In 2006 the (RED) initiative was founded by Bono, U2 and Bobby Shriver,
CEO of Debt, AIDS, Trade in Africa (DATA) and first introduced to the
world media at the World Economic Forum in Davos. (RED) is a new
business model and could be an indicator of a new brand agenda.
The new fund-raising business model of the (RED) brand works like this.
Iconic brands have the opportunity to license the (PRODUCT) RED mark
and use it for specific products co-branded by (RED) and the original
product brand. The corporations commit themselves to sending a fixed
portion of the profits made on (RED) products directly to the Global Fund to
fight AIDS in Africa (established in 2002 with the support of several world
leaders, among them then UN Secretary General Kofi Annan). The sole
purpose of the Global Fund is to raise funds and make grants to countries,
organizations and communities that need financial help to allow them to
respond to epidemics of AIDS, tuberculosis and malaria.
Iconic brands like American Express, Converse, Apple, Emporio
Armani and Gap have licensed the right to create, market and sell specially
designed (RED) products. Apple has designed a (RED) iPod. The Gap has,
among other things, designed an entire collection of red t-shirts imprinted
with words like INSPI(RED), EMPOWE(RED), WI(RED) and
ADMI(RED). A bodysuit collection from BabyGap spells out words like
DIAPE(RED) and ADO(RED). Gap has further committed to the cause by
having more products made in Africa. If you use an American Express
(RED) credit card, 1 per cent of your total spending is sent to the Global
Fund. (RED) Motorola phones are available, as is a whole collection of
clothing and fashion accessories by Emporio Armani. That is just to name
a few of the initiatives.
These corporations commit themselves to refunding a percentage of the
(RED) turnover to the Global Fund. A main point is that the consumer does
not pay extra for his or her (RED) purchase – the company does. The
licensing fee received by (RED) for use of the (PRODUCT) RED mark is
used to manage and market the (RED) brand. By early 2008 (RED)
purchases had generated more than $100 million for the Global Fund.
(RED) was created not only to raise money for, but also to create
awareness of, the Global Fund and the severe issues it adresses. On 15 May
(with Bono serving as guest editor) and 21 September (Giorgio Armani as
guest editor) of 2006 the Independentwent (RED). The newspaper
promoted the Global Fund and 50 per cent of the day’s revenue was donated
to the cause. Internationally well known personalities like Tony Blair,
Nelson Mandela, Bill Gates, Arnold Schwarzenegger, Condoleezza Rice
and George Clooney contributed to the (RED) editions of the newspaper. An
entire army of international celebrities have supported the (RED) cause by
modelling the clothes and backing the projects in all kinds of ways. Check
out the website below for new (RED) initiatives.
The cultural approach 233