Fitness Center - Ethical Marketing Strategy

 Chan Yiu Lun                       Tutorial Class Time: Thursday(1430-1530)

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                     Ethical marketing strategy

Nowadays, fitness center is popular among Hong Kong. Fitness center should be a positive thing as it help people do regular excise to achieve their dream body shape. However, to most of the Hong Kong people, the advertisement of those center are poison. It is all attributed to the unethical marketing plan of them.

  In 2005, Mrs. Ho, the victim of this case, bought the permanent membership from Physical fitness center for $15000. At that time, the advertisement, contract was indicated clearly that the permanent membership was available to all branches of this fitness, no matter were opened or branches which will set up in the future. However, when Mrs. Ho wanted to enjoy the service from the newly opened branch in Mong Kok in 2010, the fitness center refuse the entrance of Mrs. Ho. Physical fitness center answered Mrs. Ho that the advertisement in 2005 was only for the promotional purpose. All subject to the contract in any purpose if there is any inconsistency or conflict. Undoubtedly the contract was clearly indicated that the fitness center is available to adjust, modify or cancel any provision. Finally, Mrs. Ho seek help from Consumer Council, but she still cannot enjoy the service in Mong Kok branch freely, although Physical fitness center do not tell any reason in specific.

    This violate the principle of honesty and fairness of American marketing association (AMA) code of ethics.         

     According to AMA(2015), honesty is to be forthright in dealings with customers and stakeholders. However, from the above case, this fitness center claim to offer the service to the client in all branches but finally they do not and without any reason. Their marketing action tend to deceive the consumer. They often promise some discount or provision to client in order to attracting them to sign contract. Once the customer made the payment, the violate what they have claimed. This is an undoubtedly dishonest action as they indicated clearly on the contract that the permanent member can enjoy service at all branches, but finally they refuse this reciprocal. They are fail to deliver their claimed benefits.

     Next, according to AMA(2015), fairness is to balance justly the needs of buyer with interests of seller. Buyer and seller do have the same right as they share the same contract and both of them cannot adjust any provision without authorized by each other. However, Physical fitness center offer them a privilege to modify the contract without the permission of clients, this is mean that Physical fitness center can overflow what they have promise while what customer can do is only accept the modification and unable to maintain their own customer right. Like the above case, Mrs. Ho, as a permanent member, have the right to use the service of all branches. Owning to the prerogative of Physical fitness center, Mrs. Ho’s right was hurt, it is definitely unfair to Mrs. Ho. What Physical fitness center doing is a misleading and deceptive promotion.