Skip to main content

Cause Marketing for Good Bunnies

In the States it’s common to see promotions centered around various holidays; Father’s Day, St. Patrick’s, Halloween, the Super Bowl, etc.

According to National Retail Federation, the biggest holidays for retail sales are: the winter holidays (i.e.Christmas/Thanksgiving) by a country mile, back to school, Mother’s Day, Valentine’s Day, followed closely by Easter.

Even though Easter falls three weeks later in 2009 than 2008… thereby allowing retailers to gear-up… Easter sales are projected to be off 14 percent as Americans economize during the recession.

So what to do if your company's annual sales rely heavily on sales during the Easter holiday?

Lindt, the Swiss chocolatier has partnered with Autism Speaks, an advocacy group, in a cute if slightly miserly cause marketing campaign.

When you buy a Lindt chocolate golden bunny between March 12 and April 12, Lindt will donate $0.10 cents to Autism Speaks, up to $100,000. You can also buy toy bunny ears, also benefiting Autism Speaks, for $3 at a microsite promoting the campaign.

Full retail on a 200-gram (7 ounce) gold bunny is $7, although you can probably find it cheaper. Still a $0.10 cent donation for even a $5 purchase seems too little both as a donation and a motivator to purchase.

Remember, research clearly suggests that larger donation amounts improve sales.

Kudos to Lindt for giving Autism Speaks good exposure on the microsite.

It’s not clear whether Autism Speaks didn’t feel like they had the negotiation or brand strength to ask for more, or if Lindt just flat out wouldn’t give a greater donation per bunny. But should they renew next year the donation should be closer to $0.25 or even $0.50 cents.

Comments

Mario Vellandi said…
Indeed.
With an excellent 5% of sales, their contribution on a wholesale price of $3.50 would be about $0.18. Now if we consider that perhaps the company isn't making significant charitable contributions elsewhere, then they could reasonably raise that promotional rate to 10% since this is seasonal. Or if they're smart, they'll could find a logistical solution (packaging/displays/shipping) to drop the landed cost by $0.15, which they could pass on to the cause.
Mario, it goes without saying that I agree.

Part of the challenge for Lindt is that they sell the Gold Bunny in a number of different sizes and combinations. And $0.10 is a nice round number.

I appreciate your point about wholesale markups. Because, obviously, Lindt doesn't get all of the $7 retail price.

But when a mom is standing in the Easter candy aisle and looking over the offerings, she doesn't weigh the donation against Lindt's wholesale price. She weighs the donation against what she pays at the cash register.

There's a lot of factors at work here. But it's clear that if the donation is not large enough, the campaign might not boost sales.

Thanks for your comment!

Popular posts from this blog

Top Eight Cause-Related Marketing Campaigns of 2007

Yeah, You Read it Right. It's a Top 8 List.

More cause-related marketing campaigns are unveiled every day across the world than I review in a year at the cause-related marketing blog. And, frankly, I don’t see very many campaigns from outside North America. So I won’t pretend that my annual list of the top cause-related marketing campaigns is exhaustive.

But, like any other self-respecting blogger, I won’t let my superficial purview stop me from drawing my own tortured conclusions!

So… cue the drumroll (and the dismissive snickers)… without further ado, here is my list of the eight best cause-related marketing campaigns of 2007.

My list of the worst cause-related marketing campaigns of 2007 follows on Thursday.


Chilis and St. Jude Children’s Research Hospital
I was delighted by the scope of Chilis’ campaign for St. Jude Children’s Research Hospital. As you walked in you saw the servers adorned in black co-branded shirts. Other elements included message points on the Chilis beverage coas…

Profile of Cause Marketing Veteran Joe Lake

Blogger's Note: What follows is a profile and interview I wrote of Children's Miracle Network co-founder Joe Lake, who was recently installed as the CEO of the Starfish Television Network. This originally appeared in the Salt Lake Enterprise on Monday, May 11.

Lining the walls of the office of Joe Lake, the new CEO of the Starfish Television Network, a 501(c) (3) public charity and television network founded in 2006 and headquartered in Midvale, are pictures of the many celebrities he has worked with.

There are pictures of Joe with Goldie Hawn, Sidney Poitier, Jeff Bridges, Bill and Hillary Clinton, Rob Lowe and Walter Cronkite, and affectionately-autographed publicity stills from Bob Hope and Rich Little.

It’s something you’d expect in the office of a Hollywood agent, or at a celebrity hangout in Manhattan, or Chicago or Vegas. But the Starfish Television Network, whose mission is to tell the stories of nation’s nonprofits in a way that educates, entertains and inspires its audi…

50 Cent, Cause Marketer

Curtis Jackson, aka rapper 50 Cent visited the horn of Africa in September 2011 hosted by the United Nations and committed to provide 1 billion meals to the World Food Programme over the next five years, funded in part by several cause marketing efforts.

The Horn of Africa has a lot of problems right now, nonetheleast of which is that starvation there is rampant, long-term drought is endemic, and working institutions are few.

Since the UN's World Food Programme can manage to deliver a meal for about $0.10, Jackson has basically committed to donating $100 million (or 200 million 50 cent pieces). That's a very big number.

He gave his commitment a kick start with a donation of $350,000. Like him on Facebook, and when he reaches 1 million new likes, he’ll donate another $1 million.

50 Cent is also tying the sales of his Street King energy drink to the World Food Progamme (WFP). For every bottle sold, 50 Cent will donate one meal.

Street King competes with 5-Hour Energy Drink, a ca…