Cause Related Marketing an essential tool for branding

1. Cause Related Marketing an essential tool for branding By : SwatiBishtAssociate Professor and Dean PGDMInstitute of Management Studies, Makkawala Greens, Mussoorie Diversion Road, Dehradun-248009-Uttarakhand

2. CK Prahalad once said • “It is absolutely possible to do well while doing good” (Time, 2005).

3. The Presentation Highlights • Introduction • Objectives • Cause Related Marketing (CRM) • Proposed Model for CSR and Brand Building • What makes a brand trustworthy? • CSR and Celebrity Endorsement • CSR and Brand Positioning • Conclusion • References

4. . No company would survive for long if their customers abandoned them in protest at having been misled. Corporate social responsibility, or CSR, means companies aligning their values with a greater good and taking action to have a positive effect.

5. Some Definitions • CSR is about how companies manage the business processes to produce an overall positive impact on society. • "Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large"

6. Objective The main objective of the paper is to understand CSR’s contribution in branding of the organization.

7. Companies need to answer to two aspects of their operations • The quality of their management - both in terms of people and processes (the inner circle). | • The nature of, and quantity of their impact on society in the various areas.

8. Cause Related Marketing Cause marketing or cause-related marketing refers to a type of marketing involving the cooperative efforts of a "for profit" business and a non-profit organization for mutual benefit. From Wikipedia, the free encyclopedia

9. Cause Related Marketing • Cause Related Marketing (CRM) can be an integral part of the corporate social responsibility strategy of an organization. • Cause Related Marketing adds another dimension to the brand strength of a brand. It provides the emotional as well as the rational engagement of the consumer with the brand.

10. CSR and Brand Building 86 percent of consumers said that they would have a more positive opinion of a company that is doing something to make the world a better place, regardless of the cause or issue concerned ( International Research study in 1996 in the UK of 1053 consumers done on behalf of Business in the Community.

11. Proposed Model on CSR & Brand Building

12. What makes Brands Trustworthy? • Its value orientation in the words of the customer after experiencing it. • Consistency in delivery ability to give satisfaction in every usage • Good Corporate Governance Standards • Contribution towards the universal good through Corporate Social Responsibility • Endorsement by a Believable personality • Right Communication Strategies (a brand is what is understood by the customer) • Production of high quality products and services

13. It’s a Show Me Rather than Just Talk to Me Trust is built only after showing and proving and correlates with the saying Action speak louder than words.

14. CSR & Celebrity Endorsements A celebrity with a good past clean record in life will have a better impact on the mind of the customer than a celebrity with a tarnished personal image. A popular celebrity icon when promotes a cause makes a long lasting impact on the mind of the stakeholders as most people tend to clearly relate the cause with the celebrity.

15. CSR and Brand Positioning A company into corporate social responsibility will: • Attract more competent staff to work for it • Encourage more customers to use the products / services of the company.

16. Some Cos to name a few that have taken nice CSR initiatives: • Buckets for the Cure campaign by KFC • Unilever’s Project Shakti • Coca Cola purchasing its first renewable energy certificates (RECs) • Target’s Bullseye Gives program –Facebook

17. Conclusion CSR is indeed the need of the hour .If every company does its own bit, the world surely will be a better place to live in. CSR is not just cause related initiatives but it also is producing and marketing high quality value oriented products and services and also maintaining high corporate governance standards

18. . References Books: • Balu R. 2001. ‘Strategic innovation: Hindustan Lever Ltd’. Fast Company, Issue 47, page 120. • Hammond A, Prahalad CK. 2004. ‘Selling to the poor.’ Foreign Policy, May-June, 2004. JOURNALS • C.L. Cone, M.A. Feldman and A.T. DaSilva, “Causes and Effects,” Harvard Business Review 81 (July 2003): 95-101. CONFERENCE & SYMPOSIUM PAPERS / NEWSPAPERS • Crook C. 2005. ‘The good company,’ The Economist, 20 January, 2005. • Dussault AM. 2006. ‘Light headed,’ The Hindu, 24 February, 2006.

19. ONLINE RESOURCES • Fitzgerald N. 2003. ‘CSR: Rebuilding Trust in Business.’ Available at http://www.unilever.com/Images/A%20Perspective%20on%20Corporate%20Social%20Responsibility%20in%20the%2021st%20Century_tcm13-5520.pdf [30 March 2007]. • HLL. 2002. ‘Analysts Meeting. Results.’ Available at: http://www.hll.com/investor/Quarterly%20Results/2002/Q1ResultsPresentation02.pdf [30March 2007]. • Chandran R. 2003. ‘All for self-control.’ Business Line, 24 April, 2003. Available at: http://www.thehindubusinessline.com/catalyst/2003/04/24/stories/2003042400020100.htm [30 March 2007] • Marketing Practice. 2006. Available at: http://marketingpractice.blogspot.com/2006_02_01_archive.html [30 March 2007]. • http://mashable.com/2010/02/18/corporate-social-good-campaigns/

20. . Thank You