Social Entrepreneurship
Cause-Related Marketing came to be known in 1983 by American Express. The principle behind it, however, is as old as society itself…
Reciprocity.
The benefit for your business is more sales…
Giving through helping makes the world go round. For a graphic demonstration of the power of reciprocity, survey the online world. You cannot but help see terms such as “Mass Control Marketing”, “Product Launch Formula” or “Moving The Free Line”.
What is the same amongst them? In each of them is the core concept of giving to potential customers in the hope that these prospects/people become loyal customers. You think it’s a risk, right?
There are lots of free-loaders flying about, yes?. I will not disagree, there are more than enough but there is little or no risk involved for these canny marketers.
They know how people in general think, how we all ‘tick’. We feel grateful and beholden to another person who does us a favour or gives us a gift (some moreso than others mind).
It may seem paradoxical to suggest giving - particularly in the turbulent times we now live in - will improve your sales. You may instead think it is in fact a problem laden idea.
American Express did not and do not. Instead, they knew when they started the pledge to donate a cent to the refurbishment of the Statue of Liberty for every transaction made by customers, these would money well spent.
Fantastic publicity cannot be purchased, customer happiness cannot be purchased, improved employee morale cannot be bought (well, most of the time). Instead they found out this can be “given”.
During the American Express Statue of Liberty initiative, use of Amex cards increased by 28% and new users increased by 17%. In the intervening years, many more companies have had stellar successess with cause related marketing. Companies like Coca-Cola, McDonalds, Avon, the list goes on and on… are now committed. And it’s not just big companies either who are savvy to the positive benefits cause-related marketing can bring to the company coffers.
More profits by giving money to good causes a great idea? Well…
While appearing on “Late Night with Conan O’Brien” to promote her role of the sex-crazed assassin Xenia Zirgavna Onatopp in the bond film GoldenEye, Famke Jansen asked him if he would like a demo of her characters killer signature move (she had to get on top of Conan on a desk and squeezing him with her thighs). Conan replied with “This is what we in the industry call a ‘no-brainer’.”
Giving ends with more receipts, it is a no brainer.
JointWinWin.com is a free cause related marketing business directory. As a business you can submit unlimited website listings for no cost giving you extra sales channels for your business. For more info watch this video: http://jointwinwin.com/IntroductoryVideo-BlogPost