Corporate Social Responsibility and Marketing

by Nauman Malik

Socially Responsible Marketing is the concept that evolves the way of marketing by keeping in mind the ethical, environmental, legal, public, social and cultural values and issues of society and targeted market. We can say that social responsibility should be built-in in any marketing campaign and be part of comprehensive marketing and advertisement plan. All marketing means or media should be coherent with targeted market culture and values. And it should be designed and marketed by knowing that how it will affect the life of people and what message it delivers. It’s became very important for corporate companies especially multinationals to keep focus on these things according to countries political, social and moral values for successful market penetration.

Socially responsible marketing helps companies to increase corporate goodwill, building brand awareness, socializing of their corporate messages and ultimately boost in sales. Companies which market products and services without taking care of social welfare and responsibility towards public issues are generally unable to reach at mass level and provide no advantage over competitors. Worldwide initiatives were taken by corporate companies to invest some part of their profit in social welfare.

In current environment the pressure is on businesses to be more socially responsible: to act with integrity and wider social purpose. Social responsibility acts as a chance to build a stronger, more sustainable and responsive brands. Now companies focus on healthy activities with the local issues at the top of the social agenda - and at the forefront of their customers' concerns. This strategy helps to build stronger in root acceptability of their services and products. By highlighting social concerns and vocal strong on these issues, companies can gain higher sales in competitive markets. It’s the plus that can add good percentage in sales and Global companies always focus on these things to boost their sales.

Corporate social responsibility includes:

• Collaborations and partnerships with social organizations and NGO’s
• Public policy issues management
• Cultural change and developing high moral values
• Strategic plans in lining with public policies
• Stakeholders relations
• Marketing and corporate communications
• Community involvement and reaching to mass scale levels

Corporate social responsibility has become an effective strategy to involve firms, large, medium and small, to achieve sustainable development in societies. A large number of firms are currently engaged in delivering social and economic benefits to local communities across the globe. Socially responsible marketing also includes marketing for social cause. Using this Companies help non-government organizations based on the some percentage values of their sales or profits. In many countries by investing on social issues companies can also get tax redemptions and benefit plans from governments. Marketing socially involves direct or indirect help of local societies, charities and working for social organizations that help in poverty elevation, increasing education levels, working for disabled, health improvement programs in rural areas etc. Governments can boost social sector and provide high living standards to deprive rural and urban areas and people using flexible policies for those companies which are highly investing on social issues. Corporate companies generally have responsibility for work and feels empowerment by showing progress in certain areas by direct help.

As an initiative British American Tobacco (BAT), which holds a 15% share of the global tobacco, adopted social marketing plan based on the framework of World Health Organization (WHO) initiatives. Now many tobacco manufacturing companies are following those guidelines to implement social marketing. Already in many counties cigarettes advertisement is banned and it is a strict obligation on all concerns to put health warnings on packaging and advertisement [2].

Same social responsibility applies to misleading marketing campaigns of alcoholic beverages and adult products. It is generally observed that in almost all advertisements, companies show unrealistic results of their products and create fantasy for ordinary people, which contradicts their daily life style. These create the desire in people to get the product without knowing the harmful effects and long term health issues.

Also many local initiatives were taken by corporate and local companies in Pakistan to help children in education sector, women’s in legal issues, cancer patients, and disabled persons and senior citizens benefits. Though there is huge gap in providing these basic facilities to common people and to deprive areas. Government initiatives in social sectors are not as much fruitful as the work done by private sector due to the red tape bureaucracy, corruption and lack of skilled persons to implement the government policies in social sectors.

Initiatives taken by NGO LEAD, Pakistan with Shell and Unilever in Environment Management Systems, Governance, Corporate Social Responsibility & Partnerships and Education [3].

Pakistan State Oil (PSO) business policy to have “Highly ethical, safe, environment friendly and socially responsible business practices” [4]. PSO is involved in initiatives taken by number of NGO’s in different social sectors.

McDonalds, Pakistan, local community programs, like Ronald’s McDonald Children’s Charities for Darul-Skoon and Beach cleaning programs for healthier environment [5].

Unilever, Pakistan, Corporate Social Responsibility initiatives in Safe Water, Health and Education; in education sector company is working with The Citizens Foundation, The Book Group and Alif Laila Society to provide primary schooling to unprivileged children and teachers training programs [6].

Number of social responsibility initiatives taken by Cupola Group; who has the franchise rights of KFC in Pakistan, under its Cupola Care programs for different segments of society [8].

References:
[1] Philip Kotler and Kevin Lane Keller, Marketing Management 12e, Pearson Prentice Hall
[2] Bob Burton and Andy Rowell, British American Tobacco's Socially Responsible Smoke Screen, Center for Media and Democracy, http://www.prwatch.org/prwissues/2002Q4/bat.html
[3] LEAD, Pakistan, http://www.pcp.org.pk/certified_NPO/CAPITAL/LEAD.pdf
[4] PSO, Corporate Social Responsibility, page 8, http://www.mpnr.gov.pk/yrbook/5.4%20pso.pdf
[5] McDonalds Pakistan, http://www.mcdonalds.com.pk/main1.html
[6] Unilever Pakistan, http://www.unileverpakistan.com.pk/uplrecruit/OurCultureCSR.aspx
[7] http://www.pcp.org.pk/resources.html#NPO%20Profiles
[8] KFC, http://www.kfcpakistan.com/