Make Business A Community Event

Cause-Related Marketing is a business technique in which businesses join with charities or causes to market an image, product or service. Raising awareness and funds are the two mutual benefits offered to businesses and non-profits with cause related marketing programs.

Cause related marketing (crm) has taken front page on company’s marketing plans worldwide. A properly directed crm program can positively set a company apart from the competition.

The coined phrase, “cause-related marketing” was introduced by American Express in 1983 to describe its plan to raise funds for the restoration of the Statue of Liberty. American Express made a one-cent donation to the Statue of Liberty every time someone used their American Express card. It is reported that the number of new card holders grew 45% and overall card usage increased by 28%.

Embracing a cause or non-profit is good for business. A business’s commitment to a worthy cause helps build brand loyalty. Consumers want to do business with companies that stand for something other than just profits.

This powerful marketing edge is made successful when a good business and non-profit match is made. To find the best match, choose a cause that you (or the majority of your employees) are passionate about. Make sure the non-profit reflects the same values, beliefs and integrity as your company. Most of all, be sure the cause or organization chosen for a cause-related marketing program is important to your primary market. It is easy to support a cause when you team up with a positive charity that you can actually help.

The following is a list of cause-related marketing benefits:

Increased sales and visibility
Heightened customer loyalty
A sense of pride with employees
Positive media coverage
Improved company image (halo effect)

There are a number of opportunities to create a mutually “beneficial” relationship. From a special event, sales promotions to an awareness campaign, the opportunities are endless. As your relationship builds with the charity, promote the organization (have promotional materials available at your business) and get more personally involved with the non-profit (for example, board of directors or volunteers.)

The following are some key components of a successful cause-related marketing program:

1. Seek a partner, plan and prepare.
2. Negotiate the partnership. Create goals and be specific on expectations.
3. Be aware of legalities, liabilities and responsibilities. Make a formal agreement.
4. Manage the program or project.
5. Communicate the partnership and program to the public and target market(s).
6. Monitor, measure and evaluate the program. Discover ways to improve the program for the future.

Now is the best time to create a partnership that builds positive results.

It Pays to be Cooperative

There are a variety of ways to cut the cost of advertising without cutting corners.

In fact, one ingenious way to obtain additional advertising funding without blowing your advertising budget is to participate in cooperative (co-op) advertising programs. A co-op advertising program is a cost sharing arrangement for advertising between a manufacturer or supplier with a retailer (business). A business places an ad that is partially paid by the manufacturer (amount available varies) with the understanding that the manufacturer’s product is displayed in the ad.

According to the Yellow Pages Publishers Association (YPPA), approximately $30 billion dollars are available in co-operative advertising for small businesses annually; unfortunately, a large amount of the co-op money reserved, goes unused.

To utilize a co-op advertising program, begin by asking your suppliers about their co-op advertising program(s). If they do not have a program set up, consider making a pitch to the supplier for advertising. If you feature their product in the ad, they may agree to cover the cost of an ad. Above all, check in advance to see if a co-op program is available and get all the details on how to receive reimbursement for a portion of the advertisement cost.

The following are a few additional helpful hints to guide you through a co op advertising opportunity:

Many manufacturers offer co-op funds that accrues based on the amount of supplies purchased from each business, retail outlet or distributor. Other manufacturers or suppliers may have funds available for each distributor or business for co-op advertising; the options vary.

Keep precise records of how much you have purchased from each supplier.

Get prior approval from each vendor before placing advertisements.

Many manufacturers may have unique advertisement rules or may have their own camera-ready layout – check with the manufacturers. If it is necessary to produce an ad, have a graphic professional create the ad to ensure quality control, adherence to graphic standards and product prominence in the ad.

Ask and expect the manufacturers to provide a co-op advertising program. You are helping sell their product(s). Are there other manufacturers who have great products and provide a better co-op advertising program?

If you want to use co-op dollars for unusual projects such as a video or catalog, check with the manufacturer prior to creating a promotional/advertising piece to make sure co-op funds can be used on a specific projects.

Do not forget to request the co-op funds with the proper paperwork following the ad run. Tear sheets (or video/cassette copies) are many times needed with the proper paperwork. Make sure everything is well documented.

Evaluate every co-op advertisement. What was your company’s out of pocket expense for the ad? What was the ROI for your business? Before doing a different co-op ad make sure it is effective for your business’s budget.

Customer Service Basic Training
Customers Pay Your Salary

On average...Satisfied customers tell 5 people about good service they receive. On the other hand, dissatisfied customers tell 10 people about bad service.
Hal Mather,
The Performance Advantage

For every unsatisfied customer who complains, there are 26 other unhappy customers who say nothing; of those 26, 24 will not come back.
U.S. Office of Consumer Affairs

Remember that who you're being is just as important as what you are doing. Focus on the decent service skills and techniques, but if your attitude is out of whack, the behaviors will be close to meaningless.
Barabara “BJ” Hateley

Customers are the life blood for every business. Getting customers, satisfying customers and keeping customers are essential to making a business successful. The cost of attracting each new customers with marketing and sales efforts can add up and take time depending on the marketing strategies utilized. Once a business gains a new customer, the art of retaining customers begin with customer service, superb products and high levels of communication.

The following are a few customer service basics:

• Remember that customers have choices as to who they do business with. Be grateful they purchase products or services from your organization. Thank customers for each and every order and give them a reason to choose you again.
• Do not push for a sale if the customer is not ready to buy. Help your customer make the right purchase in accordance with their needs and timetables.
• Give Clients choices! Provide options such as payment preferences, ordering and service options, special shipping options, special billing cycle schedule and so on. Customers appreciate options.
• Under promise and over deliver.
• Give customers what they want, not what you think they ought to have.
• Always know your customer's goals and help them achieve those goals.
• Call customers to confirm (remind them of) appointments or reservations and to give them directions. This exrta touch will be greatly appreciated and can cut down on your “no show” appointments.
• Do whatever you can to make the final bill LESS than your estimate ... even if it is just by a few dollars. The customer will be happy, and you increase the chances that they will do business with you again. It is a win-win situation.
• Follow up with customers who have special needs, or deadlines to meet that include your company's products or services. Knowing that you are on top of things will increase their confidence in your organization. Plus,it makes their job easier.
• It is important to follow up with customers who have had problems or complaints (even if the issue was addressed and you are sure the situation has been resolved). Contact them in 1-2 weeks to make sure that everything is working well for them and all is OKAY.
• FIND WHAT IS WORKING... Consider all your clients and identify one or two that you have the strongest working relationship with. Review and analyze those relationships and write down the top behaviors or actions that build the successful relationships. Make it a goal to replicate those behaviors with all other customers.

2008 Marketing Minute Archives
January/February | March/April | May/June | July/August | September/October | November/December