MKTG 312 – Marketing and Consumer Ethics

Societal Marketing Concept
Marketers should endeavor to satisfy the needs and wants of their target markets in ways that preserve and enhance the well-being of consumers and society as a whole, while fulfilling objectives of the organization
Firms Areas of Concern
– Exploitive targeting
– Manipulating Consumers
– Socially undesirable representations
– False or misleading Advertisement
– Deceptive advertising
Consumers Areas of Concern
– Wardrobing
– Showrooming
– Online Privacy
Exploitive Marketing
– Marketing to children
– overaggressive promotion
– Selling pharmaceuticals directly to consumers
– The perils of precision marketing
Marketing to Children
– no misleading claims about product’s performance or benefits
– Must not exploit children imagination
– Can not create unrealistic expectations
– must be shown in safe situation
– No encouragement of inappropriate behavior
Overaggressive Promotion
Recent recession due in part to Americans’ rising credit and easy credit to risky groups
Selling Pharmaceuticals Directly to Consumers
– began in 1997
– information about medication through TV, print, and internet rather than from physician
The perils of Precision Targeting
– Narrowcasting: directed messages to small audiences and data providers support the marketers with information
– Google Analytics
– GPS: phone and cars give marketers your locations
Manipulating Consumer
– forced exposure to advertising: product placement
– Tinkering with consumers perceptions
– Covert marketing: poseres and buzz marketing
– Socially unacceptable representations
– False or misleading advertising
Elongation bais
– larger among children than among adults
– experience reduces this but does not eliminate
– applies to medication and OTC drugs: underpaying can be as dangerous as overdosing
– Dehydration etc is major concern for athelets
Numerosity
people will focus on numbers instead of units
– 3 movies per week vs. 156 movies per year (chooses 156)
– 7-21 days delay vs. 1-3 weeks delay (people prefer large units i.e. 1-3 weeks)
Unitosity
In some conditions, individuals rely on the size of the units instead of the size of the numbers, leading to a reversal of judgements
– concrete mindsets makes people focus on numbers but abstract mindsets makes them focus on units
– when relative salience shifts from numbers to units, numerosity shits to this
Posers
Actors or salespeople who pretend to be ordinary people or researchers conducting a survey to explain product benefits and give potential consumers the chance to examine, sample, or use a product
Buzz Marketing
recruitment of people to talk about products through free samples or discounts before the product is available to the general public
Advertorials
Advertisements that appear to be information from an independent source; infomercials appear to be consumer TV shows; and print advertisements that appear to be editorial content
Disguise Monitoring of query search engines
Use of invisible metatags by a marketer or the sale of priority by a search engine of the results from a particular query
Urgent ad information
Advertisements that appear in the form of important account information from firms with an existing business relationship, government notices, sweepstake prize notices, or checks that are simply discount coupons
Advertainment
Product advertising placement in TV shows, at sporting events, or in videogames
Socially undesirable Representations
– Children’s Toys: Barbie and G.I. Joe
– Thin models in the media: Dove’s real beauty campaign
False or Misleading Advertising
– Puffery
– Truth-in-Advertising laws
– Deceptive advertising
– Corrective advertising
Weapons of Influnece
1. Reciprocation
2. Scarcity
3. Authority
4. Consistency and Commitment
5. Social Proof
6. Liking