elements of promotion mix to market child relief and you

Abstract
The case examines the evolution of CRY and the reasons for its success. In addition, the case provides detailed information about the marketing strategies adopted by CRY for mobilizing resources from both individuals and corporates in India. The case explores the reasons for the corporatization of CRY and the implementation of various corporate strategies by the organization. Information about the concept of Social Marketing is also provided.
Issues
Understand the strategies adopted by CRY for mobilizing resources and for involving the private sector in its programs and initiatives
GOING THE CORPORATE WAY
In 1999, donors of Child Relief and You (CRY) were surprised to receive working results of the organization informing them how its resources were spent for the financial year 1998-99. CRY was the first Non-Profit Organization (NPO) in India to announce its results.
When asked to comment on the reasons for announcing the working results even though it was not required by law, Pervin Varma (Varma), CEO, CRY, said: "We are committed to accountability and transparency and expect very high levels of accountability from the projects we support. So, if we demand it from them, it's only fair we do it ourselves."


From being an organization working for underprivileged children, CRY had become an organization acting as support/catalyst to the activities started by individuals who wanted to bring change in the lives of the needy. By 2001, CRY took several corporate initiatives such as outsourcing and rightsizing to cut costs and utilize its resources effectively.

Analysts pointed out that in the volatile business conditions of the late 1990s, CRY's approach towards resource mobilization and its focus on marketing contributed greatly to its success. They also added that NPOs across the world should learn about Social Marketing from CRY.

Analysts pointed out that in the volatile business conditions of the late 1990s, CRY's approach towards resource mobilization and its focus on marketing contributed greatly to its success. They also added that NPOs across the world should learn about Social Marketing from CRY.


ACKGROUND NOTE
In 1979, Rippan Kapur (Rippan), a purser at Air India, along with six friends started CRY in Mumbai with an initial corpus of Rs 50. The objective of the organization was to do something for underprivileged children in India. Rippan firmly believed that if ordinary people would come together, they could bring about a change in the lives of children who needed help. The driving force behind the organization was, in Rippan's words, 'What I can do, I must do'.
CRY's objective was to act as an intermediary between the people who wanted to do something for underprivileged children and children who were in need of help. Initially Rippan was the only full time worker for CRY; others worked as volunteers during their free time.

The first fund raising exercise undertaken by CRY was 'Buy a Brick, Build a School' in 1979. CRY raised around Rs 114,000, which was used for building Shilpalaya Technical Institute in Mumbai. CRY sold bricks to students, who in turn donated them to the institute.

In 1980, CRY set up its cards division. This division produced and sold greeting cards to raise funds for the organization (Refer Exhibit I for CRY Greeting cards). The first two designs used by CRY were donated by Sanat Suri, a local artist from Mumbai.
In the first year itself, around 30,000 cards were sold. CRY relied on volunteers to sell its greeting cards, as it did not have its own sales force. In the initial years, CRY's cards division depended on donations from artists, and merchants for the printing and marketing of cards.

In 1981, CRY employed its first employee, who worked from Rippan's house. In the same year Parisar Asha, a long-term education project, was started with aim for providing educational support to deprived children. CRY regarded education as an important means for improving children's lives.


The Marketing Communications (Promotion) Mix

Your marketing plan will be executed by using the tactical elements of the Marketing Communications, or Promotions Mix.

The elements of the marketing communications mix
The Marketing Communications Mix is the specific mix of advertising, personal selling, sales promotion, public relations, and direct marketing a company uses to pursue its advertising and marketing objectives.

Setting the Promotion Mix
When deciding how to properly utilize the marketing communications mix to meet your marketing objectives, it is important to consider the relative strengths and weaknesses of each component of the mix. Further, you must always define your total budget first (generally defined in the Marketing and/or Business Plan) and then decide upon the best way to leverage the different elements of the mix to maximize the return on your investment. You will balance the various parts of the mix to not only create an integrated approach to your marketing communications but you must also devote enough resources for each component to be successful.
Here are some things to keep in mind:
Reaches large, geographically dispersed audiences, often with high frequency; Low cost per exposure, though overall costs are high; Consumers perceive advertised goods as more legitimate; Dramatizes company/brand; Builds brand image; may stimulate short-term sales; Impersonal, one-way communication; Expensive
Most effective tool for building buyers’ preferences, convictions, and actions; Personal interaction allows for feedback and adjustments; Relationship-oriented; Buyers are more attentive; Sales force represents a long-term commitment; Most expensive of the promotional tools
May be targeted at the trade or ultimate consumer; Makes use of a variety of formats: premiums, coupons, contests, etc.; Attracts attention, offers strong purchase incentives, dramatizes offers, boosts sagging sales; Stimulates quick response; Short-lived; Not effective at building long-term brand preferences
Highly credible; Very believable; Many forms: news stories, news features, events and sponsorships, etc.; Reaches many prospects missed via other forms of promotion; Dramatizes company or product; Often the most under used element in the promotional mix; Relatively inexpensive (certainly not 'free' as many people think--there are costs involved)
Many forms: Telephone marketing, direct mail, online marketing, etc.; Four distinctive characteristics: Nonpublic, Immediate, Customized, Interactive; Well-suited to highly-targeted marketing efforts
When deciding upon your unique marketing communications mix, you should also consider the Product Life Cycle. Here are some general guideline as to how and when to emphasize different parts of the mix according to the stages of a typical product life cycle: