Marketing Ethics Related to McDonalds Ads - Essay Example

Marketing Ethics Related to McDonald's Ads Aimed at Children Marketing ethics can be considered to be considered to be a branch of business ethics.There are two main perspectives in business ethics. One position is oriented towards the interests of the shareholders or stockholders while the other position is based on the interests of the stakeholders. In the stakeholders-oriented perspective the interests of each and every one of the parties involved in the business are taken into account. Marketing ethics can be viewed according to these main ethical positions. In this essay the marketing campaigns aimed at children by McDonald's Corporation are discussed from different points of view taking as reference the shareholders-stockholders and the stakeholders ethical perspectives. A recent McDonald's TV ad campaign entitled "Feed your inner child" is taken as an example of the ethical dimensions of marketing along the lines of the conflict between "profit" and "nutrition". It is clear that both elements should be in balance in order for McDonald's to be able to keep doing business at the same time that the consumers -children and adults- are served healthy food instead of junk food. This is a very conflictive topic, and it is a complex issue when it comes to finding an adequate solution for all parties involved. (Business Ethics, 2006). In a research study conducted by Kristen Harrison and Amy Marske (2005) for the American Journal of Public Health entitled "Nutritional Content of Foods Advertised During the Television Programs Children Watch Most" and published online by MyDNA under the title of "TV Ads Market Junk Food to Kids", the researchers found that "kids' consumption of TV ads that tout poor food choices is especially troubling because childhood obesity is on the rise, TV advertising influences children's food purchases and purchase requests, and kids see so many TV food ads a day." (Harrison and Marske, 2005). The researchers suggested that "parental involvement is the most important factor in the determination of the family diet. () Parents can work to maintain the integrity of the family pantry not only through selective shopping, but also through efforts to instruct their children about food and nutrition." (Harrison and Marske, 2005). Harrison stated that other adults should cooperate with parents in order to address the health problem of childhood obesity. In her opinion the food industry and advertisers "bear some responsibility for peddling nutritionally inadequate foods so aggressively to kids." (Harrison and Marske, 2005). The overall findings of this research study establish a significant degree of causation between childhood obesity and high levels of fast food advertising. In the article entitled "Advertising: Self Defence Tips for Parents and Young People!", Red Branch Human Performance (2006) makes the next assertion about advertisers that don't lie, but at the same time they don't tell the whole truth. Let's see: "Advertisers often don't give you the full story about their product. For example, if a manufacturer claims that their product is "virtually fat free" they usually don't mention it when the product is very high in sugar. If a product is touted as "90% fat free", it is still 10% fat...which is high enough." (Red Branch, 2006). This is a very common marketing tactics used in a wide variety of products with negative features that marketers don't want to reveal to the consumers. McSpotlight (1999) is a consumers organisation from the United Kingdom whose objective is to stop McDonald's marketing aimed at children. They hold a permanent campaign encouraging consumers to send their complains to the Independent Television Commission (ITC) based in London. McSpotlight makes a strong emphasis on the ITC Code, especially Appendix 1, Rule 5 that states the following: "Advertisements must not exhort children to purchase or to ask their parents or others to make enquiries or purchases." (McSpotlight, 1999). Along this line of thought, McSpotlight asserts that McDonald's "strategy of systematic exploitation of pester-power is obviously far more serious than if they were to make a specific reference to this in a single advert (which is prohibited). Every parent of a young child, who has been subjected to this cumulative pester-power effect, knows this very real and infuriating pressure to go to McDonald's." (McSpotlight, 1999). This is one of the reasons why TV commercials aimed at children younger than 12 have been banned in Sweden, Quebec, Belgium, Denmark and Greece. (Fickling, 2006). These ads are also banned in Australia for pre-school children according to McSpotlight (1999). In the United States, the Children's Advertising Review Unit (CARU) (2003) was founded in 1974 "to promote responsible children's advertising as part of a strategic alliance with the major advertising trade associations through the National Advertising Review Council (comprising the AAAA, the AAF, the ANA and the CBBB). CARU is the children's arm of the advertising industry's self-regulation program and evaluates child-directed advertising and promotional material in all media to advance truthfulness, accuracy and consistency with its Self-Regulatory Guidelines for Children's Advertising and relevant laws." (CARU, 2003). This organisation has been very active lately due to the ongoing debates about marketing ethics in the context of advertising aimed at children by companies like McDonald's and their low nutrition products consumed on a large scale by children. In the United Kingdom, the Office of Communications (Ofcom) acts as the independent regulator for the UK communications sector. According to a recent article written by Julia Day for The Guardian entitled "Ofcom Proposes Ban on Kids' Junk Food Ads", its chief executive officer, Stephen Carter made an interesting point when he stated that "proposals to increase regulation in open and competitive markets should always be subject to rigorous scrutiny." (Day, 2006). This statement is really valid as there is a relevant issue at hand when it comes to evaluate a complex ethical position in the realm of Business. On the other hand, Manchester Online reported on June 21, 2004, the "Healthy Eating" children's ads by McDonald's as a way of facing negative criticism. These TV adverts "encourage youngsters to eat fruit and vegetables and keep active. () They use song and dance to promote four key messages to children and their parents: keep fit, eat five portions of fruit and vegetables a day, drink plenty of fluids and "not to have too many treats". (Manchester Online, 2004). At the time of launching this advertising campaign in the United Kingdom, Andrew Taylor, chief executive officer and chairman of McDonald's UK, said: "It seems to us that this is a responsible step for us to adopt. This is not peripheral activity. This is something we will measure and share the results to interested parties because this could be the way forward". (Manchester Online, 2004). Skeptical critics think that it will be very difficult to accomplish the goals of making profits while promoting healthy food due to the fact that McDonald's main products are not really nutritious. One step along a new direction was taken by the people at McDonald's with the recent TV ad campaign entitled "Feed your inner child". The TV advert can be viewed at The Consumerist website, and it was published along a commentary on February 22, 2006 with the following title: "McDonald's Ad Leverages Inner Child". The Consumerist describes it as follows: "Watch this freakish Mc Donald's commercial. Adults are frozen and a hatch opens in their belly. A child version of themselves goes out and gets McDonalds, brings it back to their hands, crawls back inside the hatch. After the door closes, the adult unfreezes, surprised that McDonald's is in their hands and begin feverishly eating. "Feed your inner child" appears, followed by "I'm lovin' it."" (The Consumerist, 2006). From a different point of view, this advert is described on Duncan's TV Ad Land (2005) as follows: The 60 second ad begins with an office worker reaching for a top shelf to put away a file. All of a sudden she freezes. A hatch in her front opens and out comes a child. The little girl makes a rendevous with a little boy emerging from the body of another frozen office worker. In the basement car park a shopping couple freeze as they open up their car. Their inner children get in and drive off. We see the inner children of a jogger, bus driver, swimmer, courier, storage worker, window washer, executive and tourist. The crowds of children arrive at McDonalds/McCafe to enjoy their healthy meals and gourmet coffee, finding their places at long benches, booths, enjoying the warm lighting, comfy chairs and the number of food choices. A voiceover urges the viewer to "Come see what's changed and feed your inner child". The ad finishes with the two office workers unfreezing to find themselves in the possession of a burger and a yoghurt dessert." (Duncan's TV Ad Land, 2005). All along the TV advert a sweet song is played with these lyrics: "Oh Me, Oh My My Me, My My A funny thing like that So wondering I try I see, I spy My me, My eye Spy my little eye I spy my me oh my My my, my me My my" (Duncan's TV Ad Land, 2005). Duncan's TV Ad Land gives a positive description of the TV advert. On the contrary, The Consumerist concludes its commentary with some critical remarks: "Way to make lemons out of lemonade (and then inject fat into the beverage). Slurping down a calorie bomb isn't a guilty pleasure, breaking your diet or immoral, it's getting spiritually centered and back to basics. Frankly, the office drone actors look like they could use a little nourishment. We'd have a very different ad, however, if instead of wiry stringbeans, the adults pictured were overweight or even obese" (The Consumerist, 2006). Mark Cavdar (2005) makes a strong point in his article entitled "Get Involved: McMarketing to Minors", published in Five Minutes to Midnight, a magazine of the Initiative for Interdisciplinary Research, when he states that "children are susceptible to marketing techniques that exploit the impressionable nature of childhood, and are often lured to McDonalds by everything save for the actual food." (Cavdar, 2005). The TV advert "Feed your inner child" is a clear example of this marketing technique. The product is not directly advertised with its inherent beneficial features. Instead of it, the marketing theme goes along subliminal and indirect lines of thought and action. It is true that McDonald's Corporation has tried to act much more responsibly when it comes to advertising to children. One positive step towards making a change is the fact that McDonald's has recently set up a blog with the title of "Open For Discussion". Bob Langert, Senior Director for Corporate Social Responsibility (CSR) at McDonald's is aware of the challenges ahead when it comes to address the marketing ethical issues. It is a significant sign that this blog is helping to establish an ethical dimension in which all the stakeholders are taken into account. Along this line of thought, Langert welcomes everybody to the dialogue at the blog with the following words: "CSR is multi-dimensional. At McDonald's, we break it down into five key areas: balanced active lifestyles, responsible purchasing, people, environment, and community. We'll be talking about all these areas. I'm very passionate about them all. We know you care about them too and welcome the opportunity to hear your perspective." (McDonald's, 2006). On the other hand, Mark Cavdar (2005) reaches the following conclusion along the debate of marketing ethics when the advertising is aimed at children: "If any sort of modern moral compass exists in the realm of marketing, McDonalds should halt, of its own accord, the advertising of unhealthy food to children who don't know what is and is not good for them yet. While McDonalds has the right to target whichever demographic it feels has the most buying power, the practice of targeting children with frilly gimmicks to sell unhealthy food is immoral and blatantly disregards a universal moral obligation that we owe younger generations: that of a proper education." (Cavdar, 2005). This is a solid point of view. Any marketing ethical effort has to be based on all of the stakeholders' appropriate satisfaction. References Business Ethics. (27 April 2006). Wikipedia (online). Available from: . (Accessed 6 May 2006). Children's Advertising Review Unit (CARU). (2003). "About the Children's Advertising Review Unit (CARU)". (online). Available from: . (Accessed 6 May 2006). Cavdar, M. (1 March 2005). "Get Involved: McMarketing to Minors". (online). In Five Minutes to Midnight Magazine. Volume 3. Issue 3. Initiative for Interdisciplinary Research. Available from: . (Accessed 7 May 2006). Day, J. (28 March 2006). "Ofcom Proposes Ban on Kids' Junk Food Ads". (online). In The Guardian. Available from: . (Accessed 7 May 2006). Duncan's TV Ad Land. (24 September 2005). "McDonald's Inner Child" (online). Available from: . (Accessed 6 May 2006). Fickling, D. (25 April, 2006). "Children 'Gain Weight as They Watch TV'". (online). Available from: . (Accessed 7 May 2006). Manchester Online (21 June 2004). "McDonalds Launches "Healthy Eating" Children's Ads". (online). Available from: . (Accessed 6 May 2006). McDonald's. (2006). "Open For Discussion (blog)". (online). Available from: . (Accessed 6 May 2006). McSpotlight.Org (1999). "Do You Want To Help Stop McDonald's Advertising Exploiting Children". (online). Available from: . (Accessed 6 May 2006). MyDNA (2005). "TV Ads Market Junk Food to Kids". (online). Available from: . (Accessed 7 May 2006). Red Branch Human Performance (2 May 2006). "Advertising: Self Defence Tips for Parents and Young People!". (online). Available from: . (Accessed 7 May 2006). The Consumerist (22 February 2006). "McDonald's Ad Leverages Inner Child". (online). Available from: . (Accessed 6 May 2006). Read More