In 2022, consumers and clients alike are demanding more from the businesses they choose to support, emphasizing ethical and sustainable practices along with transparency in their businesses’ environmental and social impacts.
As these values become increasingly important to driving business, adapting your business model and pivoting strategy towards being environmentally conscious can be essential to the continued success of your business.
One way businesses are leaning into social responsibility and expanding their services towards sustainability is through cause marketing. This Earth Day, let’s dive into cause-related marketing and explore why it is effective and how it could benefit your business.
Cause marketing is a partnership between a for-profit corporation and a nonprofit organization, such as a charity or foundation. This mutually beneficial agreement helps both parties: businesses are not only able to generate new traffic through these campaigns, but also establish brand loyalty and increase customer retention. For nonprofits, the partnership can increase cause awareness and support of their organization.
Some examples of successful cause-marketing campaigns include:
- Ben and Jerry’s multiple impactful collaborations with nonprofits and general ethical causes, including increasing voting knowledge and ability in low-income areas
- Walgreens and Red-Nose Day, to raise money for children in poverty
- Warby Parker and VisionSpring, to bring glasses and provide vision tests to impoverished areas
Though these collaborations have the potential to benefit both parties, it is a delicate balance.
Businesses will need to go “all in” on these efforts and do more than give money to good causes. Customers will want to see real action, including marketing campaigns emphasizing the importance of the non-profit’s message, while showing company-wide immersion in backing a non-profit’s ethical and sustainable values.
As generational changes shift to emphasizing ethics, sustainability, and humanity, businesses will benefit by incorporating strategies to keep up with the changes. Cause marketing is an effective solution that, if done correctly, can promise growth and customer retention for your business as well as awareness of the nonprofit. Practicing being ethically conscious and working this into your business model, as well as supporting causes close to the heart, matters to customers, and gives them and you a sense of purpose.