Cause-related marketing (CRM)

Definition

CRM is a marketing system in which businesses and organizations such as NPOs and NGOs form a partnership to market a product or service and promote activities contributing to society or the environment. The system thereby benefits businesses supporting the activity, organizations promoting the activity, and consumers purchasing the products offered by participating companies.

The "Pink Ribbon Campaign" is an example of Cause Related Marketing (CRM). The Pink Ribbon Campaign was launched in the 1980s in the U.S. to raise funds and awareness of breast cancer and promote access to care, diagnosis, and treatment. Participating companies print pink ribbon labels on their products or offer pink ribbons and pins and donate a portion of proceeds from the products to breast cancer research institutions and supporting foundations. CRM allows a company to promote product sales and leverage its brand image by advertising that a donation is included in the product price.

The system also enables consumers to easily contribute to specific social issues by purchasing the product and NPOs to obtain an active resource for funds and raise public awareness for their activities *1.