CSRtelegraph: Establishing new frontiers: Cause Related Marketin...

CSRtelegraph: Establishing new frontiers: Cause Related Marketin...: Back on the issue of collaborations: NGOs and Corporate Organisations. l have been thinking about different ways value can really be created...

Establishing new frontiers: Cause Related Marketing

Back on the issue of collaborations: NGOs and Corporate Organisations. l have been thinking about different ways value can really be created, especially within the Nigerian local environment. Whilst NGO credibility may be at an all time low, with the discovery of N74 billion fraud  grants processes, involving  some notable Nigerian organisations by the Global Fund on AIDS, Tuberculosis and Malaria, it is still very much possible to work with some credible non profit organisations in a way that is value adding to all and one way to do this is through Cause related Marketing (CRM).

Cause related Marketing is not new, however, just as the entire CSR terrain is still in its infancy in Nigeria, so is this form of marketing. Recently, Dr. Marinho of Educare has taken it upon himself to advocate for private organisations to get on board the Cause Marketing train and utilize their huge marketing budgets to raise awareness and funds for social issues; invariably 'doing well by doing good'. 


It's interesting to see a few organisations who have recently jumped on this band wagon, makers of Nunu milk and lifebuoy (Unilever) are one of such organisations, Interswitch also did something in this regard sometime ago. 


With a population and a country faced with immense social issues which does not seem to abate, Cause related Marketing is a highly strategic way of building Brands that drive sustainable development whislt making money. 


Looking at the postulations of the 'bottom of the pyramid', the benefits associated with CRM in a country such as Nigeria which has most of its consumers at the base can really have a much more long lasting impact on Brand value, loyalty, recognition and acceptance. Brands built in this way, if done very well and in a sustainable manner will remain embedded in our memories for a while, especially if its associations are things that endear it to one's heart.


The trick, however, is not to build superficial marketing strategies along these paths and what l mean by this is that intentions have to be really genuine, the Brands must be utilised to make real changes, have real impact else the PR aspect of whatever CRM is done is quickly detected and people see no sense in it. The loyalty that is meant to emanate from such marketing also will not be activated and the entire essense for the venture will quickly fizzle out. It is instructive to know that whilst the values upon which Brands are built on must be genuine at all times, so must the value upon which CRM is built. 

One question you need to ask yourself whilst designing your marketing strategy is whether raising funds through CRM is the most effective way to go in light of the low disposable income segments (this may be suited to particular market segments where the customer may be able to afford parting with some extra cash) or taking a certain % of the Brand's profit and donating it to a good cause. Care must also be taken not to pass the cost to the consumer but to depend on volume generated profits, this means that the strategy must be right to generate the margins needed, else profit is impacted and it becomes a failure. 


l do believe that the developing nations should be the next home for Cause related Marketing. l, like Dr. Marinho see the value in it, both for the cause, the non profit and the for profit organisation. 


http://en.wikipedia.org/wiki/Cause_marketing


Oluwasoromidayo George

CSRtelegraph: Creating sustainable value through CSR (1)

CSRtelegraph: Creating sustainable value through CSR (1): l seem to be pretty stuck on the term Corporate Social Responsibility and that may be due to the fact that l strive to create some s...

Creating sustainable value through CSR (1)

l seem to be pretty stuck on the term Corporate Social Responsibility and that may be due to the fact that l strive to create some semblance of constancy in the midst of what may at times be likened to confusion. As the awareness of CSR seems to be rising in Africa, we also need to make sure that we push for a paradigm shift in the way its positioned both within the organisation and also within the society such that economists, management and development experts can see something of technical value both to the bottom line and commercial & social sustainability.l see a lot of value in the term and the part it will play in the scheme of things as the new face of corporate structure evolves globally. 


Recently, l have seen a lot of clamour for collaborations between the private sector and the non profit to create some sort of value, what this value is though is yet to be clearly defined. My expectations to seeking for partnerships or creating viable operating space within sectors are often based on the ability to show what value additions we are likely to expect. So when a non profit organisation ask for collaboration my question is not usually on the collaboration but on what addition value they seek to create. 


Creating sustainable value through CSR is far more than seeking collaborations or attempting to shift governmental responsibilities on corporation organisations. Whilst the 'suits' or corporates have huge responsibilities, the entire subject of social responsibility must be viewed holistically; there is government social responsibility, individual social responsibility, non profit social responsibility etc. Everyone and sector existing within a social sphere has a responsibility towards the sustainable development of that in which they exist. Therefore, the issue of collaboration must be pursued from this angle. 

To collaborate is to find common synergies and identify areas for value building. Value building must be embarked upon with minimal backlash on the entire social system i.e. whilst we may seek to ask the corporates to fund everything on the face of the earth in a developing nation for instance based on a perception that they are entirely responsible for every negative issue, we must also be mindful of the fact that we seek to ensure that there is good governance within these societies, therefore, the responsibilities that we seek to quickly thrust upon these corporates may inevitably be that of the governing body. By diverting attention away from the rightful owners of the responsibility we are probably creating more disservice than adding value. 

Therefore, in order to create a sustainable value through CSR, non profits seeking collaborations must first ask the question whose responsibility is this issue that l seek to tackle and how can l help either the government or the corporate or whoever to add value by tackling this issue. This way solutions are brought to bear, value is created and no backlash occurs. 


Oluwasoromidayo George