Study Reveals Cause Marketing an Effective Business Investment

We came across an interesting study conducted by PR Week / Barkley Cause Survey. We highlighted some key points in an excerpt below and a link to the full article follows…

New Study Reveals Cause Marketing an Effective Business Investment

(CSRwire) KANSAS CITY (PR WEB) October 23, 2007 – The 2007 PR Week / Barkley Cause Survey reveals that philanthropic activities can drive business success. In fact, 72% of consumers say that they have purchased a brand because it supports a cause they believe in. Furthermore, corporate respondents say they see positive PR (65.3%), an increase in sales/retail traffic (26.7%) and an enhanced relationship with their target demographic (52%), as a result of their cause marketing efforts.

The first cause marketing campaign was launched 25 years ago, and what was formerly viewed as a trend, is now considered a cost of entry for many businesses. In fact, consumers demand it, with 90.7% of consumers saying it's important for companies to support causes and charities. The survey also revealed that the majority of companies (34.7%) with cause programs funded their efforts through the marketing department, as apposed to HR (4%), or even PR (14.7%).

"Companies are beginning to clearly understand that there is a return on their reputational investment," said Mike Swenson, president Barkley Public Relations. "[And] cause is the perfect storm to allow companies to engage employees and customers in a more meaningful way."

In addition to an increase in sales or enhanced customer relationships, corporate philanthropy can also drive recruitment and retention. Among companies with cause marketing programs, 56% saw heightened staff morale and retention and 14.7% "strongly agreed" that they have an easier time finding top-notch recruits.

For the full survey, visit www.barkleyus.com or www.prweek.com