Cause Marketing Today
October 2008 
 
Helping you reap financial & social dividends
Dear  ,
 
To mark cause marketing's 25th anniversary, Cone Inc. has created a gift for the industry it helped spawn: a rigorous consumer behavior market research study indicating cause can be a superior strategy for moving product and engaging consumers.
 
Cone Duke logos
To really absorb this work, you should 1) download "Past. Present. Future." and 2) attend our November 12 teleconference.
 
In the meantime, here's the quick takeaway from the breakthrough behavioral inquiry:
 
In a controlled experiment by Duke University researchers, participants were exposed to a magazine containing either cause-related or generic advertisements for four brands.  Afterwards they entered a mock convenience store and were given money to purchase product in each of the four categories.
 
In the toothpaste and shampoo categories, actual purchases were substantially higher among consumers who'd been exposed to cause-related ads; the chips and light bulb had modest increases.   The higher performing categories benefited from a better fit between the issue, the nonprofit and the product, according to qualitative consumer feedback.
 
To further validate the shampoo and toothpaste results, the study was replicated online among a nationally projectable sample.   The findings: Consumers spent much more time with the cause-related ads, the toothpaste had a large increase and the shampoo had a modest increase.
 
Why is this important?   After years of depending largely on anecdotal evidence and attitude surveys, the canon of cause-related marketing research now contains a solid piece of evidence to support the field's core premise:
 
A well-conceived and well-executed cause-related program can more than hold its own in the marketplace.
  
David Hessekiel
President
Cause Marketing Forum, Inc.
Department Store Shopping Campaigns On The Rise 
 Shop for a Cause
Among the many hurting industries out there, department stores are really suffering from the economic downturn. Many are turning to cause-related programs to drive traffic and connect with their communities.
 
The big Kahuna in this category is Macy's "Shop for a Cause".  The retailer teams up with local charities nationwide to sell $5 shopping passes good for storewide discounts on a designated day.  The charities get to keep the shopping pass proceeds -- $9 million worth this year!
 
In Canada, The Bay will hold a similar program called "The Giving Day" on November 1.
 
JCPenney celebrated a "Day of Giving Back" on September 28 by allowing consumers who'd purchased a $5 pass to save up to 20% on most purchases.   Proceeds from pass sales went to local chapters of four national charities to support afterschool programs, the company's signature cause. 
 
Although localizing such promotions with grassroots partners can be a very effective strategy, some retailers focus on national nonprofits.
 
On September 25, for example, Loehmann's offered shoppers 15% off in exchange for a $5 donation to the Ovarian Cancer Research Fund AND topped that by donating 5% of that day's revenue.
 
From Oct 16 to 26 consumers who bring a sweater or coat to Banana Republic will receive a 30% off coupon.  The apparel will go to Goodwill Industries for resale to support its job traiing programs.
 
Expect to see more such initiatives in 2009 leveraging retailers' ability to generate consumer donations for their nonprofit partners.
Save the Date:
CMF7 May 27 - 29 in Chicago 
 
We're already starting to plan our 2009 get together and hope you'll join us!
 
We're returning to the Westin Chicago River North and we're hungry for your ideas on making CMF7 our best conference ever.   Just reply to this email to send them our way.
Don't Miss
CMF Teleconference logo
Every month we bring a leading expert right to your office.  We are proud to feature:
 
Wednesday, November 12:  Quantifying Cause Impact: The Latest Cone Research presented by Alison DaSilva of Cone Inc.
 
Tuesday, December 9: Celebrities, Causes & Campaigns presented by David Schwab of First Call
 
These valuable, one-hour sessions are only $49.95 (or FREE to members) and include repeat access to the class recording.
 

Quick Links

- The CM Guide: Best practices, research, and case studies
Join Our Mailing List