The Critical Role Ethics Plays in Modern Marketing

As difficult as it is to define what “ethics” are in relation to marketing, it is easy to define what it is is not.

Take, for example, a product price landing page that contains incorrect information (or completely hides the price …).

Alternatively, consider a social media ad that claims a product carries X, Y, and Z. However, when you order it, you may find it only does X.

These are the kinds of indecent, dishonest and corrupt marketing strategies we mean when we say that a company has acted unethically.

Ultimately, while unethical marketing may be successful in the short term, it is not a good long-term strategy. Over time, customers will distrust your brand as a whole, and you will have a hard time finding trademark attorneys willing to spread awareness about your product or service Word of mouth marketing.

In short, unethical marketing is going to do a lot of your job as a marketer Heavier in the long run, not easier.

Here, let’s examine the crucial role ethics play in modern marketing (and leadership as a whole) and how you can ensure that you are following best practices to create ethical solutions to all of your marketing challenges.

The role of ethics in leadership

First, let’s define what ethics mean.

While it is easy to define ethics as “the difference between right and wrong,” the truth is a little more complex.

For example, the concepts of “right” and “wrong” are typically relatively subjective. What is culturally “right” in the USA might be frowned upon in Asia and vice versa.

The Markkula Center for Applied Ethics defines ethics as two things: “First, ethics refers to sound standards of right and wrong that dictate what people should do, usually in terms of rights, duties, benefits to society, fairness or specific virtues … which include ethical standards also those who prescribe the virtues of honesty, compassion and loyalty. “

The Markkula Center for Applied Ethics adds, “Ethics [also] relates to the study and development of one’s own ethical standards. As mentioned above, feelings, laws, and social norms can differ from what is ethical. It is therefore necessary to constantly review your own standards to ensure that they are appropriate and justified. “

In the context of marketing, ethics refers to the practice of promoting fairness, honesty and empathy in all marketing activities.

Of course, one of the easiest ways to promote ethics in a business sense is to make sure it flows into your company’s culture and values.

However, it is important to note that it is not enough just to to have a set of values ​​and mission statement. Truly ethical companies must live these values ​​every day (as mentioned here) Article on core values ​​of HBR).

To further investigate what this means in practice, I spoke to Joan Harrington, the director of ethics of the social sector at the Markkula Center for Applied Ethics.

Harrington said to me, “The key to integrating ethics in organizations is leadership. Leadership must lead by example by living organizational values ​​and incorporating them into all aspects of business. So it must have a code of ethics or a set of values having in a manual is not enough to forge an ethical culture. “

Harrington adds, “Employees need to be trained, or at least exposed, in how to make ethical decisions. Ethics is not about what you think is right, it is what I think is right. It’s about how we – in all our different relationships – – should behave.”

Harrington suggests that, in an ideal scenario, an entire organization would undergo ethical decision-making training – but there are some areas of an organization that are more at risk of ethical issues than others (such as engineers working on projects with AI that could affect millions of people). For these higher risk groups, this ethical decision making training should be compulsory and not optional.

As Harrington told me, “This does not mean that there can be more than one ethical answer, but it is not purely subjective. In education, people need to be exposed to real life situations relevant to their work in order for them to really be able to do it . ” Work on how to identify, address, and decide ethical issues. “

To create a truly ethical cultureThe critical leaders model ethical behaviors and values, create a strong community, and design ethical systems in which all employees can thrive.

To this end, Ann Skeet, Senior Director of Leadership Ethics at the Markkula Center, advises executives “Using goals, mission and values ​​to make decisions about compensation and other rewards such as promotions”.

Ultimately, ethical leadership must be incorporated into the processes, not an “afterthought”. That way, it’s not just a person’s sole responsibility to raise their hand and say, “That doesn’t seem fair to me.” Instead, the foundation of the organization should be built on ethical pillars such as honesty and fairness, so that every business decision is made with these values ​​in mind.

Next, let’s examine how ethics play a role in your role as a marketer.

The role of ethics in marketing

Ethical marketing refers to a marketer’s responsibility to ensure that all marketing activities adhere to ethical principles, including integrity, humility, and honesty – both internally and externally.

Let’s look at an example to further see the difference between internal and external marketing ethics.

For example, let’s say your marketing team hires a design agency for a new marketing campaign. In the middle of the campaign, your team finds that the agency is not treating its employees fairly and is not in good alignment with your values ​​in terms of environmental and social responsibility.

Even if your customers don’t knows Regarding this alliance, it is still in your best interest to end working with the agency as soon as possible and to realign yourself with agencies that adhere to the same standards that you have set internally for your own team.

The publicly accessible component of ethical marketing is of course just as important. This includes not stretching out the truth or lies about your product or service (including pricing, functionality, release date, current customers, etc.) in order to attract new customers. Lies about Beyonce’s use of your product seem like a theoretically good idea, but it won’t be long before you get caught.

In addition, ethical marketing also means treating employees fairly, using sustainable materials and doing your part to support environmental or social issues that are important to your brand.

For example, consider the Toms brand that gives away $ 1 for every $ 3and almost gave 100 million pairs of shoes for people in need since 2006.

As Harrington notes, “Marketing has its own built-in ethical issues. For nonprofits, when they fundraise, they ethically tell their customers how they represent their customers.” “Did you involve customers in deciding how to present them? Do you work according to stereotypes?”

Harrington adds, “To find out if marketing is ethical, ask all businesses if marketers are transparent about the product. Is the product well described? Is the marketing ahead of the curve?” indeed Product? And is there undue pressure on potential consumers? “

In 2020, ethical marketing is more important than ever.

For example, consider it costs five to 25 times more to get a new customer as an existing one. Brand loyalty is critical to the long-term success of your company.

Did you also know that people don’t trust companies as much today as they used to? Actually, 81% trust the advice of their friends and family about advice from a company, 69% do not trust advertising, and 71% don’t trust sponsored ads in social networks.

Ultimately, there is only one long-term solution to the ever-growing problem of a suspicious customer base: ethical marketing.

Of course, it’s important to remember that ethical marketing has to have an impact everyone Aspect of your marketing strategy, not just an area or two. You need to show honesty, transparency, and integrity across the board – from the Instagram stories you post to the new product demos you promote.

To learn more about ethical marketing and how to apply it to your own team, take a look at the Markkula Center Framework for ethical decision making.