Marketing to the islamic world

Marketing to the Islamic World
Mustafa M. Farouk
Federation of Islamic Associations of New Zealand
Presentation to the International Marketing Class MARK 302 School of Marketing & International
Business, Victoria University of Wellington, October 6, 2006


Contents
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The Islamic world
New Zealand trade with the Islamic world
The Muslim consumer:
– Belief & its implications to marketing
– Practice & its implications to marketing
– Sources of law & its implications to marketing
The Muslim consumption pattern
The Muslim dressing pattern
Gender separation and its implications
Islamic marketing/business ideals
Advertisements and promotions to Muslims
Current trends in Islamic markets

– Commercialising Islam
– Global events and the Muslim consumer


The Islamic world
• Estimated population 1.31.7 billion
• ~ 40,000 live in NZ
• Fastest growing religion in
the world
• Muslims are widely
distributed around the
world
• Diverse colours, ethnic
groups, languages,
cultures
• United in faith


NZ trade with the Islamic world
• New Zealand’s annual
exports to ICCI countries
totalled over $2.2 billion in
June 2005
• NZ export to GCC alone is
worth 720 million in 2005
•

NZ negotiating a FTA with
GCC countries

• New Zealand exports to
Malaysia were worth $546
million; about half of this
was in dairy and meat
products.

Bulk Halal
certified

Bulk Halal
certified

Source: MIA NZ Annual report 2005


The Muslim consumer: Beliefs
Islam: Means peace but from the spiritual point it
means peace and complete submission to the will of
God. When we submit to the will of God then we will
have true peace
– Oneness of God (Allah)
– His angels
– His messengers (Abraham, Moses, Jesus, Mohammad
E.T.C. Peace be upon them all)
– His books
– The day of Judgement
– Divine destiny good or bad.


The Muslim consumer: Practice

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Prayers

•

Charity (Zakat)

•

Fasting (Ramadan)

•

Pilgrimage (Hajj)

•

Others (e.g. being a good neighbour)


The Muslim consumer: Sources of law
• The Quran (Muslim Holy book)
• The traditions of the Prophet
• The consensus of learned Muslims on
emerging issues derived from the Quran
and the traditions of the Prophet (PBUH)
• The laws of the land as long as they do
not contradict God laws

Islam is a complete way of life
Everything a Muslim does from entering the
toilet, eating, doing business, national and
international marketing to politics can be an
act of worship
Saying of the Prophet (SAW):
One should not please a creation at the
expense of the creator (God)


The Muslim consumption pattern
Islamic dietary terms
•

Halal- lawful

•

Haram- unlawful

•

Makrooh- discouraged

•

Mashbooh- suspect

The Muslim consumption pattern
Allowed* (Halal):
•

Properly slaughtered cattle, sheep, goats, deer, camel, chicken etc.

•

All sea foods without the need for slaughter

•

All non-poisonous vegetables and fruits

* This

list is not exhaustive


The Muslim consumption pattern
Prohibited (Haram):
• Dead meat or carrion
• Swine and all products and ingredients
derived from swine
• Flowing or congealed blood
• Foods dedicated to idols
• Intoxicants of all types
• Carnivorous animals with fangs and
birds of prey with sharp claws

The Muslim dressing pattern
And say to the believing women that they should lower their gaze
and guard their modesty; that they should not display their beauty
and ornaments except what (must ordinarily) appear thereof; that
they should draw their veils over their bosoms and not display their
beauty except to their husbands, their fathers, their husband's
fathers, their sons, their husbands' sons, their brothers or their
brothers' sons, or their sisters' sons, or their women, or the slaves
whom their right hands possess, or male servants free of physical
needs, or small children who have no sense of the shame of sex;
and that they should not strike their feet in order to draw attention to
their hidden ornaments. And O ye Believers! turn ye all together
towards Allah, that ye may attain Bliss (24:31).

“Every part that is permissible to touch may be looked at, and every
part that is forbidden to be looked at may not be touched” Bakhtiar,
L. (1996). Encyclopedia of Islamic Law. P.74.


Gender Separation and its
Marketing Implication
There are no
bored-looking
husbands or
boyfriends waiting
around. In fact,
there's not a
single man in
sight. Welcome to

Israel's first
women-only
shopping
experience.
.c
o.uk/2/hi/middle_
east/4923618.stm

At least three major U.S. companies —
including McDonald's, Pizza Hut and
Starbucks ……………have made a number
of changes to their business practices in
"deference" to Saudi customs, including
maintaining segregated seating in their
restaurants and having separate entrances
for women and men.

/>
AT THE time, most people
agreed it seemed a good
idea: carriages on
Japanese commuter trains
set aside specifically for
females would
dramatically reduce the
number of women being
molested by the chikan
who get their kicks by
having a sly fondle among
the tightly packed bodies.

And it worked.
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id=1047972006


Islamic marketing/business ideals
• Only lawful activities are permitted (Halal)
– 2:168 O MANKIND! Partake of what is lawful and good on
earth, and follow not Satan's footsteps: for, verily, he is your
open foe.

• All transactions involving usury/interest are prohibited
(Haram)
– 2:275 THOSE who gorge themselves on usury behave but as
he might behave whom Satan has confounded with his touch;
for they say, "Buying and selling is but a kind of usury" - the
while God has made buying and selling lawful and usury
unlawful. Hence, whoever becomes aware of his Sustainer's
admonition, and thereupon desists [from usury], may keep his
past gains, and it will be for God to judge him; but as for those
who return to it -they are destined for the fire, therein to abide!


Islamic marketing/business ideals
Use of Images are discouraged
Narrated 'Aisha: I purchased a cushion with pictures on it. The Prophet
(came and) stood at the door but did not enter. I said (to him), "I repent
to Allah for what (the guilt) I have done." He said, "What is this
cushion?" I said, "It is for you to sit on and recline on." He said, "The
makers of these pictures will be punished on the Day of Resurrection

and it will be said to them, 'Make alive what you have created.'
Moreover, the angels do not enter a house where there are pictures.'“

Dealing in intoxicants, gambling and games of chance is
prohibited
– 5:90 O YOU who have attained to faith! intoxicants, and games of
chance, and idolatrous practices, and the divining of the future are
but a loathsome evil of Satan's doing:' shun it, then, so that you
might attain to a happy state!


Islamic marketing/business ideals
Promise must be kept and truth must be told
–

61:3 Most loathsome is it in the sight of God that you say what you do not do!

–

Narrated 'Abdullah bin Abu Aufa: A man displayed some goods in the market
and took a false oath that he had been offered so much for them though he
was not offered that amount Then the following Divine Verse was revealed:-"Verily! Those who purchase a little gain at the cost of Allah's covenant and
their oaths . . . Will get painful punishment." (3.77) Ibn Abu Aufa added, "Such
person as described above is a treacherous Riba-eater (i.e. eater of usury).

Undercutting another in business prohibited
– Narrated 'Abdullah bin Umar: Allah's Apostle said, "You should not try to cancel
the purchases of one another (to get a benefit thereof), and do not go ahead to
meet the caravan (for buying the goods) (but wait) till it reaches the market.“
Brokering is prohibited

– Narrated Tawus: Ibn 'Abbas said, "Allah's Apostle forbade the selling of
foodstuff before its measuring and transferring into one's possession." I asked
Ibn 'Abbas, "How is that?" Ibn 'Abbas replied, "It will be just like selling money
for money, as the foodstuff has not been handed over to the first purchaser
who is the present seller."


Advertisement and promotions
• Interest free deals can be attractive to
Muslims
• Buy one get one free has no issues and is
attractive
• Cash deals are better than offering a
chance to win. The latter may be seen as
gambling which is prohibited
• Auction selling may be seen as undercutting
one another in business, which is prohibited


Commercializing Islam
Think Muslim, drink Muslim, says new rival to Coke
French firm capitalises on anti-US feeling to sell cola
/>

Commercializing Islam
In Damascus, a Fulla doll sells for about $16, in a country where
average per capita income hovers around $100 per month. And yet,
said Nawal al-Sayeedi, a clerk at the Space Toon toy store in the
city's upscale Abou Roumaneh neighborhood, Fulla flies off the
shelves.

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Global events and the Muslim
consumer
• Impact of Middle
East conflicts
• Danish cartoons
•

We have taken 40 years to
build up a very big
business in the Middle
East, and we've seen it
come to a complete stop
in five days.
Astrid Gade Niels
Arla spokeswoman
/>t/4666298.stm


Global events and the Muslim
consumer
Cone-demned ... 'spinning whirl' ice creams look similar to the
world Allah written in Arabic script
 Ice creams are being withdrawn from Burger King — because a
design on the lid looks like the word Allah.
/>

Global events and the Muslim

consumer
Nike apologized to Muslims for any unintentional offense, agreed
to recall all products carrying the design, introduced training for
Nike designers in Islamic imagery and agreed to investigate how
the design came about.
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