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Archive for January 18th, 2010

The Changing World Of B1G1 And BOGO

Definitions of English words often change quite rapidly these days. In the not-too-distant past the definition of words was often set in concrete. Today the meaning can change in the blink of an eye. With new and faster ways to exchange ideas and with wider and more culturally, socially and educationally diverse groups connecting together – words are put back on the hard anvil of evolution and transformed into something new and more reflective of current life and living.

There is a growing global movement where consumers are asking businesses to take care of the things that they care about. The request is mainly tacit and despite it being an ironic request it non-the-less signals that we are in a time of change. Consumers these days want their ‘goodies’ but they don’t want the environment to be destroyed in the creation of their ‘goodies’. They want cheap products but they do not want workers to suffer to create those cheap products.

There may not seem an answer to this complex puzzle and yet one actually exists. It exists in the reforging of a simple single word – GET. Today there is a new movement of people wanting to get but give at the same time and they are reforging its meaning into the word GIVE.

Every day automated email notices arrive in my inbox from Google Alerts for two keywords – BOGO and B1G1. I see all the new places these words are turning up on the Internet. Little by little these two words are gaining a their new meaning as more and more people take up the Buy One Give One cause.

B1G1 and BOGO are acronyms for Buy One GET One free. You buy one and they give you an extra one for the same price.

If you look on Wikipedia you will find these definitions for BOGO (there isn’t a definition yet for B1G1 – there will be soon when I write one!):

* An acronym in the retail industry that stands for Buy One Get One. For example, you could say “Buy 1 DVD, Get 1 FREE!

* An acronym in slang British that stands for Britons Of Greek Origin or Greek Britons.

* Bogo, Cebu, a city in central Philippines.

* An alternate name for the Bilen ethnic group of Ethiopia or their language, Blin.

* Norway, a village in Norway.

* The mascot of the ITESM CEM.

* BogoMips, an unscientific measurement of CPU speed

* Bogosort, an ineffective sorting algorithm

BOGO lights

There is an organisation in the USA called SunLight Solar founded by a gentleman called Mark Bent. He has created a special torch that not only is an amazing and robust solar-powered light; his company also gives a free torch to a family in need in developing nations for each one purchased. If you look on their website you will learn about their “BOGOlight”.

“The BoGo – our Buy one/Give one – program has successfully provided lights to many, many thousands of people in the developing world, changing lives because of your purchase and participation.” – BOGOlight.com

Mark Bent turned the acronym upside down when he started to use the word as part of his product name. For him now and the thousands who buy his lights, BOGO now means Buy One GIVE One. Each person gets to give a light every time they buy one for themselves. So now with each sale, people who do not have the luxury of electricity can harness the power of the sun to support their lives.

There are many other well known and less well know businesses now doing Buy One Give One giving or transaction based giving as it is becoming known. Some of the famous ones are One Laptop Per Child and TOMS Shoes. Some of the less well-known ones (in the USA at least) are based in Australia, New Zealand and the UK – Maple Muesli, Blinds Couture, Earthstar Publishing, Figure 8 Body Chains, Honestly Women magazine, Sunsplash Homes and Thavibu Gallery based in Thailand are just a few special businesses that are leading the Buy One Give One movement in their parts of the world.

Many Buy One Give One businesses are coming together under the single brand banner of Buy1GIVE1; a Singaporean based social enterprise which is becoming the home of transaction based giving. Any business can now choose to be part of Buy One Give One giving with ease. It’s like a CSR ‘plug-in’ to allow a business to start giving from each and every sale today – starting from just one cent. It is now not even a matter of giving an equivalent product to someone else. Instead it is about giving to a charity project that is in resonance with a company’s business activity. For example a magazine publisher cannot support the planting of a tree every time they sell a subscription, a restaurant can feed a child for each meal sold, a TV store can gift a cataract blind person with the gift of sight (Get Vision-Give Vision), and a builder or property developer can build a budget home for those in need who have lost their homes in a disaster (Buy1BUILD1) – the list is only limited by imagination.

There is something very special happening these days as more and more people are switching to giving and what are known as ‘citizen brands’ as a part of their everyday experience. In the 2008 Goodpurpose study of global consumer attitudes it reveals that almost 68% of consumers would choose to remain loyal to a brand during an economic downturn if it supports a good cause. And 71% say that when they think about the economic downturn, they have either given the same or more time and money to good causes. This study also highlighted some other key points as well such as:

* Half (52%) of consumers globally are more likely to recommend a brand to others when it supports a good charity cause over one that does not.

* 52% of consumers globally are more likely to tell others of a brand when it supports a good charity cause over one that doesn’t.

* Globally consumers are voicing a distinct desire for marketers to associate their brands to social causes. Forty-two percent say that if two products or services are of a similar quality and price, commitment to a cause trumps factors like innovation, design and brand loyalty when selecting one brand over another.

Transforming Getting into Giving

In the minds of consumers, Buy One GIVE One is sure to replace Buy One GET One as the global giving movement led by Buy1GIVE1 ripples out. Certainly with the large consumer demand shown for products from companies like BOGOlights, TOMS Shoes and One Laptop Per Child (OLPC), this tide will continue to spread.

I did a Google search on the 25 topmost key words connected with the keyword BOGO as an experiment to see what would show up. The results were interesting so I have displayed them below. You may notice that right now the word Give doesn’t show up. It will be interested to do this test again in twelve months time to see what changes. Consumers are now driving change and yes they want to receive free gifts (traditional B1G1/BOGO) but equally they also want to give to others or see others being given to.

Here are the results:

Free, photography, blogging, discount, networking, African, boots, groups, music, dallas, togo themes, wallpapers, buy, applications, skins, values, coupon, gift, sharing, shopping, pics, join, prose

Transactional or transaction based giving

Unlike normal charitable giving Buy One Give One giving is transactional. What is meant by that is: every time you buy something you give something. In the case of SunNight Solar they give a physical light for every light sold. In most cases, businesses that become part of this special form of transaction-based giving, give in a different way. At Buy1GIVE1, giving can start from just USD 1c contribution per sale. At this amount no business in the world can say they cannot give and 100% contributed goes to the cause.

The amount of money that is contributed isn’t the focus with Buy1GIVE1 transaction based giving. The focus instead is on the story and sharing the simple joy of giving. After all, if you think that 1c isn’t a lot to give and would not make much of a difference think again.

From its origins in Ethiopia, where the main coffee production is still from wild coffee tree forests, coffee consumption has spread throughout the world. Today Brazil is still by far the largest producer producing an average output of 28% of the world’s total coffee. Brazil produced enough coffee in 2006 to make 216 billion four hundred million – 216 400 000 000 – espresso coffees. If we calculate that across global production then we get a daily global consumption of around 2,117,416,830 cups of coffee. The figures are hard to find but let’s guess that 40% of the world’s coffee is sold in coffee shops then we would get that 846,966,732 cups are sold commercially each day globally. This would equate to about’5,485,714 cups in the USA alone seeing they purchase around 21.9% of the world’s coffee beans.

If we considered the impact of the coffee industry alone taking up Buy1-Give1, imagine now that for every cup of coffee sold a child in a developing region like Sub-Sahara Africa received clean drinking water from a well and it only costing 1cent to do this. Surely any coffee shop could afford to contribute this amount from the sale of a single cup of coffee. Imagine the different that this one action alone would make in the world.

Transaction-based giving is the story of a thousand-mile journey starting with a single step. Digging a well costs a few thousand dollars, however when you break the cost down it only takes the sale of a single cup of coffee to give clean water to a single person for a day1. This is the incredible and simple power of transactional giving. It is like the compound interest of giving – a little turns into a huge amount very quickly.

So many companies are used to doing things on their own. Doing transactional giving is no different. A company can go out find a cause and start doing Buy One Give One giving. And yet they are missing the point when they do this. Buy1GIVE1 giving is about sharing the joy of giving and not trying to change the world. As soon as you step up and say you are going to change the world then the world will step up and challenge you. Within a heartbeat a company would experience the sharp scrutiny of the media inspecting their every move. And yet when a company steps up and says it is supporting what its customer want and joins with others in its industry to do that in a win-win way, the story is different. When companies choose to join together under a commonly recognised banner/brand they can have a powerful joint effect. The ripple that a single company creates is added to that of another and the ripple grows into a tidal wave that benefits so many. This is the power of giving and doing things together.

Everyone wins with Buy-One-Give-One transaction-based giving. The consumer wins – at no extra cost to themselves they’ve made a difference to the lives of others through their purchasing choices. The business also wins in so many tangible and intangible ways. And of course the charity partner wins because they are now able to receive small amounts from numerous sources aggregated and paid in a lump sum on a regular basis allowing them to focus on what they do rather than raising funds.

A new start

If you go and check Wikipedia.com today for the word BOGO you should find that a new definition has been added. It’s time for a tide-change – a change from focusing on GETTING to working with GIVING. I added this small addition to Wikipedia’s BOGO definition: “… an acronym in the marketing industry that stands for Buy One GIVE One.”

Just imagine our world where every time you shopped and bought something you gave something – automatically and seamlessly. This is the simple joyful magic of transaction based giving.

This is the world I want to be part of.

Just remember – you don’t ‘get’ giving till you get giving.

References:

http://simple.wikipedia.org/wiki/Coffee

http://www.dep.org.uk/globalexpress/13/page1.htm

http://www.tesco.com/greenerliving/what_we_are_doing/ethical_clothing.page

http://www.tesco.com/greenerliving/what_we_are_doing/ethical_clothing.page

http://simple.wikipedia.org/wiki/Coffee

http://www.goodpurposecommunity.com/

http://www.dep.org.uk/globalexpress/13/page1.htm

Footnotes: 1 Calculated by taking the average cost to dig a well, dividing it by its average expected life without major maintenance divided by the number of people in the community benefiting from the well on a daily basis.

Find out more about how Buy1GIVE1 (BOGO) can transform your business using Cause Marketing.

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