Wednesday, May 7, 2008

Three Kinds of Good

Ok, so there are many more than three kinds of good. But, from a company's perspective, I think there really are just three ways to think about how they might do good in the world. This "three ways in" notion came up about a year ago, when I was doing some research for a hospitality client on new opportunities they may have to set themselves apart.

First, the obvious: Corporate initiatives. These tend to fall within the realm of a "social responsibility" agenda. This one is high on the priority list for public companies, as evidenced by Visa. Following fast on the heels of going public, Visa just announced its corporate responsibility program and three year partnership with Oxfam. (Interesting message to send: When we were private we didn't give a damn about people. But now that we're public, boy do we care! What big hearts we have!) Alternatively companies may decide to switch over to renewable energy, support car-share programs among employees, or ensure fair labor practices. In any case, it's the share price, the employees or those on the receiving end of the $$$ that tend to benefit.

Second, products. This is the most popular bandwagon, these days. GREEN! We'll go GREEN and everyone will love us! They'll flock to us! AND, our customers get to feel good about themselves. EnergyStar appliances, energy efficient light bulbs, hybrid cars, eco-friendly cleaning products, biodegradable packaging, locally-sourced goods, the list goes on. This is where greenwashing too often comes into play, as the environmental benefits of products that were never intended to be environmentally-friendly are spun and touted.

Lastly, and perhaps most difficult to pin down, you've got customer involvement. It's here that not enough innovation is emerging, but so much opportunity lies ahead. This is where you the brand help me the consumer DO something - change my behavior for the better or help me help someone else, translating my actions into some kind of benefit to others. It's cause marketing at its best. Customers become a part of positive change, and it doesn't require companies to make their products out to be something they're not. Because this area is so intangible - here are a couple examples:


i'm Initiative from Microsoft: Every time someone uses their instant messenger or email services, they'll donate a portion of their ad revenue to a social cause of your choice. They've raised almost $1.5 million, so far.
  • WholeFoods gave me the option to donate the 10 cents I earned by bringing my own grocery bag to one of two local charities. My 10 cents isn't much, but it's quite a lot when combined with those of the hoards who frequent WholeFoods.
I'd like to think that a brand has the foresight to imagine that they should be doing or capable of all three. But, the truth is, the first is driven by the C-suite, the second relates to where they want and can allocate their R&D budgets, and the final way in has a lot to do with whether they've got innovative branding and marketing heads at the table.

The real money shot will be when a corporation can define a single-minded mission that drives and unites all three.

1 comment:

Anonymous said...

YOU SAID MONEY SHOT IN A BLOG!

A fourth and very interesting way of doing good as a corporation is to support your employee's choices. This benefits employee morale and anything they are interested in. Most of the big banks do this and it doesn't put them out there publicly on any one cause.