Sustainable Marketing Principles

Under the sustainable marketing concept, a company's marketing should support the best long-run performance of the marketing system. It should be guided by five sustainable marketing principles: consumer-oriented marketing, customer-value marketing, innovative marketing, sense-of-mission marketing, and societal marketing.

Consumer-Oriented Marketing

Consumer-oriented marketing means that the company should view and organize its marketing activities from the consumer's point of view. It should work hard to sense, serve, and satisfy the needs of a defined group of customers, both now and in the future. All of the good marketing companies that we've discussed in this text have had this in common: an all-consuming passion for delivering superior value to carefully chosen customers. Only by seeing the world through its customers' eyes can the company build lasting and profitable customer relationships.

Customer-Value Marketing

According to the principle of customer-value marketing, the company should put most of its resources into customer-value-building marketing investments. Many things marketers do—one-shot sales promotions, cosmetic packaging changes, direct-response advertising—may raise sales in the short run but add less value than would actual improvements in the product's quality, features, or convenience. Enlightened marketing calls for building long-run consumer loyalty and relationships by continually improving the value consumers receive from the firm's market offering. By creating value for consumers, the company can capture value from consumers in return.

innovative Marketing

The principle of innovative marketing requires that the company continuously seek real product and marketing improvements. The company that overlooks new and better ways to do things will eventually lose customers to another company that has found a better way. A An excellent example of an innovative marketer is Nintendo:27

After Sony and Microsoft kicked the Mario out of Nintendo's GameCube in the Video Game War of 2001, the smallest of the three game platform makers needed a new plan. "Nintendo took a step back from the technology arms race and chose to focus on [customers and] the fun of playing, rather than cold tech specs," says the president of Nintendo of America. The resulting Wii system, with its intuitive motion-sensitive controller and interactive games, appealed not only to teen boys typically targeted by the game industry but also to their sisters, moms, dads, and even grandparents. The result: the perpetually sold-out Wii system quickly outsold both the PlayStation 3 and Xbox 360. But get this: Unlike its competitors—which lose money on each console and earn it back on software—Nintendo actually turns a profit on its consoles, makes more selling games, then takes in still more in licensing fees. "Not to sound too obvious," says the Nintendo executive, "but it makes good business sense to make a profit on the products you sell." Wall Street thinks so too. The company's stock has more than doubled over the past year.

Author I in the end, marketers Comment | themselves must take responsibility for sustainable marketing. That means operating in a responsible and ethical way to bring immediate and future value to customers.

Consumer-oriented marketing

The philosophy of sustainable marketing that holds that the company should view and organize its marketing activities from the consumer's point of view.

Customer-value marketing

A principle of sustainable marketing that holds that a company should put most of its resources into customer-value-building marketing investments.

Innovative marketing

A principle of sustainable marketing that requires that a company seek real product and marketing improvements.

Nintendo's upset is doing more than attracting new gamers and bruising Sony and Microsoft. Says the president of Sega of America, "It has opened doors of creativity throughout the video-game business."

Sense-of-Mission Marketing Sense-of-mission marketing means that the company should define its mission in broad social terms rather than narrow product terms. When a company defines a social mission, employees feel better about their work and have a clearer sense of direction. Brands linked with broader missions can serve the best long-run interests of both the brand and consumers. For example, Dove wants to do more than just sell its beauty care products. It's on a mission to discover "real beauty" and to help women be happy just the way they are:28

Innovative marketing: Nintendo's customer-focused innovation not only attracted new gamers and bruised competitors Sony and Microsoft, "it has opened doors of creativity throughout the video-game business."

Sense-of-mission marketing

A principle of sustainable marketing that holds that a company should define its mission in broad social terms rather than narrow product terms.

It all started with a Unilever study that examined the impact on women of images seen in entertainment, in advertising, and on fashion runways. The startling result: Only 2 percent of 3,300 women and girls surveyed in 10 countries around the world considered themselves beautiful. Unilever's conclusion: It's time to redefine beauty. So in 2004, Unilever launched the global Dove Campaign for Real Beauty, with ads that featured candid and confident images of real women of all types (not actresses or models) and headlines that made consumers ponder their perceptions of beauty. Among others, it featured full-bodied women ("Oversized or Outstanding?"), older women ("Gray or Gorgeous?") and a heavily freckled woman ("Flawed or Flawless?"). The following year, as the campaign's popularity skyrocketed, Dove introduced six new "real beauties" of various proportions, in sizes ranging from 6 to 14. These women appeared in ads wearing nothing but their underwear and big smiles, with headlines proclaiming, "New Dove Firming: As Tested on Real Curves." "In Dove ads," says one advertising expert, "normal is the new beautiful."

The Dove Campaign for Real Beauty quickly went digital, with a campaignforrealbeauty. com Web site and award-winning viral videos with names such as "Evolution" and "Onslaught" that attacked damaging beauty stereotypes. As the campaign has taken off, so have sales of Dove products. But the people behind the Dove brand and the Campaign for Real Beauty have noble motives beyond sales and profits. According to a Unilever executive, Dove's bold and compelling mission to redefine beauty and reassure women ranks well above issues of dollars and cents. "You should see the faces of the people working on this brand now," he says. "There is a real love for the brand."

Some companies define their overall corporate missions in broad societal terms. For example, defined in narrow product terms, the mission of Unilever's Ben & Jerry's unit might be "to sell ice cream." However, Ben & Jerry's states its mission more broadly, as one of "linked prosperity," including product, economic, and social missions. From its beginnings, Ben & Jerry's championed a host of social and environmental causes, and it donated a whopping 7.5 percent of pretax profits to support worthy causes. By the mid-1990s, Ben & Jerry's had become America's number-two superpremium ice cream brand.

However, having a "double bottom line" of values and profits is no easy proposition. Throughout the 1990s, as competitors not shackled by "principles before profits" missions invaded its markets, Ben & Jerry's growth and profits flattened. In 2000, after several years of less-than-stellar financial returns, Ben & Jerry's was acquired by giant food producer Unilever. Looking back, the company appears to have focused too much on social issues at the expense of sound business management. Cohen once commented, "There came a time when I had to admit 'I'm a businessman.' And I had a hard time mouthing those words."29

Societal Classification of Products

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  • johannes seikola
    Which sustainable marketing principle emphasizes building longrun consumer loyalty and relationships?
    6 years ago
  • Abeba Negassi
    What are the sustainable marketing principal?
    2 years ago
  • rolando
    What are the five sustainable marketing principles d?
    1 year ago
  • destiny watt
    What are the five sustainability marketing principles?
    6 months ago
  • Cosma
    What is meant by sustainable marketing principles?
    3 months ago

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