Socio-ethical marketing is one of the concepts of marketing, which is that in addition to the traditional pursuit of profit and focus on customer satisfaction, the company’s policy is based on the interests of social welfare and the positive impact of products on the environment.
This approach helps to create a favorable brand image, strengthens the company’s positive reputation and draws attention to the product.
What is socio-ethical marketing
The concept of pure marketing includes two components: making a profit and meeting market needs. The concept of socio-ethical marketing is based on three factors: the interests of consumers, the interests of the company and concern for the interests of society.
This means that producers, in addition to meeting the needs of customers and making money, should focus their activities on caring for society, to think about its well-being in the long run.
It is assumed that brands that use the concept of socio-ethical marketing should help solve social problems, try to alleviate the harmful effects of their activities, contribute to society, promote universal values and take measures to improve the environment.
Companies that practice this approach, focused on consumer expectations, strictly monitor compliance with all requirements of domestic law and international standards.
The requirements of this concept include: maintaining and improving the quality of communication with consumers, promoting a favorable image of the company by marking their real achievements. In addition, production processes should not in any way harm nature or oppress the interests of others.
According to research, a significant number of buyers are more willing to buy goods from companies that adhere to socio-ethical principles. Socially oriented brands receive such benefits as:
- increase in sales;
- strengthening the company’s position in the market;
- formation of a positive image
In addition, the staff in such companies is usually highly motivated. In addition, firms that apply this concept of marketing, it is easier to win the location of business partners, investors and government agencies.
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Objectives of socio-ethical marketing
The main goal of the marketing concept we are considering is to meet the needs of consumers in a way that takes into account the public interest.
Also, companies that adhere to the socio-ethical principles of doing business, must constantly look for new products and services that can best meet the needs of customers and ensure the interests of society.
Organizations need to take care of the wishes of customers, be in constant communication with consumers who support the company, work with doubts and objections of customers who are related to the company’s products or services.
To form a positive reputation among potential customers, social and ethical companies conduct the following activities:
- collect donations for various cultural and socially significant projects;
- organize various thematic events as part of PR campaigns;
- ensure the environmental friendliness of most production processes;
- refuse to sell products produced using environmentally harmful technologies;
- involve their employees in the process of waste sorting, etc.
Features of the application of socio-ethical marketing
Let’s analyze the process of applying socio-ethical marketing in stages:
- Stage 1. You should choose a topic. This can be one of the most acute social problems: nature protection, child safety, issues related to personnel policy, etc. Once you have decided on the topic, you need to set an urgent task.
- Stage 2. At this stage, new products are being developed and social projects are being prepared that meet the needs of society.
- Stage 3. Companies need to identify further features of their business strategy. At this stage, the needs of consumers are adjusted, relations with partners are established, investors are searched for, etc.
- Stage. 4. At the final stage, the results are monitored and the necessary adjustments are made to the work.
Examples of socio-ethical marketing
The concept of socio-ethical marketing was formulated by American economist and marketer Philip Kotler. Strategies for this type of marketing Western companies began to implement in the 1970s.
Large foreign brands with large consumer audiences, such as Coca-Cola, Procter & Gamble, McDonalds and L’OREAL, have long used socio-ethical marketing: spend a lot of money to ensure the production of environmentally friendly production processes, participate in many charities and more. .
Ethical marketing has become widespread in the Russian market relatively recently, but more and more Russian brands are seeking not only instant profits but also greater public support. This approach raises the status of the company in the eyes of consumers and opens wide prospects for successful project development.
For example, the Magnit retail chain calls environmental care one of the goals of its work. The transition to electronic document management allowed the company to reduce paper consumption by one and a half times in just one year, saving 533 tons of paper and saving more than 10,500 trees. And thanks to the organization of plastic waste collection “Magnit” took part in the project, which included the construction of playgrounds from recycled plastic.
Another Russian chain of stores, Fix Price, has its own social responsibility program called Dobrye Dela. As part of it, the company held more than a hundred events in sixty regions of Russia, aimed at calling for a responsible attitude to the world. Employees of the company promote shelters for stray animals, visit rehabilitation centers for children, helping to clean up the area and providing their wards with the necessary things.
For example, you can one of the major domestic manufacturers of cosmetics “Pure Line”. This brand is distinguished by a caring attitude to the environment. The company makes sure that all waste generated in the process of cosmetic production is not taken to landfills, but subject to disposal. Jars in which products are packaged are almost 100% made of recycled plastic, and decomposable material is used to create packaging – cardboard.
Eldorado’s consumer electronics retailer also adheres to the concept of social and ethical marketing. This company was one of the first in Russia to understand the need for recycling, failed or obsolete equipment.
It is not in vain that large companies invest considerable resources in solving social problems of society. Thus, they instill in the minds of consumers a favorable opinion of themselves, which leads to increased sales and increased profits.
For small companies, the use of socio-ethical marketing can start small: sorting waste, accepting batteries for disposal, replacing plastic bags with environmentally friendly packaging. Such behavior will receive public support, raise the status of the company in the target market and open new prospects for further development.