Lisa Jones Christensen, a professor of strategy and entrepreneurship at The University of North Carolina's Kenan-Flagler Business School, said this in the Daily Telegraph newspaper in October 2010:
In a typical "buy one, get one free" arrangement, the benefit accrues only to the buyer, she says. "With the TOMS model, you generate something for someone else while also advancing your own fashion."
When customers purchase shoes, they "can let TOMS finish out the final mile of their own good intentions," says Christensen. Then, every time a customer slips on a pair of Classics, Cordones, or Stitchouts, he gets a reminder of the contribution he's made to the world.
"It is a model where the consumer can continue to reap satisfaction as the shoe gets worn. Most other consumption causes a decrease in satisfaction, as products become obsolete and head towards landfill."
As a result, the giveaways, though costly, increase customer satisfaction and deepen loyalty. TOMS's social mission – providing shoes to the needy – isn't a tender nicety. It's integral to the competitive logic of the company.
This, in effect, sums up the idea of "Buy one, give one away"; that the consumer is drawn into buying the shoes because of what they are doing to help charity and that TOMS shoes are not necessarily carrying out this policy out of good will, but instead to play on the minds of the Western Societies to gain customers, even if this forces them to lose profit.
I chose this slide because I really am amazed at the the way that the Western Societies are now prepared to buy products by certain brands not because of their quality, but instead to help people in poverty.