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Marketing Mastermind Magazine:
Cause Branding: Raising the Societal Quotient
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Success in today's competitive scenario is dependent on a brand's ability to understand and address consumer concerns. Cause branding, which is a logical progression of cause-related marketing, is still in its evolutionary phase in India. The recent times have witnessed a spurt in societal concerns being adopted and pursued with zeal by marketers in India. This article attempts to shed some light on the idea of cause branding and on the companies attempting a transition from cause-related marketing to cause branding.

 
 
 

Intense competition in the market- ing arena across industries has forced companies to explore new possibilities and alliances. Cause branding is one such strategy, which attempts to blend the brand's attributes with an overriding societal concern, often by forging alliances with a cause expert. While corporate social responsibility (CSR) is a broader concept encompassing issues related to sustainable development, pursuit of ethical labor practices, environmental issues, etc., which are mandatory to qualify as a good corporate citizen, cause branding is more the public persona of an elaborate CSR program. A focused cause branding strategy carries the potential of claiming a unique position in the customer's lexicon. Although cause branding has been widely practiced in the developed markets, in India, it has begun to get its due only recently (Refer Exhibit 1). While the realization by the companies regarding the need to `give back' to the society fuelled CSR activities, growing social consciousness among consumers (willingness to pay a premium price or show a preference for brands engaged in social causes) galvanized cause branding.

Cause marketing became a part of marketing terminology during the early 1980s following the consumer-focused program initiated by American Express to donate a penny per transaction for restoring the Statue of Liberty. By strategically linking the brand with a cause that appealed to the consciousness of the target audience, American Express was able to positively impact consumer perception. Cause marketing has evolved further since then, encompassing pursuance of a cause as one of the brand's core values. While cause-related marketing tends to focus on numerous related/unrelated activities of varying duration, cause branding extends over a longer period of time and focuses on issues that can be aligned to complement the brand.

Companies in India are slowly moving along the continuum from cause-related marketing to cause branding. Hindustan Unilever Limited sent into motion India's largest private health and hygiene-focused educational program under Lifebuoy's Swasthya Chetna. Since its inception in 2002, the program has touched the lives of over 120 million Indians. Its phenomenal success led to the release of a special Lifebuoy Swasthya Chetna postal cover by the Indian Postal Department. The company replicated the strategy with Dove's campaign for real beauty. The possibility that companies can earn better by doing good has resulted in increased investments in societal issues. In markets clogged with intense competition, this has emerged as a viable differentiation strategy.

 
 
 

Marketing Mastermind Magazine, Cause Branding, Societal Quotient, Corporate Social Responsibility, Cause Marketing, Educational Programs, Telecom Market, Green Technologies, Social Networking Sites, Advertising Campaigns, Advertising Clutter, Societal Marketing, Telecom Service Providers.