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The Sustainability Challenge: Identifying Appropriate Financing Models for Social Marketing Programs

Social marketing has proven to be a cost-effective approach to increasing the availability and use of health products. The ability to recover costs through sales revenue and leverage commercial efficiencies also provides social marketing programs with opportunities for increased financial sustainability. The challenge of achieving sustainability in various contexts, however, has led to different viewpoints regarding some financing strategies, particularly the pursuit of self-sufficiency. This paper analyzes the conditions and trade-offs involved in common approaches to financial sustainability and provides a framework for identifying context-appropriate strategies. Among the factors most likely to affect the success of these approaches are gross national income per capita (as a proxy for ability to pay, donor presence, and commercial activity) and the market potential for social marketing products. Social marketing programs, however, should adapt their strategies over time because demand for products and willingness to pay are likely to evolve, creating opportunities for increased cost recovery and greater program efficiency.