Unintended consequences
DESCRIPTION
Situations where marketing activities result in organizational or consumer outcomes which are unexpected or unanticipated, which can be positive or negative.
Situations where marketing activities result in organizational or consumer outcomes which are unexpected or unanticipated, which can be positive or negative.
KEY INSIGHTS
It is not always possible to foresee the full consequences of many marketing actions. At the firm level, in responding to economic uncertainties with pricing decisions, some marketing managers follow risk-averse policies which can result in unanticipated consequences that entail a good deal of risk (Guiltinan 1976). Among consumers, unintended exposure to media and promotional messages can bring unexpected benefits of better information and learning gains to the consumers, even though such media and message exposures may be seen as intrusive at times (Redmond 2005). In other situations, successful marketing activities by firms can result in negative impact on consumers, society, or other stakeholders in an unanticipated way as they have not taken into consideration the wider exchange process (Fry and Polonsky 2004). Environmental impact of production processes can be an example, which involves a wider responsibility on the part of a business.
It is not always possible to foresee the full consequences of many marketing actions. At the firm level, in responding to economic uncertainties with pricing decisions, some marketing managers follow risk-averse policies which can result in unanticipated consequences that entail a good deal of risk (Guiltinan 1976). Among consumers, unintended exposure to media and promotional messages can bring unexpected benefits of better information and learning gains to the consumers, even though such media and message exposures may be seen as intrusive at times (Redmond 2005). In other situations, successful marketing activities by firms can result in negative impact on consumers, society, or other stakeholders in an unanticipated way as they have not taken into consideration the wider exchange process (Fry and Polonsky 2004). Environmental impact of production processes can be an example, which involves a wider responsibility on the part of a business.
KEYWORDS Unexpected consequences, unanticipated consequences
IMPLICATIONS
Outcomes that are not expected can be seen in some situations as side effects of marketing approaches or strategies. They imply that marketing approaches and tactics have to be analyzed in depth to avoid negative unanticipated consequences. In a marketplace, dyadic relationships only encompassing the firm and its customers may result in unintended consequences for other parties. This implies that it is imperative for firms to make effective decisions based on a trade off between the positive and the negative outcomes that may result from their operations. Allowing for a wider process of exchange through taking all possible stakeholders into consideration can reduce the probability of unanticipated negative outcomes.
Outcomes that are not expected can be seen in some situations as side effects of marketing approaches or strategies. They imply that marketing approaches and tactics have to be analyzed in depth to avoid negative unanticipated consequences. In a marketplace, dyadic relationships only encompassing the firm and its customers may result in unintended consequences for other parties. This implies that it is imperative for firms to make effective decisions based on a trade off between the positive and the negative outcomes that may result from their operations. Allowing for a wider process of exchange through taking all possible stakeholders into consideration can reduce the probability of unanticipated negative outcomes.
APPLICATION AREAS AND FURTHER READINGS
Marketing Strategy
Menon, Ajay, and Menon, Anil (1997). ‘Enviropreneurial Marketing Strategy: The Emergence of Corporate Environmentalism as Market Strategy,’ Journal of Marketing, 61(1), January, 51–67.
Menon, Ajay, and Menon, Anil (1997). ‘Enviropreneurial Marketing Strategy: The Emergence of Corporate Environmentalism as Market Strategy,’ Journal of Marketing, 61(1), January, 51–67.
Kitchen, P. J. (1994). ‘The Marketing Communications Revolution: A Leviathan Unveiled?’ Marketing Intelligence and Planning, 12(2), 19–25.
Marketing Management
Fisher, Robert J., Maltz, Elliot, and Jaworski, Bernard J. (1997). ‘Enhancing Communication between Marketing and Engineering: The Moderating Role of Relative Functional Identification,’ Journal of Marketing, 61(3), July, 54–70.
Fisher, Robert J., Maltz, Elliot, and Jaworski, Bernard J. (1997). ‘Enhancing Communication between Marketing and Engineering: The Moderating Role of Relative Functional Identification,’ Journal of Marketing, 61(3), July, 54–70.
Social Marketing
Brenkert, G. G. (2002). ‘Ethical Challenges of Social Marketing,’ Journal of Public Policy and Marketing, 21(1), 14–25.
Brenkert, G. G. (2002). ‘Ethical Challenges of Social Marketing,’ Journal of Public Policy and Marketing, 21(1), 14–25.
Ringold, D. J. (2002). ‘Boomerang Effect: In Response to Public Health Interventions. Some Unintended Consequences in the Alcoholic Beverage Market,’ Journal of Consumer Policy, 25(1), 27–63.
Marketing Research
Tybout, Alice M., and Zaltman, Gerald (1974). ‘Ethics in Marketing Research: Their Practical Relevance,’ Journal of Marketing Research, 11(4), November, 357–368.
Tybout, Alice M., and Zaltman, Gerald (1974). ‘Ethics in Marketing Research: Their Practical Relevance,’ Journal of Marketing Research, 11(4), November, 357–368.
Advertising
Goldberg, Marvin E., and Gorn, Gerald J. (1978). ‘Some Unintended Consequences of TV Advertising to Children,’ Journal of Consumer Research, 5(1), June, 22–29.
Goldberg, Marvin E., and Gorn, Gerald J. (1978). ‘Some Unintended Consequences of TV Advertising to Children,’ Journal of Consumer Research, 5(1), June, 22–29.
Holbrook, Morris B. (1987). ‘Mirror, Mirror, on the Wall, What’s Unfair in the Reflections on Advertising?’ Journal of Marketing, 51(3), July, 95–103.
BIBLIOGRAPHY
Fry, Marie-Louise, and Polonsky, Michael Jay (2004). ‘Examining the Unintended Consequences of Marketing,’ Journal of Business Research, 57(11), November, 1303– 1306.
Fry, Marie-Louise, and Polonsky, Michael Jay (2004). ‘Examining the Unintended Consequences of Marketing,’ Journal of Business Research, 57(11), November, 1303– 1306.
Guiltinan, J. P. (1976), ‘Risk-Aversive Pricing Policies: Problems and Alternatives,’ Journal of Marketing, 40(1), 10–15.
Redmond, William H. (2005). ‘Intrusive Promotion as Market Failure: How Should Society Impact Marketing?’ Journal of Macromarketing, 25, 12–21.