Whats Happening n Projects n http www greenpeace

What’s Happening? n Projects n http: //www. greenpeace. org/international/en/campaigns/climate- change/cool-it/ITs-carbon-footprint/Facebook/ n https: //www. youtube. com/watch? v=S 4 l. Ng. XQPy. Cg n https: //www. youtube. com/watch? v=VUYUv. Y 6 qu. E 0

Public Relations and Sponsorship Programs Chapter 10

Public Relations n To provide information to the public that reinforces a firms positioning and image. n Can be used to change the public’s perception of a firm. n This can be done internally or by an external firm.

FIGURE 13. 1 Public Relations Functions n n n Identify internal and external stakeholders Assess the corporate reputation Audit corporate social responsibility Create positive image-building activities Prevent or reduce image damage

Public Relations Tools n Newsletters n Media news releases - positive or negative n Websites n Special events – sometimes tied to a cause n Annual reports

Approaches to Public Relations n Altruistic activities e. g. internally geared approach n Cause-related marketing e. g. externally geared approach - charities, non-profit associations, etc.

Cause-Related Marketing This approach has many benefits: n Intangible elements – goodwill and top of mind n Increased business n Can create a favourable image of the business/firm n Can change consumers perceptions of the firm e. g. , Wal-Mart - sustainability consortium

Cause-Related Marketing n Consumer studies show that: n 78% of consumers are more likely to purchase a brand associated with a cause they care about. n 54% would be willing to pay more for a brand that is associated with a cause they care about – e. g. Fair trade coffee n 66% would switch to support a particular cause n 84% indicate that cause-related marketing creates a more positive image of a company. n One issue with this approach is that a cause liked by one – disliked by another

FIGURE 10. 3 Causes Consumers Prefer • Improve public schools (52%) • Dropout prevention (34%) • Scholarships (28%) • Clean-up environment (27%) • Community health education (25%) YWCA Web site: http: //www. ywca. org

Mc. Donald’s reminded the public of its support for the Olympics with a series of advertisements.

Green Marketing –a rallying cause? However consumers are not always willing to sacrifice: n n n Price Quality Convenience Availability and Performance to become “Green”

FIGURE 1 0. 2 - edited Examples of Socially Responsible/Irresponsible Activities Image Destroying Activities o Discrimination o Harassment o Pollution Image Building Activities o o o Misleading communications o Deceptive communications o Offensive communications o http: //shine. yahoo. com/workmoney/ford-apologizes-over-sexist-ads -using-cartoons-of-bound-and-gaggedwomen-142842233. html o Labour laws o o o Empowerment of employees. Charitable contributions Sponsoring local events Selling environmentally safe products Outplacement programs Support community events Combining cause-related marketing as primary strategy Dove

Offensive Communications - Ford

Offensive Communications - Ford

FIGURE 10. 7 Damage-Control Strategies o Proactive Strategies o o Entitling – claim responsibility for positive outcomes Enhancements – creating desirable outcome in public’s eye o Reactive Strategies o o Internet interventions Crisis management programs Apology Strategy Impression management techniques

Positive and Socially Responsible Marketing To maximize positive impact: n Identify areas where the firm can make a positive difference – http: //www. starbucks. com/aboutus/csr. asp n Make sure local/international media are aware. n Inform and involve employees. n Invest in advertising and public relations to highlight the firm’s efforts – more and more popular.

Public Relations Strengths Weaknesses o Reaching Elusive o Relative Loss of Control Audiences o Image and Reputation Management o Credibility o Relatively Low Cost o Measurement Difficulties (Effectiveness)