Cause-Related Marketing

Cause-related marketing (CRM) refers to a marketing activity that involves a company forming a relationship with a particular cause or causes for mutual benefit. CRM can be characterized as a strategic marketing tool employed to achieve both social and corporate objectives; it simultaneously benefits the company and a charity or similar cause. The cause could be general, for example, a concern for the environment, or specific, for example, when a percentage of the sales of a particular product are donated to an identified charity. From the company's perspective, the benefits include the opportunity to enhance their reputation, differentiate themselves from the competition, boost employee morale, raise brand awareness, increase customer loyalty, build sales, and attract positive publicity. From the perspective of the “cause,” [Page 271]the ...