Intention to participate in cause related marketing: influence of cause

Abstract

The most widely accepted definition for CRM is provided by Varadarajan and Menon (1988) and it defines CRM as “a process of formulating and implementing marketing activities that are characterized by an offer from the firm to contribute a specified amount to a designated cause when customers engage in revenue-providing exchanges that satisfy organizational and individual objectives”. Several organizations in India like Dabur, Marico, P&G and ITC have implemented this form of social marketing practice. In the view of the growing significance of CRM in countries like India which have been facing numerous social challenges, it becomes crucial to understand what factors lead to effective implementation of CRM. This study will provide insights into both type and scope of cause and their bearing upon consumer CRM participation intention. Consumer data was collected using a structured questionnaire from the western region of India. Reponses pertaining to two aspects about the cause of the initiative, ‘type of cause’ and ‘scope of cause’ were collected. Results showed that consumer’s interest in participation were found to differ significantly across both type of cause and scope of cause.