The Power of Cause Marketing: Surprising Statistics and Insights

The Power of Cause Marketing: Surprising Statistics and Insights

In today’s competitive market, offering a quality service or product is not enough to gain new customers. Marketing statistics prove that today’s consumers want to build a connection with their favorite selected brands. And what better way to connect with your audience than through a shared values around helping the greater good? That’s where cause marketing comes in.

Cause Marketing Explained

Connecting with a brand is not unlike connecting with a human. Think about the last time you made a new friend. That bond likely began when you recognized a shared interest. For-profit businesses mimic this bonding experience by adopting a cause to support and then rallying customers to unite in action for this chosen cause.

The secret to successful cause marketing is consistent and meaningful action to support the cause. A one-off fundraiser won’t be enough to take corporate social responsibility in the eye of the public. So, by partnering with a non-profit or steadily advocating for the common good, the “cause” becomes synonymous with the brand. In turn, consumers become loyal to the brand – and its advocacy.

Ultimately, cause marketing is a win-win situation. Both the for-profit business and non-profit cause earn increased brand awareness. And both usually build increased revenue streams.

How to Find the Right Cause for Your Brand

You have to be thoughtful when selecting the cause to support. You’re tying your brand to the cause, so consider advocacy that correlates with what you sell. This way, when you release cause-related marketing messages, it’s easy for your audience to recognize the value of the cause. Additionally, brands build trust and credibility with consumers when their services align with the cause.

For context, consider the following, if you sell a product that primarily benefits women, you may select a cause that supports women’s rights or advancement. On the other hand, if your product or service benefits kids, collaborate with a cause that also helps kids. When you consider whom you serve and what you offer, you can find a cause that naturally aligns with your purpose.

Dos and Don’ts in Cause Selection

  • Do specify one non-profit you will collaborate with to secure brand awareness for you and that cause. Specificity is more memorable than generically naming an advocacy effort. For example, consider the difference between saying you’re raising money for breast cancer research versus Susan G. Komen®. If you say breast cancer research, the call to action is more ambiguous. Where do they go to donate? How do they know their donation is going to a credible partner? If you specify your partner, these ambiguous questions disappear, freeing your consumers’ minds to focus on the good your brand is influencing.
  • Don’t follow the trends. If everyone is already supporting a cause, choose to be different. It will help you stand out with your cause-related marketing efforts.
  • Do consider your mission and staff culture when deciding what cause best aligns with your brand values. When you recognize your purpose, you can select a partner to enhance your efforts.
  • Don’t launch a marketing campaign without first testing your cause selection. Conduct a survey or focus group to see how your audience responds to your collaboration intentions. This will give your company time to work out any kinks in your marketing strategy before a campaign launches.Define what your primary message and call to action will be to engage consumers in your advocacy. Keep in mind your social responsibilities may have a financial obligation. So, if you will be committing a portion of the proceeds or donating inventory, explicitly state your intentions when you conduct marketing. Transparency will help you build trust with the audience and protect your bottom line by setting a financial limit.

Model Your Advocacy

It is essential that your business practices and the people you employ, especially the leadership, model actions that are consistent with your cause. For instance, if your company is going to be environmentally friendly, don’t just say so with advertising; use recycled materials to produce the product or packaging. Consumers are savvy; they know the difference between lip service and authenticity. And lip service can send sales spiraling in the wrong direction. Say it. Do it. Mean it. It’s that simple!

How Companies Can Utilize Cause Marketing

Cause marketing campaigns spotlight the non-profit and engage consumers in the advocacy. Generally, successful cause marketing campaigns go beyond asking for a donation or saying the company is donating. Instead, you want to find a hook that helps your consumer feel more engaged with your brand while supporting the shared cause through action.

Ideas for Your Cause Marketing Campaign

Buy One, Give One.The consumer is purchasing a valued product or service and putting good back into the world by ensuring the brand also donates the same product or service to the cause. With this strategy, the consumer knows their money is working double time.

A Portion of the Proceeds. It’s a simple and straightforward concept. First, the consumer buys the product or service you sell. Then, you commit to donating a portion of every sale to the cause.

Donate for a Discount. Encourage your audience to make a donation. Then, reward that action with a discount for your brand’s product or service.

Share the Message. Go further than just financial support. Share the message that influences social action. Write social media content that can educate your audience and encourage them to share it. Your consumers will be change agents for good while sharing a message tied to your brand identity.

Ten Most Important Cause Marketing Statistics

Marketing statistics demonstrate that cause marketing effectively enhances the bottom line and builds consumer loyalty. The ten following cause marketing statistics prove that you will be more successful if you adopt this marketing strategy.

Cause Marketing Statistic #1

According to 73% of respondents, company advocacy can increase both profits and community conditions. (Source)

Cause Marketing Statistic #2 When tested, purpose-driven ads were more effective two-thirds of the time. (Source)

Cause Marketing Statistic #3 Companies must positively impact society, according to 88% of survey respondents. (Source)

Cause Marketing Statistic #4 Consumers are 88% more likely to purchase products or services from a brand with a clear purpose. (Source)

Cause Marketing Statistic #5 Research indicates that 90% of Gen Z users expect brands to help with social and environmental issues. (Source)

Cause Marketing Statistic #6 Competitive advantage is associated with companies that lead with purpose, according to 89% of executives. (Source)

Cause Marketing Statistic #7 Companies that act with society’s best interests in mind build trust with 68% of consumers. (Source)

Cause Marketing Statistic #8 On average, consumers spend 25% more with brands they trust. (Source)

Cause Marketing Statistic #9 Brand authenticity is essential; according to 67% of consumers, transparent business practices prove authenticity. (Source)

Cause Marketing Statistic #10 Research indicates that 82% of consumers want a brand’s values to align with their own. (Source)

Top Tools to Help You Scale Your Cause Marketing Efforts

Those marketing statistics are compelling. So, now it’s time to take action. Roll out your cause marketing campaign with the help of these preferred business tools. 

  • DailyKarma – Take the guesswork out of building your cause marketing campaign. When you use DailyKarma to develop your marketing campaign, you will have access to curated content that’s simple to create, execute, and track. Learn how DailyKarma works.
  • SponsorUnited – If sponsorships are a cornerstone of your marketing strategy, especially in the sports and entertainment industry, then SponsorUnited can help you identify opportunities, build the framework, and monitor progress. Learn more about SportsUnited.
  • Neilsen Compass Planner – Good for any marketing planning, including cause marketing campaigns, the Nielsen Compass Planner helps companies make data-driven decisions to optimize media planning. With this tool, you can do more than benchmark and track; you can predict performance, which lets you maximize your media budget. Learn how Nielsen Compass Planner supports your marketing initiatives. 
  • Build a Brand that Makes an Impact

    With a partner like DailyKarma, you can kick off your cause marketing efforts with guided support and the tools you need to succeed. You’ll be positioned to thrive when you showcase how your brand’s purpose aligns with your audience’s passions. Book a demo or start your trial today to gain a competitive advantage in your market.

    It’s time to make the world a better place. And you’re primed to influence real change. Doing so will create a better tomorrow for future generations and increase your bottom line to ensure your brand stands the test of time.

    Go beyond product & price with purpose & impact.

    Turn the social causes you care about most, into engaging ecommerce experiences that deliver meaningful impact and measurable business results.

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