The role of brand/cause fit in the effectiveness of cause-related marketing campaigns

Previous studies of cause-related marketing (CRM) have demonstrated that it can impact consumer choice. We replicate and extend these findings using choice-based conjoint. Two studies involving 329 respondents show that fit between brand and charity can impact choice. In terms of trade-offs against price discounts, donation to a high-fit charity can result in 5-10 times the value of donation to a low-fit charity. We also find, however, that in both studies, the value of CRM does no justify its cost, at least in terms of short-term sales. Implications for the selection of optimal donation levels for CRM campaigns are discussed. (C) 2002 Elsevier Inc. All rights reserved.