Can Philanthropy be a marketing strategy? Yes and No.

$50-million. That’s how much money Country Radio raised for St. Jude’s in calendar 2021. This past December alone, the giving exceeded $15-million. And that’s besides the tens of thousands of dollars, man-hours, and awareness-building efforts Country stations contribute throughout the year to (most likely) hundreds if not thousands of local worthy charities and causes, thus improving countless lives in the areas they serve. So can philanthropy be a marketing strategy?

Serving the Community

“Serving the community” is one of radio’s charges. Stations and talent embrace this to varying degrees. Many of those who have gone “all in” on service, month in and month out, have built powerful and lasting brand images as a result of “doing good.”

So can philanthropy be a marketing strategy for radio or any brand for that matter?

Yes and no.

Brand-building shouldn’t be a primary reason for embracing service. However, the goodwill stations and talent receive because of their efforts is a natural byproduct.

Philanthropy is an Opportunity to ‘Go Wide’

“Philanthropy increases brand loyalty when you practice it genuinely,” says Forbes. “Giving back increases engagement by sharing a mission and purpose with your customer base.”

This is especially true if you’re targeting a younger demographics. Elyse Cohen, Rare Beauty VP of social impact and inclusion, sees Gen Z is “a values- and purpose-driven consume. We believe it’s important that to do well by doing good.”

But Millennials, too, are receptive to cause marketing and expect companies to care about social issues. They’ll reward those that partner with the right causes, tending to “align with brands that have a social consciousness rather than those focused on profit only,” according to Jeannie Walters, CEO of 360Connext.

Walters sums up the benefits of philanthropy: 1) consumers are more loyal to brands that make them feel good; 2) the giving aspect of the brand makes consumers feel like they’re doing good; and 3) giving generates word of mouth from consumers wanting to tell others to know about in these brands.

A Little Less Talk and a Lot More Action

Consumers want brands to do more than just talk—they want to support brands that back their words with actions for causes they care about. Forbes has data to back this up. “When given the choice between two similar brands or products, 71% of consumers will purchase from a purpose-driven company over the alternative. Nearly 80% of consumers are more likely to remember a company with a strong purpose and 4.5 times more likely to recommend it to friends and family.” And for some, charitable efforts are enough to inspire brand switching.

While giving back is a great way to build brand loyalty, there are other indirect benefits, too. Entrepreneur says, “Job seekers love knowing that the work they do has a positive impact on the world,” and advises including employees in giving efforts while providing avenues for them to pursue their own philanthropic goals. This makes “working for your company feel more meaningful.”

However, as you plan your efforts, best to heed this caution from the Harvard Business review: corporate charitable efforts, intended primarily for self-promotions, can generate cynicism about company motives.

Start with Heart

Avoiding potential cynicism, business.nextdoor.com suggests “Finding a cause you are passionate about,” calling this “an essential step in community giving… While philanthropy for the tax benefits certainly has its perks, you are likely to be more engaged in giving back to the community when the cause is close to your heart.”

And “heart” is a great place to start. Who you can be passionate about serving? What unique skills can you leverage to do so? What people do you know who can help you figure out a plan of action?

If you don’t have a station or personal “do good” strategy in place, the first month of a new year is the perfect time to launch a new station strategy: extend the season of giving.

Related:

(Marketing): Ready to Wordle Y0ur Station

(Marketing): #ChickenWars: Y’All Capitalizing?

You can also get my thoughts on writing on my author website, MikeOMalleyAuthor.com and on tiktok @mike_omalley.

_{© 2023, Mike O’Malley, Mike O’Malley LLC}

_{Photo by Hannah Busing on Unsplash}