This essay will focus on exploring the following topics:
1. Cause related marketing
2. Cause related marketing within the charity sector
3. Cause related marketing within the (RED) campaign
4. Customer behaviour
5. Customer behaviour within the charity sector
6. Customer behaviour within the (RED) campaign
Cause related marketing will explore this type of marketing, its adversaries and opponents. It will also explore the phenomenon of charity related products within this type of marketing.
3.2 WHAT IS CAUSE RELATED MARKETING?
CRM is defined as marketing involving a cooperative effort of a “for profit” company and a non-profit organization, resulting in mutual benefit. CRM is different from corporate giving as it is not necessarily a one-time donation and is not tax deductible.
CRM was first seen in a campaign in 1976 through the partnership of the Marriott Corporation and the March of Dimes charity. (http://bruceburtch.com/casestudies.html) The Marriott’s overall objective of this partnership was to create major publicity and marketing awareness for the opening of their 200-acre family entertainment centre, Marriott’s Great America in Santa Clara, CA. They wanted to have over 2 million visitors in the first year of their family center. The March of Dimes saw it as a way to increase awareness and fundraising for their pledge walks in the western states region of American by the end of the deadline. The marketing campaigns was launched in 67 cities, in 17 western states offering participants the chance to win trips to Great America Centre for the walker who brought the most sponsorship in by the deadline. An additional perk was that the winners could bring 100 of their friends with them to the opening of Great America; this generated a tremendous word-of-mouth marketing. The results of this first CRM campaign where amazing, beating everyone’s expectations. Over 2.2 million people attended the Great America in the first year, breaking amusement park records. The March of Dimes was able to raise over $2.5 million, which resulted in 40% increase of the previous years earnings. This campaign was directed by Bruce W. Burtch, who has become a leading expert in CRM in the United States. Bruce has had the chance to work on many successful cause related campaigns, it has been said about cause related marketing:
“Putting two or more organizations together and executing a marketing campaign isn't the hard part. Creating a mutually shared vision that deeply inspires all parties, and having the public realize there is real, tangible value in the cause marketing offering - that is the hard part. The creative focus must be on this transformation - from diverse marketing objectives to a motivational call-to-action for a greater good. ”( http://bruceburtch.com/casestudies.html)
The observation made by Marti Burchell, Executive director for The USS Potomac Association, sums up the challenges of CRM in a nutshell.
This struggle can be seen in any...