Cause Marketing & Community Relations -- The Power of Giving
"Doing Good" results in "Doing Well."
According to recent studies, nearly three quarters of the U.S. population, particularly women, prefer to do business with socially responsible companies.
What is cause marketing? It is one of the most important and powerful marketing tools in existence. It is the partnership between for-profits and not-for-profits that help both organizations elevate awareness and revenues.
All parties benefit from a well-intentioned cause partnership. Corporate culture changes for the better while employees and the general public become inspired to help the cause.
Fact: Cause-Related Marketing Builds Customer Loyalty and Good Will.
The following case studies depict the power of Cause-Related Marketing (CRM):
CAUSE MARKETING / BRANDING CASE STUDY #1:
The Famous Amos Recipe for Sucess...WITHOUT the Advertising Ingredient
This is the power of cause marketing, a potent public relations tool.
Wally Amos and his PR firm built a nationally recognized brand strictly through cause marketing and PR strategies and tactics. This campaign also branded Literacy Volunteers of America (LVA) and inspired Ben & Jerry to partner with their "cause celeb," the environment, which branded that company as well.
Amos agency, Rosica Strategic Public Relations, conducted a series of classic and unique public relations events, coupled with a national spokesperson tour, to heighten awareness and sales for the entrepreneurial Amos. Because of these efforts, by 1988 national awareness for the company grew to over 70%.
Wally Amos met John Rosica and Bill Mulhern (founders of the Rosica agency) in the entertainment business during the 1960s and 1970s. The trio applied the same skills to the Famous Amos campaign they had employed to develop and position music stars in prior years. This time, Amos and his cookies were the stars. According to Amos, "Developing a significant national brand like Famous Amos in a competitive marketplace without an advertising budget is quite an achievement. Rosica's experience in show business paid off as the tactics they learned remain relevant in marketing products, concepts and services in todays culture."
"To say that the Famous Amos campaign worked would be an understatement. What it turned out to be one of the most successful public relations/marketing campaigns in the history of the food business." Snack Food Magazine
"Amos' PR agency executed a classic cause marketing campaign . . ." Ad Week
CAUSE MARKETING / BRANDING CASE STUDY #2:
Mark Smith...Speeding Away From Obscurity
Mark Smith was stuck at the starting line in the race for notoriety when his PR agency came to the rescue. Though it didnt seem like an obvious connection to make, Rosica Public Relations paired Smith, a racecar driver, with a cause that helps the blind. While the match didnt "add up" to some, the attention Smith received from the campaign suggests the formula worked. He garnered more than 500 million media impressions in one year as a result of his new image as the racecar driver who cared. He moved up to the major league of auto racing The Indy 500 not long after the campaign took off. Through the PR firm's efforts, Smith made the cover of Parade Magazine (readership of more than 80 million). Due to this exposure, Smith was given a $10 million sponsorship by Sears, and a couple from WashingtonState bequeathed one million to the Seeing Eye Foundation.
Cause-Related Marketing Facts:
The Cone/Coughlin Group surveyed over 2,000 people regarding cause-related marketing. This is what they found:
- 4 out of 5 people surveyed said that when comparing two products of the same price and quality,
they would be more likely to buy the product associated with a cause.
- More than 4 out of 5 (84%) said they have a more positive image of companies affiliated with a cause.
- More than half said they would pay more for such products.
- The most important element of cause-related marketing is the media relations facet. Media coverage from.
- Cause partnerships between companies and not-for-profits can be powerful and compelling. It is this
coverage that impacts brand equity, sales and image/public perception.
- The key to an effective cause marketing campaign is STRATEGY this includes knowing how to promote the
cause related activities and making the right match between the company and the cause.
CAUSE MARKETING / BRANDING CASE STUDY #3:
Big V Shoprite...A Friendly Supermarket Chain
Big V, a chain of 34 ShopRites in New York and New Jersey, faced several challenges pertaining to public perception. Through in-store events, tremendous press coverage, a cause-marketing effort with hospice, monthly bag stuffer newsletters and real estate development strategies, their cause marketing firm helped the chain enhance its image while increasing same-store sales.
CAUSE MARKETING / BRANDING CASE STUDY #4:
Stew Leonard's...Wishing The Community "Well"
To strengthen its ties to the community, the Rosica agency encouraged Stew Leonard's, a Connecticut dairy farm and large retail market, to engage in a year-round promotion, which brought much public praise. This cause marketing and community relations firm suggested its client create a wishing well where patrons could give to one of 52 community organizations over the course of the year. The companys matched contributions were publicized through dozens of events and garnered hundreds of millions of favorable media impressions, along with a 29% increase in sales in the first year of the campaign.
CAUSE MARKETING / BRANDING CASE STUDY #5:
Big Bear Supermarkets...A Family Business Dedicated To Helping Families
Big Bear Supermarkets, a chain of 72 stores in the OhioValley, was looking to shake its giant corporation image in favor of a more community-oriented one. To address this need, Rosica created the Big Bear Community Scholarship Fund. This, along with promoting several charity-based initiatives and implementing a strong grassroots event/cause marketing campaign, has bolstered Big Bears image as a caring neighbor.
When Crisis Management and Cause-Related Marketing are Paired,
A Stronger Company can be Built
A.P. Products, makers of African Pride, All Ways Natural, and Ginseng Miracle, hair and skin care products for the multi-cultural market, was facing a boycott and lawsuit. They needed to combat this negative publicity and forge strong ties with the African-American community.
Rosica PR identified the need to combat the elevated infant mortality rate of African-American babies, which is twice the rate as white babies. The firm partnered African Pride with the financially ailing Birthing Project USA, a non-profit entity devoted to saving babies lives through proper pre-natal care, parenting classes, and supportive mentor relationships during the childs first year of life. A.P. Products became the sole corporate sponsor and donated part of its proceeds from the sale of one of their brands to help the organization.
The Birthing Project grew to 50 chapters across the country and through their work more than 5,000 healthy babies were born in just three years. Scores of local and national interviews were garnered on television and radio and in hundreds of newspaper and magazine articles. A.P. Products gained nationwide recognition as the sole corporate partner of this worthy endeavor and the incident of negative PR early in the companys history was forgotten. Sales grew by 20% a year during the first five years of the campaign.
"Rosica helped turn our image around and created an amazing branding opportunity for us. Their strategies, maturity, partnership approach and results are the reasons I will always use the agency."
Brian Marks, Founder, African Pride Products and former Division President/Revlon | 
