Focus on Philanthropy
BPCC, Yankelovich Studies Point to Volunteerism, Sponsorships
Two new surveys underscore the importance of the altruistic face corporate America is presenting not only to customers, but employees and others publics as well.
The Public Affairs Group's "Best Practices in Corporate Communications" study of event marketing and corporate sponsorship shows these allocations have jumped 613 percent in the past 16 years. Also, Hill & Knowlton, through a recent study conducted by Yankelovich Partners, says that most Americans favor companies devoted to philanthropic efforts or that have strong employee volunteerism.
Concerning the first study, PAG reports that the 613 percent jump is compared to traditional advertising and sales promotion, which grew 103 percent and 127 percent, respectively. Overall, sponsorship spending in America has steadily increased since 1985, when the IEG Sponsorship Report found that $850 million was spent by companies in North America - versus $6.80 billion projected to be spent this year.
Figures for 1994 were $4.25 billion; for 1995, 4.70 billion; and for 1996, 5.40 billion. In 1997, North American sponsorship spending rose 9 percent to $5.9 billion, with the following breakdown:
- Sports marketing: $3.84 billion
- Entertainment tours & attractions: $650 million
- Festivals, fairs & annual events: $558 million
- Causes: $535 million
- Arts: $354 million
The top-five reasons companies involve themselves in event marketing and sponsorships:
- Corporate identity/image
- Target marketing
- Promotional tie-in
- Entertainment opportunity
- Sampling/couponing opportunity
Of late, sponsorship and philanthropy have become hot-button issues for corporations polishing (or maintaining) their images. In the second study, H&K points to these findings about philanthropy:
- 43 percent of 1,000 Americans said what was "most impressive" is companies that donate products and services;
- 37 percent reported being most impressed with "volunteering employees to help"; and
- 12 percent responded that they are most impressed with "[businesses] giving a large sum of money."
And the issues Americans are most passionate about? Thirty percent reported education, which was followed by health and welfare, 21 percent; environment, 9 percent; and arts and culture, 3 percent. (H&K, 404/249-8550)
PAG Sponsors, Partners & Report Purchasers
Each month, the Public Affairs Group, Washington, D.C., researches and releases a report on a topic that touches on corporate communications. The findings are based on information culled from conference calls, roundtables and other research.
Reports cost $1,500, with participating companies providing the funding that allows for this kind of benchmarking. What follows is a list of some of the participaing companies:
- 3M
- Allstate
- Borden
- Cargill
- Cigna
- DuPont
- GPU Energy
- Legg Mason
- Lucent
- NBD Bank
- Prudential
- Sprint
- Texas Utilities
- Walt Disney