Description
This is a presentation about the concept of social marketing with the help of examples. It also includes key issues and drivers of CSR, socially responsible business models.It also includes cause related marketing,
Social Marketing
Last Year
Health • An estimated 1 million teens became pregnant. • 5-10 million adolescent girls and women struggled with eating disorders. • Each day, more than 4,000 youths aged 11 to 17 tried their first cigarette. Safety • More than 16,000 people were killed in alcoholrelated crashes. • More than 3,000 children and teens died from gunshot wounds. Environment • 4 million tons of paper were thrown away in garbage. • 4.5 trillion non-biodegradable cigarette butts were littered worldwide. • Community More than 5,000 people on waiting lists for organ transplants died. • Only 51% of eligible voters voted in the U.S. presidential election.
Social Marketing
Social Marketing is the Practice of Utilizing the Philosophy, Tools, and Practices of Commercial Marketing for Health and/or Social Programs. Social Marketing Sells a Behavior Change to a Targeted Group of Individuals • • • • Accept a New Behavior Reject a Potential Behavior Modify a Current Behavior Abandon an Old Behavior
Examples of Social Marketing
• Accept a New Behavior
• Take a Folic Acid Supplement (reduce incidence of birth defects)
• Reject a Potential Behavior
• Don’t Drink Alcohol While Pregnant (reduce incidence of birth defects)
• Modify a Current Behavior
• Drink > 8 Glasses of Water Daily (reduce incidence of birth defects)
• Abandon an Old Behavior
• If You Smoke, Quit (reduce incidence of birth defects)
Process of Social Marketing
• Define Problem - Based on Analysis, Community Assessment Already Completed • Identify Behavior Change/Actions That Could Reduce/Eliminate Problem • Identify Potential Audience for Marketing Intervention • Segment and Target Market • Conduct Formative Research to ID Perceived Benefits/Barriers
Process of Social Marketing
• Conduct Root Cause Analysis (Ask Why?) • Establish Goals/Objectives for Program • Design Appropriate Strategy of Manipulating 4 (5) P’s • Deliver Program and Monitor • Evaluate the Program
Corporate Social Responsibility (CSR)
CSR- Corporate Social Responsibility
Canadian Government “CSR is generally understood to be the way a company achieves a balance or integration of economic, environmental and social imperatives while at the same time addressing shareholder and stakeholder expectations.” Social Contract (Donaldson, 1982; Donaldson and Dunfee, 1999) – There is a tacit social contract between the firm and society; the contract bestows certain rights in exchange for certain responsibilities.
CSR- Corporate Social Responsibility
Stakeholder Theory (Freeman, 1984) – A stakeholder is “any group or individual who can affect or is affected by the achievement of an organization's purpose.” Argues that it is in the company’s strategic interest to respect the interests of all its stakeholders.
Ethical Responsibilities
Social Responsibilities
Legal Responsibilities Economic Responsibilities
Key Issues in CSR
• Labour rights: • child labour • forced labour • right to organize • safety and health • Environmental conditions • water & air emissions • climate change • Human rights • cooperation with paramilitary forces • complicity in extra-judicial killings • Poverty Alleviation • job creation • public revenues • skills and technology
Key drivers of CSR
Around the world • NGO Activism
• Responsible investment
• Litigation • Gov & IGO initiatives Developing Countries • Foreign customers
• Domestic consumers
• FDI • Government & IGO
Spectrum of CSR
Poor CSR •No employment
•No concern for indirect effect (land, water, air) •Destruction of agricultural land •Not willing to listen to other stakeholders •Appropriate of land not being compensated •Non compliance of rule of land
Good •Taking care of workers CSR
•High awareness about CSR initiatives
•Land compensation •Increased monitoring system
•Low dependence on non renewable resources
•Environment responsibility
Sphere of Influence
Who – is to be influenced?
Sphere of Influence
What – issues are to be influenced?
Sphere of Influence
How – are those issues to be influenced?
CSR Management: Plan, Do, Check, Act method
Plan
• Consult stakeholders
• Establish code of conduct • Set targets
Do
• Establish management systems and personnel
• Promote code compliance
Act
• Corrective action
• Reform of systems
Check
• Measure progress
• Audit • Report
Position
Minimalist Self interested
Responsible to
Stockholders/ owners Stockholders/ owners/ cost “controllers” Those with social and legal contract
therefore…
Maximizing profit Do good when furthers quest for growth and profit Goes beyond law to spirit of commitment
Social contract
Stakeholder Management
Stakeholder stewardship
Those who influence direction and fortunes Society as whole / future
Develop responsive strategies
Solutions for social problems
Criticism
Socially Responsible Business Models
Socially Responsible Business Models
The rapid technological advancements and the environmental factors are important factors to be considered by an organization. The formula to success is to innovate solutions and values in a socially responsible manner. Most companies believe that CSR in the form of cash donations, in-kind contributions, cause marketing and employee volunteerism programs is the “smart thing to do”.
Porter & Kramer Model
Strengths
CSR
Capabilities Positioning
• Strategic CSR results when companies: a. Transform value chain activities to benefit society while reinforcing strategy b. Engage in strategic philanthropy that leverages capabilities to improve salient areas of competitive context By providing jobs, investing capital, purchasing goods, and doing business every day the companies can contribute to a prosperous economy.
Christensen Approach
• To address social problems use catalytic innovations, i.e. offer good enough solutions to inadequately addressed problems.
These innovations share five qualities: 1. Create systematic social change through scaling and replication. 2. Meet a need that is improperly met or not met at all. 3. Offer simpler, less costly products and services that may have a lower level of performance but considered good enough . 4. Generate resources, such as donations or grants in ways that are initially unattractive to competitors. 5. Often ignored, or even encouraged by others who deem such an idea as unprofitable and unattractive.
Guidelines to identify companies creating catalytic innovations: • 1. Look for signs of disruption in the process : Lookout for pre-existing catalytic innovators in the market. • 2. Identify specific catalytic innovations : Apply the five criteria listed. • 3. Assess the business model : Check the sustainability and the effectiveness of the innovation for the company.
Social Cause Related Marketing
Social Cause Related Marketing
Definition
• Joint funding and promotional strategy in which a firm's sales are linked (and a percentage of the sales revenue is donated) to a charity or other public cause. However, unlike philanthropy, money spent in cause related marketing is considered an expense and is expected to show a return.
Cause Related Marketing Vs. Strategic Philanthropy
Strategic Philanthropy Cause-related Marketing
Focus
Organizational Improve org. competency, Tie org. competency to social need or charitable cause Ongoing
Product or product line
Goals
Increase product sales
Time Frame Organizational Members Involved Cost
Traditionally limited duration
Potentially all employees Moderate – align with mission & org. strategies
Marketing and related personell Minimal – alliance devlopment & promotion expenditures
Source: McAlister, Ferrell and Ferrell, Business and Society: A Strategic Approach to Social Responsibility, 2005, New York, p.339.
Product (RED)
• • • • • • Manifesto American Express, Giorgio Armani Motorola, Converse Apple, Hallmark Gap Dell/Microsoft
• Super Bowl • $50 • Configure
Benefits of Cause-Related Marketing
Strategic Philanthropy + Business Strategy
• • • • • • Increases visibility Improve image Motivates & retains Employees Improves bottom line Enhances community acceptance Distinguishes your product or service • Builds consumer trust • Enhances reputation • Makes a social impact
Cause-Related Marketing
Approaches
1.
Transactional – elicits participation with an offer to contribute; shortterm; promotional; generates funds;
Message Promotion – raises awareness or participation Licensing – name/cause attached to mission-related product for fee
2. 3.
4.
Strategic Alliance – Long-term, deeper level of engagement; aligns with brand; uses all assets
All I Really Need to Know About
Cause-Related Marketing
I Learned in Kindergarten
All You Really Need to Know…
• • • • • • •
•
Wash your hands before you eat Look! Clean up your own mess Don't take things that aren't yours Don't hit people Play fair When you go out in the world, watch out for traffic, hold hands and stick together • Share everything
Say you’re sorry when you hurt somebody
• Everything you need to know is in there… somewhere • Be aware of wonder
Sources: All I Need To Know I Learned in Kindergarten, Robert Faughum
All You Really Need to Know…
• Wash your hands before you eat • Prepare for success • Define your business objectives • Look! • Identifying the right issue or cause • Find the right sponsor • Align brand with cause
• Clean up your own mess
• Don’t use your cause program to solve major reputational issues
All You Really Need to Know…
• Don't take things that aren't yours • Craft a program that is unique and “ownable” • Don't hit people • Take them through the steps in order to get buy in; helps to grow programs over time • Play Fair • Be clear about individual and shared objectives • Make sure the partnership/collaboration is a winwin for both parties
All You Really Need to Know…
• When you go out in the world, watch out for traffic, hold hands and stick together • Be sure that all partners are delivering a consistent, balanced and clear message • Say you’re sorry when you hurt somebody • Build trust with your partner(s) • Share everything • Integrate your Campaign (advertising, programming, interactive, etc) • Use your assets
All You Really Need to Know…
• Everything you need to know is in there… somewhere ?Make it easy for partners to participate ?Show partners how they can leverage assets • Be aware of wonder – Big things grow from small seeds. Commit to making a social impact! – Track results; balance the quantitative and qualitative; collect stories along the way
Social Marketing
Social Marketing Campaigns
Cognitive
Action
Behavioral
Value
Social Marketing Planning Process Where are we?
Where do we want to go? How will we get there?
How will we stay on course?
Social Marketing - Key Success Factors
• Study the literature and previous campaigns • Choose appropriate target market • Promote single, doable behavior in clear, simple terms • Explain benefits on compelling terms • Make it easy to adopt the behavior • Develop attention-grabbing messages
Social Marketing and Stages of Change
• People go through a series of five stages in changing behaviors (pre-contemplation, contemplation, preparation, action, maintenance/advocacy) • It takes time to change behaviors, and change is not linear (people regress) • Messages/interactions should be targeted to each stage
1 Pre-contemplation • Definition: No awareness of need to modify behavior, and no intention to do so (lack of personal relevance) • Messaging: Start helping people to understand the issue – focus on awareness, not persuasion
2 Contemplation • Definition: Know that the issue exists and audience members are considering action • Messaging: Build on initial understanding; messages can start attempting to influence behavior change
3 Preparation • Definition: Preparing to take action, but not yet engaged in behavior; might be learning about behavior • Messaging: Address barriers to change and encourage behavioral “trials” to sample intended behaviors or preparations such as learning where to buy needed tools, etc.
4 Action • Definition: Actually engaging in behavioral change • Messaging: Support, encourage, and reinforce change
5 Maintenance/Advocacy
Definition: Change has occurred and is being sustained Messaging: Reinforce change and encourage audience to spread the word; people in this stage often can influence others [these people are sometimes called spark plugs or opinion leaders]
Non-Profit Organizations
Non-Profit Organizations
• It is an organization that does not distribute its surplus funds to owners or shareholders, but instead uses them to help pursue its goals. •Its primary objective is to support or engage in activities of public interest without any commercial or monetary profit purpose Formation and Registration of a Non Profit organizations in India. •Trust •Society •Section-25 Company Special Licensing
Profit V Nonprofit
Profit: • Ultimate mission is to earn profit for owners • Operated by professionals who are paid for services • Success criteria is clearer. Profit org looks to profitability, bottom line, return on investment, profit margins, market share.
Nonprofit: • There are no “owners” but controlling members or boards • NP is there to serve a broad public purpose. • Profits must be directed to public purpose for which the organization was set up. • Success criteria is unclear Even quantitative measures are indirect
- number of teens participating in activities.
(Remember-- NP can be profitable!)
• CRY is a non profit organization in India that aims to restore children's right in India. Established in 1979, today CRY is a people's movement for the rights of India's children encompassing diverse segments. • Bachpan - Bachpan is a registered non-profit organization working to provide education to poor children in India. • Jagriti is non profit Organization registered with Govt. of India and working towards providing basic education and health care to poor children.
Rajiv Gandhi Foundation
• The Rajiv Gandhi Foundation has historically been working in areas of literacy, health, disability, empowerment of the underprivileged, and livelihoods VISION OF RAJIV GANDHI FOUNDATION’S WORK IN EDUCATION To create access for the largest number of children to an education that: • Encourages curiosity, independent thinking and openmindedness • Enables each child to live by the values of integrity, equality and humanity • Equips each child to realize his/her full potential. • Some of the other prominent NON –PROFIT organizations are Railways, Post- offices.
•
Thank You
doc_246844649.pptx
This is a presentation about the concept of social marketing with the help of examples. It also includes key issues and drivers of CSR, socially responsible business models.It also includes cause related marketing,
Social Marketing
Last Year
Health • An estimated 1 million teens became pregnant. • 5-10 million adolescent girls and women struggled with eating disorders. • Each day, more than 4,000 youths aged 11 to 17 tried their first cigarette. Safety • More than 16,000 people were killed in alcoholrelated crashes. • More than 3,000 children and teens died from gunshot wounds. Environment • 4 million tons of paper were thrown away in garbage. • 4.5 trillion non-biodegradable cigarette butts were littered worldwide. • Community More than 5,000 people on waiting lists for organ transplants died. • Only 51% of eligible voters voted in the U.S. presidential election.
Social Marketing
Social Marketing is the Practice of Utilizing the Philosophy, Tools, and Practices of Commercial Marketing for Health and/or Social Programs. Social Marketing Sells a Behavior Change to a Targeted Group of Individuals • • • • Accept a New Behavior Reject a Potential Behavior Modify a Current Behavior Abandon an Old Behavior
Examples of Social Marketing
• Accept a New Behavior
• Take a Folic Acid Supplement (reduce incidence of birth defects)
• Reject a Potential Behavior
• Don’t Drink Alcohol While Pregnant (reduce incidence of birth defects)
• Modify a Current Behavior
• Drink > 8 Glasses of Water Daily (reduce incidence of birth defects)
• Abandon an Old Behavior
• If You Smoke, Quit (reduce incidence of birth defects)
Process of Social Marketing
• Define Problem - Based on Analysis, Community Assessment Already Completed • Identify Behavior Change/Actions That Could Reduce/Eliminate Problem • Identify Potential Audience for Marketing Intervention • Segment and Target Market • Conduct Formative Research to ID Perceived Benefits/Barriers
Process of Social Marketing
• Conduct Root Cause Analysis (Ask Why?) • Establish Goals/Objectives for Program • Design Appropriate Strategy of Manipulating 4 (5) P’s • Deliver Program and Monitor • Evaluate the Program
Corporate Social Responsibility (CSR)
CSR- Corporate Social Responsibility
Canadian Government “CSR is generally understood to be the way a company achieves a balance or integration of economic, environmental and social imperatives while at the same time addressing shareholder and stakeholder expectations.” Social Contract (Donaldson, 1982; Donaldson and Dunfee, 1999) – There is a tacit social contract between the firm and society; the contract bestows certain rights in exchange for certain responsibilities.
CSR- Corporate Social Responsibility
Stakeholder Theory (Freeman, 1984) – A stakeholder is “any group or individual who can affect or is affected by the achievement of an organization's purpose.” Argues that it is in the company’s strategic interest to respect the interests of all its stakeholders.
Ethical Responsibilities
Social Responsibilities
Legal Responsibilities Economic Responsibilities
Key Issues in CSR
• Labour rights: • child labour • forced labour • right to organize • safety and health • Environmental conditions • water & air emissions • climate change • Human rights • cooperation with paramilitary forces • complicity in extra-judicial killings • Poverty Alleviation • job creation • public revenues • skills and technology
Key drivers of CSR
Around the world • NGO Activism
• Responsible investment
• Litigation • Gov & IGO initiatives Developing Countries • Foreign customers
• Domestic consumers
• FDI • Government & IGO
Spectrum of CSR
Poor CSR •No employment
•No concern for indirect effect (land, water, air) •Destruction of agricultural land •Not willing to listen to other stakeholders •Appropriate of land not being compensated •Non compliance of rule of land
Good •Taking care of workers CSR
•High awareness about CSR initiatives
•Land compensation •Increased monitoring system
•Low dependence on non renewable resources
•Environment responsibility
Sphere of Influence
Who – is to be influenced?
Sphere of Influence
What – issues are to be influenced?
Sphere of Influence
How – are those issues to be influenced?
CSR Management: Plan, Do, Check, Act method
Plan
• Consult stakeholders
• Establish code of conduct • Set targets
Do
• Establish management systems and personnel
• Promote code compliance
Act
• Corrective action
• Reform of systems
Check
• Measure progress
• Audit • Report
Position
Minimalist Self interested
Responsible to
Stockholders/ owners Stockholders/ owners/ cost “controllers” Those with social and legal contract
therefore…
Maximizing profit Do good when furthers quest for growth and profit Goes beyond law to spirit of commitment
Social contract
Stakeholder Management
Stakeholder stewardship
Those who influence direction and fortunes Society as whole / future
Develop responsive strategies
Solutions for social problems
Criticism
Socially Responsible Business Models
Socially Responsible Business Models
The rapid technological advancements and the environmental factors are important factors to be considered by an organization. The formula to success is to innovate solutions and values in a socially responsible manner. Most companies believe that CSR in the form of cash donations, in-kind contributions, cause marketing and employee volunteerism programs is the “smart thing to do”.
Porter & Kramer Model
Strengths
CSR
Capabilities Positioning
• Strategic CSR results when companies: a. Transform value chain activities to benefit society while reinforcing strategy b. Engage in strategic philanthropy that leverages capabilities to improve salient areas of competitive context By providing jobs, investing capital, purchasing goods, and doing business every day the companies can contribute to a prosperous economy.
Christensen Approach
• To address social problems use catalytic innovations, i.e. offer good enough solutions to inadequately addressed problems.
These innovations share five qualities: 1. Create systematic social change through scaling and replication. 2. Meet a need that is improperly met or not met at all. 3. Offer simpler, less costly products and services that may have a lower level of performance but considered good enough . 4. Generate resources, such as donations or grants in ways that are initially unattractive to competitors. 5. Often ignored, or even encouraged by others who deem such an idea as unprofitable and unattractive.
Guidelines to identify companies creating catalytic innovations: • 1. Look for signs of disruption in the process : Lookout for pre-existing catalytic innovators in the market. • 2. Identify specific catalytic innovations : Apply the five criteria listed. • 3. Assess the business model : Check the sustainability and the effectiveness of the innovation for the company.
Social Cause Related Marketing
Social Cause Related Marketing
Definition
• Joint funding and promotional strategy in which a firm's sales are linked (and a percentage of the sales revenue is donated) to a charity or other public cause. However, unlike philanthropy, money spent in cause related marketing is considered an expense and is expected to show a return.
Cause Related Marketing Vs. Strategic Philanthropy
Strategic Philanthropy Cause-related Marketing
Focus
Organizational Improve org. competency, Tie org. competency to social need or charitable cause Ongoing
Product or product line
Goals
Increase product sales
Time Frame Organizational Members Involved Cost
Traditionally limited duration
Potentially all employees Moderate – align with mission & org. strategies
Marketing and related personell Minimal – alliance devlopment & promotion expenditures
Source: McAlister, Ferrell and Ferrell, Business and Society: A Strategic Approach to Social Responsibility, 2005, New York, p.339.
Product (RED)
• • • • • • Manifesto American Express, Giorgio Armani Motorola, Converse Apple, Hallmark Gap Dell/Microsoft
• Super Bowl • $50 • Configure
Benefits of Cause-Related Marketing
Strategic Philanthropy + Business Strategy
• • • • • • Increases visibility Improve image Motivates & retains Employees Improves bottom line Enhances community acceptance Distinguishes your product or service • Builds consumer trust • Enhances reputation • Makes a social impact
Cause-Related Marketing
Approaches
1.
Transactional – elicits participation with an offer to contribute; shortterm; promotional; generates funds;
Message Promotion – raises awareness or participation Licensing – name/cause attached to mission-related product for fee
2. 3.
4.
Strategic Alliance – Long-term, deeper level of engagement; aligns with brand; uses all assets
All I Really Need to Know About
Cause-Related Marketing
I Learned in Kindergarten
All You Really Need to Know…
• • • • • • •
•
Wash your hands before you eat Look! Clean up your own mess Don't take things that aren't yours Don't hit people Play fair When you go out in the world, watch out for traffic, hold hands and stick together • Share everything
Say you’re sorry when you hurt somebody
• Everything you need to know is in there… somewhere • Be aware of wonder
Sources: All I Need To Know I Learned in Kindergarten, Robert Faughum
All You Really Need to Know…
• Wash your hands before you eat • Prepare for success • Define your business objectives • Look! • Identifying the right issue or cause • Find the right sponsor • Align brand with cause
• Clean up your own mess
• Don’t use your cause program to solve major reputational issues
All You Really Need to Know…
• Don't take things that aren't yours • Craft a program that is unique and “ownable” • Don't hit people • Take them through the steps in order to get buy in; helps to grow programs over time • Play Fair • Be clear about individual and shared objectives • Make sure the partnership/collaboration is a winwin for both parties
All You Really Need to Know…
• When you go out in the world, watch out for traffic, hold hands and stick together • Be sure that all partners are delivering a consistent, balanced and clear message • Say you’re sorry when you hurt somebody • Build trust with your partner(s) • Share everything • Integrate your Campaign (advertising, programming, interactive, etc) • Use your assets
All You Really Need to Know…
• Everything you need to know is in there… somewhere ?Make it easy for partners to participate ?Show partners how they can leverage assets • Be aware of wonder – Big things grow from small seeds. Commit to making a social impact! – Track results; balance the quantitative and qualitative; collect stories along the way
Social Marketing
Social Marketing Campaigns
Cognitive
Action
Behavioral
Value
Social Marketing Planning Process Where are we?
Where do we want to go? How will we get there?
How will we stay on course?
Social Marketing - Key Success Factors
• Study the literature and previous campaigns • Choose appropriate target market • Promote single, doable behavior in clear, simple terms • Explain benefits on compelling terms • Make it easy to adopt the behavior • Develop attention-grabbing messages
Social Marketing and Stages of Change
• People go through a series of five stages in changing behaviors (pre-contemplation, contemplation, preparation, action, maintenance/advocacy) • It takes time to change behaviors, and change is not linear (people regress) • Messages/interactions should be targeted to each stage
1 Pre-contemplation • Definition: No awareness of need to modify behavior, and no intention to do so (lack of personal relevance) • Messaging: Start helping people to understand the issue – focus on awareness, not persuasion
2 Contemplation • Definition: Know that the issue exists and audience members are considering action • Messaging: Build on initial understanding; messages can start attempting to influence behavior change
3 Preparation • Definition: Preparing to take action, but not yet engaged in behavior; might be learning about behavior • Messaging: Address barriers to change and encourage behavioral “trials” to sample intended behaviors or preparations such as learning where to buy needed tools, etc.
4 Action • Definition: Actually engaging in behavioral change • Messaging: Support, encourage, and reinforce change
5 Maintenance/Advocacy
Definition: Change has occurred and is being sustained Messaging: Reinforce change and encourage audience to spread the word; people in this stage often can influence others [these people are sometimes called spark plugs or opinion leaders]
Non-Profit Organizations
Non-Profit Organizations
• It is an organization that does not distribute its surplus funds to owners or shareholders, but instead uses them to help pursue its goals. •Its primary objective is to support or engage in activities of public interest without any commercial or monetary profit purpose Formation and Registration of a Non Profit organizations in India. •Trust •Society •Section-25 Company Special Licensing
Profit V Nonprofit
Profit: • Ultimate mission is to earn profit for owners • Operated by professionals who are paid for services • Success criteria is clearer. Profit org looks to profitability, bottom line, return on investment, profit margins, market share.
Nonprofit: • There are no “owners” but controlling members or boards • NP is there to serve a broad public purpose. • Profits must be directed to public purpose for which the organization was set up. • Success criteria is unclear Even quantitative measures are indirect
- number of teens participating in activities.
(Remember-- NP can be profitable!)
• CRY is a non profit organization in India that aims to restore children's right in India. Established in 1979, today CRY is a people's movement for the rights of India's children encompassing diverse segments. • Bachpan - Bachpan is a registered non-profit organization working to provide education to poor children in India. • Jagriti is non profit Organization registered with Govt. of India and working towards providing basic education and health care to poor children.
Rajiv Gandhi Foundation
• The Rajiv Gandhi Foundation has historically been working in areas of literacy, health, disability, empowerment of the underprivileged, and livelihoods VISION OF RAJIV GANDHI FOUNDATION’S WORK IN EDUCATION To create access for the largest number of children to an education that: • Encourages curiosity, independent thinking and openmindedness • Enables each child to live by the values of integrity, equality and humanity • Equips each child to realize his/her full potential. • Some of the other prominent NON –PROFIT organizations are Railways, Post- offices.
•
Thank You
doc_246844649.pptx