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PRESENTED BY

Sanish Roll No. 6247 MBA II (B)

INTRODUCTION
Marketing ethics is viewed as important

because of marketings interface with many diverse stakeholders.

Marketing is a key functional area in the business

organization that provides a visible interface with not only customers, but other stakeholders such as the media, investors, regulatory agencies, channel members, trade associations, as well as others.

DEFINITION OF MARKETING ETHICS


Ethics has been termed the study

and philosophy of human conduct, with an emphasis on the determination of right and wrong.
The

organization and stakeholders define marketing ethical issues that must be identified and resolved to build trust and effective relationships with stakeholders.

Marketing ethics focuses on principles and standards

that define acceptable marketing conduct, As determined by various stakeholders and the organization responsible for marketing activities.

THE DOMAIN OF MARKETING ETHICS

Substantive Domain
The relationship between a customer and an organization exists

because of mutual expectations built on trust, good faith, and fair dealing in their interaction
Marketing ethics not only requires an attempt to make ethical

decisions, but also to avoid the unintended consequences of marketing activities

One difference between an ordinary decision

and an ethical one is that accepted rules may not apply and the decision-maker must weigh values in a situation that he or she may not have faced before.

Historical Development of Marketing Ethics The historical background for marketing ethics is derived from early concerns during the turn of the 20th century concerning antitrust and consumer protection, especially adulterated food products.
During the 1960s American society turned to causes. An

anti-business attitude developed as many critics attacked the vested interests that controlled the economic and political sides of societythe so-called military-industrial complex

The regulatory system was developing incentives for

ethical conduct in organizations, Hunt, Wood and Chonko (1989) conducted research demonstrating a strong link between corporate ethical values and organizational commitment in marketing

MOBILE MARKETING
Mobile marketing is marketing on or with a mobile

device, such as a cell phone. Mobile marketing services can be pull-based or pushbased. DRIVERS TO THE GROWTH OF MOBILE MARKETING
High penetration of mobile phones

Consumer oriented business model


Usage of voice as a media for mobile marketing

SOME OF THE ISSUES FACING MOBILE MARKETING IN INDIA ARE


Lack of customization of mobile advertisements High penetration of cheaper handsets Limited usage of GPRS/WAP Do-Not-Disturb Registry and spectrum requirements

MOBILE MARKETING IN INDIA Indias retail sector will grow to $1.3 trillion by 2020, according to

a white paper recently released by the Federation of Indian Chambers of Commerce and Industry (FICCI). Savvy consumers are more likely to use mobile devices rather than PCs as their shopping tools, and are quick to consult their mobile phones to compare prices, read reviews, or get more information on potential purchases. mobile devices are more than just an access point for online shopping, and it is entirely possible that some innovative retailer will use mobile marketing to move retail into some new direction.

KEY TRENDS IN MOBILE ADVERTISING FOR INDIA IN 2012


Only smart phones will browse? Wrong. All phones

will browse! Mobile internet users will be twice of PC internet users by the end of 2012 Embracing advertising across all mobile devices feature phones, smart phones and tablets Ad funded Mobile TV apps will gain traction The rise and rise of the Inde-developer

CONSUMER FIRMS DIAL A NEW AD LINE All India Radio started playing an advertisement that asked listeners across Uttar Pradesh and Bihar to give a missed call on a particular number As curious listeners called on the number, they were entertained and humoured with jokes and conversation between a husband and a wife. The jokes were laced with a message about HULs detergent brand Wheel. The companys website describes it as one of the largest mobile activation schemes ever done by HUL. After three months of launching the full campaign in Uttar Pradesh and Bihar, more than 5 million missed calls were received from 7.7 lakh unique numbers. Taking a leaf from HUL, P&G has started using the mobile platform to push its product Pampers. This opens revenue possibilities for mobile operators, too

INDIAN ADVERTISING CODES AND ETHICS


The tag line of the ASCI (Advertising Standards Council of India) says Regulate yourself, or someone else will.
NEED FOR ADVERTISING CODE IN INDIA Legal actions can be taken against advertisements that Ridicule caste, race, nationality, colour and creed. Goes against any provision of the Indian Constitution. Breach laws and/or glorify obscenity or violence in any form. Glorify terrorism, communal massacres, criminality and so on.

OTHER ADVERTISING CODES IN INDIA Permission will not be granted where objects are completely or largely religious or political in nature. Any goods or services that are advertised should not have any defect or deficiencies Products should not be portrayed in a way that misleads the public to infer that the item has some special Picture and the audible matter of the advertisement video should not be excessively 'loud'. Advertisement should not endanger the safety of children Any type of offensive, indecent, suggestive, vulgar, repulsive themes and/or treatment must be avoided under all circumstances.

MOBILE MARKETING CODE OF ETHICS

In the Clients Best Interest Examples of unethical behaviour:


Recommending a messaging campaign because of a bulk deal your agency has, even Though its not the best answer to your clients brief, is unethical. Hidden fees are illegal. To know about it and do nothing is unethical. Defending a poorly performing campaign is unethical.

Honour All Agreements Examples of unethical behaviour:


Swapping charges between jobs is not good business practice. And its unethical. Not paying suppliers when you said you would is unethical. To benefit unfairly from confidential information is unethical.

Dont Break the Law. Dont Bend the Law Examples of unethical behaviour:
To benefit from someone elses idea is unethical (and may also be a breach of copyright). Remember, we are paid for our insight and originality. To employ mobile content with your campaigns without having cleared the corresponding rights.

Dont Abuse the Mobile Media Examples of unethical behaviour:


To drive revenues by asking consumers to unnecessarily reply to mobile marketing campaigns via SMS, possibly even to a premium short code. To lure consumers participating in campaigns with unsuspicious and innocent messages into adult content services with costs.

Creativity is King Examples of unethical behaviour:


Spamming consumers, even when an opt-in is given, with dull information about life insurances Sending out messages at 7am or on weekends.

Master the Technology Examples of unethical behaviour:


To send out mobile content adapted for one mobile format only. To offer least-cost routing messaging with campaigns where messaging quality is critical. To send out mobile applications that are not properly tested.

Strive for Excellence in Everything You Do Examples of unethical behaviour:


Passing on an unfair client demand to your colleagues (eg: not enough time or budget to do a job properly) is unethical and wont encourage their best work. Reducing a suppliers fee because of your own cost over-runs is unfair.

Look After Your Colleagues Examples of unethical behaviour:


Keeping important client information to yourself when it should be shared with colleagues, is unethical. Dont blame a colleague for your own mistakes. Dont hide mistakes. Scoring points at the expense of a colleague is unethical. Youll lose more than you win. Equally, not supporting a colleague when you know they are right, is unethical.

ETHICS IN MOBILE ADVERTISING


Mobile advertising has

been touted as the next big thing since Apple's iPhone debuted in 2007. Yet the promise remained unfulfilled because marketing companies have to navigate consumers' desires for privacy with the enticements mobile devices offer

SEARCH ADS About half of all U.S. mobile ad spending goes toward search ads, more than the roughly 47% of total digital spending going into Web search
USEFUL OR FUN Skittish about bombarding mobile users with seemingly random ads, marketers including Kraft Foods Inc. and Macy's Inc. M 0.00% are experimenting with messages they want consumers to believe are fun, pay rewards or help them find useful information.

BIG IS BEAUTIFUL As smartphone screens get larger, companies have found some success with ads such as "takeovers" that briefly fill all or most of a device's screen. UNFAMILIAR PLACES One approach mobile marketers are tryingwith mixed resultsis inserting ads in new places to overcome "ad blindness" by consumers used to tuning out marketing pitches in the usual spots

'SPRAY AND PRAY' Banner adsthe boxes or rectangular ads on many mobile websites or appsare known as the "spray and pray" approach.

CASE STUDY
COMPARATIVE ANALYSIS ON ETHICS IN ADVERTISEMENTS OF PRINT AND ELECTRONIC MEDIA Advertising is any paid form of non-personal communication about an organization, good, service or idea by an identified sponsor.
STATEMENT OF THE PROBLEM Advertising can play an important role in the society since it is a one-to-many communication which reaches mass audience in no time. Anything which over exaggerates or misleads the product information, indecency, vulgarity, abusive, annoyance and harmful effects are unethical and leads to immoral values about the product among the consumers.

OBJECTIVES OF THE STUDY In accordance with the research problem stated above, the present study aims to investigate the following objectives:
To analyze the respondents order of preference of the media for

ethical advertisements. To evaluate the level of importance for the various attributes of ethical advertisements in print and electronic media. To offer suggestions and recommendations for enhancing the ethical values in advertisements.

DATA COLLECTION The required data for the present study was primary data collected using a well structured questionnaire. The questionnaire was administered among 150 sample respondents to know about their perception towards ethical values of advertisements in print and electronic media. INSTRUMENTATION For the purpose of studying the objectives and testing the hypotheses, a questionnaire was used as an instrument to collect the data.

AREA OF THE STUDY The geographical area of Coimbatore city was chosen as the Universe.

TOOLS USED FOR ANALYSIS For analyzing the data, the appropriate statistical tools like percentage analysis, Chi-Square test, Friedman Two-Way ANOVA and Paired Samplest test has been applied.
ANALYSIS AND INTERPRETATION This section deals with the results and interpretations of the statistical analysis based on the objectives of the study. ANALYSIS ON THE ORDER OF PREFERENCE OF THE MEDIA FOR ETHICAL ADVERTISEMENTS The objective to analyze the respondents order of preference of the different media based on the level of ethical values in its advertisements was fulfilled by ranking the media.

FINDINGS OF THE STUDY


The following are the major findings of the present study based on the above analysis and interpretations: The electronic media with the is highly preferred by majority of the respondents due to its standard in adhering to the ethical values in its advertisements. Majority of the respondents are having the habit of reading newspapers which ranks first among the other types of print media due to its ethical values in advertisements. Majority of the respondents are having the habit of viewing television which is the most preferred electronic media for its advertisements due to high-level ethical values. For most of the attributes determining the ethical values in advertisements, majority of the respondents gives high-level of importance to print media when compared to electronic media for ethical advertisements. For few attributes such as use of unparliamentarily words, precautionary message for risky advertisements, there is a high level of importance for ethical advertisements in electronic media than print media.

IMPLICATIONS OF THE STUDY Along with the standards and codes laid down by the statutory board for ethics in advertisements, the present study suggests the following implications to be followed for maintaining ethics in the advertisements in print and electronic media: Value of the products should be endorsed in the advertisements in both print and electronic media. The real facts about the product only should be given in the advertisement, avoiding over exaggeration. It is strongly suggested to follow the dress code to the models for maintaining the traditional values of the country. Kids and children should not be used as models for unwanted advertising that matches to the adults. Use of unparliamentary words and vulgarity should be strictly prohibited to adhere to ethical values in advertisements of both print and electronic media.

EXAMPLES
MOBILE MARKETING IS DEVALUING BUSINESS ETHICS With the advancement in internet and mobile technology, the old trends have been changed. Today Marketing is done by SMS and hence it is known as SMS marketing. There is lots of computer software available in the market that performs this SMS marketing function. When there was a semi-final match between India and Pakistan, there were lot of SMS received by the people stating about event tickets and other things related to world cup. If you see all this, it is against the business ethics and is violating the basic marketing terms and conditions. It really disturbs people, you dont know the condition of person, whether he is busy, he is sleeping or what he is doing, you dont know.

STARMARK COMMITS TO MMA CODE OF ETHICS FOR MOBILE MARKETING


Starmark is leading the way through their compliance with the Mobile Marketing Associations Code of Ethics.

CHOICE Consumers must opt-in to all mobile messaging programs. CONTROL Consumers must also be allowed to easily terminate opt-out their participation in an ongoing mobile messaging program CUSTOMIZATION As mobile messaging campaigns are most effective when appropriately targeted CONSIDERATION The consumer must receive and/or be offered something of value in return for receiving the communication. CONSTRAINT Provide a global throttling mechanism capable of managing the number of messages received by an individual consumer. CONFIDENTIALITY Align with TRUSTe with specific provisions on not renting, selling or sharing personal information about consumers participating in programs delivered

CONCLUSION
Honesty, integrity and quality are the important

features of ethical advertising. Ethicality in advertising improves the quality of the advertisements in any media and enhances the brand image for the advertised product. Ethics is a cornerstone of business today and even more so of the new discipline of Mobile Marketing.

The mobile phone as most personal media in the

world, more than all other categories demands for prudent and ethical behaviour in the industry. It has been suggest and urge that all members of the Mobile Marketing Association, MMA, should become signatories to the Code of Ethics. This confirms a commitment by the agency to comply with the Code and thereby strive for the highest standards of ethical practice in the young discipline of Mobile Marketing.

THANK YOU

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