Last updated on September 13th, 2022
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From the early ages of advertising, such as 1950’s “You’ll be lovelier each day with Pink Camay” soap commercial, 1970’s “Mikey Likes It” Life cereal, to “I’m Lovin it” by McDonalds, consumer products brand strategies today are certainly more diverse – multi sectoral with more opportunities that drive competition.
The strength of strategies has gone beyond “price is more important” to capturing buyer loyalty and decision power through experiential or engagement marketing, where campaigns invite audiences to interact in the real-world to show customers what it stands for.
Product placement can help boost sales, build brand awareness and engender brand goodwill. However, premium shelving and premium aisles in the grocery locations come with large slotting fees and can make it difficult to obtain. Companies are striving to maximize all their strategies to even get noticed through multi-media channels to create awareness, valuable content to build clout and even gimmicks.
With short-term goals to drive sales and long term of brand loyalty, how can companies obtain short-term profits and at the same time, build brand engagement? Today, driven by the fundamental values of experiential marketing, companies that create emotional ties through consumer experience by offering brand experience, entertainment and education, are making an impact. Currently around 70 percent of buying decisions are made in-store1.
What can make your brand stand out from the crowd without paying the hefty activation costs?
Cause Marketing
- Cause Marketing can earn you new customers. When choosing between two brands of equal quality and price, over 70 percent of US shoppers are likely to switch to a cause branded product2.
- Cause Marketing can differentiate your products. When quality and price is equivalent, social purpose is the No. 1 deciding factor for all shoppers globally3.
- Cause Marketing increases sales. 42 percent of North American shoppers would pay extra for products from companies committed to positive social impact4.
- Cause Marketing strongly influences purchasing decisions. 52 percent of shoppers worldwide check product labels before buying to ensure that the brand is committed to positive social impact5.
In fact, retailers are supporting product companies that are giving back to the local community.
How Retailers Support Companies Through Cause Marketing Programs
Food Industry Executives join forces in Cause Marketing. In Southern California, Olive Crest, a child abuse prevention agency, teamed up with 12 major grocery retailer top executives, creating a Food Industry Board designed to provide a coordinated effort to drive fundraising and awareness throughout Olive Crest’s six regions in California, Washington and Nevada. The purpose is to facilitate an environment of growth and interaction between retailers and vendors and provide support for children and families in crisis.
“While we are highly competitive, we are coming together for a common goal. I think as retailers we understand the power that you can accomplish a lot by yourself doing anything, but there is a real power behind getting all the retailers and vendor partners together and have a comradery behind a common organization such as Olive Crest.” – Sean Mahony, Sr. Vice President Store Operations, Smart & Final.
Olive Crest’s partnership programs have built relationships with industry leaders that influence customer brand engagement to increase sales. Supportive CPG’s will give back a percent of sales, and through Olive Crest’s retailer relationships, they gain customer engagement support throughout the campaign.
Types of support can include:
- In-store displays/signage
- Logo or product in retailer ad vehicles
- Social media support
- Networking opportunities
Individual and collaborative CPG’s in-store partnership programs utilize engagement marketing to invite interactive participation to capture customer’s decision power and raise community cause awareness.
- CPG’s have gained 5-16 percent lifts and sales increase upwards of 20 percent with any given program.
Retailer and CPG’s Social Responsibility Initiatives Impact Local Communities
Through a unique approach, Olive Crest and major grocery industry retailers have expanded their cause marketing partnership program through Child Abuse Stops Here Network, that aims to support local agencies to help children and families in crisis across the United States.
- 2021 So. California-based Albertsons, Vons, Pavilions along with Don Francisco Coffee, S&W Beans, California Olive Ranch and Toyota surprised Carly Robinson and her two daughters with a new car and a brighter future for their family through the Olive Crest/Child Abuse Stops Here Network’s sweepstakes.
- 2021 Smart & Final, a warehouse-style food and supply store, raised funds through a register campaign to support Arizona based foster care agency. Additionally, the campaign awarded a family with Free Groceries for a year through an online giveaway.
- 2021 Mission Foods collaborated with multiple retailers throughout the Southwest through in-store display activation and a national sweepstakes. Funds raised supported multiple Olive Crest regions in California, Nevada and Washington.
Here’s Why Retailers Want to Help
“As the retail industry, there are so many causes that are presented to us to be a part of, and many of our organizations are involved in those causes…how do you want to participate and be a great company within the community that you do business with…start with the kids.” – Bryan Kaltenbach, President, Food4Less/Kroger
“Once you learn about the difficulties with these children, you know it’s the right thing to do for the community.” – Jim Beauvais, SVP Marketing & Merchandising, Albertsons Vons Pavilions
“Most of the time we are competing for the same dollar, and we are trying to win our market share and do a little bit better than the next guy. It’s things like this that we push all that aside and we all think about what’s best for our communities and how we can serve them better through the positions we’re in. I think that’s what’s so wonderful about our industry and our ability to give back.” – Mike Hendry, EVP Marketing & Merchandising, Northgate Gonzalez Market
Learn More
Child Abuse Stops Here Network Partnership Program is making an impact across the U.S. to support local agencies through cause marketing partnerships. Learn how your company can make a local impact.
We can change lives together
For more information, contact Rhonda Tagge, director of national corporate development at (714) 488-7094 or email [email protected]
References:
- LinkedIn – Popai
- 2015 Cohn Communications/Ebiquity Global CSR Study
- 2010 Edelman GoodPurpose Survey
- 2014 Nielsen Do Well By Doing Good Report
- 2013 Cone Communications Social Impact Study
- Child Abuse Stops Here Network
