Raw Content (Markdown)
FLORIDA STATE UNIVERSITY
COLLEGE OF COMMUNICATION AND INFORMATION
# COMPANY BENEFITS AND SOCIAL BENEFITS: EXPLORING STRATEGIES FOR MULTINATIONAL CONSUMER GOODS COMPANIES TO IMPLEMENT MUTUALLY BENEFICIAL SOCIAL MARKETING PROGRAMS
NASHWA NADER SADEK
A Thesis submitted to the
School of Communication
in partial fulfillment of the
requirements for the degree of
Master of Science
Nashwa Nader Sadek defended this thesis on March 24, 2017. The members of the supervisory committee were:
Summer Harlow Professor Directing Thesis
Juliann Cortese Committee member
Patrick Merle Committee member
The Graduate School verified and approved the above-named committee members, and certifies that the thesis has been approved in accordance with university requirements.
# ACKNOWLEDGMENTS
Firstly, I would like to express my sincere appreciation to my thesis advisor Dr. Summer Harlow for her guidance on my Thesis. Her patient and continuous support helped me develop as an academic researcher.
Besides my advisor, I would like to thank Dr. Juliann Cortese and Dr. Patrick Merle for serving on my thesis committee. Their insightful comments, questions, and encouragements were a great help to widen my perspective.
Last but not least, I would like to thank my family: my parents and my sister who never failed to support me in all possible ways throughout writing this thesis and in my life in general.
# TABLE OF CONTENTS
List of Tables .. ....v List of Figures ... . vi Abstract .... .. vii
1. INTRODUCTION .
2. THEORETICAL FRAMEWORK .
3. LITERATURE REVIEW.. .9
4. METHODS . .32
5. FINDINGS . 39
6. DISCUSSION . ..62
7. CONCLUSION ... ..85
APPENDICES ..93
A. INTERVIEW GUIDE ..93
B. IRB APPROVAL MEMORANDUM ..95
C. IRB APPROVED CONSENT FORM ..97
REFERENCES . ..98
BIOGRAPHICAL SKETCH . .109
# LIST OF TABLES
1 A comparison between Nestle and Henkel and their social marketing campaigns .............. ...31
2 A summary of the subjects’ roles during the campaign ...... .34
3 Benefits of social marketing to consumer goods companies ..... .39
# LIST OF FIGURES
1 Map of Pakistan. Adapted from The World Factbook: PAKISTAN. (2017, January 12). Retrieved March 27, 2017, from [https://www.cia.gov/library/publications/the-worldfactbook/geos/pk.html#cntryMapModal](https://www.cia.gov/library/publications/the-worldfactbook/geos/pk.html#cntryMapModal) . .28
2 Map of Egypt. This figure illustrates the location where $9 4 %$ of the Egyptian population resides. Adapted from The World Factbook: EGYPT. (2017, January 12). Retrieved March 27, 2017, from [https://www.cia.gov/library/publications/the-worldfactbook/geos/eg.html](https://www.cia.gov/library/publications/the-worldfactbook/geos/eg.html).. .29
3 “This Country is Ours” campaign’s logo. The figure says “This Country is Ours” in Arabic and it shows the use of red color along with the placement of the brand names .. .42
4 A suggested process for implementing social marketing campaigns . ..58
5 Challenges of social marketing. This figure illustrates the way unclear goals can lead to unmet expectations and that can lead to people’s lack of trust in the campaign . .76
# ABSTRACT
The aim of this thesis was to present social marketing to multinational consumer goods companies as a concept that, unlike commercial marketing, not only benefits the company but also benefits society. Through in-depth interviews and document analysis, this thesis qualitatively analyzed two social marketing campaigns, one launched by Nestle Pakistan and the other by Henkel Egypt. Using the social exchange theory as a framework for analysis, this thesis offers examples and types of benefits that companies and society gain from social marketing. Additionally, this thesis illustrates some of the challenges of social marketing, demonstrating ways and strategies to address these challenges and maximize the benefits of social marketing for the company and society. Most importantly, this thesis identifies ways in which consumer goods companies can fund social marketing campaigns without increasing their overall budgets.
Keywords: consumer goods, developing countries, marketing, social marketing
# CHAPTER 1
# INTRODUCTION
Social marketing eliminates the middlemen, providing brands the unique opportunity to have a direct relationship with their customers. – Bryan Weiner, Internet entrepreneur
In 1999, General Mills came up with a social marketing campaign that later became known as one of America’s most famous breast cancer campaigns (Hessekiel, 2010). “Save Lids to Save Lives,” conducted by General Mills’ Yoplait brand of yogurt, promised that for every lid of yogurt returned by consumers, Yoplait would donate 10 cents to the Susan G. Komen Breast Cancer Foundation. Yoplait then went on to sponsor Komen’s Race for the Cure series, investing in television, online, and magazine advertising of the race, and offering yogurt samples at the races (Kotler et al., 2012). By 2010, a decade after the start of Yoplait’s partnership with Komen, the races attracted 1.6 billion participants (Kotler et al., 2012), and the campaign had generated net funds for the Komen foundation worth more than $$ 26$ million (Hessekiel, 2010). This is one example from the consumer goods industry of a company (in this case, General Mills) implementing a social marketing program aimed at simultaneously benefitting the company (via brand awareness of Yoplait) and society (raising funds for breast cancer research).
In another such example of social marketing, in 2010, and for the first time in 23 years, Pepsi did not advertise in the Super Bowl and instead launched the Pepsi Refresh Project in which it intended to grant individuals and businesses up to $$ 20$ million dollars in prizes for those who came up with ideas that positively impacted society (Zmuda, 2012). One of the many groups that received these monetary prizes was Waukee High School Earth Club in Iowa, which received $$ 50,000$ for being environmentally responsible by planting gardens, building wind turbines, and conducting recycling projects in the group’s community (Perdomo, 2011). Another group winner was Operation Gratitude, an organization that showed appreciation for the military by sending more than 100,000 packages to service men and women (Perdomo, 2011). The Pepsi Refresh Project was credited with improving Pepsi’s likability and increasing consumers’ purchase intentions, especially among millennials (Interaction Awards, 2012). The abovementioned campaigns suggest that traditional television advertising is not the only way for a brand to gain recognition or increase sales. In fact, social marketing – a company or brand’s investment in social or community projects can induce a positive impact and influence a positive behavioral change – could serve as an alternative to traditional forms of advertising. With this in mind, this thesis examines the benefits and challenges for multinational consumer goods companies of investing in social marketing programs in developing countries. Based on in-depth interviews and document analysis of materials produced during social programs conducted by multinationals Nestle and Henkel in Pakistan and Egypt (respectively), this thesis offers practical contributions by shedding light on potential strategies consumer goods companies can employ when implementing social marketing projects in developing countries. Further, this study contributes to existing literature as the findings from data, obtained from experienced professionals in the industry who have direct experience with social marketing campaigns, illuminate social marketing planning and implementation strategies. Additionally, the findings suggest a couple of ways in which consumer goods companies can invest in social marketing campaigns without having to increase their overall spending.
Globally, in 2014, the consumer goods industry was estimated at a value of $$ 8$ trillion and, by 2025, it is expected to reach $$ 14$ trillion (Hirose et. al., 2015). Considering the financial power of this industry, this thesis illuminates the benefits and challenges to multinational consumer goods companies if they invest in or reallocate part of their existing pool of financial resources toward social marketing programs that benefit communities in developing countries. The overarching objective of this thesis is to suggest some strategies for implementing mutually beneficial social marketing programs for the company and the consumer. Also, this study suggests ways that multinational consumer goods companies can fund social marketing programs in developing countries.
First, through the literature review, this thesis highlights various definitions of social marketing. Also, this study notes the main areas that previous studies focused on regarding social marketing, such as the social marketing mix (which is the 4Ps: product, price, place and promotion), benefits, and challenges. While much existing research focuses on social marketing in general, the advantages that it brings to multinational consumer goods companies operating in developing countries are less studied. Thus, this research fills an important gap in the literature by examining how these consumer goods companies can redirect funding to conduct social programs that will not only benefit the community, but, also benefit the brands’ awareness and generate profit. Second, the methods and findings, will be explained. Lastly, a discussion and conclusions will be offered, and limitations, possibilities for future research, and practical and academic contributions will be identified.
This thesis analyzes social marketing programs from two well-known consumer goods multinational companies: Nestle and Henkel. Qualitative document analysis and in-depth interviews with the key people in these organizations who worked on the social marketing programs were conducted to acquire deeper knowledge on the implementations, benefits, challenges, and lessons learned. Thus, this study answers important questions on the possibility of these consumer goods companies re-directing advertising funding to conduct social programs that could have potentially mutual benefits for the community and the company. Additionally, this thesis reveals insightful strategies for implementing social marketing in under-studied markets such as Pakistan and Egypt where Nestle and Henkel (respectively) implemented the social marketing campaigns under study.
# CHAPTER 2
# THEORETICAL FRAMEWORK
The concept of “social exchange” refers to an exchange that takes place between at least two parties in a way that all parties benefit from the exchange (Homans, 1961). Homans (1961) argued that the cost of the benefits that one party in the exchange incurs will be rewarded by the other party’s offer of alternative actions or activities. Emerson (1976) furthered this concept by identifying a connection between a party’s power and the outcomes of the exchange; the presence of more powerful parties might result in unequal and undesirable results. Later on, Cook & Rice (1987) introduced the factor of emotion along with power in the social exchange. They indicated that the presence of different emotions or power levels that one or some parties may have could alter the objective involvement in the exchange. In other words, when parties get involved in an exchange, they try to maximize the benefits to satisfy their personal reasons or emotions in a way that may not be fair to the other parties. Hence, Cook & Rice (1987) concluded that the different emotions or levels of power of the involved parties should be well understood in advance to avoid any subjectivity or unfairness in an exchange. They suggested that parties need to declare their areas of strengths (such as financial strengths) and personal reasons that may trigger the emotions that drove them to participate (Cook & Rice, 1987).
Ridley (2010) traced the concept of the exchange to trades that took place back in B.C. times, and added to the literature on this theory by suggesting that each party should make its expectations clear to the other party. He arrived at this conclusion by studying ancient trades in which people provided items that they had plenty of in exchange for items that they lacked. For example, Ukrainians would trade black sea shells and Baltic amber, which they had in abundance, with Arabs and Mongols in exchange for spices and other materials they needed. In the 90s, scholars like Maibach (1993) adopted the concept of the exchange and applied it to the field of economics by proposing that the parties involved in the exchange can be the company and the targeted audience.
More recently other studies have adapted the social exchange theory to the field of marketing. For example, in a study conducted by Zhang and Epley (2009) about maintaining equality of benefits when members of society exchange favors and whether “givers” in a social exchange expect the benefit to be directly or indirectly reciprocated, museum visitors were randomly selected to participate in multiple experiments. Zhang and Epley conducted six social exchange experiments that are “analogues” of, or comparable to, exchanges that take place between businesses and consumers in economic markets. In one of the experiments, participants were given an artificial scenario in which each one acted once as a giver and once as a receiver of a favor. The study showed that individuals who provided the favor in the experiment expected the benefit to be reciprocated based on the costs incurred in providing the favor, and participants who received the favor were willing to repay the favor based on the benefits they received (Zhang & Epley, 2009). The authors suggested that the exchanges in the experiments are representative the exchanges with benefits that take place in economic markets, thus concluding that consumers would be willing to return the favor they received from a company based on the perceived benefits that they received. In other words, the higher the perceived benefit, the more favors consumers are willing to give back to the company, such as by being loyal to it and spreading positive word about it (Zhang & Epley, 2009).
As explained by Houston & Gassenheimer (1987), the exchange theory as related to marketing suggests that consumers are driven by need-satisfactions with a natural tendency to try and improve their lives and their surroundings. In order to increase consumers’ acceptance of
and readiness to change behaviors, social marketers must provide them with something beneficial in exchange. Any exchange between consumers and a company’s social program must be mutually beneficial (Maibach, 1993). In other words, the exchange theory postulates that if social marketers can “demonstrate that the perceived benefits to be imposed on the society outweigh the perceived costs of its purchase, consumers are more likely to voluntarily adopt this change and accept the brand” (Maibach, 1993, p.214). Kotler (2000) identified five fundamentals required for “the exchange” to take place: (1) there are at least two parties; (2) each party has something to offer that might be of value to the other party (hence, the concept of “exchange”); (3) each party is capable of communication and delivery; (4) each party has the freedom to accept or reject the offer; and lastly (5) each party believes it is appropriate or desirable to deal with the other party (Kotler, 2000).
As Bagozzi (1975) suggested, there is room for validation of the exchange theory. One of the challenges this theory faces is that acquired benefits from social marketing may not be as strongly visible to the consumer as the benefits obtained from commercial marketing (Bagozzi, 1975). In fact, in the domain of social marketing, exchange theory faces different types of resistance (Bagozzi, 1975). For example, the benefits consumers can obtain are often ambiguous or intangible (i.e. reduce the number of uneducated children, increase environmental awareness, etc.) compared to the direct benefits obtained through commercial marketing that consumers actually pay for. In commercial marketing, goods are exchanged for money; whereas social marketing usually involves the mutual transfer of psychological, social or other intangible entities – symbolic exchange.
Partners who apply the exchange theory in a given scenario focus more on long-term benefits than short-term (Luo, 2002). In the case of this thesis the partners are two multinational consumer goods companies and society. Investing in consumers’ behaviors and overall wellbeing can encourage them to show commitment to the company participating in the social exchange (Luo, 2002), although such a result requires trust. Zucker (1986) suggested three ways to build trust: characteristic-based, institutional-based, and process-based. Characteristic-based trust-building focuses on the consumer’s family and ethnic background, institutional-based ways focus on formal social procedures and structures, and process-based ways focus on nourishing the trust developed from past or upcoming exchanges. Process-based trust-building is characteristic of the exchange theory fundamentals outlined above (Zucker, 1986).
The idea that people (including companies) are self-seeking by nature is at the “heart” of the exchange theory (Hastings & Saren, 2003). The best way for companies and social marketers to reach their goals is to convince society and consumers that “what the company is offering or some configuration of it, is in the customer’s best interest” (Hastings & Saren, 2003, p. 306). This thesis uses the social exchange theoretical framework as this study strives to provide strategies and suggestions for consumer goods companies to invest more in social marketing campaigns that would bring mutual benefits to the company and society. Thus, through a lens of the exchange theory, this thesis examines how social marketing can achieve mutual benefits for the company and society without having the companies allocate additional investments on top of their existing marketing budgets.
# CHAPTER 3
# LITERATURE REVIEW
# Definitions and origin of social marketing
Lavidge (1970) first introduced the term “social marketing” when he discussed the public’s concern that businesses spend too much of their marketing tools for the sole reason of increasing sales and making profits without paying attention to the societies that companies operate in. According to Lazer and Kelly (1973), a company’s marketing strategies should at least in part take into account social change, including positive environmental, behavioral, societal, or conceptual changes. More recently, Haddad (2011) defined social marketing as “a tool that promotes the modification of behavior in a society” (p. 16). Likewise, Kotler and colleagues (2002) suggested that “social marketing principals are techniques to influence a target audience to voluntarily accept, reject, modify, or abandon a behavior for the benefit of individuals, groups or society as a whole” (p. 5).
One concept that is interchangeably discussed and often confused with social marketing is corporate social responsibility (CSR). Unlike social marketing, CSR is embedded in a company’s overall strategy and involves projects with results assessed on a yearly basis (Akbulut et. al., 2011). In contrast, social marketing is based on ad-hoc campaigns that happen over a limited time period (Akbulut et. al., 2011). While CSR is focused on its stakeholders and the internal actions that the company should take to be more ethical and socially responsible, social marketing is focused on conducting campaigns where the company performs external actions that will benefit society (Cusot, & Falconi, 2012). Another key aspect of social marketing and corporate social responsibility is cause-related marketing. Cause-related marketing (CRM) is the process in which the firm, through marketing activities, offers a certain amount that is designated for a specific social cause (Varadarajan, 1988). It is also a type of sponsorship in which the organization claims that every purchase of its brand will prompt the company to donate to a specific cause (Nejati, 2014).
Many definitions conceive of social marketing in relationship to commercial marketing. Generally, the goals of commercial marketing are to build brand awareness, facilitate the consumer’s decision-making process, and lower the risk perceived by the consumer to make a purchase (Costantino, 2011). Weinreich (2011) saw commercial marketing principles as fundamental to our understanding of social marketing; he defined social marketing as the use of commercial marketing principals and techniques to promote the adoption of a behavior that will improve the well-being of the target audience or society as a whole. Similarly, Kotler and Zaltman (1971) identified social marketing as the implementation of social programs such as environmental campaigns and/or educational drives to influence consumer behaviors to accept social ideas that should be somehow related to product goals, pricing strategy, and communications. They suggested that according to a typical marketer, the success of a marketing campaign is determined by product development, promotion tactics, place, and pricing strategy, and these same concepts have shown to be applicable to social marketing as well (Kotler & Zaltman, 1971). Hastings (2007) pointed out that social marketing is derived from commercial marketing, and as such social marketing still needs the business shrewdness and knowledge of commercial marketing to achieve change in society. For the purpose of this thesis, social marketing is conceptualized as direct marketing tools that use the company’s brands to conduct social projects that will benefit community through conducting facility enhancements projects and/or positive behavioral change campaigns. Hence, this study strives to identify the strategies that companies can employ in order to use their well-known brand names for social marketing programs. Basically, social marketing is derived from the basis and practices of commercial marketing in order to assist social change campaigns (Dann, 2009).
# Advantages of social marketing and the 4Ps
Peattie and Peattie (2011) emphasized that the “social marketer’s strength and success has been built on adopting commercial marketing processes, philosophies, tools, and terminologies to achieve behavioral change for social good” (p. 164). They adapted the 4Ps of marketing (product, place, price, and promotion) to fit social marketing perspectives in which social propositions replace product, social accessibility replaces place, social cost replaces price, and finally, social communication replaces promotion. However, Weinreich (2011) argued that social marketing should have its own set of separate 4Ps: publics, partnerships, policy, and purse strings. “Publics” refers to external and internal people involved in the program, mainly consisting of the target audience, policy makers, media professionals, and business owners. “Partnerships” refers to figuring out other organizations with similar social goals. These could be health organizations or other governmental establishments. “Policy” is important as any change will not be as effective or sustainable without a change in policy, as well. “Purse strings” references the need to seek money to fund the social programs.
When companies adapt the communication tools of commercial marketing, such as advertising, personal selling, publicity, and sales promotion (Bhasin, 2016), for social marketing, the results will be more impactful when three ideologies are followed (Rothschild, 1999). First, physical brand promises (product features and benefits) and emotional brand image must be promoted consistently across the various tools of communications. For example, the physical features of the brand, like name, logo color, shape of package, product benefits and features along with the brand’s positioning in consumers’ minds, need to be unified across all communications.
Second, promotion needs to be well-unified with the other 3Ps of marketing in which the promotion should be in line with the product, price, and place (or distribution) strategies that the brand team sets for the brand. Third, communication focus is not on providing information but on promoting social behavioral change and action, such as encouraging trial of a certain behavior (like recycling) and striving to endorse the maintenance of the new behavior (Rothschild, 1999). These ideologies are designed to optimize the value of the benefit the target audience will gain from the new behavior or the newly implemented social program (Rothschild, 1999).
# Benefits of social marketing
Research points to multiple benefits that companies and societies gain when companies foster social marketing campaigns (Du et al., 2007). Consumer loyalty is one of the oft-cited benefits. For example, if a company sponsors a small construction project to provide homes for less fortune people in a rural area, it can gain consumer loyalty and encourage existing consumers to become company/brand ambassadors who spread positive word-of-mouth about the company and invest in or purchase the products of the company with the positive reputation (Du et al., 2007). Studies indicate that when consumers relate to the social issue to which a company is attending, there is a higher potential that their purchase decisions will be influenced toward buying that company’s brands (Dawkins, 2005). Thus, by adopting social marketing campaigns that their target customers are interested in, companies can eventually build loyalty among existing and even new consumers. According to the results of a managerial survey conducted by Maignan et al. (1999), there is a strong positive correlation between consumer loyalty and corporations that are socially responsible (Maignan et al., 1999). Bhattacharya and Sen (2004) used a variety of methodologies such as surveys, in-depth interviews, focus groups, and experiments to reach an “articulation” on when, how, and why social marketing works. By examining social marketing from consumers’
perspectives of a company’s social campaigns, their study identified three main findings: first, that consumers differ in their reactions to social campaigns by either getting involved, purchasing the company’s product, or spreading positive word about it; second, that social campaigns trigger internal outcomes, such as the spread of positive brand awareness, that lead to external outcomes, such as consumers buying and becoming loyal to a company’s products; and third, that the company is not the only party that benefits from the social campaign, but also consumers and the social issue being tackled by the campaign.
Moreover, Lu (2013) examined social marketing principals and found that competitive advantage can be achieved since social marketing relies on an audience centered approach, in contrast to other companies that primarily focus on developing and promoting their brands to achieve direct sales (Lu. 2013). By conducting empirical tests on six socially responsible investing (SRI) funds, Barnett and Salomon (2006) found that social marketing and a corporation’s positive behavior toward society or the environment can enhance the company’s image in the eyes of the customers, setting a company apart from its competitors. Additionally, based on the resource-based perspective and the social identity theory that posits that a person’s identity is derived from the group that he/she belongs to (Tajfel, 1974), Saeed and Arshad (2012) proposed possible strategic uses of social marketing activities, such as providing job opportunities to unprivileged citizens in society and providing accessible outlets for consumers to recycle plastic products. They found that such social marketing activities create reputational equity for the company that eventually can lead to profitability. Saeed and Arshad (2012) thus concluded that socially active companies receive a competitive edge by earning this positive image of their brands and having a long-term relationship with their consumers.
Another benefit that companies gain from social marketing is an increase in brand awareness. This is because, simply, when the advertisement or the PR campaign promotes a social campaign, it is at the same time indirectly promoting the brand or the sponsor of that campaign (Park et al., 2004). Handelman and Arnold (1999) conducted an empirical study of 216 randomly selected shoppers in a mall who answered a short survey after watching a mix of six scenarios by fictitious businesses, some of which conducted social campaigns. The study found that consumers were more likely to become loyal customers and spread word about corporations that embrace actions benefitting society (Handelman and Arnold, 1999). Similarly, research suggests the average American consumer might drive an extra eleven minutes out of the way to reach a brand that is more socially responsible than another (CSRBlog, 2012). Also, according to a Nielsen (2014) study on online consumers, $5 5 %$ of global online consumers are willing to pay more for products that are more socially responsible than other products that are not. Further, increased brand awareness is achieved because social marketing campaigns can go beyond a company’s targeted audience, reaching groups such as media outlets, NGOs, regulators, and other businesses (Peattie & Peattie, 2009). Peattie and Peattie (2009) reviewed the role of marketing in the sustainable consumption debate to identify the elements of social marketing that can contribute to consumption reduction leading to waste reduction. The study found out that marketing plays an important role in consumption reduction as it employs tools to spread awareness to people and other entities about the importance of reducing waste.
In addition to building consumer loyalty, gaining competitive advantages, and increasing brand awareness, social marketing also can help involve consumers and other stakeholders in a company (Fein, 1996). For example, stakeholders might take this positive relationship with the company to another level by seeking employment with the company and investing in it (Sen et al.,
2006). Through a web-based survey conducted on 3,538 undergraduate students from a large public university, Sen and colleagues (2006) found that the respondents indicated they would be more likely to invest in a company that conducted social marketing. Hence, it was concluded that awareness of a company’s social acts is positively related to stakeholders’ positive attitude toward the company (Sen et. al., 2006). Moreover, Rhoades and Eisenberger (2002), through two studies of employees from various organizations, showed a positive relationship between employees’ attitudes and the company’s involvement in social work. Their study suggested that employees of socially active companies supported their employers in more ways than employees traditionally do (Rhoades & Eisenberger, 2002).
Thus, based on the preceding literature, this thesis posits the following research question: RQ1: What are the potential benefits to multinational consumer goods companies of investing in social marketing programs in developing countries?
Of course, as the exchange theory posits, any benefits must be mutual (Kotler, 2000). As such, it is worth considering what benefits society reaps when a company institutes a social marketing campaign. Studies show that indeed society does benefit in some ways from social marketing campaigns. Drews (2010) conducted an in-depth theoretical analysis on a case study of a massive and well-renowned European health care company that had a wide pool of consumers it could draw from for its donation- and charity fund-raising events, thus leading to a high number of donations. The study found that it is easier and cheaper to reach the company’s existing consumers through direct communication tools (such as emails and phone calls) than reaching “new” consumers through advertising. Hence, it was concluded that, when big organizations conduct social marketing campaigns, society benefits from the fact that these companies have a lot of consumers who are likely to participate in the campaign (Drews, 2010).
Another benefit that social marketing campaigns have on society is that companies invest in research to figure out atypical ways to utilize their investment to support the targeted individuals who are in need by providing them with financial, educational, and health support (Blomgren, 2011). By examining previous models and research, Blomgren (2011) studied the difference in results when public social work and campaigns are conducted by companies, and when they are conducted by governments, and NGOs. He found that social marketing campaigns conducted by companies tend to be more creative, and thus potentially more sustainable, than those conducted by NGOs and governments (Blomgren, 2011). Similarly, Chakraborty (2013) reviewed previous examples of social marketing campaigns in which she studied the "four-stage cycle of innovation model” that consisted of: identifying innovative ways to address societal issues, developing actionable frameworks, scaling successful implementation, and operating and maintaining the social initiative to a point where it can “sustain itself.” Accordingly, she suggested that social marketing campaigns by corporations bring “new” ideas to society (Chakraborty, 2013). For example, in 2013 Nestle Pakistan launched “The Chaunsa Project,” or “the premium Mango project,” to train mango farmers on the best farming practices while simultaneously increasing Nestle’s fresh mango juice production by adding these newly trained farmers to Nestle’s supply chain (Haq, 2016). One of the Mango farmers said:
I have been doing mango farming for the last 27 years without any substantial increase in production. Last year I got in touch with Chaunsa Mango Project Team and I continued to work according to their protocol and that resulted in $40 %$ increase in my produce and increased employment opportunities in the area (Haq, 2016).
Thus, based on the preceding literature, the second research question this thesis poses is:
RQ2: What are the potential benefits that societies in developing countries gained from multinational consumer goods companies’ social marketing programs?
# Limitations of social marketing
Of course, adapting commercial ideas into social ones requires a fair amount of time and effort to avoid projects that have no real value to society (other than the product benefits that the consumer pays for), or that are “force-fit” ideas (Hastings, 2007). This is because ensuring that the campaign has value involves meticulous processes that commercial marketing must apply, such as audience segmentation and competitive analysis (Hastings, 2007). Another possible limitation is that sometimes companies cannot live up to consumers’ high expectations (Kline, 1999). For example, it is difficult for social marketing to get involved with complex political issues that are beyond the companies’ reach (Kline, 1999). For example, Corner and Randall (2011), by examining social marketing principals and high-profile campaigns attempting to change behavior such as the UK government’s “Act on CO2” campaign, critiqued social marketing due to its inability to induce change without the government’s cooperation. Further, sudden changes imposed by the government can make it difficult for social marketers to maintain a constant conversation with the public regarding social or behavioral changes (Corner & Randall, 2011). Another limitation is that while small positive changes can happen once, it might be difficult for marketers to maintain these changes in the long run (Kline, 1999). Also, according to Kenny and Hasting (2011), before attempting to encourage any societal change, it is important to first fully understand that society’s norms in order to ease collaboration and facilitate trust between the companies and key individuals, social leaders, and influencers. Thus, based on the preceding, the next research question is:
RQ3: What are the challenges to multinational consumer goods companies of investing in social marketing in developing countries?
# Viewership of television
In this digital era of media choice, consumer goods companies must consider alternative ways of advertising other than traditional media like television. The social media revolution opened doors for new and unconventional communication forms– and advertising -- by reaching and influencing audience members individually (Dibb & Carrigan, 2013). As a result, television and other forms of traditional advertising are yielding to digital advertising (Sterling, 2015). Globally, digital advertising is expected to surpass television advertising and become the largest media format in advertising by 2017 (Friedman, 2015; Sterling, 2015). According to the most recent media consumption estimate report from MarketingCharts (2015), the time that U.S. adults spend on digital media roughly grows by half-an-hour every year. Hence, Marketingcharts estimated that by end of 2016, the amount of time spent on digital media by U.S. adults would reach five-and-a-half hours per day. The majority of this time is spent on mobile Internet, which grew by $3 7 . 2 %$ from 2011 to 2015 (MarketingCharts, 2015). In contrast, time spent on television is the second largest behind digital media, with U.S. adults spending about 4.25 hours a day with television, down by 20 minutes since 2011 (MarketingCharts, 2015). According to studies conducted by Nielsen, between 2011 and 2016, television viewership decreased among almost all age groups, especially those targeted by advertisers: television viewership among older millennials aged 25 – 34 dropped by $2 5 . 6 %$ over the past five years, and for Gen Xers aged 35- 49 viewership decreased $12 %$ in that same period (MarketingCharts, 2016). As a result, company spending on broadcast and cable TV advertising also is steadily decreasing, providing reason for companies to start considering allocating their advertising budgets to alternative forms of media, such as social media (Friedman, 2015). The committed spends of 2016 for broadcast TV dropped by $3 . 7 %$ and the spends for cable TV decreased by $2 . 3 %$ from 2015 (Friedman, 2015). These
statistics and trends indicate that companies are starting to invest in alternative media platforms and innovative ways of advertising and branding, opening a space for dollars to be spent on social marketing rather than television advertising. This thesis analyzes two social marketing campaigns of multinational consumer goods companies to better understand how companies might re-allocate TV advertising dollars to social marketing programs.
# Social marketing strategies
The most common social marketing strategies are aimed at influencing behavioral change (Helming & Thaler, 2010). These strategies are typically achieved by implementing techniques like awareness spreading, educational campaigns, and attitudinal campaigns (Wymer, 2011). Two social marketing strategies deal with behavioral change programs: downstream and upstream (Smith, 1998). Downstream strategies usually have smaller-scope programs focusing on individuals or specific groups within society, whereas upstream strategy programs focus on larger societal problems (Smith, 1998). An example of a downstream strategy would be when Persil, one of Henkel’s biggest brands, partnered with a charity organization called “Al Bir.” For a period of one month, for every Persil bottle sold, a certain amount of money was donated to Al Bir to support less privileged women wanting to start their own small business (Henkel, n.d.). An example of an upstream strategy is when, in 1894, Lifebuoy, one of the world’s leading health soap brands by Unilever, launched a campaign in Victorian England about ways for people to protect themselves from the Cholera virus (Lu, 2013).
When it comes to promoting social campaigns, a company should be able to provide expertise and credibility to the public (Icard et. al., 2003). Icard and colleagues (2003) suggested avoiding the use of celebrities and instead using real testimonies from actual members of society or members of the targeted audience to deliver the campaign’s messages. Such a strategy using “real people” can help the targeted consumer to more quickly accept the campaign and trigger people’s actionable steps toward solving the issue at hand (Kotter, 1982). For example, in 2016 Perdue, a U.S. poultry company, launched a campaign claiming that it had adopted new measures to care for the chickens and adhere to general animal rights. The campaign used images of poultry engineers and farmers and their families working with chickens on their farms throughout the campaign (Perdue Foods, 2016).
Other strategies for implementing a social marketing campaign include employing tactics and tools borrowed from commercial marketing (Grier and Bryant, 2005), such as adapting the 4Ps of marketing, as noted earlier. Dearing and Rogers (1996), who studied common social problems, such as drunk driving, offered various steps to implement a social marketing campaign, like conducting an environmental scan to assess the problem and any external factors that might affect the targeted consumer’s behavior. Another is to conduct a systematic analysis to formally test the program, the way it is received by the targeted audience, and whether it will trigger action or a change in behavior (Dearing & Rogers, 1996). Although the literature, as discussed above, offers some social marketing strategies, more research is required to provide strategies for social marketing campaigns conducted by multinational consumer goods companies in developing societies. Thus, this thesis poses the following research question: RQ4: What are the best strategies for multinational consumer goods companies to implement social marketing programs in developing countries?
# Financing social marketing campaigns
Marketing and finance are two terms used interchangeably (Shah, 2010). Generally, before conducting any marketing campaign, a return on investment (ROI) exercise is conducted to be able to identify if the marketing team will be able to make the best use of resources to
achieve the highest possible revenues (Poczter & Siegel, 1986). Previous research shown that a better allocation or use of budgets can bring better returns than just increasing the overall budget (Fischer et. al., 2011). Fischer et. al. (2011) suggested that one of the ways to set a budget is based on a mix of variables, including business size, growth protentional, marginal profit contribution, investment’s long-term effects, investment’s short-term effects investment, and investment’s time-value.
Increased stress on limited natural resources coupled with societies’ growing needs and reduced governmental resources caused nonprofit organizations to compete over resources for funding, which made the campaigns conducted by NGOs and governments not enough, requiring companies to conduct more social marketing campaigns (Madill et. al., 2014). The results from an in-depth analysis of a social marketing campaign conducted by Canadian Mental Health Association Calgary Region (CMHA-CR) indicated that NGOs are not receiving enough support from the government; hence, they are seeking alternative ways to finance their social campaigns by obtaining sponsorships and funding from companies (Madill et. al., 2014). However, perhaps because companies might be reluctant to use their profits on such campaigns, few studies point to ways corporations can fund social marketing efforts.
One possible way to fund social marketing campaigns is through partnerships with other companies operating in different industries. Partnership takes place when two or more parties collaborate on the same project or campaign, so that each party offers assets or expertise to support the project (Brennan, 2012). For example, Carrefour, a French multinational retailer, partnered with Hewlett-Packard (HP), a U.S. multinational information technology company, for the “Ecobin Recycling Program” in Brazil (Carrefour, 2014). “Ecobins” were placed in 140
Carrefour stores in Brazil, allowing customers to dispose of printer waste and cartridges that then were sent to HP’s Brazil Recycling Center to produce new material (Carrefour, 2014).
According to a survey conducted in 2008 by Cone Corporate Citizenship, $9 0 %$ of Americans said it was important for businesses, governments, and NGOs to partner and collaborate to solve pressing social issues (Kimball, 2011). For example, in the late 1980s McDonald’s partnered with the Environmental Defense Fund (EDF) in response to the public’s concern about the fast food company’s excessive packaging waste (EDF, 2010). The partnership was successful as 10 years after the partnership began, McDonald’s had eliminated 300 million pounds of packaging and reduced its restaurant waste by $3 0 %$ , saving about $$ 6$ million per year (EDF, 2010). Few studies, however, examine ways of funding social marketing campaigns, whether via sponsorships, partnerships or other mechanisms (Niblett, 2005), allowing this thesis to contribute to the literature. Thus, the last research question this thesis poses is: RQ5: What are the ways that subjects think multinational consumer goods companies can fund social marketing campaigns in developing countries?
# International examples of social marketing
Research points to some differences between developing and developed countries when it comes to implementing social marketing practices (Lefebvre, 2011). The different strategies are determined by each country’s specific social, political, and economic status (Lefebvre, 2011). Based on a contextual analysis of the use of brand positioning and marketing mix (4Ps) in marketing development strategy, Lefebvre (2011) aimed to document the difference ways in which social marketing evolved in developed and developing countries. He found that social marketing in developing countries focuses on providing products and services, such as contraceptives and insecticide-treated nets, at affordable prices. In contrast, social marketing in developed countries focused on behavioral change campaigns, such as aiming to reduce behavior that induced chronic disease or the use of addictive substances (Lefebvre, 2011). Accordingly, he concluded that social marketing campaigns conducted by companies in developing countries are different than campaigns in developed countries due to different social and economic countryspecific conditions (Lefebvre, 2011).
To illustrate, Mondelez, a U.S.-based multinational consumer goods company that produces confectionery, foods, and beverages, is a socially active corporation that, in the same year (2014), launched two different social marketing campaigns: one in India, a developing country, and the other in the U.S., a developed country (Mondelez International, n.d.). In November 2014, Mondelez India launched its “Shubh Aarambh” social campaign, meaning “auspicious beginning” (Mondelez India, n.d.). Since India suffered problems such as unemployment and poor nutrition among children (Varmal, 2014), Shubh Aarambh, which targeted 200,000 beneficiaries located in rural areas around Mondelez’s India facility, focused on improving the overall nutrition and children’s health in India’s rural areas, and addressing other social issues impacting young people, such as gender equality and lack of employment. The campaign organized various community-level sporting events in which they provided children with healthy snacks as examples of healthy nutrition that they should include in their diet. Additionally, they provided the parents with a lifetime supply of fresh foods by implementing kitchen gardens near the families’ houses (Mondelez India, n.d.).
That same year, using its Honey Maid brand of crackers, Mondelez USA launched a social campaign, “This is wholesome.” Unlike the India campaign, this U.S. campaign focused on behavioral change to socially accept members of society who belong to a negatively and falsely stereotyped race, religion, or sexual orientation. The advertisements and stories of the
U.S. campaign addressed issues of diversity and inclusion by showing stories of atypical nuclear families and neighbors who integrate broad political, religion, sexual and cultural differences by putting aside their fears and disagreements and living together in harmony (Adweek, 2016).
Local differences across nations need to be considered, as explained above, but there are some social and environmental concerns common to all nations that companies can address. “We Mean Business,” an alliance between thousands of the biggest and most popular international businesses, is an example of how companies can collaborate cross-nationally (WeMeanBusiness, n.d.). “We Mean Business” aims to implement and promote social policies and frameworks that work toward low carbon emissions as part of sustainable economic growth (WeMeanBusiness, n.d.). Various competing companies are participating, including Coca-Cola and PepsiCo, Procter & Gamble and Unilever, Acer and Dell, among others (WeMeanBusiness, n.d.).
# Background
One of the reasons that this thesis is tackling the consumers-goods industry is because, compared to other industries, it includes some of the largest and oldest companies in the world (Z., n.d), with a long history in the market, high awareness levels, and well-established brand names. According to a 2015 annual revenue report of companies worldwide in the fast-moving consumer goods (FMCG) industry, Nestle came in at number one ( $$ 103.7$ million), followed by Procter and Gamble ( $$ 84$ million), Unilever ( $$ 68.5$ million), PepsiCo ( $$ 66.4$ million), and CocaCola $$ 45.9$ million). Henkel ( $$ 10.86$ million), ranked as $4 2 ^ { \\mathrm { n d } }$ , is slightly smaller as it does not have a foods division (Consultancy.UK, 2015). This thesis focuses on Nestle and Henkel, two large multinational consumer goods companies. These companies were chosen because they are some of the biggest in the industry. Further, they operate in different divisions (Nestle in foods and dairy, and Henkel in personal care and household cleaning products), which provides this study the opportunity to compare different sectors of consumer goods. In addition, these companies came with an advantage as it was relatively convenient to reach and interview subjects who worked or are still working there due to the author’s previous work relationships from her time as brand manager in Henkel Arabia.
Lastly, both companies implemented social marketing campaigns in developing countries, namely Pakistan and Egypt. Pakistan and Egypt have different current social realities that required different approaches to social marketing campaigns: Egypt, unlike Pakistan, has been heavily influenced by western cultures as a result of its exposure to western media and education such as The American University of Cairo and The German University of Cairo (Amin & Khalil, n.d.). Pakistan, in contrast, is a traditional Islamic state that lacks Western influence (Ronaq, 2016). Still, despite these differences, both countries face similar unemployment issues and poor economic conditions, as well as similar religious and cultural traditions (Cohen, 2011), that offer valid comparison points. Through the analysis of social marketing campaigns in these two countries, this thesis explores how such campaigns might bring about different kinds of benefits for multinational consumer goods companies and society. More details on both campaigns and countries are provided in the next section.
# Nestle
Nestle, formed in 1905, is a multinational food and drink company based in Vaud, Switzerland. Nestle offers a wide selection of products, including baby food, bottled water, coffee, and confectionary. Some of its most famous brands are Nescafe, Nespresso, and KitKat (Nestle, n.d). Nestle’s mission statement is “to provide consumers with the best tasting, most nutritious choices in a wide range of food and beverage categories and eating occasions, from morning to night” (Jurevicius, 2013). It sells in 189 countries, with 2,000 brands worldwide, 436 factories, and roughly 335,000 employees (Nestle, n.d.). According to Magdi Batato (2013), currently Nestle’s executive vice president and previously the chief executive office of Nestle Pakistan, Nestle is active in corporate social responsibility, engaging in activities such as educational programs, health programs for kids, school refurbishing, and more. Globally, Nestle made 39 commitments, built around nutrition, rural development, water, environmental sustainability, and human rights, that it aims to achieve by 2020 to support its long-term goal of giving back to society in all nations in which it operates. For example, in 2015, Nestle activated 84 Nestle Healthy Kids programs in various countries to promote healthy diets for children, and delivered “192 billion micronutrient-fortified servings of foods and beverages, worldwide” (Nestle Public affairs, 2016). Adhering to the human rights component of its 39 commitments, Nestle also launched rural development projects to understand farmers’ needs, advocate for effective water policies, and provide climate change leadership (Nestle, n.d.).
This thesis focuses on Nestle’s 2009 rural development and dairy farmer training project in Pakistan. The Islamic republic of Pakistan is the $3 8 ^ { \\mathrm { t h } }$ largest country in the world and Islamabad is its capital (PakistanFacts, n.d.). Pakistan has a population of 194.9 million. Pakistan is a conservative and traditional society mainly governed by strict religious values (Pike, n.d.). About $9 7 %$ of Pakistan’s population is Muslim, although there are some diverse regions with different cultures and languages other than Urdu spoken, including English, Punjabi and Sindhi (Pike, n.d.). Despite the fact that since Pakistan’s independence from India in 1947 its economy gradually expanded, the country is still mainly rural and wealth is unfairly distributed (Pike, n.d.). Because of its lower economic status and political instability, Pakistan is considered a less developed state (Sami et al., 2015). Unlike governments in more developed countries, Pakistan’s government has limited resources and does not steer the country according to a “civic-minded”
priority, so that more revenues are spent on military expenses instead of health and/or education (Pike, n.d.). For that reason, when multinational companies consider conducting social marketing campaigns in Pakistan, they need to consider Pakistan’s specific social realities. Similarly, these local social specificities were considered while conducting and analyzing the interviews about the Pakistani farmer campaign.
Nestle Pakistan initially launched the farmer training campaign because dairy farmers lacked adequate storage facilities for their milk. To be more precise, if farmers failed to deliver the freshly produced milk within two hours to the nearest Nestle facility, the milk would be spoiled. Moreover, the farmers lacked education on the best way to care for the buffaloes to produce high quality milk rich in protein and other nutrients. This forced Nestle Pakistan in many cases to pay high tariffs to import milk from countries like Switzerland. For that reason, Nestle Pakistan launched the farmer training project in which it trained male and female farmers and their families on milk production skills, including the best ways to raise cows and buffaloes to produce more and higher quality milk.
For this project Nestle Pakistan partnered with the United States Agency for International Development (USAID) to reach rural farmers in Southern Punjab (TheNation, 2013) (see Figure 1). As part of the on-going project Nestle created more than 1,000 storage facilities and collection centers in which farmers can store the milk that they produce on a daily basis. The project also provided milk development training and support to more than 200,000 farmers, which resulted in a $2 0 { - } 5 0 %$ increase in milk production (Nestle Pakistan, 2013). The print and electronic media campaigns associated with the project not only promoted dairy farming best practices, but also “created \[brand\] awareness amongst Pakistan’s general public, which includes government
institutions, universities and other stakeholders” (Néstle Pakistan, n.d.). The project, still in effect, ultimately aims to serve one million dairy farmers across 10,000 villages of Punjab.
Figure 1. Map of Pakistan. Adapted from The World Factbook: PAKISTAN. (2017, January 12). Retrieved March 27, 2017, from [https://www.cia.gov/library/publications/the-worldfactbook/geos/pk.html#cntryMapModal](https://www.cia.gov/library/publications/the-worldfactbook/geos/pk.html#cntryMapModal)
# Henkel
The second company analyzed in this thesis is Henkel, founded in 1879 in Dusseldorf, Germany (Henkel, n.d.). It’s a multinational consumer goods company with three main business units: laundry and homecare, beauty care, and adhesive technologies. Some of its most famous brands include Dial, Persil, Purex, Renuzit, and Schwarzkopf (Henkel, n.d.). Henkel’s mission statement is “serving our customers and consumers worldwide as the most trusted partner with leading positions in all relevant markets and categories – as a passionate team united by shared values” (Henkel, n.d.). The company employs roughly 50,000 workers in its head office, and it operates in 120 nations (Henkel, n.d.). Henkel’s CSR strategy of “achieving more with less” is centered around the goal to be three times as efficient as it is today by 2030 (Henkel, n.d.). For example, as of 2015, Henkel had managed to reduce its water consumption during production by
$23 %$ and reduce its energy consumption by $1 8 %$ (Henkel, n.d.). Also, Henkel educated about 63,000 children as part of a global social marketing campaign focused on environmental sustainability.
This thesis examines Henkel Egypt’s social marketing campaign “Al Balad Baladna,” or “This Country is Ours.” The Arab Republic of Egypt is a Mediterranean country located in North Africa and its capital is Cairo (Egypt, n.d.). Egypt has a population of 94.3 million in which $9 4 %$ of it is located around the Nile river (indicated with a blue line in Figure 2) (EveryCulture, n.d.). Nearly all $( 9 0 % )$ of the Egyptian population is Muslim and the remaining $1 0 %$ is mostly Orthodox Christian (Egyptian-Religions, n.d.).
Figure 2. Map of Egypt. This figure illustrates the location where $9 4 %$ of the Egyptian population resides. Adapted from The World Factbook: EGYPT. (2017, January 12). Retrieved March 27, 2017, from [https://www.cia.gov/library/publications/the-world-factbook/geos/eg.html](https://www.cia.gov/library/publications/the-world-factbook/geos/eg.html)
Government corruption, inequality, and a lack of basic human rights in part contributed to the 2011 Egyptian revolution and the resignation of President Mubarak, who had ruled for 30 years (Rabou, 2015). During this period, when Egypt imagined a democratic future (Sarquis, 2012), Henkel Egypt launched a campaign that was influenced by the Egyptian revolution. In
2011, shortly after the revolution, Henkel Egypt launched “Al Balad, Baldna” or “This Country is Ours” campaign. After the Egyptian revolution, the protests and fights between people who were with the revolution and anti-revolution had caused disarray in the streets in Cairo and other cities. Henkel partnered with TBWA Egypt, a creative agency, and Optimum Media Direction (OMD) Egypt, a media agency, to launch a street-cleaning campaign in which Henkel employees used Henkel’s cleaning products and wore t-shirts branded with Henkel’s brand logos and volunteered during work hours and on their own time to clean areas in Cairo (CampaignStaff, 2011). According to the interviews conducted and data analyzed for this thesis, during a span of five weeks (with a week break after the first two weeks), Henkel advertised the campaign on several media channels, such as television, newspaper, flyers, and online social platforms like Facebook, Twitter, and YouTube. The message’s tone was persuasive and also emotional, as the company linked the love of Egypt to the importance of taking action to make the country a better place to live. Henkel provided the volunteers with all the necessary equipment, such as large trash bags, brooms, shovels, uniforms, gloves, and masks. More importantly, the company provided Henkel cleaning products, including brands like Pril, Persil, General, and Dac. Table 1 provides a summary of both campaigns.
Table 1. A comparison between Nestle and Henkel and their social marketing campaigns
| | | |
| --- | --- | --- |
| |
| Henkel Nestle |
| Industry | Fast moving consumer goods (FMCG) | Fast moving consumer goods (FMCG) Bottled food, coffee, water, baby food, and |
| Type Company size ranking | Household cleaning, personal care, and adhesives | confectionary |
| in the industry | 42nd | 1st |
| Brand names Countries the company | Dial, Persil, Purex, Renuzit, Schwarzkopf | Nescafe, Nespresso, KitKat |
| operates in | 120 | 189 |
| Number of employees | 50,000 employees in head office CSR strategy of "achieving more with less" is centered around | 335000 employees globally 39 commitments to be achieved by 2020 built |
| CSR strategy | the goal to be three times as efficient as it is today by 2030 | around nutrition, rural development, water, environmental sustainability, and human rights |
| Social Marketing campaign Year of launch of | "This Country is Ours" | Farmer Training Program |
| campaign | 2011 | 2009 |
| Location | Egypt (specfically few areas in Cairo) Enforce positive behavior by encouraging people to clean Cairo | Pakistan (specifically Southern Punjab) Enhance Nestle's supply chain |
| Objectives | streets after the protests Spread awareness about Henkel and its products | Increase the farmers' quality and quantity of milk production |
| | Communication tools Social media platforms such as Twitter and Facebook | Face-to-face meetings with the farmers "Goode Badde" or local "sister" employed by Nestle who regulary met with the farmers |
# CHAPTER 4
# METHODS
This thesis examines benefits and strategies for consumer goods companies to implement social marketing campaigns relied on qualitative document analysis of two social marketing campaigns from two well-known multinational consumer goods multinational companies, along with in-depth interviews of subjects who worked closely on those campaigns.
As mentioned earlier, this thesis analyzes social marketing campaigns from Nestle and Henkel. Nestle Pakistan reached out to rural areas in Southern Punjab in Pakistan and taught illiterate males and females farming skills to help them better run their own farms, and increase the milk’s quality and production quantity by raising healthier cows and buffalos. The second campaign conducted by Henkel Egypt during the Egyptian revolution in 2011. Henkel Egypt partnered with media and creative agencies to encourage Egyptians to participate in cleaning the streets after the massive street protests, and to use Henkel’s cleaning products. Nestle and Henkel were chosen because they are large multinational consumer goods companies (Consultancy.UK, 2015) with high levels of brand awareness. Additionally, their large-scale social marketing projects allow this thesis to explore any mutual benefits to the company and society. Studying these campaigns fills a gap in the literature by analyzing social marketing campaigns that were not only aimed at social behavioral change, but that also served society. Further, the different types of sectors these companies serve, and the different campaigns they ran, allow for rich comparisons and contrasts to be drawn. Nestle’s farmer training project’s main goal was to teach farmers innovative ways to produce to milk that would increase the quantity and quality of the milk, benefitting the farmers and Nestle. On the other hand, Henkel’s “This Country is Ours”
campaign’s main goal was to embed new positive behavior in the people (cleaning the streets) and at the same time spread awareness of Henkel’s brands.
# In-depth interviews and sampling techniques
This thesis employed semi-structured in-depth interviews and document analysis research methods. While semi-structured in-depth interviews are based on verbal responses and predetermined questions by the researcher, they allow respondents to disclose any additional information that they believe is important in a conversational manger (Longhurst, 2009). In other words, the researcher asks questions according to an interview guide, but the questions asked and the order they are asked is flexible depending on the flow of the conversation. In-depth semistructured interviews are well suited to gain an understanding of knowledge and experience on a certain area or a project (Lindlof & Taylor, 2011), making them applicable to this study of social marketing campaigns. In fact, interviews provide truthful, relevant and reliable relationships to facts about people, settings, behaviors, and events that took place outside the context of the interviews (Hammersley & Gomm, 2008). For that reason, semi structured in-depth interviews were deemed appropriate for this thesis since the study aimed to gain information from the subjects about two social marketing campaigns that already had been conducted.
Interview subjects were sampled using a snowball technique. Snowball sampling technique reaches subjects with the required experience and characteristics in which one person provides names of other individuals who were associated with the same event or campaign (Sadler, et. al., 2010). Contacting subjects from both companies was relatively convenient because of the author’s former work experience in Henkel Dubai. The first link was the author’s former colleague in Henkel Dubai who had previously worked in Nestle Pakistan during the time the farmer’s training program was initiated; he provided other people’s contact details who
worked there as well. Then, those people provided contact details for other people. Likewise, the first contact for the campaign conducted by Henkel Egypt was the author’s former colleague from Henkel Dubai who had worked on the campaign “This Country is Ours.” He also provided contact details of other people that he worked with on the campaign. Care was taken to ensure that interviewees were involved with the campaigns at different levels, providing a cross-section of jobs and ages. For example, interviews were conducted with people in high managerial positions in each company, as well as people in executional levels. Also, interviews were conducted with people from different aspects of the campaign, such as media, corporate communication, supply-chain, and marketing. Table 2 provides a summary of the subjects’ roles during the campaigns. Interviewees were asked open-ended questions aimed at answering the research questions (please refer to appendix A for the complete interview guide).
Table $2 ^ { l }$ . A summary of the subjects’ roles during the campaign
| | | | | | |
| --- | --- | --- | --- | --- | --- |
| Company | Campaign | Respondent's name | Gender | Age | Role during the execution of the campaign |
| Nestle | Farmer training project | Akmel | Male | 42 | Supply-chain manager |
| Nestle | Farmer training project | Sdeeq | Male | 39 | Project coordinator |
| Nestle | Farmer training project | Bahae | Male | 46 | Project leader |
| Nestle | Farmer training project | Ismael | Male | 35 | Project manager |
| Nestle | Farmer training project | Ashraf | Male | 38 | Project manager |
| Henkel | This Country is Ours" | Adel | Male | 30 | Project manager |
| Henkel | "This Country is Ours" | Alia | Female | 31 | Project manager |
| Henkel | "This Country is Ours" | Philip | Male | 46 | Media manager |
| Henkel | "This Country is Ours" | Layla | Female | 36 | Media coordinator |
| Henkel | "This Country is Ours" | Farida | Female | 30 | Media project coordinator |
In total, 10 subjects were interviewed (five from each campaign). Subjects were comprised of five male subjects from Nestle’s farmer training project and two male and three female subjects from Henkel’s “This Country is Ours” campaign. Subjects from both campaigns were aged from 30 to 45 years old and had around 10 years of experience in the consumer goods industry. Subjects from Nestle were all Pakistanis and their native language is Urdu or Punjabi; however, they write and speak English fluently since they all worked in multinational organizations. Similarly, all five subjects interviewed from Henkel were Egyptians whose native language is Arabic, but they, too, write and speak English fluently. Hence, the interviews were all conducted in English through video calls, voice calls, or emails. Since Nestle’s campaign was conducted in 2009 and Henkel’s in 2011, all the subjects had moved out of these companies and/or countries and taken other jobs in other multi-national companies in different parts of the world. These subjects were located in various parts of the world such as Egypt, Emirates, Pakistan, Canada, Thailand, etc. Because the author conducted these interviews from Florida, USA, there were major time differences. For example, there was seven hours of time difference between Cairo and Florida. As such, the subjects provided the time and method that they preferred for participating in the interviews. From Nestle Pakistan, two subjects preferred to answer the questions via email; the interview guide was sent to their preferred email addresses and they were encouraged to provide comments explaining their answers. They were given two weeks to respond with the answered questions. One interview was conducted via a video call on Skype, one was conducted via voice call on Google Hangouts, and the last one was conducted via a video call on Google Hangouts. As for the interviews conducted with the subjects who worked on the Henkel campaign, three interviews were conducted via email, and two interviews were conducted via voice calls using the same voice call applications mentioned earlier. Regarding the interviews conducted by email, the researcher obtained answers to follow-up questions through subsequent emails. The voice calls and video interviews lasted around 50 minutes. Questions asked included: What were the direct and indirect messages of the campaign, how can a company expand its social role without increasing the amount they spend, and how can social goals and the brand’s goals be achieved through social marketing campaigns.
# Document analysis
Besides interviews, this thesis also employed document analysis to examine campaign materials produced for these two projects. Document analysis is a systematic process that involves reviewing content on printed and electronic documents in order to gain deeper understanding of the topic at hand (Rapley, 2007). These documents were produced for the sole purpose of the event and were “recorded without a researcher’s intervention” (Bowen, 2009). These documents include newspapers, press releases, television and radio advertisements, charts, maps, brochures, etc (Bowen, 2009). Usually, the qualitative researcher draws upon two or more sources of data to seek relationships between findings that emerged during the document analysis and other qualitative research methods such as interviews or focus groups (Yin, 1994).
Interviewees were asked to provide documents and figures that were used to supplement the interviews and thus support the analysis. Via email, subjects provided documents including PowerPoint presentations and Word documents with the number of consumers the campaigns reached, campaign’s key performance indicators, sales figures during the time of the campaign, measures of brand awareness in consumer minds, and social media measures. In addition, any material used in the campaign was analyzed, such as any television or digital videos promoting the campaign; social media pages and videos. The figures and verbal or written messages in the documents first were analyzed by linking them to the questions in the interview guide, then linking them to the overarching research questions that this thesis poses. Subjects’ comments during the interviews also were related to the data on the documents. Ultimately the interview transcripts and documents were analyzed holistically with the grounded theory approach.
# Analysis and validation of methods
Interviews were transcribed by the researcher, and the documents were analyzed using a grounded theory approach (Corbin & Strauss, 1990) to look for the emergence of common themes and patterns pertaining to interviewees’ perceptions about the benefits and challenges of social marketing. A grounded theory approach is a systematic procedure commonly used in qualitative research that involves building theories and forming conclusions through data analysis (Martin & Turner, 1986). Using the grounded-theory approach, the concepts and ideas are analyzed as data is collected, leading to conclusions and recommendations (Faggiolani, 2011). For example, during analysis, three main themes related to the benefits of and potential for using ad dollars for social marketing campaigns emerged: building consumer loyalty, enhancing supply chain for the company, and increasing brand equity. More details on the themes related to the benefit of social marketing to the company and to society are discussed in the next chapter.
Qualitative methods were deemed most appropriate for the purposes of this research because they are useful when the researcher is striving to obtain deeper knowledge of a program and “a complete picture” of what happened (Boyce & Neale, 2006). There are some pitfalls of qualitative research methods. Unlike quantitative research, qualitative methods can be expensive and time consuming to collect a large amount of data. Even though some critics question the reliability and validity of qualitative research methods, trustworthiness and rationality of the information are key concepts in ensuring reliability and validity of qualitative data (Seale, 1999). According to Patton (1990), the relevance of the researcher’s background and experience in the topic is particularly important in qualitative methods because the researcher is the main “instrument” of data collection and analysis. In this thesis, the researcher has prior experience in the consumer goods industry, which helped generally verify the information given by the subjects. Second, this study employed triangulation. Triangulation refers to employing more than one method to ensure that every method makes up for the weaknesses of the other method (Shenton, 2004). For example, along with focus groups or interviews, conducting a document analysis can assist in verifying the information that the participants provide (Shenton, 2004). For that reason, this study employed two methods: interviews and document analysis. Third, there are some tactics that help ensure the honesty of the information provided by the subjects (Shenton, 2004). If every subject recruited for the study was given the opportunity to accept or decline participating in the study, the researcher would ensure that the participating subjects are the ones who willingly accepted to participate and shall freely provide honest information (Shenton, 2004). Also, the researcher should inform the participants that the questions have no right or wrong answers. Hence, the participants would be able to give their honest opinions and ideas without the fear of losing credibility in the eyes of the researcher (Shenton, 2004).
This thesis recommends strategies for consumer goods companies to consider while implementing social marketing campaigns. For that reason, data is most appropriate when obtained from professional and experienced people from the same industry who have prior hands-on knowledge and executed social marketing campaigns, thus making in-depth interviews all the more valuable.
# CHAPTER 5
# FINDINGS
# Benefits to consumer goods companies
Answering RQ1, which asked about the benefits that consumer goods companies gain from investing in social marketing campaigns in developing countries, the most common pattern that emerged from the responses indicated that social marketing campaigns provide nonfinancial benefits to the company that can eventually lead to financial benefits. These nonfinancial benefits that emerged from that data include increasing the company’s brand equity, building consumer loyalty, and enhancing the supply chain for the company. Still, subjects also seemed to believe that the overall goal of consumer goods companies is to make profit. For that reason, they seemed to suggest that the primary reason companies launch social marketing campaigns is because they know that in the long run nonfinancial benefits will ultimately result in some sort of financial gain. Table 3 provides a summary of the nonfinancial benefits and the way they can lead to financial benefits.
Table 3. Benefits of social marketing to consumer goods companies.
| | | | |
| --- | --- | --- | --- |
| Company | Nonfinancial benefit | Result | Financial Benefit |
| Nestle & Henkel | Increasing brand awareness | 1) Increase product trial rates Increase consumers | Increase of revenues |
| Nestle & Henkel | Building consumer loyat | Minimize likelihood of losing consumers to competition | Reduce likelihood of losing revenues from losing consumers to competition |
| Nestle | Enhancing company's supply chain | 1) Ensure availability of high quality raw materials (Milk) Open new sale channels such as exporting | Increase of revenues |
Subjects mostly all agreed that a company will see increased product sales as a result of a social marketing campaign. “You see, companies do these things because they know very well that they eventually generate money; if these social marketing campaigns or any other, do not
somehow generate money for companies, they won’t do them,” said Adel, a 30-year-old male who was one of the project managers of Henkel’s “This Country is Ours” campaign. Still, despite an overwhelming belief that social marketing was good for a company’s bottom-line, a few subjects argued that companies will not make as many sales from social marketing campaigns as they would from traditional marketing, and thus companies should still rely on commercial marketing. For example, Adel said, “Most of the times, the main goal for any commercial marketing tool, like TV ads, is to make the product appeal to consumers so we can sell more products to more consumers; but, this is not the case with social marketing.” Similarly, Ismael, a 35-year-old male who was one of the project managers on Nestle’s farmer training project, said, “When it comes to generating sales, social marketing can never completely replace commercial marketing.” This is because, according to Ismael, the farmer training project’s main goal was not to gain nonfinancial benefits (such as building consumer loyalty or spreading awareness on Nestle’s brands), but rather to solve a specific need of Nestle Pakistan, which was enhancing the milk supply.
The first nonfinancial benefit interviewees pointed out was related to the various ways that, in the long-run or the short-run, social marketing campaigns can increase brand awareness and brand equity. For example, Umran, a 39-year-old project coordinator on the farmer training project, said: “When consumers learn good skills like that, eventually they will be well aware that Nestle provided training and education for them.” He explained that this could build on the brand-equity that Nestle is acquiring from its other marketing strategies. Also, he indicated that this increase in brand equity could eventually lead to financial benefits as the more consumers are aware of and become loyal to Nestle, the more sales Nestle’s products can make. Similarly, Ahmed, from Nestle, said, “One day, those farmers or even their children, when they see
Nestle’s products in the store next to them or on TV, they will remember that Nestle came to them and did all these good things.”
Similarly, subjects who worked on the Henkel Egypt’s campaign also noted the way social marketing can improve brand awareness. In particular, subjects noted how the “This Country is Ours” campaign forged emotional connections that helped improve brand equity. For example, Philip, a 46-year-old male who was the media manager working on Henkel’s campaign, said, “The campaign directly hammered on the people’s love for Egypt.” He explained that for that reason, people spread word of the campaign and became “ambassadors” for the campaign – and the company – by inviting their friends and families to participate in the street cleanings. Philip also noted the way “people were not only talking about the campaign and posting pictures on social media, \[but\] talk shows and TV programs were also mentioning it during their shows and they went to the streets to interview people during the clean-up.” Similarly, Alia, a 31-year-old female who also was a project manager of the Henkel campaign, said that it was a “great campaign” that was well-received by the people, as the addressed social issue was relevant. She explained further by saying that the protests and “how can we make Egypt a better country” were all that the media and the public were talking about. For that reason, Henkel knew that it needed to be a part of that conversation. Alia said: “Through the campaign, Henkel emotionally bonded with the people by helping them perform activities like the streets clean-up activity to make the country a better place. For that reason, they will remember the Henkel name for a long time.” Alia said: “Henkel owned the campaign by putting Persil and Pril on the logo of the campaign that was placed on many items like the buckets, tshirts, and trash bins… We also gave the participants stickers of the campaign’s logo to put on their cars or hang on their apartments’ door knobs.” The document analysis bolstered Alia’s
statement, as it was evident from the images of the participants cleaning the streets that the logo was used throughout the campaign on items like car window stickers, t-shirts, caps, and buckets. Figure 3 shows the “This Country is Ours campaign” logo, which not only had Henkel’s common brand names in Egypt (Persil and Pril), but was also designed in black and red, which are the company and brand colors. In fact, as the photos illustrated, the color red also was used in the campaign items like t-shirts, brooms, and trash bins, thus further cementing the connection between Henkel and the cleanup campaign in the minds of consumers.
Figure 3. “This Country is Ours” campaign’s logo. The figure says “This Country is Ours” in Arabic and it shows the use of red color along with the placement of the brand names.
Additionally, Layla, a 36-year-old female media coordinator, said: “When a company launches a social marketing campaign to address or solve real issues, consumers would think highly of these companies and have top-of-mind awareness (TOMA) of its brands.” When brands gain TOMA, consumers will have the brand names in their mind when they are thinking about their next purchase (Farris, 2010). Likewise, Adel, a 29-year-old male who was one of the project managers of the campaign, said: “Spreading word of mouth benefited the company as it increased the people’s awareness of the company’s products.” He added that the campaign benefited the company as it offered potential consumers who did not use Henkel products the chance to try the products because the company provided the consumers with its products to use during the street cleanup. Unlike free samples of household cleaning products provided at the store, giving the consumers Henkel products during the clean-up was a way of inducing trial for cleaning products as the people were given the products and they were able to try them instantly during the clean-up. Adel noted that, according to a brand awareness tracker report that the company receives on a monthly basis from the company’s research agency, awareness of Henkel brands increased after the campaign. As Adel explained, this tracker report surveys a sample of Henkel’s targeted consumers about products in the industry in which they are asked if they “know” the product. Even though, due to confidentiality, Adel could not provide exact numbers, he said: “After the campaign, the awareness measures of the Henkel products that participated in the campaign had increased.”
Another nonfinancial benefit identified was consumer loyalty. Subjects from both campaigns indicated that conducting social marketing campaigns helps create a positive image of the company that in turn builds customer loyalty. Consumers increasingly are concerned about the environment and other social issues, and they expect the companies behind the products they use to be concerned about those issues, too, interviewees said. For example, Akmel, a 42-yearold professional male who was the supply-chain manager on Nestle’s farmer training project, said, “Consumers are now well-aware of the issues happening around them and they will not be fooled with simple social work. If they do not see real positive impact, they will stop buying the company’s products.” Similarly, Philip, a 46-year-old male who was the media manager working on Henkel’s “This Country is Ours” campaign, said, “Being a good corporate citizen works well with consumers, especially millennials. For that reason, the company has to appeal to them when they are young as they will remember the company when they grow up and become target consumers for the company.”
A third nonfinancial benefit interviewees discussed was the way social marketing campaigns can enhance a company’s value chain. This benefit emerged only among the subjects from Nestle’s farmer training project, which makes sense given the nature of that project. Still, such a benefit could be applicable to other companies conducting similar campaigns. The interviewees from Nestle Pakistan said that a key benefit of the farmer training project was the enhancement of the company’s milk supply. They said that since the farmers who participated in the training campaign were incorporated as Nestle suppliers, Nestle’s quality and quantity of milk increased on a yearly basis. For instance, based on a PowerPoint presentation that Ahmed provided, the milk supply for Nestle in 2014 went up $2 0 %$ over 2013. Ismael, project manager on the farmer training project, said, “The project was beneficial for the company since Nestle Pakistan is a supply-driven company.” Supply-driven companies plan their yearly projected sales based on how many resources they have, not how much demand they expect (Pine, 1993). Such companies focus on techniques to obtain resources to be able to produce and make the product available to consumers (Pine, 1993). On the other hand, a demand-driven company forecasts the number of products it will sell based on the targets it puts and the marketing campaigns it plans to do, then accordingly, the company orders the required supply of raw materials (Lipton, 2013). Subjects noted that improving the company’s supply chain ultimately could lead to financial gains. Osama, a 46-year-old male who was a project leader on the farmer training project, mentioned that the trained farmers learned skills and remodeled their farms to raise healthier buffaloes and cows that led to higher quality milk rich in protein and free of toxins. “This benefited Nestle Pakistan as it reduced the company’s dependence on expensive, imported, highquality milk from countries like New Zealand,” Osama said. He explained further that after this campaign the milk’s quantity and quality met the global standards set by the World Health
Organization (WHO), allowing Nestle to export milk to foreign countries and thus opening up new channels for generating revenue.
# Benefits to society
While all the subjects strongly agreed that social marketing has numerous benefits to the company, they also said that it benefits society as well, as long as certain conditions are considered during the planning and implementation of the social campaigns. Answering RQ2, which asked about the benefits to societies in developing countries when consumer goods companies conduct social marketing campaigns, analysis of the interviews revealed four main themes: learning simple and advanced specific skills; gaining financial benefits; changing negative behaviors and enforcing positive habits toward society and environment; and spreading awareness about relevant issues.
Based on all the subjects’ responses, the first theme that emerged highlighted the way a targeted group of people can learn new skills from well-crafted social marketing campaigns. Interviewees said these skills vary from simple skills, such as sewing, to more advanced skills, like computer programing, that can expand their personal capabilities, increase their value in society, and eventually improve their ability to obtain jobs or run their own businesses. Subjects who worked on the farmer training project said that the farmers learned personal and professional skills from the program. For example, Sdeeq, a 39-year-old male project coordinator on the farmer training project, said that the campaign taught the farmers skills such as opening a bank account and managing their finances. “These farmers didn’t receive much education; if Nestle did not get them to open bank accounts they may have never got to know how to do this and they would be lacking skills that the world is using,” Sdeeq said.
Teaching skills, subjects suggested, is better for society in the long-run. Ismael, who worked in Nestle, quoted the famous Chinese proverb, “give a man a fish and he will eat for a day; teach a man to fish and he will eat for a lifetime.” Ismael was suggesting that social marketing campaigns can teach people a skill that can benefit them long-term instead of just giving them a one-time monetary award that eventually will run out. “Those farmers did not just learn advanced farming skills that will benefit them…\[but\] they can also pass along this knowledge to their children; hence, benefiting the upcoming generations as well,” he said. It was evident from the images that showed Nestle’s employees and the famers working in the farms and interacting in the meeting that Nestle’s teams diligently worked with the farmers and provided them with on-the-job training to teach them the new skills. Similarly, Adel who worked in Henkel, claimed that social marketing could have real benefits for society if a company provided the public with a long-term benefit rather than just a “hit and run” social campaign. He said: “In order for the people to fully earn the intended benefits of the social campaign, the campaign should happen in stages with multiple follow-ups and not just a tick mark so that the company can say we did something good.” In fact, he said that one of the aspects that he would change about “This Country is Ours” campaign if he had the chance to repeat it is to make it more frequent, as he believed that repetition can have a higher chance of inducing a positive behavioral change, which is the second theme discussed next.
The second theme related to societal benefits that emerged from the data was about financial gains that emerged as a result of people learning new skills. Based on the PowerPoint slides that Akmel provided, the supply-chain manager on the farmer training project, farmers’ household incomes increased between $20 %$ and $5 0 %$ on a yearly basis when the farmers started working with the campaign. These variations in increases depended on the farm size and the quantity and health of the cows and buffaloes that the farmers initially started with. The Pakistani farmers learned about modern and enhanced ways of raising those animals by implementing free-flow model farms. “A free-flow model farm” is where the cows and buffalos are allowed to wander freely in open fields and eat fresh grass at any time, Akmel said. Free-flow model farms led to the increase of the quality and quantity of milk. Also, as indicated by Ismael, when Nestle Pakistan set contracts with these farmers, there were no terms or conditions requiring the farmers to exclusively supply milk to Nestle. “This gave the farmers an edge since they did not only start producing more and better quality milk, but they also had the option to sell their milk to other companies,” he said.
Conversely, the subjects from the Henkel campaign said that there were no direct or indirect financial benefits to the people from “This Country is Ours.” Layla said: “During the Egyptian revolution, people were highly concerned about challenging the status-quo and were less concerned about making money…People used to leave their jobs during the day to participate in the protest.” In other words, Layla explained, even though the campaign did not bring about financial benefits to the people, it was still deemed successful because the campaign was about behavioral change which reflected the “change” that Egyptians were aiming to achieve.
Layla’s comment illustrates the third theme: influencing people to adapt positive behaviors that could potentially have a positive impact on society. According to Alia, project manager in Henkel, “Cairo residents saw cleaning the streets, or even the areas in front of their buildings, as shameful behavior that is beneath classy people to do.” Henkel saw the campaign as an opportunity to change the perception that cleaning is shameful by tapping into people’s love of Egypt as a reason for them to clean the streets. This helped to embed in their understanding the idea that there is nothing disgraceful about cleaning the streets, but rather it is a fun and patriotic act, as “this is our country and we need to take care of matters with our own hands,” Alia said. Also, Philip, the media manager who worked on “This Country is Ours,” said that the “campaign did not only empower people’s positive behavior towards Egypt, it has also made a lot of Cairo streets to appear cleaner and neater after all the massive protests.” According to the PowerPoint slides that Philip provided, the participants seemed enthused while cleaning the street, as evidenced by photos of the people smiling, taking selfies with their cellphones, and happily allowing Henkel’s staff to take pictures of them while cleaning the streets. Likewise, Ismael, from Nestle’s farmer training project noted that the project positively impacted more than just the farmers who were directly trained. He said, “It is safe to say that now, other neighboring farmers who got to know that the new farming behaviors have shown good results, have also adapted these new behaviors of the free farm model and they will not go back to old ways.”
The final theme related to societal benefits that emerged from the data was about the importance of using campaigns to spread awareness and educate people about a relevant issue concerning society. In this case, educating the people is different than teaching them a skill, as education is about informing the people about the risks of a certain issue and increasing their awareness on how to avoid it or deal with it. According to Ashraf, a 38-year-old male who was a project manager of the farmer training project, the farmers were educated about the importance of producing healthier milk and the way it impacts society and the health of children in Pakistan. Ashraf said: “This helped increased the farmers’ dedication to learn the new farming techniques as they believed that they were contributing to a brighter future for Pakistan and healthier future generations.”
Likewise, Adel mentioned that “This Country is Ours” helped educate Cairo residents about the importance of being role models for the upcoming generations. “If they love their country and want a brighter future for their children, they should get up and take actionable steps to see positive changes,” he said. These positive changes that Adel referred to were evident in the before and after cleaning images of Cairo streets. The before-the-campaign images showed the amount of garbage piled up on the streets and the after-the-campaign images showed the garbage all packed in big trash bags and placed in trash bin. Adel explained further that the campaign was successful because the awareness raising coincided with a growing demand for change in Egypt. “It was successful because the younger generations arranged these protests because they wanted to change the future of Egypt; so, they were willing to participate in activities to make Egypt a better place,” he said.
# Challenges of implementing social marketing campaigns
All subjects said that from their experience, social marketing posed few challenges. In analyzing RQ3, which questioned what challenges consumer good companies faced in implementing social marketing campaigns in developing countries, analysis showed three main themes. The first theme was related to the lack of clear definition of scope of project. The second theme is related to the high expectations that people have. Companies face a major challenge with social marketing campaigns because the targeted group of people usually has high expectations for what a campaign will accomplish when multinational companies attend to a social issue. The last theme of challenges was related to lack of trust. If the goals of the social campaign were not specific and achievable, people can lose trust in the company and not believe other messages that the company delivers in its other communications.
The first theme of challenges that interviewees from Henkel pointed to was the lack of a clear definition of the project. And, just as Nestle subjects noted the way the challenge of lack of trust stemmed from a lack of SMART goals, so, too, did the Henkel subjects suggest that a precise definition of the scope of a campaign was dependent on well-articulated SMART goals. Philip said that the main issues that Henkel faced were internal issues that affected Henkel during implementation and evaluation of the campaign, but did not negatively affect the consumers. He explained by saying that the goals of “This Country is Ours” were neither specific nor measurable, which made implementation difficult. He said that the geographical scope of the campaign was not clearly defined and Henkel employees thought that the campaign was supposed to be conducted in all governorates in Egypt and not just in Cairo. At the last minute, “shortly before announcing the campaign on the media, the company decided to conduct the campaign only in some areas of Cairo,” Philip said. “This has caused some confusion within the employees and lack of clarity on what exactly is expected from them to do to contribute to the campaign.” Also, Philip said that the campaign goals were not measurable. “Henkel should have come up with specific key performance indicators such as how many streets Henkel wanted to clean,” he said. Alia said that despite the challenges Henkel faced with “This Country is Ours,” the campaign still was successful because people liked Henkel products, which were leaders in the homecare and detergents category, and thus consumers did not focus on any implementation “hiccups” or wonder why Henkel did not conduct the campaign in other governorates as well. “The fact that Egyptians are very sociable made them really like the campaign as they got to participate in the streets clean-up while socializing with their neighbors, friends and families,” she said.
When considering the second theme of people’s high expectations, Osama, who worked with Nestle, said the farmers were aware of the company’s profits and believed that they highly contributed to these profits. For that reason, they expected social marketing campaigns to benefit them directly and in tangible ways. “People always ask themselves ‘what is in it for me?’ and they always expect that there will be a lot of benefits for them,” Osama said.
Similarly, Farida, a 30-year-old female project coordinator who worked on “This Country is Ours,” mentioned that people tend to expect immediate results of any campaign. This challenge is especially noticeable when a campaign’s goal is to change behavior because behavioral change requires substantial time and effort. “When it comes to behavioral change campaigns like ‘This Country is Ours,’ people have even higher expectation from themselves and they would like to see an immediate change,” Farida said. She explained that it was challenging because consumers easily gave up when confronted with the effort and time they needed to invest to see a long-term change. If she were to repeat the campaign, Farida said she would definitely increase the campaign’s time span, make it take place on a monthly basis over a period of at least two years in order to embed this new positive behavior in the people’s daily routine. “For the sake of society, if people give up on themselves, the company should not!” she said.
The last theme related to challenges emerged when the respondents claimed that people would lack trust in the company if the social marketing campaigns did not achieve the required results. Subjects from Nestle and Henkel said that a social marketing campaign would not achieve its results if it did not set SMART (specific, measurable, achievable, relevant, and timebound goals \[Lawlor & Hornyak, 2012\]) goals at the outset. Bahae, one of the project leaders who worked on the farmer training project, said that it is important to set these goals “and get them right from the first attempt of the social marketing campaign…The social marketer’s job will even be harder if he/she gives social marketing a second attempt because then, the people will be even more skeptical.” For that reason, if the campaign’s goals and benefits were not clearly identified in the beginning, the campaign will not be well received by the people. Additionally, Ismael, who worked with Nestle, noted that the farmers were initially skeptical of the campaign and the hidden motives of Nestle in general. “The Pakistani farmers were conservative and it was difficult for them to trust a foreign company like Nestle,” he said. Further, the farmers initially were not clear of the campaign’s goals and “they felt they were being used,” Ashraf said. He went on to say that Nestle addressed this challenge by emphasizing the fact that the farmers were free to sell their milk to any other company and there were no restrictions requiring them to provide solely to Nestle. The company also dealt with the farmers’ mistrust by placing people on the campaign that they knew and trusted. For example, Bahae elaborated that, within every group of farms, Nestle recruited a local woman who acted as a “goode baddee,” or a sister, for all the farmers. She served as a link between Nestle employees and the farmers. Bahae said that they trusted her as “she looked like them and understood their ways.” The YouTube videos that Ismael referred the researcher to showed the “goode baddee” meeting with the farmers on the farms and in their homes to discuss the daily challenges they faced in implementing the new farming techniques. Bahae indicated the importance of the goode baddee was that as she was a female, the conservative female farmers were more comfortable working with her than with Nestle’s staff.
# Strategies for implementing social marketing programs
In answering RQ4, which asked about the best strategies for implementing social marketing programs in developing countries, subjects’ comments revealed they believed that successful strategies are dependent on the brand awareness level, products’ availability in the market, and the nature of the social issue being addressed. All subjects said that a successful social marketing program must involve a long-term strategy in which the benefits last over time. Additionally, subjects agreed that a good social marketing strategy should allow for two-way communication between the company and the people. Based on the respondents’ answers, four main strategies emerged: determining brand awareness and maturity level, assessing the campaign type and the social issues, encouraging the public’s maximum participation and involvement in the campaign, and having benefits with lasting impacts.
The first strategy was about ensuring that any brand associated with a social marketing campaign has high awareness in the consumers’ minds and has reached the maturity stage in the product life cycle (PLC). The PLC stages are introduction, growth, maturity, and decline (Waghmode, 2014). Ismael, who worked on the farmer training project by Nestle, said a company should not conduct social marketing campaigns unless its brands reached the maturity stage of the PLC. He elaborated by saying that when the brand reaches the maturity stage, the brand has achieved basic requirements, such as adequate “distribution, right pricing, and right packaging.” He said that since Nestle’s brands had been present in Pakistan for a long time, and thus had achieved high awareness levels and reached maturity, the company was able to afford to focus on a social marketing campaign, like the farmer training project, that did not have the company as the central focus of the campaign. “Only after those basics are met, then the company can consider conducting a social marketing campaign,” he said. Similarly, Adel, who worked in Henkel, said there are some “product-related aspects that need to be done right, such as ensuring product availability inside the store and providing the right size at the right price.” He added, “It does not make sense for the company if the consumers participating in the social marketing campaign could not find the product offered by that company in the store next to them.” On that same note, Farida, also from Henkel, said that “this was not an issue for Henkel as Henkel’s brands were leading the market, which made people very receptive of the campaign.”
The second strategy that emerged was to conduct an assessment of the product features and its relevance to the social issue the campaign intends to address. Unlike the previous strategy, which saw unanimous support, subjects disagreed on whether the product and the nature of the social issue need to match. For example, Layla, who worked on Henkel, said that “This Country is Ours” campaign was relevant to Henkel’s cleaning and detergent products since the campaign was about cleaning streets. However, Layla believed that as long as the brands are strong enough, a company could conduct a campaign in any area, even if it does not directly relate to the product. “When the brands are strong and big enough, then they stand for values that can be outside the area where products operate…As long as there are real benefits for the people, I do not see why it would not work if a detergent or a dish wash liquid launched a campaign about educating children or empowering women,” she said. On the other hand, Akmel, from the farmer training project, argued that the type of social issue addressed in a campaign needs to be related to the product type. He said that one of the reasons that the dairy farmer training project was successful was because the campaign was directly related to Nestle’s milk products. “The company needs to have some experience in the area that it is conducting the social campaign in. Like in the farmer training project, Nestle’s supply chain team knew what issues they faced with the milk; that’s why they were able to tell what needs to fix and the quality of the milk they were looking for,” Akmel said.
The third strategy subjects discussed was using different communications tactics to ensure that the social marketing campaign invited the participation of the public and encouraged two-way communication between the people and the company. Akmel, from Nestle, elaborated on this point by saying that there has to be a common medium or forum where the people involved in the campaign can express their views or concerns. Sdeeq, also from Nestle, said that what tools companies use to communicate with the public depends on the audience they are trying to reach. For example, Akmel said that social media platforms were not used in the farmer training project because at that time (2009), social media was not yet common in Pakistan, and farmers in particular did not have access to the new technologies. Therefore, as Akmel mentioned, “the sessions in which the farmers were taught the new farming skills served as a place for them to express their concerns and make suggestions.” For example, illustrating the communication that took place, Sdeeq recalled, “During these meetings a couple of farmers asked about how long it would take the cows and buffaloes to start yielding higher quality milk.” According to the images in the PowerPoint slides that the respondents provided and according to the information the subjects provided, farmers took those meetings seriously, attended them regularly, and asked questions regarding the job and the campaign. Ashraf, also from Nestle, added, “This goode baddee (sister) that Nestle employed for every group of farms would visit the farmers every couple of days to check on them and see if they have any concerns that she can answer or maybe report these concerns to the project managers who can address them.”
Henkel’s campaign also was participative, which subjects said was key to success. Unlike the Nestle campaign, though, the Henkel one relied on social media to involve the public. Philip said that the use of social media platforms like Facebook and Twitter not only encouraged interaction between the company and consumers, but also among the public itself, as people used these platforms to arrange meetings and carpools to plan which streets they would clean. Through the use of hashtags like #AlBaladBaladna (meaning this country is ours), the public shared their thoughts and accomplishments after spending a day cleaning the streets. “The hashtag was successful as it appeared on consumers’ pages and group pages other than the campaign’s social pages,” Alia said. In fact, based on the document analysis, the campaign’s Facebook page gained 33,000 fans. Philip said that the hashtag provided feedback on the campaign’s Facebook page about the things that Henkel could improve, such as starting the cleaning earlier in the morning when there was less traffic on the streets. And as Alia noted, the company took the Facebook comments into account: “As per these comments on Facebook that we got, we managed to start the cleaning a bit earlier in the morning in some areas in Cairo.”
The final strategy pertained to the need to have long-term campaigns that will continue over multiple years and bring “long-term wins” to the people, as Ismael pointed out. Ismael, who worked in Nestle, said that in order for the people to learn a real skill or change their behaviors, a social marketing campaign should span five years or more. Akmel and Osama, who worked in Nestle, likewise said that long-term campaigns are necessary so that the public can take what they learned and replicate it in other projects or even start their own businesses. Based on one of the videos that the subjects referred the researcher to, one of the farmers who was involved in the campaign indicated that he was able to transfer dairy farming to a sustainable business that he could benefit from long-term. He said:
Dairy farming is my passion; but, I was not satisfied with the outcomes! After I met Nestle’s team who taught me things and made me change the scenario to implement things like a cooling system for the milk, better cages for newborn cows, and better nutrition for the cows and buffaloes, I’ve decided to turn dairy farming into a business. So far, it has been very successful.
Osama added: “Only after six months, and in some cases one year, those farmers started to get a grip and master the new farming techniques that they learned.” Moreover, Adel, from Henkel, mentioned that a campaign should have multiple stages. He said that the first stage should be to inform the public or the targeted audience about the social issues and the reason it is important. “Basically, persuade or show them why they need to participate in this campaign,” he said. Then, they should receive some training and/or education depending on the campaign. Adel mentioned that when it came to “This Country is Ours” he believed that Henkel should have spent some time (one or two days) to give the people simple training in the collection of the garbage from the streets, places to dispose the garbage, and ways to clean the pavements. “There was some mess and people were confused on what exactly to do on the first couple of days; but, with the help of Henkel personnel, they figured things out afterwards,” he said. Adel then suggested that the third stage would be to start the actual campaign and implement the steps that the people were trained on. Finally, he said that the last stage was to follow up on the implementation to ensure that the application of the campaign was taking place as planned. He added that the stages should happen in a cycle, allowing new people to join and get educated, thus repeating the process of implementation until the new behavioral change or the new skills are fully incorporated into the participants’ routine. Subjects from Nestle noted that the farmer training project was conducted in stages, just as Adel from Henkel highlighted. Ismael said that the farmer training project started with meetings that informed the farmers about Nestle, what Nestle was planning to do, and what was required from the farmers. Unlike the first stage that
Adel suggested, the first stage in the farmer training project lasted longer (around two months, as Bahae mentioned) than what Adel suggested. The next two stages that Adel suggested were combined in the farmer training project. As Ismael said, “The farmer training and the actual work were taking place at the same time since the farmers were given on-the-job training.” Below, figure 4 represents the stages of the process of implementation that Adel, from Henkel, suggested above. As he noted, it is a cycle that does not end at stage four: even as the company is following-up on a project, it simultaneously should be informing the public about the campaign and educating news participants about how to get involved in the project.
Figure 4. A suggested process of implementing social marketing campaigns.
# Funding social marketing programs
The final research question (RQ5) examined the ways that subjects think the companies can fund social marketing campaigns in developing countries. When it came to paying for social marketing campaigns, interviewees suggested that, depending on the campaign’s objectives, the company can find ways to fund the campaigns internally. Subjects from both companies said that the campaigns were funded internally via the marketing budget. As Ismael, from Henkel, explained, most consumer goods companies at the beginning of the year project the revenues they will make throughout the year, and based on those projections they set the marketing budget. When interviewees discussed how to pay for social marketing campaigns, two main themes emerged: the possibility of companies reallocating funding from television advertising to pay for social marketing campaigns, and the possibility of partnering with NGOs and governments to partially fund the campaigns.
Interviewees differed when it came to the possibility of reducing the television advertising budget to re-allocate funding to social marketing. Some respondents were against the idea of reducing the television advertising as they said reducing television advertising will most likely have a negative effect on sales. Others, though, said that if the brands had strong equity then the company could allocate some of the television budget to fund social marketing campaigns. Ismael, from Nestle, said that he strongly believed that television advertising is still the most effective way to reach more households. He argued that reducing television advertising would in fact go against a company’s goal to make money. “The objective of the farmer’s training program was not to increase sales, so if Nestle went off of television, it would have definitely lost sales,” he said. He said that “unless the social marketing campaign’s direct or indirect goals were to increase sales, then taking from television advertising budget might be okay.” Furthermore, if a company believed it was making enough profit, then a decision like cutting back on television advertising and spending it on social marketing would have to be a “top-down” decision coming from the company’s global head office.
Akmel, from Nestle, said the decision to reduce the television advertising budget depends on a brand’s level of awareness and household penetration. He explained that if a brand has high top-of-mind awareness and high household penetration rates, then a company can reduce television advertising by a small fraction. For example, he said that “if a company usually spends $$ 20$ million on television advertising yearly, the reduction should be minimal ( $$ 2$ or $$ 3$ million) so that the brands do not suddenly disappear from television.” He said that Nestle did not need to reduce television advertising to fund the farmer training project as Nestle had some reserves allocated specifically for the project. He acknowledged the possibility that if other competing brands in the market offer similar features and advertise on television, the brand might lose some consumers to competition if television advertising were reduced. Similarly, Umran from Nestle mentioned that Nestle’s brand “Milkpak” was one of the leading milk brands in Pakistan. He said that during one of the focus groups, one consumer said, “My veins do not have blood in them, they have Milkpak.” Reducing TV advertising therefore would not harm multinational companies with strong brands if the reduction was small and done gradually, he said.
In contrast, Alia and Adel, who worked in Henkel, said that multinational consumer goods companies can afford to pay for at least one major social marketing campaign per year without having to reduce investment in television advertising. As Alia explained, “Multinational companies have a lot of brands in which some of them make more than the targeted profits. These are the brands that can generate more money for the company to spend on additional projects such as social marketing campaigns.” Farida, also from Henkel, said the marketing department was willing to spend on “This Country is Ours” because while the campaign had social goals, it also had a goal to increase awareness of the company’s brands. “Even though Henkel’s brands were leading the market, competing brands from Procter and Gamble and Unilever were very active, too, and we had to constantly come up with creative ideas to remind consumers about Henkel,” she said. She added, “Since Henkel was happy with the campaign results, taking a small amount of the television advertising budget to keep doing such campaigns can have good effects on brand awareness, if not better!”
The second funding-related theme subjects discussed was related to the possibility of partnering with NGOs and governments. While most subjects saw the viability of using advertising dollars to pay for social marketing campaigns, only a few respondents suggested that companies can rely on external sources to partially fund social marketing campaigns. For example, Osama from Nestle suggested teaming up with nonprofit organizations, the way Nestle partnered with USAID “to facilitate the initiation” of the farmer training project. He said USAID did not give direct funds to Nestle, but rather supported the campaign by providing extra-skilled personnel in farming and arranging meetings and follow-ups with the farmers. “When these entities supported Nestle, Nestle was able to reduce some of the campaign’s costs as Nestle did not have to worry about hiring external agencies who have the right expertise to support Nestle with the project,” he said. Philip, from Henkel’s media agency, pointed out that companies could reach out to governments as partners. He said that governments have funds to support social campaigns if they see the benefits that the campaign will bring to society and the economy. On the other hands, respondents like Ashraf from Nestle and Layla from Henkel said that it is difficult for companies to receive funds from governments because governments are aware that these consumer goods companies make a lot of money and they do not need external funding from governments. “It just doesn’t make sense for giant multinationals like Henkel to ask for money from governments, especially since the governments like Egypt don’t have much money,” Layla said.
# CHAPTER 6
# DISCUSSION
This thesis aimed to identify ways that, through social marketing, multinational consumer goods companies can gain benefits while at the same time give back to society. Based on the social exchange theory, the study highlighted the benefits of social marketing to the company and to society, while suggesting ways to finance social marketing without requiring the company to increase its marketing budgets. By analyzing two social marketing campaigns, this thesis showed how consumer goods companies can use social marketing to increase brand equity, build consumer loyalty, and enhance a company’s supply chain. This study also identified the benefits that people can gain from social marketing, such as learning simple and advanced specific skills, gaining financial benefits, changing negative behaviors and encouraging positive habits toward society and the environment, and spreading awareness about relevant issues. Also, this thesis provided examples of the challenges the Nestle and Henkel faced when implementing social marketing campaigns, such as people’s lack of trust, high expectations, and the campaign’s unspecific goals. Moreover, this thesis suggested strategies to overcome such challenges, such as conducting a prelaunch analysis determining brand awareness and maturity levels, ensuring products’ availability in the market, and evaluating the nature of the social issue being addressed. Most importantly, this thesis answered the question of how companies can fund social marketing without increasing their current spends. It was identified from the findings that companies can use a fraction of its budget for television advertising budget to spend on social marketing, or partner with NGOs. This study relied on interviews with experienced professionals working in the consumer goods industry who had direct experience with planning and implementation of
social marketing campaigns, giving this thesis a real-world perspective and allowing for practical applications to be made.
# Benefits
As the findings from the first two research questions suggest, subjects agreed that social marketing campaigns can bring benefits to the company and society if certain strategies are followed and applied. The majority of the benefits for the company that interviewees discussed were nonfinancial benefits, such as increasing brand equity, building consumer loyalty, and enhancing the company’s supply chain, although subjects were quick to note that the nonfinancial benefits eventually lead to financial benefits. There was common agreement that unlike commercial marketing campaigns such as sales or promotional campaigns, social marketing campaigns’ really only direct benefits for a company are nonfinancial. This is because, unlike social marketing, commercial marketing usually involves a direct message calling consumers to purchase the company’s products. This finding indicates that these companies recognize the financial benefits that social marketing eventually leads to, suggesting that ultimately, perhaps, their focus is more on the benefits the companies gain from social marketing, rather than the benefits society receives. This finding reflects the definition of social marketing given at the beginning of this study (p. 9) that indicates that social marketing employs commercial marketing tools and uses the company’s brands and logos to conduct projects that benefit society. Still, social marketing, in this case, is conducted by profit-making businesses, not NGOs. For that reason, and based on the social exchange theory, benefits that a company and society gain from social marketing are mutual (Maibach, 1993), but not necessarily equal.
# Nonfinancial benefits to companies
The first nonfinancial benefit that emerged from the data that consumer goods companies gain from social marketing campaigns was increasing the company’s brand equity. Respondents said that regardless of the specific cause of the social campaign, when a company invests in a project that has real benefits to society, people will become well-aware of the campaign and the company conducting it. Also, respondents mentioned that advertising about the campaign is the equivalent of spreading awareness not just about the campaign, but about the company. For example, even though Nestle’s farmer training project main goal was not to gain awareness and the campaign was not advertised about on media, respondents who worked on the campaign believed that in the long-run, the farmers and their children would remember and appreciate the efforts of the campaign. Hence, they would spread positive word about Nestle within their communities.
While Henkel’s “This Country is Ours” campaign had a main goal of spreading awareness about the company’s brands through conducting the street cleaning campaign, the idea was the same: promote the campaign and brand equity will be enhanced. This was evident from the findings that emerged from the document analysis that showed how the campaign’s logos and the t-shirts that Henkel gave to the participants had the company’s colors and brand names. Additionally, “This Country is Ours” promoted the campaign on various media channels, including television and online social media platforms like Facebook and Twitter. Both companies’ increased brand awareness as a result of social marketing, rather than commercial marketing, adds weight to the notion that social marketing’s strength is built on adopting commercial marketing tools and processes to achieve some kind of social good (Peattie & Peattie, 2011). Respondents said that “This Country is Ours” campaign was well-received by the people, evidenced by the way people positively talked about Henkel and the campaign on social media.
This thesis thus showed that social marketing campaigns can increase a company’s brand equity, especially if the campaign is promoted via media channels, especially social media. This supports Park and colleagues’ (2004) argument that when advertising or PR promotes a social campaign, it is at the same time indirectly promoting the brand or the company conducting the campaign. These findings thus indicate an advantage for companies using media to promote their social campaigns. Furthermore, the fact that social marketing, rather than commercial marketing, still resulted in improved brand awareness could perhaps assuage any consumer goods companies’ concern that social marketing would not reap rewards, because, as previous studies have shown, increased brand equity is tied to increased sales (Bhattacharya & Sen, 2004).
The second nonfinancial benefit of social marketing the findings revealed was consumer loyalty, but only if consumers believe the campaign will benefit them or society directly. In the case of Nestle’s farmer training project, the main goal was not building brand loyalty. Still, the interview subjects indicated that, in the long run, Nestle can gain consumer loyalty from this program, as when Pakistan’s public becomes aware of this project and the way it helped improve the quality and increase production of milk for current and future generations, farmers’ incomes will increase, enabling them to afford some of Nestle’s more expensive products and then become targeted consumers. Furthermore, farmers will be loyal to Nestle as a result of the benefits (to be discussed in the next section) they gained from the program. While the Nestle interviewees saw consumer loyalty as developing over time, for the subjects from Henkel, building consumer loyalty was a more immediate result, in part because the campaign had an explicit goal to improve loyalty, which was done by directly linking the company’s brands with the campaign. Participants were provided with the Henkel products to use during the campaign, and participants received t-shirts with logos of the company’s brands and the campaign. This idea was that consumers would associate Henkel’s brands with a good cause, potentially making them loyal to Henkel. Additionally, “This Country is Ours” tackled a relevant social issue that the entire country was concerned about. Subjects indicated that the campaign generated consumer loyalty to its products because the campaign’s goals were parallel to consumers’ concerns. This finding reflects Maignan and colleagues’ (1999) conclusion that companies can ultimately build loyalty among their existing and new consumers by adopting campaigns that address social issues that consumers are most concerned about. Hence, building consumer loyalty is a clear benefit of social marketing campaigns if the campaign provided valuable benefits to the participants and if it addressed issues consumers deemed to be relevant to society. What’s more, the Nestle campaign indicates that consumer loyalty can develop over time, potentially influencing consumer loyalty in future generations that are still benefitting from the social marketing campaign.
The third nonfinancial benefit that emerged from the analysis was enhancing a company’s value chain. This benefit only was seen with Nestle’s farmer training project because Henkel’s “This Country is Ours” campaign was not related to the company’s supply chain or production process. Since Nestle had problems with its milk supply, the farmer training project was launched with the main goal to increase Nestle’s quality and quantity of milk production. Subjects noted how Nestle ultimately was able to add farmers to its payroll as milk suppliers – a benefit for the company, as well as the dairy farmers. Further, Nestle’s quality and quantity of milk increased on a yearly basis and its supply chain improved since the launch of the campaign, leading to a financial gain: with improved milk quality, Nestle Pakistan was able to export milk to other countries, opening a new sales channel leading to more revenues. As such, the benefit of improving the supply chain via the farmer training project illustrates the way social marketing campaigns can benefit the company in a way that is specifically related to problems or issues the company is facing.
# Benefits to society
Besides benefitting companies, this thesis also showed that social marketing benefits societies in developing countries if specific conditions are met and certain strategies followed. These benefits to society reflect one of the fundamentals of the social exchange theory (Kotler, 2000). The social exchange theory refers to an exchange that benefits all the involved parties (Homans, 1961). According to Kotler (2000), the theory has five main fundamentals: (1) the exchange has to involve at least two parties; (2) each party has something valuable to offer; (3) each party is capable of communication and delivery; (4) each party has the freedom to accept or reject the offer; and lastly (5) each party believes it is appropriate to deal with the other party. As clearly identified in the second fundamental, both parties have to offer valuable benefit(s) to each other. While, as mentioned above, the company (first party) gains benefits from social marketing campaigns, the public (second party) involved in the campaign also gains benefits. The four main themes of benefits to society that emerged from the findings were learning simple and advanced skills, gaining financial benefits, changing negative behaviors and enforcing positive habits toward society and environment, and gaining awareness about relevant issues.
The findings suggest that when people learn simple or advanced skills from social marketing campaigns, they highly value these benefits because they can use those skills over a long period of time – potentially making them grateful and thus more loyal to the company that gave them those skills. For instance, respondents said that the farmers involved in Nestle’s
farmer training project highly valued the campaign as they learned skills that will benefit them for a long time. Farmers learned innovative farming techniques that increased the health of the cows and buffaloes in their farms and, as a result, increased the quality and quantity of milk production. Other than the farming skills, farmers also learned other skills, like managing their finances and opening bank accounts.
The “four-stage cycle of innovation model” presented by Chakraborty (2013) is mirrored in the planning and implementation of the farmer training project. The four-stage cycle of innovation model consisted of identifying innovative ways to address societal issues, developing actionable frameworks, scaling successful implementation, and operating and maintaining the social initiative to a point where it can “sustain itself” (Chakraborty, 2013). First, Nestle Pakistan came-up with the new “free farm model” in which buffaloes and cows were left freely to eat grass whenever they wanted. Second, Nestle developed a plan launching the project. Third, it explained the project to the farmers and trained them in the new farming techniques. Finally, when the farmers were ready, they started implementing the new farming skills even as Nestle personnel followed up with the famers to ensure they were implementing the new skills correctly. Respondents said that, after the campaign, farmers became more skillful, and the increase in production allowed them to sell more milk to Nestle and to other suppliers. Even though Henkel’s campaign did not teach the people actuals skills, the respondents from Henkel agreed that a social marketing campaign has to give the people something in order for the campaign to be appreciated by the people. The skills themselves are a benefit, as is the increased income the skills can potentially facilitate. What’s more, the Nestle case illustrates that, depending on the type of skills they learn, those benefits can be passed on to future generations, thus benefitting society long-term.
In contrast, one of the pitfalls of Henkel’s “This Country is Ours” campaign was that the implementation did not follow a sequential process similar to the one implemented by the farmer training project and the one explained by Chakraborty (2013). Even though Henkel’s campaign did not teach the people any skills, it was meant to positively change their behaviors, which is a process that should also take place in several stages. These findings illustrate that, since most social marketing campaigns are related to teaching skills or changing behavior (Haddad, 2011), the campaign should take place over stages similar to the “four-stage cycle of innovation model” (Chakraborty, 2013).
The second benefit to society of social marketing that emerged from the data was gaining financial benefits. As a result of the first benefit mentioned above, when people learn new skills, they increase their capabilities and thus increase their likelihood of getting jobs or even opening their own businesses, which could eventually lead to increased incomes. In fact, according to the findings that arose from the document analysis, when the farmers implemented the new skills they learned from Nestle’s campaign, they increased their incomes between $20 %$ and $5 0 %$ on a yearly basis. Also, since those farmers were not exclusive suppliers to Nestle, they had the option to supply milk to other companies as well, so that the skills directly led to new sources of income for the farmers. In contrast, respondents from Henkel said that “This Country is Ours” did not bring direct or indirect financial benefits to the people. Still, the fact that the participants from Henkel’s campaign did not gain financial benefits did not lessen the success of the campaign because, even though they gained no financial benefits, the campaign still was aimed at behavioral change that could positively impact society. Additionally, the targeted audience of “This Country is Ours” was more concerned about the pressing issue of cleaning their neighborhoods and, at that time, they were less concerned about making money. Hence, financial gains can be realized as valuable benefits of social marketing depending on the people’s current needs and the goals and the nature of the campaign. This finding shows that social marketing can be adapted to not only fit the specific company needs (as previously discussed), but also can be adapted to cater to people’s specific needs.
The fact that the farmer training project had financial benefits to the people and “This Country is Ours” campaign did not serve as an evidence that social marketing can be successful as long as it meets consumer’s needs and addresses what concerns them at the moment, even if no financial gains are involved. While much of the literature focuses on the ways that companies can fund social marketing and the benefits that they will gain, few studies discuss the financial benefits that people can gain from social marketing. This is because, usually, companies are more concerned about the amount of return that they will gain in relevance to the amount they invested in any given campaign (Poczter & Siegel, 1986). This thesis thus adds to the literature about financial benefits to society from social marketing, suggesting that while financial gain is important, it is not the only determinant of success for a social marketing campaign.
The third theme of benefits that emerged was related to encouraging people to adapt new positive habits that could potentially have a positive impact on society. If asocial marketing campaign succeeds in embedding positive behaviors in people’s daily routines, the newly adapted behavior can positively impact society for a long time, as the new behaviors would be inherited by younger generations. The new farming skills and habits that farmers learned from Nestle’s farmer training project will not be only be passed on to the farmers’ children, but also could influence neighboring farmers, leading them to adapt similar behaviors.
Similarly, Henkel’s “This Country is Ours” campaign was focused on inducing positive behaviors that also could be shared and passed down. Interview subjects noted how people had a misconception that cleaning the streets in their neighborhood was a shameful act, but the “this Country is Ours” cleaning campaign helped change this perception. Henkel’s campaign tapped into the people’s love for their country and encouraged them to think that cleaning the streets showed pride in their country. The fact that people actually participated in the street cleaning and supported the event on social media served as a proof that they started to think and behave differently. These findings indicate that social media facilitated the spread of this positive behavior: people used social media to talk about their participation in the cleaning campaign, thus encouraging their friends and family to join in, too. Moreover, the social media discussion about the campaign attracted the attention of mainstream media, with talk shows featuring the campaign, and newspapers publishing articles about the success of the campaign. The campaign thus gained nationwide attention, potentially contributing to nation-wide behavioral change, even though the street cleaning itself was limited to Cairo. On the other hand, Nestle’s campaign’s behavioral changes were more localized, in part because Nestle did not attempt to spread the word about behavioral changes the same way Henkel did. However, since the new farming habits that the farmers adapted were obviously successful, these new habits influenced nearby farmers, thus spreading, just not as far as in the Henkel campaign. Clearly, unlike Nestle’s campaign, the use of various media channels helped Henkel’s campaign achieve its goal of influencing positive behavioral change on a wider scale.
Further, by providing the cleaning products on the spot to the people who showed up to clean, Henkel’s cleaning campaign bolsters previous studies that show social marketing campaigns can have better results when the campaign encourages trial of the new behavior (Rothschild, 1999). Of course, unlike the Nestle campaign, which is still ongoing, the Henkel campaign lasted only five weeks, raising doubts about the long-term viability of a short-term campaign aimed at behavioral change. As subjects pointed out, changing behavior requires more time – after the campaign ended, so did the street cleaning. This finding suggests that if companies want to use a social marketing campaign to induce positive behavioral change, it must occur in a persistent and timely manner.
The last theme of benefits to society that emerged from the data was related to gaining awareness about relevant issues. Educating people about societal issues increases their awareness of the importance of the issues and the ways of dealing with them (Rothschild, 1999). As such, increasing people’s awareness about societal issues can relatively minimize the negative impact of the issues on society. Throughout Nestle’s farmer training project, farmers were educated on the importance of high quality milk for the nutrition of Pakistan’s children. This increased the farmer’s dedication to the project as they became more aware of the health issues that Pakistan’s children face, and believed that they were positively contributing to the growth of healthier children. Moreover, one of the goals of Henkel’s “This Country is Ours” campaign was to educate the people on the importance of being role models to the upcoming generations so that they would not shy away from acts like cleaning up the streets in their neighborhoods. Part of what allows large multinational consumers goods companies with brand awareness like Henkel and Nestle to spread awareness on societal issues is that they have a large pool of consumers who will know about the campaign. As Drews (2010) found, such companies can conveniently reach a wide audience by directly reaching out to existing consumers. It is worth questioning, then, whether the farmer training and street cleaning campaigns would have been as successful at spreading awareness about societal issues if they had been conducted by smaller, lesser-known companies. Future research should explore this further.
# Challenges of implementing social marketing campaigns
The third research question of this thesis examined the challenges consumer goods companies faced in implementing social marketing campaigns in developing countries. Findings pointed to three main challenges: ensuring the campaign had a clear definition of its scope, managing people’s high expectations, and handling people’s lack of trust. In fact, these challenges are interconnected, as people’s lack of trust can result from having their high expectations unmet, and a lack of definition of scope can lead to mistrust or even cause the people to have too high of expectations, or different expectations that don’t align with the company’s goals. Subjects suggested that the key to overcoming these challenges is to have specific campaign goals that are clearly communicated to the public.
The first challenge was ensuring that the campaign had clear definition of scope. Respondents from Henkel indicated that in order to ensure smooth implementation and that the right message of the campaign was delivered to the public, the campaign’s objectives and scope needed to be first clearly defined internally. Henkel interviewees indicated that one of the pitfalls of “This Country is Ours” was that the geographical scope of the campaign was not clear to Henkel’s employees, which led to some confusion during the launch of the campaign. This is because some of Henkel’s employees in Egypt outside of Cairo were under the false impression that the campaign would be conducted throughout the country. If Henkel’s employees in other governorates spread word about the campaign and there was no implementation, people would have been disappointed and they would have spread negative word about Henkel. Fortunately for Henkel, this confusion did not hinder the overall effectiveness of the campaign because Henkel’s team was quick to resolve the issue. For this reason, a company needs to ensure that the geographical scope of the campaign is clear to all of its employees, especially when its a
multinational company with a lot of employees who can assist in spreading word about the campaign if they were well-informed about it.
The first challenge mentioned above can lead to the second challenge, which is people’s high expectations. There are a couple of issues that lead to people’s high expectations that companies must tackle. First, when multinational companies plan a social marketing campaign, people expect that the benefits from this campaign will directly benefit them because people are aware that multinational companies make high profits and they believe that they directly contributed to these profits. In this case, companies may face difficulties living up to consumers’ high expectations (Kline, 1999). Second, if the social marketing campaign is about behavioral change, people expect to see immediate results. For example, the farmers in Nestle’s project raised concerns at the beginning of the campaign about how fast they would start seeing positive results in the milk production. Nestle then had to be careful to make sure the farmers understood that the training involved a gradual process that required patience and determination. Nestle took the time to meet with farmers to ensure that their expectations were in line with what the company could actually deliver. Similarly, the participants in Henkel’s campaign were enthused about taking matters into their own hands and cleaning the streets. For that reason, they spent time and effort in the cleaning and encouraged their friends and families to join. However, as the respondents indicated, the participants in the campaign had a misconception that a couple of days of cleaning would be enough and would keep Cairo’s streets clean for a long time. For that reason, the respondents indicated that, through the campaign, the company needed to work with the people to keep them inspired to keep working on the campaign for as long as required until the new behavior was embedded in their routines and passed on to their children.
The third challenge that emerged from the data was about people’s lack of trust. As discussed above, if people’s expectations are not met, they will lose trust in the social marketing campaign as well as the company itself. Respondents indicated that it is crucial for the social marketing campaign to have “SMART” (specific, measurable, achievable, relevant, and timebound goals \[Lawlor & Hornyak, 2012\]) goals that are clearly communicated to the people so that they know exactly what to expect from the campaign. Interviewees from Nestle’s campaign said that at first farmers were cynical and not quite clear on the real objectives of the campaign. If Nestle did not address the farmers’ skepticism, the campaign not only could have failed, but the farmers also could have potentially spread negative word about Nestle. For that reason, Nestle focused on being transparent with the farmers by clearly communicating to them the goals of the campaign. Additionally, Nestle employed the “goode baddee,” or “sister,” who was part of the community and was trusted by the farmers. The “goode baddee” spoke about the goals of the campaign, using concepts and words that the farmers understood, rather than Nestle’s corporate language. Most importantly, Nestle stressed the fact that those farmers were not going to be strictly exclusive milk suppliers to Nestle if they participated in the campaign but, they were allowed to supply to other local or international companies as well. This finding shows that when a company conducts social marketing, the company needs to present itself as part of the community by understanding and addressing the issues that might lead to lack of trust Also, the lack of trust challenge can be resolved when the company clearly communicates the campaign’s goals and objectives using the audience’s own language, rather than corporate-speak.
These challenges that emerged from the findings add to the literature suggesting SMART goals need first to be identified internally and then communicated externally to the public (Barone et al., 2000). In fact, if the goals of the campaign are not SMART and are not clearly
communicated to the public, consumers will have overly high and unmet expectations, which could lead to a lack of trust, and, ultimately, the failure of a campaign (refer to figure 5).
Figure 5. Challenges of social marketing. This figure illustrates the way unclear goals can lead unmet expectations and that can lead to people’s lack of trust in the campaign.
# Strategies for implementing social marketing programs
As part of the fourth research question, this thesis also explored the best strategies for implementing social marketing programs in developing countries; four main strategies were identified: determining brand awareness and maturity level, assessing the campaign type and the social issues, encouraging the public’s maximum participation and involvement in the campaign, and having benefits with lasting impacts. Findings suggested that prior to setting and implementing those strategies, a few factors need to be considered. In order to ensure a successful social marketing campaign, factors like brand awareness level, the availability of products in the market, and the nature of the social issue being addressed all must be taken into account. According to the findings, companies should not consider conducting social marketing campaigns until after the company’s brands have reached the desired levels of awareness. Otherwise, if the social marketing campaign was brought to the people by new and non-famous brands, the campaign may not be as impactful or well received by the people.
The first strategy that emerged from the findings was to conduct an analysis determining the levels of awareness and maturity that the brand has reached. Even though one of the benefits of social marketing that emerged from the findings was increasing brand equity, subjects believed that in order for a company to successfully implement social marketing, the company’s brands should have high levels of awareness in order for the social marketing campaign to be well-received by the public. Additionally, the brand should have reached maturity in the product life cycle. All respondents agreed that the company should only focus on social marketing campaigns after the brands achieved certain requirements, such as high market share and availability in stores at an appropriate price point. In fact, respondents from Nestle and Henkel agreed that the reason that their campaigns were deemed successful is because the companies’ brands were market leaders and had high levels of awareness and maturity in the market. This indicates that it is necessary for the brands to have high levels of awareness in the minds of consumers so that the social marketing campaign can easily reach a wide pool of consumers (Drews, 2010) and thus lead to a successful campaign. Moreover, this finding indicates that it is preferred if the company had leading brands or high market shares, because if the brands have high market shares, they are making revenues and the company would not be highly concerned about achieving immediate financial results. So, if a company’s brands have high-market share and are profitable, it would be appropriate for such a company to launch social marketing campaigns. Hence, this strategy contributes to scholarship and practice by stressing the importance of conducting an analysis of the brand’s maturity, awareness levels, and market share before deciding to launch social marketing campaigns.
Unlike the first strategy that subjects unanimously agreed on, subjects had conflicting views on the second strategy that emerged from the findings. The second strategy is related to conducting an assessment of the campaign’s type and its relation to the social issue. Respondents from Nestle argued that the nature of the social campaign must be related to the nature of the product type. This is because they believed that the company needed to have some experience with the social issue that the campaign was attending to. The subjects believed that Nestle’s
farmer training project was deemed successful because the social project was directly related to Nestle’s milk brands in Pakistan. On the other hand, respondents from Henkel said that if the brands were strong, then a social marketing campaign in any area, even if it’s unrelated to the product, can be successful if it has real benefits to society. Unlike Nestle’s subjects, Henkel’ subjects believed that strong brand names stand for values that are not necessarily related to the nature of the company’s products. For example, consumers expect the big brand names that they have been using for a long time to attend to general social concerns such as environmental, educational, and health and nutrition issues. Therefore, consumers are potentially more likely to accept any positive social work from these well-known brands, even if the social issue was not directly related to the brand category. This contradictory finding suggests more research needs to be done to determine the extent to which the social issue being tackled should be related to the company’s product in order for a social marketing campaign to be successful. The fact that respondents had contradicting opinions suggests that a direct relationship between the nature of the social marketing campaign and the company’s products is not a major factor in determining the success of the campaign. Based on the findings, other suggested strategies are evidently more related to the success of the campaign, such as determining the brand’s level of awareness and maturity and the other strategies that will be discussed next.
The third strategy was about encouraging the public’s maximum participation and involvement in the campaign. This strategy is related to the third fundamental of the social exchange theory that articulates that each party should be able to communicate with each another (Kotler, 2000). In other words, two-way communication between the participants and the company is key. All respondents indicated that two-communication is fundamental to the success of a social marketing campaign as it provides the people with a way to voice their opinions or
concerns about the campaign. Findings suggest that the means of communication can be in any form as long as it is appropriate to the campaign and accessible to the people involved in the campaign. For example, the respondents from Nestle indicated that, throughout the farmertraining program, Nestle conducted regular meetings for the farmers to address any concerns they had and allow them to ask questions. Also, Nestle hired locals who were trusted by the farmers, lived near the farms, and interacted with the farmers more frequently than Nestle’s personnel to act as a type of mediator.
While Henkel’s campaign also provided two-way communication with the people, Henkel had a different approach from the one implemented by Nestle. Since the targeted audience in Henkel’s “This Country is Ours” campaign had access to smart phones and social media applications, the campaign used social media platforms like Facebook and Twitter to communicate with the participants. These findings suggest that whether face-to-face or mediated by technology, the form of communication is less important than the fact that it is two-way. Further, this thesis shows that a company must consider whether the form of communication is easily accessible by the participants and also appropriate to the nature of the campaign. In a rural setting with little-to-no Internet access and lower levels of literacy, as in the case of Nestle’s campaign, social media would not have worked as well for farmers to communicate with the company, which could have led to communication problems and mistrust, ultimately threatening the campaign. In contrast, face-to-face communication in a large, urban setting, as in the case of Henkel’s campaign, was not really feasible. Thus, these findings not only bolster Kotler’s (2000) call for two-way communication, but also offer practical advice for companies considering how best to implement a communication strategy as part of a social marketing campaign.
Finally, the last strategy suggested by the respondents was related to implementing social marketing campaigns that have long-lasting benefits for the people. The findings indicated that in order for the people to fully use the campaign’s benefits over a long time, the campaign should be replicated for at least five years. This thesis suggests that the stages of a successful campaign are in fact circular, including informing the people about the social issue, training them on what is required from them to do, implementation, follow-up where the company ensures that the people are properly applying what they learned in the first stage, then repeating the first step with new participants to start the process all over again (refer to figure 4, p. 60). The process described above is similar to the four-stage cycle of innovation model developed by Chakraborty (2013). The difference between Chakraborty’s (2013) model and the suggested process is that that suggested process includes a step where participants get trained. Also, unlike the four-stage cycle of innovation model, the suggested process is repetitive to ensure that new participants get the necessary education and training and go through the stages of the process again. In fact, the respondents from Henkel claimed that “This Country is Ours” could have seen better results if Henkel repeated the campaign according to the process suggested in this thesis.
Similarly, the subjects from Nestle said that the farmer-training project was successful as it followed an implementation process similar to that suggested above. Respondents from Nestle said that at the beginning of the farmer training project, the farmers were informed about the goals of the campaign, received training and education on the new farming techniques, then implemented the training and received regular follow-ups from Nestle’s personnel to ensure a smooth and correct implementation of the new farming techniques. Respondents from Nestle indicated that every time new farmers joined the program, the process was repeated. Accordingly, it can be deduced from the findings that social marketing campaigns should embark on a strategy that ensures that the campaign has long-lasting benefits by ensuring that the implementation takes place over stages in an appropriately paced manner. Additionally, social marketing can build consumers’ trust by implementing the campaign over a gradual process (Zucker, 1986). This is particularly important if the campaign involves learning new skills or is aimed at behavioral change, as both are long-term processes that will only show benefits with repetition and persistence.
# Funding social marketing programs
According to the literature, previous studies showed that a better allocation or use of budgets can bring better returns for a company than just increasing the overall budget (Fischer et. al., 2011). Hence, the final research question of this thesis examined ways to fund social marketing in developing countries without increasing a company’s marketing budget. Two main findings emerged: 1) the possibility of companies reallocating funding from television advertising to pay for social marketing campaigns, and 2) the possibility of partnering with NGOs and governments to partially fund the campaigns. Both the Nestle and Henkel campaigns were funded internally from the marketing budget.
When comparing and contrasting respondents’ answers regarding the possibility of reallocating funding from television advertising to fund social marketing campaigns, respondents had differing views. Respondents who were against reducing the television-advertising budget to fund social marketing campaigns believed that a reduction in television advertising could have a negative effect on sales; they believed that television is still one of the best means of communication to reach the maximum number of households. On the other hand, other respondents believed that if the company’s brands had high-levels of awareness, then reducing television advertising slightly would not drastically affect sales. In fact, respondents who were for reducing television advertising to spend in social marketing believed that social marketing might have positive results on brand awareness which could have positive effect on sales. Henkel’s “This Country is Ours” campaign had great results when it came to spreading positive word of mouth (i.e. awareness) about the company.
After analyzing the different reasons that respondents had for their differing views on reallocating funding from television advertising to fund social marketing, this thesis suggests that shifting funds from television advertising to social marketing campaigns can be a sound strategy if carefully considered and implemented. Even if the company owns strong brands, cutting television adverting should not be taken lightly. There are four factors to consider before arriving at such a decision: involving the company’s global head office in the decision, determining the brand’s competitive advantages, determining the amount of television advertising reduction, and assessing the strengths of media channels other than television. First, cutting the television advertising budget should be a decision that gets approval from the global head team of the company as this decision could strategically change the way consumers perceive the brand. Second, it is important to determine the competitive advantage of the brand. This is because, if the brand does not offer unique benefits and there are several competitors in the market who advertise on television and provide the same benefits, reducing television budget might reduce the brand’s top-of-mind awareness and lead to sales reduction. Third, this thesis recommended that the television reduction should be minimal (not more than $1 0 %$ or $1 5 %$ ) to avoid any sudden effects that could occur from drastically and suddenly reducing the television advertising. Lastly, it is necessary to determine the effectiveness of other media channels in the market that the social marketing campaign will be conducted in. For instance, a company might reach the same or more consumers from digital advertising than via television advertising, especially considering that the penetration of digital advertising is expected to surpass the penetration of television advertising (Friedman, 2015).
These findings thus indicate that a reduction in television advertising to fund social marketing campaign can bring the brand positive results if these four factors are carefully considered. This thesis thus offers a potentially new way to fund social marketing campaigns, based on the notion of reallocating existing budgets by reducing the television budget with careful consideration as discussed above.
The second funding strategy, which is partnering with NGOs or other partners, bolsters the importance for businesses, NGOs, and governments to collaborate to attend to social issues (Kimball, 2011). However, respondents who suggested these partnerships saw the NGOs and governments as contributing to funding, and not just offering expertise or personnel, as traditionally discussed in the literature. These respondents’ suggestion also seems to neglect the fact that NGOs are not receiving enough support from governments and are seeking alternative ways to finance social campaigns (Madill et. al., 2014), and thus are looking to companies for funding. This perhaps is why only a few subjects supported this strategy. The better model seems to be, as respondents from Nestle indicated, that a partnership with an NGO can indirectly help fund a campaign. For example, USAID provided Nestle with milk storage facilities and experts in farming who supported Nestle, especially during the initiation of the farmer-training project, thus saving costs. This support that Nestle received from USAID helped Nestle to cut back on its initially projected budget for the campaign. Also, while one of the respondents suggested obtaining funding from governments, other respondents opposed the idea as they believed that governments are aware of the high profits that consumer goods make and that governments would find it inappropriate to support for-profit companies.
In general, then, the idea of collaborating with NGOs and governments did not receive much support from respondents. This in part can be attributed to the understanding that NGOs and governments may not necessarily have enough resources to provide to consumer goods companies. Still, such a collaboration could be beneficial if NGOs and/or governments provide the company with nonmonetary support like human resources or physical facilities to support the social campaign, as was seen in the case of Nestle. Hence, this finding suggests that collaborating with NGOs for direct financial contributions to the campaign may not be the best way to fund the campaigns. However, NGOs can still support the company by equipping the campaign with personnel or facilities that can further assist in achieving the campaign’s goals.
# CHAPTER 7
# CONCLUSION
Using in-depth interviews and document analysis, this thesis used the social exchange theory (Homans, 1961) as a framework to qualitatively explore how both a company and society can gain benefits from social marketing. While the social exchange theory faces a challenge in that, unlike benefits of people obtain from commercial exchanges, benefits that emerge from social exchanges might be ambiguous or intangible (Bagozzi, 1975), this thesis addresses these challenges by suggesting that it doesn’t necessarily matter if benefits are intangible as a company and society can both benefit in the long-run. By examining two social marketing campaigns, one from Nestle Pakistan and the other from Henkel Egypt, this thesis provides a deeper understanding of the benefits, challenges, and possibilities of social marketing. This thesis contributes to social marketing scholarship and practice by providing examples of two consumer goods companies’ strategies for implementing and financing social marketing campaigns. Suggesting strategies to fund social marketing campaigns without requiring the company to exceed its existing yearly spends was a key practical and academic contribution that emerged from the findings. Also, this thesis provided conditions and suggested processes that need to be considered in order for consumer goods companies and society to gain maximum benefits from the social campaign and achieve the desired results that both parties seek, per the social exchange theory (Homans, 1961).
To summarize, one of the key findings of this thesis was that consumer goods companies and society can gain substantial benefits if certain strategies were followed. This finding is in line with the definition of social marketing provided for the purpose of this study (p. 9) and is in line with the social exchange theory, as the findings showed that parties can gain mutual benefits (Maibach, 1993) from social marketing, but not necessarily equal benefits. Since the goals of social marketing are different from the goals of promotional and commercial marketing, social marketing does not necessarily generate direct financial benefits for companies. However, as this thesis showed, social marketing can generate nonfinancial benefits that could eventually lead to financial benefits. This finding is in line with previous research that found that internal outcomes of social marketing, such as spreading positive word about the brands, can lead to external outcomes, such as consumers purchasing the company’s products, which ultimately leads to revenues being generated for the company (Bhattacharya & Sen, 2004). The nonfinancial benefits that emerged from this analysis were increasing the company’s brand equity, building consumer loyalty, and enhancing the supply chain for the company. Additionally, this study exposed four main benefits to society of social marketing: learning simple and advanced skills; gaining financial benefits; adapting new and positive habits; and gaining awareness about relevant issues.
This study also revealed external and internal challenges that companies face during planning and implementing social marketing campaigns. For example, analysis pointed to external challenges that consumer goods companies face, such as the participants’ high expectations, lack of trust in the campaign and the company, and lack of clarity on the campaign’s goals. The internal challenges were related to unclear definition of the campaign’s goals and scope. In fact, findings indicated that internal challenges can lead to external ones. These challenges can be minimized, however, if consumer goods companies address them while setting strategies for the campaign. Such strategies, as this thesis revealed, include conducting a prelaunch analysis to determine brand awareness and maturity level, assessing the social issues, ensuring the public’s maximum participation and involvement in the campaign, and ensuring that the benefits of the campaign have lasting impacts.
Finally, this study suggested strategies to fund social marketing campaigns without having the need for the company to spend more than it already does on marketing. Those financing strategies are reallocating funds from television advertising to pay for social marketing campaigns and partnering with NGOs and governments to partially fund the campaigns. However, both of these financing strategies come with caveats. First, this thesis suggests that when deciding whether to reallocate television advertising funds toward social marketing campaigns, a company must take into consideration four factors: involving the company’s global head office in the decision, determining the brand’s competitive advantages, determining the amount of television advertising reduction, and assessing the strengths of media channels other than television. Second, this thesis suggests that companies partnering with NGOs for direct financial contributions to the social campaign may not be feasible since it would not be appropriate for consumer goods companies that generate profits to ask for funds from NGOs to support their social campaigns. However, NGOs can still support the company by equipping the campaign with personnel or facilities that can further assist in achieving the campaign’s goals.
This study builds on extant literature that suggests social marketing brings about nonfinancial benefits that eventually lead to financial benefits (Bhattacharya & Sen, 2004). As such, this thesis suggests that social marketing works best for companies that are not highly concerned about achieving short-term revenues. Before undertaking a social marketing project, however, companies should conduct a prelaunch analysis to ensure its brands are strong and well recognized. If a company’s brands hold a strong position in terms of awareness, maturity, and market share, social marketing will seemingly have better results for the company and society, thus achieving Homans’ (1961) understanding of an ideal social exchange.
Another important contribution to scholarly literature is that this study provided a real example of the way social marketing can specifically cater to the precise needs of the company and society, again fulfilling the concept of the social exchange (Homans, 1961). This contribution emerged from the way Nestle Pakistan launched the farmer-training project to attend to its specific need to enhance the company’s supply chain. As a result of the farmertraining project, Nestle Pakistan not only enhanced its supply chain, but also provided the participants (the farmers) with unique benefits (the innovative farming skills) that specifically related to them.
Additionally, this study contributed to the social marketing challenges presented in literature by showing that there are two types of challenges: external and internal. External challenges refer to the issues the company faced when dealing with the participants in the campaign, and internal challenges refer to the company-specific issues faced during planning and implementing the campaign. This study showed that a main external challenge consumer goods companies encounter is consumers who have high expectations. In fact, this thesis found two types of false expectations: high expectations of benefits (value) and/or immediate expectations of results (time). High-expectations of benefits occur because consumers are aware of the amount of money that consumer goods companies make, and thus they expect more from those companies. Consumers also expect results from the social marketing campaign to have longlasting impacts, which also can be too high of an expectation. The second type is immediate results, especially when the campaign focuses on behavioral change. This was identified from the analysis of Henkel’s “This Country is Ours” campaign, which was about encouraging people to change their behaviors and cleaning the streets. Henkel Egypt faced the challenge of ensuring that the people understood that having clean neighborhoods was an ongoing process that requires diligent effort and time from the people. Further, this study showed how such external challenges result from internal challenges. The internal challenges of social marketing include the importance of setting SMART (specific, measurable, achievable, realistic, and timely) goals and defining the scope of the campaign. If the company successfully tackles those internal challenges, the company will be able to better set the consumers’ expectations in terms of what benefits they will gain from the campaign and when they will start seeing results.
This study also added to the social marketing scholarship by suggesting that the forms of communication between a company and society need to be appropriate to the nature of the campaign, as well as be culturally specific to participants. This adds weight to Kotler’s (2000) argument that one of the fundamentals of the social exchange theory is to ensure two-way communication between the participants of the exchange. Nestle relied on face-to-face meetings with the farmers while Henkel used online social media platforms to communicate with participants.
Furthermore, this study proffered modifications to the previously suggested implementation process of the four-stage cycle of innovation model (Chakraborty, 2013). The suggested process in this thesis added to the four-stage cycle model of innovation (Chakraborty, 2013) by adding a step at the beginning whereby the participants in the campaign are trained in new skills or behaviors. Also, unlike the four-stage cycle of innovation model (Chakraborty, 2013), the process suggested in this thesis is repetitive to ensure that new participants get the necessary education and training and go through the stages of the process again, thus spreading the campaign and potentially lengthening its longevity.
Even as this thesis contributes to scholarly literature, it also provides practical contributions to businesses in the consumer goods industry. First, this thesis recommends that only companies that already have high levels of awareness should launch social marketing campaigns. Social marketing can increase a brand’s equity, depending on the nature of the campaign and its goals, as when the campaign provides high value benefits to participants, they will spread positive word about the company and its brands. Also, if one of the campaign’s goals is to spread awareness about the company, the company can further increase the positive results of the social campaign by advertising about the campaign on media, in particular social media. Further, this thesis contends that a company can potentially gain stronger consumer loyalty from social marketing campaigns than from commercial and other promotional marketing strategies because social marketing campaigns can teach people skills that they will benefit from for a long time or induce positive behavioral change long-term. Such benefits will not only benefit the participants of the campaign but also potentially be passed on to future generations. For that reason, people could become more loyal as a result of the benefits of social marketing than from the results of commercial marketing.
Moreover, this thesis provided practical contributions to the consumer goods industry by presenting a way in which a company can adapt social marketing campaigns to serve the company’s and the consumers’ specific needs. For instance, Nestle Pakistan conducted the farmer-training project to enhance the company’s issues with its supply chain. This example points to ways in which other consumer goods companies, such as those that produce and sell products like juice, jam, and yogurt, could enhance their value chains. Most importantly, this thesis indicates that companies can invest in social marketing without having to increase their overall budgets. The analysis suggested that companies can reduce their television advertising budget by a small fraction ( $1 0 %$ or $1 5 %$ of the television advertising budget) and invest this money in social marketing if certain conditions were met, as outlined above. If these conditions are met, reducing television advertising to fund social marketing can potentially be an effective strategy for businesses in the consumer goods industry to finance social marketing.
Thus, this thesis provided benefits, challenges, and strategies of social marketing based on the analysis of two social marketing campaigns. Using data obtained from professional experts in the consumer goods industry who have firsthand experience with the campaigns strengthens this thesis’ findings and conclusions. Future research should explore the benefits, challenges, and strategies of social marketing from the consumers’ perspective. Studying consumers’ perspectives on social marketing can bolster the findings from this study. While qualitative research methods were deemed appropriate for this study, quantitative methods can discover trends in consumers’ perceptions of social marketing campaign. For example, by studying consumers’ actions and opinions after social marketing campaigns, further research can add weight to some of the findings (such as the benefit of building consumer loyalty) that emerged in this study. Additionally, considering this study’s finding that a successful social marketing campaign does not necessarily have to tackle social issues that are directly related to the nature of the company’s products, there is room for future research to explore this further by analyzing social marking campaigns that were not related to the company’s products.
While this study fills a gap in the literature as it focused on social marketing campaigns conducted by consumer goods companies in developing countries (Pakistan and Egypt), it does not take into consideration different specificities of developed countries. For that reason, the findings are not generalizable, and may not be applicable to social marketing in developed countries. Further, results are not generalizable because this thesis focused on companies in the consumer goods industry, overlooking other industries and business-to-business companies that also could invest in social marketing. This study also is limited in that analysis of the results is subjective, as in all qualitative research, and thus the findings could be interpreted differently in another time and place by a different researcher. However, as noted earlier, the triangulation of methods helps to ensure the trustworthiness of the findings. Also, while qualitative methods were deemed appropriate for this study, like all qualitative research methods, in-depth interviews were relatively time-consuming compared to quantitative methods.
Finally, in order to utilize and maximize the potential of social marketing, challenges of social marketing need to be addressed and certain strategies need to be followed. Also, based on the social exchange theory, all parties involved in the exchange need to gain valuable benefits that relate to them. As long as society gains valuable and long-term benefits, the idea that the company should gain benefits from social marketing needs to be realized and accepted. While strong consumer brands continuously conduct commercial marketing techniques for the immediate financial returns they gain, companies need to realize the benefits they can gain from social marketing, as well. Based on the benefits and strategies that this thesis suggested, if the company has strong brands with high market share and levels of awareness, the company can afford to minimally give-up short-term results of commercial marketing (such as television advertising) in order to gain potentially long-term nonfinancial and financial benefits from social marketing campaigns that could have a positive impact on society, as well.
# APPENDIX A
# INTERVIEW GUIDE
# About the campaign:
01. Tell me about a time your company successfully implemented a social marketing
campaign.
02. Tell me about a time your company tried to implement a social marketing campaign but
did not have much success.
03. What does a successful social marketing campaign look like?
04. What does it take to successfully implement a social marketing campaign?
05. Describe previous attempts at social marketing campaigns.
06. What were the outcomes of those campaigns
07. Please mention the objectives of the campaign
08. What is the background behind this campaign?
09. Has the company conducted similar campaigns in the past?
10. If(yes), what was the overall outcome?
11. Describe the campaign
12. What was the geographical scope of the campaign?
13. What were the direct and indirect messages of the campaign?
14. Was it a local or international initiative?
15. Describe the tools used in the campaign
16. What was the budget allocated for this campaign?
17. Under which department was the budget allocated?
18. If you conduct this campaign again what would be an alternative way to fund for it?
19. Which departments in the company worked on the campaign?
20. Who was in charge of execution of the campaign?
21. How much branding was there?
22. Where was the branding used throughout the campaign?
23. On which media outlets was the campaign covered? Television, outdoors, online …etc.
# Results of the campaign
24. What was the financial benefits that the campaign brought to the brand or the company during that time?
25. What was the impact on sales post the campaign?
26. What was the overall perception and opinions of the public?
27. What was the impact it had on social media (if any) ?
28. What were the main positive outcomes of the campaign?
29. What were the main draw backs and future learning of the campaign?
30. Were the goals of the campaign achieved?
31. Was there any competing company conducting similar campaigns at the same time?
32. Did the campaign affect other competing brands in the market?
33. What would be the differences in outcomes if this budget behind the social marketing campaign was funded to television advertising?
34. Would you repeat it again? Why?
35. Would you recommend conducting another similar campaign?
36. If you would do another social marketing campaign using the brand’s name, what would it be?
# Perspective on social marketing
37. Do you believe that the company has a social role? Why?
38. How can a company expand its social role without increasing the amount they spend?
39. What are the best ways to fund for social marketing programs?
40. Do you believe that social marketing campaigns can have a positive impact on the brand and the society? Why?
41. How can social goals and the brand’s goals be achieved through social marketing campaigns?
42. How can brands with high levels of awareness rely less of television advertising and spend more on social campaigns?
43. How can brands achieved the desired sales outcomes by allocating some of the television advertising funds to perform social campaigns that will be advertised in other media outlets?
44. How can the brand utilize social campaign to achieve the brand’s own benefits?
45. How can the main leading consumer brands with high-levels of awareness collaborate to reduce television advertising and spend more on social marketing?
46. What kind of social marketing campaigns and programs can have better impact on society and on the brand?
# APPENDIX B
# IRB APPROVAL MEMORANDUM
Use of Human Subjects in Research - Approval Memorandum
Human Subjects <humansubjects $@$ fsu.edu>
Wed 10/12/2016 9:42 AM
To: Sadek, Nashwa;
Cc:Summer.Harlow
1 attachments (184 KB)
2016-19355-ICF- Nashwa Consent form 2 \_sh.pdf;
The Florida State University
Office of the Vice President For Research Human Subjects Committee
Tallahassee, Florida 32306-2742
(850) 644-8673 · FAX (850) 644-4392
APPROVAL MEMORANDUM
Date: 10/12/2016
To: Nashwa Sadek
Address: Dept.: COMMUNICATION
From: Thomas L. Jacobson, Chair
Re: Use of Human Subjects in Research
Company Benefits and Social Benefits: Exploring Strategies for Consumer Goods Companies to Implement Mutually Beneficial Social Marketing Programs
The application that you submitted to this office in regard to the use of human subjects in the proposal referenced above have been reviewed by the Secretary, the Chair, and one member of the Human Subjects Committee. Your project is
determined to be Expedited per per 45 CFR $\ S 4 6 . 1 1 0 ( 7 )$ and has been approved by an expedited review process.
The Human Subjects Committee has not evaluated your proposal for scientific merit, except to weigh the risk to the human participants and the aspects of the proposal related to potential risk and benefit. This approval does not replace any
departmental or other approvals, which may be required.
If you submitted a proposed consent form with your application, the approved stamped consent form is attached to this approval notice. Only the stamped version of the consent form may be used in recruiting research subjects.
If the project has not been completed by 10/10/2017 you must request a renewal of approval for continuation of the project. As a courtesy, a renewal notice will be sent to you prior to your expiration date; however, it is your responsibility as the
Principal Investigator to timely request renewal of your approval from the Committee.
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3/27/2017 1:04 PM
Use of Human Subjects in Research - Approval Memorandum - Sadek, ...
[https://outlook.office.com/owa/?viewmode](https://outlook.office.com/owa/?viewmode) $\\circeq$ ReadMessageItem&ItemI...
You are advised that any change in protocol for this project must be reviewed and approved by the Committee prior to implementation of the proposed change in the protocol. A protocol change/amendment form is required to be submitted for
approval by the Committee. In addition, federal regulations require that the Principal Investigator promptly report, in writing any unanticipated problems or adverse events involving risks to research subjects or others.
By copy of this memorandum, the Chair of your department and/or your major professor is reminded that he/she is responsible for being informed concerning research projects involving human subjects in the department, and should review
protocols as often as needed to ensure that the project is being conducted in compliance with our institution and with DHHS regulations.
This institution has an Assurance on file with the Office for Human Research Protection. The Assurance Number is FWA00000168/IRB number IRB00000446.
Cc: Summer Harlow, Advisor HSC No. 2016.19355
The formal PDF approval letter: [http://humansubjects.research.fsu.edu/pdf/printapprovalletter.aspx?app\_id](http://humansubjects.research.fsu.edu/pdf/printapprovalletter.aspx?app_id) $\\equiv$ 19355
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# APPENDIX C
# IRB APPROVED CONSENT FORM
CONSENT FORM
Title of the study: Company Benefits and Social Benefits: Exploring Strategies for Consumer
Type of study: Thesis
Name of Interviewer: Nashwa Nader Sadek
Name of researcher: Nashwa Nader Sadek
Email:
Name of institute: Florida State University School of Communications
Name of Person Interviewed:
Date: .
PLEASE READ THE BELOW STATEMENTS CARREFULLY. IF YOU AGREE AND ACKNOWLEDGE OF ALL STATEMENTS, PLEASE PRINT THIS FORM, SIGN AND PRINT YOUR NAME THEN SCAN AND SEND BACK TO THE INTERVIEWER.
I am aware that I have agreed to conduct this interview through an online video call.
. I am aware that this study involves the audio and video recording of the interview.
I am aware that only the researcher will be able to listen (view) to the recordings. I am aware that the digital copy will be transcribed by the researcher and erased once the transcriptions are checked for accuracy. I am aware that transcripts of the interview may be reproduced in whole or in part for use in presentations or written products that result from this study. I am aware that neither my voice nor picture nor name will be used in presentations or in written products resulting from the study. I am aware that my name or any other identifying information will not be associated with the name of the file of the video recording. By signing this form, I acknowledge all the above statements and I am allowing the researcher to audio or video tape me as part of this research.
Participant's Name (In Print): Participant's Signature: Date:
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Bryman, A. (2001). Social research methods. Oxford: Oxford University Press.
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# BIOGRAPHICAL SKETCH
# Nashwa Nader Sadek
Education
Masters of Science in Integrated Marketing Communication, Florida State University (In progress)
Bachelor of Science in Business Administration, The American University in Sharjah (AUS)
# Certificates
Preparing Future Faculty (2017), Florida State University (In progress) Certificate of excellence “The Rising Star” of 2014 of Henkel Laundry & Homecare GCC
• Certificate of excellence of performance for achieving $2 0 %$ in-market sales growth in Qatar which was highest sales growth in GCC in 2013. (Henkel Laundry and Homecare GCC)
• Certificate of Excellence for Best performance and creative initiative behind the “Black meter” 360-degree campaign for Q1 2012 in Henkel Laundry and Homecare GCC
Other Trainings
Leadership Skills Training (Nov. 2013) • Sales and Negotiation Training (Nov 2013) • Time and Stress Management (Nov. 2012)
Work experience (Total business experience: 4 years. 1.5 years in Brand Management, 1 year in Sales and market management, 1.5 years in Trade Marketing)
# Florida State University
• Public Speaking Instructor January 8, 2017 – May 8, 2017
# Florida State University
• Online Mentor for Introduction to Public Relations August 29, 2015 – December 16, 2015
# Florida State University
• Teaching Assistant for Principals of advertising August 29, 2015 – December 16, 2015
# Henkel Arabia, Laundry and Home Care division
• Trade Marketing Executive (main job) $^ +$ Sustainability co-leader • December 31, 2013 – June 31, 2015
# Henkel Arabia, Laundry and Home Care division
• Market Manager for Qatar and Bahrain • December 1, 2012 – December 31, 2013
# Henkel Arabia, Laundry and Home Care division
• Assistant Brand Manager August 1, 2011 – November 30, 2012
# Languages
• Arabic: Fluently spoken, read and written (Native Language)
• English: Fluently spoken, read and written Spanish: Beginner