Fair Trade Marketing: A Social Capital Approach Patricia McClellan (20283689) Undergraduate Thesis: Environment and Resource Studies Supervisor: Professor Susan Wismer University of Waterloo, Fall 2009
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Fair Trade Marketing: A Social Capital Approach
Patricia McClellan (20283689)
Undergraduate Thesis: Environment and Resource Studies
Supervisor: Professor Susan Wismer
University of Waterloo, Fall 2009
Table of Contents
Glossary of Abbreviations .............................................................................................................1
Abstract ...........................................................................................................................................2
Introduction ....................................................................................................................................2
Methodology ...................................................................................................................................3
Methods ...........................................................................................................................................3
Limitations ......................................................................................................................................4
Interviews .....................................................................................................................................4
Video ............................................................................................................................................5
Fair Trade .......................................................................................................................................6
What is Fair Trade? ......................................................................................................................6
Goals of Fair Trade ......................................................................................................................7
Fair Trade Principles ....................................................................................................................7
Fair Trade in Practice ...................................................................................................................8
Poverty in the Global South .........................................................................................................9
The Failure of the Free Trade System ..........................................................................................9
The History of Fair Trade ...........................................................................................................12
The Current State of Fair Trade .................................................................................................13
Mainstreaming Fair Trade ..........................................................................................................15
Possible Negative Effects .......................................................................................................16
Possible Positive Effects ........................................................................................................18
Own-brand Fair Trade Products ...........................................................................................20
Fair Trade Marketing..................................................................................................................21
How Fair Trade Marketing differs from Traditional and Social Marketing ..............................21
Process Focus .............................................................................................................................22
Growth of Ethical Consumption .............................................................................................23
Appealing to Consumers’ Values ...........................................................................................26
Establishing Trust in the Fair Trade System ..........................................................................28
Information: Quality versus Quantity ....................................................................................28
Labeling ..................................................................................................................................30
Connection between Consumers and Producers ....................................................................31
Product Focus .............................................................................................................................33
Emphasis on Product Visibility and Availability....................................................................34
Emphasis on the Material Quality of Fair Trade Products ...................................................35
Appeals to a Wider Segment of Consumers ............................................................................35
Willingness to Pay ..................................................................................................................36
Place Focus .................................................................................................................................39
Emphasis on Community Awareness and Involvement ..........................................................40
Sense of Social Identity and Empowering Communities ........................................................40
Results ...........................................................................................................................................42
Interviews ...................................................................................................................................42
Video ..........................................................................................................................................44
Discussion......................................................................................................................................47
Social Capital and the Division of Labour in Fair Trade Marketing..........................................47
Conclusion ....................................................................................................................................51
Bibliography .................................................................................................................................53
Appendices
Appendix A: Application for Ethics Review .............................................................................58
Appendix B: Sample Telephone Script ......................................................................................65
Appendix C: Sample Information Consent Letter ......................................................................67
Appendix D: Sample Interview Questions .................................................................................69
Appendix E: Sample Letter of Appreciation ..............................................................................71
Tables and Figures
Summary Table 1: The Three P‟s of Fair Trade Marketing .......................................................41
Summary Table 2: Video Survey ...............................................................................................45
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Glossary of Abbreviations
ATO – Alternative Trade Organization
CAFOD - Catholic Agency for Overseas Development
CSR – Corporate Social Responsibility
EFTA – European Fair Trade Association
FINE – A consortium of FLO, IFAT (now WFTO), NEWS! and EFTA. Its name is derived from
the first letter of each of these organizations.
FLO – Fairtrade Labeling Organizations International
FT – Fair Trade
FTO – Fair Trade Organization
GDP – Gross Domestic Product
IFAT – International Fair Trade Association
NEWS! – Network of European Worldshops!
NGO – Non-governmental Organization
UK – United Kingdom
UNCTAD - United Nations Conference on Trade and Development
US – United States
WFTO – World Fair Trade Organization (formerly known as IFAT)
WTO – World Trade Organization
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Abstract
This study explores the marketing of the Fair Trade (FT) brand and utilizes social capital
analysis to demonstrate the need for the division of marketing focuses in terms of process,
product, and place within different types of FT organizations. The importance of FT as a tool for
the reduction of poverty in the global South is highlighted and the history of the FT movement is
explored. Qualitative research including an extensive literature review, key informant interviews
and a survey accompanying a self-produced promotional video reveal both challenges and
opportunities for effective FT marketing.
Keywords: Fair Trade, marketing, social capital, ethical consumption
Introduction
Fair Trade (FT) is a multifaceted vehicle for development in the global South (Nicholls &
Opal, 2004). Therefore, it will require a multifaceted marketing approach which utilizes different
communication techniques to targets all consumer segments. The purpose of this study is to
determine the best strategy for Fair Trade marketing in the future using a qualitative approach to
examine literature, conduct key informant interviews, as well as, surveying the effectiveness of a
self-produced FT commercial.
First, I will outline what FT is and why it is an important tool for the sustainable
development of developing countries. The free trade system has failed to address the needs of
developing countries, increasing the disparities between them and the rich developed countries of
the North. Next, I will examine the history of the FT movement from its origins in Europe to its
growth in North America, and its current state in terms of FT sales, recognition, and relatively
recent adoption into mainstream supermarkets and retailers. Finally, I will examine FT marketing
which has evolved through three distinct phases: „process‟ which focuses on the FT principles
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and production process, „product‟ which emphasizes product quality and increasing availability,
and „place‟ focusing on community based campaigns to increase overall awareness of the FT
brand (Nicholls & Opal, 2004). There are many different actors involved in the FT movement
including overarching FT organizations such as the Fair Trade Labeling Organization (FLO),
smaller FT companies such as Human Beans, and local activists and FT supporters. Each of
these groups has a distinct role in the marketing of the FT brand. In this study I will take a social
capital approach and show that all of these areas of focus continue to be necessary in FT
marketing. Furthermore, I will demonstrate the importance and benefits of allocating specific
marketing focuses to different types of actors involved in the marketing of FT.
Methodologies
In this study I chose a qualitative approach to examine FT marketing thus far and to
propose methods for effective marketing of the FT brand in the future. Furthermore, in this study
I utilized social capital theory to demonstrate the most effective roles for different actors in the
marketing of FT. Field (2003) quotes Putnam (1993) as defining social capital as, “features of
social organization, such as trust, norms and networks, that can improve the efficiency of society
by facilitating coordinated actions” (p.4). Social capital can be obtained through the creation of
networks based on common values and these networks act as a resource; therefore amounting to
a source of „capital‟ (Field, 2003).
Methods
I conducted a literature review of books, academic journals, and news articles which
focused on obtaining information about Fair Trade, and specifically the history of, and current
approaches used in FT marketing.
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In addition, I contacted professionals working in the Fair Trade industry via telephone
and email in accordance with the University of Waterloo‟s Office of Research Ethics policies to
arrange their participation in interviews held in person or over the telephone. I attempted to
contact seven potential interview participants, only three of which responded and agreed to
participate in the study. Two interviews were conducted over the phone on September 11, 2009
and September 25, 2009. The third interview was conducted in person on September 28, 2009. I
recorded the responses of the interview participants by hand and emailed copies of these
responses to the participants, allowing them to verify the accuracy of the recorded responses and
add any information that they deemed appropriate.
Additionally, on October 7, 2009, I filmed a short video to serve as a promotional tool for
Fair Trade. I edited the video using the program, „Adobe Premiere‟ which was accessed through
the Conrad Grebel Library. The completed promotional video was two minutes in length and was
posted on the video sharing website, „Youtube.‟1 This video was viewed by students in the Peace
and Conflict Studies course, “Human Rights in the Marketplace” on Monday November 16,
2009. Eighteen participants from this class, which included seventeen students and one
professor, responded to a brief survey about the video‟s effectiveness as a promotional tool for
FT.
Limitations
Interviews
The interviews that were conducted provided valuable information about FT marketing.
However, there were some limitations that arose during the interview process. These included
1 Youtube is a video sharing website which is open to the public. The video produced as a part of this project can be
found at: http://www.youtube.com/watch?v=QHI-r5ngUSQ
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geographical distance, response rates, and researcher inexperience. Many head offices of FT
organizations are located in Ottawa, which made it difficult to arrange face to face interviews,
which would have been the preferred format. The costs associated with travel to, and
accommodations in Ottawa proved to limit the type of interviews to phone interviews. In
addition, only three out of seven potential participants responded and agreed to participate in the
interviews. Finally, when contacting potential participants to arrange times for interviews, I was
caught off guard by Interview Participant B, who agreed to participate in the interview if it was
held right away. Due to technical problems with my own phone I contacted participants from a
colleague‟s home and did not have a copy of the interview questions present. Due to time
constraints I wrote down the interview questions that I could remember and used them for the
interview. Thus, because of my lack of experience and preparedness, I was unable to ask
Interview Participant B the full range of intended questions
Video
Again, personal lack of experience limited the type and quality of video produced as a
part of this study. I had originally wanted to make a promotional video for FT that was a spoof of
contemporary drug commercials. Given my lack of knowledge and experience in this field, it
became apparent that in order to convey the message that I wanted, I would have to take the
video in another direction. In addition, I did not have access to the necessary editing program
which required me to wait for the program to be installed in the Conrad Grebel library. This
delayed the editing process by five weeks. The limited amount of time available for the filming
and editing of this video, combined with my personal inexperience with this medium, diminished
the final production quality.
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Furthermore, the results of the survey regarding the effectiveness of the FT promotional
video may be skewed because all respondents were associated with a class about human rights in
commerce. Therefore, this audience is more likely to be both familiar with, and supportive of FT
issues. A larger number of survey participants would have provided a better sample and thus,
more representative results. Time constraints limited the ability to provide a larger and therefore
more representative sample for the video survey.
Issues of inexperience, financial expense, and time constraints limited some aspects of
this study. However, these limitations are to be expected when one embarks on an academic
study that is this large in size and scope.
An aspect of this study that makes it interesting and relevant is that there has not been
exhaustive research conducted on FT and its marketing in Canada. This proved to be a limitation
to the amount of material available for the literature review and resulted in a heavy reliance on
literature from Europe being used in this project. Although there are many similarities between
Canada and Europe, this remains a limitation worth noting. Further research surrounding the
consumer awareness of FT in Canada is therefore warranted.
Fair Trade
What is Fair Trade?
Fair Trade is a multidimensional development strategy that combines elements of both
fundraising and redistribution (Becchetti & Huybrechts, 2008; Steinrucken & Jaenichen, 2007).
Yet due to its multifaceted nature, it has been difficult to develop a comprehensive definition of
FT (Nicholls & Opal, 2004).
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However, in 2001 the members of the umbrella FT organization FINE agreed for FT to be
defined as:
“… is a trading partnership, based on dialogue, transparency, and respect, that
seeks greater equity in international trade. It contributes to sustainable
development by offering better trading conditions to, and securing the rights of,
marginalized producers and workers – especially in the South. Fair Trade
organizations (backed by consumers) are engaged actively in supporting
producers, awareness rising, and in campaigning for changes in the rules and
practice of conventional international trade” (Becchetti & Huybrechts, 2008. p.
734)
Goals of Fair Trade
The goals of fair-trade are numerous and far-reaching. The principle objective of FT is to
alleviate poverty in the global South by providing marginalized workers in developing countries
the opportunity to earn livable wages and employment security; thus improving their working
conditions and allowing them to improve their living conditions (Osterhaus, 2006; Steinrucken &
Jaenichen, 2007). Furthermore, Steinrucken and Jaenichen (2007) identify additional goals of the
FT system such as: the elimination of child labour and encouraging the use of sustainable
practices in economic development processes. All of these goals are accomplished by working
within the current market system (Osterhaus, 2006). To understand why these goals are
important, it is necessary to also examine the underlying principles behind the objectives.
Fair Trade Principles
The basic premise of the FT concept rests on seven basic principles: trading directly with
producers, the guarantee of long-term trading relationships in which transparency is of utmost
importance, the requirement of agreed upon minimum prices, a focus on development achieved
through the provision of an agreed upon social premium as well as technical assistance, the
democratic organization of workers and farmers, the use of sustainable modes of production
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(many food products are certified organic as well as FT), and the prohibition of child and slave
labour as well as allowing all workers the option to form unions (Connolly & Shaw, 2006;
Nicholls & Opal, 2004). Clearly, the FT concept focuses on the needs of producers by protecting
their human rights and aiding in their capacity building, allowing them to further their own
development projects, while meeting the demands of consumers (Nicholls & Opal, 2004).
Fair Trade in Practice
In order to achieve its development goals, FT contracts are established through
cooperation between importers and producer groups. These organizations calculate a FT price
based on production as well as future reproduction costs. Based on these calculations, the
producer group receives up to 60% of their payment in advance, which provides working capital
and the security of a trading partnership. In addition, FT importers provide an extra sum for the
producer groups to use toward development projects of their choosing. These projects are often
related to improvements to health and education infrastructures (Becchetti & Huybrechts, 2008;
Wilkinson, 2007).
The higher wages and social premiums associated with FT products means that the price
of these products can reach more than 100% of the current market price of goods. This often
occurs with commodities such as coffee, bananas, and cocoa and thus demonstrates what
Becchetti and Huybrechts (2008) refer to as a, “countercyclical mark-up”. Critics of the FT
system argue that it hinders the effects of market mechanisms by creating excess supply, while
proponents of FT argue that FT solves the failure of the current market system to maintain
competitive prices. Furthermore, they contend that FT represents a new and distinct product in
which supply and demand are balanced by its unique segment of ethical consumers (Becchetti &
Huybrechts, 2008).
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Poverty in the Global South
Much of the world lives in a desperate economic and political situation. While it is
beyond the scope of this study to examine this phenomenon in depth, certain statistics are
necessary to illustrate the importance of fair trade. Approximately half of the world‟s population
are living on less than two dollars a day, representing nearly a 50% increase since 1980
(Osterhaus, 2006; Stiglitz & Charlton, 2005). This growth in poverty shows the need for
intervention. The FT system is a necessary tool in alleviating the poverty that exists and
continues to worsen in developing countries. Also, FT is more suited for poverty alleviation than
aid because it develops partnerships with producers and offers them a chance to work toward
their own economic development through sustainable and market driven trade (Interview
Participant A, 2009; Nicholls & Opal, 2004). This clearly illustrates that the current free trade
system is not benefitting impoverished peoples and the reasons for this lack of success will now
be examined.
The Failure of the Free Trade system
Globalization, which for the purposes of this study will be defined as: “international
economic integration that can be pursued through policies of „openness‟, the liberalization of
trade, investment and finance, leading to an open economy”, has had very different impacts on
developed and developing countries (Van Der Bly, 2005. p.875). This system has been beneficial
to many. However, in the process of increasing global competition in the marketplace, it has had
a negative impact on the weakest participants in the international trade system: producers in
developing countries (Steinrucken & Jaenichen, 2007). States without strong internal markets
require protection for their infant industries from international competition in order to have a
chance at achieving financial success. Globalization has failed to offer this protection to
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vulnerable states. Instead, the international trade system takes a uniformed approach modeled on
the current structures in developed countries. In doing so it ignores the differing levels of
development, types of production, as well as differences concerning social, environmental, and
cultural traditions and priorities in developing countries (Osterhaus, 2006; Steinrucken &
Jaenichen, 2007; Wilkinson, 2007). These aspects of globalization in global trade practices have
led to a widening disparity between developed and developing countries (Raynolds et al., 2007).
An important aspect of globalization is the free trade system which favours developed
nations at the peril of the developing countries. Advocates for the free trade system argue that as
the most efficient trading model it requires the unrestricted movement of goods, services and
finance between countries. Furthermore, they argue that all participants will benefit through
specialization as countries export what they are best suited for producing and import what they
cannot produce efficiently (Osterhaus, 2006). However, it does not address the need for livable
wages or human rights, nor does it address the power imbalances that are inherent in its structure.
An example of this is producers being paid subsistence level wages or less in developing
countries while their products earn substantial profits for retailers and distributors in developed
countries (Wright & Heaton, 2006). In addition to these inherent differences, developing
countries are again at a disadvantage because they lack the capacity to fully participate in
international trade negotiations held by the World Trade Organization (WTO) (Osterhaus, 2006).
The WTO has enforcement mechanisms that other international agreements lack, including the
Human Rights Conventions and International Labour Rights agreements. Therefore, the WTO is
able to use this strength to ignore other international conventions which address social and
environmental concerns and emphasize trade issues above all else (Osterhaus, 2006).
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Furthermore, developing countries are put at a disadvantage by protectionist trade
policies of developed countries‟ governments. Although proponents of the free trade system
argue that unrestricted trade will be of the most benefit to all participants, developed countries
maintain trade restrictions which cost developing countries approximately $100 billion/year,
amounting to twice the amount of aid they receive, clearly illustrating how the free trade system
is failing producers in developing countries (Wright & Heaton, 2006). In addition, the free trade
system operates under a series of assumptions about the equity amongst its participants and in
doing so, places producers in developing countries at an even greater disadvantage (Osterhaus,
2006). These mistaken assumptions include assuming that producers have access to: perfect
market information, credit, quality and industry standards, and access to the markets themselves,
any and all of which do not apply to the majority of producers in developing countries (Nicholls
& Opal, 2004; Osterhaus, 2006).
Another aspect of the free trade system that has hindered the success of producers in
developing countries is the cost of commodities on the global market. A relative crash in
commodity and raw material prices has increased the disparities between developed and
developing countries due to the latter‟s reliance on commodity production which employs over
50% of people in developing countries and accounts for 33% of their GDPs (Osterhaus, 2006;
Steinrucken & Jaenichen, 2007). In the case of coffee, prices have dropped approximately 50%
over the past three years as a result of technological advances and the free market system,
leaving coffee at its lowest price in 30 years (Wright & Heaton, 2006). Coffee is an important
example as its production alone employs 25 million producers worldwide (Wright & Heaton,
2006).
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Thus, FT represents a solution to the previously mentioned problems caused by
globalization in what Raynolds et al. (2007) describe as a “new globalization” which seeks to
reframe globalization by working within the current dominant economic system. This sentiment
is echoed by Steinrucken and Jaenichen (2007) and Varul (2009) who state that FT uses
consumer power to make „the free trade system work the way it is supposed to‟ by promoting
another type of market from within the current system.
The History of Fair Trade
While the FT message has only recently garnered mainstream attention, FT is hardly
new. The FT concept initially emerged as a solidarity movement within charity groups and
religious affiliations in Europe and the US as early as 50 years ago (Steinrucken & Jaenichen,
2007). FT remained as a marginal influence in both the political and economic spheres until its
recent institutionalization and mainstream availability of products throughout the past 15 years
(Steinrucken & Jaenichen, 2007; Wilkinson, 2007). The political focus of FT gained strength in
1968 when the second United Nations Conference on Trade and Development (UNCTAD)
proposed, “…that trade not aid should provide the basis for Third World development”
(Wilkinson, 2007.p. 221).
Alternative Trade Organizations (ATOs) and shops dedicated to FT products or
„Worldshops‟; not-for-profit stores run by non-governmental organizations (NGOs), were the
first venues to be utilized by FT groups for both raising FT awareness and retailing FT products
(Nicholls & Opal, 2004; Wilkinson, 2007). Wilkinson (2007) further noted:
“These networks, in principle, involve the direct articulation of producer groups, traders,
dedicated shops (largely based on volunteers) and consumers into interdependent trading
circuits which very quickly assume the character of social networks and in this way can
underwrite Fair Trade claims without formal guarantees” (p.222).
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Beginning in the late 1980‟s with the Max Havelar label, FT expanded into formal
institutions and labeling initiatives (Wilkinson, 2007). Wilkinson (2007) explains:
“In 1987, the European Fair Trade Association (EFTA) was created bringing together 11
leading traders/importers from nine countries. In 1989, the International Fair Trade
Association (IFAT) was formed initially providing a forum for Northern Fair Trade
organizations but quickly extended to include Southern producer groups, thereby
transforming it into the global expression of the movement” (p.221).
The 1990‟s brought further institutionalization and consolidation of FT groups as well as
the introduction of FLO in 1997. FLO emerged as a consortium of FT groups in Canada, Japan,
and seventeen countries throughout Europe, with the goal of creating an opportunity for FT
products to be promoted in mainstream markets through the establishment of a formal FT
certification system and label (Castaldo et al., 2009; Wilkinson, 2007). Although FLO has
created a universal label applicable in all countries, national FT labels remain (Castaldo et al.,
2009).
At the same time, the Network of European World Shops (NEWS!) was formed to link
all the dedicated FT shops in Europe (Wilkinson, 2007). In 1998, FLO, IFAT, NEWS!, and
EFTA established FINE (named after the first letter of the aforementioned organizations) to
formalize the cooperation of their efforts regarding issues critical to the FT movement including
standards, monitoring, campaigning, and advocacy initiatives2 (Wilkinson, 2007).
The Current State of Fair Trade
Today, the fair trade system enjoys an unprecedented amount of attention and there are
over 800 producer groups worldwide participating in FT production (De Pelsmacker & Janssens,
2 IFAT changed the name of its organization to the, „World Fair Trade Organization‟ (WFTO) in October 2008.
Therefore, for the remainder of this paper the acronym „WFTO‟ will be used when referring to this organization
(Cooperative Coffees, 2009).
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2007). Moreover, there has been massive growth and variation in FT products since its initial
success with coffee. Today there are numerous FT products available including: cocoa, bananas,
sugar, orange juice, rice, olive oil, spices, honey, tea, dried fruits and various types of sports balls
(Steinrucken & Jaenichen, 2007). These products are finding a home in the marketplace, for
example, “49% of all bananas, 28% of the flowers, 9% of the sugar sold in Switzerland are FT
labeled and in the UK fairly traded tea amounts to 5% of its tea market share, and 5.5% of
bananas and 20% of ground coffee are FT labeled” (Osterhaus, 2006.p.69). Connolly and Shaw
(2006) recognize this growth while also acknowledging that FT tea and coffee still are only
capturing 2.3% of the market. Furthermore, FT sales have yet to surpass 0.01% of the total
global trade, although their accelerating growth rates show that FT should not be ignored
(Becchetti & Huybrechts, 2008; Connolly & Shaw, 2006). An important issue in the rise of FT is
that although FT importers have doubled, the increase in paid employees has only risen 14%,
indicating the important role of volunteers in the expansion of the FT movement (Wilkinson,
2007).
Europe was the founding market of the FT movement and so it is fitting that it remains
the leader in terms of FT growth. FT sales have continued to increase by 40% per year in the
UK market (Osterhaus, 2006). Between 2001 and 2003 sales of FT products doubled, earning
more than $147 million (Connolly & Shaw, 2006). In addition to sales, FT awareness has also
continued to grow. Over the past decade, recognition of the FT mark in the United Kingdom
(UK) has expanded to 39% of the population, up from 25% in 2003 and only 16% in 20013
(Nicholls & Opal, 2004). In addition, out of those who recognize the FT mark, the proportion of
3 This is the most recent information I was able to obtain on the on FT awareness and although it is derived from the
UK, it remains relevant.
15
people who understand its meaning has grown from 19% in 2001, to 42% in 20044 (Nicholls &
Opal, 2004).
However, Europe is not the only place where sales and awareness are growing; North
America has also been experiencing increasing interest in FT products and their message. This
fact is most obvious in the sales of coffee. Awareness of FT brands amongst coffee drinkers in
the US nearly doubled between 2003 and 2004 when it rose from 7 to 12%5 (Nicholls & Opal,
2004). There has also been impressive growth in the sales of FT products in Canada, with sales
of coffee growing 60% in 2007 and another 30% in 2008 (Interview Participant C, 2009).
Growth in overall sales of FT products in Canada grew by 67% in 2008 and Canada currently
has the sixth largest market for FT products world wide (Interview Participant C, 2009; Weeks,
2009). Clearly, FT sales and awareness are rising in Europe and North America.
Mainstreaming Fair Trade
Although the increasing mainstream availability of FT products is viewed by some as a
threat to the integrity of the FT movement, it is also a reflection of FT‟s market success thus far.
Even if mainstream companies, such as multinational corporations, had wanted to become
involved in FT sales from the beginning, they would have struggled to convince ever
increasingly informed consumers of their „fairness‟. This explains why mainstream companies
did not become involved in FT sales until the introduction of FT labels in the 1990‟s (Becchetti
& Huybrechts, 2008). Moreover, mainstream stores waited until ATOs paved the way and
established FT as a growing niche market, thus demonstrating consumer demand for FT products
4 Again, this is the most recent information I was able to obtain on the on FT awareness and although it is derived
from the UK, it remains relevant.
5 This is the most recent information I was able to obtain about FT awareness in the US.
16
and therefore profits to be made (Becchetti & Huybrechts, 2008). The growth of the FLO
certification system and national labeling institutions have made it possible for mainstream
supermarkets to assure consumers that their products are fairly traded and therefore capitalize on
the growing interest in FT products (Raynolds et al., 2007). Furthermore, “…there has been
dissociation between the commercial provision of the goods and the certification of their fair
quality” (Becchetti & Huybrechts, 2008.p.740). This is because it is the product and not the
company that retails it, which must be in compliance with FT principles and certification. It
becomes easy and advantageous from a corporate social responsibility (CSR) perspective for
companies to sell FT products because this is a relatively inexpensive way to show their ethical
concerns to their stakeholders (Becchetti & Huybrechts, 2008). Clearly, the mainstreaming of
FT presents “a risk for the independent image of the movement. Some, however, would see
mainstreaming as the ultimate goal of Fair Trade with its standards being adopted as the bottom
line for all trade” (Wilkinson, 2007.p.236). Yet while these facts appear to be positive for growth
of FT, there are various obstacles which can emerge that could cripple the movement.
Possible Negative Effects
As fair trade has evolved, new threats have emerged for the system. One of the main
concerns that has been raised about the emergence and expansion of FT products into
mainstream retailers is that large companies without certification ties to FT organizations are a
threat to organizations that are dedicated to FT such as Worldshops and ATOs because they able
to offer the same products as Worldshops at lower prices. This also poses a threat to the FT
principles themselves because products sold at Worldshops are likely to be more expensive if
they are in full compliance or going above and beyond the minimum standards for FT
production. This sentiment has been noted by Raynolds et al. (2007) and more specifically by
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Interview Participant B (2009) who remarked that Loblaw‟s‟ FT coffee is available for half the
price of other FT coffees, making it difficult for companies dedicated to FT to remain
competitive in this market. Mainstream availability is also feared to overshadow the role of
ATOs in terms of retailing and advocacy (Raynolds et al., 2007). These socially oriented firms
offer FT products that are unable to be FT certified, such as handicrafts, which in 2003,
accounted for approximately $107 million dollars of sales in Europe and are vital for the
continuing political campaigning and spreading of the FT message6 (Nicholls & Opal, 2004;
Raynolds et al., 2007).
Further concerns are raised concerning the adherence to the FT principles by mainstream
companies. The whole system could be undermined if larger companies only seek the benefits of
a FT image rather than full commitment to the FT process. Raynolds et al. (2007) argued that in
the case of mainstream companies, Southern development concerns are often viewed as a lesser
priority than commercial interests to the detriment of producers‟ development capacity.
Interview Participant B (2009) echoed this sentiment when he stated that large corporations
weaken FT because it is impossible to be sure that they are acting in accordance with fair trade
principles. One aspect of this concern is that small-farmer and cooperative based FT production
will be replaced by plantation based production in order to meet the demand of mainstream
companies (Interview Participant B, 2009; Raynolds et al., 2007). This is due to the fact that
many mainstream corporations are committed to profit maximization above all else and given
this lack of commitment to FT principles there is the risk that the principles could be ignored by
corporations only seeking an ethical public image (Raynolds et al., 2007). Also, the addition of
6 This is the most recent information about handicraft sales that I was able to obtain and although it represents sales
in Europe, the figures are still relevant in showing the importance of non-certified FT products.
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FT participation from mainstream companies that have histories of exploitive behaviours such as
Nestlé or Coca Cola may undermine the reputation of FT (Davies & Crane, 2003; Raynolds et
al., 2007).
These concerns are not unfounded and could be realized due to the increasing mainstream
demand for FT products and the lack of capacity of certification and monitoring institutions
(Raynolds et al., 2007). As previously mentioned, retailers are not regulated under the FLO
system and thus they are free to charge high retail mark ups, juggle suppliers, and lower supply
costs in order to maximize profits. These are the very risks and uncertainties that FT aims to
protect its producers from (Raynolds et al., 2007). Because FLO and national labeling
institutions lack solid standards to regulate these companies, the FT safeguards for producers can
be easily undermined while the mainstream companies retains its image as a FT retailer
(Raynolds et al., 2007). If FT is to be successful in the future, it needs to overcome these issues.
However, while these problems make the future of FT look bleak, there are many positive
outcomes which should also be examined.
Possible Positive Effects
Although there are many concerns about the involvement of mainstream corporations in
FT production and retailing, there have been some positive results from this. Most notably, there
has been an increase in sales due to the mainstream availability of FT goods, making them one of
the fastest growing food segments in both Europe and the US (Raynolds et al., 2007; Wilkinson,
2007). Raynolds et al, (2007) note that most of the recent benefits to producers would not have
occurred if FT products had remained available only through mission-driven shops. In addition,
with the increases in FT sales from mainstream operations has come an increase in sales at
dedicated Worldshops as well, indicating that mainstream availability may not be undermining
19
their role in FT sales (Wilkinson, 2007). Furthermore, Becchetti and Huybrechts (2008) note that
consumers found the availability of FT products in both supermarkets and Worldshops to
compliment each other rather than be in competition with each other and that Worldshops
continue to be preferred by „social activist‟ consumers because of their focus on consumer
education and political awareness.
In addition, there have been efforts to distinguish dedicated FT organizations from
corporations with lacking commitment to the FT principles. This has come in the form of the
World Fair Trade Organization‟s (WFTO) creation of the new label, the Fair Trade Organization
(FTO) mark (Becchetti & Huybrechts, 2008). This mark is given to FT organizations who
demonstrate sustained commitments to the entire FT process and who are committed to the
technical assistance of producers and political advocacy for the wider adoption of FT practices in
global trade (Becchetti & Huybrechts, 2008).
The mainstreaming of FT may also provide like-minded corporations with an opportunity
to make commitments to FT principles through their involvement. FT can be a way for them to
express their focus on CSR in a genuine way. This has been the case for the Co-op Supermarket
and Wild Oats in the UK and US, respectively as they have demonstrated their commitment by
retailing FT products as the dominant or exclusive product in certain commodity lines (Raynolds
et al., 2007).
Finally, mainstreaming has enhanced overall awareness about FT and has been found to
have only slightly less of an impact on the amount of FT awareness gained compared to
Worldshops (Becchetti & Huybrechts, 2008). These examples prove that FT is in fact growing in
popularity, and may inspire corporations to take a more ethical approach in their endeavors.
20
Own-brand Fair Trade Products
A recent addition to the growing number of FT certified products available in mainstream
supermarkets, especially in the UK, is the introduction of supermarket „own brand‟ FT products.
Although the Co-op was the first to do so, all other major supermarkets in the UK have also done
so and by 2005 these products accounted for approximately ¼ of all FT labeled products in the
UK (Raynolds et al., 2007). This has led to the exposure of a possibly damaging loop-hole in the
FLO certification system. Since the national labeling initiatives only require those that physically
apply the labels to the products to be licensed through the FairTrade Foundation, this aspect of
the transaction can be (and often is) outsourced to other importers or packagers, allowing the
supermarket to have its logo beside the FLO label without having any obligation to any FT
organization (Raynolds et al., 2007). A possible negative impact of this loop-hole is that without
the supermarkets being required to adhere to FT principles, they are free to switch between FT
producers whenever and for whatever reasons they see fit. This exposes FT producers to the
same problems in the free trade system that FT seeks to prevent (Raynolds et al., 2007).
There is however, the hope that with the growth of the FT movement, supermarkets may
become interested in adhering to the FT principles even when they are not required to do so and
as Raynolds et al. (2007) note:
“Since supermarket retailing of FT goods rests on the social legitimacy that the FLO
logo provides, they risk devaluing the FT „brand‟ if their commercial practices
contravene the social principles underlying FT. They also risk condemnation if they are
exposed for exploiting FT for their own benefit. They may therefore have a vested
interest in abiding by FT rules, even if they are not technically required to do so” (p.107).
Clearly, in addition to the concerns about own-brand FT products, there are also opportunities for
this growth to work as an agent of transformation for corporations which become involved in FT.
21
Fair Trade Marketing
How Fair Trade Marketing differs from Traditional and Social Marketing
Fair Trade marketing at the product level is similar to conventional marketing in that the
quality and uniqueness of goods are emphasized in addition to FT‟s ethical value. However,
there are clear differences between traditional and FT marketing throughout all stages of their
marketing processes (Nicholls & Opal, 2004).
The traditional marketing process focuses on consumer demand and competitor activity,
and analyzes market opportunities accordingly. In contrast, the FT marketing process begins by
identifying the aspects of the market that are failing to meet producer‟s needs (Nicholls & Opal,
2004). Next, in traditional marketing, positioning strategies for business communications are
drafted focusing on the most profitable target consumers. Again, FT marketing differs because of
its focus on the producers who could benefit most from involvement in FT production, as well as
considering the wants of potential consumers (Nicholls & Opal, 2004). The final stage of
traditional marketing requires the development of marketing materials which address the „4P‟s of
traditional marketing‟ (product, price, place, and promotion). While FT marketing addresses
these important aspects, it also expands upon them by addressing „people, process, and physical
evidence‟ (Nicholls & Opal, 2004). FT marketing bundles ethical values with the product itself
to expand upon traditional marketing processes and meet the needs of marginalized producers
(Nicholls & Opal, 2004).
FT marketing is arguably similar to cause-related and social marketing. However, it is not
the same. Cause-related marketing focuses on charity or financial aid and FT differs from this as
its focus is on capacity building through economic development (Nicholls & Opal, 2004).
Nicholls and Opal (2004) also note, “…although it is clearly socially responsible in its outcomes,
22
FT marketing does not aim to adapt an existing commercial model to a new CSR agenda. Rather,
FT marketing aims to articulate the social and economic interconnectedness between producers
and consumers” (p.153). There have been three distinct phases of Fair Trade marketing since its
introduction into the global marketplace: process, product, and place, respectively and each have
added to both the brand awareness by increasing the scope of FT‟s marketing reach.
Process Focus
Initial FT marketing focused on the FT process. In this, the earliest stage of FT
marketing, the primary objective was to raise issue-awareness with consumers most likely to buy
FT products, the “global watchdogs”, or “strongly ethical” consumers (Alexander & Nicholls,
2006; Nicholls & Opal, 2004). The main message of marketing communications focused on
solidarity with farmers in the global South (Nicholls & Opal, 2004). This message made FT
products a perfect fit for ATOs. However, since only 5% of the market seemed interested in
purchasing FT products, mainstream retailers were not interested in selling these products
(Nicholls & Opal, 2004).
An important emergence during this initial phase of FT marketing was the need to
establish trust in the authenticity of the FT process. To address this, the creation of FT labeling
began in 1989 (Alexander & Nicholls, 2006; Nicholls & Opal, 2004). Europe, the US, Canada
and Japan all created their own national labels to provide third party verification of FT claims
(Nicholls & Opal, 2004). In addition, “In 1994, the Fairtrade Foundation, a consortium of
Traidcraft, Oxfam, Christian Aid, Catholic Agency for Overseas Development (CAFOD), the
World Development Movement, and The New Consumer, launched the Fair Trade audit mark in
the United Kingdom” (Nicholls & Opal, 2004.p.166). Alexander and Nicholls (2006) explain,
23
“The fair trade mark underpins the emerging fair trade „brand‟ encompassing the range of
ethical meanings incorporated in the fair trade supply chain process, reducing the risk for
the consumer and promoting top-of-mind awareness across category groups. The mark
serves the need for the provision of credible and clear information and confirmation of
organizational claims and practice that was central to the early success of fair trade”
(p.1242).
Yet these changes would be pointless if the public was not aware of the system‟s existence.
Therefore, it was necessary to increase the visibility of fair trade around the world.
Consumer awareness is necessary for growth in FT sales and thus the early FT marketing
communications were conducted through product labeling, leaflets, the internet, and
conventional advertising (Alexander & Nicholls, 2006). Using simple mediums such as flyers,
posters, and television advertisements, TransFair Austria created a successful national campaign
focused on raising awareness and on the „fairness‟ of FT (Osterhaus, 2006). At the core of the
campaign were the FT label, visual images of „fair‟ and „unfair‟ products in supermarkets, and
the slogan, “so fair, so gut”, which translates to “so fair, so good” (Osterhaus, 2006).
Astounding success resulted from this campaign as sales of FT products in supermarkets grew by
135% within the first year. An unexpected benefit also occurred as a result of this campaign
when Worldshops reported increases in the amount of new customers coming to their stores and
becoming regular shoppers (Osterhaus, 2006). In conjunction with this, it was necessary to have
a base of ethical consumers who would embrace the FT system, which will now be examined
further.
Growth of Ethical Consumption
The idea of „ethical‟ consumption is not new, although its earlier stages do not clearly
resemble its current state (Nicholls & Opal, 2004). Ethical consumption originated with the
concern for receiving adequate value for money spent, access to product information, and
24
reliable labeling systems (Nicholls & Opal, 2004). The next area of growth in ethical
consumption focused on consumer safety and manufacturer accountability. The most recent form
of ethical consumption focuses on corporate social responsibility pertaining to environmental
and social issues such as environmental degradation, labour conditions, and trade justice
(Nicholls & Opal, 2004).
In the 1960‟s, the power relationship between retailers and consumers was shifted toward
consumers in an effort to balance out this inequity (Nicholls & Opal, 2004). As consumers
gained more access to information about the origins and impacts of their purchases, often
through third-party campaigners, the news, and the internet, marketers have been forced to
appeal to consumers‟ values and to acknowledge the fact that they were becoming more active
and informed about production and consumption issues (Nicholls & Opal, 2004).
Different types of ethical products have been highlighted throughout the recent growth in
ethical consumption. “Green” or environmentally friendly products began to receive attention in
the 1980‟s, which in the 1990‟s gave rise to the exponential growth of sales in non-genetically
modified and organic foods (Nicholls & Opal, 2004; Strong, 1996). Fair Trade products then
began to become part of the ethical consumption discussion, and have dominated it ever since
(Nicholls & Opal, 2004).
Ethical consumption can be considered an extension of “green consumption” as it
incorporates the principles of environmental stewardship with the addition of the “people” aspect
(Strong, 1996). “Green” consumption seems to have paved the way for ethical consumption and
Strong (1996) notes, “…as green consumers become more actively ecologically and ethically
aware, it is conjectured that there is a tendency for these caring consumers to become ethically
responsive as well as environmentally responsive” (p.9). Furthermore, environmental and FT
25
concerns are included in most definitions of ethical consumerism (Connolly & Shaw, 2006).
Doran (2009) and Strong (1996) both note that the rise of ethical consumerism resulted from an
increasing awareness of conditions in developing countries provided by the media and a shift
toward values based consumption rather than purely selfish consumption. Furthermore it is
becoming increasingly apparent to consumers that their purchases are connected to social issues
(De Pelsmacker & Janssens, 2007). A study conducted in 2000 by Media Research and
Consulting (MORI) on the European population found that 51% believe that they can impact a
company‟s behaviour and 68% reported that they had purchased products based on a company‟s
ethical reputation7 (De Pelsmacker & Janssens, 2007). The increasing amount and availability of
FT substitutes for traditional products demonstrates how consumers‟ values have been shifting
towards concern for the development needs of the global South (Becchetti & Huybrechts, 2008;
Nicholls & Opal 2009; Strong, 1996).
The Fairtrade Foundation identified four types of target consumers in line with Cowe and
Williams‟ three types: Core FT supporters (akin to Global Watchdogs); partial adopters and
occasional conscience buyers (both fit into “Conscientious Consumer” category); and well-
wishing bystanders (similar to “Do What I Can” group) which amounts to target consumers
making up approximately 72% of the entire market8 (Nicholls & Opal, 2004). Clearly there have
been many categories developed to explain ethical consumption, indicating its growing
importance in marketing.
7 This is the most recent information I was able to obtain on consumers‟ beliefs about their power to impact
corporations through their purchases.
8 This is the most recent information available about the types of ethical or FT consumers.
26
The importance of ethical consumerism in the growth of FT must not be underestimated.
In fact, the main driving force for the growth of the FT market was the development of this
philosophy (Connolly & Shaw, 2006). Corporations have been forced to examine their
operations in terms of environmental and social impacts in addition to profit and efficiency. This
is the result of increasing pressure from the media and the public, indicating a shift from the
previously passive role of consumers (Nicholls & Opal, 2004). Strong (1996) adds, “As a result,
the increasingly well-informed consumer is not only demanding fairly-traded products, but is
challenging manufacturers and retailers to guarantee the ethical claims they make about their
products” (p.7). There has been a large amount of growth in this area and Nicholls and Opal
(2004) note that 65% of consumers in the UK define themselves as „green or ethical consumers‟.
Furthermore, Strong (1996) explains, “About 85 percent of consumers questioned agreed with
the statement “workers in the Third World are exploited”, and 86% shared the attitude that FT is
a better way to help poor countries than giving aid”9 (p.5). Clearly, the growth of ethical
consumerism represents an important opportunity for FT marketing.
Appealing to Consumers’ Values
In the 21st century, people often look for external factors through which they can define
and express themselves. Consumption choices are often seen as a factor in this. Buying FT
products allows ethical consumers to express their ethical character and adhere to their individual
senses of justice and therefore displaying their own character consistency (Connolly & Shaw,
2006; Nicholls & Opal, 2004).
9 These are the most recent statistics that I could find regarding consumers self-identification as „green‟ or ethical
consumers and about consumers‟ opinions about the exploitation of workers in the global South.
27
The fact that there has been so much growth in commodities that continue to be readily
available from traditional modes of production demonstrates that people are willing to pay for
products based on their personal integrity. Steinrucken and Jaenichen (2007) noted that
consumers often buy and pay higher prices for FT products which differ from conventional
products only on the basis of their production process. Furthermore, Becchetti and Huybrechts
(2007) add that an important emergence has resulted from FT in that people are extending their
personal values to include people great distances away, showing an increased concern for people
and problems that do not affect the consumers themselves. Doran (2009) also found that the
difference between loyal FT customers and intermittent purchasers was evident in their ranking
of values. Loyal FT consumers ranked “universalism” as the most important, while intermittent
supporters ranked “benevolence” higher than universalism. While both values focus on
supporting others, universalism focuses on supporting all people and nature compared to
benevolence which is more concerned with supporting members of the “in-group” (Doran,
2009). This illustrates that values held by loyal FT consumers extend to all people and therefore
it is not surprising that this consumer segment would support producers‟ development in the
global South.
There is much statistical evidence to support the claim that people shop according to
their values. Osterhaus (2006) found that the main reasons people report that they purchase FT
products is because of their ethical beliefs; with 67% reporting solidarity values, 54% reporting
the need for a clear conscience, and 53% reporting their religious values. In addition, 74.8% of
FT coffee consumers reported that supporting marginalized producers was the number one
reason they purchased FT coffee (Steinrucken & Jaenichen, 2007). It is apparent that many
consumers shop according to their personal beliefs and values.
28
Establishing Trust in the Fair Trade System
With the rise of consumer awareness and ethical consumption, consumers are no longer
satisfied with mere claims of ethical or FT practices and are increasingly demanding validation
of such claims (Nicholls & Opal, 2004; Strong, 1996; Wright & Heaton, 2006). These assurances
are vital for the success of FT marketing communications as well as the expansion of the FT
movement. Trust in the FT system translates into consumers‟ beliefs that their actions produce an
impact on the lives of producers through the notion of „perceived consumer effectiveness” and
therefore are encouraged to continue purchasing FT products (Nicholls & Opal, 2004; Wright &
Heaton, 2006). Castaldo et al (2009) note, “A flaw of the Fair Trade concept is that consumers
cannot assess whether the fair conditions claimed by the importers or the final marketers are
respected” (p.5). Furthermore, there are concerns about whether or not the price premiums are
actually being received by producers and not the importers and retailers (Castaldo et al., 2009).
Castaldo et al (2009) continue, “…trust can account for the success (or the failure) of a socially
responsible company in the marketplace” (p.13). Wright and Heaton (2006) noted that it is
important not to make generalized claims in marketing that require consumers to guess about the
specifics of ethical or environmental claims. That approach is both ineffective and unwelcome in
the eyes of consumers. Clearly, trust is an important factor in the growth of FT and must be
addressed in marketing communications.
Information: Quality versus Quantity
The quantity and quality of information made available to consumers is essential to
establishing interest in FT and consumer trust of the FT system. Consumers‟ general interest in
FT will translate into product interest and product discernment, where they will purchase FT
29
products instead of conventional products in the same category. General interest in FT has a
stronger effect on buying behaviour than shopping convenience or price (De Pelsmacker, 2007).
Similar to the broader range of ethical consumption, the perception of the quality and quantity of
information available to potential FT consumers plays a vital role in establishing the credibility
of marketing claims and thus the desire to purchase products (De Pelsmacker & Janssens, 2007).
The perceived quality of the information is much more important than having a large quantity of
information. This is due to the fact that consumers generally associate the perception of being
bombarded with information as an organization‟s attempt to ease consumers‟ consciences, rather
than achieve its ethical claims (De Pelsmacker & Janssens, 2007). Furthermore, when consumers
perceive the information made available to them as being of high quality, they in turn perceive
that there is a sufficient quantity of it. Thus, positive effects on buying behaviour can be
achieved through the distribution of high quality information about FT in general (De
Pelsmacker & Janssens, 2007).
Achieving trust is the FT process is paramount to the success of the FT brand because
there has been a history of low levels of credibility surrounding ethical issues partially caused by
a lack of quality information, the issue of consumer trust in the FT message is significant (De
Pelsmacker & Janssens, 2007). There seem to be issues concerning the quality of information
provided about FT specifically, as well. De Pelsmacker and Janssens (2007) found that
consumers who are not well informed about FT perceive, “…the information with respect to the
fair trade issue and fair trade products as too scarce, not widely available enough, uncontrollable,
unprofessional and incredible if not unjustified” (p.365). These perceptions about the quality and
quantity of FT information leads to skepticism about the FT issue itself, while making consumers
30
less interested in FT products and exacerbating the perception of negative impacts of cost and
shopping convenience (De Pelsmacker & Janssens, 2007).
Consumers tend to report the need for more information, with about 50% of consumers
stating that they do not have access to the information they require to make purchasing decisions
and request more information available on labels. The resulting obstacle for FT marketing along
with other ethical products is the “information overflow” which consumers are faced with in
modern life (De Pelsmacker & Janssens, 2007; Osterhaus, 2006). In addition, there has been an
increase in the number of environmental and ethical labels used on products recently including
forest certification labels, eco-labels, and anti-slavery labels which can confuse consumers and
lessen the intended impact of the FT label (Connolly & Shaw, 2006). An example of this
„information overflow‟ and subsequent „label fatigue‟ is in Europe, where there are over 240
ethical labels in use (De Pelsmacker & Janssens, 2007). One way to reduce this effect is to
integrate label initiatives, thus limiting the amount of information consumers are presented with
and establishing credibility and trust in one ethical label (De Pelsmacker & Janssens, 2007).
Clearly it is difficult to strike a balance between too much and too little information in ethical
and FT marketing.
Labeling
The FT label plays an important role in establishing trust in the FT process through its
ability to provide vital information in a very compact form. As Nicholls and Opal (2004) stated,
“The fair trade certification mark functions as a central element in communicating fair trade
values and establishing consumer trust” (p.158). Moreover, Labels allow consumers to
differentiate between products within seconds (Osterhaus, 2006).
31
Generally, consumers are presented with too much information and they do not have
enough time to digest it all. Thus, the key to educating consumers about the FT message is to
provide them with information in a format that is accessible and easy to comprehend (Wright &
Heaton, 2006). The FT label is necessary for establishing trust, especially in FT products sold in
mainstream stores. Consumers who shop at Worldshops can trust in the reputation of the
organization. However, when FT items are sold alongside conventional products they require the
FT label to differentiate between products and provide a guarantee of adherence to the FT
standards (Steinrucken & Jaenichen, 2007). In addition, seeing the label may also represent the
first step for apolitical people to get in touch with the necessary background information
(Osterhaus, 2006). Clearly labels provide an important service in establishing consumer trust in
the FT brand. The limited amount of information accessible by looking at labels makes them an
essential tool for allowing consumers to identify ethical products quickly, but an ineffective tool
to raise public awareness on their own (Osterhaus, 2006). Thus another approach was required to
further expand the FT market.
Connection between Consumers and Producers
Unlike traditional trade where consumers are disconnected to their products and their
products‟ origins; fair trade tells a story, linking consumers to FT producers and creating a more
active experience for the otherwise passive consumer. The development of this connection
provides an advantage of differentiation for fairly traded products. Therefore, conveying this
aspect is paramount. Conveying producer stories to consumers develops a stronger connection
between the two groups as well as between consumers and their products (Interview Participant
A, 2009). This connection makes consumers less likely to take products like handicrafts for
granted because they gain more appreciation for the producers‟ labour as well as the products
32
themselves (Interview Participant A, 2009; Steinrucken & Jaenichen, 2007). Furthermore,
producer stories in marketing and public education materials help consumers to better understand
the FT process and decide whether or not supporting FT is worthwhile (Interview Participant C,
2009). Finally, as noted by Connolly and Shaw (2006), the emphasis on producer stories is a
unique feature of the FT brand as it is not addressed in conventional products, nor is it a focus in
other ethically or environmentally driven products.
Cafédirect provides an example of effectively integrating producer stories into an
otherwise product focused marketing campaign. Cafédirect introduced fairly traded roasted and
ground coffee as its first product on the UK market in 1991 and from the beginning it was run as
a „for-profit‟ company with the aim of competing with mainstream coffee suppliers (Alexander
& Nicholls, 2006). Cafédirect is known as a trail-blazer in FT marketing as it was the first
company to implement campaigns at the national level (Alexander & Nicholls, 2006;
McDonough, 2002). These campaigns highlighted the differences between conventional and
mainstream coffee production processes with the goal of combining the emotional „fairness‟
aspects with the more rational aspect that FT does indeed make a difference, by linking
consumers with producers through individual producer stories (Alexander & Nicholls, 2006).
In addition to establishing connections between consumers and producers, Cafédirect also
focused on the quality of the product, creating aesthetically pleasing packaging, and targeting the
majority of British coffee buyers through their advertising (Osterhaus, 2006). Cafédirect sales
grew 55% in 1996, with another 2% increase to follow in 1998-1999 (McDonough, 2002).
Cafédirect‟s marketing approach was directly responsible for this growth and Cafédirect‟s labels
were found to, “…provide clearer and more relevant product information for citizens, which
33
initiate pull through the distribution apparatus. Issue literacy is thus increased and consequently
helps to eliminate consumer ignorance and confusion, and in turn provides incentives for Fair
Trade” (McDonough, 2002.p.655). Cafédirect has proven itself to be one of the great successes
in FT marketing and has earned its place as the fifth largest brand of coffee in England
(Osterhaus, 2006). Cafédirect illustrates the market success that can be achieved by a
multifaceted approach to marketing through highlighting both the FT process and the material
quality of their product. This type of product focused marketing requires further examination.
Product Focus
Although awareness grew significantly amongst the targeted “strongly ethical” market
due to process focused marketing, 95% of the population was not being adequately targeted and
a shift in FT marketing towards a product focus was undertaken to address this issue (Alexander
& Nicholls, 2006). Alexander and Nicholls (2006) outline the four clear objectives that drove the
new „product-focused‟ strategy,
“repositioning fair trade products on quality and differentiation; focusing fair trade new
product development on consumer as well as producer demands; broadening the fair trade
brand message to include lifestyle characteristics of new market segments; increasing the
retail availability of fair trade products beyond ATOs and into national multiple retailers”
(p.1243).
Repositioning FT products to emphasize quality was a necessary step to gain a share of the
consumer segment known as the “self-actualizers” and “conscientious consumers” who primarily
base their purchasing decisions on quality and price and account for approximately 18% of the
population (Alexander & Nicholls, 2006; Nicholls & Opal, 2004). This was an important step in
FT marketing as it attempted to position FT as a glamorous brand by romanticizing the exotic
34
locations and workers who produced FT products (Alexander & Nicholls, 2006; Nicholls &
Opal, 2004).
New product development was also an integral part of the „product‟ phase of FT
marketing and the number of certified FT products doubled between 1993 and 2003 (Alexander
& Nicholls, 2006). This was complimented by a shift toward composite FT products and more
processed goods, rather than the traditional commodity product line (Alexander & Nicholls,
2006). An offshoot of new product development was the need to expand the retail availability of
FT products, achieved mainly through the introduction of FT goods into mainstream retailers
(Alexander & Nicholls, 2006). As a result of the earlier efforts at brand repositioning and
product development, FT products were available in all four of the large British supermarkets by
2001 (Alexander & Opal, 2006).
Emphasis on Product Visibility and Availability
In line with the product focus of FT marketing is the need to expand the visibility and
availability of FT products. Alexander and Nicholls (2006) offered numerous opportunities in
this area including,
“ to encourage market leading retailers to further develop own label fair trade products; to
develop the role of fair trade as a part of corporate in-house catering; further to develop
composite fair trade products that mix fair trade and non-fair trade ingredients to reduce
the overall cost to the consumer of engaging with the fair trade process. A final
opportunity is to expand the out-of-home market for fair trade in restaurants and coffee
shops” (p.1249).
Also, more focus should be given to the promotion of FT goods beyond the commodity market.
The sale of handicrafts and artisanal dishware, glassware, and paper products is important to both
producers and the growth of the FT market (Interview Participant A, 2009). Clearly there are
35
many opportunities to increase the availability of FT food products and it is also important to
increase product visibility for FT artisanal work which is sometimes forgotten.
Emphasis on the Material Quality of Fair Trade Products
A concern that many consumers share about ethical products is whether or not they are of
the same quality as their conventional counterparts. For this reason FT marketing should learn
from the growth of the organics market and appeal to consumers‟ sense of quality (Nicholls &
Opal, 2004). Connolly and Shaw (2006) also stated the importance of emphasizing the quality of
FT products and added that doing so may persuade consumers to look for FT products as well as
build brand loyalty.
This is an important factor in marketing as it is clear from the success of corporations
with poor ethical reputations such as Nestlé, that many consumers will not deviate from their
favourite brands based on ethical motivation alone (Connolly & Shaw, 2006) However, when
ethical concerns are combined with individual product quality, a product is often perceived by
consumers to contain an additional value (Connolly & Shaw, 2006).
Appeals to a Wider Segment of Consumers
As previously mentioned; consumers that may be persuaded to buy FT products account
for 72% of the entire market (Nicholls & Opal, 2004). This leaves a consumer segment that is
especially difficult to target for FT marketing. These consumers (making up approximately 30%
of the population) may never support FT even if it gains mainstream acceptance because of
issues of trust, price, or personal or political objections to the FT concept (Nicholls & Opal,
2004).
There are a number of challenges facing the growth of the FT brand. Most notably is the
indifference of consumers to the FT cause itself, even if they agree with it in principle.
36
Alexander and Nicholls (2006) and Interview Participant C (2009) both noted the importance
and difficulty of marketing FT to less sympathetic types of consumers as one of the greatest
challenges in FT marketing. Interview Participant B (2009) noted that in his experience he had
not witnessed a growth in interest in the FT message. However, it is arguable that these
consumers may be persuaded to buy FT products on the basis of their reputation of superior
quality alone. Moreover, they may be reached through mainstream companies who switch to FT
products, thus making it impossible to avoid FT while remaining loyal to a brand such as
Cadbury10
. Therefore, it is apparent that a broader range of consumers can be reached through an
emphasis on product quality, rather than FT‟s ethical values alone.
Willingness to Pay
A major issue for FT marketing is that while consumers often express ethical concerns as
reasons for their purchasing behaviours, this in practice often remains to be seen (De Pelsmacker
& Janssens, 2007). Wright and Heaton (2006) also note that there is often a significant gap
between consumer intentions of ethical consumption and their actions especially when the ethical
products are more expensive. Moreover, Wright and Heaton (2006) reference a 2002 poll that
showed, “… whilst 83% of consumers intended to act ethically, only 18% did so and
occasionally” (p.415). Similarly, Nicholls and Opal (2004) point out the difference between self
reported willingness to pay for ethical products and actual FT sales, “Although consumer
research suggests that 84% of UK consumers are willing to pay more for specifically „ethical‟
10
Production of Cadbury‟s Dairy Milk bar in Canada, Australia, and New Zealand will be certified FT beginning in
early 2010 (Weeks, 2009).
37
products and that more than two thirds are prepared to pay more for FT products, such goods
generally account for less than 1% of their individual markets”11
(p.152).
One way in which consumers alleviate feelings of guilt produced by the inconsistency
between their beliefs and actions is offered by Chatzidakis et al. (2007) who refers to this
process as, “neutralization” which, “…describes a mechanism that facilitates behaviour that is
either norm violating or in contravention of expressed attitudes. When they neutralize,
individuals soften or eliminate the impact that their norm violating behaviour might have upon
their self-concept and social relationships” (p.89). Chatzidakis et al. (2007), also note that the
flexibility of acceptable behaviours in Northern societies allows for the justifications and
rationalizations of neutralization. There are four types of neutralization techniques that are used
to alleviate feelings of responsibility to FT purchasing behaviours (Chatzidakis et. al, 2007). The
most commonly utilized is the “Appeal to Higher Loyalties” reasoning in which consumers
acknowledge that FT is or should be a consideration, but that they value variety, price,
convenience, and quality (or perceived quality) above the need to purchase FT products
(Chatzidakis et. al, 2007). “Denial of Responsibility” and “Denial of Benefit” are the next most
frequently used forms of neutralization. The former illustrates the consumers‟ reliance on
blaming the cost of FT products, the perceived lack of promotion of FT items in retail stores, and
the lack of information explaining the differences between FT and non-FT products (Chatzidakis
et. al, 2007). The latter, relies on the rationalization that the issues related to unfair trade are
systemic and this problem is too large to be resolved by consumers (Chatzidakis et. al, 2007).
Another neutralizing category used, although much less in regards to FT purchases, is known as,
11
These are the most recent statistics that I was able to obtain regarding consumers‟ willingness to act ethically and
purchase ethical products.
38
“Condemning the Condemners”. An example of this justification is saying that there is too much
effort needed by consumers. For example, if one is at a coffee shop they should not be required
to request FT coffee. Instead, the burden should be on those who do not want to pay the price
premium to request non-FT coffee (Chatzidakis et. al, 2007).
It is valuable to understand these neutralizing techniques so that future marketing
communications can address these issues. The most frequently used neutralizing technique is
directly linked to consumers‟ perceived quality of FT products. Therefore, an emphasis on
product quality would be helpful in eliminating this justification for refraining from buying FT
products. Furthermore, the “Denial of Responsibility” technique may be resolved through
marketing campaigns that deliver concise and quality information about the FT brand as a whole.
Finally, the argument of “Denial of Benefit” which claims a lack of consumer power can be
resolved by FT marketing campaigns that focus on consumer involvement and empowerment,
such as the Fair Trade Towns campaign. Alexander and Nicholls (2006) explain the challenge
that this „attitude behaviour gap poses to the success of the FT market:
“Consequently, the sternest challenge facing Fair Trade groups today is how to market
their products to a wider audience beyond the sympathetic segment of ethically aware
consumers and bring sales more closely in line with consumer research suggesting that
more than 2/3 of consumers are willing to pay more for fairly traded goods” (p.1241-42).
A product based focus may bridge the gap between consumer attitudes and behaviours as
consumers are willing to pay for what they perceive to be high quality in terms of material or use
value. If these product aspects can be successfully emphasized it may encourage consumers to
buy FT products even if they are not doing so based on principles.
39
Place Focus
The most recent phase of FT marketing focuses on „place‟ and in doing so aims to target
49% of the population, a consumer segment known as the „Do What I Can‟ group who are
characterized by having weak ethical concerns. Yet, this group still finds themselves engaged
with issues, especially when they are of a local nature (Alexander & Nicholls, 2006; Nicholls &
Opal, 2004). Nicholls and Opal (2004) explain,
“In the UK, the marketing vehicle for this strategy came in the form of developing
criteria for activists gaining accreditation for their local area as a fair trade town.
Currently five goals need to be met for this accreditation: the local council must pass a
resolution supporting fair trade and serve fair trade coffee and tea; it must also attract
popular support for the campaign; a range of fair trade products must be available in the
area‟s shops and catering establishments; fair trade products must be used by a number of
local workplaces; a local fair trade steering group must be convened” (p.173).
This goal was first achieved in 2002 by Garstang, a small town in Lancashire (Nicholls &
Opal, 2004). Growth of FT towns continued and by the end of 2003 there were 33 FT towns, and
by the end of 2004 the number of FT towns in the UK had surpassed the one hundred mark
(Alexander & Nicholls, 2006; Nicholls & Opal, 2004). Although the Fair Trade towns
movement is relatively new in Canada, in 2007 Wolfville, Nova Scotia was the first in the nation
to earn this accreditation, and most recently, Port Colborne became the first city in Ontario to be
named a Fair Trade town (Ten Thousand Villages Canada, 2009; TransFair Canada, 2007). This
model has proven to be quite popular and it has led to the addition of other similar community
based initiatives such as FT universities and FT churches (Alexander & Opal, 2006).
These place-based approaches to FT marketing require the dedication of activist
volunteers in the promotion of FT sales through campaigns such as FT towns, universities and
churches, as well as furthering the political aspect of the movement toward institutionalizing FT
40
practices through their participation in international forums (Wilkinson, 2007). These activist
consumers are able to have huge impacts on the availability and therefore the sales growth of FT
products through their targeting of institutional purchasing policies (Wilkinson, 2007). Similar to
the way in which an emphasis on product quality can persuade consumers, institutionalized FT
purchasing policies may get consumers to buy FT products who would not have sought them out.
This is achieved by advocating for an environment where buying FT is the only option available
of certain types of products. In addition, this exclusive availability can be emphasized on
university campuses and create more awareness and interest in the FT message and its products.
Emphasis on awareness and community involvement
Furthermore, there are marketing opportunities to spread the FT message which cost little
to no money. These include the continual growth of Fair Trade towns, use of the internet for
dissemination of marketing materials, and working with community members from volunteer
groups and church groups (Interview Participant B, 2009; Nicholls & Opal, 2004). This latter
strategy serves to raise awareness as well as providing feedback so that marketers can better
understand how consumers view and understand the FT message and different marketing
strategies (Interview Participant B, 2009; Nicholls & Opal, 2004).
Sense of social identity and empowering communities
An important factor in the place focus of FT marketing is empowerment of communities
through the development of collective social identities. Connolly and Shaw (2006) note that the
success of FT comes from the symbolic capital provided by the FT label, and the social capital
provided by the social relationships that sustain the movement. The commitment to purchase FT
products provides an opportunity for ethical consumers to view themselves as a part of a
41
community that is based on their ethics and their willingness to pay for fairer modes of
production in developing countries (Connolly & Shaw, 2006; Steinrucken & Jaenichen, 2007).
These communities are important as most consumers do not believe that they can produce
change on their own (Connolly & Shaw, 2006). This is true in the case of FT which relies on a
strong consumer demand for fairly traded products and a willingness to pay above market prices
for them. Furthermore, it is difficult for an individual to convince a company or institution to
carry or switch to the use or production of FT products and thus activist consumers must rely on
other like-minded individuals to take part in these ventures (Connolly & Shaw, 2006).
Summary Table 1: The Three P’s of Fair Trade marketing
Process focused marketing Product focused marketing Place focused marketing
Growth of ethical
consumption
Establishing trust in
the Fair Trade system
Connections between
producers and
consumers
Appealing to
consumers‟ values and
beliefs
Emphasis on product
expansion and variety
Emphasis on the material
quality of FT products
Appeals to wider
consumer segments
Aids in alleviating
consumer indifference
toward FT, as well as
issues related to
consumers‟ willingness
to pay
Emphasis on
awareness and
community
involvement
Sense of social
identity and
empowering
communities
FT Towns, churches,
and universities
42
Results
Interviews
Key informant interviews with three professionals in the FT industry revealed some
interesting trends about FT marketing12
. These include the need to establish connections between
consumers and producers and the challenge for small FT organizations with limited budgets to
compete with conventional commercial marketing. They also offered their opinions on the
current state of FT, the increasing mainstream availability of FT products, and where FT
marketing should focus its efforts.
In regards to the relationship between consumers and producers, there was a consensus
among the participants that emphasizing connections between consumers and producers is an
important part of FT marketing. They agreed that this connection helps consumers to understand
the reasoning behind FT and can increase their respect for FT producers and their work; thus
increasing the likelihood that they will purchase FT products.
The discussion with participants about challenges to FT marketing revealed a consensus
that a lack of resources (especially financial) poses a challenge to FT organizations. One
participant noted that engaging community groups and using the internet for marketing materials
are good strategies for FT marketing because they are effective and far less expensive than the
costs of accessing conventional marketing mediums. Lack of experience in business and
marketing were also reported as challenges to FT marketing by one participant. Obtaining or
creating more professional marketing materials was another issue, as well as, a lack of publicity.
12
Interview Participant A is a manager at a Fair Trade Store. Interview Participant B is responsible for the
marketing for a small Fair Trade coffee company. Interview Participant C is responsible for the marketing of a large
Fair Trade organization.
43
On a larger scale, one participant noted the global recession as a possible threat to maintaining
growth in the FT market because people may decide to return to purchasing cheaper traditional
products or be less willing to start buying FT products given their price premium. Another
participant stated that there is still a lack of awareness and interest in FT generally, and that a
national campaign focused on building awareness is needed.
Only one of the interview participants discussed the current state of FT in terms of
education and acceptance. He noted that if sales growth is used as an indicator; there has been
phenomenal growth in Canada, with coffee sales increasing 60% in 2007 and 30% in 2008. Also,
FT certified products have been expanding well beyond coffee which is helping sales and has
contributed to Canada having the sixth largest market for FT products world wide. However,
some established brands such as Cadbury‟s Dairy Milk bar are becoming FT certified which will
increase FT sales but does not necessarily reflect a growth in education about, or acceptance of
the FT brand.
When asked their opinions about whether or not FT products should be available through
mainstream retailers, one participant stated that he did not have an opinion either way and that
his main concern was that FT maintained a credible certification process. Alternatively, another
participant noted the dangers that mainstream availability poses to smaller FT companies and the
FT brand, by undercutting their prices and undermining FT principles, respectively.
In addition, two participants discussed whether FT marketing should focus its efforts on:
general awareness, producer stories, quality, or product innovation. One participant responded
that FT marketing must continue to focus on all of these aspects as one is not exclusive from the
rest. The other respondent stated that general awareness about FT must be a focus in FT
44
marketing. In particular, she noted that the rationale behind FT needs to be emphasized and
explained in terms that consumers in North America can relate to.
The key informant interviews demonstrate that there is a need for marketing to focus on
both a general awareness of FT and linkages between consumers and producers. Furthermore,
the interviews highlighted many of the challenges for FT marketing.
Video
As a part of this research project, a promotional video for FT was produced and shown
during a third year Peace and Conflicts studies course, “Human Rights in the Marketplace –
PACS 324”. A brief survey about the effectiveness of the video was administered to the class.
Eighteen people, seventeen students and one professor, participated in the survey. The following
is a summary of their responses.
When asked to rank the video‟s effectiveness on a likert scale in, “…linking the
expectations that people in developed countries have about receiving fair compensation for their
labour with the poverty experienced in the global South partially due to unfair payment for
labour”, Four participants responded that it was “very effective”, eleven reported that the video
was “somewhat effective”, one participant chose “neutral”, two reported the video was “not very
effective”, and zero participants responded that it was, “not effective at all”. In total, fifteen of
the eighteen participants rated the video as either somewhat, or very effective in connecting
expectations of fair wages in developed countries with the poverty experienced by workers in
the global South.
The same Likert scale was used for the second question which asked, “How effective was
this video in raising interest about Fair Trade in general?” Six participants reported the video as,
45
“very effective”, ten responded that it was, “somewhat effective”, one reported it as “neutral”,
zero participants reported that the video as “not very effective” in this respect and one participant
reported that it was “not at all effective”. In total, sixteen of the eighteen participants rated this
video as either somewhat, or very effective at raising interest about FT in general.
Summary Table 2: Video Survey
The final three survey questions were open-ended. The first of these was, “Do you think
this video is an effective tool for the promotion of Fair Trade? Why or why not?” The most
common response (n=6), was that the video was effective as a promotional tool because it
illustrated the reality of how many people are not fairly paid for their labour and made it
relatable to people in Western society. Another response that was shared, although among only
two participants, was that the video was effective as a promotional tool for FT because it was
catchy and it leaves the audience with something to think about and wanting to learn more.
Other, individual responses included that the video was effective because it had a good concept
and that it provided an interesting and fun explanation of why FT is important.
Survey Questions
Very
Effective
Somewhat
Effective
Neutral
Not
Very
Effective
Not At
All
Effective
How effective was this video in
linking the expectations that people in
developed countries have about
receiving fair compensation for their
labour with the poverty experienced
in the global South (partially caused
by unfair wages for workers)?
4
11
1
2
0
How effective was this video in
raising interest about Fair Trade in
general?
6
10
1
0
1
46
In contrast, two of the eighteen respondents reported that the video was not an effective
tool for promoting FT. One stated that the people in the video did not demonstrate abject poverty
and that it would have helped to know what countries were being represented, while the other
noted that the video lacked context, needed to be more striking, and that people who were not
familiar with FT would not understand it.
The third question of the survey asked participants to identify two things about the video
that they liked. The most common response, indicated by ten participants, was that they liked the
song choice. Many participants did not state why they liked the song. However, others indicated
that the song was catchy and appropriate (n=2 and n=3, respectively). Five participants reported
that they liked the use of the text at the end and in particular they liked the tag line, “It‟s not
charity. It‟s just fair”. The concept and the clarity of the message were both reported as being
liked by three participants each. The use of the statistic regarding the amount of poverty, the
choice of scenes, and a good build up of anticipation in the video, were all reported by two
participants. Additional individual responses included: displaying the web address for more
information, successful delivery of a powerful message, successfully knowing and targeting an
audience, and making the issue of unfair wages in the global South personal and relatable to
people in developed countries.
The final question asked participants to identify two things about the video that they
would change. The most commonly reported answer was that the labour did not look difficult
enough (n=5). Three participants suggested including snapshots of workers or impoverished
peoples in developing countries. Two participants reported each of the following changes: make
the living conditions of the worker look more impoverished, shorten the video in length,
eliminate some of the text at the end and focus more on the line; “It‟s not charity. It‟s just fair”,
47
change or eliminate the background music (one because it was too happy; the other because it
was irritating and repetitive), and better editing. Additional aspects that individual participants
wanted to change included: making the video longer, avoiding the term „abject poverty‟,
including more information about FT, not using a closet or laundry room as the worker‟s
apartment (it must be noted here that this is a misperception, as the location used as the worker‟s
home is in fact my apartment), using a digital clock instead of analog, having the worker look at
his wages on a pay cheque instead of holding coins, that the camera was too shaky during the
clock footage, use more dramatic music once the text is on the screen, and using a different form
of labour because showing gardening proliferates the false belief that FT only addresses
agricultural production. The surveys indicate that the video was predominantly perceived as an
effective marketing tool for FT. However, the varying responses to the questions about what
participants liked versus what they would change, illustrates the need for various marketing
strategies in order to influence the greatest number of consumers.
Discussion
Social Capital and the Division of Labour in Fair Trade Marketing
As previously mentioned, throughout the history of FT there have been three main
focuses of marketing communications: process, product, and most recently place. All of these
focuses were vital in allowing the spread of the FT message and the growth of the FT movement.
In order to move forward, they all remain necessary for the continuing expansion of FT
awareness and sales. To achieve the best marketing results the focus on process, product, and
place must be divided amongst individuals and organizations with respect to range, scope, and
suitability. Therefore, overarching FT organizations, smaller FT companies, and individual FT
48
activists and supporters within communities will all be involved. The role of social capital in FT
marketing will now be discussed.
Social capital works by making and maintaining relationships with others. People are
able to collaborate with others and accomplish goals that they would not have been able to
achieve on their own or that would require much more effort to achieve (Field, 2003). Woolcock
(2001) explains that there are two main categories of social capital: bonding, and bridging.
Bonding occurs between family members and close friends. Bonding can be useful in the
promotion of FT within small groups and close relationships. However, it is the networking
aspect of social capital referred to as „bridging‟ that is of the most use in FT marketing because it
occurs between acquaintances and colleagues (Woolcock, 2001). The social capital shared
through the bridging of networks involved in FT marketing is essential for all the actors to
achieve their shared goal of maintaining and expanding the market for FT. Furthermore, social
capital achieved through the bridging of networks can achieve efficiency in FT marketing.
Connections and communication amongst actors involved in FT and its marketing campaigns
will allow different organizations to focus on the aspects of FT marketing that they are best
equipped to manage.
Coleman (1988) argues that social capital is a public good and that its benefits extend
beyond those whose efforts were required to realize it, and everyone in a given structure.
Coleman (1988) also notes that because of this, social capital requires collaboration between
individuals who are pursuing their own self-interest. FT marketing can easily be seen as a public
good in that those involved in it are not the only people who benefit from FT marketing
successes as producers in developing countries also benefit from these marketing endeavours.
Coleman‟s (1998) argument about collaborations amongst people pursuing their self-interests
49
also applies to the three focus areas of FT marketing. The overarching FT organizations‟ self
interest lies in establishing and maintaining trust in the FT system because their reputations and
careers will suffer if that trust is lost. Similarly, FT companies must establish and maintain the
quality and perceived quality of their products to ensure the continuation of their businesses.
Also, having one‟s town or institution gain the accreditation of being a „Fair Trade Town‟ or the
like, serves the self interests of activists and community groups because it may enhance their
social or personal identity (Connolly & Shaw, 2006; Nicholls & Opal, 2004).
By establishing and maintaining social capital through networks the overarching FT
organizations such as FLO, WFTO and TransFair can concentrate on marketing communications
about the process of FT. This focus would emphasize the FT principles and process in order to
maintain trust in the FT process; an important endeavor considering the growing participation of
mainstream companies in FT production and retailing.
International and national labeling institutions should focus on promoting the values and
principles of FT, as well as establishing and maintaining consumer trust in the FT certification
system. This should be their focus because they are responsible for labeling and certification. In
addition, the FT certification bodies ensure adherence to the FT process, thus making them the
best suited to market its legitimacy and effectiveness in fulfilling the overarching goals of FT. As
noted in the interviews, promotion of the FTO mark in addition to the FLO mark is important for
the growth of sales in FT products which are unable to become FLO certified. Moreover,
promotion of the FTO mark will help ATOs who have been the forerunners in the FT movement
to retain their important position as sources of FT products, education, and key figures in
politicizing FT. In addition, the FTO mark serves as a reassurance that these key actors have not
50
been forgotten amidst the ever-expanding availability of FT products in mainstream
supermarkets.
At the same time, individual FT companies for example: Cocoa Camino, Planet Bean,
Human Beans, and the like could focus on promoting their products primarily on the basis of
their material quality. As previously mentioned, there is a large segment of consumers who are
not sufficiently influenced by ethical issues that they will alter their purchasing behaviours.
Thus, allowing FT companies to focus on promoting the quality of their products may influence
these consumers to buy FT products simply due to their quality (or perceived quality), rather than
because of their ethical implications.
With the trust in FT and its principles being addressed by national and international FT
institutions, individual FT companies would be free to focus on promoting and expanding their
product lines. As previously mentioned, the ethical appeal of FT does not influence all
consumers, however, the quality and perceived quality, of products does. Emphasizing the
quality of products allows FT products and the FT message to reach consumers who may not
otherwise be interested in adopting FT buying behaviours. Furthermore, individual companies
are best suited to promote the quality of their products because that is their focus. They have
access to all the information about their products and understand how best to differentiate them
in the marketplace based on their attributes. One way to reach consumers based on product
quality is to give away free samples; either by mail, in Worldshops (as Ten Thousand Villages
already does), or better still, in supermarkets where the products are sold. This allows for one on
one communication with consumers which would allow the people distributing the samples to
differentiate their products from their conventional counterparts based on both quality and FT
principles.
51
Finally, activists and community groups can focus their marketing efforts on engaging
their communities through marketing campaigns such as „Fair Trade Towns‟, „Fair Trade
Universities‟ and „Fair Trade Churches‟. This leaves community involvement initiatives to the
„strongly ethical‟ activists. The newest of the FT marketing initiatives, “Fair Trade Towns” and
complimentary campaigns which include FT churches, schools, and universities are very relevant
and important for the expansion of FT awareness and therefore sales as well. Passionate
community members are best suited to execute these programs, and really, they are the only
group who is likely to do this because of the commitment that is required to establish and
maintain communities‟ “Fair Trade” status.
Conclusion
Fair Trade is an important tool in the elimination of poverty in developing countries. It
provides marginalized workers with fair wages and allows them to work toward their own
development (Osterhaus, 2006). FT has grown significantly in the past fifty years; from limited
accessibility through dedicated ATOs and Worldshops, to availability in mainstream
supermarkets (Nicholls & Opal, 2004). FT sales and awareness continue to grow. However, FT
sales account for less than 0.01% of global trade (Becchetti & Huybrechts, 2008; Connolly &
Shaw, 2006). In order to increase FT sales and therefore, the benefits to producers in the global
South, continual and effective marketing of the FT brand is required.
Social capital theory explains that collaboration between groups who share common
values allows them to achieve goals that they would find difficult to accomplish on their own,
and such is the case in FT marketing (Field, 2003; Woolcock, 2001). Through communication
and cooperation between overarching FT labeling and certification bodies, smaller product based
FT companies, and activists, a more successful marketing strategy can be achieved. Each group
52
will have an area of marketing focus: process, product, and place, respectively. This strategy will
allow the different actors to contribute to the areas of FT marketing that they are best suited for
while gaining the benefits of the other participants‟ marketing efforts. In this way all the areas of
FT marketing will be covered; achieving trust in the FT process, an understanding of the high
quality of FT products, and community engagement through local initiatives supporting FT.
This division of labour is a necessary step in the evolution of the FT movement. FT has grown
substantially and in order to continue its expansion, marketing efforts must be coordinated to
ensure that all aspects are addressed as effectively as possible. FT has a proven positive track
record. It has lifted people out of poverty. It has empowered people who have previously been
subject to the whims of the marketplace. The FT movement has experienced tremendous growth
and remains the most feasible means to bring long term prosperity to the global South.
53
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Varul, M.Z. (2008).Consuming the Campesino: fair trade marketing between recognition and
romantic commodification. Cultural Studies. 5, 1466-4348.
Weeks, C. (2009, August 26). Cadbury dips into fair-trade market. The Globe and Mail,
Retrieved from http://www.theglobeandmail.com/life/food-and-wine/cadbury-dips-into-
fair-trade-market/article1264256/
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Wilkinson, J. (2007).Fair Trade: Dynamic and Dilemmas of a Market Oriented Global Social
Movement. J Consum Policy. 30, 219–239.
Woolcock, M. (2001). The Place of social capital in understanding social and economic
outcomes. Canadian Journal of Policy Research, 2(10), 2-37.
Wright, L.T., & Heaton, S. (2006). Fair Trade marketing: An exploration through quantitative
research. Journal of Strategic Marketing, 14, 411-426.
58
Appendix A: Application for Ethics Review of Research Involving Human participants
This Review Form re-states the information you have entered. You must amend any incorrect entries having
notifications appearing here before you can submit the form to the Office of Research Ethics. For further
instructions, see the Online Application Procedures. Question-specific guidelines are available at
Please review the application with the CHECKLIST FOR APPLICATION TO CONDUCT RESEARCH WITH
HUMAN PARTICIPANTS before submitting your application to the ORE to minimize any required revisions and
avoid delays in receiving ethics clearance.
A. GENERAL INFORMATION
1. Title of Project: Fair Trade Marketing_copy
2. a) Principal and Co-Investigator(s) N/A
3. Project Supervisor(s) Name Department Ext: e-mail:
Susan Wismer Environment & Resource
Studies 35795 [email protected]
4. Student Investigator(s) Name Department Ext: e-mail: Local Phone #:
Patricia McClellan Environment & Resource
Studies [email protected] 226-747-3530
5. Level of Project: Undergraduate Course Specify Course: ERS 490A
Non-Theses Course Projects:
Research Project/Course Status:
6. Funding Status (if there is an industry sponsor and procedures pose greater than minimal risk, then
Appendix B is to be completed): N/A
7. Does this research involve another institution or site? NA
If Yes, what other institutions or sites are involved:
NA
8. Has this proposal been, or will it be, submitted to any other Research Ethics Board/Institutional Review
Board? N/A
59
9. For Undergraduate and Graduate Research:
Has this proposal received approval of a Department Committee? N/A
10. a) Indicate the anticipated commencement date for this project: 8/7/2009
b) Indicate the anticipated completion date for this project: 9/1/2009
B. SUMMARY OF PROPOSED RESEARCH
1. Purpose and Rationale for Proposed Research
a. Describe the purpose (objectives) and rationale of the proposed project and include any hypothesis(es)/research
questions to be investigated. For a clinical trial/medical device testing summarize the research proposal using the
following headings: Purpose, Hypothesis, Justification, and Objectives. Where available, provide a copy of a research proposal. For a clinical trial/medical device testing a research
proposal is required:
The purpose of this project is to determine the most effective ways to market the fair trade „brand‟ and to produce
effective marketing materials for said brand. This is a valuable study because fair trade provides disadvantaged
workers in developing countries with fair wages and social premiums for their labour and while sales of these
products are increasing, they are doing so at a slow rate. Thus, the goal of this project is to learn about fair trade
marketing and produce effective marketing materials for this movement.
b. In lay language, provide a one paragraph (approximately 100 words) summary of the project including purpose,
the anticipated potential benefits, and basic procedures used.
C. DETAILS OF STUDY
1. Methodology/Procedures
a. Indicate all of the procedures that will be used. Append to form 101 a copy of all materials to be used in this
study.
Interview(s) (in person)
Interview(s) (by telephone)
b. Provide a detailed, sequential description of the procedures to be used in this study. For studies involving
multiple procedures or sessions, provide a flow chart. Where applicable, this section also should give the research
design (e.g., cross-over design, repeated measures design).
I will conduct key informant interviews with individuals working in the fair trade industry. The questions will be
open-ended to allow the interviewees to elaborate on their answers.
c. Will this study involve the administration/use of any drug, medical device, biologic, or natural health product?
N/A
2. Participants Involved in the Study
a. Indicate who will be recruited as potential participants in this study.
60
Non-UW Participants: Adults
b. Describe the potential participants in this study including group affiliation, gender, age range and any other
special characteristics. Describe distinct or common characteristics of the potential participants or a group (e.g., a
group with a particular health condition) that are relevant to recruitment and/or procedures (e.g., A group with
asbestosis is included. People with this condition tend to be male, 50+ years, worked with asbestos.). If only one
gender is to be selected for recruitment, provide a justification for this.
The potential participants in this study will be professionals who are working in the fair trade industry. Both males
and females will be potential participants and they will all be adults (18+ years).
c. How many participants are expected to be involved in this study? For a clinical trial, medical device testing, or
study with procedures that pose greater than minimal risk, sample size determination information is to be provided,
as outlined in Guidance Note C2c.
I will be interviewing approximately five participants in this study.
3. Recruitment Process and Study Location
a. From what source(s) will the potential participants be recruited?
Businesses, industries
b. Describe how and by whom the potential participants will be recruited. Provide a copy of any materials to be used
for recruitment (e.g. posters(s), flyers, cards, advertisement(s), letter(s), telephone, email, and other verbal scripts).
I, Patricia McClellan, will be recruiting the participants. I will call representatives who work in the fair trade
industry and ask if they would be available and willing to participate in a brief interview about fair trade marketing.
c. Where will the study take place? Off campus: Either in the offices of the participants or by phone
interviews.
4. Remuneration for Participants Will participants receive remuneration (financial, in-kind, or otherwise) for participation? No
5. Feedback to Participants
Describe the plans for provision of study feedback and attach a copy of the feedback letter to be used. Wherever
possible, written feedback should be provided to study participants including a statement of appreciation, details
about the purpose and predictions of the study, restatement of the provisions for confidentiality and security of data,
an indication of when a study report will be available and how to obtain a copy, contact information for the
researchers, and the ethics review and clearance statement.
Refer to the Checklist for Feedback Sheets on ORE web site:
http://iris.uwaterloo.ca/ethics/human/application/samples/checklistfeedback.htm
A feedback letter thanking participants will be sent to all those involved in the study. In addition, an executive
summary of the research outcomes will be sent to all participants.
D. POTENTIAL BENEFITS FROM THE STUDY
1. Identify and describe any known or anticipated direct benefits to the participants from their involvement
in the project. There are no known direct benefits to the participants from the involvement in this project.
61
2. Identify and describe any known or anticipated benefits to the scientific community/society from the
conduct of this study. It is anticipated that this study will provide information about effective Fair Trade marketing to society and Fair
Trade organizations. One expected benefit of this is that a more effective strategy for Fair Trade marketing can be
discovered and therefore implemented in the near future.
E. POTENTIAL RISKS TO PARTICIPANTS FROM THE STUDY
1. For each procedure used in this study, describe any known or anticipated risks/stressors to the
participants. Consider physiological, psychological, emotional, social, economic risks/stressors. A study–
specific current health status form must be included when physiological assessments are used and the
associated risk(s) to participants is minimal or greater. No known or anticipated risks
No risks are anticipated because I will be conducting key informant interviews about Fair Trade marketing with
professionals in the Fair Trade industry. There will not be any testing related to participants' psychological,
emotional, or physical health. Instead, I will merely be asking professionals their opinions about a specific aspect of
Fair Trade.
If the risk is greater than minimal and the study is industry sponsored, then Appendix B is to be completed.
2. Describe the procedures or safeguards in place to protect the physical and psychological health of the
participants in light of the risks/stressors identified in E1. The interviews will not address the physical or psychological health of the participants in this study. I will merely be
asking professionals what they think about the marketing strategies currently being utilized in the Fair Trade
movement.
F. INFORMED CONSENT PROCESS
Researchers are advised to review the Sample Materials section of the ORE website
Refer to sample information letters and consent forms:
http://iris.uwaterloo.ca/ethics/human/application/101samples.htm
1. What process will be used to inform the potential participants about the study details and to obtain their consent
for participation?
Information letter with written consent form
Information letter with written consent form; via mail, email, or fax.
2. If written consent cannot be obtained from the potential participants, provide a justification for this.
3. Does this study involve persons who cannot give their own consent (e.g. minors)? No
G. ANONYMITY OF PARTICIPANTS AND CONFIDENTIALITY OF DATA
1. Provide a detailed explanation of the procedures to be used to ensure anonymity of participants and
confidentiality of data both during the research and in the release of the findings.
Participants will be listed as, "representative" from the Fair Trade industry, or from their organization unless the
participant gives written consent to the use of their name and/or organization's name. The level of anonymity will be
62
determined by the participant.
2. Describe the procedures for securing written records, video/audio tapes, questionnaires and recordings. Identify
(i) whether the data collected will be linked with any other dataset and identify the linking dataset and (ii) whether
the daa will be sent outside of the institution where it is collected or if data will be received from other sites. For the
latter, are the data de-identified, anonymized, or anonymous?
All data collected will be handled by myself and Professor Wismer only. All records will be secured in my personal
possession. The data collected will not be linked with any other dataset, nor will it be sent to any other persons or
institutions.
3. Indicate how long the data will be securely stored and the method to be used for final disposition of the data.
Paper Records
Confidential shredding after 5 year(s).
Audio/Video Recordings
Erasing of audio/video recordings after 5 year(s).
Electronic Data
Erasing of electronic data after 5 year(s).
Location: My home and my computer files and Professor Wismer's office.
4. Are there conditions under which anonymity of participants or confidentiality of data cannot be guaranteed? No
H. DECEPTION
1. Will this study involve the use of deception? N/A
Researchers must ensure that all supporting materials/documentation for their applications are submitted with the
signed, hard copies of the ORE form 101/101A. Note, materials shown below in bold are normally required as part
of the ORE application package. The inclusion of other materials depends on the specific type of projects.
Researchers are advised to review the Sample Materials section of the ORE web site:
http://iris.uwaterloo.ca/ethics/human/application/101samples.htm
Protocol Involves a Drug, Medical Device, Biologic, or Natural Health Product
If the study procedures include administering or using a drug, medical device, biologic, or natural health product
that has been or has not been approved for marketing in Canada then the researcher is to complete Appendix A, a
Word document. Appendix A is to be attached to each of the two copies of the application that are submitted to the
ORE. Information concerning studies involving a drug, biologic, natural health product, or medical devices can be
found on the ORE website.
Drug, biologic or natural health product http://iris.uwaterloo.ca/ethics/human/researchTypes/clinical.htm
Medical devices: http://iris.uwaterloo.ca/ethics/human/researchTypes/devices.htm
Appendix A http://iris.uwaterloo.ca/ethics/human/application/101samples.htm
63
Please check below all appendices that are attached as part of your application package:
- Recruitment Materials: A copy of any poster(s), flyer(s), advertisement(s), letter(s), telephone or other verbal
script(s) used to recruit/gain access to participants.
- Information Letter and Consent Form(s)*. Used in studies involving interaction with participants (e.g. interviews,
testing, etc.)
- Data Collection Materials: A copy of all survey(s), questionnaire(s), interview questions, interview themes/sample
questions for open-ended interviews, focus group questions, or any standardized tests.
- Feedback letter *
* Refer to sample letters:
http://iris.uwaterloo.ca/ethics/human/application/101samples.htm
NOTE: The submission of incomplete application packages will increase the duration of the ethics review process.
To avoid common errors/omissions, and to minimize the potential for required revisions, applicants should ensure
that their application and attachments are consistent with the Checklist For Ethics Review of Human Research
Application
http://iris.uwaterloo.ca/ethics/form101/checklist.htm
Please note the submission of incomplete packages may result in delays in receiving full ethics clearance.
We suggest reviewing your application with the Checklist For Ethics Review of Human Research Applications
to minimize any required revisions and avoid common errors/omissions.
http://iris.uwaterloo.ca/ethics/form101/checklist.htm
INVESTIGATORS' AGREEMENT
I have read the Tri-Council Policy Statement (TCPS): Ethica Conduct for Research Involving Humans and
agree to comply with the principles and articles outlined in the TCPS. In the case of student research, as
Faculty Supervisor, my signature indicates that I have read and approved this application and the thesis
proposal, deem the project to be valid and worthwhile, and agree to provide the necessary supervision of the
student.
_____________________________________
Signature of Principal Investigator _________________________
Date
____________________________________
Signature of Student Investigator _________________________
Date
FOR OFFICE OF RESEARCH ETHICS USE ONLY:
_____________________________
Susan E. Sykes, Ph.D., C. Psych.
_________________________
Date
64
Director, Office of Research Ethics
OR
Susanne Santi, M.Math
Senior Manager, Research Ethics OR Julie Joza, B.Sc. Manager, Research Ethics
65
Appendix B: Sample Telephone Script used in Recruitment of Interview Participants
P = Potential Participant; I = Interviewer
I - May I please speak to [name of potential participant]?
P - Hello, [name of potential participant] speaking. How may I help you?
I - My name is Patricia McClellan and I am a fourth year student in Environment and Resource studies at the
University of Waterloo. I am currently conducting research under the supervision of Professor Susan Wismer on the
marketing of Fair Trade. As part of my undergraduate thesis research, I am conducting interviews with professionals
working in the Fair Trade industry to discover their perspectives on effective strategies for Fair Trade marketing.
As you are a professional in this field, I would like to speak with you about your perspectives on the current issues
in Fair Trade marketing and the challenges and opportunities for Fair Trade marketing in the future. Is this a
convenient time to give you further information about the interviews?
P - No, could you call back later (agree on a more convenient time to call person back).
OR
P - Yes, could you provide me with some more information regarding the interviews you will be conducting?
I - Background Information:
I will be undertaking interviews starting on August 17,2009.
The interview would last about one hour, and would be arranged for a time convenient to your
schedule.
Involvement in this interview is entirely voluntary and there are no known or anticipated risks to
participation in this study.
The questions are quite general (for example, What challenges and opportunities do you see for
Fair Trade marketing?).
You may decline to answer any of the interview questions you do not wish to answer and may
terminate the interview at any time.
With your permission, the interview will be tape-recorded to facilitate collection of information,
and later transcribed for analysis.
All information you provide will be considered confidential unless I receive written consent
stating otherwise.
The data collected will be kept in a secure location and disposed of in 5 years time.
If you have any questions regarding this study, or would like additional information to assist you
in reaching a decision about participation, please feel free to contact Professor Susan Wismer at 519-888-
4567, Ext. 35795.
66
I would like to assure you that this study has been reviewed and received ethics clearance
through the Office of Research Ethics at the University of Waterloo. However, the final decision about
participation is yours. Should you have any comments or concerns resulting from your participation in this
study, please contact Dr. Susan Sykes in the Office of Research Ethics at 519-888-4567, Ext. 36005 or
After all of the data have been analyzed, you will receive an executive summary of the research
results.
With your permission, I would like to mail/fax you an information letter which has all of these details along with
contact names and numbers on it to help assist you in making a decision about your participation in this study.
P - No thank you.
OR
P - Sure (get contact information from potential participant i.e., mailing address/fax number).
I - Thank you very much for your time. May I call you in 2 or 3 days to see if you are interested in being
interviewed? Once again, if you have any questions or concerns please do not hesitate to contact me; I can be
reached at 226-747-3530.
P - Good-bye.
I - Good-bye.
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Appendix C: Sample Information Consent Letter for Potential Interview Participants
Department Letterhead
University of Waterloo
July 12, 2009.
Dear (insert participant’s name):
This letter is an invitation to consider participating in a study I am conducting as part of my undergraduate research
project in the Department of Environment and Resource studies at the University of Waterloo under the supervision
of Professor Susan Wismer. I would like to provide you with more information about this project and what your
involvement would entail if you decide to take part.
Over the years, the market for Fair Trade products has been expanding. With this growth have come changes in the
approaches to marketing the Fair Trade „brand‟. The purpose of this study, therefore, is to study Fair Trade
marketing and develop effective marketing materials for this brand.
This study will focus on the different approaches to Fair trade marketing including the use of producer profiles and
the emphasis on the quality of Fair Trade products. Because your organization is a key contributor to the Fair Trade
movement, it is important to understand how such an organization views the current state and the future direction of
Fair Trade marketing. Therefore, I would like to include your organization as one of several organizations to be
involved in my study. I believe that because you are actively involved in the management and operation of your
organization, you are best suited to speak to the various issues, such as effective strategies for marketing Fair Trade.
Participation in this study is voluntary. It will involve an interview of approximately one hour in length to take place
over the phone or at a mutually agreed upon location. You may decline to answer any of the interview questions if
you so wish. Further, you may decide to withdraw from this study at any time without any negative consequences by
advising the researcher. With your permission, the interview will be audio recorded to facilitate collection of
information, and later transcribed for analysis. Shortly after the interview has been completed, I will send you a copy
of the transcript to give you an opportunity to confirm the accuracy of our conversation and to add or clarify any
points that you wish. All information you provide is considered completely confidential. Your name will not appear
in any thesis or report resulting from this study, however, with your permission anonymous quotations may be used.
Also, the name of the organization you are employed with will not be used unless you authorize it and give written
consent. Data collected during this study will be retained for five years in a locked office in my supervisor's
office. Only researchers associated with this project will have access. There are no known or anticipated risks to you
as a participant in this study.
If you have any questions regarding this study, or would like additional information to assist you in reaching a
decision about participation, please contact me at 226-747-3530 or by email at [email protected].
You can also contact my supervisor, Professor Susan Wismer at (519) 888-4567 ext. 35795 or email
I would like to assure you that this study has been reviewed and received ethics clearance through the Office of
Research Ethics at the University of Waterloo. However, the final decision about participation is yours. If you have
any comments or concerns resulting from your participation in this study, please contact Dr. Susan Sykes of this
office at (519) 888-4567 Ext. 36005 or [email protected].
I hope that the results of my study will be of benefit to those organizations directly involved in the study, other Fair
Trade organizations not directly involved in the study, as well as to the broader research community.
68
I very much look forward to speaking with you and thank you in advance for your assistance in this project.
Yours Sincerely,
Patricia McClellan
Student Investigator
CONSENT FORM
I have read the information presented in the information letter about a study being conducted by Patricia McClellan
of the Department of Environment and Resource studies at the University of Waterloo. I have had the opportunity to
ask any questions related to this study, to receive satisfactory answers to my questions, and any additional details I
wanted.
I am aware that I have the option of allowing my interview to be audio recorded to ensure an accurate recording of
my responses.
I am also aware that excerpts from the interview may be included in the thesis and/or publications to come from this
research, with the understanding that the quotations will be anonymous.
I was informed that I may withdraw my consent at any time without penalty by advising the researcher.
This project has been reviewed by, and received ethics clearance through, the Office of Research Ethics at the
University of Waterloo. I was informed that if I have any comments or concerns resulting from my participation in
this study, I may contact Dr. Susan Sykes, the Director of the Office of Research Ethics at (519) 888-4567 ext.
36005, or by email: [email protected]
With full knowledge of all foregoing, I agree, of my own free will, to participate in this study.
YES NO
I agree to have my interview audio recorded.
YES NO
I agree to the use of anonymous quotations in any thesis or publication that comes of this research.
YES NO
Participant Name: ____________________________ (Please print)
Participant Signature: ____________________________
Witness Name: ________________________________ (Please print)
Witness Signature: ______________________________
Date: ____________________________
69
Appendix D: Sample Interview Questions
Name and role in the organization?
Background of your organization/how did it develop?
Why Fair Trade?
Who is responsible for marketing? How did it develop?
What do you think is the general state of the Fair Trade movement currently?
What are the challenges and opportunities that you see for Fair Trade marketing?
What have your experiences been with successes/failures or challenges/opportunities in Fair
Trade marketing regarding specific products, economics, or reaching target markets?
I have found in my readings that there is a sizable debate surrounding the use of producers in
Fair Trade promotional materials. What is your organization‟s position on the use of producers
in Fair Trade marketing?
What is the most memorable Fair Trade marketing campaign in your opinion and why does it
stand out in your mind?
What is your organization‟s position on whether or not Fair Trade products should be available
in mainstream supermarkets and why?
Where do you think Fair Trade marketing should focus its attention (eg: Fair Trade awareness,
producer stories, quality, product innovation/variety)?
70
Where do you see the future of Fair Trade?
I am about to graduate and am passionate about Fair Trade, what advice would you have for
someone like me starting out in this industry?
71
Appendix E: Sample Letter of Appreciation after Oral Research Interview
UW department letterhead
Dear (Name);
I am writing to thank you for a stimulating meeting last week. I had not been fully aware of the
extent of your involvement in Fair Trade marketing before our conversation. It was indeed a
pleasure meeting you.
My project, (Fair Trade Marketing), is proceeding according to design, and in particular my
research for the chapter on (chapter focus) is nearing completion. As you know I have already
been through the major archival collections, and am now seeing a few more individuals such as
yourself who can lend additional information and insights. Thank you for suggesting (name of
contact) as a potential source.
I hope you will get in touch with me if further thoughts occur to you about the subject of our
conversation, particularly if you decide in retrospect that you would like to designate some of it
for non-attribution. Should you have any comments or concerns you could also contact Dr. Susan
Sykes of our Office of Research Ethics at 519-888-4567 Ext. 36005 or by email:
[email protected]. This project was reviewed by, and received ethics clearance through, the
Office of Research Ethics at the University of Waterloo.
I shall as promised, be sending you a copy of the transcript from the interview, for your
comments. I expect it to be ready for your review by September.
Sincerely,
Patricia McClellan
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