Shifting Responsibility: Purpose-Driven Brands Over Government

A new study by Edelman shows a significant shift in public expectation as it relates to philanthropy. People are less interested in the government tackling social issues and are more interested in purpose-driven companies becoming better corporate citizens.

Specifically, 87 percent of Americans believe business needs to place equal weight on society's interests as well as business interests. Eighty percent feel corporations are in a uniquely powerful position to make a positive impact for good causes. And nearly two-thirds would like corporations to integrate philanthropy into their daily operations (beyond giving money).

"Cause-related marketing, as we know it, is dead," said Carol Cone, managing director, brand & corporate citizenship, Edelman. "Americans are seeking deeper involvement in social issues and expect brands and companies to provide various means of engagement. We call this the rise of the 'citizen consumer.'"

Is There Really A Rise Of The Citizen Consumer?

Some parts of the study bear this out. Consumers' expectation of government to do the most for good causes has declined dramatically since 2009, while their expectation of "people like me" has jumped. Only 30 percent of U.S. consumers now believe that the government should be doing the most to support good causes, down 11 points from 2009.

There is a reason for this. More than ever before, consumers have come to realize that when government tackles social causes, it must seek funding, which eventually is charged back to the consumer in the form of debt or taxes. As a philanthropic pillar, government is one of the least effective components for social good, because the return on taxpayer investments is diminished compared to corporate grants, individual donations, and direct support.

For example, the amount of one taxpayer dollar is significantly diminished (as much as 80 percent) by the time it reaches a participant when compared to a direct one dollar donation (only about 20 percent, depending on the nonprofit). In addition, people want to be directly involved in giving, with 3 percent believing that "people like me" should be doing the most, up 8 percent from last year. They want the companies who they identify with to do good too.

Where the study falls short is in placing too much emphasis on a study that suggests 47 percent of Americans rank purpose as significantly more important than design/innovation or brand loyalty as a purchase trigger when quality and price are the same. The reason is that if quality and price are the same, then there is no innovation.

The reality is that Americans want two things from companies. They want innovative products and services that do no harm. And they want companies, especially those with hefty profit margins, to do more good.

What they don't want are companies that employ cause marketing as smokescreens, notably the concept of greenwashing. What they do want, which most cannot articulate, are companies that follow a Marc Benioff model. He believes the best charity models include investing one percent of a company's profits into grants and donations, one percent of its time into volunteer efforts, and one percent of its time into equity (e.g., foundations).

The model makes sense. When companies invest in the communities in which they operate, they strengthen the community in which they operate, which eventually leads to more prospects willing to purchase their products (assuming the products have value). Even more importantly, as the study points out, people want to work with companies to get the job done (much more than they want the government involved).

Additional Highlights From The Edleman 2010 Good Purpose Study.

• 79 percent of Americans find it acceptable for brands to support good causes and make money at the same time.
• 75 percent of Americans believe that projects that protect and sustain the environment can help grow the economy.
• 67 percent of Americans support legislation requiring environmental standards even if it negatively impacts profits.
• 62 percent of Americans would pay slightly more for a product (like a beverage) if that money went to good causes.
• 34 percent of Americans would prefer to receive a donation to a good cause as a gift than a friend-picked gift.

The takeaway on this last set of numbers is very telling. People are basically saying that they want companies to become more involved and will reward those companies for doing so. However, if companies do not become involved, then the public is willing to force legislation that will require them to do so.

This study might suggest something else too. As long as companies are not abusing their support of good causes, customers want to know they are involved. While it used to be some strategic philanthropic thinking was to hide donations (rather than boasting), consumers really want companies to speak up and help set an example. Now that's something to think about.

Focusing On Social, Not Media: Fresh Content Project

Every time communicators talk about social media, they tend to talk about social media. In reality, we are really talking about one portion of a communication plan. The reason is simple enough. Social media still seems new and that is where people want to focus.

Keep that in mind when you read these five fresh picks. If you do, you'll have a better understanding of why Malcolm Gladwell was right, why public relations professionals ought to have been clipping content beyond client mentions all along, why mass data collection never seems to match a single customer, and why you are only pretending that B2B and B2C are different. When it comes to people, people are people.

Best Fresh Content In Review, Week of October 25

• Gladwell Is Right. The Revolution Will Not Be Tweeted.
While there were plenty of people who took exception to Malcolm Gladwell's comment that the revolution will not be "Tweeted," Jason Falls takes the time to point out why he might be right. Falls says the primary reason is that the argument was meant to add some reality to the over-inflated sense of importance we give social networks. And, in this case, he is right. Social media does not happen in a vacuum. Unless your communication takes a physical or tangible form, it just doesn't matter.

• Curating Information as Content Strategy.
"Content, which is anything that informs, educates, or entertains online, is your business digital body language," writes Valeria Maltoni. And the importance could not be underscored enough. In a related study, we recently found that that 46 percent of the time, people are looking for topics of specific interest, 39 percent of the time for information, and 37 percent for multimedia, and 55 percent for news. Content consumption IS the primary activity online, despite why people join a social network. Think about that. And then find out from Maltoni why curation is important.

• Marketers, It’s Time To Rethink Target Market Segmentation.
Beth Harte tackles the various graphics — demographics, firmograhics, pyschographics, sociographics, and enthnographics — that marketers look at every day. When you add CRM systems and social media monitoring tools, there is a ton of data that can be pulled and pooled and analyzed. But instead of relying on that data alone, she suggests that marketers pay more attention to audience research analysis. And she is right. The best way to understand your audience is to connect with them and engage them on a regular basis. Besides, sometimes when you ask two questions, you discover different answers.

• The Pre-Holiday Internet Marketing Checklist.
Ian Lurie shares 20 things you could be doing right now, before the holidays, that you probably are not. He touches on almost every aspect of online marketing: scrubbing the house e-mail, fixing the Facebook page, improving site performance, doing SEO homework, fixing broken links, and so on and so forth. It's stuff many content creators never think about (guilty here, but not for clients). But even more importantly than running the list, Lurie specifies some of the stuff that people neglect and makes you want to get busy with it.

• Destroying the 7 Myths of B2B Social Media.
Jay Baer pinpoints some of the myths of B2B marketing in a slideshare presentation that makes sense. Among them: he includes the idea that B2B customers do not use social media, that it's not worth the trouble, and that it seems like a B2C world. Although not included in his slides, almost 90 percent of B2B decision makers are already interacting with personal and professional connections. The question B2B companies might ask themselves is if their prospects are not talking to them online, then who are they taking to?

Consuming Research: What If Popular Identified A Market Opportunity?

"We overdo pretty much everything," Gayle Bessenoff, who teaches psychology, told the Hartford Courant. "There's something about the American Dream that leads to overdoing everything."

It's one of several stories focused in "The Psychology of Overconsumption." The idea came out of research for another class, when Bessenoff noted the increased attention on hoarding and addiction. And she believes the American dream might have something to do with it. She's partly right, claiming the American dream originated as religious freedom, and suggests it is now fruitless.

In actuality, the American dream was first defined by James Truslow Adams in 1931. He said America was a place where citizens of every rank can achieve a "better, richer, and happier life." You can find the idea in the Declaration of Independence. It says that "all men are created equal" with inalienable rights such as "life, liberty and the pursuit of happiness."

The American dream Bessenoff is talking about today, is a misunderstanding. That American dream came about in the 1950s when certain items became commonplace as part of the American experience — a suburban home, lawn, car, and television. Basically, the public as a whole decided you could not have happiness without those things.

As the years moved forward, the quest for the new definition of the American dream became a compulsion and entitlement as opposed to something earned. We've added a lot more to the list too — a computer, smart phone, game console, certain services, certain assurances, etc.

More central, it seems to me, is her argument that people identify with not what they do (equally bad) but what they own (like a toothbrush).

How Does It Apply To Marketing And Communication?

If we oversimplify, marketing often comes in one of two forms. Innovate and create demand. Or, out position as a preferred choice. Both hope to establish a brand relationship that people identify with, as it generally solidifies consumer loyalty.

If Bessenoff is mostly right, then she is saying that people allow their things to identify them as much as they identify with their things. But I don't think that is right, except in some cases that I won't get into here.

Most people seem to buy something because it best meets the values or characteristics that they possess, like a hybrid car. Innovation tends to come out of these values too, which is why there is an increased focus on public transportation. And that is why what she is doing might be important to marketing. It helps clarify the thrust. People buy things (besides essentials) because it best meets their values and characteristics.

That seems like a very different class than overconsumption, although I agree with her that some brands are trying to hijack "happiness" into every can, cup, or cardboard box. Overconsumption is something else entirely, and I wish more marketers would pay attention to it. It's because the experience of purchasing the product (or consuming the product) is providing more happiness than the product.

That is something to think about. It could underpin which products or services are inherently weak, giving someone an opportunity to better innovate. Or perhaps, even more importantly, help us understand why popular tends to be less satisfying.

Advertising Negatives: Does It Still Work?

Now that the dust is settling after the midterm elections, it might be safer to consider the advent of negative advertising and whether or not it still works. The answer might be in the middle, with Americans clearly losing their appetite for it.

It's not exclusive to political advertisements. Companies employ them from time to time too, just with less frequency. Chevron clearly has in its campaign to claim that it is different from most energy companies. However, there might be some unintended consequences based on what it says.

What does it say? Oil companies make huge profits. Last year, Chevron made a lot of money. Where does it go? Oil companies should put their money to good use. All that sticks, but not the solution. Let's take a look...


The rest of the message is quickly lost to overlapping and less convicted dialogue, until Chevron is fully branded to the opening negative message. Did you see it? We make huge profits ... Chevron. We should put our money to good use ... Chevron. The economy is bad ... Chevron. It's the kind of strategy that lends itself to all sorts of interpretations, including those with colorful language.


Advertisers need to learn that people tend to associate negative messages with the source as much as the subject. The same can be said about political advertisements that are overtly negative, with some exceptions. But if it will help you to give yourself pause, always consider that negative messages generally stick to the source.

Some candidates learned this the hard way last night, except in Nevada. Front groups still seem to pull the wool over the eyes of Nevada voters. More than $1.7 million in negative ads was lobbied against one candidate from one front group, for example. But since the ad was funded by a front group, the opposing candidate wasn't considered the source.

Of course, both candidates did enter into the mudslinging on their own too. The reason was simple enough. Both of their respective teams knew they could no longer gain likability so they sought only to increase each other's unlikability. Now, neither of them are very well liked. Mission accomplished.

As much as I hate to admit it, negative ads do work, especially in politics. However, they tend to work best if they aren't too personal, too unbelievable (with the exception of humor), or too attached to the source as opposed to the subject. Looking back at the Chevron ad, you can easily see they miss on all three. The spoof, however, hits all three.

Checking It: Five Lessons To Save Your Social Media Program

Tucked inside a new study from Cone, a strategy and communication company, communication professionals will find some very worthwhile information if they read between the lines. And I do mean read between the lines.

The raw data never tells the whole story. You need a seasoned analyst to help you put the pieces together. And, this newest study demonstrates how important that can be.

An inexperienced communicator would look at this study and deduce customers like frequent engagement, plenty of coupons, interaction on more than one network, and are interested in everything the brand has to share on any given day. But we see the study differently, especially when we put the numbers from various parts to consider very different findings.

1. Incentive Offers Can Cost You Customers.

Finding. 77 percent of consumers say a free product, free service, coupon or discount will attract them to follow or like a new brand. However, in another section of the study, 58 percent of those consumers say that if a brand over communicates or starts to spam them (over saturating content or offers), then they are likely to stop following the brand.

Analysis. Everybody likes a promotion or contest from a brand they support. However, blasting daily discounts eventually erodes the offering, literally driving more people away than those offers might attract. Brands have to balance their tactical approach, keeping incentives in line with relevant content.

2. Consumers Can't Tell The Difference Between Blogs And Websites.

Finding. According to the study, 63 percent of Americans say that they interact with companies via their Websites and only 13 percent interact with or read a company blog, which scored lower than email, social networks, mobile devices, or message boards.

Analysis. The vast majority of links shared on social networks (content that consumers value) direct consumers to new information, articles, or posts. Whatever you call this content, almost all of it is delivered as a blog. In fact, more companies are beginning to replace their Websites with blogs to capitalize on a continuous stream of new content because there is very little reason to visit a static Website.

3. Social Networking Is A High Risk/Reward Medium.

Finding. 46 percent of consumers say that they expect companies to be able to solve their problems and provide customer support via social networks and/or other online engagement tools. 58 percent also say that when brands act irresponsibly toward "me" or other customers, they will stop following it.

Analysis. While many online interactions "feel" like customer service issues, brands must never lose sight of the fact that every interaction, especially with a customer having a problem, is a potential crisis communication situation. Where social media differs from customer service is two-fold. First, consumers are calling in on their own; they bring a percentage of their friends along for the ride. Second, the problem or concern is being addressed in public; the company must always remember it might as well be answering customer questions on a broadcast channel.

4. Engagement Is In The Eye Of The Beholder.

Finding. 28 percent of customers following a brand want the company to develop new ways to engage them online and 36 percent expect communication. However, 53 percent will drop the brand if the information they share isn't relevant enough and 36 percent will drop a brand that doesn't respond or refresh its content.

Analysis. People are different and, generally, behave online much like they do in real life. Think of it like your average high school classroom. Some students want to raise their hands and answer every question. Some students never want to be called on, even if they know the answer. Some leave the class and share information with friends. Some love the lessons, but share them with no one. And so on and so forth. Brands that build in adaptability to their engagement models will be best suited to hit the middle mark.

5. Real-Time Measurements Can Be Misleading.

Finding. Customers vary the number of times that they actively connect with brands. 33 percent visit once or twice a week (not daily), but the greater balance of the visitors only visit between a few times a year or a few times a month. 14 percent never visit again, even if they keep the connection open.

Analysis. The perspectives of a content creator and the consumer is significantly different. Content creators are engaged with their project on a daily basis. Most consumers are not, which changes the experience. For example, consumers are not likely to see each new item on a return visit but three or four or more new items, each time they return. So that post that didn't "seem" to have significant traction on the day it was posted could become your most popular a month from now.

Another quick tip related to experience: Online representatives must always remember that even if they have answered one question 100 times, the consumer is still asking that question for the first time. And no, they aren't searching your stream to see if you answered it already.

Social media seems like a simple communication tactic and many of my colleagues (myself included) tend to speak about it in simple terms. However, the reality is that social media is exceedingly complex because the people you hope to reach are complex. Sure, some experts will always make the case that there is a herd-like sociology pattern to be found, but don't count on it.

You can find the five-page 2010 Consumer New Media Study on Cone's Website. There is a data form to fill out, but you can limit the contact information to a name and email.

Tweeting Not tweeting: New Rules For Anything Goes

When Andy Warhol painted Campbell's soup cans, Brillo boxes, and Coca-Cola bottles, it was a well-known fact he consulted the style guides of the various brands he turned into subjects. Seriously? No, not seriously. I just made that up.

What I am not making up is Twitter would like to ask as much of you. Twitter has a new look. And with the new look comes revised rules for what once a clearinghouse of free expression. But as you know, with freedom comes responsibility, namely your responsibility and Twitter's freedom to protect its brand that you helped make popular.

Audrey Watters wrote about how what might seem harmless to some might have significant meaning to developers. And Brian Solis spelled out some of it in painstakingly detailed rules that everyone is asked to abide by. You can read about it straight from the source too.

"This document is designed to help you use our marks without having to worry about negotiating an agreement with us or talking to our lawyers. If you’d like to make any use of our marks that is not covered by this document, you must contact us at trademarks at twitter.com.

They're not new rules as much as they are revised old rules.

Before I go further, I might add most people don't have to be overly concerned today. The original guidelines were posted almost one year ago, including the aforementioned paragraph. Mostly, people ignored them, except developers.

In limited cases, graphic standards can be great things. They can be especially helpful for designers, partners, developers, and other vested parties. Attempting to herd the greater bulk of users, on the other hand, always ends badly.

It's something to keep in check. Twitter is aging quickly as a company, has new people in charge, and is feeling a little less vulnerable. You might too with so many users. Just look at what happened when MySpace felt safe.

All right, MySpace may not be the best example. But it does offer a reality check. One day, Twitter might insist that everyone capitalize the T in tweet (unless speaking about a bird, which I am). One day, the ability to leave the new and less aesthetically functional dashboard might end. And one day, it might insist every screen shot you ever took of a Twitter conversation might be struck.

While that might seem impossible, do keep in mind the new logo isn't as friendly as the original. That makes sense to me. Twitter doesn't define itself as a message service anymore. Nowadays, it is an information network.

By the way, did you know Reddit.com traffic has almost caught Digg.com traffic without any overt platform changes? And did you know Mixx.com is in decline (assuming you heard of it)? Did you know the Internet changes players on a regular basis?