Mutually Beneficial Marketingwhy businesses and brands need a good purpose

Global Winter 08

2nd Annual goodpurpose study inside

And its more important than ever to put

meaning into marketing

Only 25 % of people find contentment

from the shopping experience*

- Recessionary times call for more

substance

Over 83 % of consumers are willing to

change consumption habits to make

tomorrow’s world a better place*

63% of consumers think brands spend

too much on marketing/advertising

and should put more into a good

cause*

*Source: Edelman GP global study 2008

Recession: The 800lb Gorilla in the room

On global level….

Globally (80%) of consumers feel that during a recession, it is still important for brands and companies to set aside money for social purpose

Women are more likely than men to agree that “during a recession it is still

important for brands and companies to set aside money for a good cause or

purpose” (82% v 78%) and that “if a company has to cut its costs during a

recession it should not stop giving to good causes” (75% v 70%).

(68%) of consumers say that in a recession, they would remain loyal to a brand if they support a good cause

(55%) of consumers say that in a recession, they will buy from brands that support a good cause even if it is not the cheapest brand

Nearly one in two consumers say that the economic downturn has made no difference in their support of a good cause

Source: New findings from the Edelman goodpurpose 2nd annual study

A changing & evolving social business

landscape

Consumers move from viewers to

collaborators and want to be engaged

more than ever before

Consumer citizens & citizen brands

emerge

Interest in social purpose works across

all demographics: children, millenials,

boomers, women especially

Social purpose is now a popular culture

force to be reckoned with

Why goodpurpose now?media, websites committed to purpose

Good Magazine “is for people who give a damn. it’s an entertaining magazine about things that matter”

New Consumer, oneworld.net, stylewillsaveus.com, utopia.de, lohas.de, newethics.comchangex.de

sublime is the first international ethical lifestyle magazine, partnering aesthetics & ethics

CNN impact your world

lifegate.it, peopleplanetprofit.nl, ivyworld.de

Causecast, facebook, socialvibe

A new contemporary, more engaging way to look at social purpose marketing

Evidence of social purpose abounds

Evidence of Social purpose abounds

MSR Brand Example

Meet the Purpose PurveyorsPhilanthropists Campaigners Consumers

“People like me”Matt

Damon

George Clooney

Millennials

Bill &MelindaGates

Bono

Oprah Winfrey

Tony Blair

Al Gore

Bill ClintonBrad Pitt &

Angelina Jolie

Richard Branson

KofiAnnan

Muhammad Yunus

Women

Moms

Children

Boomers

Edelman presents

helping brands and companies put purpose

closer to their core proposition

People and brands working together to take

action and effect positive social change for

mutual benefit

A mutual social responsibility initiative

social areas

cross cultural understanding/diversity

education, arts & culture

environment

human rights/civil rights

personal & public health

poverty & hunger

self esteem/self worth

animal rights & protection

2nd Annual Global

Consumer Study October 2008

StrategyOne surveyed 6,000+ consumers across ten countries, aged 18-64

Canada

500

USA

1,000

UK

500

Brazil

500

Italy

500

Germany

500

India

500

China

1,000Japan

500

France

500

Consumers are more involved than ever

in social purpose

Consumers want to make a difference

& prefer brands that do!

Globally, nearly 9 in 10 consumers (87%) feel it is their duty

to contribute to a better society and the environment

82% of consumers globally say they can personally make a

difference by supporting good causes

83% of consumers are willing to

change consumption habits to

make tomorrow's world a better

place

76% of consumers globally like to

buy from brands that make a

donation to worthy causes!

How much do you personally care

about?…

Base: 6,048

63%

72%

73%

75%

80%

82%

84%

86%

88%

Supporting the creative arts

Helping to raise people's self esteem

Fighting HIV/AIDS

Building understanding/respect for other

cultures

Supporting human and civil rights

Equal opportunity to education

Reducing poverty

Improving quality of health/healthcare

Protecting the environment

Does social purpose beat brand design

and innovation? Make money and do good

too! 58% of consumers

globally are fine with brands that support good

causes and make money

55% globally say they

would be prepared to pay more for a brand in a

recession that supports a

good cause they believe in

When choosing between two brands of similar quality & price,

a social purpose is what would most affect consumer

decisions, globally (42%), ahead of design & innovation (30%)

and brand loyalty (27%).

Globally, consumers will pay more for &

evangelize good cause brands

Globally, 52% are more

likely to recommend a brand that supports a good

cause than one that does

not

Nearly seven in 10 globally

(69%) would be prepared

to pay more for eco-

friendly products

Over half of consumers

globally would help a brand

promote its products if there was a good cause behind it

Brands weighing in

many different ways…