How to Strengthen Your Brand by Investing in a Nonprofit

by Emily Retherford

2 min read

Investing in a nonprofit will strengthen your company’s brand by leading to increased exposure and a positive image. A strong brand translates into increased pricing power, more sales, customer loyalty, and greater differentiation with your competitors. Beyond the karmic and financial benefits, your investment in a nonprofit will elevate your business’ mission to a higher level, resulting in more motivated employees and higher customer satisfaction.

Your Brand

Your brand is the sum of the value and quality of your product, the buying experience, customer service, product design, and other intangible aspects. It is an abstract concept in people’s minds based on factual and emotional factors. Associating your brand with a nonprofit doing good work in the community is one of the most effective ways to strengthen your brand image. Corporations spend billions of dollars every year to improve their brand and are careful to avoid any sort of controversy or scandal that can tarnish it. As a small business, you have more control over your brand. Small business branding is largely driven by the owner as his or her values are reflected in the product and buying experience. Therefore, you should be vigilant in ensuring your brand is not being undermined in these areas.

Engaged Employees

A customer’s judgment of your brand is a precious commodity that can be damaged by one negative experience. This often happens at the customer service level with employees who are not properly trained or fail to represent your values. Tying your business’ brand to a nonprofit organization is a powerful way to create more engaged employees. Employee morale and performance increases when employees feel their work is making a positive impact in the community. Research by Adam Grant at the Wharton School of Business shows that workers are more motivated by the positive impact of their efforts on other people rather than financial rewards. Therefore, investing in a nonprofit creates a positive feedback loop for your brand as more enthusiastic employees leads to more satisfied customers.

Increased Exposure

Investing in a nonprofit is a way to give back to the community, increase exposure, and create positive vibes for your brand. Therefore, most businesses choose a nonprofit that is giving back within the community and consistent with their values and mission statement. Soliciting your employees and customers’ input when choosing the nonprofit to support is another way to boost employee morale and customer loyalty, making those groups feel connected to your mission. Your brand will become stronger as it becomes intertwined with positive work done in the community. Sponsoring a charitable cause or organization can lead to more exposure than traditional marketing outlets at a fraction of the cost. This also leads to more opportunities in terms of marketing, networking, and hiring, as other people will want to be associated with your brand. Of course, these opportunities will eventually convert into increased sales and profits, which in turn, gives you even more resources to invest in worthy causes.

References & Resources

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