PHILADELPHIA (CBS) — How would you like to help others every time that you shop? Well several companies are using a new business model. Every time a customer buys their product the company makes a donation to a charity or group in need.
Bombas for instance is a sock company, with a soul. Bombas CEO David Heath says, “We found out that socks are the number one requested piece of clothing at homeless shelters. So for every pair of socks we sell we donate a pair to the homeless community.”
Heath launched Bombas in 2013. The company holds events like this one where they make breakfast for the homeless and give socks to people who need them. In less than 3 years Bombas gave away a million pairs of socks.
Heath modeled his buy-one give-one-away business on the success of Toms, which donates a pair of shoes for each one sold and Warby Parker, which does something similar with eye glasses.
In the past few years a growing number of companies have realized that doing good is good business.
“Being charitable is cool now. It’s the new status symbol,” says Nathan Coleman, CEO of Elephant Pants, a clothing company that donates 10 percent of profits to charities that help save elephants.
Coleman says they make up that money by charging a bit more than competitors. He admits the charity aspect creates buzz for the brand and good will with customers.” According to Coleman, “We definitely get a strong return on our investment because we get passionate and loyal customers that keep coming back.”
They’re businesses on a mission to make money and a difference.
For more information about the companies mentioned in this story visit the links below:
Warby Parker eyeglasses:
Love Your Melon beanies: