Dell to Expand Size, Focus of Its Giving

Dell to Expand Size, Focus of Its Giving

In a formal statement on its Web site, the computer giant Dell announced it will expand its global philanthropic efforts.

Thanks to the Foundation Center for the following summary:

Dell to Expand Size, Focus of Its Giving
Dell has announced it will increase its corporate philanthropy to 1 percent of pre-tax profits by 2010, providing additional support for education and technology initiatives particularly in emerging countries.
While maintaining its commitment to company and employee support of nonprofit organizations in communities where Dell operates, the company will focus its corporate gifts in countries such as Brazil, Russia, India, and China, where the majority of the next billion Internet users will live. According to IDC research, the Asia-Pacific region — excluding Japan — along with other emerging areas such as Latin America, Eastern Europe, Africa, and the Middle East will account for about 59 percent of global PC volume by 2012, up from 48 percent in 2007. "Our new giving strategy is rightly focused on equipping youth in these areas, and around the world, for success," said Michael Dell, chairman and CEO of the Texas-based company.
Dell recently launched a global initiative, Dell YouthConnect, to direct corporate giving to organizations in emerging countries that promote education and incorporate math, science, literacy, and/or technology skills development for children and youth up to age 17. In its current fiscal year, Dell will direct increased giving to India, and has issued a request for proposals to nonprofit and nongovernmental organizations in Indian cities where it has a presence.
"Corporate giving, when conceived and structured like Dell's global YouthConnect initiative, creates a win-win scenario for business and the public," said Charles Moore, executive director of the Committee Encouraging Corporate Philanthropy. "Dell's increased giving and focus on...education and digital inclusion will have a meaningful and positive impact, particularly in emerging countries."

For the official statement from Dell, visit:
“Dell Expands Global Philanthropic Efforts.” Dell Press Release 9/23/08.

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Consumer Behavior Study Confirms Cause-Related Marketing Can Exponentially Increase Sales

Cone releases a new Consumer Behavior Study that Confirms Cause-Related Marketing Can Exponentially Increase Sales

Cone releases a new Consumer Behavior Study that Confirms Cause-Related Marketing Can Exponentially Increase Sales:

Cone/Duke University Study Also Reveals Consumers Spend Twice as Long Viewing Cause-Related Advertisments
http://www.csrwire.com/News/13326.html
(CSRwire) Boston, MA - (October 1, 2008) - As the term "cause-related marketing" reaches its 25th anniversary and a sea of pink ribbons washes over the U.S. this month, a new consumer behavior study confirms that cause-related marketing can exponentially increase sales, in one case as much as 74 percent, resulting in millions of dollars in potential revenue for brands. The 2008 Cone/Duke University Behavioral Cause Study, released today by Cone and Duke University's Fuqua School of Business, validates for the first time that cause-related marketing can significantly drive actual consumer choice.

During the first phase of the study at Duke University, 182 participants evaluated a new regional magazine and were exposed to either a cause-related or generic corporate advertisement for one of four focus brands. Afterward, they entered a mock convenience store with nearly 150 SKUs and were given real money to purchase a product in each of the four categories. Results revealed:

Substantial cause-related sales lift for two of the four consumer packaged goods categories tested:

•74% increase in actual purchase for a shampoo brand when associated with a cause
•(47% of participants who saw the cause-related message chose the brand while only 27% of those who saw the generic corporate advertisement chose the brand)
•28% increase in actual purchase for a toothpaste brand when associated with a cause
•(64% of participants who saw the cause message chose the target brand vs. 50% who viewed the generic corporate advertisement)
•Modest increases in the other two product categories tested (chips and light bulbs) – Qualitative consumer responses showed that the issue, the nonprofit and the inherent nature of products were key factors in making cause-related purchasing decisions and helped explain why movement in these categories was not significant.

In the second phase of the research, Cone and Duke validated the sales increases for shampoo and toothpaste by replicating the study online among a nationally projectable sample of more than 1,000 adults. The results revealed that participants spent nearly twice as long reviewing cause-related ads versus the general corporate advertisements. This resulted in a sales increase (19 percent) similar to the lab study for the target toothpaste brand. And although the shampoo brand increased only by a modest 5 percent, sales among its target audience of women increased by nearly 14 percent.

"It's much easier to make a purchase by clicking a button than it is to pick up and experience a brand in the richer store environment; the results of our study likely lie between the impulsive online shopper and the deliberate in-store shopper," says Gavan Fitzsimons, Duke marketing professor and lead researcher on the study. "One thing we know for sure - consumers are paying more attention to cause messages, and as a result, are more likely to purchase. This is clearly great news for brand managers, as every percentage increase can translate to millions of dollars in revenue."

2008 Cone Cause Evolution Study

Cone first began measuring the attitudes of Americans 15 years ago, and today, expectations of companies continue to grow. To complement the behavioral study, Cone conducted the 2008 Cause Evolution Study, to better identify what drove substantial product sales for only two of the four brands. The results found that consumers consider the following factors to be important when deciding to support a company's cause efforts:

•84% want to select their own cause

•83% say personal relevance is key

•80% believe the specific nonprofit associated with the campaign matters

•77% say practical incentives for involvement, such as saving money or time, are important

•65% find emotional incentives for involvement, such as it making them feel good or alleviating shopping guilt, important

"The findings of the 2008 Cone Cause Evolution Survey help reinforce why two of the categories in our behavioral research did not show significant increases in sales. Consumers want to feel a connection to the issue and the nonprofit while fulfilling their personal needs," says Alison DaSilva, executive vice president, Knowledge Leadership and Insights, Cone. "While this is a tall order for companies, it provides great opportunity for continued innovation and business growth."

Consumers Set Bar High for Companies, Even During Poor Economic Climate

The 2008 Cone Cause Evolution Study also revealed that consumers continue to have high philanthropic expectations for companies struggling amid the current economic crisis. More than half (52 percent) of Americans feel companies should maintain their level of financial support of causes and nonprofit organizations. Another quarter (26 percent) expects companies to give even more.

Fortunately for marketers, consumers are also more receptive to cause messages than ever before. They will reward companies that give back both with their goodwill and their wallets:

•85% of Americans say they have a more positive image of a product or company when it supports a cause they care about (remains unchanged from 1993)
85% feel it is acceptable for companies to involve a cause in their marketing (compared to 66% in 1993)

•79% say they would be likely to switch from one brand to another, when price and quality are about equal, if the other brand is associated with a good cause (compared to 66% in 1993)

•38% percent have bought a product associated with a cause in the last 12 months (compared to 20% in 1993)

Priority Issues for Business and Society
The leading issues that Americans want companies to address in their cause programs are consistent with growing domestic and global needs. These are also issues in which companies can use their business scale and resources to have the greatest impact. The issues include:

•Education – 80%

•Economic development (i.e.: job creation, income generation, wealth accumulation) – 80%

•Health and disease – 79%

•Access to clean water – 79%

•Environment – 77%

•Disaster relief – 77%

•Hunger – 77%


Americans also acknowledge that to truly drive change, there needs to be widespread collaboration among sectors. Nearly nine in 10 Americans (89 percent) say it is important that business, government and nonprofits collaborate to solve pressing social and environmental issues.

Communication Disconnect

Almost uniformly (91 percent), Americans believe companies should tell them how they are supporting causes, but many do not feel they are getting sufficient information. Only 58 percent of Americans believe companies are providing enough details about their cause efforts. Half also think the government or other third parties should regulate cause marketing by companies.

"Progressive organizations are moving away from 'assembly-line cause' - simply picking an issue and a partner off the shelf - as they evaluate how societal needs and business growth are intrinsically linked," says DaSilva. "In today's highly transparent society, consumers are seeking more information about the details of the program, the issue and the impact that they and the company are having. Companies must not only answer, 'What do you stand for?' but also 'What do you do?'"

For a copy of the complete report, "Past. Present. Future. The 25th Anniversary of Cause Branding," please contact skerkian@coneinc.com or visit www.coneinc.com/research.

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3 rules to guide philanthropic companies

A nice article in CFO Magazine called "Best Intentions" offers three rules for "those on the cutting edge of what is now being called 'good corporate citizenship' (to) apply three rules to get the best out of their philanthropy:"

1. be good with what you're good at;
2. stick close to what matters to your business;
3. don't be afraid of turning a profit by doing good."

Read the full article here:
http://www.cfo.com/article.cfm/11954911/c_11991481?f=home_magazine

May Grant Opportunities

Thanks to ChristianGrants.com for these May Grant Opportunities:

Dollar General Back-to-School Grants

Dollar General is accepting applications for the Back-to-School
Grants program. This program provides funding to help schools meet some of the financial challenges they face when implementing new programs, or purchasing new equipment, materials, or software for the school library or literacy program. Applications for grants of up to $5,000 will be accepted from throughout Dollar General's 35-state service territory. All applications must be received by June
12, 2008. To learn more, visit the website provided above.

Staples Education Grant
The Staples Foundation for Learning is accepting applications for the next round of 2008 funding. The Foundation provides funding to nonprofit organizations for programs that support or provide job skills and/or education for all people, with a special emphasis on disadvantaged youth. Applications will be accepted online from organizations throughout the U.S. (excluding Hawaii and Alaska) between June 2 and June 16, 2008. The next deadline is October 24, 2008. To learn more, visit the website provided above.

CVS Pharmacy Community Involvement
Community Grants target effective and innovative programs that align with our philanthropic values and criteria. To ensure that we make a positive impact, the 2008 Community Grants Program will focus on these two key areas:
- Programs targetting children under the age of 18 with disabilities including:

• Health and Rehabilitation Services


• Public schools promoting a greater level of inclusion in student
  activities and extracurricular activities


• Creating opportunities or facilities which give greater access to physical
  movement and play


• Healthcare services for uninsured people

Deadline: June 15th, 2008

Walgreens Community Giving
Most Walgreen grants are made to eligible nonprofits working in local Walgreen communities. A portion of the budget is reserved for select national organizations. Walgreens awards grants in the following program areas: non-hospital based health agencies, Walgreens One-on-One tutorial programs in inner city neighborhoods where we operate, and a small share is reserved for eligible community and social service agencies that serve areas where Walgreens has a significant presence. Health is our major area of focus, and the largest share of our annual contributions budget is allocated to programs that address the health needs of our patients.

Deadline: Open

Lego Children's Fund
The LEGO Children's Fund will provide grants quarterly for collaborative programs, either in part or in total, with a special interest in providing matching funds to leverage new dollars into the receiving organization. We will give priority consideration to programs that both meet our goals and are supported in volunteer time and effort by our employees.

The Foundation awards grants to qualified tax-exempt organizations (as determined under section 501(c) (3) of the Internal Revenue code) including educational organizations as defined in USC 26 § 170 (C) with specific, identifiable needs primarily in these areas of support:

• Early childhood education and development


• Technology and communication projects that advance learning opportunities


• Sport or athletic programs that concentrate on underserved youth

Grant Amount: Most awards are between $500 and $5,000

Deadline: None

Gannett Foundation Community Grants
The Gannett Foundation's mission is to invest in the future of the communities in which Gannett does business, and in the future of our industry. They value projects that take a creative approach to fundamental issues such as education and neighborhood improvement, economic development, youth development, community problem-solving, assistance to disadvantaged
people, environmental conservation and cultural enrichment.

Eligibility: 501(c)(3) organizations in neighborhoods where Gannett has a newspaper or tv station.

Preferred Approach: Complete the application form available from the website, attach your proposal and send it to the newspaper publisher or TV station in your area. A list of newspapers and TV stations is available on the website.Deadline: There are three deadlines per year: January 15th, May 15th and August 15th.

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