INTERACTIONS OF ETHICAL MARKETING SCALE WITH CUSTOMERS’ DEMOGRAPHICS IN THE MEDICAL SCHEME SECTOR

Internationally, medical schemes must deliver ethical and eco-sustainable goods and services at affordable prices or barely survive the increasing competitive pressure. Ethical marketing, i.e. honesty and good performance, will help medical schemes to profit from the positive impact of future disruptions in this sector. Therefore, quantitative research assessed customers’ perceptions of ethical marketing scale and how they relate to their demographics in the South African medical schemes setting. About 250 medical schemes that are beneficiaries responsible for monthly contributions were recruited via a non-probability convenience sampling technique in a face-to-face survey. Exploratory factor analysis and Pearson’s Correlation Matrix tested the scale’s measurement properties and relationships with customers’ demographics. The results show that the perception that the service provider gives preferential treatment to some customers has a significant negative correlation with consumer age. In addition, there was a significant negative relationship between the perception that service provider withholds information from customers which could influence their medical cover selection and the medical scheme’s brand affiliation. The implications for practice and theory contributions are outlined.