Cause related marketing is a marketing strategy that links the purchase of a product with fundraising for charitable or social cause and yields profitable results for both the benefactor and the business. Companies may take up cause-related marketing in order to market products and enhance their public image, or for positive publicity of a service.
The concept of a company working for a righteous cause tends to strike the right chord with the customers. This builds brand loyalty and strengthens customer trust, both of which are extremely valuable assets in today’s business scenario.
Cause-related marketing leads to increased customer loyalty translating to an increase in sales and profits. It also projects a positive and enhanced company profile and increased media coverage highlighting the company’s work.
For example, a company that sells petroleum products advertises to support for a clean and green environment or a company that sells fast foods advertised its support to use recyclable.
Creating a seasonal tie-in is an easy way to market a new product or service or service or to bring in new customers to existing products and services. For example, during festive seasons, various discounts, offers and incentives are offered to customers on products that are in high demand. A new product may also be launched. This may be promoted that are in through newspapers, radio, television or online through web banners, pop-up advertisements or tying up with popular websites for product promotion.