Tesco's Internet Marketing Strategy

The assignment is a report that analyzes the online marketing strategies of Tesco, highlighting the opportunities provided by internet marketing, such as efficiency in physical evidence and the ability to reach a wider customer base. However, it also notes the challenges faced by Tesco, including the risk of hackers and scams, long delivery times, and the need for clear website policies to reassure customers.

INTERNET MARKETING
IN BUSINESS

Table of Contents
INTRODUCTION ...............................................................................................................................3
P 1 Describe the role internet marketing has within a modern marketing context..........................3
P 2 Describe how selected organisations use internet marketing....................................................4
P 3 Explain the benefits to customers of a business using internet marketing................................5
P 4 Describe the benefits and opportunities to the business of using internet marketing within the
marketing mix of a selected business..............................................................................................5
P 5 Explain how internet marketing has made a selected business more efficient, effective and
successful ........................................................................................................................................6
P 6 Explain the challenges of globalisation facing a selected business when using the internet as
a marketing tool...............................................................................................................................7
CONCLUSION....................................................................................................................................7
REFERENCES ....................................................................................................................................9

INTRODUCTION
Internet marketing is recent approach to marketing strategies that uses Internet as a key
medium. At present everybody use Internet for various purposes. This is the reason business
enterprise and most of the companies have targeted online marketing as a strong platform to reach
millions of people around the globe. On one hand where door to door marketing or marketing
through news and articles require lot of efforts, Internet marketing on the other hand allows
business enterprise to accomplish only few steps to sell their product. Therefore, Internet marketing
is a platform that helps to introduce products, services and offers of a business to large group of
people.
P 1 Describe the role internet marketing has within a modern marketing context
The function of marketing is to operate en generate profit and also attract and keep
customers. Marketing exist wherever goods and services are bought and sold. Nowadays, in the
modern world, marketing is very important Internet marketing is a continuation of the old

marketing practices (Bianchi and Mathews, 2016).
How does Internet Marketing integrate with the 4 P’s and/ or the 7 P’s?
Product:-With internet marketing you sell your product in a different way. Nowadays is
Easy Jet able to create an attractive page for each product, add information and videos/photos. Easy
jet wants to sell their products without a sales man when they offer products online. So the
information must be very clear and complete (Mathews, and et.al., 2016).
Price:-When Easy Jet offers products on their website they can use the same pricing
strategies as if they offer their flights in the shop. I think that this part of the marketing mix will not
have much influence upon internet marketing (Cadotte, 2016).
Place:-The place where the products are offered to the customer normally in shops, with
Internet Marketing you only need a webpage, all potential customers can entry this site. This means
that people have the possibility to buy a flight at their own home; they do not need a shop or
intermediair (Ismail, and et.al., 2017).
Promotion:-Promotion will differ a little through internet marketing. Because with a lot of
shops you will make promotion by means of nice flyers and offers. For people who buy their flight
online, they need to be attracted via other methods. For example, Easy jet can put a banner on a
website (Human,, Bick, and Singh, 2016).
People:-This part of the marketing mix will definitely affect the internet marketing. When a
customer is looking for a flight on the webpage of Easy jet, they only can see the information that is
available. They cannot ask questions personally. The intermediaries cannot influence the customer
with special offers and stories. The customers choose a flight or holiday on their own. That is why
the information on the website is so important (Ran, Huang, Wang, Zhang,and Song, 2016).
Physical evidence:-Physical evidence is a hard problem when businesses use internet
marketing. Because internet is digital and not physical. Lot of customers like to feel or see a product
before they decide to buy.
P 2 Describe how selected organisations use internet marketing
Search Engine Optimization:-Search Engine Optimization is a process which is very
important to make attraction of internet traffic to the website as much as possible. Mainly Search
Engine Optimization is more essential for the success of online business of any company. SEO
consist of optimizing the website of the company in such a way that the site of the respective
company would be rank on the first page of the search. In this way subscribers can visit to the web
site of the company whether they are in search (Gregory, Ngo,and Karavdic, 2017).

E-mail Marketing:-E-mail marketing strategy consists of the sending information of the
products and services to the potential customers through the e-mail. It is one of the most effective
marketing techniques to build good business relationship among potential customers and
prospective clients. Tesco realized that e-mail marketing is the key to its online business strategy.
From e-mail marketing Tesco gains nearly 60% online revenue (Valaei, and et.al., 2016).
Online Advertising:- Online advertisement is the most effective process of advertising in
which advertisements are placing into the web-site of the company. Tesco give focus on online
advertising campaign for the promotion purpose, for example promotion of flower and wine in
Christmas time, chocolates for valentine day etc (Bianchi,and Mathews, 2016).
Social Networking:-Face book and Twitter have the greater hand to make the closer
relationship with customers and for promotional campaign of Tesco. Presently there are 19 Tesco
themed Twitter feeds. According to the head of research and development at Tesco.com, Tesco
families were thinking about supporting their social media activity to promote consciousness of
target items. He added social strategy of Tesco would support to improve personal relationships
with its customers and loyalty. Recently Tesco started a Friday Frenzy promotional campaign on
face book for the clothing at Tesco and was able to made an addressees of over 40 thousand persons
per week (Human,, Bick, and Singh, 2016).
P 3 Explain the benefits to customers of a business using internet marketing
The internet has changed customer shopping habits and with rapid technological
developments accessing the internet has become easier than ever. People can access the internet
whenever and wherever they like. Why do people like using the internet? Listed below are some of
the benefits of the internet for the customer.
Customers Stay Updated:- The internet has changed customer shopping habits and with
rapid technological developments accessing the internet has become easier than ever. People can
access the internet whenever and wherever they like. Why do people like using the internet? Listed
below are some of the benefits of the internet for the customer (Ismail, and et.al., 2017).
Clear Product Information For The Customer:- Websites offer clear and consistent
product information to all internet users. There is little chance of misinterpretation or mishearing
what the sales person said as in a retail store. The internet has comprehensive product information
whereas in a shop the customer is reliant in the knowledge of their sales advisor (Gregory,Ngo,and
Karavdic, 2017).
Transparent Pricing Available 24/7:- The price of products can be easy for the consumer
to find out ; customers can access pricing information from a range of sellers with a few internet

clicks. Customers can take advantages of pricing that may change regularly or take advantages of
special offers that last for a limited period as they can access pricing information 24 hours a day/7
days a week. Whereas prices for products offered for sale in retail premises can only be accessed
whilst the store (or when store telephone lines are) open (Cadotte, 2016).
Track Purchase and Choose Delivery Dates:- Many websites allow consumers to track
their purchase from when it is ordered through to when they are dispatched and delivered to them.
This reassures the consumer and makes them feel that they are obtaining a good service online.
Some sellers also allow the consumer to choose the delivery address for each purchase and select
their own delivery date and time (Ran, Huang, Wang, Zhang,and Song, 2016).
P 4 Describe the benefits and opportunities to the business of using internet marketing within the
marketing mix of a selected business
Marketing online has many opportunities for customers and the business for example now
that Tesco operate online it has opened up new opportunities for them so, communication between
customer and Tesco now it has become much easier for customer to talk to Tesco so this could be
with help with information on a product or it could be a complaint on a with the business they want
addressed, so it means customers will be satisfied with the reply they get because it will be much
quicker than normal so instead of go to the retail store they can email or they can call them on the
phone and get very quick replies (Valaei and et.al., 2016).
Another opportunity which Tesco get from marketing online is increased sales through
promoting their products to customers online, the main way which they do this is by emailing
products on sales to customers so for example if a customers had been buying eggs frequently
online then Tesco might send the a special offer on eggs because they know that the customers is
more likely to buy it. So this is a great way for Tesco to increase sales through marketing online.
Another way which marking online gives Tesco opportunities is through making their
products more availability to more people, Tesco and Amazon do this by having the site up 24/7 so
anyone can access it and make orders of any products which they could normally find in the store,
so you can add your items to the shopping basket buy it and then you would get an email when the
products have been dispatched and when they will arrive. Tesco and Amazon want to expand this by
offering this service to more remote places increasing their safes and satisfaction of customers
(Valaei, N. and et.al., 2016).
P 5 Explain how internet marketing has made a selected business more efficient, effective and
successful
Internet marketing has helped to improve the efficiency and efficacy of Tesco major. Tesco's

has drastically changed because of internet marketing in many ways. I will be explaining the
various changes that have been made to Tesco and whether they were successful or not. When
businesses use internet marketing, they need to think about if the internet is going to add value to
their business through; acquiring materials, storing materials and working with materials to product
something.
Efficiency is the comparison of what is actually produced with what can be achieved with
the same consumption of resources such as; time, money etc. Tesco use their website to promote
their business as well as using our promotional methods like YouTube, banners, websites,
advertisements etc. This allows Tesco to reach out to a wide audience in a short amount of time.
Efficiency has increased by using internet marketing because, Tesco can email or post updates,
information, deals etc to their customers which are filtered to pick the appropriate customers ().
Using internet marketing is effective because it allows Tesco to not have to have anymore
stores which saves them a massive amount of money which can be put into the customer service,
quality of products, delivery etc. Being online reaches a wider and new audience because they will
be able to offer delivery for people who may not have been bale to access or travel to one of the
physical stores. Additionally, using internet marketing reduces the cost for staff because they do not
that many staff as the business will be half run online. This means that Tesco are saving money
because it takes a few seconds to communicate through electronic devices which saves time and
money for Tesco (Bianchi, and Mathews, 2016).
P 6 Explain the challenges of globalisation facing a selected business when using the internet as a
marketing tool.
This is the process of the world becoming interconnected as a result of massively increased
trade which the world is becoming increased the production of goods and services.
Managing overload of market feedback:- One challenge that Tesco face from being
global, is that their website can have information fatigue. It may not be 100% accurate and trustful
all the time which is misleading to the customers and Tesco can get sued for providing inaccurate
information and data. Tesco will need to decide which information is useful which is done through
data systems and market segmentation. Feedback includes things such as opinions, concerns,
praises, reviews, questions etc. Tesco can manage their feedback by having a FAQ page on their
website, which is frequently asked questions by customers to give the most asked and most popular
questions on one page to save customers from constantly asking the same questions (Human,, Bick,
and Singh, 2016).
Managing higher customer expectations:- By Tesco having a website and using internet

marketing, it has increased the customer service Tesco's offers and the expectations of the
businesses. There are various factors that Tesco have to think about though such as; secure payment,
communication, quick delivery, competitive pricing etc. Also, Tesco should make sure they have
quick delivery to entice repeat customers because customers love quick delivery service. Tesco offer
customers the chance to email them or give feedback about any problems or concerns they have
which means Tesco have the chance to reply instantly which will improve customer service.
Security and payment methods:- This is a huge problem for some customers, as they are
unaware of whether it is safe to give their bank details out online. They are concerned about
payment security due to the amount of hackers, fraud and scams that are occurring now a days.
They feel hackers can access their information through viruses which can put some customers off
from purchasing products online as they would rather go into store than give their security details
out online which can stop Tesco's from receiving online purchases. Tesco's should include clearly
on their website policies to reassure customers and to ensure that their details are safe and secure
when entered onto Tesco's website and no one else can access this information. customer accusing
the website from a hacker (Ismail, and et.al., 2017).
CONCLUSION
In this report it is concludes that, Internet marketing provides efficiency in the physical
evidence as with internet marketing of Tesco can allow customers to view the product online.
Internet marketing offers company many different opportunities including deals and promotions
through emails and the post. However, Tesco also face many challenges due to internet marketing
such as; the delivery time is too long to deliver to some countries which can make their customer
service negative.

REFERENCES
Books and Journals
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Development of Small and Medium Business in Conditions of Economic Crisis. Academy of
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Cadotte, E. R., 2016. Creating Value in Marketing and Business Simulations: An Author’s
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and efficiencies for enhanced performance in business-to-business export ventures. Industrial
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Human, G., Bick, G. and Singh, A., 2016. Strategic drivers of a network-orientated approach to the
organisation of marketing in business-to-business firm. Management Dynamics: Journal of the
Southern African Institute for Management Scientists.25(3). pp.33-45.
Ismail, S. and et.al., 2017. Internet Marketing Strategy for Furniture Industry: A Research Based
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Mathews, S. and et.al., 2016. Internet marketing capabilities and international market
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Valaei, N. and et.al., 2016. The effect of culture on attitude towards online advertising and online
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