Disadvantages of Cause Marketing

Can be costly

Cause-related marketing isn’t investment-free. When you undertake a cause

marketing campaign, you’re adding a financial and/or time investment to your regular
marketing activity tab. Depending on how you’re supporting the cause, this can be a
significant expense. In the past, some businesses have been criticized for initiating
insincere cause marketing campaigns when their only motivation was increasing profits.
Customers are smart, and they can see right through a surface-level ad that lacks any real
value or commitment

Along those lines, the brand must be fully committed to a chosen cause. Running just a
couple ads in a quick campaign or giving a donation that looks minimal in comparison to the
revenue may make the business look uncommitted. The reputation can be harmed if target
audience sees the alignment with a non-profit organization as a marketing ploy. If the brand
seems ambivalent, why should your audience care about the campaign? A divisive stance
may create some pushback, and if your company wavers in its support, it will lead your
brand to appear unprepared or even weak.

When your company decides on a non-profit to partner with, the relationship is a two-way
street and their actions will reflect back on the company as well. Do you know whether the
partner is managing their donations effectively or using funds to spoil their top executives?
Tying your brand to a not-so-charitable cause can really backfire and make you look guilty
by association.

KFC bragged about making the single largest donation to breast cancer research. The claim
fell hollow when research on the Susan G. Komen for the Cure website detailed how body
weight can contribute to cancer risk. KFC is not seen as exactly health food.
“You can reduce your risk of cancer by making healthy choices like eating right, staying
active and not smoking,” is the first thing you read on the American Cancer Society website.
Kfc donated 50 cents to the cause for every pink bucket sold.

Dove Product Strategy:

The product strategy and mix in Dove marketing strategy can be explained as follows:

Dove provides high quality products. Manufacturing of a Dove product includes primary
ingredients like vegetable oils, synthetic surfactants, salts of animal fats, zero levels of Ph
and 1/4th moisturising cream. Brand deals in products mostly for women and is committed
to providing a product that will enhance her beauty. Categories of products in the marketing
mix of Dove are skin care, washing & bathing, deodorants and hair care. Dove soap positions
itself as something better than soap and that it itself is not a soap but a beauty bar. The
point of difference being moisturization and softner and cleansing cream.
Dove is also well known for its haircare products which are recommended by
dermatologists. New products are being regularly introduced. In deodorants Dove
introduced the Dry Spray deodorant. In hair products Dove has introduced Advanced Hair
Series globally. Dove has also launched the Dove DermaSpa range in Europe which brings
spa experience and hair care at one place. Dove has recently forayed into baby care
products with products ranging from moisturizer, baby lotion to diaper cream and wipes.

Just keep a fancy name to attract people and develop a product for all uses. They are
creating all kinds of beauty care products.

Dove Price/Pricing Strategy:

Below is the pricing strategy in Dove marketing strategy:

Dove uses competitive pricing as this is a highly competitive segment.
Dove products were initially premium priced however due to low demand dove reduced the
price. The products are priced slightly higher than competitors. But due to high quality and
unique features of moisturizer and softener demand is high. The brand ensures its maintains
its high product quality & packaging which justifies its price. People who are loyal to the
brand continue to purchase the brand for its obviously qualities. Thus, the price strategy in
the market mix mostly is governed by the competition prices because of the several number
of competitor products available.
Competition-based pricing is setting a price in comparison with competitors. Surely a firm
has three options and these are to price lower, price to same or price higher. For example:
Dove Damage Therapy Shampoo (700 ml) cost $11.70 versus Pantene Shampoo (700ml) cost
$10.90 in FairPrice.

Summary:

Cons of Cause Marketing

As cause related is beneficial for both sides it usually takes a good amount of investment to
collaborate with a non-profit organization to help them with the cause and advertise it at the
same time to make consumers aware about the good cause done. The advertising is
sometimes not that convincing which results in consumers figuring out that the company is
doing the campaign just for profits and creates a bad impression of the company even if the
intention wasn’t 100% profit related. Adding on, it often happens that the company donates
very little compared to their revenue and just advertises a lot which shows they are very
uncommitted and not interested in the cause. Lastly any bad or controversial action taken by
the non-profit organization would affect the reputation and sales of the company as it’s a two
way street making it very risky for both parties.

Product and Price Mix of dove:

Dove unique selling point is that it stands output in the competitive market despite of being a
luxury brand because it has products that do a lot more than just serving the main purpose.
For instance, its soap is called a beauty bar as it not just cleans the skin but also moisturizes it
and makes it stronger to prevent possible skin problems. It makes mild yet effective products
as it spends that money and effort in developing it. Its hair products are all recommended by
dermatologists and are suitable for everyone which shows how safe and good the product
would be. Lastly, the make all kinds of beauty care products so that the consumer can easily
purchase everything for example: shampoo, conditioner, moisturizer, soap, facewash.

Dove uses competitive pricing which means they would always keep the prices close to the
prices of their competitors. Dove had initially kept a high price but reduced it due to low
demand. However, they didn’t drop lower than the rivals and always kept a higher price.
Their strategy didn’t fail as consumers, especially women were willing to pay the price as the
products were of amazing quality and very luxurious. They proved it and are surviving in the
market with good profits.