Almost nine out of ten UK consumers (88%) are aware of cause related marketing programmes, and two-thirds say they have taken part in one by switching brands, trying out a product or increasing usage. The findings come in new research among a representative sample of over 2,000 consumers, released by Business in the Community on November 9 at a conference in London. Supported by Research International , Profitable Partnerships found that consumers perceive companies with CRM campaigns as more trustworthy and innovative, and two thirds say they want more firms to be involved.
Among new marketing alliances highlighted at the conference were:
•British Gas Isolation Campaign , being run over the winter with Help the Aged – part of an on-going partnership which has so far raised £1.5 million including customer donation; the focus now is on relieving isolation and loneliness at a local level;
•Nambarrie Keeping it Fresh , highlighting Breast Cancer Awareness Month in October in Northern Ireland – to date the tea company has raised £450,000 for Action Cancer;
•Sure Tackling Breast Cancer Online , a partnership with Breast Cancer Care also run during the October awareness month – the campaign sold two million specially-designed deodorant packs through the website, breastassured.com , and raised £250,000 through Sure Pink Ribbon badge sales;
•Bol.com Auction for Immortality, assisting the Medical Foundation for the Victims of Torture – during December, the online book store auctioned the opportunity for individuals to have their names immortalised in future books by leading authors.
One in three consumers is seriously concerned about ethical issues when shopping and just over half say they have brought a product or recommended a company because of its responsible reputation over the last year. Research commissioned by The Co-operative Bank estimates that the market for ethical products and services – which includes unleaded petrol, Freedom Food eggs, organic produce and energy efficient lightbulbs – may be worth as much as £8 billion a year in the UK. Published on 18 October, Who are the Ethical Consumers? segments the market into five sub-groups:
• Do What I Can – 49%
• Look After My Own – 22%
• Conscientious Consumers – 18%
• Global Watchdogs – 5%
• Brand Generation – 6%.
The findings are based on a MORI survey with almost 2,000 face-to-face interviews and research by the New Economic Foundation and the Future Foundation. Contact CIS on 0161 832 8686 (http://www.cis.co.uk)
Kellogg’s links with ChildLine
The breakfast cereal company, Kellogg’s , is embarking on its first cause-related marketing campaign in Europe by backing the children’s charity, ChildLine, with a promotional campaign called Helping Kids Grow. Featuring a free ‘teen band’ CD, a web site and advice to children and their parents, Kellogg’s will give 30p to ChildLine for each CD claimed, and £1 when sufficient tokens have been collected. The company is committing to donate a minimum of £500,000 to the charity. Contact Zara Brown, Kellogg’s, on 020 7413 3000 (http://www.helpingkidsgrow.co.uk)
Goldfish credit card links with NHS
Customers applying for the Goldfish credit card are being invited to join the NHS organ donation register, with the donor symbol appearing on their cards. More than one million current Goldfish customers have already received leaflets asking them to consider the scheme. Nationwide Building Society and MBNA International Bank are also supporting the scheme, launched on October 31. Contact Kate Boyd, Goldfish, on 020 7839 4321 (http://www.centrica.co.uk)
news in brief
• More than half of American consumers (58%) say they plan to buy Christmas presents where a percentage of the price is donated to a good cause, according to a survey of 1,000 shoppers during November byCone Inc . Contact Anne Chan, Cone Inc, on 00 1 617 227 2111 (http://www.coneinc.com)
• Trust in brands is a key factor in deterring consumers from switching suppliers, according to research for theDTI , published on November 24, which cited loyalty toBTas an example and noted that switching among banks is low. Contact DTI Enquiries on 020 7215 5000 (http://www.dti.gov.uk)
• A survey byWhich?among 10,000 members of the Consumers Association published on October 5 found fewer than a third of ‘big four’ bank customers would choose the same bank if opening a new account today; despite ratingNat Westthe least popular bank, the members have retained their current account for an average of 22 years. Contact Consumers Association on 020 7770 7000 (http://www.which.net)
Comment
Commenting on Lord Astor’s denials during the Profumo scandal, Mandy Rice-Davies famously said, “He would, wouldn’t he?” The same can be said of many consumers’ claims in CRM surveys, given the tendency to give expected responses. That makes the latest research by BITC and The Co-operative Bank especially welcome, as they ask what consumer do, not what they say.
Even more robust proof of the effectiveness of CRM is the growing list of successful schemes, making this one of the fastest growing areas of corporate social responsibility. Few major brands have not yet experimented with at least one campaign. Some, though by no means all, are now making it a core part of building the trust in the brand. In increasingly competitive and confused markets, such as telecoms, gas, electricity and financial services, the inertia (or comfort) factor is very valuable.
Many corporate responsibility managers would love to know more about attitudes among their key stakeholders, but lack big budgets for consultation. So why not think about asking marketing colleagues to add a question or two to their existing market research? Or ask supplementary questions when customers phone in to product ‘carelines’. And use the results of mainstream market research in lieu of expensive new stakeholder consultation, when preparing social reports.
COMMENTS