Ethical Marketing
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Ethical marketing refers to the application of
marketing ethics Marketing ethics is an area of applied ethics which deals with the moral principles behind the operation and regulation of marketing. Some areas of marketing ethics (ethics of advertising and Promotion (marketing), promotion) overlap with media et ...
into the
marketing Marketing is the process of exploring, creating, and delivering value to meet the needs of a target market in terms of goods and services; potentially including selection of a target audience; selection of certain attributes or themes to emph ...
process. Briefly, marketing ethics refers to the philosophical examination, from a moral standpoint, of particular marketing issues that are matters of moral judgment. Ethical marketing generally results in a more socially responsible and
culturally sensitive Cultural sensitivity, also referred to as cross-cultural sensitivity or cultural awareness, is the knowledge, awareness, and acceptance of other cultures and others' cultural identities. It is related to cultural competence (the skills needed for ...
business community. The establishment of marketing ethics has the potential to benefit society as a whole, both in the short- and long-term. Ethical marketing should be part of
business ethics Business ethics (also known as Corporate Ethics) is a form of applied ethics or professional ethics, that examines ethical principles and moral or ethical problems that can arise in a business environment. It applies to all aspects of business co ...
in the sense that marketing forms a significant part of any
business model A business model describes how an organization creates, delivers, and captures value,''Business Model Generation'', Alexander Osterwalder, Yves Pigneur, Alan Smith, and 470 practitioners from 45 countries, self-published, 2010 in economic, social, ...
. Study of Ethical marketing should be included in
applied ethics Applied ethics refers to the practical aspect of moral considerations. It is ethics with respect to real-world actions and their moral considerations in the areas of private and public life, the professions, health, technology, law, and leadersh ...
and involves examination of whether or not an honest and
fact A fact is a datum about one or more aspects of a circumstance, which, if accepted as true and proven true, allows a logical conclusion to be reached on a true–false evaluation. Standard reference works are often used to check facts. Scient ...
ual representation of a product or service has been delivered in a framework of cultural and social values. It promotes qualitative benefits to its customers, which other similar companies, products or services fail to recognise. The concern with
ethical issues Ethics or moral philosophy is a branch of philosophy that "involves systematizing, defending, and recommending concepts of right and wrong behavior".''Internet Encyclopedia of Philosophy'' The field of ethics, along with aesthetics, concerns ma ...
, such as child labor, working conditions, relationships with third world countries and environmental problems, has changed the attitude of the Western World towards a more socially responsible way of thinking. This has influenced companies and their response is to market their products in a more socially responsible way. The increasing trend of
fair trade Fair trade is an arrangement designed to help producers in developing countries achieve sustainable and equitable trade relationships. The fair trade movement combines the payment of higher prices to exporters with improved social and enviro ...
is an example of the impact of ethical marketing. In the Ethical Shoppers Price Index Survey (2009), fair trade was the most popular ethical badge products could have. It also revealed that many consumers distrusted green claims. (The idea of fair trade is that consumers pay a guaranteed commodity price to a small group of producers, the producers agree to pay fair labor prices and conserve the environment - a fair deal for everyone.) The philosophy of marketing is not lost with this newfound ethical slant, but rather hopes to win
customer loyalty The loyalty business model is a business model used in strategic management in which company resources are employed so as to increase the loyalty of customers and other stakeholders in the expectation that corporate objectives will be met or sur ...
by reinforcing the positive values of the brand, creating a strong citizen brand. However, this new way of thinking does create new challenges for the marketer of the 21st century, in terms of invention and development of products to add long-term benefits without reducing the product's desirable qualities. Many brands have tried to use ethics to make themselves look responsible, often spinning environmental claims which has led to the term "
greenwash Greenwashing (a compound word modeled on "whitewash"), also called "green sheen", is a form of advertising or marketing spin in which green PR and green marketing are deceptively used to persuade the public that an organization's products, aims ...
". In research consumers have shown to have even less trust of ethical claims in ads than ordinary ads. media attention on ethics has resulted in many top brands suffering consumer boycotts. Although many brands have tried to use green issues, it has been noted that in research 2/3 of consumers responded more to ethical claims that relate to people rather than to than environment. Ethical marketing should not be confused with government regulations brought into force to improve
consumer welfare Welfare economics is a branch of economics that uses microeconomic techniques to evaluate well-being (welfare) at the aggregate (economy-wide) level. Attempting to apply the principles of welfare economics gives rise to the field of public econ ...
, such as reducing sulfur dioxide emissions to improve the quality of the air. A government regulation is a legal remedy intended to mitigate or correct an ethical issue, such as pollution of the air that we all share. Enlightened ethical marketing is at work when the company and marketer recognize further improvements for humankind unrelated to those enforced by governments or public opinion. By way of example, the Coop Group refuses to invest money in tobacco, fur and any countries with oppressive regimes. Over the past few years ethical marketing has become a more important part of marketing with many university courses adding modules on the importance of ethics within the industry, trade bodies such ss th
ICC
have also added their ow
courses
Many industry awards also now recognise the importance of ethical marketing in the mix.


See also

*
Business ethics Business ethics (also known as Corporate Ethics) is a form of applied ethics or professional ethics, that examines ethical principles and moral or ethical problems that can arise in a business environment. It applies to all aspects of business co ...
*
Fair trade Fair trade is an arrangement designed to help producers in developing countries achieve sustainable and equitable trade relationships. The fair trade movement combines the payment of higher prices to exporters with improved social and enviro ...
*
Greenwashing Greenwashing (a compound word modeled on "whitewash"), also called "green sheen", is a form of advertising or marketing spin in which green PR and green marketing are deceptively used to persuade the public that an organization's products, aims ...
*
Marketing ethics Marketing ethics is an area of applied ethics which deals with the moral principles behind the operation and regulation of marketing. Some areas of marketing ethics (ethics of advertising and Promotion (marketing), promotion) overlap with media et ...
*
Socially responsible marketing Socially responsible marketing is a marketing philosophy that a company should take into consideration; "What is in the best interest of society in the present and long term?"Armstrong, Gary, and Philip Kotler. ''Principles of Marketing''. 12th e ...


Further reading

* * * * * Serafinn, Lynn. (2011). ''The 7 Graces of Marketing: how to heal humanity and the planet by changing the way we sell. ''London: Humanity 1 Press. .


References


External links


Ethical Marketing for Competitive Advantage on the Internet

Draft Code of Practice for Ethical Marketing, by the Ethical Marketing Group
{{Webarchive, url=https://web.archive.org/web/20180314130325/http://ethicalmarketinggroup.com/cop/ , date=2018-03-14
Ethical Marketing News Resource for those Interested in Ethical Campaigns
Types of marketing Corporate social responsibility