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The Effects of Featured Advertising and Package Labeling on Sustainability of Cause-Related Marketing (CRM) Products

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  • Sunhee Choi

    (John L. Grove College of Business, Shippensburg University, Shippensburg, PA 17257, USA)

  • Sangno Lee

    (College of Commerce, Chonbuk National University, Jeonju 54896, Korea)

  • Wesley Friske

    (College of Business, Missouri State University, Springfield, MO 65897, USA)

Abstract

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.

Suggested Citation

  • Sunhee Choi & Sangno Lee & Wesley Friske, 2018. "The Effects of Featured Advertising and Package Labeling on Sustainability of Cause-Related Marketing (CRM) Products," Sustainability, MDPI, vol. 10(9), pages 1-12, August.
    • Handle: RePEc:gam:jsusta:v:10:y:2018:i:9:p:3011-:d:165588
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    Cited by:

    1. Hina Yaqub Bhatti & M. Mercedes Galan-Ladero & Clementina Galera-Casquet, 2023. "Cause-related marketing: a systematic review of the literature," International Review on Public and Nonprofit Marketing, Springer;International Association of Public and Non-Profit Marketing, vol. 20(1), pages 25-64, March.
    2. Huijian Fu & Jiayu Meng & Yiman Chen & Wei Cai & Jinhui Lai & Haiying Ma, 2023. "Enhancing the Effectiveness of Cause-Related Marketing: Visual Style, Self-Construal, and Consumer Responses," Sustainability, MDPI, vol. 15(18), pages 1-18, September.
    3. Sunhee Choi & Sangno Lee, 2020. "Eco-Packaging and its Market Performance: UPC-level Sales, Brand Spillover Effects, and Curvilinearity," Sustainability, MDPI, vol. 12(21), pages 1-14, October.
    4. Wan-Ting Li & Yueh-Hsiu Cheng, 2022. "Creating Sustainable Development of the Destination with Tea Public Version Packaging Design by Obtaining Relational Space Concept," Sustainability, MDPI, vol. 14(15), pages 1-23, July.
    5. Dongho Yoo & Jung-Ae Kim & Sun-Jae Doh, 2018. "The Dual Processing of Donation Size in Cause-Related Marketing (CRM): The Moderating Roles of Construal Level and Emoticons," Sustainability, MDPI, vol. 10(11), pages 1-21, November.
    6. Manuel Alonso-Dos-Santos & René Quilodrán Ulloa & Álvaro Salgado Quintana & Diego Vigueras Quijada & Pablo Farías Nazel, 2019. "Nutrition Labeling Schemes and the Time and Effort of Consumer Processing," Sustainability, MDPI, vol. 11(4), pages 1-10, February.

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