Corporations

"Cause-Related Marketing": Why Social Change and Corporate Profits Don’t Mix

In the 1980s, a new form of marketing was born: Cause-Related Marketing (CRM), a hybrid of product advertising and corporate public relations. CRM aims to link corporate identities with nonprofit organizations and good causes. As a tax-deductible expense for business, this form of brand leveraging seeks to connect with the consuming public beyond the traditional point of purchase and to form long-lasting and emotional ties with consumers. However, what might seem like a fair exchange between corporations in search of goodwill and non-profits in search of funds also raises a range of troubling social, political and ethical questions.

CRM is, first and foremost, a market-driven system. Therefore, a non-profit organization's chance of obtaining CRM funding hinges on its ability to complement sales messages. However, it is often the case that vital social issues are only -- or are best -- addressed by "edgy" groups or by using controversial tactics.

Wal-Mart's New Targets

Latinos, African-Americans, baby boomers, high-income and rural shoppers -- Wal-Mart wants you. Those are the key communities identified in a six-page document that outlines Wal-Mart's future marketing plans. The giant retailer is reviewing its marketing strategy, due to slow growth. The document asks advertising agencies to describe how they would handle Wal-Mart's $570 million account.

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Inspectors: British Nuclear Reactors Rotten to the Core?

Some British nuclear reactor cores contain serious cracks that could limit their continued operation and potentially lead to radioactive releases, according to newly released documents from the government's own nuclear inspectorate. The documents, which had been withheld from the public, were obtained by a group seeking to close one of the most controversial reactors, Hinkley Point B. That reactor has cracks at its graphite core that the owner, British Energy, has little information about and cannot further investigate without shutting down Hinkley and perhaps other similar reactors.

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A Real Life Advertising Creep

"Reality-based product placement" is here. The car maker Jaguar's new marketing strategy is to give "its high-end cars to jet-setters" in major cities, for free. In Manhattan, Nico Bossi and his Jaguar XK "show up at all the right places, such as ... hangouts in New York's trendy meatpacking district." According to the Wall Street Journal, "Many people ask about the car, but Mr. Bossi doesn't reveal his Jaguar deal. ...

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Keeping Media "On Track" with Audio News Releases

Old-timey radioKate Corcoran, an account executive at the New York-based PR firm Articulate Communications, told PR Week that one of the benefits of audio news releases that run to a 60-second script is control. "This allows the message to be delivered in the exact way the company chooses," she said.

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British Airways Grounds PR Manager

An investigation by the U.K. government's Office and Fair Trading and the U.S. Department of Justice into allegations of price-fixing in the airline industry has resulted in British Airways (BA) suspending its head of communications, Iain Burns.

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