is good karma good business

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Oral defense Is good karma good business? Oral defense Rasmus Frost Hansen

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Page 1: Is good karma good business

Oral defense

Is good karma good business?

Oral defenseRasmus Frost Hansen

Page 2: Is good karma good business

Agenda• hummel’s target group

• Attitude towards hummel and CSR

• New karma content

• Consumer engagement

• IMC-perspective

Page 3: Is good karma good business

Target groupDemographics

Men and Women

Age 20-35

May have children

Northern Europeans (home market and sponsorships)

Psychographics and lifestyle

Willing to spend a little extra on fashion- social recognition is important Team player – sporty and active lifestyle

VALS: Experiencers and achievers (Kotler et al., 2009)

Page 4: Is good karma good business

Attitude towards hummel and CSR:Respondents

Phone interviewPernille Bech:

Age: 30Married

1 child (1 year old)Lean manager at

Novo Nordisk, Kalundborg

Focus group interview

Abier ChuhaiberAnna Hermansen

Line DrabækRené Mikkelsen, Thomas Jensen,

Michael Sørensen,

Age: 20-24MMC-students 4th and 6th semester

Aarhus

Presensted hummel’s karma page. Talked about its message and purpose.

hummel’s CSR, and its affect on purchase-intention.

Page 5: Is good karma good business

Attitudes

”Unclear purpose and

message”

”Less cool brand”

”People are more

important than the rainforest ”

”Walks the talk”.”Unique”

”CSR is an attribite that

gives me good conscience”

Shops for design, style and taste

(product attributes)

CSR is not considered during purchase decision

”I expect CSR from today’s

organisations”

Page 6: Is good karma good business

New Karma content

Page 7: Is good karma good business

New Karma contentExtends the Karma concept

Page 8: Is good karma good business

New Karma content

Reinforces interpersonal approach

Page 9: Is good karma good business

Consumer engagement

Page 10: Is good karma good business

Consumer engagement

“Complete all the different levels with one trophy, and hummel will, in your name, send a real football to a child in one of the world’s poorest countries, Sierra Leone”.

Page 11: Is good karma good business

Consumer engagement

Karma Sneaker- Support the asylum project

(CSR as marketing tool)

Facebook Karma

Page 12: Is good karma good business

IMC-perspective

• Brand identity: Change the world through sport– Karma: what goes around comes around

• Image trap: the image is not the identity• Position trap: Identity not related to market position

– CSR helps consumers differentiate (branding strategy)

• External perspective trap: Focus on the inside (values)• Product-attribute fixation trap: Karma helps differentiate

products that are similar to competitors

– Point of parity: • Sportswear, lifestyle and fashion clothes

– Points of difference:• Human approach to CSR – sponsoring unusual teams to do good

Page 13: Is good karma good business

Perspective

• New meaning to the perception of hummel – CSR positive attitude

• Short term perspective: – Karma as a branding tool in developed markets

• Long term perspective:– Doing good in developing countries future

economic potential

Page 14: Is good karma good business

Questions?

Page 15: Is good karma good business

Survey questions• What is your impression of the website?– Is the communication and purpose clear to you?– What do you think hummel tries to tell you?– Would you have found the website if I hadn’t told you

about it?• Are you familiar with the term CSR (explained it

afterwards)?– What kind of CSR is more important to you?– Is hummel’s CSR unique or mainstream?

• How do you prefer to shop for clothes?• What is your view on hummel after the

introduction to the website?

Page 16: Is good karma good business

AttitudesAttitude towards Karma page: Different, unclear purpose, Unsure about the message

”Good design but lack of functionality”. (René and Michael) Showing how good hummel is.

Associates hummel with: Christian Stadil, Buddhist values, ”down to earth” Retro. (Pernille). Less cool brand (Abier, Anna, René)

Attitude towards hummel’s Karma promotion material

Unaware, haven’t seen it before. It seems different from other companies. ”Unique” (Thomas) . ”hummel walks the talk” (Michael)

Attitude towards CSR Pernille was unaware of the concept before interview. ”People are more important than the rainforest (Thomas, Michael, Line, Pernille). ”I expect CSR from today’s organisations” (Line). ”CSR is a way to attract business partners”(René)

Shopping concern: Design, taste, style (not CSR). ”CSR is an attribite that gives me good conscience” (Line)

Shopping habits: Mainly in-store, but use websites for inspiration. CSR rarely affects the purchase decision, but enhances a positive post-purchase evaluation