Cause Marketing

King’s Hawaiian, which makes those fat loaves of pillowy-sweet bread is doing one of those democratized cause marketing efforts that I love to hate. Only I don’t exactly hate this one from my Hawaiian ‘ohana’ as much. You know what I mean when I say democratized cause marketing; the cause that gets the most votes takes home the biggest check. A second characteristic is that much of activation occurs via the standard social networks. American Express did it with its Members Project. Pepsi infamously did it with Pepsi Refresh. Redwood Creek, a wine brand, does one as well . And there are more. What I hate about these efforts is that they pit charities against each other in ways that I find unseemly. All of us want to see charities cooperating for the greater good, not elbowing out their perceived competitors at the trough.These kinds of promotions can bring out the worst in causes. Also, there’s a frequently a strong Matthew Effect at work in these efforts; the rich get richer and ...

Today is the last day of Breast Cancer Awareness Month 2012 and I devote this final pink ribbon post to Project Pink , from Puma, the shoe and apparel company. Project Pink is a contest of the sort made popular American Express’s Member’s Project and Pepsi Refresh. That is, causes nominate themselves to receive a large cash prize then rally their supporters to vote them through the rounds, usually via social media. Beginning on July 6, 2012, Puma accepted nominations for a single prize worth as much as $120,000. The donation was based on the profits from the sale of Project Pink merchandise, mainly branded shorts and t-shirts, and by the number of tweets with a promotional hashtag. Promotion extensions included a celebrity soccer match with actor/singer Ashley Tisdale. Project Pink had a verification phase in September and the voting began on Sept 24 and ended on October 5, 2012. Puma announced the winner earlier this month; the Dr. Susan Love Research Foundation . I never really lik...

Americans have a big polarizing vote coming up soon and pundits have been weighing in with their opinions, informed and not. Much depends on what the nation’s voters pick; will they go for red or blue? Frozen fruit drinks, that is. Starting today at polling locations at 520 Regal Movie theaters in 37 states, when you buy a medium or large cherry frozen fruit drink, the company will make a $0.50 donation to St. Jude Children’s Research Hospital. Buy a blue or any other color of frozen fruit drinks and Regal will donate $0.50 to Boys and Girls Club of America. The total donation to both causes is capped at $600,000. The promotion runs from Wednesday, August 1, 2012 to Friday, August 31, 2012. Weekly vote totals will be tracked on Regal’s Facebook site. Regular readers know that I generally dislike these kinds of competitions that pit charity against charity. Most Americans like to think that what Peter Drucker used to call the 'Social Sector' is just one big happy family ...

In a post about Starbuck CEO Howard Schultz at theatlantic.com , ‘Jack Flack’ (aka Paul Pendergrass) takes a swipe about the effectiveness of cause marketing that isn’t supported by the facts. Flack’s post is about the fact that Schultz is at the top of the ‘spin’-cycle right now. The stock is at an all-time high, in Dec 2011 Schultz was named Fortune magazine’s Business Leader of the Year and the CEO has launched some audacious initiatives that aren’t directly about selling coffee. In September 2011 Schultz pledged that he would stop making donations to incumbent politicians until they demonstrated a credible plan to address the Federal budget deficit. More than 100 other CEOs also pledged to withhold political donations from incumbents. Later in the year Starbucks unveiled its ‘Indivisible’ wristband effort, which generates loanable funds to small businesses nationwide. I’ve covered both issues here and here . Schultz, says Flack, is a flavor of the month. I don’t disagree. Unless S...

I’m always a little bit chary of the many contests that offer a donation to charities that get the most votes, or Likes, or pageviews, or Tweets. Pepsi Refresh and American Express Members Project are prominent, but hardly the only examples of these kinds of Crowd-Sourced Cause Marketing promotions. Maxwell House, a coffee brand from Kraft, does its own version of this Crowd-Sourced Cause Marketing called Drops of Good in partnership with the cause Rebuilding Together. My problem is that such promotions so often become beg-a-thons, and pathetic ones at that. Since promotional money is always tight, only a relatively small handful of humble supplicants ever get funded. After 2.1 million votes, Maxwell House’s top grant was $10,000, which it gave to five communities. Another five got $5,000. And because of the winners-take-all approach of most of these promotions, a charity that gets even a few hundred less votes than the finalists is basically out of luck with nary a consolation priz...

Henkel, the large German consumer products and adhesives company has come in for some criticism in these pages for stingy cause marketing payouts and even bad copyediting. I’ve got more criticism this time out, only of the constructive variety. Through the end of September 2011 Henkel is running a contest to find the best ideas to improve school fitness in America and get a shot at three $10,000 prizes awarded to one elementary, one middle, and one high school. Here’s how it works: Enter your school at Henkelhelps.com. Then work your social network to get the most votes from the public. The cause is called Alliance for a Healthier Generation , founded by the American Heart Association and the William J. Clinton Foundation. The mission of the Alliance for a Healthier Generation is to “Help cultivate a healthier generation of children today so that we will have a healthier America tomorrow.” The Alliance keeps a database of fitness approaches on its website. Large cash prizes...

American Express has its Member’s Project and Pepsi has Pepsi Refresh , both of which award millions of dollars in prizes and cost perhaps two to three times as much to activate, promote and administer. But can smaller sponsors do this voter-driven democratized cause marketing in a way that is both in reach and effective? One sponsor that’s trying is Redwood Creek , a wine brand owned by Frei Bros Vineyards of Modesto, California, with its promotion called the Great Outdoors Project . The Great Outdoors Project awards a top prize of $50,000 to a nonprofit organization “to use towards specific environmental projects that aim to preserve, protect and provide access to the great American outdoors.” $90,000 more is split between nine other finalists. So figure that Redwood Creek is into this $140,000 in prizes and perhaps another $420,000, give or take to activate and administer the promotion. That’s perhaps $560,000 total. Not inexpensive, but certainly within reach for companies that do...

In the Great Recession some companies are turning to sponsorship, including cause marketing, instead of carpet bombing us with more ads. Sponsorship is potentially cheaper than just buying ads, probably more targeted, more easily attuned to social media, and ‘stickier.’ Pepsi famously is spending a goodly chunk of its enormous ad budget on its Refresh Project , wherein the company is giving away millions to individuals, small groups, businesses, and organizations who are trying… broadly speaking… to better the world. The giving is determined by popular vote, thus ensuring that funding candidates get the word out. Pepsi has recently... and smartly… added a subset called Refresh the Gulf . Less well known, perhaps, and less grandiose is Dodge Ram Trucks campaign called Letters for Lyrics. Write a letter to a soldier, take it to your local Dodge Ram dealer and you get the CD 'Breaking Southern Ground.' The campaign’s stated goal is to give away 1 million CDs. A download from the ...