.com changex.de sublime is the first international ethical lifestyle magazine, partnering aesthetics & ethics CNN impact your world lifegate.it , peopleplanetprofit.nl, ivyworld.de Causecast , facebook , socialvibe A new contemporary , more engaging way to look at social purpose marketing

9. Evidence of social purpose abounds

10. Evidence of Social purpose abounds

12. Meet the Purpose Purveyors Philanthropists Campaigners Consumers “ People like me” Matt Damon George Clooney Millenials Insert AHA Bill & Melinda Gates Bono Oprah Winfrey Tony Blair Al Gore Bill Clinton Brad Pitt & Angelina Jolie Richard Branson Kofi Annan Muhammad Yunus Women Moms Children Boomers

13. Edelman presents helping brands and companies put purpose closer to their core proposition People and brands working together to take action and effect positive social change for mutual benefit A mutual social responsibility initiative

14. social areas cross cultural understanding/diversity education, arts & culture environment human rights/civil rights personal & public health poverty & hunger self esteem/self worth animal rights & protection 

15. ROI. Financial: reason to buy Brand differentiation + stakeholder engagement Halo effect Brand catalyst for consumers Why not “R eturn O n I nvolvement?” ROI metric: conversation, interaction, co-creation, involvement, membership, brand loyalty, purchase and re-purchase

16. 6,000 interviews (18-64) Global consumer insights & evidence Strategy & Ideation Development rigorous process 3-dimensional amplification Connecting NGOs /business stakeholders to pop-culture & social purpose strategies/ platforms goodpurpose community.com What’s new Who’s doing what 10 country Study Powerful Idea with purpose Engage Public Build mutual trust & benefit Return on Involvement the offer

17. 2 nd Annual Global Consumer Study October 2008 StrategyOne surveyed 6,000+ consumers across ten countries, aged 18-64 Canada 500 USA 1,000 UK 500 Brazil 500 Italy 500 Germany 500 India 500 China 1,000 Japan 500 France 500

18. Consumers are more involved than ever in social purpose Consumers want to make a difference & prefer brands that do! Globally, nearly 9 in 10 consumers (87%) feel it is their duty to contribute to a better society and the environment 82% of consumers globally say they can personally make a difference by supporting good causes 83% of consumers are willing to change consumption habits to make tomorrow's world a better place 76% of consumers globally like to buy from brands that make a donation to worthy causes!

19. Ho w much do you personally care about?… Base: 6,048

20. Consumers want not only individuals to drive support of good causes but also want government to get involved/take the lead Government was chosen by consumers than any other organization to support top social causes: Equal opportunities to education (55%) Health (46%) Reducing Poverty (40%) New 2008 Insights: People want government involved in social causes

21. Does social purpose beat brand design and innovation? Make money and do good too! 58% of consumers globally are fine with brands that support good causes and make money 55% globally say they would be prepared to pay more for a brand in a recession that supports a good cause they believe in When choosing between two brands of similar quality & price, a social purpose is what would most affect consumer decisions, globally ( 42% ), ahead of design & innovation ( 30% ) and brand loyalty ( 27% ).

22. Globally, consumers will pay more for & evangelize good cause brands Globally, 52% are more likely to recommend a brand that supports a good cause than one that does not Nearly seven in 10 globally ( 69% ) would be prepared to pay more for eco-friendly products Over half of consumers globally would help a brand promote its products if there was a good cause behind it

23. 2008 New Insights goodpurpose starts at home (58%) have switched equipment or lights more often this year than last year (56%) have used lower wattage light bulbs and 54% have used fewer plastic bags It is becoming more unacceptable in local communities not to make an effort or show concern for the environment. Globally 65% agreed with this statement

24. New Global Insights for 2008 Children driving cause involvement (61%) of people say they have taken an action because they have been influenced by their children/other peoples children (24%) of adults used lower wattage light bulbs based on children getting them to do so. Other activities that were child driven Using fewer plastic bags (24%) Switching off household equipments and lights (23%) Participating in a fundraising event (20%)

25. Brands weighing in many different ways…

26. Brands & Purpose Gucci’s UNICEF Campaign fronted by Rihanna Benetton’s Africa Works Microfinance campaign fronted by Youssou N’Dour Ben & Jerry’s/WWF Climate Change College Shell Fuel Economy EU Initiative: “ You control climate change” Dirt is good More Children, Better Care Every Child has the right to play Take the pledge

27. Brita – Filter for Good USA, Canada Brita’s FilterForGood program has motivated thousands of Americans to reduce their bottled water waste simply by switching to a reusable bottle with filtered water. The results for Brita have been exponential: sales increased & reinvigoration of the brand, consumer praise and a desire to infuse sustainability practices throughout Clorox brands.

28. Omo: Dirt is Good - Every Child Has the Right to Play Sweden “ my child spends less than one hour a day outside...help!” 96% positive media impact Increase in sales/market share

29. Power of One: Energy Efficiency for Ireland A simple clear expression of one central idea: That the individual actions of every single person in Ireland will together create a powerful, positive change in the nation’s energy use habits. Only by empowering the individual can we hope to influence society in general. The power of one individual Capture the collective power of individual actions Media coverage resulted in 13 million+ impressions: increase in awareness: increased internet hits and consumer adoption Irish Times committed to running monthly column following campaign Power of One Street (Energy efficient model community) Power of One message Power of One Office School curriculum Power of One Bite – Restaurant/tourism

30. Rama: More children better care Rama (margarine brand) supports families and government The Idea: Improvement of flexible childcare in Germany Rama stands up for more flexible child care in Germany – and supports government, nation, communities and families with 100 best practice child care projects

31. Rama: More children better care Results Whitepaper made its way into political party newsletters and discussion by other key opinion makers Awards: Sabre Award 2007 (Cause-Related Marketing) German PR Award 2007 (Corporate Social Responsibility) Sales increase at retail level Media 100 million impressions in print, TV , online and radio.

32. are emerging brands themselves have key role to play with established brands NGOs engage multiple stakeholders

33. Which way to go? Social purpose; which one? Partnerships Ownable space Link to your brand attributes/benefits Tools of involvement 

34. Process Driven Discovery Strategy + Ownable Idea ROI Involvement + Sustainability For Mutual Benefit Listen + Learn Differentiate + Action

35. Survey results inform us that social purpose as a marketing imperative has global consumer appeal and can help brands build deeper relationships 83% of consumers willing to change consumption habits to make tomorrow’s world a better place Mutual social responsibility is next key step in connecting consumers with brands via social purpose For businesses, performing well and doing good are linked Mutual beneficial marketing conclusions/opportunities for brands

36. Mutual beneficial marketing conclusions/opportunities for brands Return on involvement is a new metric Brands need to create powerful ownable ideas out of a social purpose platform to differentiate and rise above the clutter (e.g. Dove real beauty + self esteem) Word of mouth, social marketing and new, non-traditional channels are key to bringing a social purpose concept to life in a world of attention deficit disorder and 24/7 communications 68% of consumers globally say that in a recession, they would remain loyal to a brand if it supports a good cause.

37. community.com let’s continue the conversation…