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Virtual Virtues
How Social Media,
Social Responsibility and
Cause Marketing work together
Presenter: Lee Fox
5 Benefits of CSR
1. Cost effective way for an organization to improve
competitive position
2. Boosting social conditions, including education,
leads to improved locations for company
operations & potential creation of customers and
skilled workers
3. Investors are drawn to socially responsible
companies.
4. Individual professionals who perform charitable
volunteer work are recognized and receive
personal benefits for their efforts.
5. Protecting the environment leads to more
productive use of resources
77% Environment
77% Economic Development
80% Health
70% Education
Significant Areas of Impact
What CSR isn’t… and is…
Brands of Social Innovation
Ethos Water Case Study
Ethos Water Case Study
DATA POINT PRO CON
1-in-6 people drink
unsafe water world-wide
$16B-bottled water
business world-wide
Global water shortages
coupled with abject
poverty
2001: Ethos Water launched
by Peter Thum / Jonathan
Greenblat (joined later)
United Nations
decreed Int’l H2O day
on 03/22 (‘92)
No real awareness
to Clean Water
Issue
2005: Ethos Water sold to
Starbucks
$0.05- donated to
clean-water cause
for every bottle
sold
$8M purchase price
“Every Bottle Makes A
Difference”
$10M donated to
clean water cause
Starbucks has $495M
of annual profits
2006: Pepsi joins partnership
and redesigns bottle
Larger distribution Pepsi has over $32B in
annual revenues.
Purposeful Products
Case Study Haagen-Dazs
• 25%+ of U.S. honey bee population has
disappeared.
• Honey bees help create ingredients that go into
more than 40% of Haagen-Dazs ice cream flavors.
• Raising awareness of the honey bee issue gives HG
a new purpose.
• web site & new flavor “Vanilla Honey Bee” created.
• Donate money in support of the honey bee and
sustainable pollination research programs at UC
Davis ($100k) & Penn State ($150k)
…branded or innovated…
Consumers are buying it
Shopping w/ ACTIVISM
would switchwould switch
wouldn’t investwouldn’t invest
would refuse to workwould refuse to work
might sell their investmentmight sell their investment
would boycottwould boycott
would be less loyal at workwould be less loyal at work
Importance of “PURPOSE”
Indifferents: (40%)
Least motivated by social
concerns – they prioritize by
price, quality, convenience and
products.
Enlighteneds: (10%)
Most driven by their values when
making purchasing decisions, going
out of their way to reward
companies who align with their
social goals.
Apsirationals: (20%)
More likely to balance their ideals
with convenience, switching
between social concerns &
convenience.
Practicals: (30%)
Looking for convenience,
prioritizing based on price,
quality, convenience and where
product is manufactured.
Ladder of Engagement
ParticipatorType
Involvement
Instigators
Evangelists
Supporters
Spreaders
Bystanders
CreateSolicitSpendShareListen
Source: www.gartner.com/pages/story.php.id.8795.s.8.jsp
What are consumers saying
about your brand?
CSR: don’t have it?
brand-jacking = cause-jacking
• Artist used a Louis Vuitton
purse in an anti-genocide
campaign to make the point
that the media cares more for
celebrities than they do for
genocide in Darfur
• LV sent Plesner a cease and
desist letter and filed a
lawsuit, claiming damages of
over $20,000 a day
http://www.facebook.com/group.php?gid=12685622005&ref=mf
Cause Branding
Roadmap
1. Set goals
2. Focus
3. Build internal capacity
4. Create a team
5. Find ambassadors of the cause
6. Choose partners carefully
7. Leverage all assets
8. Add sizzle
9. Communicate & Innovate
10. Go local
Case Studies
Companies using
social media
for social good
Lexus Eco Challenge
• Partnered with Scholastic:
– Nationwide program that empowers middle &
high school students to make a positive
impact on the environment
– Rewards them with more than $1M in
scholarships & grants.
– 2007 was the first year – it involved more than
3,500 students from Maine to Hawaii
http://www.scholastic.com/lexus/
P&G – Pampers & Unicef
• One Pack = One Vaccine:
– Funded more than $25M life-saving tetanus
vaccines which were distributed throughout Africa
and Asia
– Originally launched in 2006 in the UK
– Expanded in 2007 to other W. European
countries
– Debuted in the U.S. & Canada in 2008
– The goal of the North American campaign was to
provide at least 27M more vaccines, which would
bring the total global donations to more than
50M.
CDC in Whyville
(Online Youth Property)
Soft & Beautiful Just for Me!
• National self-esteem program launched by
children’s hair care brand
• In addition to traditional promotion
methods (speakers, media, etc.):
– Created a VIP website for girls:
http://www.jfmvipclub.com
– Using a blog to reach moms:
http://www.sunflower-mom.blogspot.com
SIGGART Design Contest
• Launched www.mySIGG.com for users to
post their water bottle designs online and
visitors can vote for their favorite design
• Advertised on an eco design blog, created
online press releases and targeted social
bookmarking sites
• Attracted more than 12,000 visits from
about 8,000 people that on average spent
17 minutes on the site
Advanta’s IdeaBlob
• Entrepreneurs and small
business owners submit business
ideas on www.ideablob.com
• Based on votes from the online
community, one idea every
month wins $10,000
• Metrics include:
–15% of these businesses are nonprofits
–26% of ideas contribute to “social good”
–45% of finalists are socially conscious
–66% of winners are socially conscious
– Approaching 100,000 users
Why are Social Media Tools
advantageous?
Remember what it is…
People, Planet, Profits

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Virtual Virtues - How Social Media, Social Innovation & Social Responsibility work together

  • 1. Virtual Virtues How Social Media, Social Responsibility and Cause Marketing work together Presenter: Lee Fox 5 Benefits of CSR 1. Cost effective way for an organization to improve competitive position 2. Boosting social conditions, including education, leads to improved locations for company operations & potential creation of customers and skilled workers 3. Investors are drawn to socially responsible companies. 4. Individual professionals who perform charitable volunteer work are recognized and receive personal benefits for their efforts. 5. Protecting the environment leads to more productive use of resources
  • 2. 77% Environment 77% Economic Development 80% Health 70% Education Significant Areas of Impact What CSR isn’t… and is…
  • 3. Brands of Social Innovation Ethos Water Case Study
  • 4. Ethos Water Case Study DATA POINT PRO CON 1-in-6 people drink unsafe water world-wide $16B-bottled water business world-wide Global water shortages coupled with abject poverty 2001: Ethos Water launched by Peter Thum / Jonathan Greenblat (joined later) United Nations decreed Int’l H2O day on 03/22 (‘92) No real awareness to Clean Water Issue 2005: Ethos Water sold to Starbucks $0.05- donated to clean-water cause for every bottle sold $8M purchase price “Every Bottle Makes A Difference” $10M donated to clean water cause Starbucks has $495M of annual profits 2006: Pepsi joins partnership and redesigns bottle Larger distribution Pepsi has over $32B in annual revenues. Purposeful Products
  • 5. Case Study Haagen-Dazs • 25%+ of U.S. honey bee population has disappeared. • Honey bees help create ingredients that go into more than 40% of Haagen-Dazs ice cream flavors. • Raising awareness of the honey bee issue gives HG a new purpose. • web site & new flavor “Vanilla Honey Bee” created. • Donate money in support of the honey bee and sustainable pollination research programs at UC Davis ($100k) & Penn State ($150k) …branded or innovated… Consumers are buying it
  • 6. Shopping w/ ACTIVISM would switchwould switch wouldn’t investwouldn’t invest would refuse to workwould refuse to work might sell their investmentmight sell their investment would boycottwould boycott would be less loyal at workwould be less loyal at work Importance of “PURPOSE” Indifferents: (40%) Least motivated by social concerns – they prioritize by price, quality, convenience and products. Enlighteneds: (10%) Most driven by their values when making purchasing decisions, going out of their way to reward companies who align with their social goals. Apsirationals: (20%) More likely to balance their ideals with convenience, switching between social concerns & convenience. Practicals: (30%) Looking for convenience, prioritizing based on price, quality, convenience and where product is manufactured.
  • 8. CSR: don’t have it? brand-jacking = cause-jacking • Artist used a Louis Vuitton purse in an anti-genocide campaign to make the point that the media cares more for celebrities than they do for genocide in Darfur • LV sent Plesner a cease and desist letter and filed a lawsuit, claiming damages of over $20,000 a day http://www.facebook.com/group.php?gid=12685622005&ref=mf Cause Branding Roadmap 1. Set goals 2. Focus 3. Build internal capacity 4. Create a team 5. Find ambassadors of the cause 6. Choose partners carefully 7. Leverage all assets 8. Add sizzle 9. Communicate & Innovate 10. Go local
  • 9. Case Studies Companies using social media for social good Lexus Eco Challenge • Partnered with Scholastic: – Nationwide program that empowers middle & high school students to make a positive impact on the environment – Rewards them with more than $1M in scholarships & grants. – 2007 was the first year – it involved more than 3,500 students from Maine to Hawaii http://www.scholastic.com/lexus/
  • 10. P&G – Pampers & Unicef • One Pack = One Vaccine: – Funded more than $25M life-saving tetanus vaccines which were distributed throughout Africa and Asia – Originally launched in 2006 in the UK – Expanded in 2007 to other W. European countries – Debuted in the U.S. & Canada in 2008 – The goal of the North American campaign was to provide at least 27M more vaccines, which would bring the total global donations to more than 50M. CDC in Whyville (Online Youth Property)
  • 11. Soft & Beautiful Just for Me! • National self-esteem program launched by children’s hair care brand • In addition to traditional promotion methods (speakers, media, etc.): – Created a VIP website for girls: http://www.jfmvipclub.com – Using a blog to reach moms: http://www.sunflower-mom.blogspot.com SIGGART Design Contest • Launched www.mySIGG.com for users to post their water bottle designs online and visitors can vote for their favorite design • Advertised on an eco design blog, created online press releases and targeted social bookmarking sites • Attracted more than 12,000 visits from about 8,000 people that on average spent 17 minutes on the site
  • 12. Advanta’s IdeaBlob • Entrepreneurs and small business owners submit business ideas on www.ideablob.com • Based on votes from the online community, one idea every month wins $10,000 • Metrics include: –15% of these businesses are nonprofits –26% of ideas contribute to “social good” –45% of finalists are socially conscious –66% of winners are socially conscious – Approaching 100,000 users Why are Social Media Tools advantageous?
  • 13. Remember what it is… People, Planet, Profits