Charitable donations can only have a positive impact on a business, community or individual. It has been seen many times that companies try to push their foundation or charitable activities as their number one mission. Ron Hershco certainly agrees.
Companies do this if they are looking to repair their firm’s reputation or they want to highlight and bring awareness to the charitable organizations that they support.
JetBlue for example is encouraging charitable giving from their customers in exchange for customer loyalty. They’ve mixed charitable giving with their loyalty program. Customers can use unredeemed points for charitable causes.
Some can say that this is a marketing ploy, but it’s working. JetBlue is differentiating themselves among their competitors and they see it as a way to help attract new customers.
The unredeemed points would certainly be better going to cause that a JetBlue customer appreciates. Dave Canty, JetBlue’s director of loyalty marketing says that “In surveys and focus groups customers kept telling us they would like to make charitable donations, so we launched the True Giving program.”
The program is a platform that allows customers to make donations increments of points which are then converted into cash and then given to the benefitting charitable organizations. The charitable organization is also chosen by the customer and they can enter the name of the charity, or select a specific keyword, region, countries of where they would like to donate to.
Ron Hershco, who supports a number of charities, sees this as an excellent example of a big company encouraging their customers to give back to their communities. It’s great that JetBlue can use a loyalty program and combine it with their customers’ charitable wishes.
JetBlue will continue to get feedback from their customers and they are please they have received a warm reception towards the loyalty program. It certainly gives an idea to companies about how they should be managing their own charitable programs.