Marketing for change - Giving brands a soul

Is it possible to avoid becoming flavour of the month and then being dismissed by bored consumers as a marketing gimmick? Saatchi & Saatchi Cause Connection offers a different twist: corporates should be taking the long view and lending substance and ‘soul’ to their brands by effective thought-through charity link-ups. Cause-related marketing or CRM, as it is known, has been familiar to American consumers for a number of years, whereas it has only really become topical in Britain since 1996. In some cases this might mean taking on an issue, but in Britain, where the voluntary/charity sector has a long tradition of delivering services, promoting awareness and is highly professional, there is a real role for advertising to play in communicating social responsibility in conjunction with a charity. This paper provides a potted history of the anti-racist and anti-nuclear campaigns, challenges the current emphasis on ‘discretion’ in corporate giving and outlines a simple checklist for undertaking a relationship.     

Blurred vision: public trust in charities

Recent evidence that people's trust in charities is low holds serious implications for a sector that needs high levels of public confidence and support to thrive. This paper reports on qualitative focus group research initiated by the Third Sector Foresight Consortium on Trust, set up by the National Council for Voluntary Organisations (NCVO) and the Henley Centre. Strong negative views about fundraising and marketing strategies, ‘fat cat’ salaries and fraud are only partially offset by favourable opinions of the aims and role of charities in society. There appears to be a ‘blurring’ of the voluntary sector's identity and boundaries in the public mind, with overlaps with the state and business sector threatening to obscure the distinctive character of charity and widespread suspicion of the abuse of charitable status. A consequent demand for greater openness and accountability focuses on information about charity finances and performance measurement. Suggestions for further research and strategies for the charity sector to respond to the findings conclude the paper. Copyright © 1999 Henry Stewart Publications     

Charity shops in sectoral contexts: the view from the boardroom

Charity shops seem inherently contradictory in many ways. This paper unravels some of the contradictions by analysing charity shops in their ‘sectoral contexts’. First it puts forward different meanings of ‘sector’ and introduces notions of ‘sector values’. Then it presents results from empirical research into UK charity shop organisations, to show how senior managers of charity shop chains deal with ‘sectoral contradictions’. Finally, it asks how the sectoral contexts influence the management philosophies and marketing strategies (in the broadest sense) of these senior managers. Copyright © 2000 Henry Stewart Publications     

Do UK charities have a lot to learn?

This article discusses the key findings of some recent research carried out into the application of market segmentation in the UK charity sector. 410 of the top performing charities (as ranked by income from voluntary donations) were surveyed to profile their major donor groups. Respondents were also asked to indicate how this data was used for fund-raising purposes both in terms of new donor recruitment and existing donor development. The findings show that with the exception of a very few large organizations, the UK charity sector still has much room for improving the sophistication of its fund-raising techniques.     

Philanthropy,social capital or strategic alliance? The involvement of senior UK business executives with the voluntary sector and implications for corporate fundraising

Although corporate fundraising is popular there has been very little discussion in the voluntary sector literature of its context. Using questionnaire data from senior executives representing one‐third of the FTSE350 companies, and in‐depth interviews with a number of top level business men, this paper reports the first UK survey of the personal involvement of senior executives with charities, voluntary and community organisations,[Walker, C. and Pharoah, C. (2000) ‘Making time for charity: A survey of top business leaders' involvement with voluntary organisations’, Charities Aid Foundation, Kent.] and pinpoints messages about corporate involvement which may help fundraisers develop corporate fundraising strategies. The data give the first indications of how many of the UK's top business executives give time to charity, how much time they give and what they do. It also addresses what there is to gain for and from the charity, the senior executive and their company. The results present a picture of widespread and enthusiastic involvement of senior executives with the voluntary sector; a picture of both a deep personal commitment and of a strong sense of corporate benefit. The survey also raises several important issues and implications for corporate fundraising: should charities be doing more to attract top executives into an active relationship with them? How can they do this? What are the pros and cons of an alliance between corporate figureheads and charitable organisations; how might this relationship be viewed by the public; and how might it best be managed? This paper draws on the results of the survey to illustrate and discuss these issues. Copyright © 2002 Henry Stewart Publications     

Charity shops as second‐hand markets

This paper considers several implications of the fact that charity shops are part of the wider class of second‐hand markets. This approach attempts to complement research on other features of charity shops like the distinctive nature of voluntary work and the identities of charity shop consumers. It is argued that the functioning of second‐hand markets highlights some limitations in traditional models of consumer behaviour. This gives charity shops (and second‐hand markets in general) an important role in developing more effective theories of consumption. At the same time, there are more practical reasons for being aware of the limitations of existing theories. In particular, marketing for charity shops will be ineffective if their functions are misunderstood. The paper also illustrates how these theoretical insights have practical implications. Copyright © 2000 Henry Stewart Publications     

Missing a strategic marketing trick? The use of online social networks by UK charities

• This paper explores the use of online social networks in the charity sector. Twelve major UK charities from a range of sectors and three digital marketing agencies were selected to provide rich interview data on the current adoption of online social networks by UK charities. The empirical findings illustrate the diverse drivers in adopting online social networks including regaining control of a brand, external pressures and gaining new audiences. Levels of usage differed significantly and the resistors consistently cited were the lack of skills and resources. The strategic marketing implications for the development of online social networks are also outlined for the UK charity market. The value provided by this paper stems from exploring the organisational perspective rather than the consumer experience of contributing to social networks, within a context which is often overlooked, the charity sector.

Copyright © 2012 John Wiley & Sons, Ltd.     

Charity law reform: implementing the Strategy Unit proposals

This paper discusses the recommendations arising from the Strategy Unit review of charities and the wider voluntary sector in England and Wales and the government's response to these. The proposed reforms will involve an updating of charity law; changes to the regulatory framework governing the sector; and a greater emphasis on improving the accountability, transparency and performance of charities and voluntary organisations. In the main these proposals have been welcomed by the sector. In particular there is a clear recognition of the need to modernise the legal position of charities to reflect changes in society and changing public perceptions of what is, or should be, charitable. Copyright © 2004 Henry Stewart Publications     

Perceived value of corporate donations: an empirical investigation

• There is current recognition that value is the fundamental basis for all marketing activities. The present research provides an empirical examination of perceptions of value within the voluntary sector and specifically donations made by organisations towards the funding of charitable projects. The impact of a number of charity and project‐related variables on the formation of value and the corresponding effect of value on satisfaction and behavioural variables are examined.
• The results support claims that past experience with and information about a charity as well as information about a specific project are significant determinants of value. However, the impact of these constructs is differential between the two components of value (i.e. get/benefits and give/sacrifices). We confirm the significant effect of value on satisfaction and indicate that satisfaction and benefits derived from a donation have a direct impact on behavioural intention.

Copyright © 2008 John Wiley & Sons, Ltd.     

Charity shops on the high street: complementarity or unwanted neighbour?

Within the last ten years there has been substantial growth of the charity retailing sector. This increased retail presence and sophistication of marketing practices have led to the contention by mainstream retailers that charity shops, which enjoy specific fiscal arrangements, have an unfair competitive advantage. Utilising evidence from a range of town centre locations, this paper examines whether this allegation can be substantiated. Three sources of primary research are used: the profile of charity shops within a town centre context; the attitudes and perceptions of mainstream retailers and their organisational bodies; and finally, the perspective of town centre managers towards charity retailing. Analysis and subsequent discussion suggests that charity retailers can perform a complementary role within town centres, thus reducing the potential of conflict with mainstream retailing. Copyright © 2000 Henry Stewart Publications     

Positioning and its strategic relevance

Abstract

Contemporary non-profit strategic management/marketing literature suggests that non-profit organizations, including charities, adopt positioning strategies to differentiate themselves in increasingly competitive operating environments. However, the extant literature lacks adequate theoretical/conceptual frameworks and empirical studies to guide research and inform charity management practice. As part of an on-going study in strategic positioning in British charitable organizations, this article presents the key findings of an exploratory survey into the extent of positioning activities in a sample of general welfare and social care charities within the wider voluntary sector in the UK. The empirical findings reveal that charitable organizations undertake positioning activities extensively in their organizations. However, these activities appear to be more complex than those advocated in contemporary non-profit management/marketing literature. The article highlights five emerging themes that could have major implications for research and practice of strategic positioning in charities in specific, and in voluntary-sector organizations in general.     

Direct marketing managers in UK charitable organisations

Although the charity sector is one of the United Kingdom's biggest users of direct marketing, little is known about the characteristics of the people who manage direct marketing within charities. This paper presents the results of a survey of 115 direct marketing managers in the UK's largest fundraising charitable organisations; focusing on their experience, motivation, training and educational backgrounds. The degrees to which respondents' employing organisations placed a high value on the marketing function and the extents to which various categories of direct marketing manager possessed wide-ranging general managerial competencies were also examined. There was little evidence of the ‘hybridisation’ of direct marketing specialists. Rather, individuals exhibiting hybrid manager attributes were sometimes put in charge of direct marketing.     

The UK's Legacy Promotion Campaign: a review after nearly two years of public influence

• Launched in October 2002, uniquely the Legacy Promotion Campaign has brought together over 100 charities in a common cause. Donations in wills provide approximately a third of all voluntary income, but relatively few charity supporters take this step. Using a combination of advertising, direct marketing and press activity, the Campaign seeks to increase the level of giving, making it normal behaviour, rather than the exception. Focusing on both the public and professional audiences the Campaign is already shifting opinions and laying the groundwork for a long-term increase in voluntary income.

Copyright © 2005 John Wiley & Sons, Ltd.     

Brand orientation in the charity sector: a framework for discussion and research

Some charity organisations are turning to charity brand status, not only in terms of a name and logo but more importantly in terms of communicating value and meaning to their stakeholders. Brand orientation is described in this paper as the extent to which charity organisations regard themselves as brands, an indication of how much (or how little) organisations accept the theory and practice of branding. Through literature‐based and field‐based research, this paper examines the nature of brand orientation in the charity sector. A conceptual framework of brand orientation is proposed with antecedent factors which may augment or diminish levels of brand orientation and consequences which may follow its adoption. A number of research propositions are put forward which constitute both a framework for discussion and a research agenda for the charity sector. Copyright © 2001 Henry Stewart Publications     

Developing a marketing database in the voluntary sector

This paper explores the key issues that need to be addressed in the development and implementation of a marketing database in the voluntary sector.     

How responsive are charities to market needs?

Voluntary organisations have a unique set of stakeholders. Their services are paid for, not by their customers, but by ‘purchasers’ such as social services or grant-making trusts. This separation of customers from purchasers denies voluntary organisations a direct market mechanism for feedback on their services. As a result, charities are in danger of providing outdated poor-quality services for years, while convincing purchasers that they are still doing a good job. This paper examines the extent to which voluntary organisations do in fact respond to market needs, despite their undemanding environment. The paper draws on research from 15 national disability charities to explore the extent to which charities are market orientated, and to identify examples of best practice in the field. The paper concludes by identifying the critical role played by charity chief executives in urging their own organisations to adopt marketing principles. Copyright © 1999 Henry Stewart Publications     

What are ‘unpopular causes’ and how can they achieve fundraising success?

• Recent efforts to grow and strengthen the culture of philanthropy in the UK have largely focused on two dimensions: the total amount of money donated and the effectiveness of philanthropic spending. This paper explores a third dimension: the destination and distribution of donations. A defining characteristic of charitable giving is that it is voluntary rather than coerced, and the resulting respect for donor autonomy makes people wary of promoting one cause above another or implying that any beneficiary group is more or less ‘worthy’ of support. However, the absence of much comment on, or significant research into, the destination of donations does not alter the fact that some groups succeed in attracting significant philanthropic funds whilst others struggle to secure many—or any—donations. This paper explores the concept of ‘unpopularity’ in the charity sector, especially in relation to its impact on fundraising. We unpack what this loaded phrase means, identify good practice by those seeking support and present case studies of charities that have overcome perceived unpopularity to achieve success in raising voluntary income. We suggest that by investing organisational resources and effort in fundraising, by framing the cause to maximise the arousal of sympathy and minimise concerns about beneficiary culpability and by avoiding the unintended negative consequences of self‐labelling as ‘unpopular’ no charity need assume it is their destiny to languish at the bottom of the fundraising league tables.

Copyright © 2016 John Wiley & Sons, Ltd.     

Market segmentation - are UK charities making the most of the potential?

This paper discusses the findings of research carried out into the application of market segmentation in the charity sector. Four hundred and ten of the top performing charities (as ranked by income from voluntary donations) were surveyed to determine what techniques of segmentation they apply to their database. They were also asked to indicate how this information is used to inform and determine appropriate fundraising strategies. The findings show that with the exception of a few large organisations, the concept of market segmentation is as yet not utilised to its full potential in the development of successful fundraising strategy.     

Response or responsibility? The future for charity direct communications

Over the last decade, larger charities have adopted the techniques of direct marketing to considerable effect. However, the perceptions of direct marketing within the charity sector as a whole are not always positive. Fundraising activities are focused increasingly on those segments of the population that are most responsive and likely to commit to regular giving programmes. This has resulted in the concentration on one demographic segment, at the expense of the potential of others.