What is Ethical Marketing?

Ethical Marketing is defined as the process by which companies market their products and services by focusing not only on how their products benefit customers but also how they benefit socially responsible or environmental causes.

In other words, it refers to an organization’s responsibility to ensure all marketing-related activities adhere to core ethics principles, including integrity, humility, and honesty. Ethical marketing is not so much a strategy, as it is a philosophy.

Ethical marketing extends beyond forward-facing marketing activations. A truly ethical organization ensures its internal operations abide by ethical principles, such as making environmentally conscious choices, paying its employees fair salaries, and partnering with ethical vendors.

Brand authenticity has never been more crucial to a business’ success, and companies that have committed to the greater good instead of solely to their bottom lines are seeing a remarkable surge in support - and revenue.

According to a recent survey by Aflac into the potential business impact of ethical commerce and corporate philanthropy 92% of Millennial consumers are more likely to buy from ethical companies, and 82% of those consumers believe ethical brands outperform similar companies that lack a commitment to ethical principles. The same survey found that 75% of consumers will take some sort of negative action if they believe a company isn’t responsible.

Furthermore, a report by Nielsen found that 73% of millennials are willing to pay extra for sustainable offerings, and with more millennials filling positions of power, ethical marketing is more important than ever before. Millennials are at the forefront of the movement demanding socially responsible businesses, and they’ve proven to be not only very active on social media but proactive in engaging with and promoting brands associated with causes they care about.

The bottom line is that an increasing number of consumers are choosing to invest in brands that they believe make ethical, socially responsible decisions – the buying process is becoming less about what’s convenient and cheap and more about what’s sustainable and honorable.

Being ethically aware and responsible as a brand builds a positive rapport with your target market — especially those in the younger bracket — and encourages relationships built on trust. When a company commits to doing business ethically it gives consumers the chance to express their values with their money, deepening their mental investment in the brand at the same time. However, to do it right organizations must communicate their values in an effective, authentic, and appealing way.

Look out for our upcoming blog “Ethical Marketing Done Right”, where we’ll expand into a few general guidelines to follow to ensure your marketing is ethical.

Don’t know where to start? Contact us, we’d love to be part of your ethical marketing journey!