Question

Chapter 2 – Marketing Ethics Marketing to children has always been controversial. Indeed, in the 1970’s, the FTC considered prohibiting all advertising to children. The federal government once again is setting its sights on marketing aimed at children. With the US child obesity rate and predicated to exceed 20% in just a few years, regulators are pressuring marketers in general, and food marketers in particular, to curb their marketing practices to children. In 2008, the FTC delivered an analysis to Congress of 44 companies’ $1.6 billion food and beverage marketing activities targeting children. A provision in the 2009 omnibus spending bill signed into law by President Obama created the Interagency Working Group on Food Marketing to Children. This group will present recommendations to Congress in 2010 regarding marketing to children and aged 17 and younger. With children and teens spending billions of their own dollars and influencing much more of their parents spending, this is an important market segment to marketers.

1. Studies report that children view more than 20 food ads each day, of which over 90% promote high fat, high sugar products. The marketing concept focuses on satisfying consumer’ needs and wants, but are marketers crossing the line when they cater to younger consumers’ wants for products that may counter parental wishes or that may be unhealthy?

2. What actions are marketers taking to market their products to this market segment more ethically? Discuss industry initiatives that help marketers market to children more responsibly.

Answer 1

1. Frankly speaking, the marketer's aim is to ensure that their products are being bought and establish a brand loyalty with the customer in the long run. But if the children are influenced by a lot of food brands, the marketer's are not be blamed. Maybe set a cap on TV and paper ads aimed at food products for Children. In this way, the influence is reduced. And most parents should be educated on how they insist their children spend money, rather than turning the blame on marketers who are just doing their job. The ability control their food habits should be innate to say the least.

2. To counter these adverse health effects in children, marketers these days refrain from advertising products below a certain age group (say 12). As this is the critical stage, they try to ethically act by avoiding marketing practices targeting these groups. Marketers have also stopped employing influencers below a certain age to market their products in various social media channels. Some marketers organize Marketing campaigns which doesn't include any gifts or toys (like they used to give in cheetos). This is a welcome move by the marketers, as it stops exploiting the credulity of the children.

Some of the industry initiatives include the infamous "Responsibly made for kids" promise by Unilever. By this initiative they aim to provide parents and children with the best decisions regarding food choices and keeps them informed about the same as well. Apart from this, firms these days work hand-in-hand with World Health Organization, and take an industry pledge that the companies shall promote mostly nutritional products only. So, in this way, the marketers working for these firms are encouraged to promote the most nutritional products only which doesn't pose adverse health risks to the children.

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