MODULE 1: THE DIGITAL MARKETING LANDSCAPE

INDEX

1. Defining Digital Marketing (Pag 3)

• What is Digital Marketing and How Can We Understand it in Today’s Digital World?
• Fit: Success in the Digital Landscape.
• Core Concepts of Digital Marketing.

2. Strategy: Understanding the Methodology of Digital Marketing (Pag 7)

• The Marketing Mix.

• Point/Counterpoint.

3. Ethics: Understanding the Norms in Working towards Ethical Marketing (Pag 10)

• The Value Exchange.

• Creating Trust.
• Code of Conduct.

4. Future-proofing: Understanding the Direction of Digital Marketing (Pag 14)

• Digital Adoption.
• Looking back to Look Forward: The History of Digital and Why it Matters.
• Innovation and Digital Transformation.

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 Introduction

This course is unique in the world of digital marketing. Over the next six weeks, our goal is to equip you with the
knowledge of digital tools and strategies that make for successful campaigns and to give you the opportunity to
uncover what kind of digital marketing leader you hope to become. It’s no longer sufficient for marketers to sit on the
sidelines and simply push out the products and services that their organizations create. The best digital marketers are
strategic thinkers and collaborative leaders.

Module 1 content:

1. Defining digital marketing,

2. Establishing how this field differs from the field of marketing in the past,
3. Examining the roles that exist and the qualities necessary for the right fit as a digital marketer.
4. core concepts regarding strategy,
o the marketing mix
o the four Ps,
5. How the digital realm has influenced and transformed marketing tactics.
6. How has the customer changed? And how is the message adapting to this change? We will discuss ethics and trust,
o How digital marketing can adapt to the consumer's growing consciousness and growing need for trust.
7. The traditional product development approach to design thinking that drives innovation.

Goals:

• How marketing has grown and changed

• Where this field is going due to the influence of an increasingly digital world and the consequential change in
consumer needs and behaviour.

The four keys of this module:

• Fit: Quality which makes a successful digital marketer. Wide range field, which requires people with different skills
to work together to achieve business goals:
o Visual thinker with artistic skills
o Strategist (puzzles – challenges).
o Project manager
o Number cratcher: extract meaning from data

• Strategy: The ability to think strategic, proves valuable in all fields. A good strategy define the path to take and the
opportunitie to reject. It consist on constantly testing hypothesis. Goal -> drive consumer engagement.
• Ethics: A sustainable business must consider long term impact of our actions. Our team, customers, society and
planet. It is necessary to consider the right and wrong. Insight, language and tools, to make ethical human center
decitions. This makes trust.
• Future-proofing: Digital Marketing is really into the future. We will study trends, to predict and build.

Learning Objectives

• Explain how the history of digital marketing informs where the field is headed
• Probe the importance of ethical decision-making in the future of modern marketing
• Assess your own goals as aspiring digital marketers and the extent to which they align with opportunities in the
field

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 1. DEFINING DIGITAL MARKETING

1.1. What is Digital Marketing and How Can We Understand it in Today’s Digital World?

Marketing comprises all the activities of a business related to buying and selling a product or service.

Digital marketing, therefore, is any of those activities that occurs online using digital tools and technologies.

1.2. Fit: Success in the Digital Marketing Landscape

The Qualities of Successful Digital Marketers

Digital marketing is a truly expansive field, so finding your fit is an exciting challenge. What gets you 'in the zone,' or
feeling a sense of flow? When do you feel most energized, focused, and involved? Successful digital marketers know
what their own 'zone of genius' is and lean into that with the roles and projects they take on. Review the questions to
the right, and reflect on the times when you feel like you're truly at your best. Some important factors that lie along a
spectrum – What gets you excited?

• about people skills or technological skills

• investing in only a single brand/mission or a wider variety
• collaborating with big teams or independent work
• being creative or being analytical
• visuals, words, or numbers
• processes or products

The specific qualities of a successful marketer depend very much on the role within digital marketing. Below are just
a few examples of different roles and what kinds of qualities are expected in each.

1. Marketing Management 2. Technology

• Extensive marketing experience • People skills
• Executive presence • Technical skills
• Strategic thinking • Negotiation skills
• Excellent communication skills • Process improvement mindset
• Negotiation skills • Project management
• Financial, managerial, and coaching skills • Research

3. Brand Management 4. Research

• Problem-solving • Psychology
• Analytical proficiency • Analytic skills
• Executive presence • Strong presentation/persuasion skills
• Excellent communication skills • People skills
• Partner/vendor management • Project management
• Solid educational background in Marketing • Strong background in multiple types of research
5. Creative 6. Community and Partnerships
• Excellent people skills • Strong people skills
• Creativity • Passion for company/product/brand
• Graphic and writing software proficiency • Resourcefulness
• Stamina • Negotiation skills
• Executive presence • Resilience
7. Advertising 8. Public Relations
• Planning/project management skills • Strong people skills
• Strong research background • Background in journalism/communications
• Active listening/client focus • Psychology/behavior
• Good communication skills • Resilience
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 • Partner/vendor management • Strategic thinking
• Solid educational background in Marketing • Crisis management
You might choose to work inside a digital marketing agency. In an agency, teams work with a wider variety of clients.
Although there are many more possible roles depending on the specific industry an agency focuses on, roles include:

• Account manager: the main point of contact for a client and ensure their needs and goals are met.
• Strategists and creative: develop campaign concepts and map out marketing plans.
• Project managers: keep all the pieces of campaigns and strategies moving forward on time, on budget, and to
the highest standard.
• Content creators, graphic designers, and video specialists: develop digital assets for campaigns.
• Social media managers:keep digital channels running.
• Web and SEO specialists: ensure clients’ sites are findable and intuitive for consumers.

Harvey Coleman’s P.I.E. Model

What makes someone

• successful in their work

• be at their best
• climb the organizational ladder?

Management consultant Harvey Coleman proposed a model in 1996 with the first edition of his book, “Empowering
Yourself: The Organizational Game Revealed,” which still proves true today. He called it the P.I.E. model, in which the
mnemonic PIE stands for:

60% exposure:
• exposure—to people, resources, and opportunities—helps to become successful
• Introducing cutting-edge thinkers in digital marketing and related fields
• Providing inspiration for professional growth
• Offering opportunities to connect with fellow students
• Emphasizing the importance of exposure to people, resources, and opportunities for success
• Acknowledging the role of networking in career advancement
• Highlighting the significance of information and opportunities for professional development
• Encouraging students to start taking advantage of these opportunities now
30% image
• Image—how others understand and perceive you—
• helps professionals excel in their work.
• digital marketing challenge is to develop and maintain the images of an organizations so that customers
continue to engage and to buy
10% performance
• work hard is a small piece of the puzzle
• your basic ability to do your job is less important,
• Performance is the entry point to many roles, but excellence must be a given.
• Do well in your work, but don’t expect to be able to compete on performance alone.

CONSIDER: Remember this framework as we talk about the ethical side of marketing. The fact that image and
exposure play such critical roles in our professional advancement has important implications for equity and inclusion.
What biases might we carry about someone’s image that might hinder their growth, despite performance? Who has
access to that exposure, and why? How can we help improve access to bring more diverse voices to the table—which,
we’ll learn shortly, improves outcomes for everyone?

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1.3. Core Concepts of Digital Marketing

There are a few basic tenets that set digital marketing apart from its more traditional, broadcast marketing
predecessors.

Measurement: Calculating the Return On Investment (ROI) of a billboard or even a television ad is challenging and
unreliable. With digital marketing, measurement is built into the very systems that deliver the content. The
sophisticated digital marketer can track every touchpoint with a customer, notice patterns that emerge, and respond
accordingly. In digital MArketing theres a lot of information and it is possible to measure.

Iteration and optimization: The relative ease of content development, release, and measurement means that testing
and iteration are not only possible but required for effective digital campaigns.

Cost efficiency: When digital marketing efforts are well-targeted, measured effectively, and optimized for maximum
results, dollars invested in marketing can be used much more efficiently than with traditional marketing. This is not to
say that digital marketing is cheaper, as campaigns run the gamut. For example, a small nonprofit may invest a cautious
$25 into Facebook advertising, while a single digital marketing campaign for a large brand may run in the hundreds of
millions of dollars. Rather, whatever the spend, it can produce more reliable returns with less waste and higher return
on investment.

Interactivity: Digital marketing opens up the opportunity to not only talk to your audience, but with them. Effective
digital marketing often feels more like an organic conversation with your potential customers than a one-directional
sales pitch. Smart brands use this truth to their advantage and find ways to listen to and involve their customers in
various aspects of the organization.

Speed: Digital marketing moves much faster than traditional marketing, in many respects. Campaigns can be created
and launched with ease. Content is quickly and easily adaptable. Content delivery is fast and seamless

Reach/scale: As of January 2021, nearly 60% of the world’s population was online based on the number of internet
users in the world (Statista 2021). While there are significant disparities in internet access—less than 5% of the
population of many of the world’s poorest countries like Somalia and Madagascar are online according to the website,
Our World in Data, digital connectedness has become not only common but critical to everyday life around the globe.
The advent of digital marketing brings unprecedented opportunities to reach potential customers, wherever they may
be.

Lowered barriers to entry: Whereas traditional marketing may require big budgets and access to exclusive channels,
digital marketing allows anyone with access to the internet the opportunity to reach their target market and build a
customer base.

Precision of targeting: Broadcast marketing is so named because it is precisely that—broad, intended to reach large,
undifferentiated crowds. With digital marketing, businesses have the opportunity to present their offerings to only
those potential customers who will be most likely to be interested in their products or services.

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Inbound vs. Outbound Marketing

There are two broad categories of marketing in the digital age: inbound and outbound.

Inbound marketing: any kind of marketing in which the customer is drawn to the business—they come to you. It’s a
pull strategy. It’s also often called content marketing. The premise of inbound marketing is that if you want to invite
an exchange of value, you need to first draw in your potential customers with something of value. This style of
marketing is more of a soft sell. The intention is to provide content that begins a conversation and a relationship, in
order to build that know, like, and trust factor. Inbound marketing tactics include:

• Content marketing
• SEO
• Email marketing
• ...and much more that we’ll cover later in this course

Outbound marketing: all the ways in which a company seeks to position itself in front of a potential customer; the
company finds the audience and makes first contact. Outbound marketing is based on push methodology—essentially,
get the company, brand, product or service out there, and hope that the right people see it. Outbound marketing
tactics include:

• Cold calling
• Direct mail
• Trade shows
• Social media advertising
• Print media, TV, or radio advertising

Inbound is the preferred method of many marketers today; according to HubSpot, 70% of marketers are actively
investing in content marketing. (Hubspot 2021)

Inbound and outbound marketing can work well in tandem. For example, a bicycle company may create a
downloadable guide to bike repair on their website in exchange for sharing an email address, whilst also investing in
Instagram advertisement to target bicycle enthusiasts. This would be an example of outbound marketing (social media
advertising) enhancing inbound marketing (the bicycle repair guide as content marketing).

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 2. STRATEGY: UNDERSTANDING THE METHODOLOGY OF DIGITAL MARKETING

2.1. The Marketing Mix

Traditional marketing has always been focused on the “marketing mix” of the Four Ps: product, price, place, and
promotion. The tactical tools that marketers use to implement their strategies, engage customers, and deliver superior
customer value are known as the marketing mix. Each element of the marketing mix should support the product’s
positioning. The product, its price, its distribution channels, and of course the promotion should all reinforce the
message. Without a coherent, fully integrated mix, even the best product in the world will fail.

Product is either a tangible good or intangible service that fulfills a need or want of consumers. The product must
deliver a minimum level of performance on all attributes that are important to the target group consumers. Product
is the fundamental element in the marketing mix; if product is not delivering the best work, the marketing mix won’t
help to deliver consumer value.

Price is the cost consumers pay for a product are often tied to promotion. Price depends on the cost of production,
segment targeted, ability of the market to pay, supply/demand, and a host of other direct and indirect factors. There
can be several types of pricing strategies, each tied in with an overall business plan. Pricing can also be used to
differentiate and enhance the image of a product.

Promotion refers to all the activities undertaken to make the product or service known to the target user. Promotion
includes advertising, content marketing, public relations, in-store or online promotions and incentives, commissions,
and awards to the trade. These activities aim to convince consumers that they want the product and should pay a
certain price for it. Promotion can include consumer engaging activities, direct marketing, influencer marketing,
contests, and prizes.

Place is where a company sells a product and how it delivers the product to the market. It could also be referred to as
the point of sale. In every industry, catching the eye of the consumer and making it easy for them to buy it is the
main aim of good distribution or place strategy. Products are only successful if they are found by their target segment
if they are appropriately placed. The right place might extract a premium, regardless of the online or brick-and-mortar
nature of distribution.

Examples

Product failure: In 2012, Nike made an early foray into the emerging world of wearable sensors. The product,
unfortunately, didn’t live up to consumer expectations. The tracker could only capture customers’ walking, jogging,
and running, but customers expected it to capture all of their exercise habits, such as swimming or biking, as well.
Additionally, the tracker translated exercise into unfamiliar, branded units (called “fuel”), which was confusing and
frustrating for customers. Since the product didn’t operate as expected, the gap between what consumers expected
and what the software could deliver was too much to overcome. Competitors came in and addressed customers’
concerns, and ultimately Nike shut down the product less than three years later. The lesson? The product itself has to
deliver for your customers.

Promotion Failure: While a technically strong product, Zune was severely under-marketed and simply did not make
the case to the customer as to what the benefits were. On the other hand, iPod, which had been released five years
earlier, and had already soaked up much of the market, was consistently and aggressively promoted. Zune failed and
Apple continued to dominate the market. The lesson? It doesn’t matter if your product is superior if your potential
buyers don’t know about it, or aren’t convinced of its value.

Price Failure: When you’re an established brand, customers develop expectations around your pricing. Changing those
expectations takes time. So when Volkswagen attempted to enter the luxury car market at a significantly higher price
point than their other vehicles, they failed because Volkswagen is associated with safety in customers’ minds with
safety, reliability, functionality, and reasonable prices. Volkswagen pulled the product from the market. The lesson?
Pricing is an important marketing decision because it has to do not just with how much your product costs, but how

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your customers think of you. If you want to change price, you must also change your customers’ perceptions of your
brand.

Place Failure: The channels you choose to share your product on have to be consistent with where your customer
thinks about that product and how it is purchased and consumed. When Trump Steaks were introduced, they were
sold exclusively through QVC and, more unexpectedly, high-tech lifestyle chain The Sharper Image. While the potential
audience may have been correct, the offer failed, and the steaks were pulled from the shelves after only two months.
The lesson? Consider again your customer’s mindset and expectations for where and how they get what they are
searching for. In the digital world, this comes through in terms of the channels you choose.

The Fifth P

In the digital age, marketers continue to lean on the Four Ps. But they are also considering where that traditional
model falls short. There have been many attempts to introduce a “Fifth P” into the mix to account for the fast-moving,
customer-centric digital world. Read the following articles and consider for yourself: do you agree with these
suggestions? What would your “Fifth P” of marketing be?

REQUIRED READINGS

In The Power of the Fifth P, author William J. McEwen argues that the fifth P is People:

• Building a relationship with the customer is the key to creating repeat sales and fostering loyalty.
• Marketing 101 focuses on the Four Ps: Product, Place, Promotion, and Price. However, the Fifth P - People - is often
overlooked in brand marketing.
• Customer-facing employees play a crucial role in delivering the brand promise and building customer relationships.
Yet, these employees are often the responsibility of human resources, not brand managers.
• Neglecting the customer experience can be costly to companies. Customers have long memories of
disappointments and unmet expectations.
• Gallup Organization surveys suggest that employees who deal with customers not only represent the brand but
also become the brand in customers' perceptions.
• Adding a fifth P - People - to the Four Ps can be challenging due to organizational rigidity. Companies need to select,
manage and train their employees for brand-enhancing behaviors.
• In the fast-food industry, customers are more likely to return to a source based on the quality of the interactions
with the people who take and serve their orders than the taste of the food.
• In the airline industry, the quality of customer service is a more significant factor than promotions and place in
creating customer loyalty.

The article Purpose Is the 5th "P" of Marketing You Absolutely Need by Jeff Barrett states that Purpose is the fifth P:

• Purpose is the fifth "P" of marketing that companies need to focus on to beat their competition.
• Connecting with a purpose can give companies an edge in today's marketplace.
• Purpose can be the predominant buzz word of 2019 as people seek out brands with a purpose and stay with the
ones that continue to have a purpose. brands need to communicate their purpose to connect with customers.
• Loyal customers identify with the purpose just as much if not more than the product.
• Brands that take a stand on important issues can create deeper and longer-lasting relationships with their fans
around a shared set of values.
• Companies should focus on being deeply loved by some rather than inoffensive to all.
• Taking a stand on important issues of our time can deepen and lengthen relationships with customers who share
their values.
• Companies need to create a deep, meaningful connection with their target audience to be loved by them rather
than trying to be inoffensive to all.
• Customers identify with a brand's purpose just as much, if not more than the product.

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A Word of Caution: An excellent marketing mix in one period may not be as effective in another period. The marketing
mix changes over time due to market changes, shifts in consumer preferences, emergence of new segments,
introduction of new trends, technological advances, attitudinal changes, competitive actions, etc. Therefore, the
marketing mix must be reevaluated periodically to identify weaknesses and opportunities. Try different things to
achieve different results. Reevalutation, innovation, changes in economy, companies, customers, etc, is essential. For
example: an online company sells travels. Covid happens. They try to stand out by being relevant as possible. The
company searched for other products which where more needed by that time, like home goods, groceries, etc. Even
support of local businesses.

Revaluationg starts with the audience. What do consumers need? How can you connect with their needs and mindset
during this time?

The 6th P  The Process: The way of shipment or customer services are processes which must work smoothly. The
customer should not think about all the processes.

2.2. Point/Counterpoint

Start with Why: To make customers know, like, and trust us enough to exchange value, we need to rise above the
noise. What is the importance of "Why?" Author Simon Sinek famously proposed that the most successful businesses
are those that “start with why.” He uses Apple as a classic example of a company with a strong “why” that has used
this core idea to consistently keep its customers engaged. Only from there do those brands then address the 'how' of
their work, and finally the 'what' - their actual products and services. Apple has always been, and always will be, about
beautiful design. No matter what products they create, that 'why' lies at heart of the company.

Video to learn more about sharing your message and inspiring action by starting with why.

Simon Sinek: How great leaders inspire action (ANNEX 1)

• Leaders and organizations who inspire people think, act, and communicate in a specific way - the opposite to
everyone else - and Simon Sinek has codified this into the "golden circle" concept.
• The vast majority of people and organizations know what they do, some know how they do it, but very few know
why they do what they do (i.e., what's their purpose, cause, or belief).
• People and organizations that inspire others all think, act, and communicate from the inside out, starting with why
they do what they do, not from the outside in.
• When communicating from the inside out, we're talking directly to the part of the brain that controls behavior,
which is where gut decisions come from.
• People don't buy what you do; they buy why you do it. The goal is to sell or hire people who believe what you
believe, not just people who need what you have.
• Attracting those who believe what you believe is important because they'll work for you with blood, sweat & tears.
• Example: The Wright brothers and importance of the why, as they attracted people who believed in their cause,
and this belief sustained them through years of failure until they finally succeeded in inventing the airplane.
• It's not enough to talk about what you do, how you do it, and expect some sort of behavior. To inspire people, you
need to start with why.

Let’s Not Start with Why

While this idea has taken off and spurred entire industries towards the idea of “finding your why” and living it out
through their business, there are competing ideas. In an article titled "The Three-Word Brief", Bob Hoffman, a
published author in the field of advertising, challenges this idea of "brand meaning," claiming that although there are
a few select brands where the consumer forms a deeper connection, for most this is not necessarily the driver for
success in their marketing strategy.

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 3. Ethics: Understanding the Norms in Working towards Ethical Marketing

3.1. The Value Exchange

Marketing and Digital Marketing are the practice of inviting the exchange of value. You have something of value to
offer, and your customer provides something of value in return. Marketing encompasses all the activities, systems,
tools, and processes that invite this exchange. Digital marketing also known as web marketing, online marketing, or
internet marketing. The goal of a marketer is always to help customers know, like, and trust us enough to keep
exchanging value.

That means that digital marketing is, in part:

• Psychology and sociology: You have to understand people—what they value, how they behave, how they make
decisions—both individually and as a group.
• Education: You have to be able to share information about your organization, your product, your service, etc., in
a way those people can understand.
• Entertainment: We need to keep our customers engaged and inspired so they build a connection with our brands.
• Technology: We have to have a working knowledge of the tools of the trade, and how they can serve your strategy
to reach and engage your customers.
• Measurement and analysis: How will you know if your marketing efforts have been effective? Being able to name,
track, and analyse the metrics that matter is key to being a successful digital marketer.
• Operations: Marketing must align with every aspect of the company or organization you represent, with strong
communication and clear workflows. This will keep your efforts responsive to the environment and compelling to
your customers.
• Business: Peter Drucker famously said, “The goal of business is to create and keep a customer.” He argued that
business only has two functions: marketing and innovation. In “Peter Drucker On Marketing,” it states that no
business can exist without inviting and facilitating that exchange of value, so marketing is fundamental.

3.2. Creating Trust

Ethics and Trust “Your story is a hook. And you’re on it” (Seth Godin “THIS IS MARKETING”). It is important to be
coherent to the values. If you lose the trust, people will look for alternatives, and if there is a lot of competition.

Is it a matter of size? Not always small companies do well.

What about wrongdoers?

• Adding value on other things: For example diet coke, light cigarretes, planting trees, etc.
• Needs of the company: “This are the needs of the company, and it is what it is”.
• Time make change companies:

3.3. Code of Conduct

The Role of Code of Conduct in Building Trust

Ethics, at heart, are the set of moral principles that guide our behaviour and help distinguish right from wrong.
Marketing is the most public-facing aspect of the business, so it is subject to the most scrutiny. Ethical digital
marketing is crucial because it drives profit and builds trust. Trust is a critical component in building and maintaining
relationships with both current and potential customers.

“Marketers know that a brand’s success is built on consumer trust and so delivering on its promise is key. If a brand
fails to act ethically, whether this is done accidentally or deliberately, this trust is undermined.” (Boote 2017)

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The American Marketing Association, in their Code of Conduct, offers three ethical norms for marketers to stand by.
These norms are as follows: “Do no harm." This means consciously avoiding harmful actions or omissions by
embodying high ethical standards and adhering to all applicable laws and regulations in the choices we make. Foster
trust in the marketing system. This means striving for good faith and fair dealing to contribute toward the efficacy of
the exchange process, as well as avoiding deception in product design, pricing, communication, and delivery of
distribution. Embrace ethical values. This means building relationships and enhancing consumer confidence in the
integrity of marketing by affirming these core values: honesty, responsibility, fairness, respect, transparency and
citizenship. (AMA Code of Conduct 2021)

AMA’s Statement of Ethics (ANNEX 2)

The AMA Statement of Ethics outlines the ethical standards that marketers should follow in their profession, including
research standards.

The preamble emphasizes the AMA's commitment to promoting high ethical norms and values for its members, who
act as stewards of society and are responsible for multiple stakeholders.

The ethical norms include avoiding harm, fostering trust in the marketing system, and embracing ethical values.

The ethical values include honesty, responsibility, fairness, respect, transparency, and citizenship, with specific actions
outlined for each value.

The implementation section encourages AMA members to lead their organizations in fulfilling promises made to
stakeholders and encourages industry sectors and marketing sub-disciplines to develop their own specific codes of
ethics.

As a digital marketer, you are in a position to influence the people around you at three levels:

Your company and team: Internally, you can be the voice of more ethical standards of marketing. We’ll talk more
about this in our module on Digital Leadership.

Your customers: If you’re in the world of marketing, you believe in the power of persuasion to change people’s beliefs
and behaviours. How you interact with them matters. Throughout the subsequent modules, we’ll discuss ways you
can engage your customers online to ensure you’re building trust, and treating your customers with respect.

Society more broadly: Digital marketing is everywhere. A huge indicator of success is how far our messages spread on
their own; how “viral” they become. Our marketing becomes woven into the fabric of our culture. We therefore need
to consider the potential repercussions of those messages, both productive and destructive, as they travel beyond our
target audiences. What kind of (positive) impact can we have?

These three levels of consideration should come into play when it comes to building ethical practice into your
marketing.

Your Role in the Ethics of Digital Marketing (Beasley 2021)

For now, let’s focus on how more ethically aligned digital marketing starts with you. How do we wield the influence
we have as digital marketers to ethically make better decisions and build trust? Brett Beasley of the Notre Dame
Deloitte Center for Ethical Leadership offers four straightforward tips for wielding our power more ethically:

• Focus on the responsibility that comes with power

• Develop a strong moral identity

• Encourage others to use their voice

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 • Find mentors to keep you humble

Issues of digital marketing ethichs which we need to be conscious and work to avoid: Click-bait, unfounded scientific
claims, advertising vulnerable population, misuse of customer data.

In the age of bradcast marketing, ethics were defined by how you treated your competitor than how you treated your
customer.

In the digital world, the focus shifted to how businesses treat their customers.

84% Americans believe brans have the power to make the world a better place.

92% of millennial consumers, are more likely to buy products from ethical companies.

Ethical digital marketers understand that building trust is essential to create a maintain a customers base, and setting
that ethical standard begins with the marketing:

• Where you choose to share your talents?

• Before accepting a job in digital marketing its better to research to company in Glassdoor to look for previous
employees opinions. Talk with people which is familiar with the company. Look at their current marketing and
how current and potential customers are working.
• Include in the digital marketing strategy “what ethical issues we could struggle with”. Review them regularly.

Karina Tama-Rutigliano: “do not use fake reviews. Ask for real reviews from real customers”.

If finding something portentialy unethical in your company, talk about it with your team and make questions. Share
your perspective.

If this doesn’t happen there can be serious PR disasters  Balenciaga designer sorry for ‘inappropriate’ campaign
featuring children

“As a marketer, it is your responsibility to net ROI marketing while holding the line on ethical marketing practices.
Customers expect transparency, and newer technology will give them an access to it. It’s time for us to rise to the
occasion and quit pretending unethical practices are acceptable”.

25 Years Ago I Coined the Phrase “Triple Bottom Line.” Here’s Why It’s Time to Rethink It (The Harvard Business
Review, John Elkington).

This article talks about the need to recall this term as it has become more about accounting than actual change in the
way businesses operate.

About 25 years ago, John Elkington coined the term “triple bottom line” as a challenge for business leaders to rethink
capitalism. It was supposed to offer a radical new way forward, as businesses learned to stop focusing solely on profits
and expand their focus to include improving the lives people and the health of the planet. But 25 years later, this
radical goal has been largely forgotten, and “triple bottom line” thinking has been reduced to a mere accounting tool,
a way of balancing tradeoffs instead of actually doing things differently.

Today, we continue to outstrip our planetary boundaries with no sign of slowing down. And so Elkington offers a
management concept “recall.” Because when it comes to sustainability, the time has come to either step up, or to get
out of the way.

• Management concepts are not subjected to recalls like industrial products, and failures are often ignored in
poorly regulated environments.

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• Poor management systems can jeopardize lives and entire businesses, so it is time for a management concept
recall to fine-tune the triple bottom line, a sustainability framework that examines a company's social,
environment, and economic impact.

• The triple bottom line was coined in 1994 and was designed to provoke deeper thinking about capitalism and its
future, but it has been captured and diluted by accountants and reporting consultants. Many early adopters
understood the concept as a balancing act, adopting a trade-off mentality.

• The concept has been proliferated into a bewildering range of options, which can provide businesses with an
alibi for inaction. The data produced are not being analyzed to track, understand, and manage the systemic
effects of human activity.

• The TBL was intended as a genetic code, a triple helix of change for tomorrow's capitalism, pushing toward the
transformation of capitalism. It was never supposed to be just an accounting system.

• Some companies moved in this direction, among them Denmark's Novo Nordisk, Anglo-Dutch Unilever, and
Germany's Covestro.

• It is time for progress on two dimensions of the TBL while the third remains unaffected to become the default
setting for leading businesses.

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 4. Future-proofing: Understanding the Direction of Digital Marketing

4.1. Digital Adoption

Nearly 60% of the world's population is now digital. Social media users have increased by more than 1 billion in the
past 3 years. Simon Kemp

In the last year, digital adoption accelerated around the world as people spent more time online. There are now 4.66
billion people who use the internet—close to 60% of the world’s total population. The average internet user spends
nearly seven hours per day using the internet, a 9% increase from last year. This means that we spend roughly 40% of
our waking lives using connected devices

Social media users increased by more than 13% over the past year, bringing the global total to nearly 4.2 billion. That’s
over 1 billion new users over the last three years.

This dramatic uptick has put social back in the spotlight for marketers. As the CMO Survey shows, social media
spending has increased from 13.3% of marketing budgets in February 2020 to 23.2% in June 2020—a 74% lift. CMOs
anticipate that social media investments will remain high at 23.4% of marketing budgets in 2021.

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4.2. Looking back to Look Forward: The History of Digital and Why it Matters

In order to get a sense of where things are headed, it is often helpful to look back at where we’ve come from. Let’s
look at an extremely brief overview of the history of the internet and digital technologies:

a) The web began by connecting data (files): The first message was sent from one computer to another in 1969; the
first email was launched in 1971. Static websites were first built in 1990 and made public in 1993. Amazon.com
launched in 1995, Google and Yahoo came out in 1997.

b) Then it connected people (social media): Social media platform Friendster (now defunct) launches in 2002–2003.
Facebook comes on the scene in 2004.

c) Then both of those connections went mobile (the rise of mobile phones): Apple introduces the first iPhone in 2007.

d) Since then, digital experiences have become more personalized and immersive: Virtual reality (VR) was widely
introduced to the public when Oculus Rift ran its wildly successful Kickstarter campaign in 2012. Augmented reality
(AR) game Pokémon GO brought AR to the masses in 2016.

e) Devices are more seamlessly integrated into our everyday lives and are practically omnipresent: Alexa, Amazon’s
virtual assistant smart speaker, was introduced in 2014. A 2019 Perkins Coie report argues that by 2025, AR and VR
technologies will be as ubiquitous as smart phones. (Perkins Coie and XR Association 2019).

Notice the trends in the timeline? Digital technologies have gone from connecting information to connecting people.
For example, from the connection of computers in one location to people on the move along with the information
being housed in the devices we carry, to broadening to whole new worlds. As digital marketers, our job is to be both
responsive to the current environments and predictive about what’s next. Consider for yourself: where is the digital
world taking us next? What is the next digital frontier, and what will that mean for digital marketing?

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4.3. Innovation and Digital Transformation

Some companies were born into the digital world and understand intrinsically how to harness its power and potential
in their marketing.

Zappos.com and Customer Service

Zappos.com, founded in 1999, is technically a shoe company, but it has also developed a relentless focus on customer
service as its true differentiator. Zappos founder Tony Hsieh went so far as to say that Zappos is a customer service
company that "happens to sell shoes online." Recently, Zappos has tapped influencers to host "shoppable livestreams,"
allowing customers to interact directly with the people they follow, get introduced to products they might enjoy, and
seamlessly make their purchase right through the platform. Zappos is an excellent example of a successful “digital
native brand.” For these companies, keeping up with digital is part of who they are—it’s in the company’s DNA.

For others, the challenge to adapt to the ever-accelerating pace of change in the digital world is an uphill battle. This
is because digital transformation isn’t just about updating your new tools and technologies—it’s about adapting to the
reality of a customer-centric digital world at every point of interaction with your audience. And that takes a lot more
than just setting up a Facebook page. For many companies, it means reimagining the structure of internal departments,
updating roles and job descriptions, and considering how your company’s culture supports, or stands in the way of,
near-constant innovation and iteration.

Traditional Approach to Developing Product/Service Innovation

Consider, for example, how traditional companies approach developing a product. As you can see in the figure below,
the traditional approach begins with the generation and screening of an idea that is then developed, tested, and
marketed. After these initial steps, a business analysis is performed that leads to product development, test marketing,
and finally commercialization of the product. This approach starts with the leadership of the company and doesn’t
incorporate the customer’s voice until it hits the market. All of the company’s internal systems support this lengthy,
internal process.

But with the advent of digital technologies, businesses suddenly find themselves in an environment in which they are
speaking with their customers, not just to them (whether they like it or not). They can get immediate feedback on
their products and services. Unfortunately, the traditional product development process they have in place doesn’t
allow them to respond to that feedback in a timely way.

Design Thinking Can Be Used to Enable Innovation

Digital native brands that put their customers at the center of every interaction are often using a design thinking
approach, whether they name it as such or not. They are constantly empathizing with their customer, coming up with
16
ideas for how to address their needs and desires, testing out new offerings to see how they resonate, learning, and
adjusting again. The true challenge of digital transformation is not about adopting digital technologies, it is about
moving from a company-centric view of the world to a radically customer-centric one.

As you can see in the figure below, this shift to a customer-centric focus produces a non-linear approach. Unlike the
traditional approach, which was based on a linear method with a series of steps, here the approach is to allow user
learning and testing to guide the steps to follow in the creation of a product or service.

Many digital native brands, on the other hand, take a different approach to product development that is better aligned
with the culture of the digital age. Design thinking is an iterative process that allows you to produce goods and services
in collaboration with your audience. That process looks like this :

Digital marketing is not the same as digital transformation, but digital marketing can be the work that leads the change
in your organization because it is inherently so close to the customer. If you find yourself working in digital marketing
in a traditional organization, know that the process of digital transformation can feel slow and challenging. But know
that your role, insight, and support can drive meaningful change that both moves the company forward, increases
revenue, and serves your customers better in the long run.

SUMMARY: With every step, the digital world has gone from centering content to centering people. More and more,
digital marketing is centered on delivering relevant and resonant content and experiences personalized to each
individual. So, knowing your customer, and knowing how to learn about them, is crucial when delivering this kind of
content and experience. This is exactly where we will begin in the next module.

Forum: The World of Digital Marketing. What draws you to the world of digital marketing, and what role do you hope
to play in this field? Share a little bit about the companies/brands, people, and events that inspired you to pursue this
field.

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 Glossary

Digital Marketing: Any marketing activity that occurs online using digital tools and technologies.

Inbound Marketing: Refers to any kind of marketing in which the customer is drawn to the business.

Marketing: Comprises all the activities of a business involved in buying and selling a product or service.

Marketing Mix: The tactical tools that marketers use to implement their strategies, engage customers, and deliver
superior customer value.

P.I.E. Model: A model proposed by management consultant Harvey Coleman in 1996, in which the mnemonic PIE
stands for performance, image, and exposure.

Place: As part of the four Ps of the marketing mix, place refers to where a company sells a product and how it
delivers the product to the market. It could also be referred to as the point of sale.

Price: As part of the four Ps of the marketing mix, price refers to the cost consumers pay for a product and how it is
often tied to promotion.

Product: As part of the four Ps of the marketing mix, product refers to either a tangible good or intangible service
that fulfills a need or want of consumers.

Promotion: As part of the four Ps of the marketing mix, promotion refers to all the activities undertaken to make the
product or service known to the target user.

Outbound Marketing: Outbound Marketing encompasses all the ways in which a company seeks to position itself in
front of a potential customer; the company finds the audience and makes first contact.

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 ANNEX 1

How do you explain when things don't go as we assume? Or better, how do you explain when others are able to
achieve things that seem to defy all of the assumptions? For example: Why is Apple so innovative? Year after year,
after year, they're more innovative than all their competition. And yet, they're just a computer company. They're just
like everyone else. They have the same access to the same talent, the same agencies, the same consultants, the same
media. Then why is it that they seem to have something different? Why is it that Martin Luther King led the Civil Rights
Movement? He wasn't the only man who suffered in pre-civil rights America, and he certainly wasn't the only great
orator of the day. Why him? And why is it that the Wright brothers were able to figure out controlled, powered man
flight when there were certainly other teams who were better qualified, better funded -- and they didn't achieve
powered man flight, and the Wright brothers beat them to it. There's something else at play here.

About three and a half years ago, I made a discovery. And this discovery profoundly changed my view on how I thought
the world worked, and it even profoundly changed the way in which I operate in it. As it turns out, there's a pattern.
As it turns out, all the great inspiring leaders and organizations in the world, whether it's Apple or Martin Luther King
or the Wright brothers, they all think, act and communicate the exact same way. And it's the complete opposite to
everyone else. All I did was codify it, and it's probably the world's simplest idea. I call it the golden circle.

Why? How? What? This little idea explains why some organizations and some leaders are able to inspire where
others aren't. Let me define the terms really quickly. Every single person, every single organization on the planet
knows what they do, 100 percent. Some know how they do it, whether you call it your differentiated value proposition
or your proprietary process or your USP. But very, very few people or organizations know why they do what they do.
And by "why" I don't mean "to make a profit." That's a result. It's always a result. By "why," I mean: What's your
purpose? What's your cause? What's your belief? Why does your organization exist? Why do you get out of bed in
the morning? And why should anyone care? As a result, the way we think, we act, the way we communicate is from
the outside in, it's obvious. We go from the clearest thing to the fuzziest thing. But the inspired leaders and the inspired
organizations -- regardless of their size, regardless of their industry -- all think, act and communicate from the inside
out.

Let me give you an example. I use Apple because they're easy to understand and everybody gets it. If Apple were like
everyone else, a marketing message from them might sound like this: "We make great computers. They're beautifully
designed, simple to use and user friendly. Want to buy one?" "Meh." That's how most of us communicate. That's how
most marketing and sales are done, that's how we communicate interpersonally. We say what we do, we say how
we're different or better and we expect some sort of a behavior, a purchase, a vote, something like that. Here's our
new law firm: We have the best lawyers with the biggest clients, we always perform for our clients. Here's our new
car: It gets great gas mileage, it has leather seats. Buy our car. But it's uninspiring.

Here's how Apple actually communicates. "Everything we do, we believe in challenging the status quo. We believe
in thinking differently. The way we challenge the status quo is by making our products beautifully designed, simple
to use and user friendly. We just happen to make great computers. Want to buy one?" Totally different, right? You're
ready to buy a computer from me. I just reversed the order of the information. What it proves to us is that people
don't buy what you do; people buy why you do it.

This explains why every single person in this room is perfectly comfortable buying a computer from Apple. But we're
also perfectly comfortable buying an MP3 player from Apple, or a phone from Apple, or a DVR from Apple. As I said
before, Apple's just a computer company. Nothing distinguishes them structurally from any of their competitors. Their
competitors are equally qualified to make all of these products. In fact, they tried. A few years ago, Gateway came out
with flat-screen TVs. They're eminently qualified to make flat-screen TVs. They've been making flat-screen monitors
for years. Nobody bought one. Dell came out with MP3 players and PDAs, and they make great quality products, and
they can make perfectly well-designed products -- and nobody bought one. In fact, talking about it now, we can't even
imagine buying an MP3 player from Dell. Why would you buy one from a computer company? But we do it every day.
People don't buy what you do; they buy why you do it. The goal is not to do business with everybody who needs
what you have. The goal is to do business with people who believe what you believe.

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Here's the best part: None of what I'm telling you is my opinion. It's all grounded in the tenets of biology. Not
psychology, biology. If you look at a cross-section of the human brain, from the top down, the human brain is actually
broken into three major components that correlate perfectly with the golden circle. Our newest brain, our Homo
sapien brain, our neocortex, corresponds with the "what" level. The neocortex is responsible for all of our rational and
analytical thought and language. The middle two sections make up our limbic brains, and our limbic brains are
responsible for all of our feelings, like trust and loyalty. It's also responsible for all human behavior, all decision-making,
and it has no capacity for language.

In other words, when we communicate from the outside in, yes, people can understand vast amounts of complicated
information like features and benefits and facts and figures. It just doesn't drive behavior. When we can communicate
from the inside out, we're talking directly to the part of the brain that controls behavior, and then we allow people to
rationalize it with the tangible things we say and do. This is where gut decisions come from. Sometimes you can give
somebody all the facts and figures, and they say, "I know what all the facts and details say, but it just doesn't feel
right." Why would we use that verb, it doesn't "feel" right? Because the part of the brain that controls decision-
making doesn't control language. The best we can muster up is, "I don't know. It just doesn't feel right." Or sometimes
you say you're leading with your heart or soul. I hate to break it to you, those aren't other body parts controlling your
behavior. It's all happening here in your limbic brain, the part of the brain that controls decision-making and not
language.

But if you don't know why you do what you do, and people respond to why you do what you do, then how will you
ever get people to vote for you, or buy something from you, or, more importantly, be loyal and want to be a part of
what it is that you do. The goal is not just to sell to people who need what you have; the goal is to sell to people who
believe what you believe. The goal is not just to hire people who need a job; it's to hire people who believe what you
believe. I always say that, you know, if you hire people just because they can do a job, they'll work for your money,
but if they believe what you believe, they'll work for you with blood and sweat and tears. Nowhere else is there a
better example than with the Wright brothers.

Most people don't know about Samuel Pierpont Langley. And back in the early 20th century, the pursuit of powered
man flight was like the dot com of the day. Everybody was trying it. And Samuel Pierpont Langley had, what we assume,
to be the recipe for success. Even now, you ask people, "Why did your product or why did your company fail?" and
people always give you the same permutation of the same three things: under-capitalized, the wrong people, bad
market conditions. It's always the same three things, so let's explore that. Samuel Pierpont Langley was given 50,000
dollars by the War Department to figure out this flying machine. Money was no problem. He held a seat at Harvard
and worked at the Smithsonian and was extremely well-connected; he knew all the big minds of the day. He hired the
best minds money could find and the market conditions were fantastic. The New York Times followed him around
everywhere, and everyone was rooting for Langley. Then how come we've never heard of Samuel Pierpont Langley?

A few hundred miles away in Dayton, Ohio, Orville and Wilbur Wright, they had none of what we consider to be the
recipe for success. They had no money; they paid for their dream with the proceeds from their bicycle shop. Not a
single person on the Wright brothers' team had a college education, not even Orville or Wilbur. And The New York
Times followed them around nowhere.

The difference was, Orville and Wilbur were driven by a cause, by a purpose, by a belief. They believed that if they
could figure out this flying machine, it'll change the course of the world. Samuel Pierpont Langley was different. He
wanted to be rich, and he wanted to be famous. He was in pursuit of the result. He was in pursuit of the riches. And lo
and behold, look what happened. The people who believed in the Wright brothers' dream worked with them with
blood and sweat and tears. The others just worked for the paycheck. They tell stories of how every time the Wright
brothers went out, they would have to take five sets of parts, because that's how many times they would crash before
supper.

And, eventually, on December 17th, 1903, the Wright brothers took flight, and no one was there to even experience
it. We found out about it a few days later. And further proof that Langley was motivated by the wrong thing: the day
the Wright brothers took flight, he quit. He could have said, "That's an amazing discovery, guys, and I will improve
upon your technology," but he didn't. He wasn't first, he didn't get rich, he didn't get famous, so he quit.
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People don't buy what you do; they buy why you do it. If you talk about what you believe, you will attract those
who believe what you believe.

But why is it important to attract those who believe what you believe? Something called the law of diffusion of
innovation, if you don't know the law, you know the terminology. The first 2.5% of our population are our innovators.
The next 13.5% of our population are our early adopters. The next 34% are your early majority, your late majority and
your laggards. The only reason these people buy touch-tone phones is because you can't buy rotary phones anymore.

We all sit at various places at various times on this scale, but what the law of diffusion of innovation tells us is that if
you want mass-market success or mass-market acceptance of an idea, you cannot have it until you achieve this
tipping point between 15 and 18 percent market penetration, and then the system tips. I love asking businesses,
"What's your conversion on new business?" They love to tell you, "It's about 10 percent," proudly. Well, you can trip
over 10% of the customers. We all have about 10% who just "get it." That's how we describe them, right? That's like
that gut feeling, "Oh, they just get it."

The problem is: How do you find the ones that get it before doing business versus the ones who don't get it? So it's
this here, this little gap that you have to close, as Jeffrey Moore calls it, "Crossing the Chasm" -- because, you see, the
early majority will not try something until someone else has tried it first. And these guys, the innovators and the early
adopters, they're comfortable making those gut decisions. They're more comfortable making those intuitive decisions
that are driven by what they believe about the world and not just what product is available. These are the people who
stood in line for six hours to buy an iPhone when they first came out, when you could have bought one off the shelf
the next week. These are the people who spent 40,000 dollars on flat-screen TVs when they first came out, even
though the technology was substandard. And, by the way, they didn't do it because the technology was so great; they
did it for themselves. It's because they wanted to be first. People don't buy what you do; they buy why you do it and
what you do simply proves what you believe. In fact, people will do the things that prove what they believe. The
reason that person bought the iPhone in the first six hours, stood in line for six hours, was because of what they
believed about the world, and how they wanted everybody to see them: they were first. People don't buy what you
do; they buy why you do it.

So let me give you a famous example, a famous failure and a famous success of the law of diffusion of innovation.
First, the famous failure. It's a commercial example. As we said before, the recipe for success is money and the right
people and the right market conditions. You should have success then. Look at TiVo. From the time TiVo came out
about eight or nine years ago to this current day, they are the single highest-quality product on the market, hands
down, there is no dispute. They were extremely well-funded. Market conditions were fantastic. I mean, we use TiVo
as verb. I TiVo stuff on my piece-of-junk Time Warner DVR all the time.

But TiVo's a commercial failure. They've never made money. And when they went IPO, their stock was at about 30 or
40 dollars and then plummeted, and it's never traded above 10. In fact, I don't think it's even traded above six, except
for a couple of little spikes.

Because you see, when TiVo launched their product, they told us all what they had. They said, "We have a product
that pauses live TV, skips commercials, rewinds live TV and memorizes your viewing habits without you even asking."
And the cynical majority said, "We don't believe you. We don't need it. We don't like it. You're scaring us."

What if they had said, "If you're the kind of person who likes to have total control over every aspect of your life, boy,
do we have a product for you. It pauses live TV, skips commercials, memorizes your viewing habits, etc., etc." People
don't buy what you do; they buy why you do it, and what you do simply serves as the proof of what you believe.

Now let me give you a successful example of the law of diffusion of innovation. In the summer of 1963, 250,000 people
showed up on the mall in Washington to hear Dr. King speak. They sent out no invitations, and there was no website
to check the date. How do you do that? Well, Dr. King wasn't the only man in America who was a great orator. He
wasn't the only man in America who suffered in a pre-civil rights America. In fact, some of his ideas were bad. But he
had a gift. He didn't go around telling people what needed to change in America. He went around and told people
what he believed. "I believe, I believe, I believe," he told people. And people who believed what he believed took his

21
cause, and they made it their own, and they told people. And some of those people created structures to get the
word out to even more people. And lo and behold, 250,000 people showed up on the right day at the right time to
hear him speak.

How many of them showed up for him? Zero. They showed up for themselves. It's what they believed about America
that got them to travel in a bus for eight hours to stand in the sun in Washington in the middle of August. It's what
they believed, and it wasn't about black versus white: 25% of the audience was white.

Dr. King believed that there are two types of laws in this world: those that are made by a higher authority and those
that are made by men. And not until all the laws that are made by men are consistent with the laws made by the
higher authority will we live in a just world. It just so happened that the Civil Rights Movement was the perfect thing
to help him bring his cause to life. We followed, not for him, but for ourselves. By the way, he gave the "I have a
dream" speech, not the "I have a plan" speech.

Listen to politicians now, with their comprehensive 12-point plans. They're not inspiring anybody. Because there are
leaders and there are those who lead. Leaders hold a position of power or authority, but those who lead inspire us.
Whether they're individuals or organizations, we follow those who lead, not because we have to, but because we want
to. We follow those who lead, not for them, but for ourselves. And it's those who start with "why" that have the
ability to inspire those around them or find others who inspire them.

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 Annex 2

AMA Statement of Ethics

The Statement of Ethics addresses the AMA’s position on the ethical standards that marketers should observe while
practicing marketing as part of their profession. This includes standards for research into marketing.

Preamble

The American Marketing Association commits itself to promoting the highest standard of professional ethical norms
and values for its members (practitioners, academics and students). Norms are established standards of conduct that
are expected and maintained by society and/or professional organizations. Values represent the collective conception
of what communities find desirable, important and morally proper. Values also serve as the criteria for evaluating our
own personal actions and the actions of others. As marketers, we recognize that we not only serve our organizations
but also act as stewards of society in creating, facilitating and executing the transactions that are part of the greater
economy. In this role, marketers are expected to embrace the highest professional ethical norms and the ethical values
implied by our responsibility toward multiple stakeholders (e.g., customers, employees, investors, peers, channel
members, regulators and the host community).

Ethical Norms

As Marketers, we must:

1. Do no harm. This means consciously avoiding harmful actions or omissions by embodying high ethical
standards and adhering to all applicable laws and regulations in the choices we make.

2. Foster trust in the marketing system. This means striving for good faith and fair dealing so as to contribute
toward the efficacy of the exchange process as well as avoiding deception in product design, pricing,
communication, and delivery of distribution.

3. Embrace ethical values. This means building relationships and enhancing consumer confidence in the integrity
of marketing by affirming these core values: honesty, responsibility, fairness, respect, transparency and
citizenship.

Ethical Values

Honesty – to be forthright in dealings with customers and stakeholders. To this end, we will:

• Strive to be truthful in all situations and at all times.

• Offer products of value that do what we claim in our communications.

• Stand behind our products if they fail to deliver their claimed benefits.

• Honor our explicit and implicit commitments and promises.

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Responsibility – to accept the consequences of our marketing decisions and strategies. To this end, we will:

• Strive to serve the needs of customers.

• Avoid using coercion with all stakeholders.

• Acknowledge the social obligations to stakeholders that come with increased marketing and economic power.

• Recognize our special commitments to vulnerable market segments such as children, seniors, individuals with
low socioeconomic status, individuals not familiar with marketing, and others who may be historically
disadvantaged.

• Consider environmental stewardship in our decision-making.

Fairness – to balance justly the needs of the buyer with the interests of the seller. To this end, we will:

• Represent products in a clear way in selling, advertising and other forms of communication; this includes the
avoidance of false, misleading and deceptive promotion.

• Reject manipulations and sales tactics that harm customer trust.

• Refuse to engage in price-fixing, predatory pricing, price gouging or “bait-and-switch” tactics.

• Avoid knowing participation in conflicts of interest.

• Seek to protect the private information of customers, employees and partners.

Respect – to acknowledge the basic human dignity of all stakeholders. To this end, we will:

• Value individual differences and avoid stereotyping customers or depicting demographic groups (e.g., gender,
race, sexual orientation, religious beliefs, etc.) in a negative or dehumanizing way.

• Listen to the needs of customers and make all reasonable efforts to monitor and improve their satisfaction on
an ongoing basis.

• Make every effort to understand and respectfully treat buyers, suppliers, intermediaries and distributors from
all cultures.

• Acknowledge the contributions of others, such as consultants, employees and coworkers, to marketing
endeavors.

• Treat everyone, including our competitors, as we would wish to be treated.

Transparency – to create a spirit of openness in marketing operations. To this end, we will:

• Strive to communicate clearly with all constituencies.

• Accept constructive criticism from customers and other stakeholders.

• Explain and take appropriate action regarding significant product or service risks, component substitutions or
other foreseeable eventualities that could affect customers or their perception of the purchase decision.

• Disclose list prices and terms of financing as well as available price deals and adjustments.

Citizenship – to fulfill the economic, legal, philanthropic and societal responsibilities that serve stakeholders. To this
end, we will:

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 • Strive to protect the ecological environment and communicate sustainability efforts and aspirations honestly
and transparently in the execution of marketing campaigns.

• Give back to the community through volunteerism and charitable donations.

• Contribute to the overall betterment of marketing and its reputation.

• Urge supply chain members to ensure that trade is fair for all participants, including producers and their
families in developing countries.

Implementation

We expect AMA members to be courageous and proactive in leading and/or aiding their organizations in the fulfillment
of the explicit and implicit promises made to those stakeholders. We recognize that every industry sector and
marketing sub-discipline (e.g., marketing research, e-commerce, Internet selling, direct marketing, and advertising)
has its own specific ethical issues that require policies and commentary. An array of such codes can be accessed
through links on the AMA Web site. Consistent with the principle of subsidiarity (solving issues at the level where the
expertise resides), we encourage all such groups to develop and/or refine their industry and discipline-specific codes
of ethics to supplement these guiding ethical norms and values.

They are all of equal importance. Performance, image, and exposure are all important aspects of a person's work that
can lead to professional advancement. Performance is important in order to demonstrate competency and reliability,
image is important in order to create a positive reputation, and exposure is important in order to gain visibility and
recognition.

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