If you’re selling products or services, there is no doubt that marketing is essential for attracting consumers and increasing sales. But the real question is: What kind of marketing should you use?  The stat indicated that 56% of the US customers will stop buying from companies they believe are unethical. Furthermore, 75% of customers will take negative action if they believe a brand isn’t responsible. 

Many companies use shortcuts in hopes of achieving immediate results and sustained success—a dream for any business. In recent years, unethical marketing practices have increased, including employing manipulative tactics, false advertising, targeting of vulnerable populations, privacy violation, and misleading information to deceive consumers. Let’s take a closer look at these practices and their implications.  

• Dove – Lotion Ad 

 

You know Dove, the popular skincare brand with moisturizers, deodorants, and hair care products. But in 2017, Dove released a social media ad on their Facebook page of a black woman “transforming” into a white woman. 

The advert showed a black woman removing her top to reveal a white woman underneath after using Dove’s body lotion. The advert was racist, and it was an insult to viewers. This ad campaign has left a negative reputation for years. 

• Sony – PSP Promotion  

When Sony launched its PlayStation Portable (PSP), the marketing strategy included a controversial move that would ultimately backfire and tarnish the brand’s reputation. The incident involved the creation of a blog titled “All I Want for Xmas, is a PSP,” which was positioned as an authentic user-generated site but was, in fact, a “flog” (false blog) created by Sony.  

Despite the expert bloggers quickly exposed the deception, prompting Sony to remove the blog, the incident damaged Sony’s reputation, leading to consumer distrust and earning the title “FLOG 2006” from “The Consumerist.”  

• Volkswagen – The carbon emissions scandal  

Volkswagen (VW) became involved in a major scandal in 2015 when it was discovered that the company had installed software in diesel vehicles designed to cheat emissions tests.  

This software enabled cars to pass regulatory standards while emitting pollutants far above legal limits. However, VW had marketed these vehicles as environmentally friendly, leading to consumer deception. The scandal cost the group over 1.6 billion euros. It was later revealed that other carmakers were employing similar methods. But Volkswagen will remain the brand associated with the scandal. 

• ‘Fire Sales’ – False Advertisements 

Have you come across ads that claim, “Buy NOW and save UP TO 60%” or “Grab the LAST ONE in stock NOW”? These tactics aim to create a sense of urgency, making customers believe they are facing limited time offers.  

Retailers like ABC Bargain Centre, ValuDollar, and ABC Express have used misleading promotions, such as “Closing Down Sale” and “Fire Sale,” to lure customers. However, the “Closing Down Sale” lasted nearly two years. While these claims were effective for driving sales, they were inaccurate and unethical, ultimately deceiving customers.  

• Dr Pepper – Soda Ad  

Brands need to be committed to inclusivity. But this is where Dr Pepper failed. One of its drinks, which was popular among women ,9 out of 10 buyers were female and Men perceived it as a “woman’s product.”  

To shift the perception, Dr pepper created a campaign with the phrase “it’s not for women” and introduced ten rules for drinking the beverage, which perpetuated harmful gender stereotypes. This strategy raised questions about the brand’s dedication to inclusivity. 

•  L’Oréal – Photo Campaign  

L’Oréal, along with its subsidiaries like Lancôme and Maybelline, launched an advertising campaign. The campaigns featured images of celebrities such as Julia Roberts for Lancôme and Christy Turlington for Maybelline. These ads implied that such perfection could be achieved through the application of their foundation products.  

But the company has faced significant criticism for misleading consumers. Right after that, L’Oréal admitted that the photos of Christy Turlington had been retouched after the shoots. In the UK, some of these ads were banned by the Advertising Standards Authority (ASA), which disrupted the brand’s reputation. 

Go Ethical!

Unethical marketing practices have consequences that extend far beyond what you might think. Some of them include legal penalties, loss of customer loyalty, decreased customer satisfaction, hurt employee morale, and damage the reputation of the entire marketing industry.  

Being ethical involves honesty, transparency, fairness, and respect in all marketing activities. As a result, businesses that enhance their brand reputation, promote long-term sustainability, and make a positive impact on society. Isn’t that what you want for your business? So, what are you waiting for? Go ethical today!