Ethical, Regulatory, and Environmental Issues in Marketing Communications

Ethical Issues in Marketing Communications -Ethics:involves matter of right and wrong, or moral, conduct pertaining to any aspect of marketing communications. -Ethics in Marketing is integrated in Honesty, Honor, Virtue, and Integrity.

Three Ethics of Targeting:

-Targeting to Children and Teens

- Targeting children is unethical because they

use children's trust

- Targeting Economically Disadvantaged Consumers

-Unethical because those people have

better things to buy than cigarettes

- Is Targeting Unethical or Just Good Marketing?

- Marketing people believe that advertising is done just

to satisfy a particular need

- Others believe that some of it is unethical and

manipulative

Ethical Issues in Advertising:

- Advertising is Untruthful and Deceptive

- Two-thirds of Americans think that ADS are

untruthful

- Deception occurs when ADS falsely represent a

product and consumers believe it

- Advertising is Manipulative

- When ADS have the power to influence people

to do things then it is considered manipulative

- Priming can be very influential because

advertisers can take advantage of that

- Advertising practitioners do have the ability to

influence consumers in very subtle way

-Advertising Is Offensive and in Bad Taste

- Sometimes ADS are insulting to human

intelligence, vulgar, and offensive

- Advertising Creates and Perpetuates Stereotypes

- Ads creates and perpetuates women, and

disadvantaged people and therefore is guilty

- People Buy Things They Do Not Really Need

- Ads cause people to buy items or services they

do not need

- Advertising Plays on People's Fears and Insecurities

-Ads can appeal negative emotions such as fear,

guilt, and humiliation

- Hence, (AAAA) is an association that sets

standards on ethics in advertising

Ethical Issues in Public Relations

-Publicity involves disseminating positive info

about a company and its products

Ethical Issues in Packaging and Branding

- Four Aspects of Packaging involve Ethical issues

-Label Information

- Can Mislead consumers by

providing exaggerated information

- Packaging Graphics

-Are unethical when the picture on

the package does not represent the

real product.

- Packaging Safety

- Unsafe Packaging are acute when

when packaging is not tamper proof

-Environmental Implications

- Packaging is unethical when it provides wrong environmental benefits Ethical Issues in Sales Promotion - Consumers are responsible too in sales promotion Ethical Issues in Online Marketing - It is unethical because they invade individual Privacy Fostering Ethical Marketing Communications

-Act in a way that you would want others

to act towards you

- Take actions that would be viewed as proper

- Always ask would I would be comfortable

explaining this action on TV to the general

public

Regualtion of Marketing Communications

- What is regulation Justified?

Three Benefits

-Consumer Choice

-When consumers are informed

product quality tends to improve

-Reduced Prices

Regulation of Marketing Communications by Federal Agnecies

Deceptive ADS

-Impression left by the claim or campaign

- False claim is believed by consumers

Misleading

- There must be a representation,

ommision, or a practice that is

likely to mislead the consumer

Reasonable Consumer

Material

-The information is the material that is

presented

Unfair Practices

-Unfair advertising: "acts or practices that cause

or are likely to cause injury to consumers

Information Regulation:

- Corrective Ads is based on the premise that

a firm that misleads consulers should have

to use future advertisment to rectify the

deceptive ads

- Product Labeling

- Prescription Drug Advertising

State Agencies's Regulation of Marketing Communication

- The (NAAG) plays an important role in ADS

since they control the ADS

Advertising Self-Regulation

-Self Regulation: form of private

government whereby peers

establish and enforce volantary rules

of behavior

- Media Self-Regulation

- Advertising Agency Clearance

- Approval from the advertiser's

legal department

- The National Advertising Review Council

-( NARC) has been the most

publicized and most effective form

of self-regulation

- Consists of Three Categories

- Children's Advertising Review Unit

- NAD

- National Advertising Review Board

Environmental, or "Green", Marketing Communications

- Green Marketing Initiatives

- Motivated by compliance,

gaining competetive advantages,

and being socially responsible

some companies have made

responses to environmental issues

-Green Advertising

Three types of Green ADS

- Ads that adress relations

between product and service

- those that promote green

lifestyle

-Ads that present a corporate

image of environment

responsibility

-Seal-of-Approval Programs

- Cause-Oriented Programs

- Point-of-Purchase Program

Guidelines for Green Mareketing

General Guidelines

1. Make Specific Claims

2. Reflect Current Disposal Options

3. Make Substantive

4. Make Supportable Claims