Cause Marketing: a Win-Win-Win
In 2019, more and more businesses are donating a portion of their profits to charitable organizations and are implementing practices in their business strategy that underscore the triple bottom line: people, planet, and profit. This practice, known as “cause marketing”, helps businesses demonstrate to the public that they practice corporate social responsibility, which not only satisfies a moral code on behalf of the business owner; it benefits society as a whole. But how does social responsibility factor into a customer’s perception of your personal brand? According to a study by Cone Communications, “76% of consumers would switch brands to one that practices social responsibility.” That’s a strong argument for incorporating cause marketing into your advertising strategy. As you aim to captivate new audiences, in particular millennials, effective realtor cause marketing will establish and authenticate your brand.
From the perspective of nonprofits and government entities, it is absolutely necessary that businesses and the private sector participate in cause-based programs. There are countless major challenges facing the world’s population, and without the private sector involved, solutions are much less feasible. As stakeholders in the community and beneficiaries of these programs, corporate donors are in a unique position to make a difference. Not only do these programs attract new audiences and drive growth to businesses, they are actually making a difference in fighting some of the world’s biggest problems. According to Double the Donation, last year, corporations gave $17.8 billion to charities, money that goes right back into communities and affects change around the world. Without this commitment from the corporate community, many of these nonprofits would be seriously underfunded, or simply cease to exist.
So, why is it that 55% of consumers would spend more on products from socially responsible companies? Consumers know that large corporations have lots of money, and with that money comes power. When businesses work with charities and take action to impact the greater good, it lends incremental value to anything they sell; one that transcend basic economics. This is especially true when their social impact is tangible in a community. For example, a realtor who donates a portion of their profits to their local Habitat for Humanity or helps build homes in their community will be more effective at building relationships with local homebuyers than a realtor who uses traditional marketing techniques. The most effective realtor marketing is based on setting yourself apart in a crowded marketplace and giving potential clients a reason to buy from you. Cause marketing offers a concrete way to accomplish this.
From the business perspective, cause-based marketing simply makes the most sense. Shared values are a huge motivator for starting any type of relationship, but for business-to-consumer relationships they are even more important. When consumers are hiring professionals to help them with some of the most significant decisions of their lives - like buying a new home - they are more likely to work with professionals they respect and trust. The fastest way for a business to build trust with customers is to prove that profit is not the only thing that matters - that values play a role in how they do business.