
Cause-Related Marketing: Impact on Consumers
AL NAAMANI Maisa | OGUNYINKA Alison | PATEL C. Hitiksha | SANKHE Sadhvi | ZEHRA Beenish
Cause Related
Marketing: Impact
on Consumers
AL NAAMANI Maisa | OGUNYINKA Alison | PATEL C. Hitiksha | SANKHE Sadhvi | ZEHRA Beenish
A. Introduction
Cause-related marketing (CRM) is a “strategy designed to promote the achievement of marketing objectives such as brand sales via company support of social causes” (Barone, Norman, & Miyazaki, 2000). There are 4 types of CRM, namely “Donation in Kind”, “Transactional Portion of Sales”, “Non-Profit Event Sponsorship”, and “Licensing”. The two campaigns chosen fall under the Transactional Portion of Sales and Donation in Kind. The most common type is the Transactional Portion of Sales, which is “when a corporation donates a specific amount of cash, food, or equipment in direct proportion to sales revenue” (Mabry, 2019). “Companies that contribute directly to the cause without being tied to a transaction” are referred to as donations in kind. This contribution is “not necessarily monetary” (Berglind and Nakata, 2005). CRM campaigns differ from green-washing and corporate social responsibility as they offer a win-win-win strategy that could provide benefits to causes, customers, and companies as a whole. Companies benefit from attaining better organisational reputation and credibility (Broderick et al., 2003). Successful CRM campaigns also offer “improved corporate performance and/or brand image” (Broderick et al., 2003; File & Prince, 1998; Kotler, 2003; Mason, 2002; Polonsky & Wood, 2001). Daw (2006) argues that the increased revenue, awareness and volunteer pool provide charities and the cause access to new audiences. Lastly, consumers who support CRM campaigns are reported to experience a “warm glow” (Andreoni, 1990) and ethical self-identity (Singh, 2016). Overall, supporting a cause that resonates with consumers, helps to reinforce personal values and strengthen the community. This will therefore increase customer loyalty and market share allowing for the company to come together with charities and non-profit organisations for continued effective CRM campaigns.
B. Unsuccessful Campaign | KFC: Buckets for the Cure
In 2010, the fast-food company, KFC, partnered with the United States-based non-profit organisation, Susan G. Komen for the Cure, (or the Komen Foundation) on the “Buckets for the Cure” campaign. The aim was to transact a portion of sales toward breast cancer research and advocacy (CNN, 2010). To do so, KFC contributed $50c per bucket sold to the Komen Foundation. However, the response was poor. Health concerns toward KFC and the company’s controversial strategies led to criticism from the general public and the ultimate dismissal of the campaign. “Buckets for the Cure” was considered a “PR disaster” (Karen McVeigh, 2012) for KFC, as the company was accused of Pink-washing: claiming to care about breast cancer by “putting a pink, cancer-awareness ribbon on products that are bad for health” (CNN, 2010). The general public denounced the assumed association between fast food and breast cancer: “They talk about a cure, but this partnership will create more breast cancer” (CNN, 2010). Parallelly, KFC is said to locate its restaurants in “the poorest communities where people have limited access to healthy food”, while the Komen Foundation “claims to care about low-income women” (Breast Cancer Action, 2013). Activists denounce this partnership for going against those values, as KFC “severely aggravate[s] the condition of women’s health in these communities” rather than improves it (Breast Cancer Action, 2023).
Overall, the campaign can be considered unsuccessful given its failure to resonate with its intended audience.
B.1 Impact on Consumers
Two touch points predicting consumer response correlate with this outcome: Congruence and Ad appeal.
Fit/congruence
According to Pracejus and Olsen (2004), a high fit between a cause and a brand can have a “tremendous impact on the success of CRM campaigns” and “significantly amplifies” the impact of CRM on choice behaviour. However, the unhealthy nature of KFC, which according to the general public, links to cancer, justifies a weak fit between the brand and the foundation. Moreover, KFC has been guilty of pink-washing. This low reputation paired with low congruence leads consumers to doubt the credibility of the brand (Trimble and Rifon, 2006).
Involvement
A functional product leads to involvement to enhance brand preferences when the product is functional rather than hedonic (Chowdhury and Khare, 2011). KFC being a fast food, the products sold can be considered as hedonic food. Therefore, there is a low preference towards the partnership between KFC and Komen for consumers involved with breast cancer.
C. Successful Campaign | Tony’s: Sweet Solution
Founded in 2005, the Dutch-based confectionery company, Tony’s, has been working tirelessly to shine a light on the unfair practices in the cocoa industry. According to the Guardian, roughly 1.56 million children work in cocoa plantations in Ghana and the Ivory Coast, making the chocolate industry highly stigmatised (Balch, 2020). Tony’s is fighting against this and their mission is to make the chocolate trade completely slave-free (Tony's, 2023 a). The “Sweet Solution” campaign, started in 2021, consists of new Tony’s chocolate bars that look like famous chocolate brands (Tony's, 2023 b). The motive of this campaign is to draw the attention of the masses to modern slavery in the cocoa supply chain. At Tony’s all bars are made using 5 principles; use of traceable cocoa, higher payment to farmers, investment in farmers, nurturing long-term relationships and commitment to quality and growth (Tony's, 2023 a). Tony’s bars are wrapped in an alarming red colour that signals danger, making shoppers stop and think. Moreover, the campaign has a petition link that allows people to sign up and hold governments responsible for modern slavery. Not only are they leading by example but also inspiring other companies to take action. As part of the campaign, Tony's made a “Sweet Solutions Kit” PR kit that contained Tony’s bars, an information leaflet on modern slavery, and a postcard with a QR code to the petition's web address (Fiske, 2021). Overall, Tony’s is the perfect example of positive activism that leads to actionable change.
C.1 Impact on Consumers
Fit/congruence
Strong associations between the cause and the brand lead to favourable outcomes (Pracejus and Olsen, 2004 a). In the case of Tony’s, they are leading the movement against modern slavery and they aim to make“100% slave free” the norm (Tony's, 2023 a). Their mission is to highlight all the unfair practices within the cocoa industry and hold the culprits accountable. Therefore, Tony’s is the ideal example of how a high degree of cause-brand fit leads to a positive impact.
Donation size and farming
Consumers prefer if the donations are expressed in the £ or % of the “product price rather than the % of the profit” (Pracejus and Olsen, 2004 a). Tony’s makes donations in kind by giving away 1% of the annual turnover to the Chocolonely Foundation. The foundation contributes towards the livelihoods of communities that are growing cocoa. (Tony's, 2023 a). Additionally, Tony’s pays their farmers higher compared to any other companies (Tony's, 2023 a)
Ad appeal
The Sweet Solution campaign delivers strong emotional appeal talking about modern-day slavery, not only to children but labourers below the poverty line in Africa. The ad speaks about 100% slave-free chocolate. The Harkin Angel Protocol was signed off 20 years ago where the chocolate industry pledged to end all illegal labour in the cocoa industry but expressed that it is different from the reality and continues to do so. The campaign advert mentions the issues in the supply chain with the use of negative keywords to maximise impact and capture the audience’s attention. Additionally, this is the 3rd year of the campaign, demonstrating a long-term commitment to the cause (Tony’s Chocoloney, 2021) (Cui et al., 2003; Thomas et al., 2019). Tony’s doesn’t influence the purchase intention of consumers but just focuses on raising awareness. The brand is cause-centric and tries to shine a light on the slave trade and only visions influence the consumers and producers with the same.
Product Type
Although chocolate bars are considered hedonic products, Tony’s is unique as it has made a product that aligns with its cause. The bar is divided into unequal pieces. This represents the inequality in the chocolate industry. The unfair distribution of wealth is also highlighted by the unique Tony’s chocolate bar. The bars will remain unequal as long as there is slavery in the cocoa industry. Image 1 explains the significance of Tony’s chocolate bar. The Equator is represented at the bottom of the bars. The Gulf of Guinea is the chunks above. From left to right you have Ivory Coast, Ghana, Togo & Benin, Nigeria and part of Cameroon (Tony's, 2023 a).

Image 1: Breakdown of Tony's chocolate bar
Source: Author's work
Overall, Tony’s shows a high degree of cause-brand fit which makes the campaign successful. Their “mission to make 100% slave free the norm” (Aziz, 2020), shows their long-term commitment to the cause and their innovative product is representative of how serious Tony’s is to revolutionise the chocolate industry.
D. Overall Impact
Overall, there was a loss seen in the cause of the campaign as the Komen Foundation saw backlash for its partnership with KFC a fast food chain (CNN, 2010). Next, there was a loss with consumers as the campaign did not fit well with the customers which made them lose trust in KFC. Lastly, the Company saw losses. There was a sales dip in 2010 (Statista, 2021) due to the campaign’s failure as customers could not connect with the cause associated. KFC was spreading awareness about breast cancer being a fast food company.

Figure 4.1
Source: Statista, 2021
In contrast, Tony’s shows a win-win-win scenario. The corporate performance has improved from 2020-22 which can be seen by the 21% sales bump, refer to Figure 4.2. The donation is very transparent and is towards a positive cause. The product type is very creative and is consistent with the brand’s mission. In terms of the success of the cause, the entire campaign revolves around raising awareness about the problematic chocolate industry. It also helps Tony’s reach new audiences. The win for consumers is that Tony’s is fair-trade, hence they can buy it guilt-free. It also has a feel-good factor, making consumers involved in doing a good deed.

Figure 4.2
Source: Statista, 2022
E. Recommendations
Following these two cases, we can provide recommendations for campaigns to succeed in the eyes of consumers. Brands should look closely at the following six touchpoints:
Firstly, we recommend paying attention to fit. According to Pracejus and Olsen (2004 b), brands must be wary of the choice of partnership they make as a lack of fit can decrease credibility, impact reputation and cause a backlash.
Secondly, brands shouldn’t neglect the power of advertising. Playing on emotions helps convince consumers about a cause by creating emotional investment. Long campaigns and focusing on the cause when communicating are ad-appeal factors toward success.
Thirdly, brands should be intentional with the donation size and framing of their CRM campaigns. Ensuring not to raise the price as compared to competitors and giving clear figures regarding the pricing of each product rather than a percentage of profit, factor into consumer trust and success leading to a successful campaign.
Then, we suggest paying attention to the product type. It has been studied that CRM on frivolous products is more effective than on practical products. We, therefore, recommend brands consider revolving their campaigns around products of such type for greater success.
We also suggest caring about cause involvement. Consumers are more likely to resonate with a campaign when they feel a link to personal experience, involved with or close to a cause. Therefore, brands should ensure that their consumers feel involved with a campaign emotionally and physically. Campaigns should focus on functional products as these tend to resonate better with consumers in this context (Chowdhury and Khare, 2011).
Finally, we recommend acknowledging the effects of culture. Assessing whether the targeted consumers are part of a more individualist or collectivist culture will help a campaign succeed. According to Robinson et al. (2012), collectivist cultures generally react positively to CRM and prefer choosing a cause over being imposed one. Therefore, framing a campaign appropriately will edge it toward success.
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