research on cause related marketing

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A Study On The Increased Competitive Advantage By The Use Of Social Cause Related Marketing Submitted in partial fulfillment of the requirements for the award of the Degree of Bachelor of Business Administration of Christ University By Reg. No. Under the guidance of Prof. Department of Management Studies CHRIST UNIVERSITY BENGALURU 2015 CERTIFICATE

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impact of cause related marketing on company performance

Transcript of research on cause related marketing

  • A Study On The Increased Competitive Advantage By The

    Use Of Social Cause Related Marketing

    Submitted in partial fulfillment of the requirements for the award

    of the

    Degree of Bachelor of Business Administration

    of Christ University

    By

    Reg. No.

    Under the guidance of

    Prof.

    Department of Management Studies CHRIST UNIVERSITY

    BENGALURU 2015

    CERTIFICATE

  • This is to certify that, Reg. no. is a bonafide student of Bachelor

    of Business Administration of Christ University, Bengaluru and

    she has prepared and submitted the project report, titled A

    study on the increased competitive advantage by the use of

    Social Cause Related Marketing in partial fulfillment of the

    requirements for the award of the Degree of Bachelor of

    Business Administration of Christ University, Bengaluru, for

    the academic year 2014-2015.

    Place: Bengaluru Dr. Jain Mathew Professor and Head

    Date: Dept of Management Studies

    CERTIFICATE

  • This is to certify that the project report, titled A study on the

    increased competitive advantage by the use of Social Cause

    Related Marketing submitted to Christ University, in partial

    fulfillment of the requirements for the award of the Degree of

    Bachelor of Business Administration, is a record of original

    research work done by during the period 2014 2015 in the

    Department of Management Studies at Christ University,

    Bengaluru, under my supervision and guidance. The project report

    has not formed the basis for the award of any Degree/ Diploma/

    Associate ship/ Fellowship or other similar title of recognition to

    any candidate of any University.

    Date: Prof. Sriram M.

    DECLARATION

  • I, , hereby declare that the project report, titled A study on the

    increased competitive advantage by the use of Social Cause

    Related Marketing submitted to Christ University, in partial

    fulfillment of the requirements for the award of the Degree of

    Bachelor of Business Administration is a record of original and

    independent research work done by me during 20142015 under

    the supervision and guidance of Prof. Sriram M., Department of

    Management Studies and it has not formed the basis for the award

    of any Degree/ Diploma/ Associate ship/ Fellowship or other

    similar title of recognition to any candidate of any University.

    Date:

  • ACKNOWLEDGEMENT

    I am indebted to many people who helped me accomplish this

    research project successfully. First, I thank the Vice Chancellor

    Rev Fr Con Dr. Thomas C Matthew of Christ University for giving

    me the opportunity to do my project. I thank Prof. Suresh Pai,

    Associate dean, Dr. Jain Mathew, Head of department, Department

    of Management Studies for their kind support. I thank Prof. Sriram

    M. for his constant support and guidance during the course of my

    project. I thank my parents for their blessings and support, without

    which this project would not have seen the light of day.

    Jahnvi Gupta

  • Table of Content S.No Title Page No. Executive Summary 1 CHAPTER 1 1.1 Introduction to Marketing 3 1.2 Competitive Advantage 7 1.3 Social Cause 8 1.4 Cause Related Marketing 8 1.5 Review of Literature 13 CHAPTER 2 2 Industry Profile 2.1 Proctor and Gamble Co. 19 2.2 Hindustan Unilever Ltd. 20 2.3 ITC Ltd. 21 2.5 Tata Tea Ltd. 22 CHAPTER 3

    3 Research Methodology and procedures

    3.1 Objectives of the study 24

    3.2 Research Design 24

    3.3 Participants 25

    3.4 Data Collection 25

    3.5 Software used 26

    3.6 Limitations of the Study 26

    CHAPTER 4

    4 Data Analysis And Interpretations

    4.1 Descriptive Analysis 27

    4.2 Inferential Analysis 69

    CHAPTER 5

    5.1 Findings 70

    5.2 Recommendation 71

    5.3 Conclusion 72

    References

    Annexure

  • List Of Tables Table No. Name Page no.

    4.1.1.1 Company associate its brand with CRM 27 4.1.2.1 Corporate should promote its brand with CRM 28 4.1.3.1 CRM related Marketing Promotions 29 4.1.4.1 Simple to identify the company with its cause 30

    4.1.5.1 Ready to pay a bit higher price for CRM 31 4.1.6.1 Cause Related Marketing to overcome competition 32 4.1.7.1 CRM activities give a favorable impression to

    society 33

    4.1.7.2 Important for a company to be socially responsible 34 4.1.7.3 CRM have a positive impact on countrys

    development growth 35

    4.1.7.4 CRM is sometimes misused for profits 36 4.1.7.5 Descriptive Analysis 37 4.1.8.1 Stop using the products of the company 38

    4.1.9.1 Best source to promote Cause Related Marketing 39 4.1.10.1 Between different brands supports CRM or other 40 4.1.11.1 Actually spending that amount on some noble social

    cause 41

    4.1.12.1 Ad campaign 42 4.1.13.1 Ad message is Understandable 43 4.1.13.2 Message in the Ad is Authentic 44 4.1.13.3 Ad are believable to me 45 4.1.13.4 Consider purchasing the product 46 4.1.13.5 Better than other Ads for products in this product

    category 47

    4.1.13.6 Descriptive Analysis 48 4.1.14.1 Ad campaign 49 4.1.15.1 Ad message is Understandable 50 4.1.15.2 Message in the Ad is Authentic 51 4.1.15.3 Ad are believable to me 52 4.1.15.4 Consider purchasing the product 53 4.1.15.5 Better than other Ads for products in this product

    category 54

    4.1.15.6 Descriptive Analysis 55 4.1.16.1 Ad campaign 56 4.1.17.1 Ad message is Understandable 57 4.1.17.2 Message in the Ad is Authentic 58 4.1.17.3 Ad are believable to me 59

  • 4.1.17.4 Consider purchasing the product 60 4.1.17.5 Better than other Ads for products in this product

    category 61

    4.1.17.6 Descriptive analysis 62 4.1.18.1 Ad campaign 63 4.1.19.1 Ad message is Understandable 64 4.1.19.2 Message in the Ad is Authentic 65 4.1.19.3 Ad are believable to me 66 4.1.19.4 Consider purchasing the product 67 4.1.19.5 Better than other Ads for products in this product

    category 68

    4.2.1.1 Independent t test 69

    List Of Figures Table

    No.

    Table Name Page

    no.

    4.1.1.1 Company associate its brand with CRM 27 4.1.2.1 Corporate should promote its brand with CRM 28 4.1.3.1 CRM related Marketing Promotions 29 4.1.4.1 Simple to identify the company with its cause 30

    4.1.5.1 Ready to pay a bit higher price for CRM 31 4.1.6.1 Cause Related Marketing to overcome competition 32 4.1.7.1 CRM activities give a favorable impression to society 33 4.1.7.2 Important for a company to be socially responsible 34 4.1.7.3 CRM have a positive impact on countrys development

    growth 35

    4.1.7.4 CRM is sometimes misused for profits 36 4.1.8.1 Stop using the products of the company 38

    4.1.9.1 Best source to promote Cause Related Marketing 39 4.1.10.1 Between different brands supports CRM or other 40 4.1.11.1 Actually spending that amount on some noble social

    cause 41

    4.1.12.1 Ad campaign 42 4.1.13.1 Ad message is Understandable 43 4.1.13.2 Message in the Ad is Authentic 44 4.1.13.3 Ad are believable to me 45 4.1.13.4 Consider purchasing the product 46 4.1.13.5 Better than other Ads for products in this product

    category 47

    4.1.14.1 Ad campaign 49 4.1.15.1 Ad message is Understandable 50 4.1.15.2 Message in the Ad is Authentic 51 4.1.15.3 Ad are believable to me 52

  • 4.1.15.4 Consider purchasing the product 53 4.1.15.5 Better than other Ads for products in this product

    category 54

    4.1.16.1 Ad campaign 56 4.1.17.1 Ad message is Understandable 57 4.1.17.2 Message in the Ad is Authentic 58 4.1.17.3 Ad are believable to me 59 4.1.17.4 Consider purchasing the product 60 4.1.17.5 Better than other Ads for products in this product

    category 61

    4.1.18.1 Ad campaign 63 4.1.19.1 Ad message is Understandable 64 4.1.19.2 Message in the Ad is Authentic 65 4.1.19.3 Ad are believable to me 66 4.1.19.4 Consider purchasing the product 67 4.1.19.5 Better than other Ads for products in this product

    category 68

  • Executive Summary

    To study the increased competitive advantage of companies by the use of

    Social Cause Related Marketing.

    The main purpose of this study is to know the concept of Cause Related

    Marketing that is nowadays widely and extensively used by many big

    organizations to build a competitive advantage and to create brand equity.

    CRM is about forging long-term relationships between businesses & non-

    profit organizations to market an image, product, service or cause for mutual

    benefit. It provides the emotional as well as the rational engagement of the

    consumer with the brand. Cause Related Marketing helps an organization to

    cater more customers by acting socially responsible towards the society. In the

    research it has been explained the concept of Cause Related Marketing by

    taking four famous examples i.e. Tata Tea Jaago re and P&G Shiksha

    Campaigns, ITC Ltd, Hindustan Unilever Ltd. According to the secondary

    data, it is generally been noticed that a customer picks a product, which is into

    promoting social campaigns as those products have a good image in the minds

    of the customers. Even rural audiences have the tendency to purchase such

    products because they can relate that campaigns to their well-being, growth

    and development. Such social campaigns had faced a huge success in todays

    scenario because people thinks that it is important for a company to be

    consumer oriented but it is very important for a company to show concern

    towards the society and should contribute something good for the well being

    of the society. To check the impact of such social campaigns in the mind of

    the customers and to know how such campaign influence people to buy a

    product or how it effects their purchase decision, a small survey was

    conducted with a sample size of 220 and result concluded out of it. The data

    shows that it is very important factor of purchase decision for the customers

    but there are other factors too, still Cause Related Campaigns influence

    customers to buy a product. Further in this report the responses are collected

    by showing the print advertisements of four known Cause Related Marketing

    Campaigns and data is collected which tells that people recall such

    advertisements quickly and has a good perception about the company.

  • However, some people have doubt in their minds that whether the companies

    are actually pay this amount to non-profit organizations or not.

  • Chapter I Introduction

  • 1.1 Introduction to Marketing Marketing is the arrangement of granting the estimation of an item or

    administration towards the customers, with a definitive objective of offering

    that item or administration

    Marketing strategies incorporate picking target markets through market

    investigation and market division, and additionally understanding consumer

    conduct and promoting an item's worth to the client. From a societal

    perspective, marketing is the connection between a general public's material

    necessities and its monetary examples of reaction. Marketing fulfills these

    needs and needs through trade courses of action and building long haul

    connections. Marketing mixes craftsmanship and connected.

    Marketing is one of the more essential segments of a business effecting deals

    and benefit. Despite the fact that marketing is essential everything businesses

    need clients. Drawing in clients is not as simple as we think, particularly when

    there is extreme rivalry in the market. On the off chance that individuals are

    not coming to check your items, you may need to endeavor endeavors to

    change this by expanding your marketing endeavors.

    All business managers comprehend the significance of marketing however

    they can't recognize marketing and publicizing. Marketing has immeasurable

    limits and publicizing is simply a piece of it. All manifestations of marketing

    elevate item attention to the market on the loose. Marketing procedures help

    you to stay one stage in front of your rivals.

    Marketing's fundamental reason in many businesses is to create more deals. It

    needs to promote and elevate to help individuals think about the items. In the

    event that nobody thinks about the items, nobody will purchase them. That is

    the reason business holders put resources into marketing. So we need to utilize

    marketing methodologies to make item mindfulness. On the off chance that an

    organization needs to build the business rate and expand generation, the

    marketing office must have the capacity to convey powerful marketing

    systems.

    There are endless samples of organizations that are making great benefits by

    utilizing existing clients to get referrals. To get referrals one should do nothing

  • more than fulfill the clients answer all their inquiries and request a referral it

    is that basic.

    Each little business manager's objective is to benefit and grow, and without

    marketing, this is not going to happen.

    Functions of Marketing

    It alludes to those practice exercises that you as a marketer must perform with

    a specific end goal to accomplish your set marketing destinations.

    Research function:

    The Research function of marketing is that function of marketing that

    empowers you to create sufficient data in regards to your specific

    market of target. You must do sufficient exploration to recognize the

    size, conduct, society, accept, gender orientations and so on of your

    target market fragment, their needs and need, and after that create

    viable item that can meet and fulfill these market needs and need.

    Purchase function

    The Purchase is performed so as to procure quality materials for

    creation. When you plan a decent item idea, you ought to additionally

    guarantee you're purchasing the crucial materials for the item. This

    capacity is done by the buy and supply office, however your details of

    materials goes far in supporting the obtaining division to get the vital

    materials required for creation.

    Product development and management:

    Product development is an essential function of marketing since it was

    the duties of the marketing department to identify what the market

    need or want and then design effective product based on the identified

    need and want of the market. Product development passes through

    some basic stages carried out by the marketers to develop a targeted

    market specified product. And you can also manage your product by

    evaluating it performance and changing them to fit the current market

    trend.

    Production function:

  • Production is the function performs by the production

    department. Though, this is interrelated to the department of

    marketing, because your product must possess the essential

    characteristics that can meet the target market needs and want as

    identified during your market research, such characteristics as in your

    product Test, Form, Packaging etc.

    Promotion function:

    Promotion is one of the core functions of marketing since your finish

    product must not remain in the place of production, hence, you as a

    marketer must design effective communication strategies to informing

    the availability of your product to your target market.

    Standardization and grading:

    The function of standardization is to establish specified characteristics

    that your product must conform to, such standard as in having a

    specify test, ingredient etc. That makes your product brand so unique.

    Grading comes in when you sort and classify your product into

    deferent sizes or quantities for different market segment while

    maintaining your product standard.

    Pricing function:

    The function of pricing on the product offerings by designing effective

    pricing systems, base on the product stage and performance in the

    product life cycle. Price is the actual value consumers perceive on your

    product, so you as a marketer should ensure that your value of your

    product is not too high or too low to that of your costumers.

    Distribution function:

    The function of distribution is to ensure that your product is easily and

    effectively moved from the point of production to the target market,

    the kind of transportation system to employ e.g. Road, rail, water or

    air, and ensures that the product can be easily accessed by customers.

    You as a Marketer should also design the kind of middlemen to engage

    in the channel of distribution, their incentives and motivations etc.

    Risk bearing function:

  • The process of moving a finished product from the point of production

    to the point of consumptions is characterized with lots of risks, such

    risks as in product damaging, pilferage and defaults etc. So you must

    provide effective packaging system to protect your product, good

    warehouse for the storage of your product until they are needed,

    effective transportation system to speedily deliver your product on

    time.

    Financing function:

    Financing deals with the part of marketing to providing incomes for

    your business. It refers to how you can raise capital to start operation

    and remain in business. It refers to your modes of payment for the

    goods and services transferred to your costumers.

    After sales-service: In a more complex and technical product, you as a

    marketer should make provision in order to assist your customers after

    they have purchased your product. In terms of machines or heavy

    equipment product that requires installation or maintenance, most

    marketing organization renders such services like installing the

    machine or maintaining it for stipulated periods on time for free or by a

    little service charge.

    Features of Marketing

    The marketing Management alludes to planning, organizing, directing, control

    of the initiates that encourage the trading of products and administrations

    between the makers to end consumers. Firms today need to invest cash to

    make time, spot and proprietorship utilities .The principle features of modern

    day marketing are as per the following:

    i. Marketing is a science and workmanship: Marketing has developed from the financial aspects yet it has a closer

    associations with social and behavioral sciences. Marketing is nearly

    connected with streams of science too humanities and titles, for

    example, Economics, Law, Psychology, Anthropology, Sociology,

    Information Technology and so forth. Marketing intensely relies on the

    demographic peculiarities of the target market, political environment,

    logic, arithmetic, insights and so forth.

  • ii. Trade is quintessence of marketing: Marketing spins around business trade. This additionally includes trade

    of innovation, trade of data and trade of thoughts.

    iii. Marketing is Goal Oriented: A definitive objective of marketing is to produce benefits through the

    fulfillment of the client.

    iv. Marketing is a nonstop process: Marketing is not a disconnected, static process yet is an intricate,

    consistent and interrelated procedure. It includes nonstop arranging,

    usage and control. It is a paramount useful territory of the

    administration.

    v. Marketing is Consumer Oriented: All organizations exist in view of their business to fulfill the human

    needs, needs and requests. A definitive target of marketing is to

    discover what the consumer needs and how to satisfy consumer need.

    This prompts creation of the merchandise and administrations

    according to the needs of the client.

    vi. Marketing begins with consumer and closures with consumer: Marketing is consumer arranged and it is essential to realize what the

    consumer needs.

    1.2 Competitive Advantage Competitive Advantage refers to the preference that a firm has over its rivals,

    permitting it to produce more noteworthy deals or edges and/or hold a greater

    number of clients than its rival. There can be numerous sorts of competitive

    advantages including the association's cost structure, item offerings or

    distribution network, conveyance system and client help.

  • Competitive advantages give an organization an edge over its adversaries and

    a capacity to produce more prominent worth for the firm and its shareholders.

    The more manageable the competitive advantages, the more troublesome it is

    for contenders to kill the preference.

    There are two primary sorts of Competitive advantages: comparative

    advantage and differential advantage. Comparative advantage or expense

    preference, is a company's capacity to create a decent or administration at a

    lower cost than its rivals, which gives the firm the capacity offer its products

    or administrations at a lower cost than its rival or to produce a bigger edge on

    deals. A differential focal point is made when an association's items or

    administrations vary from its rivals and are seen as better than a contender's

    items by clients.

    1.3 Social Cause A social cause (additionally called a social issue or a social ailment) alludes to

    an issue that impacts and is contradicted by an impressive number of people

    inside a general public. It is frequently the result of variables broadening past

    an individual's control and local geographical environment. Now and again, a

    social issue is the wellspring of a conflicting opinion on the grounds of what is

    seen as an ethically just individual life or societal order. Distinctive social

    orders have diverse discernments. Social issues are recognized from economic

    issues; in any case, a few issues, (for example, immigration) have both social

    and financial viewpoints. There are additionally issues that don't fall into

    either classification, for example, wars.

    Examples of few social causes maybe, Social stratification, Economic issues,

    Social disorganization, Age and the life course, Inequality, Education and

    public schools, Work and occupations, Environmental racism, Abortion, etc.

    1.4 Cause Related Marketing Cause-related marketing has introduced in recent years even though it is a

    young concept which many big organizations using for creating brand equity

    and for achieving a competitive advantage. Cause marketing or cause-related

    marketing refers to that type of marketing which involves the cooperative

  • efforts of both profit as well as nonprofit organization for mutual benefit. This

    type of term is sometimes used broadly as well as generally refers to any type

    of marketing effort for social and other causes. It provides the emotional as

    well as the rational engagement of the consumer with the brand. Cause -

    related marketing is different from corporate giving as the corporate giving

    generally involves some specific donation that is tax deductible, while cause

    related marketing is a marketing which is based on marketing relation and not

    necessarily based on a donation.

    This concept came into existence in the early 1980s when a company named

    American Express joined with a nonprofit group that helps it to raising the

    funds to restore the Statue of Liberty. American Express gave a portion of

    every purchase through their credit card to the endeavor and an additional

    amount for every new application that resulted in a new credit card customer.

    The company also launched a $4 million advertising campaign to generate the

    awareness of the concept among the people and within three-month of that

    Campaign American Express, 27% increases in their card users and the

    Restoration Fund raised over $1.7 million. New card applications increased

    45% over the previous year. Everyone involved was a winner, the nonprofit cause received needed funds; American Express increased sales of its product and achieved a reputation for social responsibility. American Express even trademarked the term cause-related marketing. Now, more than ever, the companies are realizing the potential of aligning themselves with a cause. Earlier it was used mostly to increase sales and profits, but now it is used as a great brand positioning contrivance as it works on vitalizing brand equity and enhancing corporate image with sound economic and community impacts. In todays world CRM has different types of versions but in generally its is a

    agreement which is done between business and non-profit to raise fund for a

    particular cause. CRM program is not an unknown or low-key donation to a

    nonprofit.

    How CRM activities work in a Corporate?

  • There are now many versions of cause-related marketing, but basically it is an

    agreement between a business and a nonprofit to raise money for a particular

    cause. The business expects to profit by this arrangement by selling more

    products and by enjoying the "halo" affect of being associated with a

    respected nonprofit or cause.

    A cause-related marketing program is not an unknown or low-key donation to

    a nonprofit but one that lets the public know that this corporation is socially

    responsible and interested in the same causes that its consumers are. The

    nonprofit benefits both financially and through a higher public profile as a

    result of its partner's marketing efforts.

    Cause-related marketing campaigns have blossomed over the last few years

    and can appear in a variety of interesting forms. Jocelyne Daw, in her

    book Cause Marketing for Nonprofits, lists some of the more popular:

    Product sales. Think of the Red campaign that has brought together many

    companies to sell specially branded products (a red Gap T-shirt or a red

    iPod for instance) with a portion of the selling price going to the Global

    Fund for HIV/AIDS prevention.

    Purchase Plus. This is a campaign waged at the checkout line at grocery

    stores or other retail venues. Typically a customer is asked if he would like

    to add a donation to his bill. The amounts are usually low enough for most

    people to say yes. The store processes the money and gives it to the

    nonprofit with which it has partnered. Promotion of the cause is usually

    pretty low-key but that makes these programs easy to set up and they are

    quick so a business can respond to, say, a natural disaster in a timely way.

    Licensing of the nonprofit's logo, brand, and assets. Licensing runs the

    gamut from products that are extensions of the nonprofit's mission to using

    its logo on promotional items such as T-shirts, mugs, and credit cards to

    having the nonprofit provide a certification or commendation of particular

    products. An example of the latter is the American Heart Association,

    which provides recognition for products that meet their standards for heart

    health.

    Cobranded events and programs. Probably the best-known example of a

    cobranded event is the Susan G. Komen "race for the cure." A cobranded

    program is exemplified by a London Children's Museum that teamed up

  • with the 3M Company to build and outfit a science gallery for children. The

    involvement of the corporation in this program is deeper than the usual

    "sponsorship" with scientists from the company involved in helping with

    the exhibits to the company's employees serving as volunteers.

    Social or public service marketing programs. Social marketing involves

    the use of marketing principles and techniques to

    encourage behavior change in a particular audience. An example is the

    partnership of the American Cancer Society and Novartis, on their Great

    American Smoke out.

    Creative Capitalism

    Creative capitalism is a term popularized by philanthropist Bill Gates, which

    means that global corporations should integrate "doing good" into the way

    they do business, i.e. take up social initiatives on way of fulfilling the ultimate

    goal of profit maximization. In one of his conversations with Warren Buffet he

    mentioned if we find approaches that meet the needs of the poor in ways that

    generate profits and recognition for business, we will have found a sustainable

    way to reduce poverty in the world. Cause Related Marketing can help in

    Creative Capitalism in the country, provided corporates abide by their

    promises that they promote as the cause.

    Types of Cause-Related Marketing:

    Transactional CRM: In this approach Firms adopt programs that

    contribute to a noble cause from sales of specific products. Eg: Project

    Shiksha according to which, with every P&G's product purchase, some

    portion goes to poor child education fund.

    Engage in Educational or Awareness-Building Activities: In this

    approach a joint campaign between a firm and a cause to raise

    awareness of the causes message. Eg: Tata Tea Jago Re campaign

    Licensingagreement :In this approach a corporation is permitted to use

    a charity's logo on its products or services. A License given to a

    company by a Non- Profit Organization.

    Eg: ITC note book using WWF logos on stationery.

  • Terms used in cause related marketing:

    Corporate philanthropy means giving direct monetary gifts to a nonprofit

    Organization. It is often made through the corporation's own foundation.

    These donations are usually for a particular program or event that the

    nonprofit will run and can be of short or long duration.

    Corporate sponsorship is a bit closer to cause marketing since the corporation

    gives the nonprofit money to hold an event, run an art exhibit, or other time-

    limited activity. The funds may come from the community relations budget of

    the corporation or the marketing budget and the corporation expects a certain

    amount of publicity in the way of signage, PSAs, promotional materials etc.

    Benefits of Cause-Related Marketing

    Cause-related marketing is a influential marketing tool that business and

    nonprofit organizations are increasingly leveraging. Cause-related marketing

    heightens the public awareness of both the company and the charity. The

    possible benefits of cause marketing for nonprofit organizations include an

    increased ability to promote the nonprofit organization's cause via the greater

    financial resources of a business, and an increased ability to reach possible

    supporters through a company's customer base. Other benefits of cause related

    marketing are as follows:

    Cause-related marketing directly enhances sponsor sales and brand of a

    company- enhanced company image and a differentiated image

    Cause-related marketing is a respected and accepted business practice.

    Cause-related marketing helps in heightens customer loyalty.

    Cause-related marketing boosts a companys public image and helps

    distinguish it from the competition offering materials corporate PR

    officers.

    Cause-related marketing helps build employee morale and loyalty.

    It improves employee productivity, skills and teamwork.

    It boosts sales.

    It helps a firm stand out in a crowded marketplace.

    It builds a company that employees are proud to work for.

    Breaking through advertising clutter

    Low cost exposure

  • The ability to sway selective consumers who want to support the cause

    A broader customer base

    1.5 Review of Literature Burton & Kees, (2010) according to their research benefits associated with

    cause-related marketing (CRM) campaigns to both the sponsoring firm and its

    partnering nonprofit are well documented. However, the combination of the

    manner in which CRM messages are frames in advertisements and consumers

    temporal orientation potentially alters a campaigns success. Inan initial

    experiment, it has assessed that the moderating role of temporal orientation on

    effects of the temporal framing of CRM messages. Then it is extended to the

    findings with a second experiment in which we evaluate whether an

    individuals temporal orientation affects their response to a CRM campaign

    based on the immediacy of the need and the timeliness of the response to the

    need.Findings indicate that consumer temporal orientation moderates the

    influence of the temporal framing with in the ad for a CRM campaign on

    attitudes and purchase intentions. In addition, attitude toward the CRM

    campaign mediates the effect of the three-way interaction on brand attitude

    and purchase intention. Implications for both corporations and the nonprofits

    benefiting from CRM campaigns are offered.

    Shabbir & Kaufmann (2010) conducted a research in Pakistan and it was

    observed that the brand awareness and corporate image partially mediate the

    impact of CRM campaigns on consumer purchase intentions. Further research

    can be carried out through data collection from those people who actually

    participated in cause related marketing to identify the original behavior of

    customers instead of their purchase intentions. This research and the claims

    made are limited to the FMCG industry. The findings also suggest some

    measures which can be taken into consideration in order to enhance brand

    awareness and to improve corporate image as both variables mediate the

    impact of CRM campaigns on consumer purchase intentions. The study

    contributes to cause related marketing literature by indicating a mediating role

    of brand awareness and corporate image on CRM campaigns and consumer

    purchase intentions.

  • Grau S.L. & Folse J.A.G., (2011) through their research found that the CRM

    campaigns are generally positive for companies as well as for causes. For

    companies, CRM has been noted to increase sales and enhance companies

    image. As for causes, they received greater funding and publicity. Cause-

    proximity, which is one of the important elements of CRMs structure, has

    been suggested to significantly influence consumers response towards CRM.

    However the impacts of cause-proximity on consumers response are

    inconsistent. In this light, this paper investigates two main things that is: The

    effect of cause-proximity on consumers response to CRM and second is the

    moderating role f gender on the relationship between cause-proximity and

    consumers response to CRM. The results indicate that the effect of cause-

    proximity is insignificant while gender does influence consumers response to

    CRM. Based on these results, implications for CRM campaign managers and

    research limitations are highlighted.

    Shah, (2013) did a study and find out CRM is a form of marketing that uses

    various strategies, tools and traditional advertising methods to change

    attitudes, perceptions and behaviors as they relate to social issues. Non-profit

    organizations and companies form alliances to market images, services and

    products. People have a more favorable view of a company that contributes or

    sponsors a cause that they think is worthy. For instance, people are more likely

    to be interested in a company that is contributing to this research. CRM is an

    existing concept where both business and charity or any good causes can

    benefit. It also attracts new sources of funds, resources and support. It is an

    innovative and potentially powerful tool to improve the lives and well-being

    of individuals, create environments that support social objectives, re-orient

    social services to be customer-driven, develop social capital, lead to improved

    public policies, and ultimately, achieve social goals. This research paper

    focuses the practices of cause related marketing of some of the selected firms

    and how it affects the consumer in our country as a new policy.

    In a study done by Rajput, Tyagi, & Bhakar, (2013) the researchers tried to

    show the impact of Social Cause Related Marketing on customer brand

    preferences. As we all know, Social Cause Related Marketing has emerged as

  • a top management priority in the last decade due to the growing realization

    that it one of the most valuable intangible tool that firms have to gain better

    corporate image from Internal as well as External Customers. Findings from

    the study showed that the impact of Social Cause Related Marketing on

    Customer Brand Preference has a significant relationship between the two.

    And the respondents gave high importance to Self -Image in case of CRM and

    Brand Awareness in Brand Preferences.

    In a study done by ori, ivadinovi, & Dropulji, (2011) through their

    research on effects of cause and donation size of cause related marketing

    program on consumers intention to buy cause-related marketing by analyzing

    to what extent consumers intention to buy a certain brand during a CRM

    campaign has been influenced by their relation to the cause and donation size

    from that campaign has been influenced by their relation to the cause and

    donation size from that campaign. The results of the research, i.e. that personal

    relation to a cause of the campaign and donation size from a single sale

    positively influence consumers purchasing intention to buy a brand that is a

    subject of CRM campaign. These results correspond to the results of previous

    research.

    The research done by Garg, (2007) on Social cause related marketing and its

    impact on customer Brand preferences the objectives of the study were to

    understand the impact of cause related marketing on corporate brand image

    and on sales and customers brand loyalty. The author adopts a descriptive

    research design that helps to portray the characteristics of a group or

    individual as a situation. It includes surveys and fact-finding enquiries of

    various kinds. Sample size for the study was taken as 200 respondents of

    which 100 samples were of the customers and the rest were of the retailers in

    Ambala and Yamuna Nagar cities of Haryana. The major findings of the

    study were that, the different factors influencing the customers were - Brand

    Name, availability, advertisement, price, quality and cause related marketing

    concept. Suggesting that, the companies must generate more awareness

    regarding its contribution to social causes through TV & Internet advertising

    as it is directly related to increase in sales and brand loyalty.

  • Alcheva, Cai, & Zhao, (2009) conducted a study on This research paper talks

    about the connection between the cause-related marketing and buying

    behaviour and attitude by exploring consumers perception of CRM strategy,

    their attitudes toward the CRM strategies and behavior. The research being

    limited to sample of students who took part in the questionnaire. The survey

    was designed as a questionnaire with fourteen close-ended questions. The

    questionnaire started with the description Case of McDonalds Children

    Charity, and the definition of CRM, so that, respondents could better

    understand the CRM and to obtain real perception and attitude toward the

    CRM, as well as their buying behavior. The findings being that consumers are

    more likely to support companies that are engaged in cause campaigns and

    tend to develop positive attitude toward this company and its products.

    Kim, Kim, & Han, (2005) conducted a research in which; Participants were

    presented with six different cause-related marketing contexts, corporate

    credibility and product-cause relatedness. The authors try to understand why

    cause-related marketing work for some firms more than others? Explaining the

    success of a vast number of companies in the various industries sponsoring

    causes related to environmentalism, but at the same time, evidently linked to

    issues such as deforestation? (Such as pulp industry) The empirical model in

    the paper examines how product-cause relatedness and corporate credibility

    affect attitudes toward a company and the brand attempting to further break

    down the construct of product-cause relatedness according to relevance of a

    products risk. Based on the findings, the conclusions are drawn- Firstly;

    cause-related marketing has a different effect on attitude toward the brand and

    attitude toward the company. In spite of similar patterns in the responses,

    attitudes toward the company are far more influenced by the level of corporate

    credibility than attitudes toward the brand. On the other hand, consumers

    attitude toward the company compared to that of the brand is less affected by

    product cause relatedness. It was suggested that product-cause relatedness

    directly affects attitude toward the product brand, whereas corporate

    credibility directly influence corporate attitude. Shown that the two types of

    attitude are highly correlated, these effects are likely to weaken as they are

  • passed on to company attitude and brand attitude. Attitude toward the brand is

    more favorable for firms with a high credibility than for those with low

    credibility. When firms support a cause consumers perceive as being related to

    the products direct risk (e.g., obesity caused from eating hamburgers), not

    only can attitude toward the brand become less favorable compared to when a

    non-risk related cause or an unrelated cause is supported, but positive effect of

    cause- related marketing actually backfires.

    Hunjra, Azam, & Humayoun, (2012) made a study on Cause related marketing

    and its impact on sales: mediating by brand loyalty and customer purchase

    intention. In this study CRM and sales are tested so as to strike in any relation

    and examine the impact of CRM campaigns on brand loyalty, consumer

    purchase intention and ultimately on sales. The research design involved

    distributing questionnaires among students and employees at different

    universities and organizations. A total of 629 people filled questionnaires. A

    five point Likert scale was used to assess the respondents' level of agreement

    or disagreement. This study reviews the affects of CRM on sales specifically

    in FMCG sector of Pakistani market, also some factors like brand loyalty and

    consumer purchase intention participate in it and enhance the results. After an

    intense literature review in this study, five hypothesis were developed CRM

    campaigns have positive impact on consumer purchase intention, CRM

    campaigns have positive impact on brand loyalty, Consumer purchase

    intention has positive impact on sales, Brand loyalty has positive impact on

    sales, CRM has positive impact on sales. This study concludes that cause

    related marketing campaigns have positive influence on sales activities of

    companies. This link is also mediated by brand loyalty and consumer purchase

    intention that eventually has positive effect on sales. It is witnessed through

    this study; it helps to increase customer base strategies. It also helps in

    capturing more market share along with it increased brand loyalty index,

    which pursue customers to make repetitive and bulk purchases.

    In the study titled, Does cause congruence affect how different corporate

    associations influence consumer responses to cause-related marketing? By

    Chen, Su, & He, (2013), it is examined how diverse corporate affiliations may

  • impact customer assessments and buy plan in light of Cause related

    advertising (CRM) and whether this effect is dependent upon harmony

    between the reason and the organization. The test study, is based on 660

    members, uncovers that both corporate capacity affiliation and corporate

    social obligation affiliation may improve item assessment; this impact is

    intervened through organization and CRM evaluations. The study likewise

    uncovers how these assessments identify with buy proposition. Besides, by

    distinguishing the interaction between corporate affiliations and reason

    coinciding, the study's results recommend that incongruent reasons are ideal

    for organizations all the more unequivocally connected with corporate

    capacity, while consistent reasons are best for organizations all the more

    firmly connected with social obligation.

  • Chapter II Industry Profile

  • Companies following Cause Related Marketing

    2.1 Procter & Gamble Co. (P&G)

    Procter & Gamble Co. (P&G) is an American company based in Cincinnati,

    Ohio that manufactures a wide range of consumer goods. In India Proctor &

    Gamble has two subsidiaries: P&G Hygiene and Health Care Ltd. and P&G

    Home Products Ltd. P&G Hygiene and Health Care Limited is one of India's

    fastest growing Fast Moving Consumer Goods Companies with a turnover of

    more than Rs. 500 crores. It has in its portfolio famous brands like Vicks &

    Whisper. P&G Home Products Limited deals in Fabric Care segment and Hair

    Care segment. It has in its kitty global brands such as Ariel and Tide in the

    Fabric Care segment, and Head & Shoulders, Pantene, and Rejoice in the Hair

    Care segment.

    Today, Proctor & Gamble is the second largest FMCG Company in India after

    Hindustan Unilever Limited.

    Procter & Gamble (P&G) Cause-Related Marketing initiative

    P&G includes conservational sustainability and social conscience to define

    sustainability.

    P&G Is measured to be the worlds best cause marketer. P&G has been

    constantly taking up several CRM initiatives in every country they operate in.

    If we talk about Shiksha it is an important part of P&G's philanthropy program

    - Live, Learn & Thrive - focused on the development of children in need

    across the globe. It is an exceptional method that permits customers in India to

    lead social change in the area of education for underprivileged children.

    Whenever, a consumer buys a large pack of Ariel, Tide, Vicks, Whisper,

    Pantene, Gillette Mach 3, Head & Shoulders, Duracell, Oral B or Pampers

    during the months of April - July, P&G donates a part of the profits to its

    NGO partners who then organize the funds through various projects across the

    country. Irrespective of sales, P&G will commit a minimum of Rs.1crore

    towards the donation funds of Shiksha every year. With a motto of Padhega

  • India, Badhega India - Shiksha believes that the secret to a brighter India lies

    in the quality education of our children.

    Shiksha has been successful in impacting 150,000 children so far, in

    association with leading NGOs - Round Table India (RTI), Child Rights &

    You (CRY), NGO Round Table India is spearheading the identification,

    establishment, completion and maintenance of RTI Shiksha School projects in

    the country as a joint partner bringing onboard expertise in building schools as

    well as contribution towards funds.

    Strategy used by P&G

    o Utilize celebrities as Shiksha supporters to create impact of the initiative and the cause

    o Drive mass involvement of consumers with brand Shiksha via exciting influencer media events which drive word of mouth and awareness of

    Shiksha

    o Partner with a leading media channel by leveraging the cause and also offering exclusive content

    2.2 Hindustan Unilever ltd.

    Hindustan Unilever Limited (HUL) is an old and one of the best

    Indian consumer goods company based in Mumbai, Maharashtra. HUL's

    products include foods, beverages, cleaning agents and personal care products.

    HUL is one of the market leaders in Indian consumer products with presence

    in over 20 consumer categories such as soaps, tea, detergents and shampoos

    amongst others with over 700 million Indian consumers using its products.

    Eighteen If we talk about the most trusted brands oh FUL in the top (their

    rankings in brackets) are: Clinic Plus, Lifebuoy , Fair & Lovely, Rin, Surf

    Excel, Lux , Pepsodent , Closeup , Ponds , Sunsilk , Dove , Vim, Pears ,

    Lakme, Vaseline,Wheel, Hamam and Rexona.

    Hindustan Unilever ltd. Cause-Related marketing initiative:

    HUL conducted such a short-term campaign for its Surf brand ( known as

    10/10 contest ) where for a sale of every 1 kg pack, a fixed amount was

    donated to certain NGOs operating in the area of child-education for the

  • deprived section of the society. These initiatives may give some positive

    responses to the brand for a short term.

    In India , HUL supports a long term cause-branding initiative for its

    Lifebuoy brand ( Lifebuoy SwasthyaChetana) with the objective of spreading

    the awareness of importance of washing the hands with soap in rural India.

    2.3 ITC Limited

    ITC Limited or ITC is an Indian conglomerate headquartered in Kolkata, West

    Bengal. Its diversified business includes five segments: Fast Moving

    Consumer Goods (FMCG), Hotels, Paperboards, Paper & Packaging and Agri

    Business. A line of premium range of notebooks under brand Paperkraft was

    launched in 2002. To reach a wider student population, a range of notebooks

    was launched under brand Classmate in 2003. Classmate over the years has

    grown to become Indias largest notebook brand. In Years 2007 - 2009 they

    launched Children Books, Slam Books, Geometry Boxes, Pens and Pencils

    under the Classmate brand. In 2008, ITC repositioned the business as the

    Education and Stationery Products Business and launched India's first

    environment friendly premium business paper under the Paperkraft brand.

    Paperkraft offers a diverse portfolio in the premium executive stationery and

    office consumables segment. ITC introduced Essenza Di Wills, a range of

    fragrances and bath & body care products for men and women in July 2005.

    The company launched 'Fiama Di Wills' range of Shampoos, Shower Gels and

    Soaps in 2007. The Company also launched the 'Superia' range of Soaps and

    Shampoos in the mass-market segment in 2007 and Vivel De Wills & Vivel

    range of soaps and shampoos in 2008.

    ITC ltd. Cause-Related marketing initiative:

    ITC has launched their Classmate notebooks with the initiative of donating 1

    rupee towards the education of underprivileged students.

    ITC Classmate, has also launched a program called Classmate Ideas for India

    challenge. This program would be a part of the company's centenary

    initiative. The nation-wide program would invite ideas of the youth, who have

    the potential to transform India. Classmate Ideas for India challenge plans to

  • reach out to 25 lakh students across 30 cities, 500 schools and 200 colleges

    across the country.

    2.4 Tata Tea Ltd.

    Tata Tea was set up in 1964 through a joint venture with UK-based James

    Finlay and the Tata Group for manufacturing tea and coffee. Currently Tata

    Tea and the UK-based Tetley group have the worlds second largest branded

    tea operations with a presence in 40 countries. The company has portfolio of

    five brands in the domestic market namely Tata Tea, Tetley, Kanan Devan,

    Chakra Gold and Gemini. Tata Tea has evolved from being a brand that

    promised freshness of the tea gardens, to a brand that awakens every Indian.

    We have come to stand for a way of life to our consumers.

    The brand enjoys almost 'legendary' status in India as a trusted 'Super brand'

    that not only enjoys market leadership in branded packet tea, but has also

    transformed the way beverages are marketed through its 'Jaago Re' campaigns.

    Tata Tea has promoted social awakening and action encouraging young

    people to vote, inviting consumers to pledge against bribery and

    through www.jaagore.com bringing citizen volunteers together with 70+

    NGOs to give their time for a range of good causes.

    The brand has also initiated the Tata Tea Jaago Re Inter Milan Soccer Stars

    program. This is a unique soccer tournament that promotes soccer among

    school children and helps talented young soccer players in India to access the

    best in terms of infrastructure, training and above all an International platform

    to exhibit India's future talent.

    TATA Tea ltd. Cause-Related marketing initiative:

    The company seems to have got the faultless blend of ad campaign and social

    awareness programs. When it launched the Jaago Re campaign in 2007, it had

    no idea what it stumbled on to. Jaago Re meaning Wake Up was a brand

    campaign to bring all the Tata brands of tea.. The marriage between Jaago Re,

    a social awakening, and Tata Tea created a case study for any cause marketing

    campaign not only because of the scale of the idea but also for its reach.

  • Mr. Sanjiv Sarin, regional president, South Asia, Tata Global Beverages, says,

    "While tea may wake you up, Tata Tea awakens you. The campaign

    demonstrated Tata Tea's thought leadership in positioning tea as a medium of

    'social awakening' and not just 'physical awakening'.

    While the theme matched the anxiety of youngsters, it also helped Tata Tea

    reach scale. By propagating their theme during the 2009 elections, the

    campaign ensured that it addressed at least 720-780 million people, those

    above 18 and eligible to vote.

    Company has been able to ride the wave of movements in social activism.

    After the buzz of elections died down, and even before anyone could

    anticipate the spate of corruption scandals that would unfold in the years to

    come, Jaago Re had moved on to the theme of corruption. They decided to

    take on a campaign that saw two lakh people pledging never to bribe again.

    This is what made Jaago Re a huge success. Tata Tea did not stop there. Since

    the online format would help only those with Internet connectivity, it built

    teams to go on the ground to help people vote. Talks were organized in over

    200 of India's largest colleges and companies to spread the message and to

    organize on-the-spot voter registration drives.

    The campaign also became agnostic to the medium but loyal to the message.

    Tata Tea put its muscle behind every single communication medium: TV,

    print, radio, online, and even sent volunteers to places that have no access to

    these forms of communication.

  • Chapter III Research Methodology

  • 3.1 Objectives of the study:

    The objective of the research is to study the increased competitive advantage

    by the use of Social Cause Related Marketing.

    1. To find out the products/brands that are used by corporate houses for

    promotion by integrating it with CRM

    2. To compare the products/brands using CRM vis--vis not using CRM

    3. To study the perception of the customer with respect to products/brands being promoted by CRM

    3.2 Research Design A research design is a detailed blue print used to guide a research study

    towards its objectives. Its a series of decisions taken together comprising of a

    master plan or a model for the conduct of a research on consonance with the

    research objectives. It details the procedures necessary for obtaining the

    information needed to structure or solve the marketing research problems.

    Traditionally there are three types of research designs namely exploratory

    research design, descriptive research designs and causal research designs.

    Exploratory Research Design: It is an unstructured and informal research

    that is undertaken to gain background information about the general nature of

    the research problem under consideration. It is conducted when the researcher

    does not have sufficient knowledge about the problem and needs additional,

    new or recent information. The researcher knows very little about consumer

    reaction to market stimuli to permit the drawing of a sound hypothesis. This

    type of research design is very flexible and versatile.

    Descriptive Research Design: It is a more hypothesis, pre-planned and

    formal research in which information is clearly defined and there is prior

    formulation of specific hypothesis. It is undertaken to provide answers to

    questions of who, what, where, when and how but not why and these studies

    collect data for a definite purpose. It does not show a direct cause and effect

    between the variables under study.

    Causal Research Design: This type of research design is most appropriate

    when it is necessary to show that one variable causes or determines the values

  • of the other variables. It includes understanding a problem in terms of

    conditional statements of the form If X, then Y

    In this project we have used both Exploratory and Descriptive Research

    Design

    3.3 Participants A sample size of 220 respondents was taken, with responses from men and

    women. Number of male respondents were 131 and female respondents 89.

    3.4 Data Collection Primary Data

    This is the second stage in a market research project that determines the most

    efficacious way to collect information that is anticipated to provide answers to

    the research questions. It involves determining what data source to use, the

    type of research approach to take, how to limit distortions of the data. It is

    better to go for primary data since it is first hand information and there is less

    chance of personal bias and information can be collected with accuracy at the

    same time. It could be re tabulated and survey concerned in various forms this

    data can be used. For collecting data I have chosen the personal interview &

    questionnaire method. Data required for the study is collected first hand from:

    The consumers who consume products, which are related to, such social

    causes or are aware of cause-related marketing promotions.

    Secondary data

    Secondary data are not first-hand information. Secondary data are those that

    have been collected by other organization like government agencies, financial

    organization, newspapers and magazines. The secondary data was collected

    from books, magazines and authenticated websites.

    Company records

    Internet

    Newspapers

    Magazines

    Online Journals

  • 3.5 Software used Software is any set of machine-readable instructions mostly in the form of a

    computer program that directs a computers processor to perform specific

    operations. The software used in this research is IBM SPSS Statistics.

    3.6 Limitations of the Study Respondents were not getting easily convinced for filling up for

    questionnaire.

    The information given by the respondents may not be right.

    Lack on part of the respondents may lead to wrong Conclusion.

  • Chapter IV Data Analysis and

    Interpretation

  • 4.1 Descriptive Analysis It literally implies the description of the data like how many respondents have

    answered a particular question.

    Q1.Do you think Corporate should associate its brand with Cause Related

    Marketing?

    Valid Frequency Percent Valid Percent Cumulative Percent

    Yes 186 84.5 84.5 84.5

    No 34 15.5 15.5 100.0

    Total 220 100.0 100.0 Table 4.1.1.1

    Fig 4.1.1.1

    Inference: 84.55%of people think that it is very important for a company to

    associate their brands with Cause Related Marketing.

  • Q2. Do you think corporate should promote its brand that it is using Cause

    Related Marketing?

    Valid Frequency Percent Valid Percent Cumulative Percent

    Yes 155 70.5 70.5 70.5

    No 65 29.5 29.5 100.0

    Total 220 100.0 100.0 Table 4.1.2.1

    Fig 4.1.2.1 Inference: 70.45% people think that corporate should promote its brand that

    they are using CRM activities to promote their brands as well as increase their

    goodwill with the help of CRM activities

    Q3. I often see Cause Related Marketing Promotions.

    Valid Frequency Percent Valid Percent Cumulative Percent

  • Strongly Disagree 3 1.4 1.4 1.4

    Disagree 21 9.5 9.5 10.9

    Neutral 75 34.1 34.1 45.0

    Agree 98 44.5 44.5 89.5

    Strongly Agree 23 10.5 10.5 100.0

    Total 220 100.0 100.0 Table 4.1.3.1

    Fig 4.1.3.1

    Inference: 44.55% people agree that they have often see CRM related

    marketing promotions and 9.55% people disagree that they had not seen CRM

    marketing promotions not often.

    Q4. Is it simple to identify the company with its cause on which it is promoting?

    Valid Frequency Percent Valid Percent Cumulative Percent

    Yes 192 87.3 87.3 87.3

  • No 28 12.7 12.7 100.0

    Total 220 100.0 100.0 Table 4.1.4.1

    Fig 4.1.4.1

    Inference: 70.45% people think that corporate should promote its brand that

    they are using CRM activities to promote their brands as well as increase their

    goodwill with the help of CRM activities.

    Q5. Are you ready to pay a bit higher price for the company's product, which

    is related to a social cause?

    .

    Valid Frequency Percent Valid Percent Cumulative Percent

    Yes 143 65.0 65.0 65.0

    No 77 35.0 35.0 100.0

    Total 220 100.0 100.0 Table 4.1.5.1

  • Fig 4.1.5.1

    Inference: 65% of people say that they are ready to pay a bit higher price for the companys products which are related to a social cause.

    Q6. In your opinion do company promote brands with Cause Related

    Marketing to overcome competition?

    Valid

    Frequency Percent Valid Percent Cumulative

    Percent

    Yes 160 72.7 72.7 72.7

    No 60 27.3 27.3 100.0

    Total 220 100.0 100.0

  • Table 4.1.6.1

    Fig 4.1.6.1

    Inference: 72.73% people say that the companies are doing these types of activities to overcome competition.

    Q7. Please mark the most suitable option:

    A) Companies who do CRM activities give a favorable impression to society.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 9 4.1 4.1 4.1

    Disagree 24 10.9 10.9 15.0

    Neutral 47 21.4 21.4 36.4

    Agree 110 50.0 50.0 86.4

    Strongly Agree 30 13.6 13.6 100.0

    Total 220 100.0 100.0

    Table 4.1.7.1

  • Fig 4.1.7.1

    Inference: 50% of people agree that the companies do CRM activities give a favorable impression to the society.

    B) In todays Scenario it is important for a company to be socially responsible.

    Valid Frequency Percent Valid Percent

    Cumulative Percent

    Strongly Disagree 9 4.1 4.1 4.1

    Disagree 2 .9 .9 5.0

    Neutral 48 21.8 21.8 26.8

    Agree 113 51.4 51.4 78.2

    Strongly Agree 48 21.8 21.8 100.0

    Total 220 100.0 100.0

    Table 4.1.7.2

  • Fig 4.1.7.2

    Inference: 51.63% think that in todays Scenario it is important for a company to be socially responsible.

    C) CRM have a positive impact on countrys development growth

    Valid Frequency Percent Valid Percent Cumulative Percent

    Strongly Disagree 12 5.5 5.5 5.5

    Disagree 19 8.6 8.6 14.1 Neutral 82 37.3 37.3 51.4 Agree 80 36.4 36.4 87.7

    Strongly Agree 27 12.3 12.3 100.0

    Total 220 100.0 100.0 Table 4.1.7.3

  • Fig 4.1.7.3

    Inference: 36.4% people agree that CRM have appositive impact on the

    society that helps the company to do lots of CRM activities for the growth of

    the company.

    D) CRM is sometimes misused for profits Valid Frequency Percent Valid Percent Cumulative Percent

    Strongly Disagree 21 9.5 9.5 9.5

    Disagree 2 .9 .9 10.5

    Neutral 58 26.4 26.4 36.8

    Agree 77 35.0 35.0 71.8

    Strongly Agree 62 28.2 28.2 100.0

    Total 220 100.0 100.0 Table 4.1.7.4

  • Fig 4.1.7.4

    Inference: 35% of respondents agree that the some corporate in India think

    that the corporate who doing CRM activities are sometimes misused it only

    for profit.

    Descriptive Statistics

    N Minimum Maximum Mean Std.

    Deviation

    Please mark the most suitable option: [Companies who do CRM activities give a favorable impression to society.]

    220 1 5 3.58 .992

    Please mark the most suitable option: [In todays Scenario it is important for a company to be socially responsible.

    220 1 5 3.86 .908

  • Please mark the most suitable option: [CRM have a positive impact on countrys development growth]

    220 1 5 3.41 .996

    Please mark the most suitable option: [CRM is sometimes misused for profits]

    220 1 5 3.73 1.162

    Valid N (list wise) 220 Table 4.1.7.5

    Q8. Will you stop using the products of the company if they stop contributing

    to a social cause?

    Table 4.1.8.1

    Valid Frequency Percent Valid Percent Cumulative Percent

    Yes 85 38.6 38.6 38.6

    No 135 61.4 61.4 100.0

    Total 220 100.0 100.0

  • Fig 4.1.8.1 Inference: 61.36% people say that they will not stop using the products of the

    company if they stop contributing to a social cause.

    Q9.Which is the best source to promote Cause Related Marketing?

    Newspaper 126 25%

    TV 160 31%

    Billboards 23 5%

    Internet 116 23%

    Campaigns 81 16%

    Other 5 1% Table 4.1.9.1

  • Fig 4.1.9.1

    Inference: 31% of people think that TV is the best source to promote Cause

    Related Marketing.

    Q10. If you have to choose between different brands with the same price and quality, you will choose the brand that you know supports a social cause.

    .

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 10 4.5 4.5 4.5

    Disagree 18 8.2 8.2 12.7

    Neutral 49 22.3 22.3 35.0

    Agree 106 48.2 48.2 83.2

    Strongly Agree 37 16.8 16.8 100.0

    Total 220 100.0 100.0

    Sales

    Newspaper TV Billboards Internet Campaigns Other

  • Table 4.1.10.1

    Fig 4.1.10.1

    Inference: 48.18% respondents agree that between different brands with the

    same price and quality, they will choose the brand that they know supports a

    social cause.

    Q11. Do you agree most statements made by the companies in advertising or

    product labels about supporting a social cause are true and they are actually

    spending that amount on some noble social cause?

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 5 2.3 2.3 2.3

    Disagree 32 14.5 14.5 16.8

    Neutral 85 38.6 38.6 55.5

    Agree 81 36.8 36.8 92.3

    Strongly Agree 17 7.7 7.7 100.0

    Total 220 100.0 100.0

  • Table 4.1.11.1

    Fig 4.1.11.1

    Inference: 36.82% respondents agree that the most statements made by the

    companies in advertising or product labels about supporting a social cause are

    true and they are actually spending that amount on some noble social cause.

    Q12. Try to identify this advertisement and answer the below questions

    accordingly:

    I remember this Ad campaign

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 2 .9 .9 .9

    Disagree 16 7.3 7.3 8.2

    Neutral 54 24.5 24.5 32.7

    Agree 109 49.5 49.5 82.3

    Strongly Agree 39 17.7 17.7 100.0

    Total 220 100.0 100.0

    Table 4.1.12.1

  • Fig 4.1.12.1

    Inference: 49.55% respondents remember this Ad campaign. This seems that

    the corporate is making a good effort in CRM activities.

    Q13. Based on the above advertisement, answer the following.

    A) The Ad message is understandable

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 6 2.7 2.7 2.7

    Disagree 21 9.5 9.5 12.3

    Neutral 49 22.3 22.3 34.5

    Agree 119 54.1 54.1 88.6

    Strongly Agree 25 11.4 11.4 100.0

    Total 220 100.0 100.0

    Table 4.1.13.1

  • Fig 4.1.13.1

    Inference: 54.09% respondents agree that the message given by this campaign

    is understandable to them.

    B) The message in the Ad is Authentic.

    Valid Frequency Percent Valid Percent

    Cumulative Percent

    Strongly Disagree 6 2.7 2.7 2.7

    Disagree 19 8.6 8.6 11.4

    Neutral 66 30.0 30.0 41.4

    Agree 110 50.0 50.0 91.4

    Strongly Agree 19 8.6 8.6 100.0

    Total 220 100.0 100.0

    Table 4.1.13.2

  • Fig 4.1.13.2

    Inference: 50% of respondents agree that the message they want to give

    through this ad campaign of CRM is authentic.

    C) The benefits described in the Ad are believable to me.

    Valid Frequency Percent Valid Percent Cumulative Percent

    Strongly Disagree 5 2.3 2.3 2.3

    Disagree 16 7.3 7.3 9.5

    Neutral 75 34.1 34.1 43.6

    Agree 103 46.8 46.8 90.5

    Strongly Agree 21 9.5 9.5 100.0

    Total 220 100.0 100.0

    Fig 4.1.13.3

  • Fig 4.1.13.3 Inference: 46.82% of respondents agree that the benefits described in

    the Ad are believable to me.

    D) After viewing this Ad, I would consider purchasing the product.

    Valid Frequency Percent Valid Percent

    Cumulative Percent

    Strongly Disagree 4 1.8 1.8 1.8

    Disagree 23 10.5 10.5 12.3

    Neutral 98 44.5 44.5 56.8

    Agree 80 36.4 36.4 93.2

    Strongly Agree 15 6.8 6.8 100.0

    Total 220 100.0 100.0

    Fig 4.1.13.4

  • Fig 4.1.13.4

    Inference: 36.36% respondents think after viewing this ad they are ready to

    buy this product as it is doing a CRM campaign.

    E) This Ad is much better than other Ads for products in this product

    category.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 4 1.8 1.8 1.8

    Disagree 25 11.4 11.4 13.2

    Neutral 85 38.6 38.6 51.8

    Agree 86 39.1 39.1 90.9

    Strongly Agree 20 9.1 9.1 100.0

    Total 220 100.0 100.0

    Fig 4.1.13.5

  • Fig 4.1.13.5

    Inference: 39.09% respondents say that CRM campaign ad of this product is

    much better than the other ads for products in this same product category.

    Descriptive Statistics- Table 4.1.13.6

    N Minimum Maximum Mean Std.

    Deviation

    Based on the above advertisement, answer the following. Please mark on your opinion [The Ad message is Understandable]

    220 1 5 3.62 .906

    Based on the above advertisement, answer the following. Please mark on your opinion [The message in the Ad is Authentic.]

    220 1 5 3.53 .873

  • Based on the above advertisement, answer the following. Please mark on your opinion [The benefits described in the Ad are believable to me.]

    220 1 5 3.54 .851

    Based on the above advertisement, answer the following. Please mark on your opinion [After viewing this Ad, I would consider purchasing the product.]

    220 1 5 3.36 .829

    Based on the above advertisement, answer the following. Please mark on your opinion [This Ad is much better than other Ads for products in this product category.]

    220 1 5 3.42 .875

    Valid N (list wise) 220

    Q14.Try to identify this advertisement and answer the below questions

    accordingly:

    I remember this Ad campaign

    Valid Frequency Percent Valid Percent

    Cumulative Percent

    Strongly Disagree 5 2.3 2.3 2.3

    Disagree 6 2.7 2.7 5.0

    Neutral 34 15.5 15.5 20.5

    Agree 129 58.6 58.6 79.1

    Strongly Agree 46 20.9 20.9 100.0

    Total 220 100.0 100.0

  • Table 4.1.14.1

    Fig 4.1.14.1 Inference: 58.64% respondents agree that they remember this ad campaign

    completely

    Q15.Based on the above advertisement, answer the following.

    Please mark on your opinion

    A)The Ad message is Understandable

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 4 1.8 1.8 1.8

    Disagree 10 4.5 4.5 6.4

    Neutral 41 18.6 18.6 25.0

    Agree 122 55.5 55.5 80.5

    Strongly Agree 43 19.5 19.5 100.0

    Total 220 100.0 100.0 Table 4.1.15.1

  • Fig 4.1.15.1

    Inference: 55.45% respondents agree that the message is understandable to

    them and they can easily get to know what the corporate is trying to say.

    B) The message in the Ad is Authentic

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 4 1.8 1.8 1.8

    Disagree 7 3.2 3.2 5.0

    Neutral 57 25.9 25.9 30.9

    Agree 117 53.2 53.2 84.1

    Strongly Agree 35 15.9 15.9 100.0

    Total 220 100.0 100.0

    Table 4.1.15.2

  • Fig 4.1.15.2

    Inference: 53.18% respondents agree that the message in the ad Authentic to

    the customers.

    C)The benefits described in the Ad are believable to me.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 5 2.3 2.3 2.3

    Disagree 6 2.7 2.7 5.0

    Neutral 58 26.4 26.4 31.4

    Agree 114 51.8 51.8 83.2

    Strongly Agree 37 16.8 16.8 100.0

    Total 220 100.0 100.0 Table 4.1.15.3

  • Fig 4.1.15.3

    Inference: 51.82% respondents agree that the benefits described in the ad are

    believable to them and they can easily trust on this ad.

    D) After viewing this Ad, I would consider purchasing the product.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 4 1.8 1.8 1.8

    Disagree 8 3.6 3.6 5.5

    Neutral 67 30.5 30.5 35.9

    Agree 104 47.3 47.3 83.2

    Strongly Agree 37 16.8 16.8 100.0

    Total 220 100.0 100.0 Table 4.1.15.4

  • Table 4.1.15.4

    Inference: 47.27% respondents agree that the after viewing this ad, they

    would consider purchasing this product.

    E) This Ad is much better than other Ads for products in this product category.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 6 2.7 2.7 2.7

    Agree 10 4.5 4.5 7.3

    Neutral 71 32.3 32.3 39.5

    Agree 95 43.2 43.2 82.7

    Strongly Agree 38 17.3 17.3 100.0

    Total 220 100.0 100.0 Table 4.1.15.5

  • Table 4.1.15.5

    Inference: 43.18% think that this ad is much better than other ads for products

    in product category.

    Descriptive Statistics

    N Minimum Maximum Mean Std.

    Deviation

    Based on the above advertisement, answer the following. Please mark on your opinion [The Ad message is Understandable]

    220 1 5 3.86 .844

    Based on the above advertisement, answer the following. Please mark on your opinion [The message in the Ad is Authentic.]

    220 1 5 3.78 .815

    Based on the above advertisement, answer the following. Please mark on your opinion [The benefits described in the Ad are believable to me.]

    220 1 5 3.78 .837

  • Based on the above advertisement, answer the following. Please mark on your opinion [After viewing this Ad, I would consider purchasing the product.]

    220 1 5 3.74 .846

    Based on the above advertisement, answer the following. Please mark on your opinion [This Ad is much better than other Ads for products in this product category.]

    220 1 5 3.68 .907

    Valid N (list wise) 220

    Table 4.1.15.6

    Q16. Try to identify this advertisement and answer the below questions accordingly:

    I remember this Ad campaign

    Valid Frequency Percent Valid Percent

    Cumulative Percent

    Strongly Disagree 5 2.3 2.3 2.3

    Disagree 2 .9 .9 3.2

    Neutral 24 10.9 10.9 14.1

    Agree 123 55.9 55.9 70.0

    Strongly Agree 66 30.0 30.0 100.0

    Total 220 100.0 100.0

  • Table 4.1.16.1

    Fig 4.1.16.1

    Inference: 55.91%agree that they remember this ad campaign completely.

    Q17.Based on the above advertisement, answer the following.

    Please mark on your opinion

    A) The Ad message is understandable

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 6 2.7 2.7 2.7

    Disagree 6 2.7 2.7 5.5

    Neutral 32 14.5 14.5 20.0

    Agree 120 54.5 54.5 74.5

    Strongly Agree 56 25.5 25.5 100.0

    Total 220 100.0 100.0

    Table 4.1.17.1

  • Fig 4.1.17.1

    Inference: 54.55% respondents agree that the message in this ad is

    understandable to them.

    B) The message in the Ad is Authentic

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 8 3.6 3.6 3.6

    Disagree 3 1.4 1.4 5.0

    Neutral 46 20.9 20.9 25.9

    Agree 119 54.1 54.1 80.0

    Strongly Agree 44 20.0 20.0 100.0

    Total 220 100.0 100.0

    Table 4.1.17.2

  • Fig 4.1.17.2

    Inference: 54.09% respondents agree that the message in this ad is

    authentic.

    C) The benefits described in the Ad are believable to me.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 7 3.2 3.2 3.2

    Disagree 4 1.8 1.8 5.0

    Neutral 49 22.3 22.3 27.3

    Agree 113 51.4 51.4 78.6

    Strongly Agree 47 21.4 21.4 100.0

    Total 220 100.0 100.0

    Table 4.1.17.3

  • Fig 4.1.17.3

    Inference: 51.36% respondents agree that the benefits described in the ad are

    believable to them.

    D) After viewing this Ad, I would consider purchasing the product.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 1 .5 .5 .5

    Disagree 11 5.0 5.0 5.5

    Neutral 61 27.7 27.7 33.2

    Agree 97 44.1 44.1 77.3

    Strongly Agree 50 22.7 22.7 100.0

    Total 220 100.0 100.0

    Table 4.1.17.4

  • Fig 4.1.17.4

    Inference: 44.09% of respondents agree that after viewing this a, they would

    consider purchasing the product.

    E) This Ad is much better than other Ads for products in this product category.

    Valid Frequency Percent Valid Percent

    Cumulative Percent

    Strongly Disagree 1 .5 .5 .5

    Disagree 8 3.6 3.6 4.1

    Neutral 67 30.5 30.5 34.5

    Agree 101 45.9 45.9 80.5

    Strongly Agree 43 19.5 19.5 100.0

    Total 220 100.0 100.0

    Table 4.1.17.5

  • Fig 4.1.17.5

    Inference: 45.91% think that this ad is much better than other ads for products

    in product category.

    Descriptive Statistics

    N Minimum Maximum Mean Std.

    Deviation

    Based on the above advertisement, answer the following. Please mark on your opinion [The Ad message

    is Understandable]

    220 1 5 3.97 .870

    Based on the above advertisement, answer the following. Please mark on your opinion [The message in

    the Ad is Authentic.]

    220 1 5 3.85 .879

    Based on the above advertisement, answer the following. Please mark

    on your opinion [The benefits described in the Ad are believable

    to me]

    220 1 5 3.86 .883

  • Based on the above advertisement, answer the following. Please mark

    on your opinion [After viewing this Ad, I would consider purchasing the product.]

    220 1 5 3.84 .850

    Based on the above advertisement, answer the following. Please mark on your opinion [This Ad is much better than other Ads for products

    in this product category.]

    220 1 5 3.80 .807

    Valid N (list wise) 220

    Table 4.1.17.6

    Q18.Try to identify this advertisement and answer the below questions

    accordingly:

    I remember this Ad campaign

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 48 21.8 21.8 21.8

    Disagree 52 23.6 23.6 45.5

    Neutral 58 26.4 26.4 71.8

    Agree 46 20.9 20.9 92.7

    Strongly Agree 16 7.3 7.3 100.0

    Total 220 100.0 100.0

    Table 4.1.18.1

  • Fig 4.1.18.1

    Inference: Only 20.91% respondents say that they remember this ad

    completely.

    Q19. Based on the above advertisement, answer the following.

    Please mark on your opinion

    A) The Ad message is Understandable

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 43 19.5 19.5 19.5

    Disagree 65 29.5 29.5 49.1

    Neutral 58 26.4 26.4 75.5

    Agree 39 17.7 17.7 93.2

    Strongly Agree 15 6.8 6.8 100.0

    Total 220 100.0 100.0

    Table 4.1.19.1

  • Fig 4.1.19.1

    Inference: 29.55% of respondents disagree that they did not understand the

    message what the company is trying to say.

    B) The message in the Ad is Authentic

    Valid Frequency Percent Valid Percent

    Cumulative Percent

    Strongly Disagree 42 19.1 19.1 19.1

    Disagree 61 27.7 27.7 46.8

    Neutral 69 31.4 31.4 78.2

    Agree 36 16.4 16.4 94.5

    Strongly Agree 12 5.5 5.5 100.0

    Total 220 100.0 100.0

    Table 4.1.19.2

  • Fig 4.1.19.2

    Inference: 31.36% 0f respondents say that they have neutral reaction towards

    the authentication of this ad.

    C) The benefits described in the Ad are believable to me.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 39 17.7 17.7 17.7

    Disagree 60 27.3 27.3 45.0

    Neutral 79 35.9 35.9 80.9

    Agree 31 14.1 14.1 95.0

    Strongly Agree 11 5.0 5.0 100.0

    Total 220 100.0 100.0

    Table 4.1.19.3

  • Fig 4.1.19.3

    Inference: 35.91% of respondents had neutral response about the benefits

    described in this ad is believable to them

    D) After viewing this Ad, I would consider purchasing the product.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 25 11.4 11.4 11.4

    Disagree 47 21.4 21.4 32.7

    Neutral 96 43.6 43.6 76.4

    Agree 44 20.0 20.0 96.4

    Strongly Agree 8 3.6 3.6 100.0

    Total 220 100.0 100.0

    Table 4.1.19.4

  • Fig 4.1.19.4

    Inference: 43.64% respondents has neutral response about after viewing this

    ad, they would consider to purchase this product or not.

    E) This Ad is much better than other Ads for products in this product category.

    Valid Frequency Percent Valid Percent Cumulative

    Percent

    Strongly Disagree 38 17.3 17.3 17.3

    Disagree 50 22.7 22.7 40.0

    Neutral 92 41.8 41.8 81.8

    Agree 26 11.8 11.8 93.6

    Strongly Agree 14 6.4 6.4 100.0

    Total 220 100.0 100.0

    Table 4.1.19.5

  • Fig 4.1.19.5

    Inference: 41.82% of respondents have neutral response about this ad

    is much better than other Ads for products in this product category

    4.2 Inferential Analysis It is the testing of hypothesis in which a sample is chosen, studied and used to

    generalize the results of the sample to the target population that it represents.

    Independent t tests 1

    Grouping variable: Gender

    Null hypothesis H0: The Respondents are not willing to pay a higher price to

    the CRM companies with respect to gender.

    Alternate hypothesis H1: The respondents are ready to pay higher price to

    the CRM companies with respect to gender.

  • Table 4.2.1.1 Interpretation: Therefore, we reject H1 in favor of H0. We accept the null

    hypothesis i.e. there is no significance between the difference in the opinion

    that the respondents are ready to pay a bit higher price to the CRM companies

    with respect to gender. In other words, females do mind paying a higher price

    for CRM activities in comparison to men.

    Independent Samples Test

    Levene's Test for Equality of

    Variances T-test for Equality of Means

    F Sig. t df

    Sig. (2-

    tailed) Mean

    Difference Std. Error Difference

    95% Confidence Interval of the Difference

    Lower Upper Are you ready to pay a bit higher price for the company's product, which is related to a social cause?

    Equal variances assumed 1.155 .284 .529 218 .597 .035 .066 -.095 .164

    Equal variances

    not assumed .531 196.490 .596 .035 .065 -.094 .163

  • Chapter V Findings and Suggestions

  • 5.1 Findings:

    84.55% of people think that it is very important for a company to

    associate their brands with Cause Related Marketing.

    70.45% people think that corporate should promote its brand that they

    are using CRM activities to promote their brands as well as increase

    their goodwill with the help of CRM activities

    44.55% people agree that they have often seen Cause Related

    Marketing promotions and 9.55% people disagree that they have not

    seen CRM promotions often.

    65% of people say that they are ready to pay a bit higher price for the

    companys products that are related to a social cause.

    72.73% people say that the companies are doing these types of

    activities to overcome competition.

    50% of people agree that the companies that do CRM activities have a

    favorable impression in the society.

    51.63% think that in todays Scenario it is important for a company to

    be socially responsible.

    36.4% people agree that CRM has a positive impact on the society,

    which helps the company to do lots of CRM activities for the growth

    of the company.

    35% of respondents agree that the some corporates in India think that

    the corporates that are doing CRM activities are sometimes misused it

    only for profit.

    61.36% people say that they will not stop using the products of the

    company if they stop contributing to a social cause.

    31% of people think that TV is the best source to promote Cause

    Related Marketing.

    48.18% respondents agree that between different brands with the same

    price and quality, they will choose the brand that they know suppor