Cause Marketing Makes Social and Economic Sense
Recently, Jmax Media (a Cause Marketing agency in Rochester NY) executed a charity event where they paired “Tandoor of India” Indian restaurant in Rochester, NY, with the Open Door Mission and Children’s Tumor Foundation(CTF). This event allowed Tandoor to reach a broader audience, cater to a significant event, and let the Open Door Mission and CTF give back to their community and broadcast their message. The fundraiser is an example of cause marketing, where everyone wins.
What is cause marketing?
Cause Marketing is defined as “a type of Corporate Social Responsibility (CSR) in which a company’s promotional campaign has the dual purpose of increasing profitability while bettering society.” Cause marketing allows the brand to become more significant than the brand itself by assisting in a social good. The brand wins by being recognized as philanthropic and receiving free positive press, and the charity wins by receiving much-needed funds. In this way, marketing, generally perceived as a negative, becomes a positive force for change.
Is cause marketing effective?
Millennials are the fastest-growing consumer group, but only 6% of them relate to traditional advertising and marketing. Millennials are much savvier than the previous generation, and in order to capture their brand loyalty, a company must stand for something. 58% of millennials are more likely to buy from a brand that they associate with causes they support, and 90% of consumers feel values are essential when choosing brands increasing brand loyalty.
Brand loyalty is invaluable. Over the lifetime of a consumer, they are likely to spend 85% more on brands they are loyal to, and brands that are seen as socially conscious receive, on average, 9 dollars more per customer. Not only does cause marketing work, but it is also becoming critical. As millennials become increasingly cynical about advertising campaigns, cause marketing is still a method proven to work.
Benefits of cause marketing
Giving back to the community that helped make your brand famous is not only the right thing to do but profitable. The company can gain attention and still market their product and message without the immediate need for advertising. By hosting charity events or giving back to local schools and shelters, their brand gets connected with positivity and goodwill. When consumers are looking to make big purchases, they will associate that goodwill with the brand and make it more successful. The company helps the community, and the community builds brand loyalty to the company in a perfect win-win for everyone.
It helps your brand in more tangible ways too. 71% of Millennials are willing to pay more for something if they know some profits will go to charity. 67% of people are happy to pay more to have a great experience. Contributing to a good cause will enhance customers’ experiences and make them more likely to spend lavishly. In other words, by giving charitably, you can charge more for your product, and people will still connect buying your brand with favorable memories.
How we can help
We connect businesses with reputable charities that fit well with their brand. We can help business owners connect with non-profit organizations and brainstorm together to be of mutual aid. We can show you how to use cause marketing to increase business revenue, increase profitability, and improve your customer’s experience to ensure brand loyalty. We specialize in helping businesses connect with local charities that enhance the reputation and the goodwill of the organization while also doing profound good to the entire community. If you are interested in cause marketing and how we can help you connect an event with a non-profit, click here.