Cause-Related Marketing

Cause-related marketing (CRM) refers to a marketing activity that involves a company forming a relationship with a not-for-profit cause 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 the cause. From the perspective of companies, benefits include the opportunity to enhance their reputation, differentiate themselves from competitors, boost employee morale, raise brand awareness, increase customer loyalty, build sales, and attract positive publicity. For the cause that receives a percentage or nominated amount from the sales of a particular product, benefits include increased revenue and public awareness of activities, and for customers, CRM provides an opportunity to support a cause through purchasing decisions.

Although marketing linked to causes was first ...