Content Marketing Blog

Improve e-commerce conversions with charitable donations

If you run an e-commerce website you’ll constantly be looking for ways to improve your conversion rate, but you might not have tried giving money to charity in an effort to boost that all important metric.

That could be about to change after a recent study revealed that charitable donations can be very helpful when it comes to convincing people to make a purchase.

According to the research published in The Journal of Marketing recipients of a text message promoting tickets to a new movie at the local IMAX were more likely to convert if they thought their purchase would benefit a good cause.

“The mere presence of a charitable donation opportunity can generate significantly more sales,” the authors of the research said.

The study also found that offering a small discount alongside the charitable donation further improved sales.

“A moderate discount may signal to consumers that the firm is acting altruistically by forgoing the opportunity to sell at full price and thereby sacrificing more revenues, thus boosting consumers’ warm-glow feelings and consequent purchase likelihood,” the researchers added.

While driving more sales may not be the primary motivation for supporting a good cause, a study like this certainly helps marketers make the case for how altruistic activities can benefit the bottom line.

[pullQuote position=”right”]Charitable donations can help boost sales and win over unhappy customers.[/pullQuote]

As well as more sales, donating to charity can also help brands limit the damage when something goes wrong.

Separate research led by Jeff Joireman of Washington State University revealed that customers are more willing to forgive poor service if a company supports a charity or cause they care about.

“We found that when a firm donates money to environmental causes, environmentalists ‘cut the firm slack’ following a service failure, but non-environmentalists don’t,” Joireman told The Journal of Public Policy and Marketing.

Anyone with experience of client management will know that when something goes wrong, your starting point is crucial to the outcome. If a client has a favourable view of your company to begin with, they are more likely to be receptive to fixing a problem and moving past it.

A big part of that favourable view will come from the quality of service you provide or the effectiveness of your product, but it’s also worth considering other factors such as how your company is perceived.

Content marketing can play a massive role in managing that perception. The content you create, publish and share will have a significant bearing on what customers and other stakeholders think of you.

If you want to be associated with a particular topic or theme, creating lots of high quality content about that topic or theme is great way to build that relationship and get interested parties on to your website and social media pages.

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