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Cause-Related Marketing

Relevance and Application in British Cancer Charities - A Case Study Approach

Cause-Related Marketing
Über dieses Buch

Diplomarbeit von Jenny Graff

Abstract:

Cause-related marketing (CRM) has become a widely discussed topic as well as an increasingly important marketing technique. In this paper, the subject is analysed not from the usual perspective of companies, but from the charities’ point of view, focusing on the example of British cancer charities. The study shows that cause-related marketing has developed in context of a changing business environment and growing customer demand. Its relevance is highlighted with regard to consumer behaviour theories, introducing CRM as an innovative and promising marketing tool. From the fierce competition in today’s market-place for charities and the changing attitude of donors, emerges the need for new charity marketing techniques. CRM is already widely used in the marketing of cancer-related organisations, as show various examples outlined in the text. However, the potential is not yet fully exploited and some substantial problems remain, especially in terms of company cooperation and missing empirical data. As a result of the investigation, cancer charities are recommended to extend their CRM activities, to prepare for the arising tasks internally and to communicate their programmes openly to the public. Additionally, extensive future research is suggested to gain more knowledge about the effects of cause-related marketing. This study comprises comprehensive material from secondary sources, such as books, articles and reports, along with extensive Internet research. Complementary, an in-depth interview provides insight into the work of Cancer Research UK. The findings of this paper are of special interest for charities and companies alike, as well as for marketing students and lecturers.

Table of Contents:

1. Introduction 5
1.1 Scope and Objectives of the Paper 5
1.2 Structure of the Study 6
2. Methodology 7
2.1 Secondary Research 7
2.2 Primary Research 8
2.3 Case Study Approach 8
PART I - CAUSE-RELATED MARKETING AS A MARKETING TOOL 9
3. Background and Implications of Cause-related Marketing 10
3.1 The Rise of Corporate Social Responsibility 10
3.2 The History and Development of Cause-related Marketing 12
3.3 The Definition of Cause-related Marketing 13
3.4 Different Types of CRM Activities 14
3.4.1 Product Endorsement 14
3.4.2 Non-sales Orientated CRM 14
3.4.3 CRM Advertising and Sponsorship 14
3.4.4 CRM Community Partnerships 14
4. Cause-related Marketing and Consumer Behaviour 15
4.1 Maslow’s Hierarchy of Needs and the Evolution of Branding 15
4.2 Motivations and Barriers to Charitable Giving 16
4.3 Charitable Giving and Cognitive Dissonance 17
4.4 The Relevance of Cause-related Marketing 18
5. Conclusion Part I 20
PART II - UK CANCER CHARITIES AND CHARITY MARKETING 21
6. Cancer Charities in Britain – A General Overview 22
6.1 The Concept of Charity 22
6.2 Cancer Charities in Context 23
6.3 Cancer Research UK 24
7. Charity Marketing 25
7.1 Objectives and Issues in Charity Marketing 25
7.2 The Charity Marketing Mix 26
7.2.1 An Overview 26
7.2.2 Promotional Tools 27
7.3 The Increasing Competition in Charity Marketing 28
7.3.1 Reasons for Increasing Competition in Charity Marketing 28
7.3.2 Areas of Competition 28
7.4 Developments in Charity Marketing 30
7.4.1 More Sophisticated Marketing 30
7.4.2 Changes in Marketing and Fundraising Techniques 31
8. Conclusion Part II 33
PART III - THE APPLICATION OF CAUSE-RELATED MARKETING 34
9. Benefits and Problems for Charities 35
9.1 Benefits 35
9.1.1 Increase in Charity Funds 35
9.1.2 Publicity and Awareness 35
9.1.3 The Wide Scope of Cause-related Marketing 36
9.2. Potential Problems 36
9.2.1 Loss of Independence and Reputation 36
9.2.2 Exploiting Beneficiary’s Dignity 37
9.2.3 Problems in the Partnership with Companies 37
9.3 Overcoming Problems 38
9.3.1 Improving the Partnership with Companies 38
9.3.2 Addressing Other Problems 39
10. Case Studies 40
10.1 Cancer Research UK 40
10.2 Examples of Other Cancer Charities 41
11. Summary and Recommendations 43
11.1 Conclusion 43
11.2 Recommendations 43
12. Future Outlook 45
12.1 Further Research 45
12.2 The Future of Cause-related Marketing 45
13. Bibliography 47
13.1 Books 47
13.2 Newspapers and Journals 48
13.3 Reports and Corporate Material 49
13.4 Interviewee 49
13.5 Internet Resources 49
14. Appendices 50
Appendix I – Business in the Community Involvement 51
Appendix II – Maslow’s Hierarchy of Needs 52
Appendix III – Raw Data for Diagrams 53
Appendix IV – Interview Transcript 54

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