
By: Shannon Aronin
One year later, and the Share Our Strength/Tyson Foods partnership is still one of the most impressive campaigns to date that exemplifies best practices in cause related marketing.
Social media creates unique opportunities for nonprofit/business partnerships. People share the things they are most passionate about, and your average brand just can’t compete with the passion a nonprofit cause can generate. If you are in business, customers give you money, and you in turn give them a product or service. Nonprofits rally people behind movements; donors give them money to support what they see as the common good. People have to be passionate to give time and money without receiving a product or service in return.
Nonprofits need generosity to meet their missions and thrive. Corporate giving makes up a significant part of nonprofit funding. Most businesses, even small local shops, give to charity in one way or another. Consumers expect companies to give back. A 2008 Cone/Duke University study states that consumers spend twice as long viewing cause-related ads, 85% of Americans have a more positive image of a company that supports a cause they care about, and 79% would switch brands to one associated with a good cause.
Unfortunately, nonprofits continue to offer the same benefits to corporations with changing marketing needs, and corporations don’t seek opportunities to maximize the marketing value of the good work for communities they already do. Companies are uncomfortable talking about the social good they are doing. I think that many fear that their charity will be reduced in the public eye to corporate greed, but as the numbers above demonstrate, that is simply not the case. Corporations from small to large actually can and do care. There is no such thing as a “company,” there are only people that own or work at a company. The more “real” your brand is in general, the more authentic a company’s giving appears. But there is nothing wrong with leveraging the giving that a company is going to do anyway as a marketing tool either.
So, how can nonprofits and corporations work together to create better, truer partnerships? Here are 3 tips to improve the effectiveness of cause-related marketing for both companies and nonprofits.
1. Corporations should direct giving to nonprofits that are aligned with their business model. This simply makes sense to consumers. Geoff Livingston does an excellent job here showing that the sweet spot for effective and authentic cause-related marketing is the intersection of Mission, Problem and Family. If you are an engineering or technology company, you have a genuine interest in supporting STEM (science, technology, engineering and math) learning objectives for students. If you are a developer, you have a genuine interest in causes that support healthy community growth. There is self-interest, but not objectionably so. On the other hand, if you are a tobacco company mandated to spend millions of dollars on anti-smoking campaigns, that’s a little too see through for the average consumer to take seriously.
2. Nonprofits should offer more creative benefits to corporate donors. The third sector needs to do a better job raising visibility for corporate donors. Nonprofits should still include them in annual reports and sell event sponsorships. I’m a big fan in diversifying the sources of your nonprofit’s funding in as many ways as possible. But partnering with a corporation to generate buzz through a day of company service improves awareness and sentiment for both organizations. Online initiatives need to advance. There have been a number of campaigns that have been targeted at giving to charities based on how much attention the cause generates by bringing Fans to the company’s Facebook Page, adding Twitter Followers for the company, or improving traffic to the company’s website. But what happens if we flip the equation?
What kind of message would it send if the company instead drove Fans/Followers/visitors to the nonprofits? What message would the consumer receive if companies demonstrated the altruism – which I idealistically believe really is part of why companies should and do give – by using their budget, resources and audience to raise awareness for an important cause? What if corporations started sponsoring the online presences of nonprofits? What if corporations gave according to the attention the nonprofit they support garners? Slap your logo on this and explain that you believe in helping nonprofits succeed, and you have created a different, more giving image and done more to foster the nonprofit’s sustainability.
3. Companies need to recognize the changing needs of nonprofits too. Funding is scarce right now for everyone, especially nonprofits. The best thing many can do right now is to prepare to soar as the economy continues to recover. Nonprofits do still need to fund general operating expenses. Program support also remains important. But the nonprofits have not been so in need of capacity building, marketing, technology and expertise in at least fifteen years. The great part of this is that corporations can provide much of this in-kind and through company sponsored employee volunteer work. Corporate grants should place a high priority on innovation right now, because those are the charities that will thrive in the future and create the most social good with corporate investments in the community.
What creative corporate/nonprofit partnerships have impressed you? Is there a company you give purchasing favor to specifically because of their involvement with a cause? Are you mistrustful of companies that showcase their giving, or are you ok with it so long as you feel connected to the cause?