Cause-Related Marketing and the U.S. Sports Industry

  5 Introduction Over the last few decades, corporate social responsibility (CSR) has been gaining significant popularity as a promotional tool in the business community (Samu & Wymer, 2009). Indeed, corporations are progressively getting involved in CSR initiatives such as monetary contributions, donations, volunteering, public announcements, sponsorships and partnerships (Kotler & Lee, 2005). Among the diverse CSR initiatives, cause-related marketing (CRM) has become a popular strategic marketing tool due to a growing public concern over social issues. CRM is, indeed, defined as “the process of formulating and implementing marketing activities that are characterized by an offer from the firm to contribute a specific amount to a designed cause when costumers engage in revenue providing exchanges that satisfy organizational and individual objectives” (Varadarajan & Menon, 1998). This marketing strategy is very fruitful for corporations because it helps them distinguish themselves from their competitors (Varadarajan & Menon, 1998), increase purchase intention (Becker-Olsen et al., 2006), enhance the corporations’ image (Rigney & Steenhuysen, 1991), establish positive brand awareness (Varadarajan & Menon, 1998) and improve consumers’ attitudes and beliefs towards sponsoring corporations (Becker-Oslen, Cudmore, & Hill, 2006). Engaging in CRM activities could also place corporations in a significant competitive position in the long run (Brammer & Millington, 2008). As mentioned before, the importance of consumers plays a key role because they are increasingly demonstrating an outstanding interest in current social issues. Consequently, this behavior leads organizations to be more socially involved in the business community. For this reason this phenomenon is not only gaining a significant relevance in the general business community, but it is also becoming a really popular marketing tool in the sports industry. Despite the existent literature, research on cause-related marketing with regards to the sports industry is, however, in its early stages. As a matter of fact, the real impact of CRM programs on consumers’ evaluations and intentions in the sports market industry