This post really isn’t related to legal marketing. But I think the overarching message still can be applied.

Bank of America announced yesterday that it will give $3,000 to their employees that buy hybrid vehicles. The program covers about 20,000 employees who live in or near LA, Boston, and Charlotte, three cities where the bank has the top share of deposits.

And the free publicity has been amazing.

The Boston Metro, a free daily newspaper is running the story on page 3, with nearly a full page dedicated to the news. In it, the Metro quotes Massachusetts Governor Mitt Romney, who said:

So what they’ve done is make an enormous statement. This is going to have Detroit listening. The whole nation is going to be listening.

So, let’s look at this as a marketing move. I don’t mean to sound cynical, and I’m not saying that Bank of America is offering the $3,000 purely as a marketing stunt. Their motivation isn’t my point.

There are 21,000 workers eligible for the cash. Let’s just say that 10% are going to take BofA up on their offer (yes, I realize that’s not going to happen, but let’s just pretend). So, doing the quick math, that’s 2,100 employees at $3,000 each. The total expense to the bank: $6,300,000.

Now, I understand that six million dollars is nothing to sneeze at. But for a huge, national bank, that is a small expense. In 2002, the bank spent about $160 Million on advertising. I can’t find a current number, but I’d be willing to be that number has increased in the last 4 years.

Look at what the bank is getting for their offer:

• Nationwide Newspaper Coverage: I’ve seen the Boston Globe, Metro, and the Boston Herald, all of which are covering this story. Other papers throughout the country, like the NY Times, are running it as well.
• TV News Coverage: I actually saw this story before the al-Zarqawi story when I got up this morning.
• Government Endorsement: Politicians like the Massachusetts Governer are eager to attach their names to a story like this.
• Goodwill: BofA now enjoys an enhanced public perception from people concerned with the enviroment.
• Employee Loyalty: Who wouldn’t like to work for a company that offers you $3,000 for buying a hybrid car? Even if you have no plan to purchase one, it would feel good to work for a company that offers new, unexpected benefits.
• Recognition as an Innovator: Being one of the first companies to offer this kind of incentive shows that BofA is innovative and willing to try new things.

Compare that to buying an ad.

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