Despite what the pundits may say, few of us are really certain what 2010 will bring – will the economy bounce back or get worse? Will nonprofits survive or fold under the fundraising pressure? Will the environmentally conscious lifestyle continue to resonate? So instead of predicting the future, we’d like to pause and look back at what has occurred in our portfolio of research – these highlights show powerful growth in just a couple of years for cause-related and corporate responsibility initiatives and may signal a positive outlook for the year ahead.

Cause Research:
Growth in Cause Acceptance: Americans’ acceptance of cause marketing increased from 66% in 1993 to 85% in 2008.
Growth in Global Focus: Since 1993, there has been a 6% decrease in consumers indicating they want companies to focus on the quality of life locally, within local communities and a 5% increase in desire for companies to support the quality of life globally, in countries around the world.
Growth in Differentiation: Americans' likeliness to switch to brands associated with a cause increased from 66% in 1993 to 79% in 2008.
Growth in Purchase: Consumers’ cause purchases almost doubled between 1993 and 2008, rising from 20% to 38%.

Environmental Research:
More Interest: 35% of Americans have greater interest in the environment today than they did one year ago.
Higher Expectations: 35% of Americans have higher expectations for companies to make and sell environmentally responsible products and services during the economic downturn.
They’re Watching You: 70% of Americans indicate they are paying attention to what companies are doing with regard to the environment today, even if they cannot buy until the future.

New Media Research:
More Interaction: 78% of new media users now interact with companies or brands via new media sites and tools, an increase of 32% from 2008.
Better Service: 68% feel better served by companies or brands present in new media, up from 57% in 2008.
Stronger Loyalty: 72% feel a stronger connection when companies or brands are present in new media, up from 56% in 2008.
Marketing is Okay: Consumer willingness to be marketed to via new media increased a dramatic 72% in one year - from 25% to 48%.

If the past year is any indication of what the year ahead holds, bring it on! As you plan for 2010, what questions do you have? What are you curious about? We’re listening to your comments - please share your outlook below.

Comments

Gina Davison	January 8, 2010 2:30 PM "Growth in Purchase: Consumers’ cause purchases almost doubled between 1993 and 2008, rising from 20% to 38%." I wonder if part of this is simply because there is an increase in the availability of cause products? Are these purchases that consumers would be making anyway due to previous brand loyalties, but are now considered "cause purchases?" Is that a relevant factor, or was it considered in the research?
Casey Brennan	January 8, 2010 2:38 PM Hi Gina- Great thought! There is definitely a wider availablility of cause products in the marketplace, but I may also attribute the growth to consumers being more aware that their purchase will support a cause, as opposed to passive engagement. For example, a consumer may not be aware that XX cents will be donated to a cause for every purchase, but if there is a point of activation, i.e. register your code online, mail your label, etc., they are more aware of the cause association. What do others think? Casey Brennan Insights Coordinator Cone
Theresa Downing	January 8, 2010 3:04 PM I think the increase in cause purchases is related to the increase in promoting causes and charitable organizations through the Internet and social media. As someone who has worked in the nonprofit industry, I’d be interested in seeing some demographics about the percentage of people who donate money or buy cause products online.
Joe Waters	January 8, 2010 3:17 PM I see both as contributing factors. Consumers are much more aware of cause products and their presence in the marketplace. Hence they know they have a choice on some items. Like looking for a new coffee mug at Starbucks and seeing the RED mugs that help fight AIDS in Africa. You have a choice. But the increase cause purchasing is also connected to the shear volume of cause products. Even when we are buying some of our most common items (bread, yogurt, soup) people are supporting great causes whether they know it or not. I guess like advertising, half of every cause marketing program goes unnoticed. We just don't know which half. Joe Waters Selfishgiving.com
Gina Davison	January 8, 2010 3:21 PM Thanks, Casey. I'd be interested to see research on the rate-of-return of points of activation, and which demographics are more likely to follow through post-purchase. I know for example, "Box Tops for Education" does incredibly well, as does the "Save Lids to Save Lives." Anyway, great blog post... very excited about the New Media information!
Casey Brennan	January 8, 2010 3:32 PM Hi Theresa- Good point. We did a bit of research into consumer's engagement with causes online as part of our 2009 Cone Consumer New Media Study. (here new media includes social media) We found: 60% have used some form of online or new media to support a cause, primarily through email (33%), Web sites (29%) and social networks (27%) Only 18% have made a donation via new media 23% made a cause-related purchase Though cash contributions are low, most people (79%) believe companies and nonprofits should use these channels to raise money and awareness for causes - so it shows potential, especially for awareness-building. As consumers become more comfortable with causes online, the donations are likely to follow suit. More on this study here: http://www.coneinc.com/content2623 Full release and fact sheet: http://www.coneinc.com/news/request.php?id=2614 Casey Brennan Insights Coordinator Cone
Holt Murray	January 8, 2010 3:40 PM I'd say greater media, especially social media combined with the increase in cause-related products accounts for the increase; that point basically echoes the previous comments I realize. However, I have an analytical concern: we're comparing 1993 to 2008. While I like the fact that all cause marketing purchase-trend have grown, I personally wonder if they haven't grown enough. I don't know the numbers, but I don't think anyone would dispute the idea that cause related products from 1993 to 2008 have greatly more than doubled. I'd hazard a guess cause products have increased by seven- to ten-fold. I'd say the intuitive question is not whether the increase is due to more products, because from 1993 to 2008 it'd be tilting at windmills to argue against that, but why is the posiutive growth so correspondingly slow? Where is the over-saturation point? (Logically, I guess there could never be one, following from the idea that if 100% of the products were cause related, 100% of the purchases would be so) Do we need some more ideas for Cause Marketing to engage the people that are otherwise blind or indifferent to cause-related choices?
Casey Brennan	January 8, 2010 3:50 PM Joe - As always, thanks for your comments! You're certainly right, at times causes are being supported but the consumer is unaware - I see that as brands missing out on a reputation-building opportunity. However, to avoid "cause-fatigue" this must be approached creatively. Gina- Both Box Tops for Education and Save Lids to Save Lives have been gold-standard cause programs, and Cone has been lucky to work with both! To my knowledge, Box Tops has raised $200 million since 1996 and at the ten year mark of the program, Yoplait had donated $19 million to the breast cancer cause. Amazing! Holt- Interesting point. Since the data was self-reported cause purchases made by consumers, it goes back to my earlier point of consumers being aware that their purchase supports a cause. It's all about breaking through. -Casey

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