ITC

Cause Related Marketing

Cause Marketing defined

Defined as the public association of a for-profit company with a nonprofit organization, CRM is intended to promote the company’s product or service and to raise money for the nonprofit organizations.

CRM - Its Different from Social Responsibility

CRM - Its Different from Philanthrophy

Cause Related Marketing

Cause-related marketing can become a cornerstone of any marketing plan. Cause-related marketing activities highlight company's reputation within target market.

Cause-related marketing can positively differentiate a company from its competitors and provide an edge.

By choosing a cause you are passionate about, cause-related marketing is emotionally fulfilling.

It's a way to merge your profit center with your "passion center" and build a business that mirrors your personal values, beliefs and integrity.

e-CRM and Indian Examples of CRM campaigns

CITIBANK in Project Shiksha

Citibank provides option to its account holders to contribute Rs. 100 every month for education of underprivileged children.

Citibank’s most consistent programme with CRY has been the Citibank CRY Affinity Credit Card .

Breast Cancer Awareness Campaign

AVONWomen are the heart of Avon's success and Avon

continues to support and understand their needs through Avon's Breast Cancer Crusade.

The goal of the Avon Foundation Breast Cancer Crusade is to improve access to quality breast health care for underserved, uninsured and low income populations, and to support biomedical research focused on prevention and improved methods of diagnosis and treatment to Cure and prevent breast cancer.

Warner Music

Warner Music raised a fantastic £50,000 for Breast Cancer Awareness Campaign by donating £1 on every 'Breakthrough Breast Cancer presents All Woman - The Platinum Collection' album sold. Warner Music also launched a special edition album entitled ‘Ladies’ Night’ with a £1 donation going to Breast Cancer Awareness Campaign for each album sold.

Alliance Carton Nature andUNICEF (France)

Alliance Carton Nature and UNICEF in France launched a joint initiative to recycle beverage cartons, which would then be turned into wrapping paper and sold in supermarkets to support UNICEF projects

Since the program was launched in 1996, every year approximately 300,000 children ages 9 to 11 are invited to participate in the project.

Each Christmas the paper is sold through retailers in France. The projects from the sales are contributed to a different UNICEF initiative each year.

RESULTS………………..

Profits from the program contribute to different major UNICEF projects each year

Since its inception well over 800,000 euros were donated through the Brikkado wrapping paper program.

Program has received a lot of awards

In 2004, for the second year in a row, the UNICEF Christmas Wrapping Paper was designated as an environmentally sustainable product by the French Ministère de l’Environnement et du Développement.

ITC ITC Limited, is an Indian conglomerate with a turnover of US

$ 6 billion

ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers, Packaging, Agri-Business, Packaged Foods & Confectionery, Information Technology, Branded Apparel, Personal Care, Stationery, Safety Matches and other FMCG products.

While ITC is an outstanding market leader in its traditional businesses of Cigarettes, Hotels, Paperboards, Packaging

In addition, ITC's businesses have created sustainable livelihoods for more than 5 million people, a majority of whom represent the poorest in rural India.

ITC e- choupal

E- Choupal

The Choupal is a Hindi word for village square where elders meet to discuss matters of importance. The letter "e" has brought in a computer with an Internet connection for farmers to gather around and interact not just among themselves but with people anywhere in the country and even beyond.

E-Choupal delivers realtime information and customized knowledge to improve the farmer's decision-making ability, thereby better aligning farm output to market demands; securing better quality, productivity and improved price discovery.

The model helps aggregate demand in the nature of a virtual producers' co-operative, in the process facilitating access to higher quality farm inputs at lower costs for the farmer.

ITC ITC's Agri-Business is India's second

largest exporter of agricultural products.

Through the e- Choupal initiative, ITC

aims to confer the power of expert knowledge on even the smallest individual farmer. Thus enhancing his competitiveness in the global market.

ITC’s e-choupal is the single-largest

information technology-based intervention by a corporate entity in rural India.

Transforming the Indian farmer into a progressive knowledge-seeking citizen. Enriching the farmer with knowledge; elevating him to a new order of empowerment.

ITC e-choupal  has emerged as one of the most ambitious project integrating information technology and corporate sector for rural transformation. 

ITC e-choupal network has already covered approximately 3.1 million farmers through 5050 choupal in 29,500 villages.

The company has ambitious plan to reach 1,00,000 villages covering 10 million farmers by 2010 with whopping approximately 1,000 crore. It is opening 5-6 e-choupals everyday in six different states of India.

How does it work

ITC installs a computer with solar-charged batteries for power and a VSAT Internet connection in selected villages.

The computer's functioning is free from the usual troubles of power and telecom facilities in rural area.

A local farmer called sanchalak (conductor) operates the computer on behalf of ITC, but exclusively for farmers.

5 Distinct Services Information:

Daily weather forecast, price of various crops, e-mails to farmers and ITC officials, news-all this in the local language and free of cost.

Knowledge:

Farming methods specific to each crop and region, soil testing, expert advice mostly sourced from agriculture universities-all for free.

Purchase:

Farmers can buy seeds, fertilizers, pesticides and a host of other products and services ranging from cycles and tractors to insurance policies. Over 35 companies have become partners in the e-choupal to sell their products through the network.

5 Distinct Services

Sales:

Farmers can sell their crops to the ITC centers or the local market, after checking the prices on the Net.

Development work:

NGOs working for cattle breed improvement and water harvesting, and women self-help groups are also reaching villages through e-choupal.

Choupal Saagar Hub

• ITC has continued to build new infrastructure by supplementing– rural marketing hubs called Choupal Saagars, positioned within tractorable distance of 30 e-Choupal centres

and their user communities.• The e-Choupal – Choupal Saagar hub and spoke combination is

unprecedented grassroots click and mortar infrastructure transporting rural local economies to a new level of productivity and consumption.

Choupal Saagars offer a combination of services to rural India. Made-to-design agri-business hubs, they function as: ITC agri-sourcing centres providing farmers a transparent

best price sales window

shopping centres bringing a range of products comparable to urban levels of choice

facilitation centres delivering a host of farm-related services – training, soil testing, product quality certification, medical and clinical services, cafeteria and fuel station. 24 Choupal Saagar hubs are already in operation in 3 states, to grow to 100 by 2010.

Other Initiatives On purchase of Aashirwad, Sunfeast or Kitchens of India

products, consumers invariably support issues such as water conservation and tree plantation.

A percentage of the sales proceeds is channelised into these areas.

Similarly, the sale of ITC’s Expressions Greeting Cards funds places that look after orphan children in India.

Again, on the purchase of ITC’s Classmate notebooks, Re 1 is donated for the cause of rural development and children’s education.

ITC’s Stationery Business Notebooks was a Rs 5,000-crore (Rs 50 billion) category growing at

9-10 per cent every year.

Importantly, there were huge visible gaps in the market. The organised segment accounted for less than 10 per cent of the notebooks market.

There were only a couple of players with a pan-India presence: the Mumbai-based Navneet and Nightingale, owned by the Sivakasi, Tamil Nadu-based Srinivas Fine Arts.

While market leader Navneet's sales come primarily from West India, Nightingale had restricted itself to the premium end by focusing on superior styling and had built a successful business out of diaries.

ITC’s Stationery Business

ITC launched its notebooks, deliberately pricing itself 10-15 per cent higher than the competition, between Rs 10 and Rs 40.

This ensured that it created an affordable-yet-aspirational image and also send a hidden message of being a superior product (60 gsm paper, bleached without using chlorine).

Then, ITC focused on the design elements of notebooks: each Classmate notebook has a theme on the cover and related information inside.

For instance, if the cover has a photograph of a ship, the inside front cover has information about ships.

Then, the last two pages of the notebook have trivia and the back cover highlights the corporate social responsibility initiatives of the company (Re 1 from each notebook sold is set aside for the cause of underprivileged children).

In 2003, the company rolled out 'Classmate',

‘Classmate Invento’

Classmate - India's largest National brand, reaching 50,000 outlets across the country, has over 300 variants in its range which comprises notebooks, long books, practical books, drawing books, scrap books, reminder pads etc.

A recent addition to the Classmate portfolio has been the Classmate Fun N Learn range of children books targeting pre school learners.

Every Classmate notebook carries ITC's Corporate Social Responsibility message on its back-cover. For every two Classmate Notebooks sold, ITC contributes Re. 1 to its rural development initiative that supports, among other projects, primary education in villages.

Classmate notebooks are made from ITC's superior eco-friendly Elemental Chlorine Free paper. They are manufactured by small scale enterprises, supported by ITC's product development and marketing skills.

Conclusion When cause marketing was launched over 25 years ago, it was

viewed as a fledgling idea

Cause marketing is a global phenomenon that has developed into the new way for businesses and nonprofit causes to collaborate to achieve mutual benefits.

Right cause marketing can help achieve mission, generate additional revenue, extend reach, get out important messages, change behaviors, and enhance awareness of a nonprofit and the cause.

Cause marketing’s time has come, and companies continue to find more money and resources in their budgets for cause marketing.

Thank You Name Roll number

Shraddha Goje 42

Neha Raje 24

Virti Shah 99

Rohan Sood 108