Point/Counterpoint: (RED) Raises $100 Million, Spends 82% On Advertising
“(RED), the global co-branding experiment that directs a percentage of (RED) product revenues towards fighting AIDS in Africa, has only directed $18 million out of $100 million spent. AdAge reports that this is raising eyebrows other than our own.”
The disproportionate ratio between the marketing outlay and the money raised is drawing concern among nonprofit watchdogs, cause-marketing experts and even executives in the ad business. It threatens to spur a backlash, not just against the Red campaign — which ambitiously set out to change the cause-marketing model by allowing partners to profit from charity — but also for the brands involved.