What do you think about REDâ s selection of its initial partners?

Are these brands a

good fit for RED. What criteria should RED use to choose future partners?
RED works with iconic brands including American Express, Gap, Converse, Giorgio
Armani, Apple, Motorola and others to make unique RED branded products. These co
mpanies contribute up to 50% of profits from RED products to the Global Fund to
invest in HIV and AIDS programs in Africa. This is an excellent selection of meg
a corporations, which are all for-profit organizations and understand how to cre
ate real impact.
Since RED launched in 2006, it had generated $ 25 million in the first months fo
r the Global Fund, (five times what the private sector had given in four years),
but by the end of 2007, RED has contributed $50 million to the Global Fund.
RED was created to engage the private sector in raising awareness and funds to h
elp eliminate AIDS in Africa and its business model was structured to benefit pa
rtner companies by increasing consumer purchases and also resulting in increased
donations to the Global Fund. Each partner company involved in partnership crea
tes a product with the Product Red logo. In return for the opportunity to increa
se its own revenue through the Product Red products that it sells, a percentage
of the profit is given to the Global Fund.
RED created a simple message that HIVS and AIDS is preventable and treatable, an
d how just two pills a day can give someone a future and how antiretroviral trea
tment can save lives.
And has been able to successfully leverage existing marketing budgets of compani
es to engage a new audience of consumers to help fight against HIV/AIDS in Afric
a.
Criteria for choosing partners:
â ¢ For â profit organizations with ability to design, market and promote new product
â ¢ Companies with corporate social responsibilities (to enter into a long term par
tnership with RED, to raise money and awareeness for those suffuring from HIV/AI
DS in Africa);
â ¢ Companies with same principles like RED (to extand the opportunies for the peopl
e in Africa; to respect the employees; to promote fight against AIDS)
RED campaign is the most notable example of cause marketing, which involves a mu
tually beneficial partnership between a non-profit and for-profit business. Mega
-corporations such as AMEX, GAP, Motorola, Converse, Apple and Armani created an
d marketed red products. Profits from these red products went toward programs th
at combated AIDS in Africa. This cause-related campaign greatly increased AIDS a
wareness and funding in third world countries, and the companies involved receiv
ed public recognition for their charitable efforts as well as increased sales.
Despite all of criticism, I think, that RED is the alternative for people who no
t open for traditional way of giving. Consumers buy RED products and at no cost
to them, money is sent directly to the Global Fund. It helps corporations increa
se their profits, bolster their reputations, and distinguish their brands. And i
t lets consumers feel that they are making a difference in the world.