Commentary

Big Bold Initiatives Show The Vitality Of Cause In 2013

In 1983, American Express kicked off the cause-marketing revolution by linking support for the renovation of the Statue of Liberty and Ellis Island to card usage and sign-ups.   

Three decades later, the concept of "doing well by doing good" continues to spark innovation from businesses large and small. Take a look at these three exciting recent examples:

The World’s Largest eTailer Creates a Space for Cause

Bringing Amazon.com's ubiquitous grinning logo to life, a new charitably focused platform called Smile  enables consumers to direct a donation of 0.5% of their purchases to their preferred charity. The donation percentage is small, but the potential is huge because Amazon (which had $61 billion in sales in 2012) has placed no cap on its donation. If 5% of Amazon's Q3 transaction had been made on the Smile platform, $4.47 million in donations would have been generated.

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The big question is, how many charity-minded consumers will take the time to make smile.amazon.com their preferred way of shopping with the world's biggest online retailer?  

Amazon clearly wants to see if adding this charity angle to its offerings will drive some consumers to shop more with them. It is depending largely on earned media and word of mouth to attract participants. In fact, it has put strict limitations on how charities involved with the program can communicate it to their supporters.     

Like all smart etailers, Amazon is constantly testing new offerings to see what works in the marketplace. Stay tuned to see if this effort gains traction.

A Big Bank Bets on Blue Bikes

Citigroup's sponsorship of New York City's bike sharing program appears to have been a stroke of marketing genius. In the five months since its launch, blue Citi Bikes have become ubiquitous in Manhattan with tourists, commuters and celebrities already having pedaled over 9 million eco-friendly miles.

With many docking stations next to Citigroup branches or ATMs, and the thousands of roving brand impressions pedaled through NYC streets each day, the Citi brand has benefitted hugely from this arrangement.   

Favorable impressions of the company climbed 17 points in market research, according to a report by Bloomberg BusinessWeek and there was a 12-point increase for those in agreement with the statement: “Citi is a socially responsible company.” That's incredible at a time when public opinion of financial institutions is about as low as it can get. 

 Toms Launches Marketplace for Socially Focused Start-ups

Since launching in 2006, Toms has ridden its "buy one give one" concept to grow from a home-based business to an international phenomenon that has given away 10 million pairs of shoes and helped restore the sight of more than 150,000 people.   

In October, Toms launched a new online store called  Toms Marketplace that features a curated collection of 200 socially conscious products from 30 different companies. Browsable by cause category, brand or geographic area of impact, products include everything from accessories, apparel and bags to home goods, jewelry, sports equipment and technology. Prices range from $5 to $500. 

With the addition of the Marketplace, Toms is adding yet another layer to the social good equation by becoming a reseller and online hub of cause products. This strategy pivot may well prove hugely successful for Toms with the potential to catapult their online footprint, diversify their product offering and continue the evolution of the cause/business equation. 

Go Big and Go Bold

What do these diverse initiatives have in common? Major commitment to efforts with potential to benefit their respective bottom lines and society. It's great evidence that cause marketing remains relevant and vital as it enters its fourth decade.

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