In our blog posts, we wished to combine topics of the class as they can be found within present-day companies. This Blog post reflects on the use of Motivation in TOMS shoes’ business model.
As customers, we are becoming more and more demanding of products “for good.” In other words, we want companies to step up and be socially responsible. The TOMS business model does just that. For every pair of shoes sold, a pair of shoes is given to a child in need. Consumers are then motivated to shovel out $40-$60 for a pair of simple shoes, knowing that really, half of their purchase is a donation and investment in the well-being of our neighbors across the world.
In class we looked at Kenneth Thomas’ model of Intrinsic motivation. I would argue that TOMS appeals to the dimension of “sense of meaningfulness.” Customers are excited by the task purpose, rather than just the act of buying shoes. They can tangibly understand the impact they will make because when they wear their new shoes, it is a constant reminder that somebody, somewhere, is wearing the exact same pair. For the consumer, it is an opportunity to make a difference while purchasing an item that he or she would need anyway (everyone needs shoes!). In this way, the marketing power of TOMS is underlined by its foundation on the INTRINSIC satisfaction that the customer receives with his or her purchase.
This “meaningfulness” even translates into the job structure of TOMS. One thing they pride themselves on is that they constantly have 15+ interns in their California office. These interns are unpaid, yet, there are thousands of applicants that apply every semester. TOMS can be picky in the interns they pick, and even more selective in the full-time candidates they wish to hire without heavy marketing on their employment brand--they already have the recognition from their "One to One Movement." For this reason, TOMS can use the resources that are normally applied to HR for their business. Why? Because the consumer as well as the up-and-coming employee are looking for ways to do meaningful work.
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