Yo u r road to success

Your road to success

LEVEL 5
SOCIETAL AND
SOCIAL MARKETING

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STUDY
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ii © ABE
 Contents
Using your study guide iv
Introduction vi

Chapter 1 Social Marketing for Behavioural Change 2

1.1 The nature and characteristics of social marketing practices 3

1.2 Marketing communication in behavioural change programmes 8
1.3 Behavioural change programmes in relation to social marketing applications 11

Chapter 2 Social Marketing Choices and Consumer Decision-Making 22

2.1 Social marketing approaches from consumer behaviour perspective 23

2.2 Social marketing planning process in a consumer context 38
2.3 The impact of social marketing choices in consumer decision-making 46

Chapter 3 Ethics and Corporate Social Responsibility (CSR) 52

3.1 Ethical issues in societal marketing 53

3.2 Analyse the importance of ethical considerations and CSR in marketing practices 55
3.3 Social marketing approaches from stakeholder perspectives 
 61

Chapter 4 Strategic Development of Responsible Marketing Practices

for Societal Benefit 70

4.1 Societal marketing and the environment 71

4.2 Marketing practices from a societal benefit perspective 76
4.3 The scope, planning and implementation of societal marketing practices 82

Glossary
90

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 Using your study guide
Welcome to the study guide for Level 5 Societal and Social Marketing, designed to support those
completing their ABE level 5 Diploma.
Below is an overview of the elements of learning and related key capabilities (taken from the
published syllabus).

Element of learning Key capabilities

Element 1 – Social marketing for • Awareness of social marketing practices and their
behavioural change difference to traditional marketing practices

• Awareness of behavioural change programmes,
how and why organisations might use them
Communications, environmental analysis,
analysis, consumer behaviour, data gathering
and interpretation

Element 2 – Social marketing choices and • Ability to apply social marketing approaches to
consumer decision-making consumer behaviour
• Awareness of the social marketing planning
process
• Awareness of the impact of social marketing
choices in consumer decision-making
Analysis, segmentation, targeting and
positioning, planning, problem solving,
investigation

Element 3 – Ethics and corporate social • Ability to discuss the ethical issues involved in
responsibility social marketing
• Ability to use marketing approaches to promote
CSR initiatives and ethical considerations
• Appreciation of social marketing approaches from
stakeholder perspectives
Ethical debate, ethical frameworks and their
application, marketing approaches, stakeholder
analysis, marketing communication strategies,
stakeholder engagement

Element 4 – Strategic development • Ability to recognise social benefits of marketing

of responsible marketing practices for practices
societal benefit • Knowledge of scoping, planning and implementing
societal marketing practices
Intellectual debate, relationship marketing,
planning and implementation

This study guide follows the order of the syllabus, which is the basis for your studies. Each chapter
starts by listing the syllabus learning outcomes covered and the assessment criteria.

iv © ABE
L5 descriptor
Knowledge descriptor (the holder…) Skills descriptor (the holder can…)
• Has practical, theoretical or technological • Determine, adapt and use appropriate
knowledge and understanding of a subject methods, cognitive and practical skills
or field of work to find ways forward in to address broadly defined, complex
broadly defined, complex contexts. problems.
• Can analyse, interpret and evaluate • Use relevant research or development to
relevant information, concepts and ideas. Is inform actions. Evaluate actions, methods
aware of the nature and scope of the area and results.
of study or work.
• Understands different perspectives,
approaches or schools of thought and the
reasoning behind them.

The study guide includes a number of features to enhance your studies:

’Over to you’: activities for you to complete, using the space provided.
 ase studies: realistic business scenarios to reinforce and test your understanding of what
C
you have read.
REVISION
on the go
’Revision on the go’: use your phone camera to capture these key pieces of learning, then
save them on your phone to use as revision notes.
’Need to know’: key pieces of information that are highlighted in the text.
Examples: illustrating points made in the text to show how it works in practice.
Tables, graphs and charts: to bring data to life.
 eading list identifying resources for further study, including Emerald articles (which will be
R
available in your online student resources).
Source/quotation information to cast further light on the subject from industry sources.
Highlighted words throughout denoting glossary terms located at the end of the study
guide.

Note
Website addresses current as at October 2017.

© ABE v
 Introduction
The world is changing very rapidly, and there are enormous challenges ahead. The global problems
of health, water conservation, famine, pollution and the environment are becoming ever more
critical to address. The power of marketing (and advertising) is now being applied to try to help
(at least partially) deal with these global challenges. The methods are being borrowed and adapted
from those traditionally used by advertising and marketing firms. If these marketing methods can
be utilised for the good of communities, continents and the world, they will have had a positive
outcome. The term used to describe this form of marketing is social marketing.

The causes of many of these global, national and local problems are often rooted in the very people
they are harming. Our behaviours and habits need to change if there are going to be long-term
solutions to these challenges. Social marketing is about changing behaviours and practices. While it
is not as easy as people once thought, it can be done with careful consideration and understanding
of how people behave. Part of the process of change is to use the right message, delivered to the
right people, at the right time. Information about an audience and their behaviours (gathered
through market research) can be analysed to gain insights and it is this work that allows the
targeting of a message to the identified audience in order to get better results.

The wide variety of challenges we face is growing and so is the application of social marketing: from
campaigns to stop smoking, to those reducing pollution in the oceans, lakes and rivers. We know
that just telling people to stop doing something (and imposing punishment or fines) does not work.
Finding the key that unlocks behaviour changes will be crucial to how these serious issues will be
tackled. However, there are hidden pressures and moral decisions that must be considered before we
encourage people to modify their behaviour. When do the outcomes justify the means?

The other critical element in solving these complex problems is the support of big businesses and
organisations. If they can be persuaded to change their approaches and link their financial profits
to “doing good” in society, there will be a tremendous potential for change. This behaviour for
social good is called societal marketing. Large companies are starting to take responsibility for
their products and their waste. The true success story begins when they become part of the global
solution. There are important decisions to be made for society and, by using the power of societal
and social marketing, there is a better chance of achieving social good, as part of the plan for
global survival.

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Chapter 1
Social Marketing
for Behavioural Change

Introduction
The world is facing such massive challenges that it is now necessary to change the way people and
populations behave. As it becomes increasingly important to encourage people to adopt better
habits, the power of social marketing techniques is being recognised. Social marketing can create
sustained changes in behaviour. The understanding and use of traditional marketing techniques
allows better ways of dealing with global issues. Social marketing draws on this knowledge to
create better communication strategies to help make the world a better place.

Learning outcome
On completing the chapter, you will be able to:
1 Discuss the role and application of the social marketing practice for the behavioural change
programmes

Assessment criteria
1 Discuss the role and application of the social marketing practice for the behavioural change
programmes
1.1 Discuss the nature and characteristics of social marketing practices
1.2 Discuss the role of marketing communication in behavioural change programmes
1.3 Discuss behavioural change programmes in relation to social marketing applications

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 Level 5 Societal and
Social Marketing

1.1 The nature and characteristics of social

marketing practices
Have you heard of a company called “Apple”? If your answer is yes (as it is for billions of
people around the world), why do you think Apple chooses to keep marketing? Why does it
change its products (from a new Mac computer, to the vast reach of the iPhone always with new
versions and sizes), offer price specials, invent new software products and advertise on a huge
scale?

The truth is that very few behaviours remain constant over time. It is necessary to reinforce habits,
improve awareness and generate positive behaviours. This is vital for businesses wishing to stay
successful in a rapidly changing world. This also means marketing has become more central to
business success although the level of marketing costs will change over the lifetime of a service
or product. Companies spend significant amounts of money on launching products. These
introductions are often very expensive; maintenance and reviving an old idea (re-branding or in the
context of block-buster films, “re-booting or re-formatting,” a series) can cost far less.

The power of social marketing partly comes from its use of many of the principles taken from
commercial marketing and from social sciences. Its core aim is to change people’s behaviour
for social good, for the benefit of both individuals and wider society. It is increasingly seen as
a “hot topic” for the sustainability of human development. The complex nature of some of the
biggest challenges that face the world today means there is enormous value in looking at a
range of potential solutions. Problems such as global health issues (the spread of AIDS and Ebola,
lung cancer, heart disease, obesity and diabetes, etc.) and environmental challenges (climate
change, famine, deforestation, habitat destruction, pollution, etc.) are mostly the result of human
behaviours. These issues can therefore only be addressed if significant numbers of people change
poor habits and lifestyle choices and make “better” decisions. Social marketing uses a range of
tools, methods and techniques (including applying the marketing mix) to encourage people to
make these sustainable changes in behaviour.

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 Chapter 1   Social Marketing for Behavioural Change

  CASE STUDY: THE “FACE OF LITTER” CAMPAIGN

Ogilvy & Mather is a huge global marketing agency. In 2015,
they were given a project by the Hong Kong government
to lead an advertising campaign to reduce the amount of
litter on the streets. They launched a city-wide campaign to
tackle the debris, by putting a face to what is usually an
anonymous crime. They took discarded litter and analysed
it using DNA technology. This innovative approach enabled
analysts to identify ethnicity, eye, hair and skin colour. This
was used to generate posters showing what the people
dropping litter might look like. The result of the campaign was that over a thousand media
outlets used the image and litter reduction was achieved.
Source: [Link]

At the heart of social marketing is the defined goal to achieve “social good”, rather than
commercial benefits or profit. It may use many of the same methods as commercial advertising and
marketing, but there are differences. For example, social marketing uses techniques other than
communication, which tend to be the focus of commercial advertising. Social marketing may involve
changing the way that a service is delivered or encouraging other changes to the target audience’s
lifestyle, habits and routines.

  NEED TO KNOW 
Social marketing involves:

• Insight – using user experience (UX) and market research to identify “actionable
insights”. These are key pieces of understanding that will underpin the social marketing
programme.

• Behavioural goals – aiming to change people’s actual behaviour, rather than just their
attitudes. This can be done by setting out clear, measurable behavioural goals with specific
timescales. 

• Segmentation – identifying audience “segments” which have common characteristics.

These segments will inform the interventions appropriately. 

• Exchange – considering both the benefits and the costs of encouraging people to adopt
a new behaviour. This will help maximise the benefits and minimise the costs, to create an
attractive exchange. 

• Competition – finding out what else competes for the audience’s time, attention and
inclination to change. This can involve working with or learning from the competition (e.g. TV
advertising).

• Methods mix – using a mix of methods to bring about behaviour change, including
education, support, control and design techniques. 

• Psychology theory – using psychology and behavioural theories to understand

human behaviour and inform strategy. Putting the customer at the centre of the
decision-making processes will allow a better understanding of the target audience.  REVISION
on the go

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Social Marketing for Behavioural Change  Chapter 1

The activities and campaigns that use social marketing need to be very targeted and clearly
defined. The reason for this is because consumers and audiences vary widely. They are different in
the decisions they make and their understanding of the message conveyed in these campaigns.
This can be because of different languages, cultures and communication channels. Each audience
needs to be better understood by marketers before they can be targeted. Marketers seek to do
this by breaking the audience down into clearly defined segments. Marketers can then consider a
range of possible influences that control each segment. They ask the basic questions about why
the audience behave in this manner. This vital research and analysis takes place well before
a campaign begins, because it will determine the best marketing methods to use to change
behaviours and habits.

  OVER TO YOU
Activity 1: Tackling the biggest challenges

Consider global issues that could be tackled by social marketing.

There are many global issues with the power to cause major long-term problems. These
include health issues (like the spread of disease) and environmental disasters (like climate
change and pollution). The issues themselves are often caused or exacerbated by human
behaviour and so can only be tackled effectively if people change their lifestyles and
adjust their poor habits.
Identify a global challenge and what habits could be changed to improve the situation.

For example – Water conservation: Changing behaviours of hotel guests by inviting them to
use less water and to re-use towels. Using education and training hotel staff to understand
the importance of water conservation.

The audience is the most significant part of the social marketing strategy. Therefore, understanding
each target market is becoming more critical. Making better decisions about how best to encourage
behavioural change requires asking the target audience better questions. The assumptions we believe
to be true about different groups in society are often incorrect. The wisdom and insights gained by

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 Chapter 1   Social Marketing for Behavioural Change

market research pay huge dividends by giving precise information about how to change the way
targeted groups behave. It is not just about raising awareness about an issue; it involves changing the
way people act and think. The data and information from market research help marketers to identify
the influences that will directly affect the outcomes for each segment, and to determine the best way
to maximise the impact of a specific strategy on a given population group.

Social marketing is all about creating positive change. The social marketing plan must be clear
enough that it avoids making assumptions about what different groups might believe. Having an
audience that is engaged at all stages of the process allows the audience to be better prepared for
change. The old marketing model of just “raising awareness” is not enough.

A social marketing approach should be used when the aim is to achieve

and sustain a behavioural change in a target audience.

[Link].uk1

If behavioural change is to be sustained, it needs to become part of the consumer’s belief system.
It is just the start of the process that will lead to long-term positive change. The aim of any
campaign is to direct its focus toward transforming habits and attitudes. The shift in attitudes
results in better decisions from the target audience: they will change from making bad decisions
to making more positive ones.

  NEED TO KNOW
The founder of the academic discipline
Philip Kotler (born 1931) is generally regarded as the founder of modern social marketing. He
is the S.C. Johnson Distinguished Professor of International Marketing at the Kellogg School
of Management at Northwestern University, and is a highly influential marketer, author and
consultant. His research and writing has earned him a place as one of the key innovators in the
field. Kotler has written more than 60 marketing books. His latest work focuses on economic
justice and the shortcomings of capitalism. Other recent published works include Confronting
Capitalism: Real Solutions for a Troubled Economic System (2015) and Democracy in
Decline: Rebuilding its Future (2016). He has described strategic marketing as “the
link between society’s needs and its pattern of industrial response.”2  REVISION
on the go
2

  CASE STUDY: LIBERIAN COMMUNITIES AT RISK OF EBOLA (2014)

Background
As people continued to cross borders into and out of countries
affected by the Ebola virus, the risk of Ebola spreading further
remained high. Cultural, religious and traditional beliefs and the
refusal of some families to treat family members who were sick
strained efforts to contain the outbreak.

1 PHE Alcohol Learning Resources (2010), What is social marketing? [online]. Retrieved from: [Link]
[Link]/Topics/Browse/SocialMarketing/toolkit2010/bestPracticeInSocialMarketing/whatIsSocialMarketing/ [Accessed on:
3 October 2017]
2 Kotler, P. and Keller, K. L. (2009), Marketing management. Upper Saddle River, N.J: Pearson Prentice Hall

6 © ABE
Social Marketing for Behavioural Change  Chapter 1

Decision to have a social marketing campaign

Some 200 volunteers, supported by various national and international organisations, worked
in affected villages in Liberia, but more volunteers were urgently required to accelerate
communication within communities. Liberia’s Ministry of Health and Social Welfare, with support
from various organisations, accelerated community education and social mobilisation.

Goals and behavioural change required

Informing at-risk communities about Ebola and telling them what to do to protect themselves
was key to preventing new infections. In the village of Zango in Voinjama, Lofa County, where
denial of Ebola was initially reported as extremely high, the social mobilisation team designed
an approach to address specific issues, such as beliefs about poisoning and witchcraft.

The main messages

The main messages which needed to be conveyed were how to protect oneself, what to do
if someone was sick, where to report cases and how the dead should be handled. Volunteers
spoke to community members in the local dialects. As an integral component of the Ebola
response efforts, community education needed to be intensified. A co-ordinated approach
among health partners with proper messaging that addressed issues of denial and resistance in
the community remained a priority for Liberia as it scaled up its fight against the disease.

Potential stakeholders
Social mobilisation partners worked on countering misconceptions about Ebola. At the Foya
Case Management Centre (CMC) in Lofa County, a 52-year-old Ebola survivor from Koindu
town in Sierra Leone recounted how she lost her only daughter and a sister to Ebola. WHO
and UNICEF staff also talked about Ebola with the elderly in Sulumba village near the border
with Guinea.

Define the audience

Increasing participation of elders, as well as religious leaders, was vital. These highly respected
leaders had a unique opportunity to mobilise communities. During a social mobilisation
campaign in Sulumba, Foya, volunteers gathered community members through the elders to
educate them on what to do to prevent getting sick.

Analysis of key behaviours

Social mobilisation activities were supported by psychosocial teams who helped people express
their grief. Lucana Kurvah, a mental health clinician, helped a psychosocial team explain to
community members in Zango why they needed to immediately report any sick family members.
She emphasised that no one should treat sick persons using traditional methods.

Implementation
To support social mobilisation campaigns in affected or at-risk villages in Lofa, banners with
messages about Ebola were hung at immigration checkpoints and various town centres. They
served as reminders of the need for people to protect themselves. Community radio was a
powerful tool for spreading life-saving messages. The National Task Force on Ebola led by the
Ministry of Health and Social Welfare had a sub-committee on social mobilisation, which co-
ordinated health partners’ messaging and production and the dissemination of materials.
Source: Adapted from “Reaching out to communities at risk of Ebola in Liberia”, World Health Organization, 2014

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 Chapter 1   Social Marketing for Behavioural Change

1.2 Marketing communication in behavioural

change programmes
Marketing communication is all about the message and how it is communicated to the audience.
If you are simply told to stop doing something (for example, stop eating unhealthy foods), you will
probably ignore it unless it has real meaning for you. Social marketing requires the communication
of a clear and simple message. There is also a need for consistency in the messages within a
campaign. With an increasing range of communication channels available to social marketers, it is
crucial that they all deliver the right message, at the right time, to the right people. The channels
include radio, television, newspapers, magazines, social media, websites and outdoor media. This
diverse range of media channels is driving social marketers towards more integrated marketing
communications (IMC) strategies.

The professional social marketer harnesses the value of integrating the various communication
methods, rather than having them operate independently. The American Association of Advertising
Agencies has defined IMC as:

a concept of marketing communications planning, that recognises

the added value of a comprehensive plan, that evaluates the strategic roles of a
variety of communication disciplines.

Schultz (1993)3

  NEED TO KNOW
Successful marketing
Successful marketing depends partly on the ability of a company to manage its marketing
programmes within its social environment. Social environmental forces are those forces that
involve the attitudes and shared beliefs of the population. Marketing managers are increasingly
finding their work difficult due to the fact that consumer values, lifestyles and beliefs are changing
much more rapidly than they used to. For example, gender roles are far less fixed than
in the 1950s, as indicated by the rising numbers of men who shop for groceries and
women who buy cars. REVISION
on the go

An IMC plan requires that advertising, direct response, promotion and public relations
(PR) are all linked. There will be a greater chance of changing behaviours if there is a robust
strategy to provide clarity, consistency and maximum communication impact. Social marketing
communication strategies depend heavily on the use of advertising to encourage behavioural
change. Advertising is a rapidly evolving area, but in general, it can be defined as any form of
direct communication about a service or idea paid for by a client; social marketing clients are
often at national or governmental level. One of the tactics involved in advertising is that of
the use of “fear” (FoMo – fear of missing out) to promote an idea or concept. While this may
work in the commercial world, social marketing campaigns which use this tactic should undergo
ethical reviews to provide the justification for using fear as a tool for the common good. Health
campaigns based on fear have a track record of failure.

3 Schultz, D. E. (1993), “Integrated Marketing Communications: Maybe Definition Is in the Point of View,” Marketing News,
January 18 Issue

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Social Marketing for Behavioural Change  Chapter 1

  OVER TO YOU
Activity 2: Fear of missing out

Identify one example of how FoMo is used to drive behaviour in your community.

Advertising is usually associated with brand building (which is long term) and reaching a broad
audience. The growth of the internet and global media has enabled the use of a promotional
campaign as a short-term approach to changing behaviour. Promotional methods can be powerful
only when they are clearly linked to the objective of a campaign. So, for a commercial organisation,
such as a national chain of chemists, there may be promotional posters, television advertisements
and “special deals” to promote the benefits of stopping smoking. In linking these promotions to a
commercial campaign, there may be long-term benefits as well as short-term gains for the business.

Social marketing campaigns often invest heavily in public relations and increasing interest through
publicity. Publicity is a non-personal, direct form of communication. However, unlike advertising,
there is no direct payment and no identifiable client. As a result of the lack of control exercisable
over publicity, it may also damage the impact of the campaign. The client has little control over the
reaction to the campaign, unless there is a commitment to (and budget allocation for) the PR campaign
being carried out using a professional company. Publicity might involve press releases, use of contacts
(typically editors, writers and journalists) and Word-of-Mouth (WoM) marketing. Increasingly, there
are “hidden” campaigns (often called “guerrilla marketing”) and attempts to use the power of
viral communication (e.g. on YouTube, Instagram and Twitter).

Social marketers have to deal with the publicity, negative and positive, that arises in the media with
the publication of “scientific reports”. These often deal with health issues (e.g. disease control)
or environmental challenges (e.g. climate change and pollution). There are some examples where
attempts have been made to release scientific reports to generate media interest, and this is called
“media advocacy”. The use of social marketing to promote a public health issue has resulted in
encouraging media outlets to report and amplify defined problems. They are becoming part of a
direct communication strategy to deliver a message to the public and to a target market.

  OVER TO YOU
Activity 3: Using adverts to put over a message

Can you recall an advert on television, radio or on an outdoor advertising space that was
about a health issue? What was it about? What was it trying to achieve and what effect
did it have on you?

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 Chapter 1   Social Marketing for Behavioural Change

A wide range of stakeholders will be involved in any social marketing campaign. These people
should be identified as part of an overall strategy. Many of these individuals will be responsible for
providing information and communicating directly with target audiences. This may be a critical issue
because they are usually credible sources for target markets but do not necessarily have media
experience. Consumers or potential consumers of the message need to be reassured about the
importance of the message. For many social marketing campaigns, professionals play an important
role (for example, doctors and pharmacists in health campaigns). These professionals need to be
educated and trained to deliver a consistent message.

Another important communication channel for social marketing is direct response advertising.
This may involve telemarketing strategies, but increasingly it uses the power of social media and
text-based smartphone campaigns. These are rapidly evolving areas and have created both positive
and negative reactions. Many of these direct methods result in the message being seen as “spam”
and “noise”. In some cases, they are very intrusive for consumers and seen as a form of harassment
(e.g. telemarketing) and there are issues with legal aspects of data protection (e.g. e-shots from
databases). The internet and social media channels can be used as a “complementary channel” to
the more traditional television media.

  NEED TO KNOW
The medium is the message
Watching television is an important part of understanding how a population can understand a
message. “The medium is the message” was a phrase coined by Marshall McLuhan, meaning
that the form of a medium embeds itself in any message it would transmit or convey. McLuhan
understood “medium” in a broad sense. He identified the light bulb as a clear demonstration
of the concept of “the medium is the message”. A light bulb does not have content in the way
that a newspaper has articles or a television has programmes, yet it is a medium that has a
social effect; that is, a light bulb enables people to create spaces during night time that would
otherwise be enveloped by darkness. He describes the light bulb as a medium without any
content. McLuhan states that “a light bulb creates an environment by its mere presence.”4 If
you watch the news on television, there may be a report about pollution, but often it is less
about the individual news story itself – the content – and more about the change in
public attitude towards pollution. The news creates a belief about pollution; that is
part of the understanding of a social problem. REVISION
on the go
4

4 McLuhan, M. (1964), Understanding Media: The Extensions of Man. New York: McGraw Hill

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Social Marketing for Behavioural Change  Chapter 1

The marketing mix

Some of the classical, “old school” elements of commercial marketing can be seen in social
marketing. For instance, they both share the key variables of the Four Ps (and their sub-
divisions):
• Product: quality, brand, premium, rarity, warranty, support, packaging, availability, proof,
authenticity.
• Promotion: advertising, special offers, deals, discounting, direct marketing, direct mailing,
e-shots, e-marketing, social media, discovery, channels, word-of-mouth, Facebook adverts.
• Place: retail, online, wholesale, direct sales, trade sales, e-Commerce, bartering, market,
distribution.
• Pricing: cost and benefits, discount channels, volume, payment period, credit,
bundling, list price, rack rate, price comparison sites, premium pricing. REVISION
on the go

1.3 Behavioural change programmes in relation

to social marketing applications
Definitions
A classic definition of marketing is:

Marketing is human activity directed at satisfying needs and

wants through exchange processes.

Kotler and Armstrong (2008)5

The definition for social marketing is that it is an approach used to develop activities aimed at
changing or maintaining people’s behaviour for the benefit of individuals and society as a whole.

If you look at the marketing definition carefully, there are two parts that need unpacking. The first
is the term “exchange” and its importance in social marketing. In a general marketing context,
it refers to a simple transaction, trading money for time, a service or a product. While this is
a simple explanation, what is hidden is how the elements can overlap and interact. If you are
buying a product, how much time is invested in finding the “right make”? How much time is spent
researching online or finding the best version by other methods?

The second crucial element is the concept of customer satisfaction. The marketer is aiming
to provide a better level of satisfaction than their competitors. The extension of this for social
marketing is in its application to changing behaviours. When you buy a great (or terrible) product
or service, it is human nature to want to tell others about how good (or bad) it was – indeed the
power of Word-of-Mouth recommendation is massive. The satisfaction of the customer also leads to
another type of behaviour, namely repeat purchasing.

5 Kotler, P. and Armstrong, G. (2008), Principles of Marketing, 5th edition. Financial Times / Prentice Hall

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 Chapter 1   Social Marketing for Behavioural Change

  NEED TO KNOW
Consumer behaviour and the psychology of marketing
The study of consumers helps businesses, companies and organisations improve their marketing
strategies by understanding factors such as:
• the psychology of how consumers think, feel and reason, and how they select between
different alternatives (e.g. brands, products and retailers);
• the psychology of how the consumer is influenced by his or her environment (e.g. culture,
family, signs, media);
• the behaviour of consumers while shopping or making other marketing decisions;
• how limitations in consumer knowledge or information-processing abilities influence
decisions and marketing outcomes;
• how consumer motivation and decision strategies vary between products that differ in their
level of importance or interest to the consumer; and
• how marketers can adapt and improve their marketing campaigns and marketing
strategies to more effectively reach the consumer. REVISION
on the go

One definition of consumer behaviour is:

individuals, groups, or organisations and

the processes they use to select, secure, use, and dispose of products,
services, experiences, or ideas to satisfy needs and the impacts that these
processes have on the consumer and society.

[Link].com6

Consumer behaviour happens when an individual, a group or an organisation changes their behaviour
because of the influence of others (e.g. friends can influence what kind of clothes a person wears, and
managers often make decisions as to which products their company should use).

Consumer behaviour may involve the use (and later the disposal) of products, as well as how they
are bought and consumed. The study of product use is often of great interest to the marketer,
because this may influence how a product is best portrayed or how marketers can encourage
increased consumption of that product.

It is this behaviour change that is so vital for social marketing. If you examine the fundamental parts
of the marketing process, they revolve around achieving specific goals, targets and objectives. This
applies equally to the seller and the buyer.
• The goal for the seller may be making a profit, market penetration or gaining market share.
• The goals for the buyer might include social proof (showing off to peers) or an increase in the
individual’s self-worth and self-esteem.

6 Perner, L. (n.d.), CONSUMER BEHAVIOR: THE PSYCHOLOGY OF MARKETING [online]. Retrieved from:

[Link] [Accessed on: 3 October 2017]

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Social Marketing for Behavioural Change  Chapter 1

Consumer behaviour has a direct impact on society. Consumer response to the aggressive marketing
of sugary, fatty, high-calorie foods, for example, may have repercussions for the general health of the
population and the national economy.

The goals of commercial marketing and those of social marketing can be very similar. They both
focus on the effect on society and community. We know that for most businesses and organisations,
marketing is a critical element. If a marketing campaign is positive, there will be an increase in
brand awareness for a target group. The intention is to encourage different buying behaviours
when the consumer is making a choice about a product or a service. The same applies for social
marketing, in changing the awareness and behaviour of a group or community.

  OVER TO YOU
Activity 4: Exchange

Can you give an example of an exchange for services or products in your community
where money is not involved? Why does it suit the parties involved?

Micro- and macro-marketing and environments

Of course, micro- and macro-economic conditions apply for all the marketing strategies used. These
are specific techniques that guide marketers to find out what people really want. They are part of
the forces that drive innovation and create new ideas, inspiring services and exciting products that
match those needs. There are differences between micro-marketing and macro-marketing,
but the essential marketing theories overlap and are understood by marketers.

If we examine them in detail, we find that micro-marketing is used to target a small segment of
the consumer population who have specific needs and requirements for a product or service. The
strategies used in micro-marketing and advertising are directed at a specific social group. Macro-
marketing is used to determine who will develop a product, service or idea. The information will
be used to evaluate the reaction of the audiences to a concept and to determine how and where
the products are produced. The marketers will use market research to determine acceptable
price points, the best market segments and the demographics.

The relationship between how a business or organisation functions and the environment in which
it operates is complex. We know that they cannot operate in isolation and must interact with their
community, other businesses and organisations. This produces an interlinked set of factors that
profoundly affect how a business functions. These may include their relationship with their employees,
their direct customers, the management and governance of a business, the supply chain and business
regulations. The “business environment” is divided into two categories: the micro-environment and the
macro-environment. The former affects the working of a particular business only, while the latter affects
the functioning of all the business entities operating in the economy.
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 Chapter 1   Social Marketing for Behavioural Change

  NEED TO KNOW
Key Differences between the micro- and macro-environment
• The micro-environment is the business environment under which an organisation specifically
and immediately operates. The micro-environmental factors, which are controllable by the
organisation, will affect that organisation only, and will affect it directly and regularly.
• The macro-environment refers to the general working environment of the wider economy
and influences the working of all the business groups operating within it. Macro-
environmental factors affect all business entities and are outside the control of the
organisation. They will affect the organisation indirectly and distantly.
• The micro-environment is comprised by the COSMIC elements (Competitors, Organisation
itself, Suppliers, Market, Intermediaries and Customers).
• The macro-environment is made up of the PESTLE elements (Population and
Demographic, Economic, Socio-Cultural, Technological, Legal and Political and
Environmental). REVISION
on the go

The micro-environment refers to the environment immediately surrounding an organisation,

i.e. the small area in which a business functions. Changes within this environment can directly
and immediately affect the day-to-day running of the organisation and therefore its performance.
The micro-environment is formed by the forces which are close to the organisation and which
can be viewed as stakeholders. These are forces that will affect that organisation alone, capable
of immediately impacting its day-to-day operations but for a short term only. Elements of the
micro-environment include suppliers, competitors, marketing intermediaries, customers and the
business itself.

Competitors

Customers Suppliers

Micro-
environment

Media Employees

Shareholders

Figure 1: The micro-environment REVISION

on the go

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Social Marketing for Behavioural Change  Chapter 1

The wider economic environment that influences the decision-making, strategy, performance and
general operations of all business groups at the same time is known as the macro-environment.
It is very dynamic and changeable in nature. It constitutes all those outside forces that are not
under the control of the organisation, but which have a powerful impact on its functioning. It
consists of individuals, groups, organisations, agencies and others with which the organisation
deals every day.

Political and
legal

Demographics Economic

Macro-
environment

Ecosystem and
physical Socio-cultural
environment

Technology

Figure 2: The macro-environment REVISION

on the go

  NEED TO KNOW
Marketing strategy
Using their understanding that consumers are more receptive to food advertising when they are
hungry, marketers learn to schedule food and snack advertisements late in the afternoon.

Using their understanding that new products are usually adopted initially by only a few
consumers and wider adoption by the rest of the population is gradual, companies:
• introduce new products that are well financed, so that they can stay afloat until their
products become a commercial success;
• appreciate that it is vital to please the initial customers, since they will in turn
influence many subsequent customers’ brand choices. REVISION
on the go

Understanding the power of each type of marketing strategy is critical, as the choice made will
influence the effectiveness of any social marketing campaign. Successful marketing campaigns can
take any idea, product or service to a higher level. They can generate significant profits or effect
social changes that improve public health or help to protect the environment. Understanding the

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 Chapter 1   Social Marketing for Behavioural Change

micro-marketing versus the macro-marketing concept can help marketers develop more efficient
and sustainable plans for their target markets.

  NEED TO KNOW
Marketers need to ask themselves...
Do you really understand the target audience and see things from their perspective? 
Are you clear about what you would like your target audience to do? 
For your target audience, do the benefits of doing what you would like them to do outweigh
the costs or barriers to doing it? 
Are you using a combination of activities in order to encourage people to achieve
the desired action?     REVISION
on the go

Marketing research
Among the many views and definitions of how marketing is used, most confirm the importance
of using a structured process. For any campaign, there must be an analysis of both customer
needs and customer wants before the campaign begins. Many marketing agencies use
market research to determine this information. The application of this data refines the market
offering, which in turn changes a product or service. Further information emerges about what
the acceptable price might be (price points) and how it is delivered to the customer (the place
and channels). It may be that there is a requirement to offer a “promotional” element.

The product then becomes the focus for a fair exchange. It is defined by its value to the customer.
Social marketers must be able to go further than this simple transaction, as they are trying to achieve
sustainable changes in behaviour. By offering value in the exchange there is a real motivation for the
consumer to change their behaviour. If the goal is to get a householder to become better at recycling
waste (and using the appropriate containers to sort plastic, organic and other types of waste), then the
consideration is what value they place in doing this. There may be a moral obligation or incentive (the
neighbours are doing it), or education may have changed attitudes about its importance on a local
and global level.

  OVER TO YOU
Activity 5: Recycling

Describe an example of recycling in your community. Does it work well? How is it

promoted?

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Social Marketing for Behavioural Change  Chapter 1

Social marketing uses many of the principles of commercial marketing to influence changes
in behaviour in a target audience. For instance, if a recycling campaign is successful, every
householder will adopt better behaviours in sorting and recycling their waste products. They
will keep these better behaviours and do so over a sustained period. Social marketing relies
on voluntary compliance, rather than having rules and punishment for breaches of those rules.
It avoids having a legal process, backed by economic or coercive forms of influence. The work
of researchers like Kotler has led to an understanding of the power of social marketing on
audiences.

Reducing drug use through social marketing

Social marketing involves getting ideas (and changing behaviours) across to consumers, rather
than selling something. Marty Fishbein, a marketing professor, went on sabbatical to work
for the Centre for Disease Control, trying to reduce the incidence of transmission of diseases
through illegal drug use. The best solution, obviously, would be to get illegal drug users
to stop. This, however, was not deemed feasible. It was also determined that the practice
of sharing needles was too ingrained in the drug culture to be stopped. As a result, and
using knowledge of consumer attitudes, Dr Fishbein created a campaign that encouraged
the cleaning of needles in bleach before sharing them, a goal that was believed to be more
realistic.7

  CASE STUDY: REDUCING CAR ACCIDENTS IN DUBAI

The global marketing agency Geometry Global Dubai
partnered with Dubai’s Roads and Transport Authority
to try to change the dangerous driving behaviour of
tailgating (driving too close to the car in front).
Tailgating means drivers cannot stop in time if there is
an emergency and it is one of the major causes of
road traffic accidents in the UAE. To deal with this
behaviour, special devices were fitted to taxis. When
another driver got too close, or the taxi drove too
near to the car in front, a warning message then
played directly through the offending vehicle’s radio.
It reminded drivers of the dangers of tailgating and thus changed their behaviour in the long
term. The result of the campaign was:
• tailgating incidents fell by 14.8% in the first quarter of 2015,
• huge press activity, with over 416 million media impressions,
• the equivalent of a US$1 million media spend.
Source: Akmal Abdelfatah, Mohamed Saif Al-Zaffin and Waleed Hijazi (2015), “Trends and Causes of Traffic Accidents
in Dubai”. Journal of Civil Engineering and Architecture, Vol. 9, pp. 225–231

The modern definition of social marketing focuses on the application of marketing knowledge,
concepts and techniques. At the heart of all these processes is the aim of improving social and
societal good. It may involve analysis of the user experience (UX) and the journey toward the
improvement of societies or response to global challenges. It may include elements of design,
policies, decisions and “big data” analysis.

7 Fishbein, M, and Ajzen, I. (1975), Belief, Attitude, Intention, and Behavior: An Introduction to Theory and Research.
Reading, MA: Addison-Wesley

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 Chapter 1   Social Marketing for Behavioural Change

Primary and secondary market research

Market research can usually be seen as either primary or secondary research. The difference is quite
simple, although there can be confusion around this topic.
• Primary research is original research conducted by you (or someone you hire) to collect data
specifically for your current objective. This might mean that you do marketing surveys, run
interviews or focus groups, observe behaviour, or conduct field trials. You are the one who
obtains this raw data directly, and it will be collected specifically for your current research need.
• Secondary research involves looking at existing data that was originally collected by
someone else. This might be online research, journals, document analysis or previously
published data. The data is then applied to your problem or area of research, but the data
was not intended for the purpose you are using it for.

Primary research Secondary research

Original data was By you as a researcher By someone else

collected

Qualitative or Can be either Can be either

quantitative

Key benefits Specific to your needs and Usually quick and cheap
you control quality

Key disadvantages Takes longer and costs more Data can be out of date and
not specific to needs

Table 1: Primary and secondary research REVISION

on the go

Transformative consumer research

One recent development that has gained traction with marketers is transformative consumer
research (TCR). It has its origins in a 2006 research paper, although market researchers have been
studying consumer behaviour for decades. The “ultimate” goal is the promise of greater profits
through targeted advertising campaigns and better return on investment (ROI). The research
gives information to directly influence consumer behaviour and is heavily backed by marketing
agencies and trade organisations. Some have argued that there is a larger body of research required,
to directly impact on social problems and challenges including poverty, inequality, addiction and
sustainability; these are the real focus of social marketers. They have historically never enjoyed of such
generous funding and remain on the forgotten side of market research.

The need for more practical research on consumer behaviour was the origin and driver for TCR.
In 2006, David Glen Mick used the term TCR in a research paper; he presented the argument that
accurate research should focus on developing solutions to consumer problems, rather than just
seeking methods to better influence behaviour. In the last few years, TCR has been recognised
as a powerful academic theory. It has become the preferred approach to studying the role that
consumption plays in many of the social problems of our society. TCR offers a real opportunity to
conduct applied research, which delivers practical results.

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Social Marketing for Behavioural Change  Chapter 1

Use data for

stakeholders

Rigorous
models

Greater
wellbeing
TCR

Socio-cultural
and
situational
Partner contexts
consumers
and
stakeholders

Figure 3: Transformative consumer research (TCR) REVISION

on the go

Before TCR gained traction in the social marketing world, consumer research usually relied upon
surveys and focus groups. These pieces of research were carried out by academic researchers, who
are experts in their academic discipline or field. Results from academic research are then
peer-reviewed (confirmed by other researchers) and later shared in academic journals. TCR starts
from a belief that social problems are highly complex and there is no “one-size-fits-all” solution.
It has been labelled as a multi-disciplinary and transdisciplinary approach to research. It is this
crossover that makes it more compelling in the understanding of complex problems. Its core value
is to deliver practical solutions, rather than to generate more data and sell more products.

There are some real constraints to how TCR works and how it is understood and applied by
marketers. The success ratio is still being calculated, but there are glimpses of how it could be a
force for massive social good. The management of larger research teams, with power struggles and
the politics that are associated with so many involved stakeholders, are yet to be solved. It may
require some novel solutions and leadership of a higher order. Because the driving force is the need
to address global challenges, there is a chance that this will happen sooner rather than later.

  NEED TO KNOW
Social marketing
Long-term changes in behaviour are usually the result of acceptance by the target audience in
terms of:
• improving health;
• preventing injuries;
• protecting the environment;
• contributing to the community.  REVISION
on the go

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 Chapter 1   Social Marketing for Behavioural Change

  OVER TO YOU
Activity 6: Social marketing in the community

Give an example of where social marketing is being used to help a local community.

READING LIST
• Andreasen, A.R. (ed.) (2006), Social marketing in the 21st century. Sage Publications

• Lee, N.R. and Kotler, P. (2015), Social marketing: Changing behaviours for good. Sage
Publications

• Lefebvre, R.C. (2013), Social marketing and social change: Strategies and tools for improving
health, well-being, and the environment. John Wiley & Sons

• Gordon, R. (2011), “Critical social marketing: definition, application and domain”, Journal
of Social Marketing, Vol. 1, Issue 2, pp. 82–99 (This article will be available in your online
student resources.)

• McAuley, A. (2014), “Reflections on a decade in social marketing”, Journal of Social

Marketing, Vol. 4, Issue 1, pp. 77–86 (This article will be available in your online student
resources.)

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Social Marketing for Behavioural Change  Chapter 1

Summary
Social marketing practice plays a role in behavioural change programmes. We have seen how this is
different from standard marketing. The power of societal marketing to reduce harm in communities
and society, and the diverse nature and characteristics of social marketing practices (knowing the
audience and what to ask through market research) should now be apparent. The academic origins
of social marketing (from the work of Philip Kotler) are the basis of its practical application.

In this chapter, we also considered marketing communication and how it is used in behavioural
change programmes (and why behavioural change is so essential for a sustainable change in
society). By using successful commercial techniques (i.e. the marketing mix, PR, etc.), long-term
positive change can occur in society. Understanding consumer behaviour is the key to using
societal marketing in communities.

© ABE 21
Chapter 2
Social Marketing
Choices and Consumer
Decision-Making

Introduction
Social marketing is becoming more important in overcoming global problems. As a result, more
data and research is required in order for marketers to make better choices about how it should
be applied. There are many consumer behaviours to understand and analysing how people make
decisions is central to this understanding. To achieve changes in behaviour, social marketers will
need to work hard to determine the right strategy at the right time.

Learning outcome
On completing the chapter, you will be able to:
2 Assess the importance of social marketing choices and its relative impact on consumer
decision-making

Assessment criteria
2 Assess the importance of social marketing choices and its relative impact on consumer
decision-making
2.1 Examine social marketing approaches from consumer behaviour perspective
2.2 Discuss the social marketing planning process in a consumer context
2.3 Discuss impact of social marketing choices in consumer decision-making

© ABE
 Level 5 Societal and
Social Marketing

2.1 Social marketing approaches from consumer

behaviour perspective
Consumer behaviour
A great question to ask any student of social marketing is: “Do you understand why people behave
the way they do?”

If the answer is “yes”, you have found the secret to social marketing. The goal of social marketing is to
achieve sustainable behaviour change, overcoming a wide range of critical challenges, by using
a people-centred approach. If the answer is “no”, all the evidence suggests you will not achieve
sustainable behaviour change. So, what is consumer behaviour and what are the factors affecting it?

The consumer is the decision-maker in the economic system. They can make the following decisions:
• The consumer can decide whether or not to buy a product.
• The consumer will decide if they want to be influenced by the marketing strategies and the
advertisements of the organisation for a product or a service.
• The consumer decides what they want to buy and when they want to buy it.
• The consumer chooses between competitors and their different products.

Decision-making is the power held by the consumer.

Consumer behaviour can be seen as a psychological process: it is very much related to the emotions
of the consumer. In this process, the consumer starts by recognising a need for the product, then
finds a way or a medium for solving this need, making purchase decisions such as planning whether
to buy or not buy a certain product. The consumer then confirms the information, makes a plan
and implements the plan to make the purchase. Consumer behaviour can change with the slightest
change in the market, the atmosphere and the current trends.

It is important to understand the psychology of the consumer of a specific class and for a specific market.
You need to understand how the customer thinks, reasons, feels, and selects between the products and
services offered. Then you have to consider the environment of the customer. The environment includes
the family of the consumer, their social atmosphere, their culture, etc. The consumer’s psychology is
different according to when and where they shop and make decisions about spending their money.
• How can you influence the customer with minimum knowledge by educating them about your
products and services?
• How can you impact the consumer’s buying behaviour, helping them decide between products,
the importance of the product and how their decision will affect them?
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 Chapter 2   Social Marketing Choices and Consumer Decision-Making

• How should a company improve their marketing strategy and marketing campaigns based on
the behaviour of their target market?
• How does a single consumer decision affect a group of consumers? This can include their friends,
their family, etc.
• One influence on consumer behaviour is whether they buy a new model of a product or continue
using the models they currently own. The desire to own something new is a powerful economic
and marketing force. A business needs to understand what motivates a consumer to buy new
product model and replace a functioning older version.

Different types of consumer behaviour

There are several types of consumer behaviour, involving different amounts of decision-making
and research by the consumer. For example, the purchase of regular, daily goods can involve little
money and minimum research work. This includes buying goods from the grower or grocery store
that are items used on a daily basis, such as milk, rice, bread, etc.

Buying some products generally requires limited decision-making. When a consumer wants to find out
about unfamiliar brands of familiar products, perhaps of not very high value goods, they need will to
make some sort of decision – even if this only happens occasionally. The time required to gather such
information is generally quite moderate; for example, buying items such as clothes and cosmetics.

Buying products such as computers, laptops, property, cars, or education, however, requires a much
greater amount of research and economic involvement. This involves a different type of consumer
behaviour. Such decisions take time and often substantial research as the consumer will study
almost all the options available in their economic range. The research is prolonged as the customer
wants to buy the best option available for the price to be paid.

Another type of purchase is impulse buying or the unconscious planning type of consumer behaviour.

Organisations try to educate consumers about their goods and services and motivate them to buy
their products, but predicting the consumer behaviour of a single person or a group is difficult
because you never know what factors might influence them and when. Consumers today have a
wide variety of choice and many factors can influence their behaviour.

  OVER TO YOU
Activity 1: What are consumer decisions based on?

What are the key factors that influence you to buy a product? List as many factors as you
can that influence your buying behaviours.

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Social Marketing Choices and Consumer Decision-Making  Chapter 2

Factors affecting consumer behaviour

As summarised by Kotler and Armstrong (2008)8, research indicates that there are four main factors
affecting consumer behaviour. These are cultural, social, personal and psychological factors and we
will look at them in more detail here.

Cultural factors:
• Culture: Culture is an important but complex area of human behaviour. It includes human
social behaviour, our roles in society, the behaviour of that society, and its values, customs and
traditions. Culture is an important factor influencing consumer behaviour.
• Sub-culture: This is a group of people within the larger culture who share the same values,
customs and traditions. Their values might be distinct and different from the main group but
they still share some of their ideas and maintain their principles.
• Social class: There can be many different classes in a society. It is important to know what social
class is being targeted for marketing as often the buying behaviour of a social class is quite
distinct within each culture. Remember that it is not just income but a number of other factors
which combine to make up the social class of a group of consumers.

Social factors:
• Reference groups: A reference group is any group that people use as a standard for evaluating
themselves and their behaviour. As social beacons they have great potential for influencing
consumer behaviour, although their impact will vary across products and brands. This group
often includes an opinion leader.
• Family: The behaviour of a consumer is not only influenced by their own motivations and
personalities but also by those of their family and family members. A family can be two or
more people living together either because of blood relationship or marriage or long-term
commitment.
• Role and status: People who belong to different organisations or groups, or who are club or
family members will play different roles and have a certain status to maintain. These roles and
statuses also influence their consumer behaviour as they decide to act and spend accordingly.

Personal factors:
• Age and life cycle stage: The age of a consumer and their life cycle are two of the most
important sub-factors under personal factors. As people age, and there are changes in their life
cycle, their purchase options and their motivation for buying products will change. Different life
stages have big effects on consumer behaviour.
• Occupation: The job or profession of a consumer affects the goods and services they are likely
to buy. The work you do affects the different products and services you are interested in.
• Financial or economic situations: The amount of money a person has will affect everything they
can buy. If the economic situation of a consumer poor or unstable it will affect their purchasing
power. So if consumers are feeling uncertain about their economic prospects, or if the economy of
a nation is unstable, this will negatively affect their purchases or spending decisions.
• Lifestyle: People belonging to different cultures, sub-cultures, occupations and social classes
have different styles of living. An individual’s lifestyle can make a statement about them, and
can be indicative of some of their interests, opinions and activities. Different lifestyles affect the
purchasing pattern of consumers.
• Self-concept and personality: Each individual in society is unique, with a different and distinct
personality, which will affect their decisions as a consumer. The purchase of products and
services will therefore differ from person to person.

8 Kotler, P. and Armstrong, G. (2008), Principles of Marketing, 5th edition. Financial Times / Prentice Hall

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 Chapter 2   Social Marketing Choices and Consumer Decision-Making

Psychological factors:
• Motivation: Motivation is responsible for activating the internal needs and requirements of the
consumer. It can also be described as controlling the goals and needs of consumers. Motivation
arouses and directs the consumers towards certain goals. These needs can be psychological
needs, needs for security, social needs, self-esteem needs and also self-actualising needs.
• Perception: Perception involves sensing the world and the current situation and then making a
decision accordingly. Every individual looks at the world around them differently, according to
their own life experiences, judgement and abilities, and makes different decisions.
• Learning and experience: Learning involves the consumer’s research into different products
and services before they take the decision to buy a product or service. It is now often done
online and in groups. Learning and experience both play an important role in influencing the
consumer’s behaviour as this influences their purchase decision.
• Attitudes and beliefs: Attitudes are a consumer’s favourable or unfavourable emotional feelings.
Consumer attitudes and beliefs are important and must be taken into consideration while studying
human behaviour.

  OVER TO YOU
Activity 2: Consumer behaviour

Which of the above consumer behaviours do you think are most important for deciding to
buy the following?
A car

A mobile phone

Clothing for exercising

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Social Marketing Choices and Consumer Decision-Making  Chapter 2

Social marketing strategies

Imagine trying to get people to change their behaviour, just by giving them lots of information and
assuming they will act on this appropriately. What would be the result? Probably nothing! Social
marketers recognise that it is necessary to take responsibility for defining the target group and
understanding its unique features and behaviours.

Finding a bespoke solution for clients when delivering a marketing campaign requires making
adjustments for the defined consumer groups. Micro-marketing is becoming the most powerful tool
for businesses of all sizes. If they can understand customer needs and answer those needs in their
product or service, they will have a better return on investment. The success of such a bespoke micro-
campaign will become evident if customers turn into loyal supporters (fans) and repeat clients for a
product or service.

Company/organisation
(Internal environment)

Customers, suppliers, competitors

(Near environment – influence)

Culture, society, politics,

law, technology
(Far environment – respond)

Figure 1: Macro- and micro-environmental forces REVISION

on the go

Micro-marketing uses different strategies to a mass marketing approach. Instead of high volume
efforts (like mass emailing or e-shots) with high customer turnover, it gives a deeper level of
satisfaction to a smaller, ideally matched customer base. One of the downsides is the cost and
budget required to implement this process. It will involve spending more per target consumer and
can be expensive due to customisation and the inability to scale up in size.

Micro-marketing is a distinct and powerful strategy, whose focus is to generate profit for the
business through customer satisfaction. It needs an intelligent and controlled strategy which
manipulates the variables to optimise its objectives. If a business (and by extension a social
marketing campaign) knows how to provide value (a fair exchange), then the target group become
satisfied customers. In social marketing terms, this will produce sustainable changes in behaviour.

There are four main aspects to micro-marketing that reflect the classic marketing mix: product,
placement, promotion and price. Developing a bespoke marketing strategy for a campaign
requires an understanding of customers and consumers. Essentially, it is done by acquiring data and
identifying facts about them. The “price” of the product or service should fit within their spending
habits, income and lifestyle.

Macro-marketing is always bigger in ambition and scope. There is more focus on group (herd)
behaviours and it goes beyond the remit of micro-marketing. Macro-marketing is a mechanism

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 Chapter 2   Social Marketing Choices and Consumer Decision-Making

that addresses issues at the heart of the market and society. Marketers need a clear understanding
of the desires and aspirations (the psychology) of consumers, as this enables analysis of the
opportunities and the shortcomings of a marketing strategy.

Macro-marketing requires the mechanisms that can help to enhance marketing processes and systems.
Unlike micro-marketing, it focuses on the relationship between the production process and the data
from purchase patterns of consumers. It avoids the fine detail of individual decisions based on a
small customer base; instead it uses data from the marketing process. The brief for macro-marketing
is entirely different from the concerns of micro-marketing and needs to be put in the context of the
outcomes required.

Micro-marketing looks at how an organisation or business will make decisions on what product to make
and market, and how they will change their methods of production. This involves the practicalities of
brand management and pricing decisions, with channels of distribution and the consumer behaviour
of individuals being at the front of the strategy. There may be a “packing” issue and promotional
decisions to make the product appeal to the individual consumer. Macro-marketing is more concerned
with marketing and social responsibilities, consumer behaviour patterns and the detail of the decisions
consumers make. It may take on board rules and regulations, the efficiency of marketing systems,
socially impacting advertising techniques and (corporate) social responsibilities.

Unlike micro-marketing, with its intense focus on a target with a small customer base, macro-marketing
will always look to target large populations and the maximum possible number of customers. It will use
its resources to focus on how a big target market (particularly the wider society) works; it looks at how
an idea, product or service can reach the maximum audience.

  NEED TO KNOW
How to study consumer behaviour
• Understand the psychology of the consumer of a specific class, and of a specific market.
You need to understand how the customer thinks, reasons and feels, and how they select
between the products and services offered.
• Understanding the customer’s environment is important. The environment includes the family
of the consumer, their social atmosphere, their culture, etc.
• Consider the consumer’s knowledge about the products, the industry and your competitors.
How can you influence a customer with minimum knowledge by educating them about your
products and services?
• How can you influence buying behaviour, helping the customer make a decision in selecting
between products, and how will their decision affect them?
• How should the company improve their marketing strategy and marketing campaigns based
on their understanding of consumer behaviour?
• Consider how a single consumer decision affects a group of consumers, i.e. friends, family,
etc.
• Influencing consumer behaviour to buy a new product or upgrade their current model is part
of understanding what motivates them to change.
• Consumers also make decisions based on the after-sales services and the service
provided by an organisation and its distributors. The service offered to a
consumer also matters as it can influence their behaviour. REVISION
on the go

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  CASE STUDY: THE “SUGAR ACCUMULATOR” CAMPAIGN

In 2015, Public Health England wanted to initiate a campaign to
reduce the unhealthy intake of sugar. The average UK consumer
ingested the equivalent of 175 sugar cubes a week. In
partnership with an associate company, mySupermarket, the
marketing agency MEC built the world’s first “Sugar
Accumulator”. This is an online traffic-light system to measure
the overall volume of sugar in a shopper’s online basket when
they order groceries over the internet.
The video of the MEC campaign can be seen here:
[Link]
The results were dramatic.
• More than 1.2 million consumers engaged with the “Sugar Accumulator” campaign.
• There was an 18% increase in sales of reduced-sugar drinks and breakfast foods.
• There was a 100% increase in sales of reduced-sugar puddings.
Source: [Link]
accumulator/

The prevailing wisdom is that macro-marketing is a better technique to use when you wish to
consider every aspect of marketing. It will focus on a full range of techniques and applications
such as online awareness campaigns, mobile technologies, traditional and targeted advertising,
unique product features, the product’s in-store and online availability and the appeal of the
packaging. Macro-marketing explores the social effect of marketing and the flow of ideas,
products and services. It looks at the impact of the product on the economy and how it can cause
a sustainable effect. It will use all the available tools (like cookies and big data) to evaluate the
benefits of these products, ideas and services to consumers.

Social marketing aims to promote behaviours that benefit society as well as the individual. Social
marketing can be applied wherever there is a target audience, and a behaviour one wants to
influence. It may be a campaign to convince families in Africa to use insecticide-treated nets to
prevent malaria, or to reduce drink driving, or to convince people to use public transport rather
than cars – the objective in each case is to influence behaviour change.

It is, therefore, a fundamental part of social marketing to understand audience orientation by

seeking to understand what people really want and, at the same time, asking better questions
about why they do what they do. The social marketer is involved in audience-centred approaches,
instead of looking at organisations. This is the basis of the exchange theory, namely that the new
behaviour is perceived as having a higher value than the current behaviour. It is not enough to just
improve awareness or indeed change attitudes towards an issue. The social marketer needs to
motivate and empower people to embrace the desired behaviour.

Social marketing makes a clear difference between a campaign having a quick impact and one that
has a lasting impact. In many ways, it is this difference that is critical, as we live in a modern world
where there is constant competition for our attention. The audience commitment to doing the right
thing is always being tested and challenged by competitive messages and offerings.

Role of consumers
The social marketing methods must be in line with the values of the campaign, so that the desired
outcome is understood by the consumers. Remember that the goal is to transform behaviour in a

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sustainable way. If a campaign alienates the audience, then it is likely to fail and it will be difficult
to get it back on track. Consumer behaviour really is the key to the success of any campaign.
The social marketer must understand these behaviours and the likely outcomes of any campaign
through the eyes of the consumer.

  OVER TO YOU
Activity 3: The problem of encouraging people to change

Imagine trying to encourage recycling by printing quantities of glossy leaflets (on non-
recycled paper) containing large amounts of data about the volume of rubbish produced
in the community.
What effect do you think this would have on consumer behaviour?

By taking a consumer-centred approach, social marketing enables marketers to understand people

and their behaviour. They will seek to encourage behavioural changes by having strategies that
are based on an understanding of what people do in certain situations. They get to grips with the
knowledge of the “why” and the benefits that result for individuals, families, communities and
the wider society. Social marketing is bigger than just a promotion and it is widely accepted as a
“discipline” that uses experience and knowledge from multiple academic fields.

  NEED TO KNOW
Disciplines which are involved in social marketing
Social marketing involves aspects of these disciplines:
• psychology
• sociology
• economics
• neuroscience
• anthropology     REVISION
on the go

Social marketing draws on multi-disciplinary knowledge and wisdom to understand how people
behave or might behave. It gives insight into how a target group might respond to a message or
campaign. The amount of data now available is changing the decision-making process. In the past,
it might have been acceptable to ask a small focus group questions about an issue. We now know

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that this can give misleading results and it does not get to the central question of why consumers
behave in the way they do and what causes their response to issues.

  NEED TO KNOW
Analysis of data
Analysis of data is needed to:
• develop better strategies to understand consumer behaviour;
• improve designs and develop products to meet needs;
• put across better messages that consumers understand and act on;
• provide consumers with better exchange (which they value). REVISION
on the go

• Census data
Data sources • Online capture cookies
• Previous data and records

• Geographic analysis
Big data analysis • Demographic analysis
• Diagnostic analysis

• New target markets

Segmentation • Options for delivery
• Changing approaches

Figure 2: Data analysis for high-impact targeting for social marketing REVISION
on the go

The concept of exchange is crucial in getting groups of people to change their behaviours
over the long-term. Sustainable change happens when we believe it is in our best interest to act in
a certain way, or to make better decisions.

Customer
Enterprise
analytics for
and logistics
marketing

New products Operational

and services analytics

Fraud and
compliance

Figure 3: The areas of impact of big data REVISION

on the go

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One of the interesting consequences of using our knowledge of consumer behaviour is that
campaigns are now run by governments and public services to achieve societal change. They
often attempt an education process (sometimes called “raising awareness”) to try to encourage
changes in consumer behaviour.

Put yourself in the shoes of a social marketing agency that has been asked to help solve a major
problem in society. This is a generic case study but follows the fundamental guidelines we have
seen earlier. You are asked to help tackle the problem of the increasing number of car crashes
involving young drivers. Part of the brief indicates that many young drivers have no driving
licence or insurance.

The problem statement: This is the statement of the problem that you as the marketer must
consider: “The social problem is the increasing number and serious nature of car crashes
involving young adults”.

Behaviour change: The objective is the first thing to consider. “What action do I believe will best
address that problem?” The answer is: A reduction in the number of unlicensed and uninsured
young drivers by 70%. Note that this is a concrete statement with a measurable statistical change.
Who the audience will be is the next question for the marketer to consider; “Who is being asked to
take that action?” The answer is:
• unlicensed and/or uninsured young adult drivers;
• the parents and guardians of these young adults;
• local/state/national organisations and government; and
• traffic enforcement officers and those involved in education.

Overall strategic options:

1 Understand the behaviour of the target audience. The marketer needs to understand structural
differences in families. This can identify who influences the target groups’ decision-making capacity
and habits. This can identify perceived barriers to and benefits of the change in behaviours.

2 Re‐frame the problem. Ensure all audiences identified in the strategy are aware of the data on
the large number of unlicensed and uninsured young adults involved in car accidents. Change
the frame of the problem from (for example) dangerous driving to illegal driving. By asking
better questions, the marketer can find out what each target group are thinking.

3 Identify specific behaviours which will help create sustained change in habits and behaviours.
By identifying specific behaviours for each group that could be changed, a sustainable control
model can be created with specific advertising backed up by legislation and law enforcement.

4 Energise and sustain the champions of change, e.g. law enforcement officers, by using formal
and informal police networks to promote the existing laws and drive education policies to match
these laws. Look for ways to make the new enforcement compatible with existing approaches
and create sustainable change.

5 Create a large-scale behavioural media campaign directed at parents, young adults, educators,
enforcement and legislators. Publicise the strategy that was selected from among alternatives
1–4 and take appropriate action to achieve goals.

Social marketing is becoming essential as we face increasingly difficult challenges in society. As

a result, the underlying reasons for adopting the tried and tested techniques from commercial
marketing agencies are becoming more critical. Any survey of consumers (including young children)
will reveal their ability to spot brands, adverts and tag lines. The most recognised brands in 2017
include those shown below.

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  NEED TO KNOW
Top global brands
The top 15 global brands in 2017 were:
• Samsung • Disney • Amazon • Facebook
• Google • Visa • McDonald’s • Twitter
• Apple • Coca-Cola • Microsoft • IBM
• Ferrari • YouTube • Nike
Source: [Link]     REVISION
on the go

You probably know (without having to think) many of these brand logos, symbols and designs, as
they form part of our society and cultural context. The amount of money that these companies
spend on keeping them in your mind is massive. You may spend more money on these brands as
a result, paying well above the functional utility price of a product in order to buy a specific brand
name.

  OVER TO YOU
Activity 4: Branding

How does branding play a role in your choice of a mobile phone, food, clothing or a bicycle?

What communication techniques are the companies that sell these products using to get
your interest?

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Customer value analytics (CVA) is based on big data, making it possible for leading
marketers to deliver consistent omni-channel customer experiences. The most popular big
data use in 2017 has been in sales and marketing.9 The results are:
• customer analytics (48%)
• operational analytics (21%)
• fraud and compliance (12%)
• new product and service innovation (10%)

Social marketing can be included in the hundreds of areas that big data and analytics will
revolutionise. Big data is already delivering results in commercial marketing and is beginning to
spread to the area of social marketing. It will inform:
• how messages are defined, prices determined and products produced;
• the management of target audiences, behavioural analysis and psychology.

Attaining information about the best price for a given product or service is becoming
quicker, thanks to advances in big data algorithms and advanced analytic techniques. REVISION
on the go
9

Change applications
If the branding and communication techniques used by the big corporations could be used for
social good, how would it work? Powerful targeted communication and adverts (think Facebook)
are clearly gaining traction. The social marketing expert Gerard Hastings used his book title to ask
“Why should the Devil have all the best tunes?”10

There are increasing numbers of examples where social marketing applications are very successful
in achieving positive behavioural change. Many social marketing agencies are adopting high-end
commercial communication strategies. However, there are some reasons why social marketing is
not ideal as a strategy. One reason is the high cost of running a social marketing campaign – a cost
which is often hidden within a government budget.

The real cost and return on investment may be harder to analyse. The way that groups behave,
in a sustained way, has also led to some negative feedback. Indeed, many people think that
social marketing is the same as “selling” or “persuading” people to buy products that they do
not really want.

It is noticeable that there has been an increase in the adoption of some specific commercial
techniques to help solve the big challenges in society. These include market segmentation,
user experience (UX), market research and product placement. Marketing and its association with
(hard) selling is becoming less important in some sectors like banking. However, it was only a
generation ago that banks were describing such activity as “nauseating”, “odious and irrelevant”
and “an over-rated pastime”. Public sector organisations, such as hospital trusts, have also been
slow to adopt the new methodologies.

9 Daily Reckoning (2015), Big Data Investments: Opportunities Behind the Buzz [online]. Retrieved from: https://
[Link]/big-data-investments-opportunities-behind-buzz/ [Accessed on: 5 October 2017]
10 Hastings, G. (2007), Social Marketing: Why should the Devil have all the best tunes? Butterworth-Heinemann

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The adoption of social marketing has been slow as there has been a limited awareness of the
potential of this form of marketing. It may also be that there is a built-in resistance because of
the language involved in the process. If you read the magazines and blogs of strategic marketing
companies, you soon notice that they have hijacked the language and terminology of Sun Zu’s
The Art of War.11 You can find phrases such as, “keep your friends close and your enemies closer”,
“encirclement” and “full frontal attack”. As you can imagine, the use of such phrases does not go
down well with charities, peace groups and health education organisations.

  CASE STUDY: FIVE-A-DAY INITIATIVE

The World Health Organization (WHO) recommends an intake
of at least five portions of fruit or vegetables per person per
day. This was taken on board by the UK Government
(Department for Public Health), which ran a social marketing
campaign based on providing consumers with data and
information. The Minister for Public Health in the UK in 2003
was Hazel Blears. Her campaign speech started with the
following statement:

“The evidence shows that eating at least five portions of fruit and vegetables each day could
help prevent up to 20% of deaths from our nation’s biggest killers such as heart disease and
some cancers.”

The actual results of the campaign were disappointing, according to data from a fresh product
organisation called Freshfel (Europe) which concluded that consumers were buying only 1%
more fresh fruit by the end of a five-year campaign in 2008. What was more disturbing was that
fresh vegetable buying and consumption fell by 11%.

So, what went wrong?

It is important to look at the exchange that was being offered. Sustainable behaviour change
occurs when the consumer understands there is a value to this change. The reality of this
campaign was that the exchange focused on health benefits (which were projected into the
future) rather than any short-term wins (with long-term benefits). Consumers therefore didn’t
quickly understand the campaign. The creation of a shift in behaviour relies on this exchange of
value and understanding.

To back this up, some real-world research was undertaken by the National Social Marketing
Centre. In 2007, they looked at some regional areas in the UK, with a focus on lower economic
groups. Here there were issues surrounding income and housing (as well as the health issues
of poor eating habits). They found that this group of consumers did not feel that the long-term
health benefit of “five-a-day” had real value. Their perception was that because money was a
pressing issue (they had little money), it was not a priority. So, if you smoked, drank heavily and
did little exercise, then eating five fresh fruit and vegetables every day was an irrelevance and
had no value. They had, in effect, done a calculation of the exchange value. As a result, there
was no positive change in their behaviour.
Source: [Link]

11 Tzu, S., translated by T. Cleary (2005), The Art of War. Boston: Shambala. (Original work published in 6th century BCE)

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  OVER TO YOU
Activity 5: Why might a social marketing strategy struggle?

Usually social marketing strategies fail because there is a poor understanding of the
target market. This means the message may be poorly transmitted to this segment of
the population and it may use inappropriate language or symbols. An example comes
from the UK’s 1996 health campaign within the UK’s Department of Health anti-drug
strategy. Their dire warnings about the dangers of heroin (the message was “I can
handle it”) was causing it to seem “cool” to the target market; it was an act of rebellion
against authority.
Can you describe another example of a “poor transmission” of a message in your region?

Often poor decisions are made about using the correct media. The research is sketchy,
probably through lack of funding and knowledge. As a result, poor choices in the type of
media used are reflected in ineffective social media campaigns. This might be because there
is poor engagement through sources like television, the internet, newspapers, magazines
and social media. It may be because professionals, like doctors and scientists, are believed
as much as family or peer group members. This is all about credibility and authority. With
the acknowledgement of the power of so-called “fake news” on the internet, there is an
increased disconnection between authority and the readers of the media.
To what extent do you believe any media source can be trusted for unbiased information
about a health topic?

As discussed earlier in this chapter, it is clear that many factors influence consumer behaviour. These
were summarised by Kotler and Armstrong (2008)12 as:
• psychological (motivation, perception, learning, beliefs and attitudes);
• personal (age and life cycle stage, occupation, economic circumstances, lifestyle, personality
and self-concept);
• social (reference groups, family, role and status);
• cultural (culture, subculture, social class).

Further research indicated that consumer behaviour is powerfully influenced by motivation and
social attitudes. By understanding the consumer behaviour models better, the process of planning a
campaign can be more targeted and more effective.
12 Kotler, P. and Armstrong, G. (2008), Principles of Marketing, 5th edition. Financial Times / Prentice Hall

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To understand how these factors effectively combine and interact, it is worth looking at a simplified
model which highlights cultural, social, psychological and personal factors. We can look at how
these work with health behaviours, together with other cultural factors such as the economic
environment, as elements in the wider social context.

  CASE STUDY: YOUR FUTURE IS NOT PRETTY

An example of a powerful social marketing campaign can be seen
with the “Your future is not pretty” launch in South Australia. It
looked at resolving the issue of the numbers of young women
who smoke. The marketing agency, Mediacom (Australia) used
the target market’s interest in appearance to encourage young
women not to smoke. They set up a mock beauty bar, offering
them a “free” make-over. Working with special effects artists,
each was given a “make-under” to reveal what she might look
like in the future if she chose to smoke. The event was then captured on video and used in an
internet and social media campaign. The results were impressive.
• There were over 204,951 views of the video campaign.
• 188 “make-unders” were completed.
• The information and engagement reached over 14.1 million people (more than half the
Australian population), across all media outlets.
Source: [Link]

  NEED TO KNOW
Changes in health behaviour

Peers
Immediate
Local community
environment
Significant others
Family

Personal Wider social

characteristics context

Goals Societal norms

Aspirations Culture
Education Structural issues
Symbolic needs Social and economic
Skills conditions
Attitude

Figure 4: Health behaviour – the “influence” model REVISION

on the go

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2.2 Social marketing planning process in a

consumer context
Segmentation, targeting and positioning
Part of a well-designed social marketing strategy is the understanding of how market segmentation
works. If it is done well, it allows social marketers to target a key audience to encourage sustained
behavioural changes. There are some complex words and language related to this activity (like psycho-
demographics and vertical transition) to describe the process of segmentation. At its heart is real
information and real data about consumers. It concerns their age, gender, income and lifestyle. This data
is increasingly being used to improve the return on investment of a social marketing plan.

The process requires the following stages to work effectively:

Segmentation Targeting Positioning

Figure 5: The STP model REVISION

on the go

The STP model offers businesses a method to divide up their offering and make it
appealing to different groups. It is a three-stage process and identifies for each group the
benefits and values of the product.
• Step 1: Segment your market. • Step 3: Position your offering.
• Step 2: Target your best customers.

The real power this model grants is that it helps businesses understand what the consumer really
wants before they design a product or service that fits their needs. This marketing process will
allow better engagement with each target group, making a bespoke offering and will result in more
products and services being sold.

Segmentation
Market segmentation is defined as the activity of dividing the potential market into defined groups
of consumers. Segmentation involves finding out what kind of consumers there are, and what their
different needs are. In the car market, for example, some consumers demand speed and performance,
while others are much more concerned about internal space and safety. In general, it holds true
that “You can’t be all things to all people” and experience has demonstrated that businesses that
specialise in meeting the needs of one group of consumers over another tend to be more profitable.

How a large business deliberately divides up its offering can be seen in the Marriot International
group. They segment the market into different consumer groups that will use their hotels for different
purposes (e.g. leisure, business, family holidays, weekend breaks etc.). Examples of this differentiation
include their Courtyard hotels for travellers looking for something basic, Ritz-Carlton hotels for
customers seeking a luxury experience, and Marriot ExecuStay hotels for professionals looking for
longer-term, comfortable places to stay. They have managed to position and differentiate each of
their hotel products to appeal directly to the needs, desires and uses of the consumer.

Targeting
Consumers will tend to respond (their behaviours are recorded) in a similar way to a given set of
stimuli that may include price and product features. There is a growing demand for accurate big
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data to help determine strategies. Some of the data is extracted from consumer behaviour reflected
in website analytics. Websites have to declare they are using cookies to track the browsing and buying
habits of consumers. There are other methods being used to get this information, including the use
of loyalty cards. More recently, supermarkets are starting to track the use of customer mobile phones
when they link to Wi-Fi hotspots in a store. The mobile phones yield information on age, gender and
lifestyle while also allowing the supermarket to track the time spent on each aisle and product area.13

The data reveals real details on groups of consumers, clients and customers with similar needs,
desires and preferences. This is the basis of the statistical analysis called demographics. It takes into
account factors such as age, location, gender, postcodes and zip codes, previous buying information,
lifestyle, income, social class and behavioural factors like brand loyalty. This then allows for
segmentation and greater understanding of how social marketing strategies can be used effectively.

Big companies and those with huge budgets can spend heavily to get the right data to make better
decisions. They will then be able to target their audience more accurately and aim promotions at
specific customer groups to increase profit.

Positioning
The third stage of this process is to position the product and organisation in line with the identified
values and against the other competitors in the market. This also allows for clarity in the minds of
customers. It involves arranging a product or service to occupy “clear water”. It should have a
unique selling position (USP) and become a desirable product for customers. A lot of work
goes into aspects of design like packaging, price and discounts and offering high-quality services.
When the power of these processes can be adapted to social marketing campaigns, there is a
massive potential to cause long-term positive behaviour change.

  CASE STUDY: DATA DETERMINES BEHAVIOUR IN TESCO

Background: Tesco is the second largest supermarket
worldwide. It has more than 660 million customers
that create US$500 billion worth of income from
sales. As a global retailer, it has half a million
employees working in 12 countries, serving about 75
million customers each week. In Malaysia, there are
currently 50 Tesco retail stores, seven stores on the
grocery home-shopping front and 1.2 million
customers each week. In 2006, Tesco also launched the Clubcard in Malaysia. With this loyalty
Clubcard, it has 1.7 million customers who are active and swiping the card each day. Online
shopping is also a new arena the company ventured into last year for seven of its stores.

Aim/objective: When Tesco started its online grocery store, it used mass-mailing as a key
strategy for marketing. After a year, the retailer was faced with issues like bouncing emails and
invalid addresses. Meanwhile, on its loyalty front, it also saw a decline in shoppers. But Tesco
wanted to go further and understand how consumers’ minds worked and how to be a priority
brand in their purchase choices.

Strategy: Tesco used big data from market-leading researchers, Nielsen, to focus on customer
satisfaction studies. It used this with information on trends and consumer behaviour and
combined it with the data from the Clubcard. This helped the retailer to put the customer into
the centre of its decisions.

13 Henry, A. (2013), How Retail Stores Track You Using Your Smartphone (and How to Stop It) [online]. Retrieved from:
[Link] [Accessed on: 30 October 2017]

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Execution: Tesco used data analysis it had acquired from the loyalty Clubcard to see how consumers
behave as individuals and how they actually shop. This information was then further segmented
into how often the consumer shops and how much they spend. These segments were then further
categorised into “existing loyal customer”, “previously loyal customer that has lapsed” and “an
opportunity customer”. Tesco also designed a personalised promotion that came in the form of
coupons. For example, if a family liked a brand of ice cream, they would be sent a promotion
coupon on that particular brand of ice cream. In each of its mailing lists, Tesco had almost a million
customers that it mailed. This resulted in one customer receiving up to six personalised promotions.
Tesco identified six million products that could be tailored to individuals.

Result: The improved data and a new email strategy resulted in about 3000 customers being
re-activated. Loyalty retention also rose with an approximate 30% increase in customer loyalty.
The combination of coding data and Clubcard data and overlaying helped to halve Tesco’s
marketing spend and bring back in store 700 customers in the period of four weeks.
Source: Palmer, M. (2005) “Retail multinational learning: a case study of Tesco”, International Journal of Retail &
Distribution Management, Vol. 33, Issue 1, pp. 23–48 

One of the most important aspects of social marketing is using the right methods and techniques
to solve a problem, rather than just adopting commercial strategies. Social marketing uses a range
of potential solutions to effect change. These may include the following.
• Understanding and influencing the behaviour of customers using insight from research.
• Changing the approach of a campaign to focus on real customers and their engagement and
participation.
• Social marketing requires the active involvement of its audience in creating change in their
behaviours and habits.
• Social marketing understands that there is a choice in behavioural models and therefore it is an
exchange process.
• Social marketing requires a strategic plan that is sustainable over time; it is not a quick fix or
tactical solution.

Interestingly, when people are asked if they have been persuaded

by marketing techniques, they usually say no.

OpenLearn14

The 4Ps of social marketing

Some of the classical, old school elements of commercial marketing can be seen in social
marketing. For instance, they both share the key variables of the 4Ps:
• product
• promotion
• place
• price

14 OpenLearn (n.d.), Reasons against social marketing [online]. Retrieved from: [Link]
management/management/business-studies/social-marketing/content-section-2.4 [Accessed on: 5 October 2017]

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However, in social marketing, there are some subtle differences. These include the following.
• In social marketing of “product“, there are some intangible elements to consider. These
include ideas that allow concepts to be grasped and therefore bought into by the consumer. The
importance of language in social marketing is seen in campaigns for public health and choice.
• With “promotion”, social marketing largely depends on the buyer’s “state” and whether they
are ready to change a habit. There is a clear need to create attitudinal change for audiences,
which will motivate (and occasionally inspire) them to act, learn more, make better decisions and
sustain a long-term change. It is more than social re-conditioning and requires an approach that
alters the state of mind of the buyer. Thus, the style and nature of the marketing are selected to
create a better way (more effective and efficient) to achieve the social objective required.
• The social marketing approach to ”place” requires that clear outlets and channels are used
so the audience can transcribe and translate their motivation into the changed behaviour and
action. They need to be able to demonstrate their change so that the social behavioural change
can be sustained.
• With the concept of ”price” in social marketing (which includes everything from money
costs, opportunity costs, energy costs and psychological costs), it is now clear that
the consumer must see the rewards for behavioural change clearly. A real problem in social
marketing is how to prove a return on investment as often this will be working on an individual
scale. One of the ways of solving this problem is for social marketers to work on changing the
fundamental perceptions of customers. This approach causes the target group to believe there
are increasing benefits and cost reduction from changing their habits. An example is to look at
the approach of price on the sale of cigarettes and its effect on attitudes and decision-making at
the point of sale.

  OVER TO YOU
Activity 6: 4Ps of marketing

Describe the traditional 4Ps of marketing.

Intervention planning
Achieving the right social marketing approach relies on developing the appropriate intervention
and knowing how to move from “current” to “desired” behaviour. Intervention requires a
sequential process, as shown in Figure 6.

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Planning Scoping Developing

Following up Evaluating Implementing

Figure 6: Intervention process REVISION

on the go

Phase 1: Planning
Before a marketer considers starting any social marketing project, it is essential to carry out some
initial planning. This requires deeper thinking in order to ask better questions. There are four
main questions:
• What is the main issue or challenge?
• What are the resources, budget and assets required?
• What are the risks?
• What are the timescales?

Another critical success factor (CSF) is to make sure that original research of the target audiences
is completed target audiences. Often an external, neutral third party needs to be commissioned
(e.g. a dedicated market survey agency).

Phase 2: Scoping
This second phase requires:
• bringing a team together to complete the intervention;
• making a policy and planning focus using a leadership team;
• reviewing expectations and resources;
• researching previous interventions;
• performing critical analysis of key factors that may be involved;
• researching the audience to determine what moves and motivates consumers.

This stage includes segmentation of audience, allowing priorities to be set and behavioural goals
to be considered, and it enables the marketer to develop, monitor and evaluate an intervention.
The purpose of the scoping phase is to decide which interventions to select. Behind any social
marketing plan is the drive to achieve and sustain the desired outcome. It is dependent on budget
and resources and making better decisions.

Phase 3: Developing stakeholder analysis and communication

The basis of an intervention plan is to make the intervention ready for implementation and feedback.
There is an absolute requirement to have a team in place to handle its delivery. It needs the right
mix of people, with the correct skillset and positive partner involvement. The key stakeholders
(who should be identified as early as possible) need to be aware of the plan and timescales. They

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are critical for support and asking better questions. External partners need to be involved in the
development and delivery of the intervention.

Phase 4: Implementing the intervention mix

Implementing the intervention mix involves drawing on a range of possible ways to influence a
person’s behaviour to help shape the intervention. In social marketing, we can affect behaviour via
some areas of influence. This is known as the “intervention mix” and will draw on at least two of
these areas of influence.

Phase 5: Evaluating the intervention

The basis of an intervention is to look at how a valued service, product or idea will be offered to the
audience. Usually, it concerns having the right price, the right place and promoting it in an engaging
way (the marketing mix). For some social marketing interventions, it is important to consider
what branding and what brand positioning will offer the greatest support. This may include the
uniqueness of the brand or how the intervention will relate to other existing brands.

Phase 6: Following up
As in any good system, the intervention process requires a final phase which involves following up
and correcting any errors.

  NEED TO KNOW
Areas of influence for social marketers
• Inform – information and best available advice.
• Educate – teach consumers about the reasons why it is important.
• Service – the people who offer information or guidance to the customers.
• Design – the thought process in getting the right message to the right people.
• Control – the elements that can be changed by process or design. REVISION
on the go

Positioning is critical in understanding how to target audiences (and other stakeholders) to interpret
a brand. They are of course comparing this to other similar brands in the market. There is a need to
consider the “image” of the intervention and the values and beliefs that consumers will associate
with its brand. It also requires the use of the traditional marketing mix of product, price, place and
promotion to organise and deliver a planned intervention. There are additional Ps involved with
social marketing including:
• People, who provide a bespoke service. These are at the heart of a “product” or “brand” from
the customer’s perspective. The helpfulness, knowledge and concern of any member of staff is a
major determinant of whether or not consumers return and spread positive social media tweets.
• Process, which involves service delivery and operating systems. Services are usually consumed
as they are produced. The consumer is thus directly involved in the production process, meaning
that the impact on the consumer should be assessed. The process may be complex from the
consumer’s perspective.
• Physical evidence, which includes the appearance of the materials marketing materials (such
as flyers, posters and promotional material). Indicators of quality can be felt in the marketing
materials and this affects the brand message.

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Positioning is sometimes described as the “emotional signature” and covers elements such
as signage, parking, landscape and interior design, layout, equipment and décor. It also relates to
the senses that an environment creates, from music, smells and colour schemes. These elements
impact on the mood of customers. Their perceptions are altered by the website and other mobile
information before they arrive at a physical location. Positioning may be changed according to what
customers read on TripAdvisor or other comparison sites. Many other Ps have also been identified,
and each can help in reflecting on what needs to be addressed, including:
• policy • professionals
• politics • proposition
• politicians

  OVER TO YOU
Activity 7: Senses

What are the senses you use when you open or unpack a new product?

Single, isolated interventions rarely influence behaviour significantly. If a behaviour in question is

simple, a one-off action (or a limited set of actions) may work. To influence and to sustain impact over
time, a range of approaches is required. Hence, marketers need a mix of methods and approaches.
Social marketing can affect behaviour via some areas of influence. This is known as the “intervention
mix”. Before taking an intervention into “live phase,” the marketer should have completed the
following checklist.

  NEED TO KNOW
Checklist
 Write the scoping report before starting to deliver the project.
 Use the marketing mix to develop a marketing strategy.
 Pre-test the interventions (UX).
 Refine the plans (Kolb Cycle: Do – Review – Learn – Apply).
 Prepare for the intervention launch.
 Spot opportunities and gaps in the market.
 Deal with problems during delivery (review).
 Monitor the process (and adapt to changing conditions).
 Gather feedback from the stakeholders involved in the delivery.
 Monitor the wider environment for any changes and results. REVISION
on the go

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Depending on the feedback from key stakeholders, adjustment of the implementation plan may
be required.

Market research
Market research is a way of getting data and information about target markets or customers.
Traditionally, it has been a very important component of social marketing. Market research
is a critical factor used in maintaining competitiveness. Market research helps to identify and
analyse market needs, market size and the competition. Market-research techniques use both
qualitative or “qual” techniques (sometimes called real-world research) that use surveys (online
and paper based), focus groups and in-depth interviews. Market research may include technical
aspects from sociology like ethnography, as well as quantitative (number-based and statistical)
techniques such as customer surveys, and analysis of big data from a variety of sources.
Market research also has a role in social marketing, and opinion research requires the
systematic gathering of data, and analysis and interpretation of information about individuals
or organisations. It uses statistical and analytical methods and techniques from the applied
social sciences to gain insight or to support decision-making.
See also Nielsen as a professional market research company, with the tag line
“consumer insights on what people watch, listen to and buy”.
([Link] REVISION
on the go

  CASE STUDY: CHESAPEAKE BAY SOCIAL MARKETING CAMPAIGN

Chesapeake Bay social marketing campaign (USA)
America is facing some challenging problems around pollution and
contamination of the water and marine environment. An example can
be found on the East Coast at Chesapeake Bay – the biggest river
estuary in the USA. Like many areas of the world, it is facing up to the
growth of populations in the cities and towns next to the river and
bay. The effect of this growth is increased pollution and damage to the
marine environment. One of the recurring problems is the run off from
agricultural chemicals (like fertilisers, lawn feeds and pesticides) from
the surrounding land and into the bay. This is exacerbated by sewage
being pumped into the estuary. The first response for most communities
is to set strict rules and laws to enforce limitations on these emissions.
The effect of this so far has been limited as there was little change in
behaviour by those in the community. They just did not buy into the problem being caused or
associated with their actions. A decision was made to launch a social marketing campaign which
would look at the motivational factors that might encourage sustainable behaviour change. It
required a suitable exchange to be found that would allow residents to overcome their apathy,
scepticism and inertia.

Method: The marketer had to find a lever that would have a profound effect on the communities.
Their ally was an unlikely hero: the blue crab. This is a well-known local delicacy and seafood
favourite across the state. The research indicated that it was under significant threat from the
pollutants in the water. This became the marketers’ focus on a real exchange of value.

The image and press release they went for was that the blue crab was in danger; it was going
to be wiped out because of the pollution. The residents were invited to change their behaviours
because this was an “eating”, a “restaurant” and a “culinary” issue, rather than a more general
“environmental” challenge.

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The change in perception of the problem was the main task – to encourage local residents to
stop using fertilisers on their front lawns (when there was bad weather and rain run off) – to
allow the survival of their favourite local dish. One gifted member of the team came up with a
tag line in the press release:

“Save the blue crabs, then eat ‘em!”

They used this tag line in the media, together with guidance on how to look after lawns
without using the pollutant chemicals. The campaign gathered traction and research indicated
behavioural changes in lawn-care that reduced estuary pollution. This behaviour change
was sustainable and the residents valued the exchange in preserving their local blue crabs.
The result contrasts with those seen in other campaigns as it used the real power of social
marketing. It identified a real exchange, one that changed the behaviour of people who
may have become immune to data based campaigns and appeals to do the right thing. The
marketers used the principles of psychology to get the residents to analyse the costs and
benefits internally, before inviting them to act. The blue crabs’ survival was the value exchange
for changing behaviour and this behaviour was sustainable.
Source: [Link]

2.3 The impact of social marketing choices in

consumer decision-making
Lifestyle changes and marketing challenge
Have you made any big consumer purchases recently? Perhaps you bought a new laptop or tablet, or
upgraded your mobile phone? If so, what was the buying process and how did you decide which new
model to choose?

The trend is to look at online review sites to help make the right decision. Some people even ask for
advice on social media from friends before making a big purchase. This is something social marketers
need to take into account when planning a social marketing campaign.

Understanding consumer decision-making is the key to getting a strategy right for any campaign.
The professional marketer needs to understand consumer attitudes and the reason why communities
choose to engage. It is a complex field in which to get objective results. The fundamental nature and
understanding of the driving forces behind attitudes and subsequent choices is a hot topic. It starts
with the many definitions of “attitude”. One of the most accepted definitions is from Katz (1970), who
defined attitude as “the predisposition of the individual to evaluate some symbol or object or aspect of
his world in a favourable manner”.15

The way that social media works is increasingly changing the way people shop. Itamar Simonson and
Emanuel Rosen are experts in how social media is influencing the buying process. The implications of
this change and the impact of social media on consumer purchasing decisions is increasingly something
that needs to be considered in a well-focused marketing strategy. The powerful influence of online
reviews and peer-to-peer information sharing was considered further by Simonson and Rosen (2014)15
and they identified three main factors that influence customers’ buying decisions:
• Prior preferences, beliefs and experiences (P).
• Marketing information from packaging and advertising (M).
• Other people’s input (from friends, family and peers) (O).

15 Katz, R.L. (1970), Cases and Concepts in Corporate Strategy. Prentice Hall

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These changes are further evidence that professional marketers have to have a deep understanding
of consumer attitudes and the reason why communities choose to engage. This area of marketing
is rapidly changing and is complex; getting accurate results that are both current and applicable is
hard. The questions at the centre of consumer decisions are seen as the key to understanding the
driving forces behind attitudes and subsequent choices. The research into consumer choice and
attitudes often gets lost in the noise. It is important to start with a definition of the term “attitude”.
One of the most accepted definitions of attitude comes from Katz (1970), “the predisposition of the
individual to evaluate some symbol or object or aspect of his world in a favourable manner”.16

Prior preferences, beliefs and experiences (P)

These decisions are usually concerned with the mundane and every-day buying decisions. They
tend to be low value and therefore low risk to the consumer. These are often habit based decisions
about what we have bought before.

Marketing information from packaging and advertising (M)

The marketing strategies that have always had a powerful effect on consumer choice include
packaging (colour, feel and look) and advertising. These are linked to the price and position of
product. The rules that apply about how the product has an emotional impact on the consumer are
repeated across many sectors of marketing. They try to persuade the consumer to switch brands
or try something new. You will see this with high end brands, who spend huge budgets in trying to
persuade and change consumer behaviour.

Other people’s input (from friends, family and peers) (O)

This is a constantly changing and dynamic area for marketers to understand. The number of review
websites, and social media groups concerned with purchase decisions is having a huge effect on
the way that people choose products like holidays and cutting-edge technologies where there
is a high value or high risk in making a choice (like the technology sectors of smart phones and
laptops). The power of these peer-to-peer sites in helping consumers judge the value of features,
functionality and quality is rapidly increasing. People need the reassurance that comes from hearing
about others’ experience with a particular product or service.

The research of Simonson and Rosen, described in the Influence Mix (2014)16 relates to the importance
of P, M, and O for consumers. It is helping marketers to prepare campaigns that will change consumer
behaviours and the buying process through the use of social media.

This leads to a more detailed analysis of the elements that form a consumer’s attitude:
• The cognitive component, which includes beliefs and past knowledge.
• The affective component, which is all about feelings which may be expressed.
• The conative component, which deals with expressed behaviours.

Dismantling barriers and health promotion

The result of much research into why consumers undertake certain action and engage in planned
behaviour has been central to marketer strategy. They are interested in how the elements of attitude
guide consumer behaviour. Research indicates the importance of the strength of expectation – this
is driven by consumer beliefs that an action will have a specific consequence. Understanding how
consumers react when given a specific decision to make and their understanding of the consequence
of that decision become central to any campaign.

16 Simonson, l, and Rosen, E. (2014), “What Marketers Misunderstand About Online Reviews”, Havard Business Review,
Vol. 92, Issue 1–2

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This can be described as the “expectancy-value approach” to decision-making and behaviour. An

example can be seen with a social marketing strategy for helping people to stop smoking. In order for an
individual to stop smoking, they need to expect that this action will result in better health, greater wealth
(reduction of expenditure) and increased levels of happiness. These are important to most individuals;
therefore, consumers may develop a positive attitude towards the actual behaviour of stopping smoking.

However, in this example, there are more complex elements to creating behaviour change. These
include the attitude of others (the peer group) and the cultural beliefs of groups and society.

There is a desire to conform to these “norms” and expectations. This has the effect of reducing
(or enhancing) an individual’s attitude towards stopping smoking. The other critical element is the
concept of perceived control. A person may see huge barriers, thus preventing change. These are
often expressed by an individual as:
• I can’t do it, and I will fail.
• I don’t have the will power.
• It is impossible for me to do this.
• It is someone else’s fault.

You may recognise these thoughts and these situational mind-set blocks are incredibly powerful.
The understanding of this lack of self-control has added a new model to the mix, called the
“theory of planned behaviour”. This is the belief of the individual that they cannot change, as
they are a victim of the “power of addiction”. It has a significant impact on the attitudes of certain
people and prevents them from trying any behaviour to stop smoking.

The consumer decision-making process

The three major influences on consumer behaviour when buying a product or service are:
P = Prior preference derived from historic beliefs and experiences about a product
M = Marketer’s influence in creating a new behaviour
O = Other people influencing the buying process
The relative importance of each of these influences is determined by a variety of factors.
These include the nature of the product or service (is it high-tech or health related?) and the
demographics of the potential customers. These can be ranked by their importance and a
campaign designed to maximise the potential effect of each influence.

REVISION
on the go

  OVER TO YOU
Activity 8: Influence

What do you understand by the term “influence”?

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Maslow’s (1943) theory of human motivation (sometimes called the “hierarchy of needs”) is
one of the best-known attempts to explain human behaviour.17 Maslow described five basic human
needs, as illustrated in the hierarchical pyramid in Figure 7 below.
• Physiological needs – the essentials for life are food, water, oxygen and sleep. Other
physiological elements may include sex and exercise.
• Safety needs – the importance of predictability, order and stability are represented at this
level. This concerns how an individual deals with threats and dangers effectively.
• Social needs – the need for connection (which may include the abstract concept of love)
between individuals in a group. These needs may operate within a family or extended family, as
well as peer-to-peer engagements.
• Esteem needs – a description centred on the love of self as an individual – this is the value
placed on our existence. It involves our own self-respect and self-esteem. It is often recognised
by others as being confident about self.
• Self-actualisation needs – the highest level of Maslow’s theory – the individual comes to
realise that there is a quest for a purpose and greater understanding of doing things right
(as well as doing the right things). Sometimes described as self-fulfilment and the action of
achieving one’s own capacity and potential.

Self-
actualisation

Esteem

Love/belonging

Safety

Physiological

Figure 7: Maslow’s hierarchy of needs REVISION

on the go

  OVER TO YOU
Activity 9: The smoker’s challenge

Using Maslow’s “hierarchy of needs”, indicate why you think young people might be
motivated to quit smoking. For example, money for a teenager could be a motivator at
various levels, including social needs (money can be saved to spend on friends and family)
and safety needs (avoiding debt and going hungry).

17 Maslow, A. H. (1943), “A theory of human motivation”, Psychological Review, Vol. 50, Issue 4, pp. 370–396

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 Chapter 2   Social Marketing Choices and Consumer Decision-Making

There are many different models which try to explain consumer behaviour. As a result, it is very hard
to put in place a successful social marketing strategy based on these diverse theories. However,
often the models share many of the same themes, which include:
• power and influence from media, peers and family among other sources;
• awareness and understanding by individuals of data and information;
• belief – feeling – intention – some of the stages that consumers go through before buying
a product or service.

Even with the most modern data analysis techniques, it can still be hard to explain the bigger picture
about consumer decisions. The use of big data from the internet, and social media analysis, is now
playing a role in understanding why consumers choose a pattern of behaviours. The prevailing
theories and models are beginning to reflect this new data and are helping with the understanding of
social marketing. It is about the ability to distil all the research and accurately predict what might be
driving consumer decisions.

Big data market ($US billion)

260

180

140
118.32

78.03
56.03
7.6 27.36 35.29
12.25 19.6
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

Source: ABI Research, “Big Data Spending to Reach $114 Billion in 2018; Look for Machine Learning to
Drive Analytics.”

Figure 8: Graph of growth of big data in $US billions from 2011 to 2021 REVISION
on the go

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  CASE STUDY: BIG DATA

• More than 2.5 quintillion (a thousand raised to the
power of six, or 10 bytes of data are created every
day, by activities including social media posts,
purchase transaction records, mobile GPS signals,
supply chain and logistics data, digital videos,
pictures and audio recordings.
• Individuals generate more than 70% of all data.
• The average business expects to spend US$8 million
on big data-related initiatives in 2017.
• The value of big data is growing at an average annual rate of nearly 30% and is expected to
reach US$114 billion in 2018.
Source: ABI Research, “Big Data Spending to Reach $114 Billion in 2018; Look for Machine Learning to Drive
Analytics, [Link]/press/big-data-spending-to-reach-114-billion-in-2018-loo

READING LIST
• Hawkins, J. Bulmer, S. and Eagle, L. (2011), “Evidence of IMC in social marketing”, Journal
of Social Marketing, Vol. 1, Issue 3, pp. 228–239 (This article will be available in your online
student resources.)

• Raska, D. and Shaw, D. (2012), “When is going green good for company image?”
Management Research Review, Vol. 35, Issue 3/4, pp. 326–347 (This article will be available
in your online student resources.)

• Borgerson, J.L. and Schroeder, J.E. (2002), “Ethical issues of global marketing: avoiding bad
faith in visual representation”, European Journal of Marketing, Vol. 36, Issue 5/6,
pp. 570–594 (This article will be available in your online student resources.)

Summary
The key to understanding the importance of social marketing choices is in the understanding of
consumer behaviours. This informs the relative impact on consumer decision-making. Influential
factors include culture, social and personal issues, as well as financial and economic pressures. The
psychological influences (e.g. motivation to do something, attitude, etc.) are equally important in
the process. By gaining insight into consumer behaviour perspectives, broader and more sustained
change can be instigated.

The use of big data and technology are increasingly changing the way social marketing is being
applied. The chapter looked at the social marketing planning process and how this affects
consumers. You should now be aware of some examples (see the case studies) where this has been
used for improving consumer health (e.g. diet and quitting smoking campaigns).

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Chapter 3
Ethics and Corporate Social
Responsibility (CSR)

Introduction
The importance of making ethical decisions in social marketing campaigns is becoming clear. There
is a need to understand what is meant by “social good” and the “wellbeing of society”. In
whose interest is a behaviour change being made? There is increasing need for corporate social
responsibility (CSR) and ethics in the boardrooms of multi-national businesses. The social and
societal marketing practices need to be careful to make sure they are adding value to society and
their business overall.

Learning outcomes
On completing the chapter, you will be able to:
3 Analyse constructs of ethics and corporate social responsibility in the use of marketing
practices and their implications with stakeholders and wider society

Assessment criteria
3 Analyse constructs of ethics and corporate social responsibility in the use of marketing
practices and their implications with stakeholders and wider society
3.1 Discuss ethical issues in societal marketing
3.2 Analyse the importance of ethical considerations and CSR in marketing practices
3.3 Analyse social marketing approaches from stakeholder perspectives

© ABE
 Level 5 Societal and
Social Marketing

3.1 Ethical issues in societal marketing

What is the “right way” to approach a group of people to stop them doing a damaging behaviour
(like smoking)? Is there a correct way to change population behaviours (for example, about ocean
pollution with plastic bags)? Increasing demands between profit and social good have led to many
ethical questions being asked about the motives of big companies.

The understanding of ethics for any marketer is complex. It involves dealing with what one person
may regard as acceptable, while another might perceive it to be unethical. A key part of ethics and
ethical behaviour is the moral compass which guides us – and organisations – as to what is right
and wrong. Often there are some guidelines for a profession, but remarkably there are few in the
field of social marketing; doing things right is not the same as “doing the right things”. There are
many areas where “governmental” pressure may come into conflict with a social marketer’s brief
in changing behaviour. The consequences of what social marketing can achieve, across a wide
spectrum of health issues, are only just being understood.

The ethics of social marketing

As a growing number of governmental and non-profit organisations around the world use
the techniques of social marketing there are new questions that need to be answered. The real
power of social marketing, to bring about important social change has created an interesting set of
problems that will need to be addressed. As the most successful commercial marketing concepts
and techniques are applied to global challenges (including child abuse, child trafficking, teen
smoking and environmental neglect) what will be the unintended consequences of these changes?
This is the new era of complex ethical challenges that an agency or social marketer might face.

With the growth of social marketing across many sectors, it would seem helpful to have mechanisms
by which ethical issues can be identified and resolved. While social marketers may work with a
basic code of ethics, it is increasingly important to look at this in a wider context and to develop
a common understanding of what “ethics” actually means to individuals and organisations. This is
true for marketing companies in general and also for those within those organisations involved in
social marketing.

Looking at a range of ethical dilemmas that may occur will help us to understand the way that
professionals should act in social marketing interventions. These are becoming more obvious in the
field of health care and reducing harm to society from reckless behaviour.

If this is actually to work in practice, there must be common frameworks and procedures that
can be applied to evaluate and debate ethical issues. Checklists and codes of ethics used by the
social marketing sector must be reviewed and applied to the existing professional codes (e.g. for
medical staff).
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 Chapter 3   Ethics and Corporate Social Responsibility (CSR)

  OVER TO YOU
Activity 1: Ethical policy

Read this statement in a paper called “Ethical issues in social marketing” and consider the
consequences for social marketers:
“As a community of professionals, we have adopted no standards of ethics and it
is probable that most of our community has not read or analysed the guidelines
set up for either commercial advertising or commercial marketing. Unfortunately,
deciding what is ethical in social marketing (as in marketing in general) is rarely
simple. In most cases, there is not a definitive right and wrong; for example, it
is often the case that we are dealing with controversial products or sensitive
behaviours (e.g. contraceptives and central practices) and/or two principles which
are seen to be “right” by different groups are in conflict (e.g. pro-life versus pro-
choice). Further, it is a well-recognised fact in social marketing that what we are
often dealing with is a trade-off between individual and community good (e.g.
the right of the individual to smoke a cigarette, which is currently a legal product,
versus the right of others to be protected from passive smoking).”18
What do you feel about this statement?

When is it not ethical to influence people’s behaviours?

18

Further reading and research can be seen in this article about healthcare marketing entitled
“Marketing begins with values” by Schick and Schick (1989).19

18 Jones, S.C. and Hall, D.V. (2006), Proceedings of the 3rd Australasian Non-pro and Social Marketing Conference
Newcastle, 10–11 August 2006 Issue. Australia: University of Newcastle
19 Schick, I.C. and Schick, T.A. (1989), “Marketing begins with values”, Health Progress, Vol. 70, pp. 72–76

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Ethics and Corporate Social Responsibility (CSR) Chapter 3

3.2 Analyse the importance of ethical

considerations and CSR in marketing practices
Corporate social responsibility (CSR)
There are some organisations, companies and businesses that wish to embrace corporate social
responsibility (CSR). The CSR movement is aimed at encouraging businesses to become aware of
their impact on the rest of society, their stakeholders and the environment. It is a business strategy
that may contribute to a more sustainable development, through a delivery plan for economic,
social and environmental gain for all the stakeholders. 20

  NEED TO KNOW 
What is the “triple bottom line”?
Traditionally, large businesses and corporations have a duty to report to their shareholders
about their profits and liabilities. The more forward looking organisations are looking beyond
profits (the bottom line) and are including social and environmental issues to measure the
total cost of doing business. This is often referred to as the triple bottom line and it has three
elements, “people, profits and planet”.
The term was introduced in 1994 by John Elkington (and later used in his 1997 book, Cannibals
with Forks: The Triple Bottom Line Of 21st Century Business).20 His new approach was an
attempt to move away from a limited view of financial based success model and ask better
questions about social and environmental responsibility. He acknowledged the difficulty of
measuring the impact of these issues individually in conventional accounting practices. Indeed,
the idea of having three separate accounts that measure cost and benefit to an organisation
seemed a step too far for many.
Elkington’s “triple bottom line” took as its starting point sustainability in business practices. By
looking beyond profits and including social and environmental factors, he effectively measured
the total cost of doing business.
The inclusion of the “people element” in social responsibility to corporate bottom lines,
changed the focus to the fair treatment of employees and off-site and outsourced contractors.
The rise in the importance of the ethical treatment of all people in the supply chain is continuing
to be seen in the good governance of large businesses. The drive by many organisations to
take on the virtues of having an environmental responsibility policy within their bottom line is
part of this strategy. It includes the implementation of sustainable practices and the reduction
of pollution and environmental impact through waste reduction and recycling. Other “green
initiatives” include using sustainable materials for packaging and manufacture.
The addition of social and environmental responsibility to a company’s mission can also have
a positive effect on a company’s financial bottom line. The statistics seem to back this up,
with the release of a Nielsen report in October 2015 that found 73% of the largest consumer
demographic in the US (the millennials) were willing to pay more for sustainable goods and
products. What was particularly striking was that it was an increase of 46% from 2014. The survey
also highlighted that more than half of consumers (56%) were prepared to pay more for products
offered by companies that were committed to positive social values.
The long-term results of adopting and integrating higher social and environmental standards within
corporate governance policies have included increasing revenues and mitigating against potential
brand-damaging incidents.

20 Elkington, J. (1994), “Towards the Sustainable Corporation: Win-Win-Win Business Strategies for Sustainable
Development.” Californian Management Review, Vol. 36, Issue 2, pp. 90–100
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This transformation of governance and social responsibility by investing in a triple

bottom line is acknowledged in improving brand image and public goodwill.
The power of this element to the value of a company can be immense.  REVISION
on the go

There are many definitions for the concept of CSR and the way it can be delivered.
The ways in which organisations apply the model are different and diverse. CSR is a flexible
concept that is involved (at different levels) in:
• human rights • environmental effects
• corporate governance • working conditions
• health and safety • economic development
Whatever the multiple definitions of CSR are, the core value is a drive towards a sustainable future
and sustainable profits.

  CASE STUDY: THE RAINFOREST ALLIANCE

Unilever is a multi-national corporation with a comprehensive CSR
strategy and policy. It is a leading food and beverage retailer and,
in the Dow Jones Sustainability World Index (DJSI
World), is ranked 7th in the “Global 100 Most Sustainable
Corporations in the World”. An example of their global initiatives
is the “sustainable tea” programme. They have formed a working
partnership-based model with the Rainforest Alliance; this is a
non-governmental organisation (NGO) and has a growing link
with Unilever. By 2017, they aim to source all their tea bags (Lipton and PG Tips brands) from
Rainforest Alliance Certified™ farms. The Rainforest Alliance Certification is a classic example of
differentiation from other brands and allows a successful CSR policy to have a return on
investment as well as being socially, economically and environmentally sustainable.

Ethical behaviour of organisations

NGOs and non-profit organisations (sometimes called “not for profit”) are facing among the
most important and exciting issues in social marketing; ethical considerations are constraints, as
they were in the commercial sector. The aim of a commercial organisation is to make profits for
shareholders. Ethical considerations may limit the methods employed to achieve this aim, and there
are both self-imposed and legal restrictions on corporate governance.

In the realm of social marketers, the situation is clearly different. Their ultimate aims must be
ethical, and the question of whether the ends justify the means is real and challenging. For social
marketers, ethical issues are fundamental to delivering a strategy.

  NEED TO KNOW 
The big questions of social marketing
Most social marketers believe that it is important to answer the following questions:
• What can social marketing do for society in the long run?
• How do the different types of social marketing impact on each other?
• How does social marketing differ from commercial marketing?  REVISION
on the go

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While it is acknowledged that social marketing is significantly different from commercial marketing
regarding delivery, the ethical differences between social and business marketing are not always so
clear. One of the issues facing social marketers is that normally they will have only limited resources
for achieving such objectives.

The next big challenge for social marketers is to consider the effects of marketing on other
stakeholders and the unintended consequences of social marketing. How social marketers can
apply commercial knowledge to the behavioural objectives they wish to tackle is the key. For social
marketing to progress, these technical questions, as well as their ethical implications, will have to
be evaluated, discussed and actively researched.

Effective communication involves the “sender” of the message

in encoding and transmitting the information in a way which is
relevant to the target audience.

OpenLearn21

CSR has had a real impact on larger corporations. However, adopting the social responsibility
and ethical marketing policies does not automatically translate into increased profits. It is still
the responsibility of the organisation to ensure it is responsible for its actions and their impact
on society. One of the critical success factors of being socially responsible is seen when the
organisation is concerned about people, society and the environment. Usually, these will be linked
to where the organisation conducts its business.

Using marketing approaches

Socially responsible marketing involves taking moral actions that encourage a positive impact
on all the company’s stakeholders, including employees, the local community, consumers, and
shareholders. One of the main tasks of marketers is to package and communicate the organisation’s
decisions. These decisions will have a direct impact on the various communities and stakeholders
with which the organisation interacts. Increasingly, there is another dimension for social marketing:
the power of the consumer to decide through their purchase decisions. Marketers have a huge
responsibility to ensure their practices are philanthropic without appearing to be false.

  NEED TO KNOW 
Ethical principles for social marketers
• An agreed standard of truth in communications.
• A clear distinction between advertising and sensationalism.
• Endorsements should be clear and transparent.
• Consumers’ privacy.
• Government standards and regulations.   REVISION
on the go

Companies are aware that consumers are becoming increasingly savvy and opinionated.
Consumer access to social media, the internet and review sites is increasingly a motivation for
ethical behaviour. Organisations must create an ethically sound marketing plan and then integrate it
into all aspects of their marketing mix.

Do good; don’t just look good.

21 OpenLearn (2011), Social Marketing. The Open University

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The focus has shifted to being responsible and how companies can help the neighbourhood or
country. It is in doing so that customers, the media and press, and all those watching, will see these
ethical changes. By thinking about the long-term effects (not short-term gains), companies will
begin to value the impact of responsible marketing for profit. For many people the terms “ethics”
and “social responsibility” are used as if they have the same meaning. In fact, there is a clear
and important difference between the terms. Ethics revolves around the process of an individual
or group making a marketing decision and its impact on consumer behaviour. However, social
responsibility looks at the overall effect of marketing practices on society.

An important role for marketers is to examine and predict the long-term consequences of their
decisions in running a campaign that changes consumer behaviour.

  NEED TO KNOW 
Quick guide for an ethical marketing strategy
1 Apply an ethical marketing strategy and values for an organisation or business.
2 Look at the various ethical options that marketers can apply to a campaign.
3 Deliver an ethical approach to marketing and how it is put into action.
4 Decide on which areas of a business that the ethical marketing strategy will apply.
5 Work out the costs and benefits to the company of an ethical marketing strategy
and the return on investment in the long-term.  REVISION
on the go

When marketers use a social and ethical strategy for marketing, they are always looking
at how this applies to the traditional marketing practices. They are taking on board the
philosophy of mindfulness and social responsibility.

By using social responsibility, companies and business are beginning to implement policies and
operations from the consumer perspective. This understanding of how consumers think and act
gives marketers an insight into the mindset of the buying process and what the users feel about
their product or service.

  OVER TO YOU
Activity 2: Ethical values for social marketers

Here are seven ethical values that marketers could be expected to uphold. For the last
three, add anything you think is important.
1  Honesty – in dealings and offering value and integrity
2 Fairness – balancing buyer needs and seller interest fairly, and avoiding manipulation in
all forms while protecting the information of the consumer.
3 Transparency – creating a spirit of openness in the practice of marketing through
communication, constructive criticism, action and disclosure.
4 Citizenship – legal, economic, philanthropic and societal responsibilities to all
stakeholders and giving back to the community.

5  Protecting the environment –

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6  Responsibility –

7 Respect –

One of the roles of any social marketer is to improve social standards and services innovatively.
The behaviour of consumers changes and enhances the experience for other users. This can be
done through developing social marketing strategies and polices. The evaluation of commercial
marketing strategies yields some useful information.

Apple is famous for having people happily queue overnight to be the first to own an upgraded
product. Apple produces valuable products that focus on offering the customer great pricing,
excellent experiences and good customer service. They do not have to resort to unethical sales
tactics and false marketing claims. Part of Apple’s success is in having a clearly defined corporate
mission. They are clear about their plans, goals, and practices. Their brand vision and philosophy
attract millions of customers worldwide.

The next stage is putting the good of the community and associates above profit. If this is done
well, consumers are drawn towards this shared ideal of consumers willing to pay premium prices for
their products. The traditional marketing focus was on cost reduction and increasing profits. Socially
responsible marketers seek to find out about their products and services through feedback from their
customers. They can then use this information to refine and improve their product or service. The
effect of this process is to improve the experience and value for the communities in which they work.

  NEED TO KNOW 
Social marketers need to know...
• Marketers get the right products to the right people at the right time.
• Ethical marketers ensure the products meet and exceed their needs.
• They will back up their claims and policies with actions.
• They offer value to the customers over time.
• They find opportunities to give back to the communities they serve. REVISION
on the go

In summary, an organisation that uses ethical and socially responsible marketing will gain the
respect and trust of the customers they target and have engagement with; this will translate over
time into greater benefits and profits.

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Ethical practices
Organisations can make their practices more ethical and responsible by:
• Improving safety: It is essential that any product or service that has a potential to be
hazardous to the health to consumers, animals or the environment, should have clear
advisories and warnings.
• Honesty: By ensuring a product or service satisfies the need it has promised to fulfil. The
promotion and advertising should be transparent about possible side effects.
• Transparency: Social marketing has already understood that any techniques that try to
manipulate and hide facts or information are unethical and have adverse effects on the
success of any campaign.
• Ethical pricing: Marketers need accurate data about their target market. This information
allows for analysis and decision-making on how much consumers will pay for a product or
service.
• Respecting customer privacy: Consumers, clients and customers trust organisations to
protect their personal data and information. There is an ethical responsibility (as well as a
legal one in some countries) not to sell or exploit this information.
• Moral marketing compass: This becomes more critical in economic downturns, when
unethical practices become tempting to save costs.
• Win-win marketing: The focus on customer value, will (over time) increase company
value and the power to ethically change behaviour.
• Keeping marketing legal: Reducing the risk of cutting corners and turning a blind eye (the
legal protection of whistle-blowers is becoming more important).
• Goodwill: A strong reputation among consumers and clients generates goodwill. Social
marketers and ethical companies use this goodwill to change behaviours over time.
• Retention: A good company attracts (and keeps) good employees, suppliers, investors
and customers. Great marketing practices make new marketers feel like their time
on the job will make a difference and so they will be less likely to leave. REVISION
on the go

  OVER TO YOU
Activity 3: Ethical practices

In your opinion, which ethical practice is the most important?

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3.3 Social marketing approaches from

stakeholder perspectives
Stakeholder analysis
The most acceptable definition of the term stakeholder is any person, organisation, social group,
or society that has an active role or has an involvement in a business or organisation. This will
include all those with a stake in the business, including those inside the organisation (internal) or
those outside like suppliers (external). The understanding of the term “stake” becomes critical to
this definition. It could be those with a vital interest in the business or its activities, like the owner
or shareholders. It also includes those with a legal interest and moral obligation. Businesses have
a legal obligation to pay wages or to pay their bills. The moral obligations will include a duty to
not harm their customers, or intentionally damage others with their business activity. Therefore
stakeholders will include:
• those directly or indirectly affected by a business;
• those people or groups that affect a business;
• those both affected by a business and affecting a business.

The comparison between stakeholders and shareholders is often made. A duty to stakeholders in a
business has moral and ethical implications that will affect the running of that business. However, a
business that only has a duty to its shareholders may have no moral obligations to any other person,
organisation or society. Businesses that display a duty to their stakeholders must consider the
interests of its stakeholders as well as maximising the interests of its owners and profit.

In marketing and particularly in social marketing, it is vital to discover who all the stakeholders are
during the project preparations phase. At its heart, stakeholder analysis (SA) is finding out
about who really cares about an issue.

  NEED TO KNOW 
Identifying each stakeholder
• Describe their needs.
• Describe their desires (with respect to the project).
• Evaluate whether they are a primary (key, directly involved) or secondary stakeholder.
• Analyse how much interest in (and therefore influence on) the project outcomes
they have. REVISION
on the go

After getting clarity on this element of the project, a social marketer can manage stakeholder
expectations. It will be important ensure that they are all engaged and involved in contributing to
the project outcome. The SA plan informs the timescale, the research activity and communications
strategy. A major concern of decision-makers is the need to balance the conflicting expectations
and interests of stakeholders.

An example of when a stakeholder analysis would be appropriate is seen in the changes in policy
for a hospital. For example, if the leadership team wanted to change behaviours within the hospital
towards smoking (and the introduction of a ban across the entire property), the first part of the
process would be to investigate who the stakeholders are and what their opinions are towards this
behaviour change.

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  OVER TO YOU
Activity 4: Stakeholders

Who are the stakeholders in your community?

Health
board
Social workers Health trust

Users and
Medical staff
carers

The
service

Housing Police

Local
Communities
authorities
Local
residents

Figure 1: Stakeholder involvement in a local hospital policy change REVISION

on the go

  NEED TO KNOW 
Stakeholder analysis asks...
• Who are the stakeholders in a specific issue or activity?
• What are the expectations and objectives of the various stakeholder groups?
• What are their interests and how interested are they? REVISION
on the go

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It will also examine the relationship of the project to other organisations and groups and how these
connections are changing over time. It will assess the degree of power (potential for disruption)
that the group exercises. This will be useful data about the possibility of replacing the relationships
and building new ones during a campaign.
Mendelow’s matrix describes four types of stakeholder in any business.22

High power High power

Low interest High interest
Power

Stakeholders

Low power Low power

Low interest High interest

Interest
Source: Adapted from Mendelow (1991)

Figure 2: Stakeholder mapping: the power/interest matrix REVISION

on the go

Influence of stakeholders
In this ever-changing world, the influence of stakeholders is becoming immense and, if not
managed correctly, it leads to project delays, resource drain, political intervention or project
termination. For the social marketer, there are five key elements.

1. Mapping
A robust stakeholder analysis (SA), conducted at the start of the planning phase, is essential to the
success of any social marketing project. A thorough SA will allow you to identify stakeholders and
consider key factors including:
• stakeholder demographics;
• their level of interest in the project;
• their expectations, needs and concerns;
• previous public statements;
• their proximity to your project.

2. Influencers
The level of influence of each of the stakeholders groups must be assessed to enable a prediction
of how much impact that stakeholder may have on the project. The degree of possible influence
is vast, from strong positive sentiment (and therefore support) through to negative activism and
potential rallying of other interest groups against the project.

22 Mendelow, A. (1991), “Stakeholder Mapping”, Proceedings of the 2nd International Conference on Information
Systems, Cambridge, MA

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3. Triggers
Each stakeholder group will react differently to different project actions. Many of the foreseeable
conflicts and complaints can be avoided by identifying triggers and possible solutions at an
early stage. Identifying the likely triggers allows a plan to be put in place to reduce stakeholder
resistance and costly complaints.

4. Opportunities
Risk management is critical, but while it is important to focus on those stakeholders most likely to
cause disruption, it is important not to lose sight of stakeholders who are well disposed to your
project or who will ultimately benefit from it. These stakeholders are a valuable campaign asset.

5. Proactive
A mitigation plan can be drawn up once you have a robust understanding of your stakeholders,
their influence and their triggers. The plan must set out risks that must be accepted or avoided and
ways to minimise the impact of these risks.

Engaging with your stakeholders through this process will also improve project buy-in, your
organisation’s credibility and collective ownership of any mitigation measures.

Marketing communication strategies and stakeholders’ engagement

Social marketers are heavily involved in the development of effective messages which can change
behaviours. The information within the message must provide individuals and organisations with
the elements required to achieve behavioural change. The basis of all communication is the
transmission of information, ideas, attitudes, or emotion from one person or group to another. The
science of communication is rapidly expanding, as new technologies and media extend the way
messages are transmitted and received.

There is a collection of theories that focus on how socially valuable information can be promoted
(these, collectively, are called social marketing theory). This is used by social and welfare
organisations to help promote or discourage various behaviours. The theory outlines a framework
that can be used to design, implement and evaluate information campaigns.

The basic concept is that the target audience is identified based on their information need. Once
this is done, information is packaged and distributed in a manner that will be easily accessible to the
intended audience. The theory behind social marketing is an attempt to understand how societal
and psychological factors work in order to successfully manipulate them to improve efficiency. It
helps identify the various social and psychological barriers that stop the flow of information through
different media. It can offer ideas and ways to overcome these barriers.

Audience awareness
The first step in promoting any new idea, person or behaviour is to create awareness that such a
new concept or individual exists. Thus, the awareness is created by using all available channels.
These may include news media and the internet. Saturation television coverage can have dramatic
effects, but the drawback is the cost. The benefit of using social media is that it is possible to reach
out to a wider range of audience. The use of the internet helps reach a younger audience who may
not read newspapers or depend on television for information.

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Targeting the right audience

When disseminating messages, it is important first to identify the audience. The next step is to find
the most efficient means of reaching them, which will cut costs and ensure higher levels of audience
penetration.

Reinforcing the message

The psychological problem with new messages is that they are not durable. It is necessary to
strengthen the message over time. This is done by repeatedly ensuring that individuals are exposed
to the message through different channels.

Cultivate images or impressions

The problem with little awareness is that customers will not actively search for new information.
Image advertising is used to generate recognisable and easily understandable pictures. This helps
create a favourable setting for promoting the new product.

Stimulate interest
The skill is in encouraging audiences to search for information, by grabbing their attention and
stimulating interest. Information (and images) should be made available to the general public.
A politician photographed cleaning a beach helps drive home the point that this individual cares for
the environment.

Inducing the desired result

The information, having been received by the intended audience, needs to be focused on achieving
the desired result. An example would be that a campaign against smoking should ensure that
people do stop smoking.

  NEED TO KNOW 
The communication process will involve...
• the sender;
• the message;
• the encoding mechanism for the message (which ranges from word-of-mouth, written,
electronic or embedded in other media);
• the transmission method of the message;
• the end receiver;
• the capacity to decode the message;
• the behaviour or action that results. REVISION
on the go

The social marketer must understand the capacity of the receiver to decode the message. The
recipients must be able to recognise the intended meaning. Social marketers look for reference
points, by getting feedback from the target market and then adjusting their message. The process
is a classic Kolb Model23 – see Figure 3.

23 Kolb, D. A. (1976), The Learning Style Inventory: Technical Manual. McBer & Co: Boston, MA

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Do

Repeat Review

Apply Learn

Source: Adapted from Kolb (1976)

Figure 3: The Kolb cycle of improvement REVISION

on the go

  OVER TO YOU
Activity 5: Feedback

Why is feedback important in getting a message “right”?

A final element is dealing with “noise”, which is anything in the environment which deflects or
stops the transmission and decoding of the message. It might be competition from other
messages, conflicting interests, the pressure of work or an over complex reception mechanism. The
user experience and user interface are part of the real-world research necessary to inform the social
marketer of the effectiveness of the campaign.

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Source Medium Receiver

• Message • Transmission • Audience

• Encoding • Noise • Feedback

Figure 4: The communication of the message REVISION

on the go

  OVER TO YOU
Activity 6: Communication with stakeholders

Read the abstract from a ground-breaking paper from Morsing and Schultz (2006) and
then answer the questions below. The full citation for the paper is given in the footnotes
and you should read this in full.
Corporate social responsibility communication: stakeholder information,
response and involvement strategies:
While it is generally agreed that companies need to manage their relationships
with their stakeholders, the way in which they choose to do so varies
considerably. In this paper, it is argued that when companies want to
communicate with stakeholders about their CSR initiatives, they need to involve
those stakeholders in a two-way communication process, defined as an ongoing
iterative sense-giving and sense-making process. The paper also argues that
companies need to communicate through carefully crafted and increasingly
sophisticated processes. Three CSR communication strategies are developed.
Based on empirical illustrations and prior research, the authors argue that
managers need to move from “informing” and “responding” to “involving”
stakeholders in CSR communication itself. They conclude that managers need to
expand the role of stakeholders in corporate CSR communication processes if
they want to improve their efforts to build legitimacy, a positive reputation and
lasting stakeholder relationships.24
What is meant by a “two-way communication” process?

24

24 Morsing, M. and Schultz, M. (2006), “Corporate social responsibility communication: stakeholder information, response
and involvement strategies”, Business Ethics: A European Review, Vol. 15, pp. 323–338

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Why do you think the author thinks there is a need to move from “informing” and
“responding” to “involving” stakeholders in CSR communication?

Communication and social marketing

• Policy: social marketing helps to ensure policy is based on an understanding of people’s
lives, making policy goals realistic and achievable. 
• Strategy: social marketing enables you to target your resources cost-effectively, and select
interventions that have the best impact over time. 
• Implementation and delivery: social marketing enables you to develop products
services and communications that fit people’s needs and motivations.  REVISION
on the go

Social
marketing
policy
(strategic)

Strategic
Delivery social
(operational) marketing
(reactive)

Figure 5: The communication cycle REVISION

on the go

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  CASE STUDY: WORLD HUMANITARIAN DAY

There are millions of people around the world affected
by humanitarian crises; these include war and drought.
The marketing agency Ogilvy & Mather (based in New
York) in the run-up to World Humanitarian Day,
created #ShareHumanity. This was a new tool that
allowed people to donate their Facebook or Twitter
profile for one day to tell the story of someone involved
in a humanitarian crisis. People could choose one from
17 inspiring stories which were created to look as if they
were happening to the user. The results were extremely
positive with over 20,000 social feeds and 180,000 social media posts during the few days
before World Humanitarian Day.
Source: [Link]
sustainability/sharehumanity/

READING LIST
• Crane, A. and Desmond, J. (2002), “Societal marketing and morality”, European Journal
of Marketing, Vol. 36 Issue 5/6, pp. 548–569 (This article will be available in your online
student resources.)

• Arli, D. Rundle-Thiele, S. and Lasmono, H. (2015), “Consumers’ evaluation toward tobacco

companies: implications for social marketing”, Marketing Intelligence and Planning, Vol. 33,
Issue 3, pp. 276–291 (This article will be available in your online student resources.)

Summary
This chapter dealt with the background and importance of ethics and corporate social responsibility
in the use of marketing practices and their implications for stakeholders and wider society. You
should be able to recall case study examples where ethical issues were shown as becoming
increasingly important. The concept and importance for big companies of the “triple bottom line”
should be understood. This is linked to CSR in marketing practices and, again, we have seen this
presented in case studies (e.g. the Rainforest Alliance and World Humanitarian Day).

The chapter also considered the stakeholder perspective and how to communicate with different
groups effectively. It is important to develop the ability to identify each stakeholder, by describing
their needs, their desires and their influence (primary, direct or secondary). The power of the
communication message then can be directed and understood by the right audiences.

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Chapter 4
Strategic Development
of Responsible Marketing
Practices for Societal Benefit

Introduction
This chapter looks at modern social marketing practices from the perspective of societal benefits.
The bigger challenges that we all face (such as environmental and health issues) can be approached
from the perspective of changes in behaviour by big business and multinational companies. The
policies and strategies can increase a company’s profit and help reduce their impact on society. The
way that this is being approached by various organisations is evaluated and explained.

Learning outcome
On completing this chapter, you will be able to:
4 Analyse different marketing approaches for strategic development of responsible practices
providing added value to the society

Assessment criteria
4 Analyse different marketing approaches for strategic development of responsible practices
providing added value to the society
4.1 Discuss societal marketing and the environment
4.2 Evaluate marketing practices from a societal benefit perspective
4.3 Examine the scope, planning and implementation of societal marketing practices

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 Level 5 Societal and
Social Marketing

4.1 Societal marketing and the environment

Definitions and meanings
The discipline and theory behind social marketing began in 1971, with Kotler and Zaltman. Their
definition was:

an adaptation of commercial marketing technologies to programs designed

to influence the voluntary behaviour of target audiences to improve their personal
welfare and that of the society of which they are a part.

Kotler and Zaltman (1971)25

A good example of what differentiates societal from social marketing is a marketing campaign on
non-smoking. A direct “stop smoking” advertisement would be an example of social marketing.
However, if the marketing strategies, methodologies and techniques focused on increasing the
wellbeing of society, then the campaign would be an example of societal marketing. Societal
marketing means that an organisation, business or company will make their strategic marketing
decisions by first considering consumers’ wants and needs, then the company’s requirements and
finally society’s long-term interests.

There have been many attempts to explore the objectives of societal marketing.
• A decision-maker in any business or organisation that is a societally responsible company needs
to take actions that improve society’s interests.
• Business leaders accept the role of leadership in helping our society to higher levels of
moral conduct.

Business has a duty and responsibility towards the consumer, and it is the duty of that business to
promote proper consumption values. Kotler was the first to introduce the idea of social marketing
as extending marketing technologies into non-business areas and in addition those of societal
marketing.

25 Kotler, P. and Zaltman, G. (1971), “Social Marketing: An Approach to Planned Social Change”, Journal of Marketing,
Vol. 35, pp. 3–12

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He put forward the proposition that:

the marketing concept and its technologies must be tempered and ultimately
revised by adopting a more explicit social orientation.

Kotler (1976)26

Kotler’s work was concerned with the idea of long-term consumer welfare. That means the
goals of short-term desires might not support the consumer’s long-term interests. Indeed, he
went further, suggesting that they might not be good for society. Kotler’s concept of societal
marketing was all about the wellbeing of society. He believed that deficient products should
be removed from the market. Rather than focusing on selling just products, services or ideas,
which might be right or wrong for consumers, he maintained that the real focus should be on
consumer and society wellbeing.

  NEED TO KNOW
Societal marketing is about...
• Responding to the consumer’s needs is of the utmost significance.
• Genuine, modern and continuous developments in the product should be executed in the
interests of increasing the product’s life and value.
• Emphasis should be on building long-term customer relationships and not just on doing
business.
• It is all about doing societal good.
• In short, when marketing any product, a business or organisation should keep in
mind the consumer, the organisation and long-term societal needs and welfare.  REVISION
on the go

Societal marketing can be defined as marketing with a social dimension or marketing that includes
non-economic criteria. Societal marketing has concerns for society’s long-term interests. It always
involves direct benefit for the organisation and secondary benefit for the community. It makes
a clear difference between the immediate consumer’s satisfaction and the long-term consumer
benefits. Andreas Kaplan defines societal management as:

management that considers society’s overall welfare in

addition to mere profitability considerations.

Kaplan (2009)27

Societal marketing and consumer welfare

Corporate social marketing (CSM) is when the strategic marketing efforts have at least one
socially-related objective. This might involve arranging a charity event, or direct connection to a
particular charity or charities as part of a company’s mission.

26 Kotler, P. and Keller, K.L. (2009), Marketing Management. Upper Saddle River, N.J: Pearson Prentice Hall
27 Kaplan, A. and Haenlein, M. (2009), “The increasing importance of public marketing: Explanations, applications and
limits of marketing within public administration”, European Management Journal, Vol. 27, Issue 1, pp. 197–212

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  CASE STUDY: THE BODY SHOP

The Body Shop International PLC, trading as The Body
Shop, is a multinational cosmetics and skincare
company. It is owned by Brazilian cosmetic company,
“Natura”, but was formerly owned by the French
company L’Oréal. The Body Shop was founded by
Dame Anita Roddick in 1976 and has a wide range of
natural products. It has more than 3,000 franchised
stores in 66 countries.

Most companies and organisations know that socially

responsible activities will improve their image among
customers and therefore shareholders and other stakeholders. Ethical and socially responsible
practices are therefore good business and Board Governance. They result in a better public image
and ultimately in increased sales. The Body Shop International PLC is well known as an organic
and ethical brand; it sells beauty products that use only plant-based materials for its products.
Within its mission statement, and embedded in its core values, the Body Shop vows to be:
• against animal testing;
• supporting community and Fair Trade;
• improving self-esteem;
• defending human rights;
• supporting environmental and planet protection.

Their CSR charity, “The Body Shop Foundation” was founded:

“to assist those working to achieve progress in the areas of human and civil rights, environmental
and animal protection.”

The Body Shop is thus following the concept of societal marketing.

CSM programmes are becoming extremely popular because of business leaders who now believe
that it is good for business. Although CSM programmes may be effective in improving brand
image and possibly in increasing market share, there are limits to the effectiveness of these
initiatives.

It is certainly true that groups of consumers may become cynical and suspicious of behaviours that
are performed by big businesses which appear to conflict with their business purpose. A tobacco
company that campaigns to prevent under-age smoking would be a clear alarm signal for many
consumers. The result could be a backlash that reduces sales and harms profits. The consumers
are seeing through a deliberate attempt to deceive them. The term often used for this kind of
campaign is “PR stunt” and it is generally seen as an unwise move in marketing.

For an ethically challenged business like a tobacco firm to succeed using a CSM campaign,
there would have to be a carefully constructed alignment between their values and those of the
partnership they have chosen. This is required to reduce the scepticism of consumers who have
historically associated harm with smoking; they will naturally be aware of attempts to camouflage
products with the promotion of an ethical event or charity.

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They may meet resistance from consumers when they undertake socially-oriented campaigns
aimed at mitigating the effects of their products. Societal marketing has become an excellent
strategy for promotions with social dimensions. It allows companies to explore consumers’
behavioural responses to those policies that involve corporate “doing good”. Societal marketing is
gaining enormous traction with marketers. It works on many levels and has had a positive response
from consumers. It is a classic “win-win” scenario for companies, consumers and society.

  NEED TO KNOW
Climate change
The “Momentum for Change” is a UN initiative to publicise the most inspiring activities
working to mitigate climate change. They instructed advertising and marketing agency Ogilvy
to come up with a powerful campaign using social marketing. They chose to raise the profile
and awareness of the initiative before and during the UN’s Climate Change conference in
Warsaw in 2015. The campaign successfully put the initiative onto the mainstream
media agenda and helped spread some positive news. They used commercial
marketing techniques in combination with messages that highlighted a global
requirement for change.    REVISION
on the go

  OVER TO YOU
Activity 1: Achieving a win-win for organisations

Achieving a win-win situation for an organisation is dependent largely upon how the
stakeholders react.
What factors affect reaction to societal marketing?

How do the various factors interact?

How can societal initiatives be designed to get a positive reaction?

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The societal marketing concept is significant because of the following advantages it has:
• To develop entrepreneurs as well as managers in a specified society.
• To raise the living standard of the people.
• To increase the speed of economic development of society.
• To make economic planning more significant and relevant to people’s lives.
• To ensure that all the economic resources are directed in the right direction.

The closer that organisations move towards their customers, the more they realise the fact that the
objective of any organisational business lies outside the business, i.e. in society. This should drive
the organisation to make more of a contribution to the welfare of society and for the greater good.

Societal marketing
Societal marketing is any form of marketing that takes into consideration the needs and wants
of the consumer and the wellbeing of society. Societal marketing is marketing combined with
social responsibility. Conversely, social marketing uses more traditional commercial techniques
and strategies (focusing primarily on selling) to achieve goals for the greater social good. Social
marketing campaigns can encourage merit goods. Social marketing focuses more on the result
of the marketing (promoting a merit good) while societal marketing is more
concerned with the marketing process in general and the marketing strategy used
(using marketing techniques that take into account the wellbeing of society). REVISION
on the go

  OVER TO YOU
Activity 2: Achieving a win-win for consumers

To achieve a win for consumers, societal marketing must provide them with compelling
benefits.
What benefits does societal marketing provide to consumers?

What direct benefits (such as increased satisfaction) arise because of this interaction?

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  OVER TO YOU
Activity 3: Corporate social marketing

An organisation or business can agree on a percentage of the cost of a product or

service that should be given to a declared charity. Usually, the marketers will look at
a product or service which is related to a nominated relevant charity. It might involve
sponsoring an event that encourages social wellbeing, such as the Olympic Games.
Corporate social marketing should allow a company or organisation to benefit by
improving public relations and perception of the company in a wider context.
Please give an example of this:

Please give an example of a company or organisation that appears to support

improvements in the welfare and lives of others in a community:

4.2 Marketing practices from a societal benefit

perspective
Social issues and consumerism
Social marketing has become a critical component of improving societal problems like health
and the environment. Social marketing is a new way of thinking about some very old human
problems. The way social systems work (what we call society) has meant there have always been
attempts to inform, persuade, influence, motivate and to gain acceptance for certain sets of
ideas. History shows us that there have always been attempts to promote certain causes and
to win over particular groups. These have included reinforcing behaviour (keep doing the same
thing) or changing it (doing something different).

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The various methods have included bribery (financial or otherwise), favour, argument or force.
Social marketing has developed from ancient ideas and theories seen in different cultures and
the fields of politics, education, and military strategy. It also has an intellectual background in the
academic fields of psychology, sociology, political science, communication theory and anthropology.
Its practical application is derived from advertising, public relations and market research, social
activism, advocacy groups and community organisers.

Social reform campaigns in America included the abolition of slavery, prohibition and suffragette
movements. The advent of powerful consumer rights movements led to governments regulating
the quality of foods and drugs.

Global campaigns in the last decade have been run for health promotion issues such as:

• anti-smoking • physical fitness and exercise

• health and safety • immunisation
• drug abuse • breast cancer screening
• drinking and driving • mental health
• AIDS • breast feeding
• nutrition • family planning

Social marketing has led campaigns on environmental issues including:

• safer water • preservation of national parks and forests

• water conservation • CO2 emissions
• clean air • climate change
• energy conservation

It has also been applied to education, the economy and wider issues in society:

• literacy • family violence

• staying longer in school • human rights
• job skills and training • social justice
• investment • racism
• inner city regeneration

Social marketing uses the most successful elements of the traditional marketing approaches and
integrates them with social change. The social marketing action framework utilises advances in
communication technology, information technology, big data and marketing skills. It uses a range
of techniques to generate discussion and promote information, attitudes, values and better habits.
By doing so, it helps to create a climate conducive to social and behavioural change. We have seen
that at the core of social marketing is behavioural change, which in turn is central to the pursuit of
sustainability. The question that arises for social marketers is how to use community-based social
marketing to motivate environmental protection behaviours. The range of challenges indicates
how important this understanding is becoming; from water and energy efficiency to new models of
green transportation.

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Relationship marketing
While all marketing focuses on gaining clients and increasing profits, relationship marketing and
transactional marketing take different views of the role of the client. The transactional approach
views the client solely as a vehicle for sales, while relationship marketing establishes a relationship
with the person behind the sale. The term “relationship marketing” (RM) was first seen as a form
of marketing developed from direct response marketing. It has at its core an emphasis on
customer retention and satisfaction with a lesser focus on sales transactions.

RM differs from other forms of marketing in that it is connected to a sustainable approach by

retaining clients and customers. It extends communication beyond the straightforward and obvious
advertising and sales promotional messages. With the growth of the internet and mobile platforms,
relationship marketing has continued to evolve. This has included tools for managing relationships
with customers that go beyond demographic and customer service data. RM extends to include
inbound marketing efforts, (a combination of search optimisation and strategic content), PR, social
media and application development.

Transactional marketing vs relationship marketing

Transactional marketing is a business strategy that focuses on single, point of sale transactions.
The emphasis is on maximising the efficiency and volume of individual sales rather than
developing a relationship with the buyer. Customer data analytics can reap significant financial
rewards for an organisation’s sales, marketing and customer service departments. With so
much data to contend with, companies often struggle to make sense of information from
customers, public records and external databases. The transactional approach is based on the
four traditional elements of marketing, referred to as the 4Ps.
• Product – creating a product that meets consumer needs.
• Pricing – establishing a product price that will be profitable while still attractive to consumers.
• Placement – establishing an efficient distribution chain for the product.
• Promotion – creating a visible profile for the product that makes it appealing to customers.
An alternative to the transactional model, relationship marketing (RM) emphasises customer
retention and future interaction with the company. There are advantages and disadvantages to
both approaches. Because transactional marketing does not value customer retention, it can
lead to passive, reactive and short-term customer relationships. However,
traditional elements of marketing such as those listed above will always be crucial
to success. REVISION
on the go

The main disadvantage of the relationship-based model is its relative expense. However, fostering
ongoing interaction with buyers through customer relationship management (CRM) strategies
typically improves return on investment in the long run. Most organisations include components of
both approaches in their strategy.

Societal benefits
Societal marketing is based on the principle of societal welfare. It emphasises that an organisation
must make strategic marketing decisions keeping in mind what the consumer wants, the
organisational needs and, most importantly, the long-term interests of the wider society. Some
consider that societal marketing is nothing but an outgrowth of the principles of corporate social

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responsibility and sustainable development. The idea underlining societal marketing is that an
organisation should not ignore society’s long-term welfare to achieve its mission and vision. An
organisation should have moral and environmentally friendly strategies and should ensure that
proper acts and laws are implemented.

In today’s world of increasing environmental destruction, scarcity of resources, food shortages,

and reductions in social services, the societal concept of marketing can be doubted. There are
questions about whether organisations are meeting customer satisfaction in line with meeting long-
term societal welfare.

  OVER TO YOU
Activity 4: The fast food industry is changing

The societal marketing concept was an offshoot of the marketing concept. An

organisation that believes in giving back to society by producing better products
is targeted towards society welfare. Some have questioned whether the marketing
concept is an appropriate philosophy in an age of environmental deterioration,
resource shortages, explosive population growth, world hunger and poverty, and
neglected social services. The fast-food hamburger industry always faces criticisms
about their unhealthy food. Recognising these criticisms, companies like McDonald’s
have added healthier items to their menu. They have rebranded using green colour
schemes, added healthier offerings and introduced environmental initiatives. These
have included replacing the standard polystyrene foam sandwich box with paper
wraps and lightweight recycled boxes.
McDonald’s provide tasty food, but this still prompts health concerns.
How can they change this image?

The burgers are high in fat and so are the fries and pies. The products are packed in handy
packaging – generating lot of waste.
How can McDonald’s reduce waste from packaging and show they are changing?

In the process of satisfying their customers, these fast-food outlets are creating increasing
health concerns as well as environmental issues.
How are they addressing health issues and getting their message across?

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Are companies that successfully satisfy consumer wants necessarily acting in the best, long-term
interests of consumers and society? The marketing concept sidesteps the potential conflicts among
consumer wants, consumer interests and long-run societal welfare. Yet some firms and industries
are criticised for satisfying consumer wants at society’s expense.

  CASE STUDY: THE “FISH FORWARD” CAMPAIGN

In 2015, the WWF (World Wide Fund for Nature) instructed the
marketing agency J. Walter Thompson (based in in Vienna

Sad
and Düsseldorf), to launch the “Fish Forward” campaign. Its
aim was to raise awareness of sustainable fish consumption.
The campaign draws consumers’ attention to the social, is what overfishing is doing to our ecosystems.

Sad is to know that up to 40% of fish is caught

ecological and economic impacts of seafood choices and

by mistake and discarded either dead or dying.

Make a difference. Choose sustainable fish.

shows the effects of over-fished oceans on people in

developing countries. The result of the campaign was that it [Link]
This project is co-funded by the European Union. The contents of this ad are the sole responsibility of WWF and can in no way be taken to represent the views of the EU.

reached 95 million consumers, across 11 countries. Its impact

on long-term behaviours and habits is still being evaluated.
Source: © WWF Austria

Cause-related marketing and consumer confidence

The societal marketing concept calls for social and ethical considerations to be built into an
organisation’s marketing practices. They must balance their profit-making duty to shareholders and
employees with their duties to the customer, in the face of intense public scrutiny. In spite of the
difficulties in balancing competing interests, many companies have achieved appreciable sales and
profit gains through their adoption of, and adherence to, the societal marketing concept. A form of
the societal marketing concept practiced by certain companies is called cause-related marketing.
The researchers Pringle and Thompson define this as:

an activity by which a company with an image, product,

or service to market builds a relationship or partnership with a cause,
or multiple causes for mutual benefit.

Pringle and Thompson (1999)28

Such companies deem an association with a charity or sponsorship of a “cause” as an opportunity

to enhance their corporate reputation by a display of corporate good citizenship. In any event, the
associated press coverage could be expected to lead to greater sales via increased brand awareness
customer loyalty. Critics of cause-related marketing argue that consumers may be disuaded from
charitable impulses themselves, on the basis that they have already “given” to charity once, via the
organisation. Cause-related marketing chiefly differs from societal marketing in that the organisation
itself makes a proactive and very public effort to give back to society.

Cause-related marketing has developed rapidly in the last few years even though it is a relatively
young concept. Its origins were in the early 1980s in the USA and can be traced (on an international
stage) from when American Express joined forces with the not-for-profit group which was raising
funds to restore the Statue of Liberty. The campaign declared that American Express would give
a proportion of every purchase (on its credit card) to this dedicated cause. The company further
pledged a donation for every new application (with the condition that the application had to be
successful). It was then backed by a massive marketing budget with television advertising in many
hundreds of countries.
28 Pringle, H. and Thompson, M. (1999), Brand Spirit: How Cause Related Marketing Builds Brands. John Wiley & Sons
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The results were spectacular and unique for their time. The partner was called “The Restoration
Fund” and the campaign raised over US$1.7 million. The benefit for American Express was
also extraordinary. The AMEX card use rose by over 27% and new card applications increased
45% (year on year). It was even more ground-breaking because the campaign lasted just three
months.29

The principle of finding a win-win campaign was thus established. The carefully selected
charitable cause (The Restoration Fund) gained much-needed funds, and American Express
massively increased its sales (and potential new sales through new card holders) and achieved a
reputation for social responsibility.

The story then developed as American Express trademarked the term, “cause-related marketing”.
From these early attempts at cause-related campaigns, many companies now use the term “doing
well, while doing good”.

Many observers believe that when there is economic uncertainty, cause-related marketing may
become the core to businesses delivering on their social responsibility commitments. Cause
marketing campaigns grew from a relatively small base of US$120 million, in 1990 to an estimated
more than US$2 billion in 2016.

The real success story lies in the fact that consumers are also enjoying this sort of campaign. The latest
research reveals that more than 84% of global consumers want to buy socially or environmentally
responsible services and products.

It should be noted that there are many variations on cause-related marketing being used today. On
a basic level, it is an understanding between a business and a not-for-profit organisation, to obtain
a reward (usually money) for a particular cause.

The company also expects to profit from this deal, by selling more products (or gaining potential
customers) and also by enjoying the “halo effect” of being associated with a respected not-for-
profit cause. It is not an anonymous donation to charity and is not a low-key and quiet way of doing
good work. It is a clear and visible gesture that lets the public know what it is doing and how it is
benefiting the cause. The not-for-profit cause also benefits both financially and through gaining a
higher public profile, as a direct result of the PR associated with the campaign.

  CASE STUDY: CAUSE-RELATED MARKETING – COCA-COLA

One global brand that is most certainly at the top of this list
is Coca-Cola. It is very much in tune with its consumers and is
constantly creating innovative ways in which to engage with
its consumers through marketing that matters and products
that best satisfy consumer requirements. The development of
its current Marketing that Matters platform is Coca-Cola
RockCorps. It epitomises these marketing objectives and
provides great insight on how to use cause related marketing
effectively. Coke “shares happiness” in the music space,
which is related to an important cause – teenage volunteering. In this way, the brand typifies the
innovation process of adding more value to a product in a socially desirable way. This type of
cause-related marketing is central to Coke’s marketing strategies – to give consumers the
benefits they want.

29 Daw, J. (2006), Cause Marketing for Nonprofits: Partner for Purpose, Passion, and Profits. John Wiley & Sons

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Coca-Cola RockCorps encourages teens to live an active lifestyle through volunteering, giving
four hours of their time to help uplift their very own local community and, in return, earning
a ticket to a music concert that money can’t buy. When cause-related marketing works well,
everyone wins – the company, the cause and the consumer. In business terms, this is known as
a win-win-win situation. Every brand worth its weight in the world today is looking for the right
cause to link its marketing to; watch this space as it is only getting bigger and better with more
value for all.

4.3 The scope, planning and implementation of

societal marketing practices
The societal marketing concept puts collective human welfare before all other considerations,
be they profit margins or consumer satisfaction. In societal marketing enormous emphasis is
placed upon social responsibility and the notion that developing a marketing strategy for the
benefit of the customer and the improvement of the wider society is crucial to any company’s
ability to attain and maintain long-term success. Societal marketing assumes that if a company
considers customer desires, its own business requirements and society’s long-term interests, it
will make better marketing decisions than if it merely considers its own profits through
the medium of customer wants. This idea is supported by the favourable image of the
company created in the public eye by its societal marketing efforts and the corresponding
increase in sales.

Societal marketing shares certain similarities with CSR and sustainable development. It calls for
socially and environmentally responsible marketing, which must be sustainable, and which must meet
current business and consumer needs and also enable those of the future to themselves be met.

In the face of dire warnings about global warming no company would boast of its contribution
to the problem, as prevailing public opinion demands our collective resources be used in a
better way.

Corporate societal marketing planning

Societal marketing campaigns were much in vogue in the 1950s in those nations which were
home to large corporations and multinationals at the very time when activism and social
movements gathered momentum. In the west, democracy and social justice were increasingly
being viewed as a “right” by the populations of economically developed countries and
accordingly, some of these companies were suspected of agitating for regime change or evasion
of proper regulation. The worry was that the unseen forces behind the rise of mass production
(and mass consumption) and therefore the midwives of the large corporations would gradually
lower the standards of business performance. Efficient and rational business practices were
perceived to be causing harm to society and nations and by the 1960s, activists were demanding
higher business standards, tighter governance and increasingly ethical production. The
differences between modern and post-modern organisations began to be debated and Not-for-
profit organisations began to seek a share of the profits and access to the funds. The concept
of societal marketing surfaced in 1972, as an organic reaction to the publication of unethical
company practices in the 1960s and 1970s; it was a more socially responsible, moral and ethical
model of marketing, countering the focused consumerism.

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The terms “social marketing” and “societal marketing” were introduced by Philip Kotler.30 This move
to a more ethical, more socially responsible marketing model grew out of existing CSR concepts and
the ideals of sustainable development. The model may have been adopted by companies in a drive to
improve their public image, but it allowed customer needs to service social welfare.

  NEED TO KNOW
Societal marketing is all about...
Organisations and companies should balance various considerations in setting their marketing
strategies:
• company profits • consumer wants • society’s interests

This means they need to consider:

• society (human welfare); • consumer satisfaction;
• products and services should satisfy • long-term profits and goodwill;
the consumer’s needs;
• building long-term customer relationships; • being socially responsible;
• providing satisfactory products.   REVISION
on the go

Objectives and benefits of societal marketing

The objectives of societal marketing include:

• creation of a better company image (and by extension a more negative image of competitors);
• maintenance and development of a long-term relationship with customers;
• fulfilling social responsibilities;
• developing community awareness towards company brands;
• increasing market share and consumer base.

Societal marketing benefits include:

• creation of a better company image;
• creation of competitive advantage over competitors;
• assisting customer retention and development of a long-term relationship with customers;
• increasing sales and market share;
• facilitating expansion and growth in the long-term;
• generation of products, services and ideas which benefit wider society;
• use of economic resources for society’s gain.

Societal marketing ensures better economic planning, increases the welfare and general
living standard of society as a whole and has a powerful impact on society by setting
a good corporate example. REVISION
on the go

30 Kotler, P., and Keller, K.L. (2009), Marketing Management. Upper Saddle River, N.J: Pearson Prentice Hall

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The power of societal marketing lies in its direct influence on society, the environment and also
businesses. It has developed from the objection of many people to a consumerist and profit-
only business model. The extra-ordinary result of societal marketing is that it can do two things
simultaneously: increase profits and improve the relationships with consumers. Through the
development of products that improve the long term wellbeing of society, businesses can also
satisfy client expectations and improve their profits.

Kotler argued that products that did not work (or were harmful) must be removed from sale or
replaced; in addition companies should make products that brought positive benefits to their
customers and long-term benefits to society. Societal marketing emphasises the importance of
social consciousness as part of the overall marketing plan. It involves a company marketing a
(good/positive) product not only with consumer and company needs in mind, but also the long-
term wellbeing of society.

Long-term benefits
According to Kotler, there were four categories of products based on long-term benefits and
consumer satisfaction:
1 Products that do not bring either long-term or short-term benefits.
2 Pleasing and positive products, that bring a high level of satisfaction but can cause long-
term harm to a community or society.
3 Products that bring low short-term satisfaction and have little value in helping society in the
long-term.
4 Positive and desirable products that bring both long-term benefit and
immediate consumer satisfaction. REVISION
on the go

Societal development and environmental protection: green

marketing
In general, marketers have focused on customer needs and wants in their marketing decisions for
long-term profitability. They are now realising that they have to include societal interests in their
marketing decisions. These decisions have become embedded in their growth strategies for profit.

  NEED TO KNOW
Eco-friendly marketing
• Companies that place an emphasis on recycled products and organic products that are not
going to damage the environment will follow a societal marketing strategy.
• Companies that make products from recycled materials can market themselves as a company
concerned about the long-term impact on society.
• This does not just apply to the materials used for producing products. Some companies market
themselves as “green” and emphasise that they use recycled packaging in
the day-to-day operation of the business and consider the transport of their
products (including their carbon footprint), as well. REVISION
on the go

Customers and society should be able to exist in harmony for long-term success. It is a powerful
concept that needs nourishing. The knowledge that a company or organisation offering a product

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or service to the customer will have a direct beneficial impact on society is critical for successful
societal marketers.

Their role is to understand the needs, the wants and interests of a target market and to deliver
on a promise to improve society’s wellbeing. A company’s marketing effort needs to address
environmental and economic problems if it is going to be effective. They can focus on limitations
of resources (e.g. over-use of oil to make plastic packaging and bags) and reduction of the impact
of pollution (e.g. plastic bags and packaging in the oceans that do not breakdown for hundreds
of years). The basis of all societal marketing is to achieve a working balance between profit, the
customers’ wants and needs and society’s interest.

Social responsibility and marketing ethics

Societal marketers expect companies to act in a socially responsible manner, taking into account
marketing ethics, because they know they will gain goodwill and increase their profits. The
modern customer reacts badly to companies with poor environmental track records, or if companies
are not being “green”. This gives socially responsible companies an advantage over competitors
and the shareholders can see real benefit in implementing this strategy.

Companies that produce effective societal marketing campaigns incorporate social and ethical
considerations into their marketing plan. There are many ways that a company can accomplish this
goal. These may include using the following strategies:

1 Societal marketing with a defined purpose and strategy

By having an agreed purpose and vision behind what a company is doing in the field of societal
marketing, it will meet the needs and aspirations of its customers and achieve long-term societal
good. Using its active social conscience as a new way to attract consumers, (and the research
indicates that consumers genuinely like this approach) it also helps society. This win-win situation is
being adopted strategically by big businesses.

2 Improving consumer health

Many of the most successful marketing campaigns address the health benefits to the consumer and,
as a result, fall into the “societal marketing” strategy. An example of this approach is the emphasis on
“organic ingredients” and the inclusion of labels like “zero sugar”, “no added chemicals” and “healthy
bacteria”. This apparent real concern for consumer health has become a strong point in the marketing
process. The way that products have greater sales when they place a higher value on consumer health
is an increasingly important part of the marketing mix. Societal marketing is about meeting consumer
needs; the company needs and their long-term benefit of society and its members.

3 The rise of eco-friendly marketing

There is no doubt that there has been an increasing drive for companies to look at sustainability
and recycling in their offering. There has been a reduction in products that damage the ozone layer
and this can be included in the societal marketing strategy. The number of companies that make
products from recycled materials has increased. Such businesses can then market themselves as
companies which are concerned about their long-term impact on society.

4 Signposting that they are supporting local farms and local business

Increasing attention is being paid to the number of “food miles” that a product, ingredient or
material has had to travel before it can be consumed. These factors play well with the public and
support for local industries, farmers and products are seen as a positive move. If businesses can
show that they do not import raw materials and instead use a local variation, they are using a form

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of societal marketing. This takes into account the wellbeing of a local social structure. A company
that purchases raw materials from local farmers or other businesses can market its products using
this fact as a key part of its marketing strategy.

The aim of societal marketing is for a company to meet its own needs and the needs of a consumer
while considering the long-term good of society. This type of marketing uses its socially conscious
stance to attract consumers who may appreciate the company’s desire to market its products with
consideration for society. As a result, the company’s concern for society, seemingly before profit,
positions it in a favourable light and in fact may actually help sell more products.

Social marketing strategy should deliver value to customers in a way that

maintains or improves both the consumer’s and society’s wellbeing

˘
Markovic and Barjaktarovic Rakocevic (2014)31

Marketing campaigns that emphasise consumer health fall into the societal marketing strategy.
These might include companies that market “organic ingredients”, “no chemicals” and “no
additives” in their products. They are considering consumer health in making their products. The
concern for consumer health then becomes a strong point in the marketing process. Products that
place a high value on consumer health fulfil the societal marketing criteria of meeting consumer
needs, company needs and the long-term benefit of society for its members.

  CASE STUDY: GIVING BACK TO THE COMMUNITY

One of India’s giant business corporations is
Hindustan Unilever Limited (HUL). This is a
consumer goods company based in Mumbai,
Maharashtra. It employs over 16,000 people,
while also indirectly helping to facilitate the
employment of over 65,000 people.

HUL’s products and service include foods, drinks, cleaning agents, personal care products and
water purifiers. Its distribution covers over 2 million retail outlets across India and its products
and services are available in over 6.4 million outlets in the country. An astonishing fact is that
(according to Nielsen market research data) two out of three Indians use HUL products.

HUL is now delivering on its commercial goals and fulfilling social responsibilities while serving
society. As a part of its corporate social responsibility, HUL has taken steps to improve the
conditions within a local community. For example, in Mumbai, it is directly involved in a project
called “Asha Daan”. This is a home for disadvantaged and disabled children and people who
have the disease AIDS.

At the Dooma plantation in Assam, it runs Ankur, a centre for special education for physically
and mentally challenged children. In Bachua Taluka of Gujrat, HUL helped in the reconstruction
of a village (Nani Chirai) which had been destroyed by a massive earthquake. HUL was
responsible for the building of a new school, a community centre, a healthcare centre and
village administration office.

Their positive involvement in the community is an example of a societal marketing campaign.

31 Markovic, A. and Barjaktarovic Rakocevic, S. (2014), Proceedings of the XIV International Symposium SYMORG 2014:
New Business Models and Sustainable Competitiveness. FON

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Some companies and organisations are achieving increased sales and profit gains by adopting
and practising societal marketing strategies. There is a growing opinion that all businesses and
organisations need to act in socially responsible manner. They might also choose to stop to making
poor products or wasteful product lines. They will need to develop their relationship with their
customers, the community and the natural environment. The ultimate promise is increased profit, as
it becomes linked with their desire to be socially responsible. The bottom line is that for a company
or business to be successful, it must contribute towards the wellbeing of the society in which it
operates and to the environment.

  OVER TO YOU
Activity 5: Review

What do you understand by the following terms?

Social marketing

Societal marketing

Corporate social responsibility (CSR)

Outline social marketing plan checklist

As a summary, this is a template for how a marketer would plan and implement a social (or societal)
marketing campaign. You do not need to complete it, but put yourself in the shoes of a marketer
and imagine what you would need to do using the knowledge you now have.

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Social marketing plan Check/Status

(Not started, WIP, complete)

Executive summary
Brief summary, highlighting the target audiences, what you
hope to achieve, the activities that will be involved, the
resources required, timescale, and how you will monitor
and evaluate success.

Main plan

Problem
Set out the challenge (challenge/problem statement) and
context (e.g. SWOT)

Resources / assets
Set out the human and financial resources and assets
available or which could be secured

People
Summarise the audience profiling/segmentation/
prioritisation

Behaviour
Summarise the behavioural analysis – identifying key
influences and influencers, benefits and rewards, blocks and
barriers for the problem and desired behaviours; identify
competing behaviours

Marketing objectives and behavioural goals

Set out aims and objectives for the work
Establish clear achievable behavioural goals

Proposition
Set out what you are offering (the core benefits)

Product/service development
The product/service strategy: what to do, and how to
deliver valued benefits
The price strategy: reducing costs and increasing value
The place strategy: where to reach people and where
behaviour occurs
The promotion: communications plan

Monitoring, evaluation and follow-up plans

Detail the baseline and indicators to monitor and
measure – process/outcome
Detail the plan to undertake or commission aspects of the
evaluation

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Budget
Set out costs for implementing the marketing plan,
including evaluation
Detail any anticipated incremental cost savings or revenues

Implementation plan
Set out who will do what, and when; schedule work with
clear roles and responsibilities

READING LIST
• Kärnä, J. Hansen, E. and Juslin, H. (2003), “Social responsibility in environmental marketing
planning”, European Journal of Marketing, Vol. 37, Issue 5/6, pp. 848–871 (This article will be
available in your online resources.)
• Hovland, I. (2005), Successful Communication: A Toolkit for Researchers and Civil Society
Organisations [online]. Available at: [Link]
communication-toolkit-researchers-and-civil-society-organisations [Accessed on: 13
September 2017]

Online resources:
• Articles and reports from The National Social Marketing Centre (UK): [Link]
com/publications
• A social marketing strategy report from Public Health England: [Link]
government/uploads/system/uploads/attachment_data/file/445524/Marketing_report_web.pdf
• A pro bono showcase of work from WPP plc, a multinational advertising and public relations
company: [Link]

Summary
You should now understand the different marketing approaches that provide added value to
society. The definition of societal marketing should be clear, as well as its increasing impact on long-
term good and link to commercial gain. Societal marketing is any form of marketing that takes into
consideration the needs and wants of the consumer and the wellbeing of society; it is marketing
combined with social responsibility.

Conversely, social marketing uses more traditional commercial techniques and strategies (focusing
primarily on selling) to achieve goals for the greater social good. Social marketing campaigns
promote merit goods. Social marketing focuses more on the result of the marketing while societal
marketing is more concerned with the marketing process in general and the marketing strategy
used (using marketing techniques that take into account the wellbeing of society). An example
of an organisation implementing CSM is The Body Shop, where there are clear benefits for the
consumer, the environment and the business.

The use of societal marketing plays a part in preventing the dangers of climate change,
environmental pollution and over-fishing. The massive potential that societal marketing has and its
widespread application can be seen in the context of global issues.

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Glossary
Affective component The affective addressable unit of memory in many computer
component refers to the feelings or emotions a architectures.
person has when faced with an attitude object.
Cause-related This is a form of marketing
Audience A target audience is the intended in which a company and a charity team up
audience or readership of a publication, together to tackle a social or environmental
advertisement, or other message. In marketing problem and create business value for the
and advertising, it is a particular group of company at the same time.
consumers within the predetermined target
market, identified as the targets or recipients Clear water A product, service or idea that is
for a particular advertisement or message. different from competitors – see unique selling
position (USP).
Behavioural goals Considering the insight
gathered and the behavioural analysis carried Cognitive component Includes beliefs and
out, behavioural goals and objectives need to past knowledge about an issue or event
be set for what you aim to achieve with the
target audience/s. Competition In economics, “competition” is
the rivalry among sellers trying to achieve such
Belief – feeling – intention Consumer goals as increasing profits, market share, and sales
attitudes are a composite of a consumer’s volume by varying the elements of the marketing
beliefs, feelings about and behavioural mix: price, product, distribution, and promotion.
intentions toward some object--within the
context of marketing, usually a brand or retail Conative component Conation (from the
store. These components are viewed together Latin conatus) is any natural tendency, impulse,
since they are highly interdependent and striving, or directed effort.
together represent forces that influence how
Consumer decision-making Consumer
the consumer will react to the object.
behaviour is the process consumers go through
Big data Extremely large data sets that may when they make purchases and it involves
be analysed computationally to reveal patterns, factors that influence their decision and usage.
trends, and associations, especially relating to The consumer decision-making process involves
human behaviour and interactions. five steps that consumers move through when
buying a good or service.
Bottom line Bottom line refers to a
company’s net earnings, net income or earnings Consumer insights Consumer insights
per share (EPS). The reference to “bottom” provide understanding that leads to marketing
describes the relative location of the net income on a more direct and personal level.
figure on a company’s income statement. Most
Consumerism A social phenomenon that
companies aim to improve their bottom lines
empowers the buyers and consumers. Its effects
through two simultaneous methods: growing
are visible in the laws, regulations and the
revenues (i.e., generate top-line growth) and
marketing practices. It keeps a check on the
increasing efficiency (or cutting costs).
companies and ensures that the consumers get
Brand building To increase the knowledge quality products which are safe for them at the
of a product or service by a target audience. An correct price.
example might be for products like electronics
Consumption In economics, the use
(Apple) and how they market through adverts.
of goods and services by households.
Bytes Historically, the byte was the number of Consumption is distinct from consumption
bits used to encode a single character of text in expenditure, which is the purchase of goods
a computer and for this reason it is the smallest and services for use by households.

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Cookies A small text file (up to 4KB) created Decoding of the message Understanding
by a website that is stored in the user’s what an advert or campaign is saying (by the
computer either temporarily for that session consumer).
only or permanently on the hard disk (persistent
cookie). Cookies provide a way for the website Differentiation A process of distinguishing
to recognise you and keep track of your a product or service from others, to make
preferences. it more attractive to a target market. This
involves differentiating (see also USP) it from
Corporate governance Corporate competitors’ products as well as a firm’s own
governance is the system of rules, practices and products.
processes by which a company is directed and
controlled. Corporate governance essentially Direct response advertising Targeted
involves balancing the interests of a company’s strategies to gain a change in behaviour from
many stakeholders, such as shareholders, groups using mailing, e-mail shots and other
management, customers, suppliers, financiers, communication pathways.
government and the community.
Direct response marketing Using the
Corporate social responsibility (CSR) CSR older version of message delivery via postal
is an overall package of initiatives and practices and leaflet handouts – usually direct to the
that are planned and placed into action by consumers.
companies for ongoing societal prosperity.
Dow Jones Sustainability World Index
Customer needs A need is a desire (DJSI World) This index was launched
that causes a customer to buy a product. If in 1999, and is among a family of indices,
customers buy products to satisfy needs, then evaluating the sustainability performance of
needs provoke customers to buy products. the largest 2,500 companies. They are now
But this definition is vague; it does not give the longest-running global sustainability
any direction to product teams or market benchmarks worldwide and used by
researchers on how to understand what stakeholders on an annual basis. They have
customers want. become the key reference point in sustainability
investing for investors and companies.
Customer satisfaction Customer
satisfaction (often abbreviated as CSAT, more Economic development Economic
correctly CSat) is a term frequently used in development is the process by which a nation
marketing. It is a measure of how products and improves the economic, political, and social
services supplied by a company meet or surpass wellbeing of its people. Whereas economic
customer expectation. development is a policy intervention endeavour
with aims of economic and social wellbeing of
Customer value analytics (CVA) Process people, economic growth is a phenomenon of
by which data from customer behaviour is market productivity and rise in GDP.
used to help make key business decisions via
market segmentation and predictive analytics. Emotional signature Research shows that all
This information is used by businesses for organisations and businesses have an emotional
direct marketing, site selection and customer signature, which is a level of emotional
relationship management. engagement with their customers. These
emotions are displayed in every part and touch
Customer wants Demand is the economic point of a customer experience, from branding
principle that describes a consumer’s desire, efforts to long after the interaction is complete.
willingness and ability to pay a price for a
specific good or service. On the other hand, Engagement Engagement marketing,
a consumer want is the desire for products sometimes called experiential marketing event
or services that are not necessary, but which marketing, live marketing, or special events,
consumers wish for. For example, food is is a marketing strategy that directly engages
considered a consumer need. consumers and invites and encourages them to
participate in the evolution of a brand or a brand.

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Entrepreneurs Entrepreneurship has Human rights All human beings are born
traditionally been defined as the process of free and equal in dignity and rights. – Article 1
designing, launching and running a new business, of the United Nations Universal Declaration of
which typically begins as a small business, such as Human Rights (UDHR).
a start-up company, offering a product, process
or service for sale or hire. The people who create Intangible When marketing a product or
these businesses are called entrepreneurs. service, there are many different approaches
marketers can take to get the attention of the
Esteem needs Esteem needs refer to potential customer. Understanding intangibles
the need for respect, self-esteem, and self- in marketing is valuable in appealing to a
confidence. Esteem needs are the basis for person’s emotional response.
the human desire we all must be accepted and
valued by others. Integrated marketing communications
(IMC) An expansion of existing marketing
Ethics As a branch of philosophy, ethics strategies, to optimise the communication of
investigates the questions “What is the best a consistent message of the company’s brands
way for people to live?” and “What actions are to stakeholders. It uses methods to improve
right or wrong in particular circumstances?” communication of the benefits of each channel
In practice, ethics seeks to resolve questions which, when combined, builds a clearer and
of human morality by defining concepts such vaster impact than if used individually. IMC
as good and evil, right and wrong, virtue and requires marketers to identify the boundaries
vice, justice and crime. As a field of intellectual around the promotional mix elements and to
enquiry, moral philosophy also is related to the consider the effectiveness of the campaign’s
fields of moral psychology, descriptive ethics, message.
and value theory.
Intervention Intervention method targets the
Exchange Considering both the benefits area of weakness in a marketing strategy and
and the costs of encouraging people to adopt looks to change it using direct action.
a new behaviour. This will help maximise the
benefits and minimise the costs, to create an Macro-marketing Looks at large
attractive exchange. populations and is concerned with mass change
in behaviours.
Focus groups A group of people assembled
to participate in a discussion about a product Marketing Marketing is the study and
before it is launched, or to provide feedback on management of exchange relationships – activity,
a political campaign, television series, etc. set of institutions, and processes for creating,
communicating, delivering, and exchanging
FoMo Fear of Missing out – using the human offerings that have value for customers, clients,
psychological fear of missing out on something partners, and society at large.
(usually good), like a limited free offer.
Marketing ethics Marketing ethics
Guerrilla marketing Advertisement strategy is a term that acts as a silent operator
concept designed for businesses to promote demonstrating moral values and principles by
their products or services in an unconventional way of promoting responsible and transparent
way with little budget to spend. This involves communication.
high energy and imagination focusing on
grasping the attention of the public in more Marketing mix It is a set of constructs ranging
personal and memorable level. from 4Ps (price, product, promotion, place) to 7Ps
(4Ps + process, people and physical evidence)
Hierarchy of needs Abraham Maslow used by companies to optimise marketing a brand
proposed five different kinds of human needs, and/or product and its relative attributes.
beginning with the most basic: survival.
Physiological needs, such as food and shelter, Marketing surveys Marketers speak to
are followed by needs related to safety and members of a target audience, which is an
emotional wellbeing. important part of market research. When

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conducting any type of survey, whether it is a Typically, not-for-profit organisations are charities
focus group, a questionnaire or a phone survey, or other types of public service organisations.
it is important to pay attention to customers
who complain or give negative feedback. Norms In marketing, norms are social
expectations that guide behaviour. Norms
Market offering Market offerings are some explain why people do what they do in given
combination of products, services, information, situations. For example, in many countries, it is
or experiences offered to a market to satisfy a norm that people shake hands when they are
consumer needs or wants. formally introduced (but not in others).

Market research The action or activity of Opportunity costs The loss of other
gathering information about consumers' needs alternatives when one alternative is chosen.
and preferences.
Peer group A group of people of
Market segmentation Defined as the approximately the same age, status and
activity of dividing the potential market in to interests.
defined groups of consumers.
Peer-reviewed Peer review is the evaluation
Media Media is used about mass of work by one or more people of similar
communications, where media are newspapers, competence to the producers of the work
radio, the internet, and so on. It is also used (peers). It constitutes a form of self-regulation
in science, where medium usually means an by qualified members of a profession within the
intervening substance through which something relevant field.
is transmitted.
People-centred approach A person-
Media advocacy Media advocacy is a new centred process involves listening, thinking
strategy that is emerging in the public health together, coaching, sharing ideas, and seeking
community. It has been particularly visible feedback.
in communities of colour. Media advocacy is
defined as the strategic use of mass media to Physiological needs Physiological needs
advance public policy initiatives. are the foundation of Maslow’s hierarchy of
needs and include survival needs such as the
Media impressions An impression (in the need for sleep, food, air, and reproduction.
context of online advertising) is when an ad is Physiological needs are the requirements we all
fetched from its source, and is countable. Whether need individually for human survival.
the ad is clicked is not considered. Each time an
ad is fetched, it is counted as one impression. Positioning Refers to the place that a
brand occupies in the mind of the customer
Micro-marketing Micro-marketing has and how it is distinguished from products
come to refer to marketing strategies which are from competitors. In order to position
variously customised to local markets, to different products or brands, companies may
market segments or to the individual customer. emphasise the distinguishing features of
their brand (what it is, what it does and how,
Mindfulness A mental state achieved by etc.) or they may try to create a suitable
focusing one’s awareness on the present image (inexpensive or premium, utilitarian
moment, while calmly acknowledging and or luxurious, entry-level or high-end, etc.)
accepting one’s feelings, thoughts, and bodily through the marketing mix.
sensations, used as a therapeutic technique.
Price points Points on a scale of possible
Non-profit organisations Also known as prices at which something might be
not for profit organisations; this is a type of marketed.
organisation that does not earn profits for its
owners. All the money earned by or donated to a Promotion The advancement of a product,
not-for-profit organisation is used in pursuing the idea, or point of view through publicity and/or
organisation’s objectives and keeping it running. advertising.

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Psycho-demographics A geographic a company’s profitability or to compare the

target market can be consumers in a city, state, efficiency of different investments.
or country. A demographic or socioeconomic
target market would focus on a specific gender, Safety needs In Maslow’s hierarchy these
age group, income level, or education level. refer to the need for security and protection.
A psychographic target market would be a When we have our physiological needs for food
market that has similar attitudes, values, or and water met, our safety needs dominate
lifestyle. our behaviour. These needs must do with our
natural desire for a predictable, orderly world
Psychological costs Psychological pricing that is somewhat within our control.
(also price ending, charm pricing) is a pricing/
marketing strategy based on the theory that Segmentation Identifying audience
certain prices have a psychological impact. “segments” which have common
characteristics. These segments will inform the
Public relations (PR) Public relations are interventions appropriately.
a strategic communication process that builds
mutually beneficial relationships between Segments Market segmentation is the
organisations and their publics. Public process of dividing a market of potential
relations can also be defined as the practice customers into groups, or segments, based on
of managing communication between an different characteristics. The segments created
organisation and its publics. are composed of consumers who will respond
similarly to marketing strategies and who
Qualitative Qualitative research is primarily share traits such as similar interests, needs, or
exploratory research. It is used to gain an locations.
understanding of underlying reasons, opinions,
and motivations. It provides insights into Self-actualisation needs Represents a
the problem or helps to develop ideas or concept derived from Humanistic psychological
hypotheses for potential quantitative research. theory and, specifically, from the theory
created by Abraham Maslow. Self-actualisation,
Quantitative Quantitative methods according to Maslow, represents growth of
emphasise objective measurements and the an individual toward fulfilment of the highest
statistical, mathematical, or numerical analysis needs; those for meaning in life, in particular.
of data collected through polls, questionnaires,
and surveys, or by manipulating pre-existing Self-worth and self-esteem Self-esteem
statistical data using computational techniques. is what we think and feel and believe about
ourselves. Self-worth is recognising what you
Real-world research Real-world research is can do and how you behave; having self-esteem
a common responsibility of professionals and means feeling good about ourselves.
practitioners in a wide range of both public
and private settings. These include teachers, Social marketing A planned marketing
social workers and health service professionals, approach developed with an intention
managers and specialists in business, architects, to influence behaviour for the benefit of
designers, criminologists and accountants individuals.
among many others.
Social needs The five stages in Maslow’s
Resistance from consumers People disliking hierarchy of needs in order from lowest to highest
or being unwilling to buy a product or service: level include physiological, safety, social (love and
meet with/overcome consumer resistance. belonging), esteem, and self-actualisation. Each
need must be met from lowest (physiological) to
Return on investment (ROI) Return on highest (self-actualisation).
investment (ROI) measures the gain or loss
generated on an investment relative to the Societal marketing An organisational
amount of money invested. ROI is usually marketing approach taking sustainable
expressed as a percentage and is typically used society’s interest into consideration for the
for personal financial decisions, to compare benefit of all.

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Spam Email spam, also known as junk email, Transformative consumer research
is a type of electronic spam where unsolicited (TCR) Defined as an academic, theory-based
messages are sent by email. Many email spam research that examines individual and group-
messages are commercial in nature but may level problems and opportunities related
also contain disguised links that appear to be to consumption, with the goal of improving
for familiar websites but in fact lead to phishing consumer wellbeing.
web sites or sites that are hosting malware.
Unique selling position (USP) A
Stakeholder analysis (SA) Used in project marketing concept first proposed as a theory
management, conflict resolution and business to explain a pattern in successful advertising
administration. It is the process of working out campaigns of the early 1940s. The USP states
the impact of a decision on relevant parties. that such campaigns made unique propositions
This information is used to assess how the to customers that convinced them to switch
interests of those stakeholders should be brands. The term was developed by television
addressed in a project plan, policy, programme advertising pioneer Rosser Reeves, of Ted Bates
or other action. & Company.

Stakeholders People with an interest or User experience (UX) Refers to a person’s

concern in something, especially a business. emotions and attitudes about using a product,
system or service. It includes the practical,
Stimuli Characteristics that affect customer experiential, affective, meaningful and valuable
behaviour. Marketers try to work out what aspects of human interaction and product
goes on the in the mind of the customer. ownership.
A buyer’s characteristics influence how he or
she perceives the stimuli; the decision-making Value Value in marketing, also known as
process determines what buying behaviour is customer-perceived value, is the difference
undertaken. between a prospective customer’s evaluation
of the benefits and costs of one product when
Sustainable behaviour change In recent compared with others.
years a range of programmes, funded by the
public sector, have tried to “educate” the Vertical transition Segmentation is a
consumer around several important health and marketing technique used by businesses to
environmental issues, hoping to bring about target a specific type of consumer or section
behaviour change. of the marketplace. Horizontal segmentation
means selling a product to a wide spectrum of
Sustainable development Economic consumers, while vertical segmentation narrows
development that is conducted without the selling focus to target consumers in a
depletion of natural resources. smaller demographic.

Targeting A target market is a group of Viral communication Viral marketing (or

customers within the serviceable available market viral advertising and viral communication)
that a business has decided to aim its marketing is a marketing technique that uses pre-
efforts towards. A well-defined target market is existing social networking services and
the first element of a marketing strategy. other technologies to produce increases
in brand awareness or to achieve other
Theory of planned behaviour (TPB) In marketing objectives (such as product sales
psychology, the theory of planned behaviour or marketing buzz) through self-replicating
is a theory that links beliefs and behaviour. viral processes.
The concept was proposed by Icek Ajzen to
improve on the predictive power of the theory Wellbeing of society Wellbeing, well-being,
of reasoned action by including perceived or wellness is a general term for the condition
behavioural control. of an individual or group. A high level of well-
being means in some sense the individual or
Transdisciplinary Relating to more than one group’s condition is positive.
branch of knowledge; interdisciplinary.

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Win-win marketing Both consumers and World Humanitarian Day World

producers (organisations and businesses) can Humanitarian Day is an annual reminder of the
be successful and have growth. need to act to alleviate suffering. It is also an
occasion to honour the humanitarian workers
Word-of-Mouth (WoM) One customer and volunteers toiling on the frontlines of crises.
telling another, in person or online, about a
product or service. It is seen as one of the most
powerful of marketing tools.

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