Rock star Bono has launched a new global brand, Product Red, with a share of profits to go to the fight against Aids and other tropical diseases in Africa, BBC Online reports from Davos Thursday.
Launch partners American Express, Gap, Converse and Giorgio Armani announced a range of “red” branded products. These will include T-shirts, footwear, sunglasses and a credit card.
The hope is that profits from the venture will generate a “sustainable” flow of money to support the Global Fund to Fight Aids, TB and Malaria.
Bono warned the world was losing the fight against HIV/Aids, with 6.500 Africans dying of the disease every day.
Product Red wants to draw on the branding expertise and commercial might of its corporate partners, with plans that hundreds of companies could offer “red” branded products. Red partners, in turn, hope to broaden their customer base while doing something good at the same time.
Product Red was launched on the sidelines of the World Economic Forum in the Swiss mountain village of Davos.
The Global Fund to fight Aids, Tuberculosis and Malaria has so far raised 4,7 billion US dollar, but only a fraction of that amount – 5 million dollar – has come from corporate donors, its director Richard Feachem said.
If Product Red was successful, the fund could count on an innovative, large and sustainable income stream.
American Express, which will launch its no-fee “red” Amex card in the UK only, has promised that at least 1 per cent of every pound spent will go to the global fund.
Clothing chain Gap will bring a range of “red”-branded T-shirts made in Africa into US and UK shops this spring. The autumn will see a global roll-out of a wider range of clothing products.
Nike-owned Converse will sell a range of limited edition Chuck Taylor All Star shoes, while star designer Giorgio Armani starts out with sun glasses, but plans to expand into clothing, accessories, watches, perfumes and jewellery.
On average Product Reds partners have pledged to channel about 40 per cent of their profits to the Global Fund. All four companies have signed up for five years, and the Product Red team hopes to sign up many more partners, BBC adds.
