Cause-related marketing is collaborative partnerships that tie business products, services and brands to nonprofit causes to create profits and profile for both. In 1990, an estimated $125 million was being spent on cause-related marketing programs. By 1998, this figure had jumped 400% to $545 millions. In North America in 2004, cause-related marketing was projected to be just under $1 billion at $991 millions. Add in cause-program sponsorship for arts organizations and festivals, fairs and events and the number increases by over $1.4 billion for a total of almost $2.4 billion. Clearly businesses see benefits. Equally important, however, are new revenue sources that benefit nonprofits. With cuts in government support and increased competition in fundraising, nonprofits must look beyond traditional philanthropic sources.
Book Details:
- Author: Jocelyne Daw
- ISBN: 9780470315606
- Year Published: 2006
- Pages: 312
- BISAC: BUS074000, BUSINESS & ECONOMICS/Nonprofit Organizations & Charities
About the Book and Topic:
Cause-related marketing is collaborative partnerships that tie business products, services and brands to nonprofit causes to create profits and profile for both. In 1990, an estimated $125 million was being spent on cause-related marketing programs. By 1998, this figure had jumped 400% to $545 millions. In North America in 2004, cause-related marketing was projected to be just under $1 billion at $991 millions. Add in cause-program sponsorship for arts organizations and festivals, fairs and events and the number increases by over $1.4 billion for a total of almost $2.4 billion. Clearly businesses see benefits. Equally important, however, are new revenue sources that benefit nonprofits. With cuts in government support and increased competition in fundraising, nonprofits must look beyond traditional philanthropic sources.
Cause-related marketing partners nonprofits with businesses to build on nonprofit organizations valuable commodities–reputation, reach, and profile–while piggybacking on corporate strengths such as existing customer bases, product lines, and marketing programs. CRM ties the two brands together, creating and producing profits and profile for both through cause-related purchases, issue-based promotions, cause-licensed products, or program partnerships. For example, American Express pioneered the concept in 1983 when it launched a 3-month marketing campaign to donate $1 for every new card application to the Statue of Liberty Restoration Project. Cause-Related Marketing for Nonprofits will change the way nonprofits organizations view and undertake CRM programs. It will provide a wealth of hands-on, practical experience that will benefit any nonprofits organization interested in this innovative form of generating revenue and building profile.
HIGH-PROFILE FOREWORD: Carol Cone, President of Cone Inc. (arguably the leading research and marketing professional on cause-marketing for nonprofits) will write the foreword, a cause-study in the leadership examples chapter, and participate as an interviewee and adviser. CASE STUDIES: Book includes numerous real-world case studies, including book development cooperation from American Express–pioneer and gold standard in nonprofit CRM. TIPS AND TOOLS: Valuable advice on how to create an entrepreneurial culture, develop a pro-active strategy and actively seek a corporate fit, put processes and procedures in place to ensure complete buy-in, value worth and establish minimum guarantees, develop agreements, and manage risk. ORGANIZATIONAL SUPPORT: Part of the AFP Fund Development Series, marketed to 26,000 fundraising professionals in the US, Canada, Mexico, and China.
About the Author
Jocelyne Daw (Calgary, Alberta) is the Vice-President of Marketing at Imagine Canada, the national voice for Canada’s nonprofit profit sector and socially responsible corporations. Jocelyne is recognized as national leader in creating cause-related marketing partnerships and social ventures for nonprofit organizations (recognized by the American Association of Marketing). She is a frequent presenter, mentor, and teacher on the subject of CRM. In 1988, Daw was National Executive Director for the Canadian Parks Partnership where she pioneered a national CRM program to raise money and awareness for Canada’s national parks and historic sites.