The Societal Marketing Concept

The societal marketing coneept holds that the organization should determine the needs, wants and interests of target markets. It should then deliver the desired satisfactions more effectively and efficiently than competitors in a way that maintains or improves the consumer's and the society's well-being. The societal marketing concept is the newest of the five marketing management philosophies.

The societal marketing concept questions whether the pure marketing concept is adequate in an age of environmental problems, resource shortages, worldwide economic problems and neglected social services. It asks if the firm that senses, serves and satisfies individual wants is always doing what's best for consumers and society in the long run. According to the societal marketing concept, the pure marketing concept overlooks possible conflicts between short-run consumer wants and long-run consumer welfare.

Consider the Coca-Cola Company. Most people see it as a highly responsible corporation producing fine soft drinks that satisfy consumer tastes. Yet certain consumer and environmental groups have voiced concerns that Coke has little nutritional value, can harm people's teeth, contains caffeine and adds to the litter problem with disposable bottles and cans.

Societal Marketing Management

Such concerns and conflicts led to the societal marketing concept. The societal marketing concept calls upon marketers to balance three considerations in setting their marketing policies: company profits, consumer wants and society's interests. Originally, most companies based their marketing decisions largely on short-run company profit. Eventually, they began to recognize the long-run importance of satisfying consumer wants, and the marketing concept emerged. Now many companies are beginning to think of society's interests when making their marketing decisions.

One such company is the international corporation Johnson & Johnson, which stresses community and environmental responsibility. J & J's concern for societal interests is summarized in a company document called 'Our Credo', which stresses honesty, integrity and putting people before profits. Under this credo. Johnson & Johnson would rather take a big loss than ship a bad batch of one of its products. And the company supports many community and employee programmes that benefit its consumers and workers, and the environment. J & J's chief executive puts it this way: 'If we keep trying to do what's right, at the end of the day we believe the marketplace will reward us.'

Consider the tragic tampering ease in whieh eight people died from swallowing cyanide-laced capsules of Tylenol, a Johnson & Johnson brand. Although J & J believed that the pills had been altered in only a few stores, not in the factory, it quickly recalled all of its product. The recall cost the company $240 million in earnings. In the long run, however, the company's swift recall of Tylenol strengthened consumer confidence and loyalty, and Tylenol remains the leading brand of pain reliever in the US market. In this and other cases, J & J management has found that doing what's right benefits both consumers and the company. Says the chief executive: The Credo should not be viewed as some kind of social welfare program - it's just plain good business.' Thus over the years, Johnson & Johnson's dedication to consumers and community service has made it one of America's most admired companies, and one of the most profitable.

Increasingly, firms also have to meet the expectations of society as a whole. For example, society expects businesses genuinely to uphold basic ethical and environmental standards. Not only should they have ethics and environmental policies, they must also back these with actions. Consider, for instance, the bad publicity The Body Shop received during the early 1990s when the company came under attack in 1992 over its environmental standards. Some critics who researched the company's ethical and environmental practices charged that the high standards which it claims to uphold might be less genuine than it would like the world to think. The critics also expressed a broader concern - that the company persistently appears to exaggerate its involvement in worthy causes. Such charges cannot be ignored by the company's management, particularly its founder, Anita Roddick, and chairman, Gordon Roddick, who have long been involved in promoting ethical and environmental causes within the business world. Any tarnishing of The Body Shop's image removes the organization's point of differentiation and, therefore, increases its vulnerability to competition. As a riposte to the allegations that The Body Shop was not living up to its own standards on issues such as animal testing, the company took the lead in the UK to undertake an ethical auditing exercise. At the beginning of 1996 it published its first Values Report, a massive affair spanning five volumes and over 300 pages of data and feedback from stakeholders - suppliers, customers, employees, shareholders and others representing the public at large - in three mam areas: environment, social policy and animal protection.

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Readers' Questions

  • piia
    Which question deals with a societal effect of advertising?
    1 month ago
  • "What are the potential negative societal impacts of advertising?"
    • Mary
      What is the role of company commitment in the marketing concept?
      5 months ago
    • The role of company commitment in the marketing concept is crucial as it is the foundation on which successful marketing strategies are built. Company commitment refers to the dedication of a company to satisfy customer needs and wants through delivering superior value and building long-term customer relationships. Here are some ways in which company commitment plays a role in the marketing concept:
      1. Customer-centric approach: Company commitment ensures that the focus of all marketing efforts is on the customer. It involves understanding customer needs, preferences, and expectations and tailoring products or services accordingly. This customer-centric approach helps in creating and delivering value that meets or exceeds customer expectations.
      2. Product development: A committed company invests resources in researching, developing, and improving its products or services to provide better solutions to customers. Company commitment to quality and innovation ensures that the offerings are competitive and align with changing customer preferences.
      3. Customer satisfaction: Company commitment aims to achieve high levels of customer satisfaction. By continuously monitoring and evaluating customer feedback, committed companies can identify areas for improvement and take necessary actions to enhance customer satisfaction. Satisfied customers are more likely to become repeat customers and even advocate for the company to others.
      4. Relationship building: Committed companies understand the importance of building strong and long-lasting relationships with customers. They invest in establishing trust, loyalty, and mutual understanding. Such relationships enhance customer retention, increase customer lifetime value, and generate positive word-of-mouth, all of which contribute to the company's long-term success.
      5. Responsiveness to market changes: Company commitment ensures that the organization stays agile and responsive to market changes. By monitoring market trends, competitors, and customer feedback, committed companies can adapt their marketing strategies and offerings to stay relevant and meet evolving customer needs.
      6. Overall, company commitment is essential in the marketing concept as it aligns the organization's efforts with the customer's perspective and ensures continuous improvement to deliver superior value and build mutually beneficial relationships.
      • rian
        How does the societal marketing concept differ from the marketing concept?
        7 months ago
      • The societal marketing concept differs from the marketing concept in that it takes into consideration not only the company's profitability and customer satisfaction but also the long-term well-being of society as a whole. The marketing concept focuses on meeting the needs and wants of target customers while generating profits for the company. It emphasizes customer satisfaction as the primary goal and relies on market research and customer feedback to develop and deliver products and services that meet customer needs and preferences. The marketing concept assumes that a happy and satisfied customer will lead to increased sales and profitability. On the other hand, the societal marketing concept goes a step further by considering the impact of marketing activities on society and the environment. It advocates for companies to not only deliver products and services that customers want but also to align their marketing strategies with the broader societal needs and interests. This involves balancing economic goals with social and environmental responsibilities. The societal marketing concept underscores the importance of corporate social responsibility, ethical business practices, sustainability, and addressing societal issues. It encourages companies to take actions that benefit society, such as reducing their carbon footprint, supporting social causes, promoting fair trade, and ensuring their products are safe and ethical. In summary, while the marketing concept focuses primarily on customer satisfaction and profitability, the societal marketing concept expands this focus to include broader societal concerns and responsibilities.
        • Sara Hahn
          What is societal marketing orientation?
          7 months ago
        • Societal marketing orientation is a marketing approach that goes beyond meeting customers' immediate needs and aims to also consider the well-being of the larger society. This concept takes into account the long-term impact of a firm's marketing activities on society, by considering both the immediate customer satisfaction and the long-term social welfare. Societal marketing orientation emphasizes the importance of addressing societal issues, such as environmental sustainability, social justice, and public health, in the company's marketing strategies. It requires businesses to not only focus on profit-making but also consider how their actions can positively contribute to societal betterment. This marketing orientation recognizes that marketing activities have the power to influence consumers' behavior, and therefore, businesses should use this influence responsibly for the benefit of society. It involves the integration of social and environmental concerns into the company's strategic decisions, product development, promotion, and distribution practices. In summary, societal marketing orientation is a marketing concept that promotes the idea of businesses serving the needs and well-being of customers while also considering and addressing the broader social and environmental impacts of their actions.
          • niklas
            What is social marketing concept?
            1 year ago
          • Social marketing is a concept that promotes the application of commercial marketing techniques to social change. It focuses on the development of social initiatives that are designed to have a positive effect on people’s health, safety, and well-being. Social marketers utilize research, creative messaging, and media to reach their intended audience in order to encourage positive behaviors and discourage negative ones.
            • gabriel
              Which of the following concepts calls for sustainable marketing?
              1 year ago
            • Sustainable marketing is a concept that focuses on encouraging the continuous and consistent welfare of people, companies, and the environment, and seeks to optimize long-term value creation through responsible, environmental, and social practices. It involves developing and marketing products or services that are not only profitable but also enhance the welfare of individuals and society. Sustainable marketing also includes the use of renewable or recyclable materials, as well as reducing resources and energy consumption.
              • Dehab
                How Coca Cola Uses Societal marketing concept?
                1 year ago
              • Coca-Cola uses the societal marketing concept in many of its campaigns and initiatives to demonstrate the company’s commitment to improving the well-being of society. For example, its “Live Positively” campaign promotes healthier lifestyle choices and encourages conservation of natural resources. Likewise, the company has created sustainability initiatives to reduce its environmental impact and launched initiatives to help provide clean drinking water in underserved communities.
                • Daniel
                  Is the pure marketing concept appropriate in an age pf environmental concern?
                  1 year ago
                • The answer to this question is no. The pure marketing concept is primarily focused on providing products and services that meet the customer's needs and desires, while not taking into account any environmental considerations. Therefore, it is not appropriate in an age of environmental concern, as environmental considerations should be taken into account when marketing products and services.
                  • raija
                    What are the consideration of social marketing concepts?
                    1 year ago
                    1. Focus on Audience: Social marketing requires understanding the target audience and their needs.
                    2. Goals & Objectives: Clearly defined goals and objectives are essential for a successful social marketing campaign.
                    3. Evaluation: Through the use of research and analytics, the success of a social marketing campaign should be monitored and evaluated on an ongoing basis.
                    4. Message Development & Distribution: A well-crafted, tailored message is essential for reaching the desired audience and should be disseminated through widely accepted channels.
                    5. Engagement: Social marketing campaigns should focus on engagement, offering users a way to interact with the brand and become an active participant in the process.
                    6. Compliance: It is important to ensure all social marketing campaigns adhere to the applicable laws, regulations, and guidelines that pertain to the industry.
                    • Jorja Ritchie
                      What are the consideration underline the society of marketing concept?
                      1 year ago
                      1. Customer orientation: Focus on customer needs and satisfaction.
                      2. Integration of all business functions: Focus on meeting customer needs in the most efficient and effective manner.
                      3. Profit and growth: Find ways to maximize profit through increased customer satisfaction and loyalty.
                      4. Quality: Deliver quality products and services that meet or exceed customer expectations.
                      5. Innovation and responsiveness: Be creative and willing to adapt to changing needs and wants.
                      6. Social responsibility: Consider the social and environmental impact of marketing decisions and strive towards sustainability.
                      7. Collaboration: Foster relationships with stakeholders, such as customers, suppliers, and partners, to meet mutual goals.
                      • elsa
                        How does bidco company satisfy customer and sociaty welbeing under sociatal concept?
                        1 year ago
                      • Bidco Company strives to satisfy customer and social wellbeing by implementing various policies, programs and initiatives that are rooted in the social concept. These include:
                        1. Establishing sustainable production and operations practices, such as using renewable energy sources and reducing its carbon footprint.
                        2. Incorporating ethical values into its supply chain and business operations, such as ensuring fair wages, safe working conditions and environmentally friendly production processes.
                        3. Promoting transparency and integrity in all areas of its business operations by implementing anti-corruption and bribery policies.
                        4. Developing initiatives that support the community, such as investing in educational programs, providing job training and access to basic needs like food, shelter, and healthcare.
                        5. Developing corporate social responsibility initiatives that are focused on environmental, social and economic matters.
                        6. Supporting local businesses and industries that promote job creation, as well as social and economic development.
                        7. These initiatives demonstrate Bidco Company’s commitment to customer and social wellbeing through the application of the social concept.
                        • urho penttil
                          What are advantages of societal marketing concept?
                          1 year ago
                          1. It helps to promote an ethical and responsible marketing system.
                          2. It encourages companies to focus on the needs of their target audiences and the well-being of society in general.
                          3. It helps to increase customer loyalty and long-term customer relationships.
                          4. It creates a positive image of the company, which can help them attract potential customers.
                          5. It encourages companies to take a proactive role in addressing social and environmental issues instead of simply reacting to them.
                          6. It focuses on the long-term benefits of social responsibility, which can benefit the company in the long-term.
                          7. It provides an opportunity to create a strong brand identity and differentiate the company from its competitors.
                          8. It helps to build trust and goodwill in the marketplace, leading to increased sales and customer satisfaction.
                          • Ute
                            How does the short wants and consumer long run welfare are important to the societal concept?
                            1 year ago
                          • The short-run wants and consumer long-run welfare are important to the societal concept because they help to ensure that individuals and communities are able to make decisions that will benefit them in the long run. These decisions are focused on creating a better tomorrow for all individuals in the society. Consumers must be conscious of the impact of their decisions, such as those regarding environmental protection, to create a sustainable future for society. In addition, individual welfare must be seen in the context of the welfare of the entire society, as the actions of one individual can have an impact on many others. By understanding how individual decisions affect the bigger picture, individuals can make better decisions in the long run that will benefit both themselves and their societies.
                            • jo
                              Is societal marketing a promotional programme?
                              1 year ago
                            • No, societal marketing is not a promotional program. Rather, it is a marketing strategy that focuses on the societal benefits of a product or service, rather than solely on its profitability.
                              • susanne
                                What is a sales promotion concept?
                                1 year ago
                              • A sales promotion concept is a plan or idea that is designed to increase customer interest in a product or service, increase sales, and/or generate short-term revenue. It usually involves offering customers incentives such as discounts, free gifts, special offers, contests, or advertising campaigns.
                                • nebay
                                  How does the body shop practice the societal marketing concept?
                                  1 year ago
                                • The Body Shop has been a pioneer in the practice of the societal marketing concept, aiming to make a positive contribution to the planet and the people living on it. This has been demonstrated through a number of initiatives, such as charity partnerships, ethical sourcing of ingredients, and campaigns to raise awareness of certain causes. The Body Shop also strives to promote fair trade and charitable giving, with a portion of their profits going towards sustainable development and conservation efforts. Furthermore, they have taken a stance on animal testing, vowing never to undertake or commission animal testing of their products. Ultimately, The Body Shop’s commitment to the societal marketing concept has been instrumental in developing the company’s public image as an ethical, socially responsible business.
                                  • Futsum
                                    How the body shop is applying the societal marketing concept?
                                    1 year ago
                                  • The Body Shop is a company that promotes the ethical and moral principles of the marketing concept called the 'Societal Marketing Concept.' This concept states that companies should strive to create marketing strategies that are beneficial to society and the environment, while also ensuring that they are creating mutual value for their customers. The Body Shop has embraced this concept by creating products, campaigns and initiatives that promote sustainability, animal welfare, and community support. The company also has a “Go Green” program, which encourages customers to shop responsibly and reduce their environmental impact. Moreover, The Body Shop works with local communities, providing job opportunities and training for underprivileged people. It also works to raise awareness about issues such as human rights and fights against animal testing. Finally, the company has invested in renewable energy, water reduction and packaging initiatives to minimize its own environmental impact.
                                    • Abdul
                                      What is societal marketing concept for cocacola?
                                      1 year ago
                                    • Societal marketing concept is a business management strategy that seeks to promote both the company's economic interests and the benefits to society as a whole. The concept suggests that an organization's marketing practices should consider not only the wants and needs of the organization and its customers but also the interests of society and the environment. The purpose of the concept is to create long-term value for both the company and society. For Coca-Cola, this could involve initiatives to help reduce waste and energy usage, reduce the use of plastic packaging, and help develop sustainable communities. Coca-Cola could also create initiatives to promote healthier lifestyles and encourage physical activity. Additionally, the company could provide financial assistance to help communities in need or partner with organizations to boost local economies.