Cause Marketing Overview: 3 Benefits of Cause Marketing

Cause marketing (or cause-related marketing) is when a for-profit company partners with a nonprofit or charitable organization to support an initiative through a public campaign. A commercial business may partner with a nonprofit to support a social cause by donating a portion of each transaction to charity or promoting the cause with social media marketing. Another example of cause marketing is when a company launches a “buy one, give one” campaign where it donates one product to those in need for each item purchased.

Cause-related marketing differs from corporate philanthropy in that the marketing strategy aims to get customers involved in the effort rather than the company offering sponsorship or making a tax-deductible contribution alone.

In cause-related marketing, successful campaigns benefit both parties. Cause marketing can:

1. 1. Improve corporate image: A cause marketing campaign is a public relations strategy that helps a small business or large company improve its brand image to increase customer retention. When a company supports a charitable cause, it may track brand loyalty within its target audience as a performance metric of the campaign.
2. 2. Increase corporate social responsibility: Businesses develop a cause marketing strategy to increase corporate giving and become involved with a good cause while also achieving long-term goals like sustainability. For example, a company can partner with an environmental organization to plant a tree for each product sale to offset its carbon footprint.
3. 3. Raise awareness for both parties: When a for-profit company collaborates with a nonprofit partner, the goal is to increase brand awareness for both parties. For example, the partners can share messages with their respective email marketing subscribers for their mutual benefit, introducing each other to their audiences.

Follow these steps to develop your cause marketing plan:

1. 1. Choose a cause. Identify a single cause to support. Consider a nonprofit organization related to your products or services or explore a social issue central to your staff and mission. Investigate if the initiative is one your target audience cares about and wants to support.
2. 2. Define your contribution. Consider your budget and bottom line to help determine the resources you can give to the cause. Decide if you will donate a portion of sales, products, or services.
3. 3. Plan your marketing efforts. Identify how you will share the cause-related marketing campaign with your audience and your partner’s followers. Display the partnership on your landing page and social media accounts, and ask your nonprofit partner to cross-promote on their channels.
4. 4. Include your audience. Motivate your audience to support the cause with you to help increase engagement and customer loyalty. Consider asking your audience to share their support of the fundraiser on social media or offer other benefits, like discounts, if your customer makes an additional charitable donation to the cause.

Become a better communicator with the MasterClass Annual Membership. Spend some time with Daniel Pink, author of four New York Times bestsellers that focus on behavioral and social sciences, and learn his tips and tricks for perfecting a sales pitch, hacking your schedule for optimal productivity, and more.