TakeAway: As many people rally around Japan, companies must walk a fine line when combining a brand message with an expression of sympathy.
As consumers become increasingly skeptical of cause-related marketing and celebrities, organizations and major marketers have to balance trying to help without appearing to exploit the tragedy for profits.
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Excerpted from the WSJ, “Cause-Tied Marketing Requires Care” By Emily Steel, March 21, 2011
Microsoft’s Bing learned that lesson early on. The search engine created a backlash when it posted a message on Twitter, offering to donate $1 to Japan’s relief efforts each time someone forwarded its message. The missive set off a firestorm of complaints from Twitter users, who accused Bing of using the tragedy as a marketing opportunity. Within hours, the company responded. “We apologize the tweet was negatively perceived. Intent was to provide an easy way for people to help Japan. We have donated $100,000.”
Marketers have to be especially careful when they create programs that commit them to donate a portion of their proceeds if someone makes a purchase, some ad executives say.
Still, several retailers are deploying this strategy. U.S. sushi chain SushiSamba said that through the end of March it will give 100% of the proceeds of a special $12 sushi roll to relief efforts.
Other marketers are giving their customers benefits in exchange for making donations. American Airlines and Continental Airlines said they would reward donors with bonus airline miles.
Many companies have chosen to stick to straight donations, instead. Wal-Mart, P&G, Coca-Cola and Walt Disney are among more than 100 corporations across the globe that have committed to donate a total of more than $151 million in cash and other products or services thus far.
Marketers are promoting the initiatives through public relations, their own websites and social networking. While companies often want consumers to know about their efforts, few are launching ad campaigns to avoid any criticism of their intentions.
As relief efforts continue, companies’ motives are likely to be less altruistic, ad experts say. “The first people that do it probably have their heart and head in the right place,” Mr. Adamson says. “But as you go further along, more people try to jump on the band wagon. Doing good becomes less substantial and more of an attention grab.”
Edited by AMW
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