Social Marketing versus Societal Marketing – A Comparison

Many a time’s people have confused social and societal marketing with even the marketers
sometime not getting to understand that both these terms are completely opposite to each other.
And the basic objective behind both these processes is totally different. The overall objective that
both these processes have been used to achieve are 180 degrees opposite to each other. So I just
thought to try and shed some light on both these topics. This question of difference between both
the marketing processes came up in front of me at a workshop that I was attending at my
workplace on Marketing Insights, an approach that people teaching the Marketing course can
adopt to teach the subject in a better way. In that workshop one of the resource person asked all
the participants (who in this case were all people who were involved in teaching the marketing as
a course in their respective colleges and universities) about the difference between the two and
most of the participants including me were totally clueless about the basic difference between the
two. At that moment the resource person told us the difference and we got to know that what the
exact difference between the two was. But after the workshop ended and we got back into our
routine work mode again that thing slipped out of my mind and all those vital inputs on the topic
given by the resource persons of the workshop got washed out of my mind. Then a few days
back again this topic came in front of me through some article and I thought about sharing this
with all of you. For understanding the difference, let’s have a look at the definitions first.

Social Marketing: - It is a marketing function that is used by the organizations to commercially

spread a social message so that it can benefit the individuals and the society on the whole by
educating the people and society about a social cause to improve their wellbeing.
Societal Marketing: - It is a marketing function in which the organizations identify the needs and
wants of the target market and then align the marketing activities of an organization in such a
manner that their marketing efforts are socially responsible and thereby help the organization in
gaining the trust of the society by having an image of a socially responsible organization, but still
remaining profitable.
Thus we can say that in societal marketing the main focus of the organization is still earning
profits, moving the business forward, but by still keeping the interest of the society in mind. That
means growing the profits, while still providing the benefits to the society. On the other side
social marketing focuses on improvement in living standards of people living in societies by
making improvements in the way they live their lives. So basically it aims on imparting benefits
to individual’s and societies and not on profits as such. This shows that social marketing can
have a greater impact on the social well being as these campaigns can influence even the policy
makers, and people who can influence the policy makers to change the policies to improve the
interests of the society on the whole.

To elaborate further let’s have a look at the example for both: -

A campaign like the ones being run by government or the NGO’s or even some organizations
promoting the social issues through their campaigns is known as social marketing campaign like
the ones used  by governments for promoting pulse polio vacation campaign’s, then “Jago
Grahak Jago” campaign to make the consumer’s aware of their rights as consumers, then the
promotion of wearing of helmet’s campaign, promotion of the use of condoms in prevention of
aids and unwanted pregnancy etc. All these above mentioned campaigns come under social
marketing campaigns. Like the ban on tobacco advertisements, ban on smoking in public places
and ban on many other social ills were made possible mainly because of the social marketers as
they help promote the efforts against these social issues in front of people who matter like the
one’s from media, government and law making agencies. Then Lifebuoy's “Swasthya Chetna”
(LSC) a five-year health and hygiene education program by Hindustan Unilever Limited, is also
a very successful example of Public-Private partnership for creating health awareness through a
social marketing campaign in which people of rural and urban areas were educated and were
taught the importance of washing hands with soap to remain healthy. The program spread
awareness about germs and their adverse effects on health, and how proper 'health and
hygiene'practices, such as bathing and washing hands with soap could prevent diseases like
diarrhea, and also helping the company in turn to gain business out of this program in a
profitable manner.
"Swasthya Chetna is not about philanthropy. It's a marketing program with social benefits. We
recognize that the health of our business is totally interconnected with the health of the
communities we serve and if we are to grow sales of our brand, we have to increase the number
of people who use soap."
- Harpreet Singh Tibb, Senior Product Manager for Lifebuoy, Hindustan Lever Ltd, in 2005
Then there are some campaign’s which focus on the societal marketing  concept like the one’s
used by Archie’s cards where they contributed Re. 1 from every card purchased towards the
UNICEF programs, then the redesigning the logo of Videocon to green to show the consumers
the importance of being green and telling them that the products designed by Videocon take care
of the environment and do not harm it at all.
Then ADIDAS  /  NIKE  are also working  on a  number  of  projects , all community  based like
better  pay  for local  workers  in  the  under-developed countries, avoiding  under-age 
employees, support  for   local  community  sports, offer  of  free  sports  gears  for  talents. Also
various automobile manufacturers are focusing more on producing CNG cars  and other cars that
can run either on electricity, solar energy or any other hybrid fuels that do not produce much
pollutants and are not only environmental friendly but it is also very economical. So this trend is
getting popular very quickly. One can verify it by observing the increasing number of CNG
stations. Recently Aircel is embarking on such a kind of project i.e. Save the tiger’s Campaign
being launched by it and it is trying to make its customers and other society members to
contribute to this very important environmental issue as it can lead to disturbance of eco balance
due to their extinction. Even NDTV has decided to be a part of this campaign and their co-
branded initiative with a ten hour marathon  live on television to promote this cause is also one
such example. Then McDonald’s has also tried to contribute its bit by using the recycled paper
and cardboard packaging, by using light weight paper in straws, paper bags and other articles
used for packaging etc.
Recently the campaign launched by Idea is such a huge success in this societal marketing
initiative in which it is educating the whole of its subscriber base and indirectly the consumers of
other telecom companies of the various judicious and improved ways of using the mobiles
through its “walk and talk” campaign, then save the paper campaign and these campaigns have
helped Idea to grow its image as a socially responsible corporate citizen and has forced others to
also focus on this initiative of its. This has given it a totally distinct position away from the
clutter of other telecom companies and has allowed it to be loved by its customers.
Click on the link here to see the ad: -http://www.youtube.com/watch?v=GhFA0vQcm8s

In the end, I hope that I have been able to shed some light on these two very important concepts of
marketing and that this post can help the readers in getting an in-depth understanding of the difference
between both these marketing processes.
 
Societal marketing concept is evident when an organisation determines consumer needs
andwants and then integrates all activities in the firm to serve these needs while
simultaneouslyenhancing societal well being (McColl-Kennedy, Kiel, Lusch & Lusch,
1994)“Social marketing is the adaptation of commercial marketing technologies to programs
designedto influence the voluntary behaviour of target audiences to improve their personal
welfare andthat of the society of which they are a part.” Andreasen, (1995)Societal marketing is
the business driven, profit orientated way of changing the world as a meansof developing
revenue based product. Societal is about the direct benefits for the organisation(profit) and
secondary benefit for the community. Social marketing is about changing behaviours for the
benefit of the broader society. Social marketing is about the social gain, targetmarket’s gain, and
the flow of benefits where profit may not actual exist, or if it does, then it’s just an incidental
secondary benefit for the campaign.

The World Business Council for Sustainable Development in its publication Making Good
Business Sense by Lord Holme and Richard Watts, used the following definition.

Corporate Social Responsibility is the continuing commitment by business to

behave ethically and contribute to economic development while improving the
quality of life of the workforce and their families as well as of the local community
and society at large

Corporate social responsibility - What does it mean?

One of the most frequently asked questions at this site - and probably for all those individuals
and organisations dealing with CSR issues is the obvious - just what does 'Corporate Social
Responsibility' mean anyway? Is it a stalking horse for an anti-corporate agenda? Something
which, like original sin, you can never escape? Or what?

Different organisations have framed different definitions - although there is considerable

common ground between them. My own definition is that CSR is about how companies manage
the business processes to produce an overall positive impact on society.

Take the following illustration:

Companies need to answer to two aspects of their operations. 1. The quality of their management
- both in terms of people and processes (the inner circle). 2. The nature of, and quantity of their
impact on society in the various areas.

Outside stakeholders are taking an increasing interest in the activity of the company. Most look
to the outer circle - what the company has actually done, good or bad, in terms of its products
and services, in terms of its impact on the environment and on local communities, or in how it
treats and develops its workforce. Out of the various stakeholders, it is financial analysts who are
predominantly focused - as well as past financial performance - on quality of management as an
indicator of likely future performance.
corporate social responsibility
  

A company’s sense of responsibility towards the community and environment (both ecological and
social) in which it operates. Companies express this citizenship (1) through their waste and pollution
reduction processes, (2) by contributing educational and social programs, and (3) by earning adequate
returns on the employed resources. See also corporate citizenship.

Companies have a lot of power in the community and in the national economy. They control a lot of
assets, and may have billions in cash at their disposal for socially conscious investments and programs.
Some companies may engage in "greenwashing", or feigning interest in corporate responsibility, but
many large corporations are devoting real time and money to environmental sustainability programs,
alternative energy/cleantech, and various social welfare initiatives to benefit employees, customers, and
the community at large.

The World Business Council for Sustainable Development in its publication Making Good
Business Sense by Lord Holme and Richard Watts, used the following definition.

Corporate Social Responsibility is the continuing commitment by business to behave ethically and
contribute to economic development while improving the quality of life of the workforce and their
families as well as of the local community and society at large

The same report gave some evidence of the different perceptions of what this should mean from
a number of different societies across the world. Definitions as different as CSR is about capacity
building for sustainable livelihoods. It respects cultural differences and finds the business
opportunities in building the skills of employees, the community and the government from
Ghana, through to CSR is about business giving back to society from the Phillipines.

Traditionally in the United States, CSR has been defined much more in terms of a philanphropic
model. Companies make profits, unhindered except by fulfilling their duty to pay taxes. Then
they donate a certain share of the profits to charitable causes. It is seen as tainting the act for the
company to receive any benefit from the giving.

The European model is much more focused on operating the core business in a socially
responsible way, complemented by investment in communities for solid business case reasons.
Personally, I believe this model is more sustainable because:

1. Social responsibility becomes an integral part of the wealth creation process - which if managed
properly should enhance the competitiveness of business and maximise the value of wealth
creation to society.
 2. When times get hard, there is the incentive to practice CSR more and better - if it is a
philanphropic exercise which is peripheral to the main business, it will always be the first thing
to go when push comes to shove.

But as with any process based on the collective activities of communities of human beings (as
companies are) there is no 'one size fits all'. In different countries, there will be different
priorities, and values that will shape how business act. And even the observations above are
changing over time. The US has growing numbers of people looking towards core business
issues.
The Benefits of Corporate Social Responsibility

“88% of consumers said they were more likely to buy from a company that supports and
engages in activities to improve society.”

- Better Business Journey, UK Small Business Consortium

Why do we need CSR?

Consumers increasingly don't accept unethical business practices or organisations who act
irresponsibly. Advances in social media (giving everyone a voice) mean that negative or
destructive practices quickly fuel conversations online. Organisations are accountable for their
actions like never before.

The Business Benefits of CSR

CSR should not be viewed as a drain on resources, because carefully implemented CSR policies
can help your oragnisation:

 Win new business

 Increase customer retention
 Develop and enhance relationships with customers, suppliers and networks
 Attract, retain and maintain a happy workforce and be an Employer of Choice
 Save money on energy and operating costs and manage risk
 Differentiate yourself from your competitors
 Generate innovation and learning and enhance your influence
 Improve your business reputation and standing
 Provide access to investment and funding opportunities
 Generate positive publicity and media opportunities due to media interest in ethical business
activities

Contact Simply CSR to discuss CSR and sustainable business

Examples of corporate social responsibility

CSR isn’t about giving money to charity, or just asking people not to print emails for the sake of
Mother Earth! First and foremost, businesses exist to make profit, and this isn’t meant to change
as a goal. The reality is that no organisation operates in isolation; there is interaction with
employees, customers, suppliers and stakeholders. CSR is about managing these relationships to
produce an overall positive impact on society, whilst making money.

So how do you put CSR into action? Below are a few examples of what businesses around the
World are doing.
Making ‘green’ fashionable: The Body Shop

The Body Shop forged a reputation as a responsible business long before it became fashionable.
They were one of the first companies to publish a full report on their CSR initiatives thanks to
founder Anita Roddick’s passionate beliefs of environmental protection, animal rights,
community trade and human rights. The company has gone so far as to start The Body Shop
Foundation, which supports fellow pioneers who would normally struggle to get funding.

Over 20 years ago the company set up a fair trade programme, well before the term ‘Fair Trade’
started to become popular on supermarket shelves. Of course, The Body Shop is famous for its
anti-animal testing stance. Whilst this makes testing their products more difficult, especially in
markets such as the USA and Japan, their position has created a loyal customer base. The
results? From opening her first store in 1976, 30 years later Annit Roddick’s empire was taken
over by L’Oreal for £652m, where it has continued to make annual profits of over £40m.

Putting the fun into CSR: Walt Disney

Moving beyond making cartoons, today the Walt Disney Company additionally owns the ESPN
and ABC networks, holiday resorts and publishing businesses to name a few. The result is a lot
of social and environmental impact, as well as the ability to influence a huge amount of people.

Importantly, Disney recognised that you can’t entertain a family on the one hand and then
disregard the world and circumstances in which they live. Acting responsibly gives the company
credibility and authenticity. Accordingly, they have set themselves strict environmental targets
and disclose their figures in the Global Reporting Initiative which provides a comprehensive set
of indicators covering the economic, environmental and ethical impacts of a company’s
performance

Setting ambitious financial targets together with environmental performance targets may sound
like an oxymoron, but Disney has managed to do this with initiatives such as running Disneyland
trains on biodiesel made with cooking oil from the resort’s hotels. They also created the ‘Green
standard’ to engage and motivate employees in reducing their environmental impact when
working, having meetings, travelling and eating lunch. With more than 60,000 staff, the results
are enormous when everyone is pulling in the same direction.

A clear example of financially benefiting from reducing environmental impact is made with this
simply statistic: a 10% reduction in the corporation’s electricity use is enough to power the
annual consumption of 3 of their theme parks. Whilst their CSR efforts may have taken a great
deal of organisation, dedication and investment, 2012 was a record year for Disney’s profits.

Haagen-Dazs and honeybees

This might sound odd at first, but honeybees are an important part of the global food chain as
they pollinate one-third of all the food we eat! With numbers lower than ever, this is bad news
for companies such as Haagen-Dazs and their all-natural ice creams. To raise awareness, they
created a website, started a social media campaign and donated a portion of proceedings to
research.

As you can see, a campaign like works fantastically from a number of different angles. Not only
is it helping society as a whole, in keeping with the company’s CSR goals, it helps to show a
human side to consumers, which can’t hurt sales. In fact, research shows consumers are more
likely to pay a premium for a product linked to a charity donation.

How can CSR translate to a smaller business? The issues are the same, just on a smaller scale.
The key is to start by conducting a review of what impacts your business has. This could be from
environmental issues (energy use, waste etc.), to how your employees are treated, your supply
chain and the local community. Below is a look at some examples a small business would
recognise, and could act on.

The environment

Even the smallest of office-based businesses can make big changes when it comes to the
environment. When you consider an average office worker can use up to 11 sheets of paper a
day, are you really reusing and recycling as much as you could?

A common lapse is forgetting to turn off your PC’s monitor come home time. Left on overnight,
that is the equivalent of printing 800 A4 pages! Multiply that by the varying IT equipment in
your office and you’re looking at a lot of unnecessary energy use.

The above examples ideally illustrate how thinking sustainability isn’t just good for the
environment; it saves overheads and helps the bottom-line too.

Staff welfare

For a smaller business, extravagances can be hard to justify. However, happier staff doesn’t
simply mean bonuses and pay rises.

What employees value is participation: do they get a fair say? Keeping staff updated on the
business and inviting opinions keeps them motivated and loyal. Investing in them with internal
and external training helps them do a better job and helps in retraining them, too. Would you
rather invest less and have a poor performing, unmotivated team with a high attrition rate
instead?

Community

You can incorporate your staff welfare plans with your aims to boost community relationships
too. If you’d like to support a local charity, why not let your staff vote for their favourite? It’s
now common for businesses to allocate charity days where staff get hands-on with their chosen
charity, the effects going far further than monetary donation.
In uncertain financial times, employment rates are always an issue. Could your business offer
part-time work or training to those in long-term employment, or students looking for their first
work experience?

Finally, there’s the supply chain. Do you have a policy to purchase locally? With the internet
opening up the world, it’s surprising how far away some suppliers are. Not only could sourcing
locally boost the local economy, you’re helping the environment by avoiding unnecessary travel
and consequent emissions.

It’s surprising when you break down your organisation’s activities to see how many people are
affected by it. It’s also clear that CSR isn’t a cynical marketing ploy for big businesses; there are
tangible benefits to be had by all. The key is not to treat CSR as an ‘initiative’, but to simply
view it as the way you do business. Applying CSR is just redefining aspects of what you’re
already doing; it needn’t be exotic or costly. Instead, start small and gain momentum.