MKT 420 Contemporary Issues in Marketing

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Presentation transcript:

MKT 420 Contemporary Issues in Marketing Chapter 5 Social Marketing

Objective Define Social Marketing Analyze marketing mix elements for social marketing. Identify the distinctive features of the social marketing approach. Identify the steps that comprise the social marketing process.

What is Social Marketing?

What it is not… Social Media Marketing using Facebook, Twitter and other social networks Can be used for social marketing, but mostly used for profit E.g.: Facebook fan page CSR Linking for-profit organizations with obligations beyond profit motives Societal impact, philanthropy etc. E.g.: Sponsorship of cultural events

What is Social Marketing? Social Marketing and Social Media Marketing are different. Born as a discipline in the 1970s, when Philip Kotler and Gerald Zaltman realized that the same marketing principles that were being used to sell products to consumers could be used to "sell" ideas, attitudes and behaviors. Kotler and Andreasen define social marketing as "differing from other areas of marketing only with respect to the objectives of the marketer and his or her organization”. http://www.social-marketing.com/Whatis.html

“Social Marketing is the application of commercial marketing technologies to the analysis, planning, execution, and evaluation of programs designed to influence the voluntary behavior of target audiences in order to improve their personal welfare and that of their society” Andreasen

Social marketing seeks to influence social behaviors not to benefit the marketer, but to benefit the target audience and the general society. This technique has been used extensively in international health programs (Anti Smoking, Polio Eradication, Oral Rehydration Therapy), and is being used with more frequency in the United States for such diverse topics as drug abuse, heart disease and organ donation.

Social Marketing Issues Magnitude (in the USA) of issues social marketing may contribute towards alleviating Source: Kotler, P., Roberto, N. and Lee, N. (2002) Social Marketing: Improving the Quality of Life. Thousand Oaks, CA: Sage Publications.

Distinctive Features Consumer orientation Use commercial marketing technologies and theory Voluntary behavior change Targets specific audiences Focus is on personal welfare and that of society As you listen to this overview of social marketing think about what makes social marketing different from other social change strategies. Also consider how social marketing is different from what you are doing right now.   The first distinctive feature of social marketing is consumer orientation. As social marketing researchers, we are looking to completely understand our consumer and to respond to their wants and needs. We use traditional commercial marketing technologies and theory. However, our purpose is to influence rather than coerce, so another key component of social marketing is voluntary behavioral change. Additionally, social marketing targets a specific audience. Rather than designing a health behavior change program that is for everyone, we seek to identify that portion of the population where we are most likely to have success. Those are the people most willing and able to change at that time of our social marketing campaign. Our materials or interventions will be targeted specific toward this audience. Finally, as opposed to profit driven commercial marketing, social marketing focuses on the personal welfare of individuals and of society.

Interdisciplinary Approach Commercial Marketing Social Anthropology Behavioral Psychology Communication Theory Education Social marketing is rooted in an interdisciplinary approach. In addition to borrowing from commercial marketing theories, we also take a theoretical basis from social anthropology, behavioral psychology, communication theory, and education. As you plan your social marketing teams, remember that the more diverse skills and training your staff brings to the process. Social anthropology is the study of all peoples everywhere – what they make, what they do, what they think and how they organise their social relationships and societies.

Marketing Mix in Social Marketing Product Price Placement Promotion Public Partnership Policy Purse

Marketing Mix- Product Not necessarily a physical offering. Can range from intangible to actual physical products, services (Human rights violation), practices (Cancer awareness) or more intangible ideas (Environmental protection). To have a viable “product”, the target segment must first perceive a genuine problem or a need, and that the product or service being marketed is a good solution for that problem. http://business-fundas.com/2011/marketing-mix-the-4-ps-of-social-marketing/

Marketing Mix- Price Refers to what the consumer must do or pay (in terms of financial, physical effort time or any other resource) in order to obtain the social marketing product or service. Just like product marketing, if the costs outweigh the benefits for an individual, the perceived value of the offering will be low and it will be unlikely to be adopted, but if the benefits are perceived as greater than their costs, chances of trial and adoption of the product is much greater. In setting the price, particularly for a physical product, such as contraceptives, there are many issues to consider. If the product is priced too low, or provided free of charge, the consumer may perceive it as being low in quality. On the other hand, if the price is too high, some will not be able to afford it. Social marketers must balance these considerations, and often end up charging at least a nominal fee to increase perceptions of quality and to confer a sense of "dignity" to the transaction. These perceptions of costs and benefits can be determined through research, and used in positioning the product.

Marketing Mix- Place Describes the way that the product reaches the consumer. For a tangible product, this refers to the distribution system--including the warehouse, trucks, sales force, retail outlets where it is sold, or places where it is given out for free. For an intangible product, place is less clear-cut, but refers to decisions about the channels through which consumers are reached with information or training. For smoking kid, it can be a health centre or helpline office Describes the methodology through which the product or service reaches the target segment. Think about where and when the audience will perform the behavior or access the new or adapted product/service. How can you make it convenient and pleasant so as to increase chances of adoption? Also think about training your sales team – the people that will take your program to the audience. By training the team on the details of the activities and habits of the target segment, as well as their experience and dissatisfaction with the existing delivery system, better adoption may be achieved.

Marketing Mix- Promotion Use of extensive market research is necessary to determine the communication channels that will best reach your audience for easy adoption of the products or services. It becomes crucial to understand which advertising or public relations media would play a greater role (e.g., radio, newspaper, postcard racks) since that will vary depending on the product/service and also on the target segment.

Marketing Mix- Public Marketers would have different audiences that their program has to address in order to accelerate adoption of the products and ideas. “Public” could be both the external and internal groups.

Marketing Mix- Partnership Lifestyle and Social issues are often so ingrained into the consumer that change becomes a real challenge. Teaming up with organizations in the community helps to be effective. Co-creation of market even with a competitor is sometimes necessary.

Marketing Mix- Policy Social marketing campaigns could do well in stimulating individual behavior change, but for sustainability, environmental change is necessary. Thus policy changes from the government is often important and so is pitching your product and/or service to the policy makers crucial for the sustainability of your campaign.

Marketing Mix- Purse Most social marketing campaigns operate through funds provided by sources such as NGOs, foundations, governmental grants, private donations and CSR funds. This adds another dimension to the strategy development and sustainability of campaigns, namely, planning the funding process well in advance in different stages of the program.

Summary and Discussions