If you’re a small business, have you ever considered a philanthropic approach to operating your company? Giving back is becoming increasingly important for companies of all sizes, whether you’re a start-up or a globally recognised super brand! It’s most definitely a growing trend, and considering the success it can bring it’s definitely here to stay.
So firstly, what do we mean by philanthropy? Well this can be anything from supporting a charity, to volunteering, getting involved in the local community and operating your own fundraisers. You don’t necessarily have to have a big budget for this activity either, it can work for businesses of all sizes and can actually be very beneficial start-ups! Let’s take a look at a few case studies.
This recent start-up have based their whole business strategy and approach on charitable giving. For every pair of their glasses sold they donate 50% to the Nepal Youth Foundation. This gives them a fantastic USP and edge over their competitors. It also appeals to their potential customers when shopping online for glasses, because why wouldn’t you want to shop and help charity at the same time?
The company even has a live counter on the homepage so you can see the donations rise, offering total transparency and honesty to their customers.
A truly amazing business idea, founded on the idea that fashion can feed others. For every bag sold Feed Projects donate a certain amount of meals to underprivileged children. It’s a wonderful idea and has seen Feed Projects grow a huge fan base with a dedicated following.
But it’s not just fashion or B2C brands that can take on this philanthropic approach by any means!
Just take UK watercooler supplier Cooleraid, they’ve recently celebrated hitting a donation amount of 5 million pounds! That’s quite extraordinary isn’t it? Since the company was founded they took on an impressive philanthropic approach by creating their own charity the Lifeline Fund. Since then the company has grown dramatically as have the donation amounts. It just shows what hard work and charitable giving can do.
So you might be thinking, sure this sounds great but what’s in it for me? Naturally, this is a question all business owners will consider. As much as we would all love to give to charity, sometimes it isn’t always feasible so we need to see the advantages of giving up our profits.
Customer Loyalty – customers are much more likely to remain loyal to brands that they view as positive and that do-good. After all would a customer prefer to stay loyal to a charitable brand or a brand where 100% of profits end up in the directors back pocket? It’s a no brainer!
Brand Identity – branding is everything, how your consumers perceive your brand is critical if you want success! A philanthropic approach enables you to build a stronger brand with more meaning that will resonate with the consumer. Many of our purchases are based upon emotions and if you can create an emotional connection with a customer you’re halfway there.
Marketing Material – dare I say it, but in all honesty it’s a great marketing tool. It gives you something to shout out about, and great content opportunities for social media, press releases and features.
For All Business Sizes
The benefits really are endless, and it’s definitely a route worth giving some consideration. If you’re worried your budget won’t stretch to large donations then don’t feel isolated as there is plenty of other options. Why not get the team down the local animal shelter one Friday afternoon to help out? Or organise an office fundraiser/event? Get creative, have fun with it and don’t forget to shout about it!