Title: Childhood Obesity
1Childhood Obesity Responsible Marketing
- Strategic CSR MBA292C-1 Kellie McElhaney
- Sarah Anderson Cristin Gendron Annabelle
Louie Amy Omand
2Agenda
- Childhood Obesity Trends
- Advertising Marketing to Children
- Irresponsible vs. Responsible Marketing
- Moving Forward
- Industry Pioneers
- Risk/Benefit Analysis
3A Growing Concern (pun intended)
Physical,
Emotional,
and social consequences.
4Agenda
- Childhood Obesity Trends
- Advertising Marketing to Children
- Irresponsible vs. Responsible Marketing
- Moving Forward
- Industry Pioneers
- Risk/Benefit Analysis
5Source of Children Finding Out About Food or
Drink Products
ADVERTISING
INFORMATION IN STORE /SEEN IN STORE
THE SCHOOL
HIS/HER FRIENDS
TOTAL MENTIONS
FIRST MENTION
Source The Co-Operative Group, 2002
6Who Is Responsible?
Companies supplying food products for children
are increasingly held accountable for their
effects on childhood obesity
7Agenda
- Childhood Obesity Trends
- Advertising Marketing to Children
- Irresponsible vs. Responsible Marketing
- Moving Forward
- Industry Pioneers
- Risk/Benefit Analysis
8What Constitutes Irresponsible Marketing?
- Advertising on television shows for which more
than a quarter of the audience is children - Product or brand placements in media aimed at
kids, including movies, television shows, video
games, web sites, and books - Licensing agreements or cross-promotions with
kid-oriented movies or television programs, or
use of cartoon or fictional characters from such
programs - Use of curricula, fundraising activities,
educational incentives, or other school-based
sales or marketing of junk food
Source CSPI, 2006
9What is Responsible Marketing in this Context?
- Advertisers should know their audience
- Ads must be truthful (follow FTC guidelines)
- Substantiate claims, because children are not
discerning - Do not stimulate childrens unreasonable
expectations about product quality or
performance. - Products and content inappropriate for children
should not be advertised directly to them. - Avoid social stereotyping present positive role
models - Include educational aspects and encourage
positive personal qualities (honesty, respect,
safety, etc.) - Contribute to the parent-child relationship in a
constructive manner.
Source The Childrens Advertising Review Unit
(CARU) Self-Regulatory Program for Childrens
Advertising
10What Drives Responsible Marketing?
Offensive Approach
Defensive Approach
- to expand consumer base in anticipation of
shifting demand - to hedge against anticipated policy changes
- to reap higher margins from premium or
healthy brands - to lead in the production and marketing of
healthier products for children
- to avoid lawsuits
- to conform to policies and regulations
- to meet retailer requirements
11Should Stakeholders Focus on a Defensive or
Offensive Strategy?
Source Kellie McElhaneys lecture slides
12Agenda
- Childhood Obesity Trends
- Advertising Marketing to Children
- Irresponsible vs. Responsible Marketing
- Moving Forward
- Industry Pioneers
- Risk/Benefit Analysis
13Responsible Marketing-CSR Spheres of Influence
Source Kellie McElhaneys lecture slides
14What Can Be Done?
Our Recommendations
- Use their creativity, resources and full range
of marketing practices to promote healthy diets
for children - Work with government, scientific, public health,
and consumer groups to establish and enforce high
standards for the marketing of food and beverages
to children
Companies
- State and local educational authorities should
educate about and promote healthy diets for
children in all aspects of the school environment
- (e.g., commercial sponsorships, meals snacks,
curriculum)
Community
15What Can Be Done (cont.)?
Our Recommendations
- Food/Beverage industry trade associations can
assume leadership roles in harnessing industry
creativity, resources, and marketing on behalf of
healthy diets for children - The media and entertainment industry should
direct its extensive power to promote healthful
food and beverages for children
Industry
Policy (World)
- Government should marshal the full range of
public policy levers to foster the development
and promotion of healthy diets in children
16Agenda
- Childhood Obesity Trends
- Advertising Marketing to Children
- Irresponsible vs. Responsible Marketing
- Moving Forward
- Industry Pioneers
- Risk/Benefit Analysis
17Industry Pioneers
- Some companies have recognized the effects
their business practices have on children and are
taking important steps toward acting in
children's best interest - In January, Kraft Foods decided to stop
advertising its low- nutrition foods during
children's programs and replace them with ads for
more nutritional snack products - Sesame Street recently teamed with Earth's Best
to launch a new line of organic and
"nutrient-rich" breakfast foods and snacks for
children - Nickelodeon refused to allow one of its
characters, Dora the Explorer, to be used for a
Burger King kids' meal unless a piece of fruit
was included in the meal
18Agenda
- Childhood Obesity Trends
- Advertising Marketing to Children
- Irresponsible vs. Responsible Marketing
- Moving Forward
- Industry Pioneers
- Risk/Benefit Analysis
19Risk/Benefit Analysis
Risks Taking Action
Risks NOT Taking Action
- If you do not communicate your issue, someone
will communicate for you - Diminished reputation a companys most
important asset - Loss of trust and credibility within the
marketplace - Exposure to lawsuits
- Potential decline in sales as parents become more
conscious of their childrens health - Loss of partnerships with other companies, such
as licensing agreements - Product boycotts
- Future policy changes may force action? want to
be ahead of the curve
- Cannibalization of current products
- Giving competitors an edge
- Going outside of core competencies to pursue
healthier options - Difficulty in establishing credibility
- Costs involved in expanding product offerings
and changing current marketing strategy
20Thank You!
Questions?