ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

The Controversy of Cause-Related Marketing

Updated on May 16, 2013

Cause-related marketing can be a controversial subset of social responsibility. It is sometimes referred to as cause marketing. It is the cooperative efforts of a for-profit firm and a non-profit organization for mutual benefit. Sometimes, cause-related marketing is used as any marketing effort for social or other charitable causes. Cause marketing is different than philanthropy or corporate giving. Philanthropy generally involves a specific donation that is tax deductible while cause marketing is a marketing relationship not based on a straight donation.

Cause-related marketing is also known as CRM. CRM has become extremely popular among companies and is estimated to generate about $7 billion a year in revenue. It is a great tool for companies to build positive public relations and often stimulates brand sales.

Controversy Over Cause-Related Marketing

No other cause has been more saturated with marketing than breast cancer awareness. Consumers can buy anything from food to toilet paper with labels that feature a pink ribbon. This typically signifies that for each product sold money is donated to breast cancer awareness. Yoplait ran a campaign that donated 10 cents for lid mailed back by the consumer. It was only in the fine print that Yoplait had capped donations at $80,000-keeping the rest as profit.

The Gap has also received criticism for its (Product) Red Campaign which has raised over $25 million to fight HIV/AIDS, tuberculosis, and malaria. The Gap donates 50% of the profit raised from the (Product) Red products to the cause. However, the promotional costs were $100 million.

Five Questions To Ask Before Participating In A Cause-Related Marketing Program

The Susan G. Komen Breast Cancer Foundation is on the receiving end of much cause-related marketing. The Foundation recently created these five questions for people to consider before participating in a cause program:

1.) Is this company committed? Read the product package and promotional materials or display. Visit the company website to make sure the company is credible and committed to the cause.

2.) How is the program structured? Transparency is key. Does the company clearly state how much money it is donating to the charity and how the money is raised. Is there a minimum contribution guaranteed by the company? Is there a maximum donation paid by the company?

3.) Who does the program benefit? Does it support a well-managed, reputable non-profit or fund? Check the company’s website or visit the Better Business Bureau Wise Giving Alliance as a resource for information on non-profit organizations.

4.) How will the organization the benefits use my money? It should be clear where the money goes. What organization is being supported? Is the money going to research, education, or community programs?

5.) Is the program meaningful to me? Is the program supporting a cause you believe in? Based on the program’s details and the potential for dollars to be raised, does the program make sense to you? Selecting the right program is a personal choice.

Comments

    0 of 8192 characters used
    Post Comment

    No comments yet.

    working

    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, hubpages.com uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at: https://hubpages.com/privacy-policy#gdpr

    Show Details
    Necessary
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the googleapis.com or gstatic.com domains, for performance and efficiency reasons. (Privacy Policy)
    Features
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Marketing
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Statistics
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)