A Cause Marketing Success Story

Finding the right company for your cause marketing campaign can be a difficult task. While a cause marketing solution itself is a great fundraising plan, it can be difficult to find a company willing to work with you; especially if you are a small non-profit organization.

I recently learned of an opportunity to work with a well established company that has been interested in supporting a good cause for over 50 years. They set up a way for all non-profit organizations to start their own cause marketing program and do it with no-cost.

The goal of Shaklee has always been to provide people with a better life – both physically and financially. The leadership of the CEO, Roger Barnett, has helped Shaklee expand its business model and create a way for non-profits to succeed in their generous mission of helping others. Helping non-profits accomplish their mission demonstrates just a portion of Shaklee's commitment to improving the well-being of communities, individuals, and the earth.

Shaklee does more than just talk the talk. Shaklee is involved in partnership with many different charitable organizations including the Wild Dolphin Project, KSE- Kids for Saving Earth Worldwide, Whale Conservation Institute, American Himalayan Foundation, and the Climate Neutral Network. Shaklee also was a key contributor in working with Nobel Laureate Wangari Maathai in an ongoing effort to reforest huge tracts of land on this continent, Africa and Asia. They just recently planted the one millionth tree. Shaklee's companywide philosophy of being climate neutral earned them the distinction of being recognized as the first company to totally offset its carbon emissions. This was over 9 years ago and they haven't stopped working to live up to their mission of being "In Harmony with Nature".

The power of a good cause marketing partnership can be seen in this letter from a local non-profit club written soon after they partnered with Shaklee.

"We are so pleased with the experience so far that we wanted to share with you haw we are doing. We really believe this is win/win for all concerned! Our association with Shaklee is only a few months old and we are already recognizing the benefits of this relationship. We received a bonus check of over $170 the very first month, and our bonus checks are immediately growing – nearly doubling in th last month, and this with no effort on our part.

The great part of this is how easy it works! We are always in need of funds for projects in the community, but manpower and financial support is always an issue. Now we even have an opportunity to think about expanding our programs as we watch this new steady stream of passive income provide the funding for additional activities.

The fact that Shaklee is so ethical in its approach, not only to partnerships, bit to its commitment to be a positive influence on individuals, the environment and the world matches our mission. Our members, as well as our community, will benefit from this partnership. We are grateful that (our club) has joined the Shaklee family."

It worked for this non-profit group and it can work for you too.

Will the Average Consumer Change Their Buying Habits to Support a Non-Profit Organization?

Cause Related Marketing has been receiving a lot of attention as it becomes the new "in" thing to do. Many companies as well as Non-Profit organizations are joining together in partnerships to create a mutually beneficial partnership.

If you are a non-profit group and are thinking about trying out this new way of generating funds but you are unsure of how it works or if it really does work the following statistics might be of interest to you.

Cause Marketing campaigns really do have an impact on the perception and behaviors of the general public. So not only will you have the opportunity to increase your fundraising capabilities through sales to your group members and those immediately close to you, but you can create sales, and therefore funds, from consumers throughout your area and really expand to a more national and even global scale.
Take a look at these statistics on consumer habits and values:

• 92% of consumers consider it important for corporations to contribute to nonprofits.
  
• Close to 90% of teenagers said they would switch to a brand affiliated with a good cause, if price and quality were equal.
  
• 76% of American consumers surveyed have taken part in at least one cause-related marketing campaign.
  
• 60% of consumers surveyed planned to buy a product that had a portion of the purchase price being donated to a cause while shopping during the 2004 holiday season.
  
• 77% of women and 64% of men considered a company's reputation for supporting causes when purchasing gifts during the 2003 holiday season.
  
• 48% of American and British consumers surveyed reported that they had been motivated by a cause-related marketing campaign to change brands, use a product more, try new products, or get information about new products.
  
• 20% of European consumers surveyed said they would pay more for a product if it were affiliated with a good cause.
  
• Surveyed consumers rated a company more highly in the categories of trust, endorsement, bonding, and innovation when they knew the company took part in cause-related marketing efforts.
  
• Corporate citizenship practices are more important than brand reputation or financial factors when shaping consumer impressions, according to an international survey of 25,000 people.
  

So you can see that people are ready to support a good cause. They want to do their part to help Non-Profit organizations. A Cause Marketing solution gives everyone the chance to do good and support those in need. By redirecting spending to products that are similar in price it doesn't place a financial burden on the average consumer so it creates a win-win situation. Consumers get what they need and they feel good about it because they are lending support and Non-Profits get the support they need without burdening their community.

Now that's the kind of Fundraising I like – One that makes Dollars and Sense!

How does Cause Related Marketing Work?

Cause Related Marketing is quickly becoming a hot topic in the world of good causes and generating money to support them.  As people grow tired of a constant bombardment of donation and fundraiser requests, the concept of cause related marketing has moved into the spotlight.

But how does a Cause Related Marketing Solution work?  Is it something that you can use to help your non-profit organization?

For most not for profit groups Cause Marketing is the perfect plan to increase the funding they desperately need.  It can be used to supplement the current fundraisers they are doing or in many cases replace those fundraisers altogether.

The dictionary defines Cause marketing (or cause-related marketing) as a type of marketing involving the cooperative efforts of a "for profit" business and a non-profit organization for mutual benefit.

In simple terms, Cause Marketing is a partnership between a company and a non-profit organization.

It is a Win-Win situation for both the company and the non-profit.

The company wins because it gets to do good for the community and by doing this it can create a better reputation for itself and the products it produces.  The company can also increase its customer base and by doing this increase its profits.  Because let’s face it, even the most philanthropic companies still need to make money to survive and be successful.

The non-profit organization wins because it generates the funds it needs and it can do this without bothering people and asking them to ‘give’ money.  With donations and traditional fundraisers, people are giving money but not getting much in return except for the good feeling of helping out.  Cause related marketing allows your supporters to ‘give’ you money by buying products they would normally use on a daily basis.  In many cases it will not increase their monthly spending but it will still get your organization the funds it needs.

You might be asking yourself, “How does this get my organization any money?” 

Simply put, the company has a way to track what people  that is connected to your group.  Every time someone makes a purchase of one of those products a percent of the purchase price is given to your organization.  A good example of this is the Komen Breast Cancer little pink ribbon.  Every time someone purchases a product with the ribbon on it the Komen foundation gets a percentage of the sale.  This is cause related marketing.

The basic steps to set up a cause marketing partnership are:

1. Find a company and a program that fits your goals and form a partnership.
2. Publicize the partnership to your members and the community.  Make them aware of how they can support your ‘cause’. (The company can help with this)
3. Provide your members and the community at large a way to purchase the products. (A good company will do this part)
4. Go about your daily activities of supporting your cause and let the company handle all the money and inventory and delivery problems. 
5. Use the funds generated to do the ‘good’ your non-profit was set up to do.

As you can see, as a non-profit organization there is not much work on your part.  Once you find the right company and go through the initial setup your main job is to make people aware.  Let them know how they can support you.  Share the information with your members and let them share it with those they know.  Word will spread and in the process you have created a sustainable, perpetual money generating system for your organization.

 If you need help getting started or finding a company to work with I am here to help.  Contact me and let’s get you started generating the funds your non-profit organization needs.

Booster Clubs and Cause Marketing – A Perfect Fundraising Combination

If you have ever been part of a booster club you understand that part of your goals and efforts require you to raise funds for you group or team. The problem – Raising funds is a thankless job that no one looks forward to and one that puts many of us out of our comfort zone.

Recently a new way of generating funds has been developed and used that benefits non-profit organizations such as a booster club and benefits a for profit company. Basically it is when a company is looking to do good for the community and do well for itself financially.

 This new fundraising is called Cause Marketing.

It's a Win-Win situation.

A Cause Marketing solution allows you as a non-profit booster club to attach your cause to a product or group of products. There is a onetime setup to make this happen. From that point forward every time someone purchases one of those products you get a portion of the proceeds.

When compared to traditional fundraisers, this can save you in so many ways.

• You don't have any direct door to door sales requirement. You just need to let you membership know about the products and they can share with their friends and family.
  
• Your members and those they know are no longer pressured to purchase overpriced popcorn or unwanted items just to show their support. Cause Marketing products are things that you use already. So your supporters only have to redirect their spending, not increase it.
  
• Some Cause Marketing companies provide you with a personal website for supporters to use to make purchases.
  
• And unlike traditional fundraisers, you will not have to worry about handling money or inventory – storing or delivering. The Cause Marketing Company takes care of all that and then just sends you a check each month.
  

Cause Related Marketing creates a sustainable, perpetual form of income for you non-profit group. It runs year around, 365 days a year and 24 hours a day. And you can still do your other fundraisers if you want to. But after you see how easy this is you probably won't want to go back to the hassles of traditional fundraising.

There are several important things to look for when choosing a company and a cause related marketing partnership.

• Does the Company have an ethical and stable history?
  
• What types of products do they offer? Is it something you want your group to be associated with?
  
• Are there any financial requirements for your booster club? (i.e. setup fees, webpage fees…)
  
• Do they offer online sales or a webpage for your group to use?
  
• Do they provide you with actual human contact in case your booster club or any of its members has a problem or question?
  

Don't forget that you have a reputation to uphold and a certain responsibility to the group you are supporting. Generating funds is a good thing, but doing it the right way is a better thing. 

If you are ready to get started and would like to know more about a Company that is ready to support your booster club and the team you support, contact me and I can answer your questions and help you present this idea to your board and your membership.

Put you focus back on helping your cause and not on running a fundraiser.

Compare Traditional Fundraising to Cause Marketing

When you compare Cause Marketing to Traditional Fundraising you find that a Cause Marketing Solution has many advantages to it.  It might be just the thing you and your Non-Profit Organization have been looking for.

A Better Approach to Fundraising for Non-Profit Organizations

Every year Non-Profit Organizations face the daunting task of raising money to support themselves and the causes they support. A key component in raising this money is achieved through Fundraising.

The Problem: No one enjoys the task of fundraising and the very thought of it sends many people running in the opposite direction.

The hassles of setup, inventory, going door to door, bothering friends and family and neighbors are just a few of the reasons fundraisers are losing out and not making any money for non-profits. In a recent research study it was shown that 32% of all non-profit organizations reported a decrease in the amount of giving. So you are not alone in your fundraising woes.

The Solution: Cause Marketing

A Cause Marketing Solution allows you to increase revenue by attaching your cause (and your organization) to a product. Some great examples of this form of fundraising can be seen in your local stores. Newman’s Own Salad dressing or the little pink ribbon for Komen Breast Cancer research can be seen and are purchased all the time. In fact, 79% of American consumers said they would switch brands if they knew part of their money would go to helping and supporting a good cause.

Below you will find a direct comparison of Traditional Fundraising and Cause Marketing. I think you will see how Cause Marketing can be a better approach to your fundraising problems and help get your Non-Profit organization back to focusing on your mission and not on running a fundraiser.

Problem: Time

Traditional Fundraising: You have to set up your fundraiser by finding the right company to work with or organizing the place to have your sale. You have to work with your members and explain your fundraiser and hand out supplies (order forms, samples, etc…). You have to take time to collect and count money, place the order or check to see if all inventory is accounted for (ie candy bar sales, discount cards), and for some fundraisers deliver the product ordered (cookie dough, gift wrap) and for others take your entire day performing tasks (carwash). A lot of work for you and your membership.

Cause Marketing: There is a onetime set up to attach your cause to the product. Ordering, inventory, money collections, sales and all other tasks are handled by the parent company. All you have to do is mark down the money made in your check register.

Winner: Cause Marketing

Problem: Direct Sales

Traditional Fundraising: Your members (many time kids) have to go door to door soliciting funds for products. Or maybe they stand on a busy street corner with a sign to get people and their money involved. No matter the method, pretty much every fundraiser requires all or part of your organization to go out and SELL a product.

Cause Marketing: No sales required at all. The company sells the product and you get a portion of the proceeds. This is done at a retail store or through a website ordering system.

Winner: Cause Marketing

Problem: Inventory

Traditional Fundraising: If you are selling candy bars or discount cards or a variety of other traditional fundraising items you have to send your members out with handfuls of product to promote and sell. When your members are kids that is a risky situation at best. Even if you are doing cookie dough or wrapping paper you usually have to store the stuff and then send it out for delivery. Not what most of us signed up for when we became club sponsor or volunteered to help support a team or a cause.

Cause Marketing: Pretty much all inventory and product concerns are taken care of by the company that makes or sells the product. Either customers purchase directly from a retail store or they might go online and make a purchase through a website. Either way nothing for you to store, deliver or keep a count of. You just need to deposit the monthly check the parent company will be sending you.

Winner: Cause Marketing

Problem: Keeping track of sales and handling the money

Traditional Fundraising: Like inventory, you as the fundraising coordinator are responsible for keeping track of sales and the money involved. And again, if you are dealing with kids selling those candy bars that’s a lot of responsibility to be walking around door to door with merchandise and a bundle of cash. If you have ever been on the set up side of a fundraiser, you know how much of a pain it can be to hunt down all your members and get an accurate accounting of the money and the unused product. In simple terms – it’s a NIGHTMARE!

And don’t forget about taxes. Even if you, as a non-profit organization, are tax exempt it doesn’t mean the products you are selling will fall under the tax exempt status. Do you want the responsibility of figuring out and collecting sales tax?

Cause Marketing: Like inventory, the product, sales and MONEY are all handled by the company or store that is producing or selling the product. This is what they do every day and they are good at it. They take care of everything and just cut you a check.

Winner: Cause Marketing

Problem: Your customers are buying products they don’t really want or need they just do it to support you.

Traditional Fundraising: How many times have you bought some cookie dough or a discount card but didn’t ever want it or use it. I know when that kid is standing at my door asking me to support their soccer club I give them the $20 for the popcorn. It is only worth $3 and I really don’t want it but I like the kid and I want them to have a good year so…. SOLD! But I won’t do that every month and even after the 2nd or 3rd year of getting hit up for the some unneeded junk I start to balk and not purchase anymore.

Cause Marketing: Your fundraising is tied to products that people use on a daily / weekly / monthly basis. That means they are buying what they normally would like a food product or a household cleaner they are just switching brands to one that supports a good cause. Remember 79% of Americans say they would do this. That means you can make money every month and your supporters are not scared to answer the door or the phone. You are no longer avoided at parties because people won’t be afraid that you might hit them up to buy some wrapping paper. And, if you choose a company with a large product line you can make multiple sales throughout the month and year.

Winner: Cause Marketing

Problem: Limited Sales Opportunities

Traditional Fundraising: How many times can you send your members out to sell gourmet popcorn or wash cars? With traditional fundraising you can usually only get away with doing one or two a year and they might be tied to holidays so it limits the potential even more. Plus if you have read some of the problems tied to traditional fundraising above you might understand that as a coordinator in charge of fundraising you don’t want to deal with the headaches more than once or twice a year.

Cause Marketing: You can sell your products everyday of the year and if the company has a web sales system you are potentially earning money 24 hours a day 7 days a week all 365 days a year. And don’t forget, friends, family and anyone with internet access can make a purchase even if they live half a world away. If you read the advantages above you can see that you won’t mind making that money every month at all. In fact being in charge of fundraising will be a board position people will want to do.

Winner: Cause Marketing

If I add it up, it looks like Cause Marketing has won all 6 of the head to head comparisons.

It is a win-win-win situation. You win as a non-profit organization because you raise the funds you need and cut out many of the hassles in doing it. Your parents and supporters win because they are not bothered with buying and selling unwanted products but are actually able to support the causes they believe in just by doing what they have always done – being consumers. And it’s a win for the companies who are supporting the cause and providing the product and support. They get more customers and they get to be the good guy (for once). Everyone (even big companies) needs to make money, but isn’t it nice to do good for the community while doing well financially?

Cause Marketing is a much better approach to fundraising for all non-profit organizations. In my experience as a parent, teacher, coach and board member I have seen fundraising issues from all sides. When I saw the cause marketing idea I knew I had finally seen something that made sense. If you work with a non-profit organization I encourage you to look into this new way of supporting them.

Finally a Fundraising Plan that makes sense!

When you are ready to start your Cause Marketing Campaign contact me so I can answer all your questions and help you get started.