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Societal Marketing Concept

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Page 1: Societal Marketing Concept
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Meaning• The societal concept proposes that the

companies task is to determine the needs, wants and intention of the target market and to deliver the expected satisfaction more effectively and efficiently than the competitors in a way to preserve or enhance the consumers and society’s well being.

• It combines the best elements of marketing to bring social change in an integrated planning and action framework with the utilization of communication technology and marketing techniques.

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More to Societal Marketing

• Societal marketing evolved as an extension of the production, selling, and consumer orientation, considering not only consumer satisfaction but also expanding it towards “society’s well being”.

• It is the obligation of marketing organizations to do no harm to the social environment and, wherever possible, to use their skills and resources to enhance that environment.

• Social responsibility of marketing also is called societal marketing.

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Three Considerations of Societal Mktg Concept:- SOCIETY (Consumers Well Being)

CUSTOMER (Profits)EMPLOYEES (Want Satisfaction)

Societal

Marketing

Concept

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Selling Concept• Emphasis is on the product• Company manufactures the product first. • Management is sales volume oriented. • Planning is short run oriented in terms of today’s

products and markets. • Stresses needs of seller. • Views business as a good producing process. • Emphasis on staying with existing technology and

reducing costs. • Cost determines price. • Selling views customers as a last link in business.

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• Emphasis on customer needs and wants. • Company first determines customers needs and

wants and then decides how to deliver a product to satisfy these wants.

• Management is profit oriented. • Planning is long run oriented in terms of new

products, tomorrows markets & future growth. • Stresses needs and wants of buyers. • Consumer determines Price & Price determines

Cost. • Marketing views the customer as the very purpose

of the business.

Marketing Concept

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Different Types of Market

• Market can be analyzed via the product itself or end consumer or both.

• The most common distinction is between consumer and industrial markets, which can be further diagrammatically explained as follows: -

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Consumer Market(B2C)

FMCG(Ready Meals, Baked Beans,

Newspapers, etc…)

Consumer Durable(Refrigerators,

Cookers, DVD Players,PC’s, etc…)

Services(Dentists, Retailing,

Hairdressing, Etc…)

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Industrial Markets(B2B)

Raw Materials(Steel, Coal, Gas, Timber)

Services 2

Business(Waste Disposal,

Security, Accounting,Legal Services)

Finished Goods(Office Furniture,

Computer Systems)

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Examples of Societal Marketing

1) The Body Shop: The Body Shop International plc is the original, natural and ethical beauty brand. The company uses only plant based materials for its products. It is against animal testing, supports community trade, activate Self Esteem, Defend Human Rights, and overall protection

of the planet. They have also their own charity, The Body Shop Foundation, to assist those working to achieve progress in the areas of human and civil rights, environmental and animal protection. Thus Body

shop is really following the concept of Societal Marketing.

2) AVON: Product inc. has started an initiative known as Avon breast cancer awareness crusade in 1993 in partnership with National Alliance of breast cancer Foundation (NABCO).They started selling pink ribbon pins which depicts the international symbol for breast cancer for$ 2 and donates $1 to NABCO. Through the crusade Avon sale representatives have raised billion of dollars for breast cancer education and access to early detection services for underserved woman. In addition, Avon’s 45000000 US sales people have been trained to discuss breast cancer and importance of early detection with their customers and distributed 80 million flyers on breast cancer detection.

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Societal Marketing and CSRAs different from Societal Marketing, CSR has existed for many years. Another difference is that CSR “focuses more in a corporate level and stakeholders”, while Societal Marketing, is more concerned about the consumer and their long term benefits. CSR social and environmental concerns are integrated into all business operations. Comparing CSR to Social Marketing, the first one is mainly run by companies, while Social Marketing mainly by Government or Non profits organizations.

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Societal Marketing and Social Marketing

• Societal marketing should not be confused with social marketing. The societal marketing concept was a forerunner of sustainable marketing in integrating issues of social responsibility into commercial marketing strategies. In contrast to that, social marketing uses commercial marketing theories, tools and techniques to social issues. Social marketing applies a “customer oriented” approach and uses the concepts and tools used by commercial marketers in pursuit of social goals like Anti-Smoking-Campaigns or fund raising for NGOs.

• As we mentioned above Societal Marketing can be defined as a “Marketing with a social dimension or marketing that includes non-economic criteria”. Societal Marketing “concerns for society’s long term interests”. It is about “the direct benefits for the organization and secondary benefit for the community”. It makes a difference between the immediate consumer’s satisfaction and the long term consumer benefits.

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