Today’s post is a brief thought experiment or hypothetical. What would happen if the donation amount in cause marketing was variable? How would that affect participation and results for the company and the cause? For instance, suppose that you buy a Sole insole or ‘footbed.’ Sole was the topic of Wednesday’s post . One of the causes Sole sponsors is the shoe charity Soles4Souls. Soles4Souls is always looking for gently-used shoes. So let’s suppose that when you buy a Sole footbed that Sole donates $1. But if you buy a Sole footbed plus donate a pair of shoes then Sole donates, perhaps, $3. Would that increase in-kind donations for Soles4Souls? Would it increase sales for Sole? You can probably imagine other variable donation scenarios as well involving Tweets or Facebook ‘likes’ or repins on Pinterest. What I’m talking about is frequently used by experimental economists in laboratory settings. In experimental economics you’re given a number of choices to make using real money and given...
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