When a company does something good for the community, the resulting reputation enhancement is good for business.  This axiom is as old as the public relations industry itself.  In fact, charitable gifts from corporations and cause-related-marketing campaigns are so frequent these days that few pay much attention to them anymore.

Yet, every once in a while, a smart business unveils a new approach to corporate largesse that is so original and potentially meaningful that even the most cynical among us are impressed.

Panera Bread Co. is celebrating the one-year anniversary of a “pay what you can afford” restaurant in Clayton, Mo.  The object of this bold experimental project is to operate an establishment that attracts a normal clientele, while giving the poor and homeless access to meals within their financial means.  Customers pay the amounts they choose for their regular menu items, ideally based on their own financial circumstances.

According to a recent Associated Press report, 60 percent of the restaurant’s customers choose to pay normal prices as posted, 20 percent pay less and 20 percent opt to pay more to support the community-spirited concept.  The idea has become so popular that Panera plans to open similar “pay what you can afford” eateries in additional cities.

In a time of shrinking public-sector support for the needy, this type of innovative corporate thinking is both important and impressive.  It appeals to many consumers and creates strong feelings of brand loyalty.  In this case, it also has generated amazingly positive national publicity for a rising fast-food industry competitor.

Now, please excuse me.  I’m heading out to my local Panera for a sandwich.

By: David Stiefel