Marketing term paper
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Cause marketing is defined as a type of corporate social responsibility, in which a company’s promotional campaign has the dual purpose of increasing profitability while bettering society. A similar phrase, cause-related marketing, usually refers to a subset of cause marketing that involves the cooperative efforts of a for-profit business and a non-profit organization for mutual benefit. The transfer of land to the U. Associates International was formed by John T.
Carr as a way of «giving back» by engaging charitable causes and businesses to support each other. The organization was promoted by John T. In 1976, the first major cause marketing campaign was executed through a partnership between the Marriott Corporation and the March of Dimes. In this campaign, Wally Amos became the national spokesperson for the Literacy Volunteers of America. The recent interest in cause-related marketing is generally argued to stem from American Express, who apparently coined the phrase in 1983. Following various pilot schemes in 1981, American Express developed a campaign which donated funds to a number of different non-profit organizations as part of the San Francisco Arts Festival.
34 billion was be spent in 2006, and the number has risen further in 2007. Cause-related marketing is a powerful marketing tool that business and term organizations are increasingly leveraging. Numerous other studies have also been conducted to show that cause-related marketing has helped to increase a company’s profits. The possible benefits of cause marketing for nonprofit organizations include an increased ability marketing promote the nonprofit organization’s cause via the paper financial resources of a business, and an increased ability to reach possible supporters through a company’s customer base.
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With that said, there are some concerns related to cause marketing. The issue of trust has emerged as central to the potential for the impact of cause marketing. Although originally a marketing strategy that occurred offline, cause marketing has been conducted more and more through online channels in the last decade. This is due in part to the increasing percentage of households with internet connections. As with other types of marketing campaigns, companies can leverage online marketing channels along with other offline channels such as print and media.
The advent of online cause marketing has allowed consumers, for example, those who are loyalty program members, to take a far more active role in cause marketing. It means consumers, rather than companies, decide which causes to support and advocate for. In recent years, online auctions have been used in cause marketing strategies using a number of different online auction platforms. Companies have created programs to help sellers and corporations donate a percentage of their sales to a nonprofit organization through the use of auctions. Companies and charities can not only raise money through online auctions, but create awareness for a specific cause or charity. Online auction bidders can view photos, descriptions and suggested bids of items online, as opposed to items in a showroom.
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