Should You Connect Your Gift Card Sales to a CSR Initiative?
Are you considering promoting gift cards in a new way? What are the benefits of tying in your gift card with your CSR initiatives? We explore the merits – and some ideas in this post.
There are a number of reasons why businesses should consider tying their gift card sales to CSR initiatives. First and foremost, doing so can have a positive impact on profits. A study by Cone Communications found that 87% of consumers are more likely to purchase from a company that is committed to social and environmental issues. In other words, consumers are willing to pay more for products and services from businesses that are doing good in the world.
In addition to increased profits, tying gift card sales to CSR initiatives can also provide businesses with a number of marketing opportunities. For example, companies can use their commitment to social responsibility as a way to differentiate themselves from their competitors. This can be a powerful marketing tool, especially for businesses that are trying to appeal to millennials and other socially-conscious consumers.
Finally, employees tend to be proud to work for companies that are making a positive impact on the world. This can lead to increased employee satisfaction and loyalty, which can benefit the business in a number of ways. In fact, a study by the Harvard Business Review found that employees who feel like their company is making a positive impact on society are twice as likely to stay with the organization.
The interesting news is there’s already an appetite for giving out there. Brands such as The good Registry allow donations of gift cards to charity partners, and Give a Gift turns unwanted gift cards into donations.
As a brand, you have the power to offer a variety of solutions.
First, you could play with the breakage on your card. Each unspent value could go back into your charity / charity partners of choice. This could be marketed and could have benefits both for recipients of the donations at the end period, or in the increased desire to spend as the expiration date is highlighted.
You could also donate a portion of gift card sales towards charitable endeavors.
Finally, you could reach out and partner with charitable gift cards. A balance bought on your card could also be used as a donation with another partner, either at point of purchase, or point of redemption.
So – where do you begin?
While the tech and partnerships need an expert hand, the first step is identifying your cause, charity or concern. The great news is many are very receptive to further support, especially from corporations. With stretched marketing budgets, even a small tie in may offer them a real life line for their donation targets.
If you’re interested in tying CSR initiatives into your gift card sales – talk to us today!