4 ps social marketing_armand

8/8/2019 4 Ps Social Marketing_Armand

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Can the Four Ps still save lives?

Social marketing in the changing public health context

Jeff Barnes, Franoise ArmandPrivate Sector Partnership- One Project

A bt A ssociates Inc. in partnership with:Banyan GlobalDillon Allman and Partners. LLCFamily Health InternationalForum One CommunicationsIntraHealth InternationalOHanlon ConsultingPopulation Services International

Tulane University School of Public Health and Tropical Medicine


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W hat is Social Marketing?

Social marketing is a process that appliesmarketing principles and techniques to create,communicate, and deliver value in order toinfluence target audience behaviors that benefit society (public health, safety, the environment and communities) as well as the target

audience." Philip Kotler, Nancy Lee and MichaelRothschild (2006).


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Key Principles

Client-centeredCost/benefit approach

Use of the marketing mixProduct PricePlacePromotion


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In the Developing W orld

SM programs initially focusedon family planningMajor actors: PSI, DKT, theFutures GroupEarly stages: Highly subsidizedproduct distribution, brandadvertisingSOMA RC (1980-1998)introduced partnership-basedapproaches


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Rationale for Social Marketing

Combining supply side and demand side interventionsyields visible, measurable results

SM is a good buy for donors as it leverages privatesector resources and recovers costs from product salesVertical health programs can be easily added to socialmarketing platforms to achieve economies of scale.SM provides quick diffusion of product innovations(treated mosquito nets, A rtesimin combination therapy,water treatment, ORS, zinc).


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Social Marketing Models

NGO model: high impact, wide reach and quickscale up in undeveloped markets

Manufacturer s model: partnership opportunitiesand exit strategies for middle income countriesOver time, each model borrowed from theother hybrids outnumber the pure models


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Legacies

Manufacturer s model: Successful graduations,(Turkey, Morocco, etc.), and subsequent

variations. (e.g. NETM A RK)NGO model: Long-standing presence ( A frica),expanded programs (malaria, water, nutrition),local institutionalization, high market shareA ll programs: Increased emphasis on research,behavior change communication, decreasedfocus on product sales


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W here are the social marketingprograms going?

A number of high-impact, multi-sector SMprogramsA bsolute levels of donor subsidy areincreasing even with cost per output decliningSocial marketing is seen as a means to reachPEPFA R, Global Fund, A buja, MDG targetsNo focus on exit strategies or sustainability


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Challenges to Social Marketing

Halo effect vs. crowding out Rights-based approachesExternal donors should support government toaddress all public health needsEquity concerns

No need for sustainability or market approachesfor diseases (malaria) we will eradicate.


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Filling market gaps:The Vision

Commercial

Social marketing

Public Sector


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M arket gaps:The Reality

Commercial

Non-profit

Public Sector


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Sustainability

W hat needs to besustained?

Product distributionCommunications topromote healthybehaviorsThe structures andfinancial flows neededto ensure the product distribution andcommunication.


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The Sustainability Continuum for

Social MarketingTechnical Sustainability(Product, Price,Promotion and Place)Financial SustainabilityInstitutional SustainabilityMarket SustainabilityThree stages of progressIllustrative indicators


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Technical Sustainability

Mastering the four P sProduct: Financial and technical capacity to

procure quality productsPrice: Effective and efficient pricing that maximizes cost recovery while adhering to thewillingness to pay of its target consumersegment

Promotion: Communications that are sustainedby sales revenues or by institutionalization Place: Maximum use of efficient structures todistribute product (commercial and other).


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Financial Sustainability

Sales revenues > than costsBy business unit, product line and globallyDiversified sources of revenuesA bility to control costsA dequate liquidity and cashflow management

Strong links with management capacity


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Organizational Sustainability

Leadership: Mission, vision and commitment bya core group- not one person

Governance: Legal status, systems for ensuringcompliance with the lawManagement Capacity: Strong systems andcompetent local managers able to track andcontrol costs, manage personnel, and makeevidence-based decisions.


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Market Sustainability

Recognition of exogenous factors GNP percapita, commercial infrastructure, knowledge of

product, number of consumersEfficiency in the total market: no one dominant player in the market; each sector (social, publicand commercial) serving an appropriate

consumer segment;multiple price points


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Uses of the Continuum

Not a new model of SMRethink the social

marketingbundle

Informing the dialogueon sustainabilityIdentifying key trade offsPrioritizing needs of SMOsIdentifying research gaps


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Time to rethink thesocial marketing bundle ?

The old bundle:Donor funded Product supplyBranded and genericcommunicationsLow cost recoveryGeneral market research

A new bundle?Product provision withcommercial partnershipsTargeted Branded andgeneric communicationsHigh cost recoveryResearch for market segments

Targeting of subsidies(vouchers, freedistribution, etc.)Policy/regulations


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Thank you

4 ps social marketing_armand

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