International Marketing Strategies: Sainsbury's in the Global Market

Verified

Added on  2023/01/06

|8
|2076
|35
Report
AI Summary
This report provides an in-depth analysis of Sainsbury's international marketing strategies, focusing on its expansion into global markets. The report begins by explaining the core concepts of international marketing and then dives into Sainsbury's approach to segmentation, targeting, and positioning (STP) within the Indian market. It then explores the company's adaptation and glocalization strategies, contrasting standardization and adaptation approaches, and highlighting the importance of understanding local market dynamics. Furthermore, the report examines Sainsbury's marketing mix, including product, price, place, and promotion strategies. The report also analyzes the product life cycle and utilizes the Boston Growth Matrix to assess Sainsbury's product portfolio. The conclusion emphasizes the significance of market knowledge for achieving optimal outcomes in international marketing ventures. The report references relevant academic sources and journals to support its analysis.
Document Page
INTERNATIONAL
MARKETING,
INNOVATION AND E-
COMMERCE
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Table of Contents
INTRODUCTION...........................................................................................................................3
Task 1 ..............................................................................................................................................3
Segmentation, targetting and positioning: -.................................................................................3
Task 2...............................................................................................................................................4
Standardization , Adaptation and Glocal market.........................................................................4
Task 3...............................................................................................................................................5
Marketing Mix of Sainsburry's....................................................................................................5
Product life cycle: - .....................................................................................................................6
Boston Growth Matrix.................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................1
Document Page
INTRODUCTION
International marketing refer to the marketing which is done in promoting and expanding of the
business in international market (Dibb, 1998). The report is explaining the ways in which
Sainsburry's is making strategies and all the segmentation, targeting and positioning to work in
international market.
Task 1
Segmentation, targetting and positioning: -
Segmentation : -
Segmentation refer to the process in which the market is segmented and works according to the
segmented market. It is one of the most important part of business when the company is focusing
in expanding the business in global market and it also make it easier for the Sainsburry's to
increase the market in global platform (Aliyanti, 2019). This process is to divide the market into
group of segments. There are various ways in which company can do the segmentation. The
household product and kitchen product segment for Indian market as the people choose to take
regular household market and have a good consumption.
Demographic: - demographic factors include dividing market according to the ages factor,
gender, income level, education and marital etc.
Geographic : - in this factor of segmentation the market is divided on the basis of sorting market
by country, region, state, entity etc.
Psycho-graphic: - Segmenting of people on the basis of the lifestyle, activities, hobbies, choices
etc.
Behavioural : - Breakdown of the market according to the use of product and services.
Targetting : -
Targeting of market is done on the segmentation of market and targetting the most attractive
segment of market. Sainsburry's is providing all the retail service in UK, and they are expanding
there business in India with expansion of market o that they can provide service in India and
capture the Indian market (Ilhamsyah, 2016). The market is segmented and the best for the
company in going international market and expanding in India, the Sainsburry's need to target
Demographic and psycho-graphic segmentation of market. It is according to the people and
there thinking which is important for the company in providing services and gain profitability.
Document Page
Targeting more to the kitchen product in India as the people in india are connected to there
kitchen more.
The target market for Sainsburry's in expanding the business in India is divided by size,
profitability and the reach of ease in market. The company need to focus on the demographics
factor as India is Second largest population country which is a great factor for Sainsburry's.
Positioning : -
Positioning is the last step of the STP model and it is the final stage of the process in which the
Sainsburry's is focusing in analysing of the market and target market. The firs is focused in
positioning of physical attributes, capability of data and functionality of company. The other
factors are those in which the brand communicate and look at how consumer perceive.
Positioning is most important as this is the final step and it will help in finding the result the
company wants in Indian market.
Task 2
Standardization , Adaptation and Glocal market
Standardization Approach: - Standardization approach refer to the process in which the
company works on the same strategies they were working in there old country or parental
country. In this Sainsburry's maintain the same strategies and approach to the market with the
approach they are working in UK and now the same approach will be done in India as well.
Standard approach work on the same strategies and the same product qualification and service
which company is doing in other country.
Adaptation Approach: - Adaptation refer to those process of working in which they are
providing some changes in the product and its specification. Sainsburry's working in UK with all
the necessary works and with ways in which they can earn more in UK. Adapting of market refer
to changes in market strategies and planing when working in the process of international
marketing and understanding the importance of market change for the product and services the
company is offering.
Glocal Approach: -
Glocal approach is the approach in which company works in understanding all the local market
and works according to that. This process of working is important when company is diversify the
product in international market and not able to understand the market than it is important for
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
them to make sure the knowledge of market is enough to understand and work according to get a
better result in the market they want to work.
Sainsburry's is focusing in expanding of the business in international market, and they are
thinking of expanding in India. Working of K and India is totally different and the climate and
culture of both the countries is totally different (Venaik and Midgley, 2019). There is no barrier
of language still there are issues which can affect the company in process of working.
Sainsburry's know that India is having a huge population and a big market for the company, the
company need to make the adaptive approach to work in India as it is having totally different
culture people and climate of the country. Working in India is having separate segmentation of
the company, and they are taking the adaptive approach to increase the profit.
Task 3
Marketing Mix of Sainsburry's
Product : - Product refer to the service and product company offer to the customer in their stores
and places. When company is expanding the business in India they are providing with all the
product and services they are offering top there UK customer are similar. But some products like
in India the Alcohol is not soled in the malls, and they have a different place for liqueur so the
company need to make the changes according to the country and Sainsburry's are following all
the ways by which they can adapt the segmented and targeted market. Product is the services
company is offering, and they are making all the necessary steps to make sure that they can
match expectation of the customer and also making sure that the product is qualified with all the
licensing in the country. Product should be those which can survive in the climate of the country
and Sainsbury’s need to provide all this product which can survive in the climate for a longer
period, and they need to eliminate all the product which can harm the norms of the countries like
they need to eliminate the selling of Beef in India because people do not east them. The company
have chosen the household product in Indian market and they are putting the low-price strategy
in Indian market in household product as the Indian market is big platform for that and is
beneficial for company.
Price: - Price strategy and the marketing mix of the market refer to the prices of the product
which can be varied from the place to place and when Sainsburry's is working in India the prices
Document Page
may very and the company need to make the strategies which can increase the sale of the
company and help the business in profits. They need to make low cost strategies and need to
provide different offers to work best in Indian market. Price plays an important role in the sale of
the product and companies benefits.
Place : - Place refer to the location which are selected by Sainsburry's in promoting the company
and providing the stores in the places. They need to select those places which can help the
company in increase and wider number of audience to be covered (Montgomery, 2017).
Promotion :- Promotion refer to the promotion strategies of the company in promoting of the
product and services they are offering to their customers, the promotion Sainsburry's is doing to
promote the product and services of the company. Promotion includes online and offline both
ways of promotion.
Product life cycle: -
There are four stages in the product life cycle period of a product: -
Introduction: - introduction refer to the introduction of product in the market. The first time the
product is introduced in the market is the stage of introduction. The household product
introduced by the company in India.
Growth : - Growth stages refer to when the product which is introduced is getting a good
response ion market and getting growth in sale and people liked the product. Market growth of
product and chosen by the people in maximum number.
Maturity : - maturity stage refer to that stage in product life cycle where the product is at the
maturity level and is to full actualization stage and get the best result with market favourite of
people. Product reaching to the maximum growth and Sainsbury’s getting huge profit.
Decline : - Decline stage refer to the stage when the product is getting down from its maturity
stage and losing the tag of market favourite. In this stage the product fall down in market and
some other product change the market situation and become a successful substitute of that
product. The product gets decline and get a down fall in market choice and is replaced by
substitute product.
Boston Growth Matrix
It is a range of tools with a product portfolio explaining how the product is going: -
Document Page
Star : - Star product are those which have a rapid growth rate and market dominance. High share
and high growth products. Household product of the company in India with low prices strategies.
Question mark : - they are this product with low share and high growth, they are the tricky
products for the manger (Keelson, 2017).
Cash Cow: - High Share and low growth products. They are this product which have a great
market values in market. Premium range product of the Sainsburry’s for premium customer.
Dog : - low share of product with low growth, they are those who have a low market share and
always tend to be low market value.
CONCLUSION
The report concluded that it is important for the Sainsburry's to find the best segmented market
and then work on it and gave great position to work the best outcomes. Itv conclude that to get
the best result the knowledge of market is important.
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
REFERENCES
Books and journals
Dibb, S., 1998. Market segmentation: strategies for success. Marketing Intelligence & Planning.
Ilhamsyah, I., 2016. Strategi STP (segmenting, targeting, positioning) Griya Al-Qur'an
Surabaya (Doctoral dissertation, UIN Sunan Ampel Surabaya).
Aliyanti, T.N., 2019. Implementasi strategi STP (Segmentasi, Targeting, Positioning) di PT.
Mina Wisata Islami Surabaya(Doctoral dissertation, UIN Sunan Ampel Surabaya).
Venaik, S. and Midgley, D.F., 2019. Archetypes of marketing mix standardization-adaptation in
MNC subsidiaries. European Journal of Marketing.
Montgomery, C.M., 2017. From standardization to adaptation: Clinical trials and the moral
economy of anticipation. Science as Culture. 26(2). pp.232-254.
Keelson, S.A., 2017. An examination of the program mix at technical universities of Ghana: the
application of the Boston Consulting Group Matrix. Journal of Emerging Trends in Economics
and Management Sciences. 8(6). pp.284-293.
1
chevron_up_icon
1 out of 8
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]