Published in CommPRO.biz 2013.07.08

Ethical Marketing

 

Marketing genius Seth Godin brought us up sharp with an on-the-mark blog post. He pointed out that many marketers blithely peddle goods or services that they know – or should know – are anything but good for those they entice into using them. It’s easy to look askance at those who market tobacco and other well known threats to our well-being. Godin zeros in on fast food, actually food in general, and our obesity epidemic along with the array of woes it brings with it.

It’s too easy to point out that the occasional burger and fries, or pile of pancakes with maple syrup does not make one obese. Nor that some individuals find it a lot harder to control their weight than others. Neither of those points amounts to a whole lot when we all know that there’s no way to limit what a food maker offers unless we do it, unless we show them a better and more profitable option.

There is another face on this coin, health insurance. Or more accurately benefits, since this sector veered from the insurance model years ago. No one expects a life insurance company to offer a policy to those in their nineties; in fact most policies cut off well before the applicant turns eighty. Nor is it expected that a life policy will be issued to an individual with severe health issues. While we as a people are not going to deny health benefits to those who do not act to care for themselves, some boundaries need to be established by the underwriters, the government and the medical community; the doctors and healthcare facilities.

Godin makes the point that marketing is one of the few professions that does not have boundaries. Law, medicine, real estate, retailing, even food manufacturing all have boundaries. The only fence surrounding the marketing world is a truth in advertising rule. Of course many marketers have ethical boundaries. They won’t work for companies who do not adhere to high ethical standards. But even those individuals and agencies might not feel that a food manufacturer presents an ethical issue.

On the contrary such a company might present an opportunity, an opportunity to create a set of boundaries. Boundaries that never show oversized portions; that offer only healthy recipes and serving suggestions. Boundaries that limit the potential for harm from legitimate efforts to create revenue for the company. There is reason to believe that this is a solid marketing concept. Consumers are moving more and more to products that offer healthy options. So rather than selling more to a limited number of customers, create more customers.

Beyond marketing, medicine and government have work to do on the obesity front. And marketing needs recognize that food and obesity are but a single color on its palette. There’s hardly a company that does not present ethical issues when it comes to creating their sales messaging. We owe Godin thanks for reminding us of our responsibility to follow the ethical model whatever we peddle.

“It’s Official, Even the Banks Say They Messed Up” 

A Wall Street Reputation Study* commissioned by New York communications firm, Makovsky + Company unearthed some not too surprising outcomes, from a very surprising source. The study targeted communications and marketing types at mid-sized to large publicly traded and private financial organizations: banks, brokerages, insurance companies, etc.

They see the viewpoint held by the public that their behavior tossed America and the world into economic chaos as “The” biggest challenge they face. Almost all of those surveyed (96%) believe they brought it on themselves. Eight of ten see bonus swollen “C” Suite compensation packages as a major issue for the financial sector. Big surprise: three out of four believe that “increased regulation will help their firms improve reputations and trust with customers faster.” 

Now that’s not big news to anyone who has looked at the roll deregulation played in allowing the greed driven, crazy speculation fueled trip that took most of the world down the drain, but to hear it from the greed sector, WOW! We can imagine how that went over on “K” Street where the financial types have been pouring bucks by the tens of millions into the politicians’ pockets fighting even modest regulations.

It gets even more interesting; more than half admitted the “Occupy” movement had a “real impact on their business.” Four out of ten said they were surprised by “Occupy,” but only three out of ten think it’s over. Seven of ten say it will carry on at least through the November elections. Given the reaction of the Wall Street types who were pictured literally looking down their noses while enjoying pricy luncheons as the protesters marched outside their watering holes, this is a real surprise. Our guess is that those distaining the riff-raff were not the folks from communications, who likely saw the storm clouds gathering. That’s reflected in the 73% who said, “Their marketing/communications departments grew in importance over the past year.” Let’s hope their influence upstairs grew as well.

"With the six-month anniversary of the movement sparking a resurgence, the consensus is that Occupy Wall Street is not going away anytime soon, and financial services executives need to be better prepared to address this issue moving forward," Scott Tangney, executive vice president and head of the Financial Services practice at Makovsky, said in a news release. Time will tell if the warnings expressed by this study and clearly elucidated by Tangney sink in up in carpetland. 

When asked to take a look in the mirror and grade the industry, communications pros surveyed gave themselves pretty low grades, 57% graded "average," "below average" or "failing.” But then there were those with their heads in the sand, the 9% who gave themselves a “perfect” grade. This could be a watershed moment. Will the financial quarter embrace reform, or seek a return to the dark side? 

*Echo Research, February 22 through March 1, 2012

© 2012 GLG