Spicer Marketing

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Cause Marketing

What Is Cause Marketing?

Cause marketing, also known as cause-related marketing, is a type of marketing effort that involves the cooperative efforts of a "for-profit" business model and a non-profit organization for mutual benefit.

The term is often used more broadly to refer to any type of marketing effort for social and other charitable causes, including in-house marketing efforts by non-profit organizations. Cause marketing differs from corporate giving (philanthropy), as the latter generally involves a specific donation that is tax deductible, while cause marketing is a marketing relationship generally not based on a donation.

The benefits of cause marketing are many.   The upside for nonprofits include an increased ability to promote the organization's cause via the greater financial resources of a private business, and an increased ability to reach possible supporters through a company's customer base.  The other benefits of cause marketing for businesses include positive public relations, improved customer relations, and additional marketing buzz.

Services Include:

--Promotion of a common message
--Local partnerships
--Employee service programs
--Product licensing, endorsements, and certifications
--Positive PR buzz, the talk-ability factor

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Paul Spicer

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Data Points:

According to a report published by
onPhilanthropy, cause marketing sponsorship by American businesses is rising at a dramatic rate. Citing an IEG, Inc. study, $1.11 billion was spent in 2005, an estimated $1.34 billion will be spent in 2006, and the number is expected to rise further in 2007.

Cause-related marketing is a powerful marketing tool that business and nonprofit organizations are increasingly leveraging. According to the
Cone Millennial Cause Study in 2006, 89% of Americans would switch from one brand to another brand of a comparable product (and price) if the latter brand was associated with a "good cause".

The same study also indicated that a significant percentage surveyed would prefer to work for a company that was considered socially responsible. This can be linked to the increase in workplace giving programs. Earlier studies by
Cone indicate an upward trend in the number of Americans who associate their own buying habits with cause marketing as well as an expectation for companies to be "good corporate citizens."

These studies also show a substantial increase from just before to just after the September 11, 2001 attacks. Numerous
other studies have also been conducted to show that cause-related marketing has helped to increase a company's profits. For example, in the cause marketing campaign by American Express (to which the term "cause marketing" is attributed), the company saw a 17% increase in new users and a 28% increase in card usage.
Pro Bono Services:

Citizens Against Crime
Richmond Twining
Richmonds of the World
City of Charlottesville
Hanover Arc
Ms. Wheelchair Virginia
Very Special Arts
Virginia Arc
Positive Vibe Cafe
Artists in Residence
The Fan Free Clinic