Digital Strategy Management Assignment 2022

Digital Strategy Management 1
Managing the Principles of e-Business
Student
Institution

Digital Strategy Management 2
Introduction
In the European Union (EU), a SME is any business whose headcount is lesser than 250
employees (Susan, 2019, p. 8). In the United Kingdom, there exists hundreds of SME’s across
all industries. Digital marketing strategy helps companies achieve their set objectives through
carefully chosen online marketing channels. The food industry is among the UK’s leading
SME’s by numbers, and varied target markets ranging from kids, teens, youths, and adults are
targeted. KIDDYLICIOUS is among the leading snack manufacturer in the UK, and a SME
leader in the country whose target market is children/ kids (James, 2017, p. 4). The company
employees over 50 employees and other casual laborers, and has recently been expanding
internationally into China and other global regions. In this paper, the digital strategy of
KIDDYLICIOUS will be analyzed and recommendations of an improved digital strategy will be
given to the management based on this analysis.
Environmental Analysis
In this part, the PEST and SWOT analysis of KIDDYLICIOUS will be done to aid in the critical
evaluation of its current digital strategy and also help in recommending an improved digital
strategy.
PEST Analysis
Political
Founded and incorporated in 2009, KIDDYLICIOUS has complied with all laws and regulations
existing in the UK’s food industry. KIDDYLICIOUS has complied with the food and safety
standards used in the country. Also, the company has complied with the tax policy, labor law,

Digital Strategy Management 3
and trade restrictions used in UK to all food manufacturers. In addition, there are food health
regulations that KIDDYLICIOUS has been compelled to respect (Habibi, et al., 2015, p.
640). In its international expansion, KIDDYLICIOUS needs to comply with the foreign trade
policy in order to thrive.
Economic
In the UK food industry where KIDDYLICIOUS operates, there are economic factors that
dictate business operations in the country. Factors such as inflation rates, economic growth, trade
patterns, and income levels for consumers, interest rates, and unemployment affect
KIDDYLICIOUS. In UK, the company charges reasonable prices for its snacks and meals for
toddlers, babies, and preschoolers and these prices are determined based on the economic factors
in a given time (Grossberg, 2016, p. 26). Currently, KIDDYLICIOUS is economically stable
although economic disparities affect its sustainability.
Social
The social conditions and trends in the UK affect KIDDYLICIOUS’s employees, customers, and
investors. Currently, KIDDYLICIOUS manufacturers and sells tasty snacks and delicious fruits
for babies and its products have been well received in the UK society. The kid food firm has
been very considerate to the social trends, norms, beliefs, and cultures in its target markets
(Baron & Baron, 2013, p. 120). As a result, KIDDYLICIOUS’s snacks and fruits have
increasingly been gaining popularity in the UK societies. Most parents prefer its tasty food
products to those of competitors.
Technology

Digital Strategy Management 4
KIDDYLICIOUS’s goal has always been revolutionizing the UK’s baby food market. Over the
past 5 years, KIDDYLICIOUS has invested a lot in technology and this has increased its
popularity of online mobile order systems. They market their baby snacks and fruits using social
media platforms such as Twitter and Instagram (Grossberg, 2016, p. 17). The company has
been very keen to appointing Space & Time to handle media planning and buying for their
KIDDYLICIOUS range of toddler, baby, and preschooler snacks and meals. This is a big
opportunity for market growth.
SWOT Analysis
Here, the strengths, weaknesses, opportunities, and threats of KIDDYLICIOUS will be analyzed
in the context of its existing digital strategy:
Strengths
 Successful product innovation
 Successful social media marketing
strategies
 Excellent brand portfolio
Weaknesses
 Need more investments in new
technologies
 Average digital marketing success
which need improvement
 Investment in digital research and
development ranks below average
Opportunities
 New customers from online channels
 New global trade agreements- global
expansion
 High rate of technological change in
Threats
 Competition from other digital food
companies such as Sprout, Happy
Family, and Love Child
 Economic stability issues