cause marketing presentation
TRANSCRIPT
LifeBuoy’s Cause Marketing at ‘Thesgora Village’(Central
India)
Thesgora Village-A Brief Profile
•Thesgora Village is one hour drive from Chhindwara in Madhya
Pradesh
•Around 1500 people live on both sides of a single,straight road
& 4 kirana stores cater to the basic local needs
What is so bad for Thesgora Village?
•This village is having one of the highest rates of ‘Diarrhoea
among children worldwide’
•Normally 2 million children below 5 years die every year across
the world from diarrhoea & pneumonia but in Thesgora,36%of
children under 12 have been affected with the same
So what has changed for Thesgora Village?
LifeBuoy Initiatives at Thesgora Village
1)Once a week, a woman volunteer
accompanied by four young men
visit homes in the village & speaks
to families about the need to wash
their hands with soap on five
different occasions every day like
before eating & after using the toilet
2)HUL also conduct quizzes & hand
out stickers with caricatures of
Germs to all villagers
3)Gondappa Campaign
was launched in Thesgora village in
Madhya Pradesh to improve hygiene
standards of villagers
The campaign aims at educating the
villagers to wash their hands in order
to reduce the number of children
dying from infections such as
diarrhoea and pneumonia
HUL will track this campaign
through social media like You Tube &
HUL has reached 130 Million people
through this initiative & seeks to push
this number to 1 Billion by 2015
Significance of the
CampaignLifeBuoy Help a Child Reach 5This campaign has reached out to 180
Million people in 16 countries
The campaign was launched with an
award winning film
www.youtube.com/helpachildreach5 and
handwasing initiatives in Thesgora
Why Did
LifeBuoy go for
such a
Campaign
The Wall Street Journal Report
-1.7 million child deaths occurring in India
annually(almost 5,000 daily)
-diarrhea alone killed 13 percent of children under the
age of five.
-UNICEF estimates only 31 percent of children in India
have access to basic sanitation
Unilever, as part of its Sustainable Living Plan, has ramped up various campaign. A similar campaign was already
underway in sub-Saharan Africa and with 2 million children worldwide dying before the age of five from these
preventable diseases, Unilever seeks a greater impact in India as well with its “Help a Child Reach 5” initiative.
A simple act of hand washing can help erase a tragedy still affecting much of India’s poor. India’s government and NGO’s have made
impressive efforts in decreasing child mortality but in the past 10 years ,we have
witnessed a stall in key metrics such as child malnutrition and India’s poor children still suffer a stubbornly high mortality rate
Handwashing is one step towards preventable diseases such as
diarrhea and pneumonia.
Unilever’s involvement aims to reach
the objective of the United Nation’s
Millennium Development Goal
(MDG) 4, a global campaign to reduce
the deaths of the under-five mortality
rate by two-thirds between 1990 and
2015.
Last Year Lifebuoy sponsored
a handwashing campaign via
bread handed out during a
festival in northern India.
Campaign at Kumbh Mela
Campaign was done by Ogily Action
India
An important social message was
passed on to 2.5 million rotis eaten during
Kumbh Mela
The message was “LifeBuoy se Haath
Doya Kya”
“Banners and billboards also dispalyed
the question during the festival”
LifeBuoy’s Global Hand washing Day
-Started in 2008 to spread message about
importance of Hand Washing
-on Global Hand washing Day millions of
people will be reached in over 100 countries
through Hand Washing activities and media
campaigns.
Results of LifeBuoy
Campaigns
1)At Thesgora village,Diarrhoea levels from
36% to 5 % since the Hand Washing
program was launched in 2012
2)There has been a positive impact on the
brand as well
Ex:Mr.Gyanchand Sahu,who owns the
largest kirana stores in Thesgora Village
says he sells 4 boxes (320 units) of
LifeBuoy every month. Last year this kirana
stores sold 40 units a month
On 19.03.2014,Kajol Devgan, actor and hand
washing ambassador revealed the results and
Sanjiv Mehta, CEO and MD, Hindustan
Unilever Limited announced the campaign
will scale up to reach 45 million people in
India.
What did Kajol say?
“My journey with ‘Help A Child Reach Five’ started last
year as we began with spreading awareness. I advocated
for hand washing with soap with the UN Secretary
General ‘Ban Ki-moon’ and other policymakers at the
UN General Assembly, and on Indian TV and digital
media. The outstanding results of ‘Help A Child Reach
5’ campaign in Thesgora gives us even more confidence
that children can survive by inculcating the simple habit
of hand washing with soap”.
World of Cause
Marketing(CRM)
Indian companies are finding that promoting a strong social message such as sanitation,nutrition,education or women's empowerment helps their own business Fortunes
CRM initiative by American Express
-CRM was first introduced in 1983 in connection with American Express initiative
-Over a three month period,Amex set aside 1% from every card transaction & $1 every time someone applied for anew card. This money was donated to The Statue of Liberty Restoration Project.
-By the time the campaign ended, the restoration fund was richer by $1.7 million & Amex’s usage was up 27% there was a 175 increase in new users
Given comparable quality & price, a compelling 91% of consumers around the world are likely to switch brands to one associated with a good cause(2013 study by Cone Communications)
Half of consumers world wide would be willing to reward companies that give back to society by paying more for their goods & services(Nielson study in 2013)
Globally, cause-
related
marketing spend
crossed $1.78
Billion in 2013
& is projected
to hit $1.84
Billion in 2014
Distinction between CRM & CSR
CRM activity is done with an eye on the bottomline while CSR is purely philanthropic
Handouts to NGO’s are donations & grants under CSR, but they are expenses under CRM
CSR has always remained a marginal pursuit for companies & was restricted to a small
mention in the Company’s annual report, but CRM on the contrary has taken off in a
bigger way as brands see an opportunity in linking themselves to social causes
It is the company &
not the consumer
that bears the cost
of the cause,
although the
unspoken
assumption is that
the cause will attract
more customers &
higher sales will
offset the hit on
margins
Tata Tea’s ‘Jaago Re’ Campaign
Tata Tea Brand stated in the year 1983
The Campaign ‘Jaago Re’ started in the
year 2007 that triggered explosive growth
in sales
This Campaign took up social activism
allowing the company to connect with
issues such as voter registration,
corruption & women’s rights
Tata Tea has spent over Rs.100 Cores
for Jago Re Campaign & another Rs.75
Crores on brand communications
Tata Global has several tea brands
including Gold, Chakra Gold, Agni &
Kannan Devan & the campaign brought
all the brands under one umbrella
Tata Global accounts for
22 % of the Rs.12000 Crore
branded tea market ahead of
HUL’s19.6%
Before the campaign
launch, in 2007,HUL was
the market leader with
21.5% while Tata Global
was the No.2 player with
18.7% market shareHow did ‘CRM’ Campaign help Tata Tea?
Tata Tea points out the two factors that determine the
success of a CRM campaign;
1)Choice of cause
2)Duration of the association
For the past 7 years the brand has stayed true to its “Jago
Re” tagline
Coca Cola 5by20 Initiative
This initiative by Coca Cola aims to
economically empower “5 million women
entrepreneurs by 2020”
What does Coca Cola do?
Coca Cola reaches around 2.2. million of the 8.5 million FMCG Outlets in India. The initiative aims at ‘supply of its soft drinks to the
rural women having small shops who in turn sell to consumers ’
One of the most important hurdles that the company faces is power shortage in village outlets.So,in order to cater to this need Coke has
come out with eKOcool(solar operated cooer)that cost Rs.35000 which it distributes to selected rural women who in turn sell soft
drinks from their small village stores
Coca Cola has implemented this initiative in one of the village called Firozpur Jhirka in Haryana.Firozpur Jhirkawas the perfect target for Coke because it never has more
than 5 hours of power a day
This initiative has given the residents of Firozpur Jhirkavillagers a profitable business
Ex:Chand Begum(who owns small store)tells that she is able to sell atleat one crate of 24 bottles every day .So far
she has earned around Rs.55,000
Coca Cola has supplied over 1,000 coolers across West
Bengal,Andhra Pradesh,UttarPradesh,,Haryana & has seen a
5 fold increase in sales from these markets
Coke plans to cross 5000 coolers in the next 3-4 years
Causes involving women & children are popular with most consumer products companies because women account for 75-85% of all purchase
decisions.
Reaching out in positive ways to this influential group through issues that resonate with them personally or with their families always works
From the time 5by20 was rolled out in September 2010,it has
already benefited 30,000 women in India, Nepal & Srilanka of
which 20,000 are from India alone
Globally by end 2013,Coca Cola had empowered 5,50,000
women
‘Preeti Gupta’ from Agra who is one of the women benefitted by Coca Cola 5by20Initiative
‘Adebisi Adebayo’, 5by20 entrepreneur and
operator of a Model Distribution Centre
(MDC) in Lagos, Nigeria
Horlicks
Ahaar
Abhiyan
Initiative
Glaxo Smithline which owns the brand Horlicks started
Horlicks Ahaar Abhiyan initiative in 2012 in West
Bengal
What is this initiative?
oEach time a consumer buys a Horlicks bottle priced at
over Rs.100,the company contributes Rs.1 towards
tackling child malnutrition .The brand has extended the
initiative to Tamil Nadu & between the states
oThe brand claims to have impacted the lives of nearly
18000 children having raised Rs.1.4 Crores for the cause
oGSKworks with two NGO’s (1)Care India &
(2)Save the children for the deployment of funds
Pilot Study by GSK
before launching the Initiative
GSK conducted a pilot study in over 11000
general stores in West Bengal in addition to 12
Hyper stores in Kolkata, There was a 14% lift
in sales in the State
The cholice of State like West Bengal & Tsmi
Nadu was deliberate because these two states
are among the Horlicks biggest markets
contributing over 75%market share.Horlicks
share of the Rs.4500 crore malted food drink
market has grown from 59% in 2008 to 64%in
2013
GSK has roped in
‘Vidya Balan’ for
promoting this Initiative
Google India
Initiative
• Google India in November 2013 launched the ‘Helping Women Get Online Project’ in Bhilwara,Rajasthan. The initiative works with ‘Sewa Kendras’ to teach young girls& women in the 13-18 year age group who have smartphones the basics of using the internet for information& entertainment
• Google India has found that combining women empowerment &its core business of the internet is a winning proposition
• There are 2 million households in India with internet connections that women has never used
• Nearly 1,10,000 women in Bhilwara have already become internet-savvy as a result of this initiative
• Over the next 3-4 months Google India plans to enter Maharashtra,TamilNadu & Uttar Pradesh for promoting this campaign
•‘Helping Women Get Online Project is the biggest marketing outreach
programme undertaken by Google India so far
•There is very high probability that users will adopt its multiple services
such as email,search engine,browser,You Tube etc. Getting people
online means capturing the users profile which Google India can use to
pitch various advertisements. There are 140 million smartphone users in
India & the number is increasing day by day
Procter & Gamble
Initiative
P&G launched the ‘Project Siksha’ in 2005
The project has raised over Rs.22 Crore for the
cause reaching almost 3,00,000 children &has
been involved in building & supporting 140
schools across the country
This project is handled by CRY(NGO)
Objective of the Project
1)To help P&G meet volume targets via “the cause
appealing to consumers”
2)To make tangible difference by educating the
underprivileged children
The campaign works like “each time you buy
a P&G product, you help support one day’s
education of one child”
Results of the Campaign
Overall sales increased 5 times
Brief Profile about Shiksha
Launched in 2005 due to the research conducted
by P&G which revealed education as the one
cause that consumers are most concerned about
and are looking for a simple way to contribute to.
P&G helps consumers to contribute towards the
cause of education of under-privileged children
through simple brand choices
Till date Shiksha has helped 2,80,000 under-
privileged Children
The program has built & supported over 140
schools across India, in partnership with NGOs
like Round Table India (RTI), Save the Children
(STC), Army Wives Welfare Association (AWWA)
and Navy Wives Welfare Association (NWWA),
amongst others
P&G has contributed Rs.22 Crore towards
children’s education through the fund collected
from P&G Products purchased by consumers for
one quarter of the year
Aviva India Insurance Company
Initiative
• In 2008 the company launched “Street to School” Initiative which helps children get off the streets by giving them an education & training
• The thought behind this Global Programme is “Education is Insurance”
• In India the company has partnered with CRY & Save the Children to facilitate education for underprivileged children & has increased its spend on the programme to almost 25% of overall marketing spend
• Aviva India selected Education” as an effective CRM subject
• Aviva India Insurance was a mid-sized player & wanted to be in a niche segment. The child space looked interesting since no company was targeting young parents
• Presently, Child related proposition brings in over half our sales from 15-20% in 2008
Aviva India Insurance
Company Vision
To reach out to 5,00,000
children in several countries
Aviva India Insurance also celebrates “International
Day for Street Children” which was launched in 2011
The campaign aims to have the day recognized by
the UN – this will give the issue greater exposure and
encourage governments to act
The idea is simple – every child should have access
to education, because education is insurance for a
better life. Street to School is active in every country
where we operate
Aviva-Railway Children(Partnership in UK
-In the UK, a child runs away from home every five
minutes. In order to tackle this, Aviva partnered with
Railway Children(International Children’s charity
organization ) in UK to spread awareness on this
issue.
Aviva-railway Children set up a dedicated online space
platform in 2013. This online platform helped parents
to find out more about the reasons why children
sometimes run away from home. In March, the
campaign received a boost when “Samantha
Cameron”, wife of the UK’s prime minister, hosted a
reception at 10 Downing Street to raise awareness
about the issue. The site included expert tips about
how to talk to children, and how to spot and deal with
the early signs of a problem.
During the campaign Aviva helped to raise more
than £195,000 to support Railway Children
Marico Initiative
oEven Marico also has focused on
education sector. For the past 2
years Marico has run a CRM
Campaign for its “Nihar Naturals
Shanti Amla” brand of Hair Oil
o2% of the sales proceeds from
Nihar Naturals Shanti Amla brand
go towards funding the education
of under-privileged children
•All advertising & communication for
the brand focuses on the initiative-
Brand ambassador ‘Vidya Balan’s’ TV
Commercials speak of the social cause
•Over 36,000 children in 10 states
benefitted in the firt year of the
programme & the aim is to reach a total
of 50,000 children by June 2015
CRM initiative results of
Marico
From a 112 Crore brand in FY
12,Nihar Naturals Shanti Amla
has grown to Rs.185 Crore Brand
& has a sales of Rs.252 Crore in
FY 14
The Brand currently has a
30%volume share of the Rs.1320
Crore amla hair oil market up
from 18.6% in 2012 & 25.4% in
2013 which is faster than the 7%
growth registered by the category
as a whole
Tom Shoes(USA)Initiative
• Tom Shoes promised to donate one pair of shoes to a poor child for every pair bought by customers.
• In the past 7-8 years the company has given away more than 10 million shoes
• The company has also expanded its One for One Programme to include the company’s new line of products,i.e,eye wear(restoring sight to over 200000 people) & coffee(donating a week of clean water for every bag of coffee purchased by consumers
Aircel
Initiative
oAircell decided to go national in 2008 when it
took the CRM Initiative to increase the Brand
recall & association in markets dominated by
large players such as Airtel,Vodafone & Idea by
introducing ‘Save our Tigers Campaign’
‘Mahendra Singh Dhoni’ was signed as the Brand
ambassador.The campaign created the following;
1)The Tiger campaign helped Aircel to get noticed & to
eventually create a seriesof on-ground activities such as
contests & merchandise
2)A tie-up with NDTV involving celebrities such as Amitabh
Bachchan & raising Rs.11 Crores from donors such as
Hemandra Kothari,Uday Kotak,Ambitabh Bachchan as well
as companies such as Mahindra,TCS & Shell India
3)Everyone involved in this campaign helped raise the
awareness that there are just 1,411 Tigers left in India
How did this Campaign help Aircel?
•This campaign helped raise awareness
of Brand Aircel & its subscriber base
grew from 16 million in December 2008
to 72 million currently making it the
sixth largest cellular operator in India
The Tiger Campaign is
stepping in its 3rd season
MakeMyTrip Initiative
MakeMyTrip started its CRM Initiative
2010.The company started the
“Responsible Traveler initiative” to sensitize Indian travelers to the ecological impact of Company’s activities
The company calculates the carbon footprint for each trip on the payments page
&offers travelers the opportunity to offset it by making a donation starting
at Rs.44 for domestic flights & Rs.220 for international
flights to plant trees
The afforestation
activity is conducted
by ‘Seva Mandir’
through the
‘GiveIndia’ donation
platform &
MakeMyTrip sends
email updates to the
donors on the status of
plantation
Above Table shows the
number of Trees planted by
‘Seva Mandir’ in Rajasthan
under MakeMyTrip initiative
Some views on CRM
CRM is almost & usually
proves a win-win for
involved.Companies reach out
to customers who are happy to
have participated in doing good
& the cause is itself benefitted
There is also scepticism about
the company’s
motives(especially when the
cause isn’t related to the
Brand’s main line of
business),so the campaign
runs the brisk of being
dismissed as a gimmick
Ex: A decade ago,HUL &
Colgate-Palmolive came
together to partner with the
Kerala Government for a
Hand Washing promotion
“Health in your Hands”
similar to LifeBuoy campaign
of washing hands. There was
so much resistance to the idea
that Kerala which has some of
the best health indicators in
India needed such a
programme that the State
Govt.ultimately backed out
after a couple of years
For companies to prove their
sincerity there is a need to take a
long-term view on cause related
marketing projects
The Rs.1 or Rs.2 that a firm
contributes for a cause will have
to give incremental returns for the
brand
Anup George Rebello
Asst.Manager
The Catholic Syrian Bank Ltd