This paper seeks to examine the relative efficacy of cause-related marketing (CRM) product package labeling versus featured advertising efficacy on market performance. One natural setting using scanner data from a grocery store chain and an open-ended survey were conducted to evaluate the financial performance of featured advertising and product labeling in terms of sustainability of cause-related marketing products. Our findings suggest that cause-related marketing product package labeling without featured advertising appears to provide a competitive advantage resulting in superior financial performance. Also, featured advertising without product package labeling boosts products sales. However, when featured advertising is applied to cause-related marketing product package labeling, the effect of such labeling is diminished. Based on our findings, we suggest that final and intermediate sellers of cause-related marketing products should deliver a persuasive message about the sustainability of cause-related marketing products in the context of a conspicuous environment (e.g., Facebook and Twitter). Although featured advertisements and product package labels are two of the most widely-used tools to promote cause-related marketing products, the cause-related marketing literature has largely neglected a meaningful comparison between the two. This paper seeks to fill the gap in the literature.
© 2018 The authors. Licensee MDPI, Basel, Switzerland. This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license (http://creativecommons.org/licenses/by/4.0/).
Cause-related marketing, Featured advertisements, Package labels, Retailing, Social identity theory, Theory of reasoned action
Choi, Sunhee, Sangno Lee, and Wesley Friske. "The effects of featured advertising and package labeling on sustainability of cause-related marketing (CRM) products." Sustainability 10, no. 9 (2018): 3011.