Societal Marketing Concept

Societal Marketing Concept Definition

➦ The Societal Marketing Concept believes that the company should make marketing decisions by considering consumers’ wants, the company’s requirements, and society’s long-term interest.

➦ It emphasizes social consciousness as part of an overall marketing plan.

➦ Most of the marketing concepts overlooked the long-run welfare for aiming to fulfill the short-run wants of customers.

➦ This scenario gave rise to a question that revolved around the possible conflict between long-run welfare and the short-run wants of consumers.

➦ This condition resulted in the evolution of a new marketing concept called the societal marketing concept.

➦ This concept assumes that the organization should consider the well-being of society while developing any marketing strategy that aims to satisfy customer’s wants.

➦ The rise in the concept of modern marketing has resulted in many problems (deterioration of the environment, scarcity of resources, inflation, population explosion, etc.) in the world affecting social welfare in the long run.

➦ Therefore the concept of societal marketing concept believes in fulfilling the social interests along with fulfilling the wants and interests of the consumers.

➦ According to the societal marketing concept, the organization’s job is to identify target markets’ needs, wants, and interests, and deliver the desired satisfactions more efficiently and effectively than competitors, in a way that preserves or enhances the consumer’s and society’s well-being.

➦ Consumers are motivated to make a change when ethical and social considerations are incorporated into the marketing concept.

➦ It is possible to characterize the marketing practiced in the cases as cause-related marketing.

➦ Essentially, these programs have the goal of delivering mutual benefit and well-being for both consumers and the program’s partners (in publicly financed programs, society).

➦ Consumers are looking for signs of good corporate citizenship when it comes to cause-related marketing. Such programs combine both social marketing and product sales.

➦ Companies’ reputation as good corporate citizens is also at stake in social and cause-related marketing. The project is planned in accordance with this.

➦ Case studies provided examples of companies that have implemented or participated in behavioral change programs related to energy.

➦ Over half of the programs were implemented by national or regional organizations that promoted energy efficiency and renewable energy.

➦ Some consumers might consider such organizations to be more impartial.

➦ The societal marketing concept builds on the concept of marketing by adding the philosophy of social welfare.

➦ Businesses focus on meeting the needs of their customers while contributing to social welfare without polluting or damaging the environment or natural resources.

➦ It is believed that a company or business, as part of society, has corporate social obligations, such as eliminating illiteracy, poverty, controlling alarming population growth, ensuring better health and treatment facilities, and helping victims of natural calamities like floods, cyclones, excess cold, draught, etc.

➦ Social marketing emphasizes the welfare of humans over profit.

➦ Creating a Societal Marketing Concept creates a marketing strategy that provides value to consumers and promotes the well-being of consumers and society.

➦ Corporate social responsibility (CSR) is a more sophisticated marketing strategy that emphasizes the long-term.

➦ By promoting a favorable corporate image, social marketing may increase sales by building a positive consumer impression concept stresses social responsibility and is strongly associated with long-term development.

➦ In the societal marketing concept, marketers provide products/services in such a way that they meet the needs of the company, the needs of their target customers, and the needs of society at large.

➦ In other words, companies must strike a balance between customer satisfaction, revenues, and long-term societal benefits.

The slogan of Societal Marketing Concept:

“We are not free from social responsibility”

History of Societal Marketing Concept

➦ It was during the 1960s and 1970s that many unethical practices in corporations became public.

➦ Social Marketing emerged as a marketing paradigm that challenged consumerism on moral, ethical, and social grounds.

➦ The concept of “social marketing” and “societal marketing” was popularized by Philip Kotler.

➦ It emerged from previous CSR principles and sustainable development, and many companies used it to boost their public image via customer service and social welfare operations.

➦ In the early 1980s, marketers reviewed the marketing concept’s suitability as a core management philosophy.

➦ A number of environmental and social factors have been cited as explanations, including pollution, energy shortages, population explosion, neglected social services, hunger, and poverty around the world.

➦ Martin L Bell and C William Emory assert that the operational interpretation of customer orientation has not achieved the philosophical meaning of satisfying long-term customer needs and society’s larger demands as the ultimate marketing purpose.

➦ Rather than focusing on economic gain, marketers should focus on social benefit. Human goals should also be considered, not just human needs and desires.

➦ Marketers should emphasize conservation over consumption.

➦ Clients and themselves should also be viewed as vital components of society, not merely economic considerations.

➦ Nowadays marketers encounter issues as a result of such demands; they have trouble determining how much emphasis is placed on social responsibility and how much emphasis is placed on customer satisfaction.

Principles of Societal Marketing Concept

➦ The organizations or marketers need to follow the principles listed below if they want to adopt the concept of societal marketing:

➨ Firstly, identify the social group that he/she is willing to target and deal with;

➨ Secondly, identify and understand the basic needs, wants and problems of the target social group;

➨ Thirdly, the means of fulfilling the social needs, wants, and problems should be through integrating or coordinating the socially acceptable marketing tools;

➨ Fourthly, the ultimate goal of the organization or the marketers should be to sustain and succeed a business by providing social welfare and well-being and accepting social responsibility.

Advantages of Societal Marketing Concept

➨ Builds a better brand image for the organization.

➨ It gives a competitive advantage over the competitors.

➨ Customer retention is high along with customer loyalty.

➨ The high volume of sales along with high market coverage.

➨ Long term growth and facilitate expansion

➨ Improves Living standards of people.

➨ Better economic planning that is fruitful for the society.

Disadvantages / Premises of Societal Marketing Concept 

➨ The wants of Consumers do not always coincide with their long-run interests or society’s long-run interests.

➨ Those organizations will be increasingly favored by the consumers who show concern regarding meeting their wants, long-run interests, and society’s long-run interests.

➨ Societal marketing initiatives may not always yield immediate returns on investment. It may take time for businesses to see the benefits of their efforts in terms of increased brand loyalty or improved public perception.

➨ The focus on societal welfare may sometimes conflict with a company’s primary goal of making a profit.

➨ Businesses may find it hard to balance these two objectives, potentially leading to financial losses or reduced competitiveness in the market.

Societal Marketing Concept Example

Some of the companies that use societal marketing concept are as follows:

a. Adidas social marketing concept

➦ In the competitive sports industry, adidas has used the social marketing concept to its advantage.

➦ Adidas produced more than 5 million pairs of shoes containing recycled plastic waste in 2018.

➦ Adidas partnered with a company intercepting plastic waste on beaches to accomplish this.

➦ Adidas used societal concepts of marketing to produce profitable goods and to protect the ocean’s wildlife as well as clean up beaches.

b. Coca-cola societal marketing concept

➦ Coca-Cola is another example of a company that has adopted societal marketing.

➦ To remain socially responsible, Coca-cola donated over $126 million in 2014 to initiatives including active and healthy living, water stewardship programs, education, women’s empowerment, and humanitarian and disaster relief programs.

➦ It has proven profitable for Coca-cola to implement a societal marketing concept. Coca-Cola hopes to acquire a more positive image of its brand through social initiatives.

b. Body shop societal marketing concept

➦ Let’s examine an example of a company using the societal marketing concept to its benefit: Body Shop.

➦ Body Shop is aware of the societal and environmental problems we face as planet inhabitants.

➦ As a result, the Body Shop Foundation has funded at least three different programs:

➨ The animal protection program

➨ Human rights protections

➨ Environmental protection around the world

➦ Body Shop’s commitment to animal rights, human rights, and the environment makes it a champion of social and environmental improvements.

c. Avon societal marketing concept

➦ As part of Avon’s breast cancer campaign, they started selling pink ribbons and donated half of the proceeds to the National Alliance of Breast Cancer Foundation (NABCO).

➦ The initiative is an excellent example of how societal marketing can help raise billions of dollars to help a good cause.

➦ In the world today, there are many companies that dedicate themselves to a social cause that benefits mankind, society, and the environment.

Instruments of Societal Marketing Concept

Societal Marketing Concept Triangle

➦ The above triangle reflects that the organizations must balance their profit, wants, and needs of the consumers and society in developing the marketing strategies and concepts.

References

Related Posts

• Evolution of Marketing Philosophies

• Author
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Smirti

(Founder of Management Notes)
MBA,BBA.

I am Smirti Bam, an enthusiastic edu blogger with a passion for sharing insights into the dynamic world of business and management through this website.

I hold a MBA degree from Presidential Business School, Kathmandu, and a BBA degree with a specialization in Finance from Apex College,

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