PRODUCT RED

'Product Red', styled as '(PRODUCT)^RED™', is a for-profit brand which is licensed to partner companies such as American Express, Apple Inc., Converse, Motorola, Gap and Giorgio Armani. It is an initiative begun by U2's frontman, Bono, and Bobby Shriver of Debt AIDS Trade in Africa (DATA) to raise money for the Global Fund to Fight AIDS, Tuberculosis and Malaria. Bobby Shriver has been announced as the CEO of Product Red, whilst Bono is currently an active public spokesperson for the brand.
Each partner company creates a product with the Product Red logo. In return for the opportunity to increase their own revenue through the Product Red products they sell, a percentage of the profit is given to the Global Fund.Global Business Coalition (2006, January 27). ''Ethical shopping: The Red Revolution''. Retrieved January 04, 2007, from businessfightsaids.org

Product Red has been criticized for not having an impact proportional to the advertising investment and being much less efficient than direct charitable contribution.[1]

Contents

Guiding principles

Products

Timeline

References

See also

External links

Official links

Critiques

Other links

Guiding principles

Product Red states that its main principles are: [2]

★ To expand opportunities for the people of Africa

★ To respect its employees and ask its partners to do the same with their employees and the people who help make their products or deliver their services

★ To promote HIV/AIDS workplace policies and practices

★ To see the power of a community mobilized for hope, health and progress

★ To ask its partners to uphold the same principles

Products

★ American Express Red Card.

★ Gap is selling a line of clothing including a T-shirt made in the African country of Lesotho from African-grown cotton.

★ Converse is selling a shoe made from African mud-cloth.

★ Giorgio Armani has announced a line of products that include clothes, jewelry perfume, and accessories.

★ Motorola has announced special editions of their SLVR, KRZR and RAZR mobile phones, with a 50% profit of each purchase going to the Global Fund. The Red RAZR was first launched with service by Sprint in November of 2006

★ The Independent newspaper is in partnership with Product Red.

★ The Hotel Café tour is presented by MySpace and Product Red.

★ Apple Inc. has released a special edition iPod nano and iPod shuffle with a Product Red theme, as well as a Red $25 iTunes gift card

★ NEED magazine is in partnership with Product Red.

★ Gap has shirts, bracelets, necklaces, pins, and candles where 50% of the proceeds go to help prevent HIV/ AIDS in Africa

Timeline

Launch Date	Product Type	Partner	Product Name	Description	Amount donated to Global Fund (US$)	MSRP (US$)
January 26 2006	Launch	WEF	Announcement	Product Red initiative first announced at the World Economic Forum in Davos, Switzerland. The Global Fund identifies Rwanda as the first country to receive funding from Product Red.
March 1 2006	Credit Card	American Express	American Express Red	American Express Red Card launched in the UK. Only UK residents with UK bank accounts are eligible.	1% of total spend. Up to 1.25% after spend over £5,000.	No annual fee for life. Typical 12.9% APR variable.
March 15 2006	Clothing	Gap	Gap Red	Launch party in London for the Gap line with 22 page feature in the April issue of ''Dazed & Confused'' magazine.	50% of profits from sales of (red) items
April 3 2006	Fashion accessory	Giorgio Armani	Emporio Armani sunglasses	Metal wrap-around sunglasses (style EA 9285/S) launched worldwide. Available in green, rose, blue, smoke grey, grey and brown, all embossed with the Emporio Armani Red logo. The forked frame arms, available in shades of ruthenium, gunmetal and light gold, are superimposed on the single lenses.	40% of gross profit margin from sales of all Emporio Armani Red products directly to the Global Fund.[1]
April 3 2006	Shoes	Converse	Mudcloth shoes	Converse Product Red limited edition Mudcloth trainers, designed by Giles Deacon, are available in the UK and US.	15% of Net retail sales	Starting from $60
May 15 2006	Mobile phone	Motorola	Red Motorola SLVR	Red Motorola SLVR L7 launches in the UK	£10 & 5% of every bill	$249.99
May 15 2006	Newspaper	''The Independent''		Bono edits the UK's Independent newspaper for the day, featuring a distinct red print.	50% of day's revenues.
August, 2006	Fashion watches	Giorgio Armani	Emporio Armani watch	Giorgio Armani’s second Red product is an Emporio Armani unisex watch (style AR0537/AR0538). It features a large 43mm stainless steel case with a coin-ridged bezel, a leather strap available in black with red contrast stitching, or vice-versa, and steel rivets that secure the strap to the case. The large digital dial displays the time in oversized numerals and has calendar, chronograph and timer features with push button controls on the side of the case. The dial also features the Emporio Armani Red logo at 12 o’clock printed onto the dial’s outer ring.	40% of gross profit margin (see sunglasses)	$225
September 21 2006	Newspaper	''The Independent''		''The Independent'' printed its second Product Red special edition, guest-designed by Giorgio Armani. This Red edition includes articles from a host of public figures and celebrities including George Clooney, Bill Gates, Leonardo DiCaprio and Beyoncé. The newspaper's daily features section, Extra, is a 36-page magazine for the day and each paper comes with a free Kate Moss poster. All revenue from online sales will be donated to help fight AIDS in Africa.	All revenue from online sales.
October 13 2006	MP3 player	Apple Inc.	iPod nano Product Red Special Edition	Bono appears on the ''Oprah Winfrey Show'' to US launch of Red products, including the iPod nano Product Red. Originally available in 4GB only, but 8GB models appeared in stores unannounced due to popular demand.	$10	$199 (4GB), $249 (8GB)
November 2006	Mobile phone	Motorola	Red Motorola RAZR	Sprint PCS launches the Red Motorola RAZR in the United States	$17	$259.99
January 9 2007	Stored-value card	Apple Inc.	iTunes Product Red Gift Card	Gift card for purchases at Apple's iTunes online store, for movies, tv shows or music. Currently only available in the US at Apple's online store.	10% ($2.50)	$25
June 2007	Magazine	''Vanity Fair''		Bono edits the issue of the magazine, title "The Africa Issue", which features a wide array of celebrities dedicated to issues in Africa (including Barack Obama, Muhammad Ali, Queen Rania Al-Abdullah, Bono, Condoleezza Rice, President George W. Bush, Archbishop Desmond Tutu, Brad Pitt, Djimon Hounsou, Madonna, Maya Angelou, Chris Rock, Warren Buffett, Bill Gates, Melinda Gates, Oprah Winfrey, George Clooney, Jay-Z, Alicia Keys, Iman Abdulmajid, and Don Cheadle.) on a total of twenty different covers.	$5 of every subscription to Vanity Fair sold.
September 5 2007	MP3 player	Apple Inc.	(PRODUCT) RED Special Edition iPod Shuffle and iPod Nano		----	$79 (1GB), $199 (8GB)

References

1. Emporio Armani official Press Release


★ Tim Weber (2006). "Bono bets on Red to battle Aids". BBC. Retrieved February 26, 2006.

★ Product Red FAQ. Retrieved February 26, 2006.

★ Product Red Fact Sheet. Retrieved February 26, 2006.

★ [3]. Retrieved October 29, 2006.

★ Motorola Press Release Retrieved May 15,2006.

See also

★ Cause marketing

★ Global Fund

★ American Express Red

★ Other Red

External links

Official links

★ Joinred.com - official website

★

★ Global Fund page on Product Red

★ Presentation by Product (RED)'s President USF MBA Podcast, 25 February 2007

Critiques

★ Shopping is Not Sharing CBS News, 17 October 2006

★ Caught Red-handed CBC News, 23 October 2006

★ Why the new Amex card makes me see red Spiked Online, 28 September 2006

★ Costly Red Campaign Reaps Meager $18 Million Advertising Age, 5 March 2007 (registration required)

★ The Big Question: Does the RED campaign help big Western brands more than Africa? (rebuttal of Ad Age article) The Independent, 19 August 2007

★ Bobby Shriver's Letter to Advertising Age (rebuttal of Ad Age article) March 2007

★ Does Shopping for a Good Cause Really Help? Newsweek, 14 March 2007

★ http://www.buylesscrap.org/ The Buy (Less) campaign

Other links

★ Report on the Private Sector and Product Red