the mount vernon report spring 2002 - vol. 2, no. 2

8/8/2019 The Mount Vernon Report Spring 2002 - vol. 2, no. 2

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A researcher would be hard pressed to find a significant number of people who could remember, off the top of their heads,any specific television commercial of the hundreds of advertisements that aired during the recent Winter Olympics.

But a nursing student, a working nurse, health care professionals and individuals who have had positive experiences with nurs-es would readily recall the upbeat ad from Johnson & Johnson that lauded the important role nurses play in health care deliv-ery, and sought public support for the companys effort to recruit new nurses.

Johnson & Johnsons Campaign for Nursings Future is an example of cause-related marketing, broadly defined as an effortby a commercial enterprise to align itself with a worthy cause in a way that produces mutual benefits for both the enterpriseand the cause. More often than not, the primary benefit for the enterprise is improved goodwill for their brand and a strongerassociation between the brand and the values it represents.

For example, in Johnson & Johnsons case, the effort to combat the worst-ever shortage of nursing professionals in U.S. historyis not only a worthy social goal but also helps positively reinforce the company with female heads of families and health care pro-fessionals, the chief consumers of their products. It links Johnson & Johnson to a solution that not only helps the public need,but also assists a critical audience to their company nurses, hospitals and health care providers.

Cause marketing is the modern embodiment of Don Quixotes maxim: Tell me thy company, and I will tell thee what thou art.

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Its okay to be a little envious of John Henry, TomWerner and the new Red Sox owners.

Envious of their ability to raise the largest amount ofmoney ever spent to own a sports team. Envious of thefact that, while they are New England newcomers, theyhave a job that every New England sports fan hasdreamed of at least once in his life. But, while theBoston Red Sox franchise to many is an icon of baseball

I s su e s Af f e c t in g Repu ta t i on Manag emen t and S t ra t e g i c Communi ca t i on

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{SE E B RA ND- PG 4}

This quarters Mount Vernon Report celebrates the power of doing good, and highlightsthe intangible business benefits that result from those actions. Though our puritan culturemay temper our urge to be boastful, active involvement, civic leadership and genuine careand concern for those around us dont go unnoticed in the business world. Credit comesin due time to those whose actions back up their good works.

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Brands With A Cause

glory Ted Williams, the Green Monster, the 76 WorldSeries long-time team owners Tom and Jean Yawkeycreated a brand that stretched far beyond the walls ofFenway Park. Pioneering goodwill in baseball throughthe Yawkey Foundation, this unique family has left itsmark on Boston and established a tradition of charityand community outreach that the new owners will wantto embrace.

As Corporate Citizens, the Red Sox Hit a Homerun

Personal Perspective


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The Red Sox franchise began buildingcommunity ties early on in its existence.But when Tom Yawkey bought the teamfrom the last of a long line of failedowners, that activity increased dramati-cally. Yawkey never did succeed in build-ing a World Series winning club, buthe did manage to build a team thatbecame an integral part of Boston andNew England.

In the teams earliest years, Red Soxplayers visited children in local hospi-tals and orphanages, starting a tradi-tion followed by every Major Leagueclub. Over the next few decades, moreand more Red Sox players and staffspent countless hours visiting Boston-

area hospitals, schools and Boys Clubs.By 1953, their efforts had made suchan impact that the Yawkeys adoptedthe Dana-Farber Cancer Institute's

Jimmy Fund as its official charity.That support has never wavered.Today, Dana-Farber is among the fore-most cancer research institutions inthe world.

The notions of philanthropy and social responsibility are not new. They have been around for thousands of years , as

the quotations below remind us. Can you attribute the famous sayings below to their inspirational authors

It is not only for what we do that we are held responsible,

but also for what we do not do.

Well done is better than well said.

Live as if you were to die tomorrow.

Learn as if you were to live forever.

Never mistake motion for action.

The difference between what we do

and what we are capable of doing

would suffice to solve most of the world's problems.

I hear and I forget. I see and I remember.

I do and I understand.

Although the Yawkeys will never beremembered as embracing diversity the Red Sox were the last team in themajors to sign an African-Americanplayer (Pumpsie Green, 1959) for-mer Red Sox CEO John Harringtontook steps in the 1990s to expand theteams community outreach beyond itstraditional school and hospital visitsto address the needs of minorityneighborhoods in the inner city.

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Notable Quotables

Outreach activities included supportinginner-city youth baseball programsadvancing educational programs, andreaching out to organizations that assisted children and veterans living withphysical and mental disabilities andother disadvantages. Last year, the teamalong with the Yawkey Foundationsponsored a walk to raise funds forautism research. They have also spon-sored food drives and read-a-thons for

No.5

No.4

No.3

No.2

No.1

No.6

A. Mathatma Gandhi

B. Ernest Hemingway

C. Confucius

D. Benjamin Franklin

E. Jean Baptiste Moliere

F. Mathatma Gandhi

By the i r own ef fo r ts , inte rests andvalues, the Yawkeys increased

awareness and generated suppor t fo r causes that had noth ing to do wi th basebal l , and every th ing to do wi th qual i t y o f l i fe .

Answers:1.E,2D,3AF,4B,5AF,6C


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children with Multiple Sclerosis, andhosted networking events and partner-ship programs for minority-owned busi-nesses.

As we gear up for a new season of highexpectations for the ball club, we mightalso stop to reflect upon the passing ofa baseball legacy. In baseball, wins andlosses are important. They are the yard-stick by which performance is meas-ured. But the Yawkeys and Harringtontruly succeeded in making the Red Soxan organization that is more than justanother corporate entity. By their ownefforts, interests and values, theyincreased awareness and generated sup-port for causes that had nothing to do

with baseball, and everything to dowith quality of life. Whether throughprovidence or through shrewd market-

The history of charitable giving and corporate philanthropy is long and established. Several historical examples of cause-related marketing, along with of the benefits of the programs, are highlighted below.

When given a choice between buying two products ofequal price and quality, 86% of adults said theyd be

more likely to buy a product associated with a causethey care about.Source: The Wider Benefits Of Backing A Good Cause, by Sue

Adkins, Marketing, September 2, 1999

93% of companies surveyed said they engage in causemarketing because it builds relations, compared to 50%response because it increases sales.Source: Executive Attitudes Toward Cause Related

Marketing/Best Practices, Cone/Roper, 1996

The first recorded cause-related marketing campaignwas conducted by a New York City candy maker

who, in 1902, increased sales by offering to donate apercentage of profits to a local orphanage.Source: Good Housekeeping, September 1995

One of the first corporate sponsors of the arts, Texacobegan supporting the live radio broadcast of the Metro-politan Opera in 1940 with Mozarts Le Nozze diFigaro. Texacos partnership with the Met has becomethe longest continuous national sponsorship in thehistory of broadcasting.Source: www.texaco.com

Cause-related Marketing Whos Doing it and Why?

Microsoft, one of the nations leading corporate phi-lanthropists, gave more than $215 million in cash and

software to nonprofit organizations around the world inits last fiscal year.Source: www.microsoft.com

It is estimated that U.S. and Canadian consumers buy$680 million worth of products that generate royaltiesfor nonprofit groups.Source: Good Housekeeping, September 1995

Fidelity Investments 17-year partnership with Readingis Fundamental, the nations largest and oldest non-prof-it childrens literacy organization, has resulted in the dis-tribution of more than 126,750 books to more than

44,000 children.Source: www.fidelity.com

Causes received $203.45 billion philanthropic dollarsin 2000. Corporations donated $10.86 billion andfoundations donated $24.5 billion.Source: American Association of Fundraising Counsel, Trust for

Philanthropy, 2001

ing counsel, they created a sense ofgoodwill for their team a feeling ofshared hope and the notion that wewere all in it together. The Yawkeysefforts were well rewarded, too.Regardless of the Red Sox record,Boston fans seem to have an eternalsense that this year might be the yearand Fenway Park is continually full ofpatrons ready to provide their support.

With the sale of the Red Sox complete,Harrington will now oversee the YawkeyFoundation, continuing the legacy ofgoodwill and corporate citizenry startedby the Yawkeys. The newcomers to RedSox Nation will have to demonstratetheir commitment to the community

that served the Yawkeys and Harringtonso well. To some extent, the controversybehind the sale of the team may have

tarnished the image that they createdBut the new owners have a rare opportu-nity to expand upon the solid founda-tion for corporate citizenry laid outbefore them. The goodwill that the RedSox franchise has built will carry theteam for a long time. And as recententrants to the Boston business commu-nity, the Henry-Werner Group will wantto entrench themselves into its culturetradition and history. They may havebought into Red Sox Nation, but nowthey need to become a part of it.

Bringing a World Series championshipto Boston would be a good start. Buteven if thats not in the Red Sox imme-diate future, continuing the legacy of

community service will always keepfans coming back for more.


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Even though the phenomenon only gained prominence twodecades ago, eight out of 10 corporations and two of every threenon-profit organizations are now somehow engaged in cause-related marketing. Dubbed the fastest growing advertisingtrend by Timemagazine, corporate spending in this field couldexceed $20 billion this year.

Companies engage in cause-related marketing to underscoretheir mission, reputation, business conduct and their commit-ment to special or specific social interests. The potential benefitsvary based on the duration and type of marketing campaign andcause, as well as how and to whom it is communicated. In gen-eral, however, the potential benefits include:

A claim to leadership in an important field Differentiation among competitors Improved reputation and brand equity Better overall customer relationships Improved penetration in niche markets

Increased overall market share Community, stakeholder and shareholder goodwill Improved networking and partnerships And, increased employee morale and loyalty

Some cause-related marketing campaigns have a brief lifespanand are designed primarily to induce a spike in sales. Its notunusual, for example, for web-based e-commerce sites to donatea portion of the proceeds of purchases to charity during theholiday season.

Other corporate citizenry efforts, such as ConAgras long-termeffort to attack the enduring problem of childhood hunger inAmerica, represent long-term, educational commitments designed

largely to build brand awareness, as well as goodwill.

The CBS network affiliate, WBZ-TV in Boston, has become syn-onymous with the Wednesdays Child adoption effort, whichhas generated a deep, positive relationship between the community,the television station, and the programs chief advocate, anchor-man Jack Williams.

Ford Motor Companys partnership with the Susan G. KomenBreast Cancer Foundation, played out primarily through the

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The Mount Vernon Report is published by Morrissey & Co., an independent strategic communications and public relations firm headquartered at 121 Mount Vernon Street, Boston, MA 02Further commentary or response to any of the topics discussed in this issue is welcomed and should be directed to 617-523-4141 or via email to [email protected].

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{PERSPECTI V E- cont. from pg. 1}

You may ask: Is getting credit for your good works, corporate philan-thropy, cause or charity in poor taste? No. But that said, try to viewyour good works from the point of view of the receiver, not just as thegiver.

As we begin a new era after September 11, corporate America is takinga new look at charitable giving, and thats a good start. Civilizationscountries, cities, corporations, organizations and individuals will al

ultimately be judged successes or failures by the good intentions theyacted upon not the ones they thought about. As Mahatma Ghandonce said, You must be the change you wish to see in the world. Andin the business world, you will typically be rewarded for it.

Foundations Race for the Cure events, has created improvedinroads for the auto giant among female car and truck buyers.

Finding that AIDS was a key issue among the 21 to 34-year-oldconsumers they hoped to reach, Tanqueray decided to make itselfa leader in the effort to raise money for AIDS-related charities.

Sears, Roebuck and Company, seeking to improve its rapport with25 to 54-year-old women, chose to partner with Gilda's Club, anorganization named after comedienne Gilda Radner that providemeeting places for people living with cancer.

The most effective cause-related marketing campaigns are ongoingpartnerships with well-established, non-profit organizations, andcarry deep and lasting executive and employee support. Suchefforts typically fit the companys culture, product and reputation, and are delivered to target audiences through a variety ofintegrated communications vehicles.

The Johnson & Johnson nursing recruitment program meets all ofthose criteria.

The partners in this campaign are health care leaders and nursingorganizations, including the National Student NursesAssociation, the National League for Nursing, the AmericanNurses Association, the American Organization of NursExecutives, and Sigma Theta Tau International. The purpose ofthe campaign dovetails perfectly with the Johnson & Johnsoncredo that "our first responsibility is to the doctors, nurses andpatients, to mothers and fathers and all others who use our prod-ucts and services."

The first steps of the long-term effort are the nationwide advertising campaign that debuted during the Salt Lake City games, acomprehensive web site for potential nursing students, and schol-arship grants to support nursing students.

By following through on this program and enhancing it over timeJohnson &Johnson stands a good chance of achieving the ultimatestrategic goal behind all serious cause marketing programs building and maintaining a lasting, often emotional connectionwith key audiences.

Corporate altruism must be a sustained mission for a company if thegood intentions are to be taken seriously. Companies should considerthis standard when they evaluate their collective behavior. Are we doingthe right thing? Have we considered the outcomes and how it will affectour customers, employees, shareholders and the community at large?

Progressive companies are sensitive to how they are perceived in socie-ty and are constantly seeking ways to improve their public approval rat-

ing. They do this not just to be good public citizens, but because acompany whose behavior or conduct of business, products and servic-es are viewed favorably by target audiences is usually successful inaccomplishing its business goals.

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