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What Is Social Value in Marketing?

Writer's picture: Glen PfauchtGlen Pfaucht

Value marketing has long been an effective strategy for companies to bring in customers and establish brand trust. However, an important new concept has entered the conversation recently, the idea of social value. Social value refers to the broader, societal impacts that products, services and businesses can have beyond just functioning utility. As we’ll see, social value is becoming a key component for attracting modern, purpose-driven consumers.


Types of Value Marketing


Successful marketing hinges on providing core types of value that attract and retain customers:


Functional Value

This encompasses the core utility of offerings - how well they address basic consumer needs and effectively solve problems through quality and performance.


Economic Value

The financial upside and monetary benefits provided, from cost savings to investment returns.


Psychological Value

The emotional and identity value imparted through enjoyment, self-expression, status and other intangible perks.


However, today's consumers prioritize another key dimension - social value. Unlike the other three, social value showcases the wider societal role that corporate offerings and practices play through positive community impact and progress on social/environmental matters.


According to Impact Reporting, 78% of respondents were more likely to remember a company with a strong purpose. 49% assume that companies who don't speak on social issues don't care. 85% of consumers want organisations to solve their own problems, while 80% want them to solve society's problems.


What Are Social Values?


Products and services that embrace social values aim to positively impact communities while operating ethically and sustainably. These offerings address genuine societal needs, emphasizing accessibility, affordability, and transparency along the way.


Specifically, social value marketing focuses on developing solutions that provide utility by enhancing people's lives in a tangible way. It also ensures these solutions are reasonably priced so that a wide audience can benefit. Companies behind socially-conscious offerings adhere to ethical practices in labor, sourcing, and environmental stewardship. They also communicate clearly about how their products create social good, building consumer trust and loyalty.


Ultimately, social value marketing creates mutual benefit for both businesses and communities. Companies that align operations with social values can differentiate themselves while making a difference. And community members gain access to useful, ethical products that make life a little bit better. It's a win-win scenario fueled by services that uplift people while respecting our shared environment.


Social value graphic.

Benefits of Social Value Marketing


Businesses that embrace social value marketing position themselves for success on multiple fronts. By selling offerings that serve a greater good, companies can:


Stand Out from the Crowd


Integrating social values throughout branding and marketing sets businesses apart from generic competitors. Leading with an authentic social mission, driven by ethical operations, attracts conscious consumers seeking to align purchases with values. This cements a unique, memorable brand image rooted in purpose.


Cultivate Integrity Within


Making social responsibility a cornerstone of operations inspires evolution of company culture, workplace satisfaction and consumer trust. Rigorously evaluating internal practices through an ethical lens identifies areas for progress, driving systemic improvements. Aligning external messaging with a commitment to internal values and accountability builds reputation and integrity.


Drive Broader Societal Benefit


Leading with wider societal benefit enables companies to catalyze meaningful progress across communities. Setting social impact as a key intention broadens corporate horizons beyond transactions. Brands become conduits of positive advancement at scale by tackling issues where products intersect with people needs.


Embed Responsible Safeguards


Vetting each business decision against social outcomes provides a system of checks and balances for brands. Taking a wide lens that considers environmental and community welfare minimizes unintended consequences. This due diligence to assess and address stakeholder needs upfront is key to ethical operations.


Design for People and Planet


Engaging customers, frontline workers and communities deeply informs product development and messaging. An inclusive, collaborative approach allows offerings to effectively meet emerging consumer and societal needs. Co-creation with stakeholders aligns business and social interests for maximum benefit.


Leading with social values helps companies realize their highest potential on all fronts. The marketplace, workplace and community all benefit greatly from businesses that sell the change they wish to see.


Final Thoughts


In closing, social value creation has become imperative for modern marketing success. Integrating societal consideration into product development and communications resonates in the current climate. Almost 70% of buyers now factor corporate social positions into purchase decisions. This presents a timely competitive advantage. Businesses that lead with social value stand out for consciously meeting emerging consumer priorities.


Ultimately, companies perceived as benefiting communities alongside shareholders are best positioned for relevance and resiliency. We’ve reached an inflection point where social impact drives the bottom line. Marketing fueled by making people’s lives better achieves compound returns, propelling brands into the future. There is no better time than now for businesses to find their higher purpose.


For more marketing and business focused blogs like this one, check them out here.




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