Introduction to Marketing Assignment Sample (Doc)

INTRODUCTION TO
MARKETING
ASSESSMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK ..............................................................................................................................................3
SWOT and PESTLE of Marks and Spencer...............................................................................3
Marketing strategy .....................................................................................................................7
Market positioning .....................................................................................................................8
Market segmentation...................................................................................................................9
Understanding of buyer behaviour............................................................................................10
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
Marketing assessment refers to the detailed evaluation regarding the new product, idea
and investment also it evaluates the different environmental and identifies entry barriers, market
risks, resources as well as opportunities in the competitive market.
Marks and Spencer is the British global enterprise and retailer which was established in
the year 1884. its headquarters are situated in Westminster, London. The founder of the company
was Michael Marks and Thomas Spencer Marks and Spencer deals with the clothing, home
products and food products. This company is listed under London stock exchange and it is spread
in worldwide(Adeyinka-Ojo and Nair,2016).
The report will include marketing assessment regarding the business performance and
evaluating the company's present marketing strategy and position in the market. Further it will
also include the market segmentation and suitable marketing research as per the understanding of
the buyer's behaviour in order to meet the customer needs and requirements in the competitive
market.
TASK
Marks and Spencer is one of the leading retailers of UK which deals with the best quality
clothing and food products and provides best financial services. Marks and Spencer have the
record of its profitability and it is known for selling best and innovative kind of products at
reasonable price which fulfils the needs and expectations of the customers. With the help of
SWOT and PESTLE analysis Marks and Spencer will able to audit the factors that can impact on
the performance of the company internally as well as externally that will help company to
identify the changing environment in order to achieve the competitive advantage(Gretzel and
et.al., 2016).
SWOT and PESTLE of Marks and Spencer
Swot analysis
SWOT analysis is the strategic techniques used by the Marks and Spencer company in
order to analyse the situation of the firm. It includes the company's Strengths, Weaknesses,
Opportunities and Threats that is faced by Marks and Spencer in the current market. It is the
process where Marks ans Spencer need to coordinate among different departments within
organisation like marketing, finance, information, management.

STRENGTHS
Marks and Spencer have various strengths that enables the company not only in protecting the
market share but also to penetrate in the markets which are new. Strengths of Marks and Spencer
are:-
 It has strong cash flows that helps the company to provide the resources in order to
expand in the new projects.
 Company has successful and strong track records regarding the innovation of the
product.
 Company also have strong track records for combining the firms which are
complimentary as well as integrated technological companies and also have build strong
supply chain.
 Organisation have build strong portfolio regarding the brand in the past years and the
strong portfolio can help the company for expanding in new categories of products.
 With the emergence of new technologies Marks and Spencer has improved its quality
consistently that has enabled the company to fulfil the demand conditions as per the
market.
 Company has good returns on investment by executing in the upgrading projects as well
as it has build the revenues.
 Organization has strong and successful marketing strategies for its products (Zhechev,
2016).
 Marks and Spencer has become expertise because of the entrance in the new markets that
has not only increased the revenue but also has helped in diversifying the risk in the
markets.
WEAKNESSES
There are some weaknesses of Marks and Spencer that can be improved in order to
achieve competitive advantage. The weaknesses are such:-
 Marks and Spencer need to invest more in the new technologies that can help the
company in expanding in different geographic regions that the company has planned in
order to integrate at international level.

 Company need to be successful in integrating with the business which have different
culture regarding the work.
 Company's financial planning is not proper so the company need to manage the cash flow
efficiently.
 Products marketing need to be well positioned and Marks and Spencer have not well
defined marketing strategies that can result to attacks from the market competitors.
 Profitability of the company is below as compared to industry average(Melo, Hernández-
Maestro and Muñoz-Gallego, 2017).
OPPORTUNITIES
 Marks and Spencer have the opportunity that has been provided by the government
regarding the procurement of the products by the contractors of state as well as federal
government.
 Company has the another opportunity of new technology which can help the company to
practise to strategy regarding the price in the market and to retain the loyal customers.
 Company can decrease the transportation cost that can help the company to increase the
profitability.
 Opportunity of cash flows in order to invest in different product segments.
 Low rate of inflation can help the company to be stable in the market.
 Development of market can help Marks and Spencer to achieve the competitive
advantage
THREATS
 the liability laws can be a threat to Marks and Spencer because the policies are different
in various countries.
 In the emerging market the imitation of the product can be a threat to Marks and Spencer
.
 Rise in raw material can be a threat to Marks and Spencer.
 Currency fluctuations can be a threat because the company is operating in different
countries(Qu, Qu and Chen, 2018).(How to Conduct a Marketing Assessment, 2019)
 Increase in the prices or inflation can be a threat regarding the profitability of Marks and
Spencer.

 The threat regarding competitive firms can arise like TESCO, ALDI, CENTRA
PESTLE ANALYSIS
PESTLE analysis and audit can help Marks and Spencer in identifying the problems
which are faced in the changing environment that can have impact upon Marks and Spencer. The
factors are as follows :-
Political factors
Marks and Spencer have been affected by the agreements regarding the European
commission free trade had made the imports for the company very easy and that has resulted into
decrease in source costs. Due to the cost structure which were high because of this while entering
into new markets Marks and Spencer have faced losses regarding the market share. In the year
2015 the company has faced the stalled growth in the global business because of the
uncertainties and decrease in profitability as well as infrastructure which has resulted in the
closing of 12 stores in the year 2016(Kitheka and Sirima, 2019).
Economic factors
The competitors like Tesco, Asos have followed the discount pricing strategy at the time
of financial crisis while Marks and Spencer have emphasised on providing high quality of
products with better satisfaction of the consumers ( strategy 2010) which has resulted to increase
in sales and customer satisfaction for the long term. In the past months the various macro factors
and falling price have affected the consumer confidence. Clothing sales got low in (2016) and
fall in prices of oil have impacted the performance of Marks and Spencer.
Socio-cultural factors
Change regarding the baby boomers in generation X as well as the millennial have
affected retailer on the population and changing values. The company should produce the
products according to the generations and according to customer preferences so it is essential for
the company to build the relationship with the society , consumers at the same time with the
suppliers.
Technological factors
Marks and Spencer have the strong position so it can enjoy the advantage as according to
the new technological trends like social media marketing , mobile that has enabled the company
to answer as per the requirements and expectations of the consumers and customers are

experiencing new trends, Which has resulted in increasing in competition, transportation and
profitability of the company (Kladou and et.al., 2017).
Environmental factors
Strict rules and regulations on the geographical area is increasing the pressure of the
customers as well as on the ethical practises. Marks and Spencer is required to make strict
standards as per the regulations. The company can take the advantage through the development
as company is already exhibiting concerns regarding the environment.
Legal factors
Marks and Spencer should properly follow the laws regarding the health and safety,
environmental as well as other factors otherwise it can affect the company. Marks and Spencer
should check that the laws must not obstruct in the global market at the time of expansion and at
the same time its supply chain. As per the UK decisions for exiting the EU other retailers of UK
will be facing legal issues. Losing the access regarding the common market can affect value
chain of the organisation like global contracts, IP rights etc. there is a requirement regarding new
rules for VAT as for EU purchases for this newly forced duties and taxes will be required. For
this M&S need to plan a well strategy in order to minimise the impact of Brexit (Ahamed and
et.al., 2016).
Marketing strategy
Strategies include assessing the brand which includes 4Ps that is (product price place
promotion) that will explain the marketing strategy of Marks and Spencer.
Product
Marks and Spencer provides the premium quality clothing products and it is having
highest retail chain and brand name at the global level. The company has the marketing mix
which covers wide range of items and it provides to all groups that includes women, children's
and men. It also provides gift items.
Price
Marks and Spencer currently follows the competitive pricing strategy. It has its own
brand of clothing for all age groups. The company sets the price as per the categories likeMarket
segmentation medium and high because it is of premium quality. Marks and Spencer follows this
method in order to achieve the competitive advantage and to fulfil the changing choices of the
customers.

Place
M&S is the global brand and it is having its channels more than 1000 branches running in
higher than 50 countries and 850 stores in UK. It also provides delivery regarding the limited
products internationally(Biełuszko and Marciszewska, 2018).
Promotion
Marks and Spencer uses the promotional strategy as to deliver a common message with
the help of social media marketing , TV , print and advertisements and also uses its own website
to promote the brand internationally.
Market positioning
Positioning of the products and business framework can be done properly with the help of
marketing mix. It includes product, price, place and promotion. Effective positioning will include
the capabilities and weakness of the company, the needs and wants of the individuals and
position as per the competitors. Marks and Spencer is a leading retailer company of UK
regarding the clothes, food as well as home products and it has a strong customer base that is 10
million in around 300 stores of UK. Marks and Spencer need to concentrate on these marketing
mix in order to improve more. The administration should plan according to the preferences and
expectations of the customers.
The institution need to focus on the customer choice and as per the choice enterprise
should set the price. Recently M&S was going with the difficult period and sales were decreased.
The industry experts declared the clothing unit as outdated. As the company was providing the
high quality products at high price. As per the new CEO it is said that the company need to
revitalise the strategy at the same time to redefine the position of the brand for Marks and
Spencer(Adeyinka-Ojo and Nair,2016).
So, the company should make the unique brand strategy for their products as compared to
its competitors and should provide high quality products at low price instead of charging high
price in order to attract the customers more and more and satisfy their needs to enjoy the fullest.
The organisation should also use the very attractive promotional strategies to capture the market
share in an effective manner this will result to achieve competitive advantage and to increase
sales for the long term. The new approach of Marks and Spencer is to give people the new
experience and to reassure that all the customers deserve best quality products to use.

Market segmentation
Market segmentation
Market segmentation refers to the process in which brands use to divide the target market
into different segments of people which share the characteristics which are common to optimize
their advertising, sales and marketing efforts. Marks and Spencer can practice segmentation by
relying on the research which leads the (How to Conduct a Marketing Assessment,
2019)direction of dividing its target market into smaller. Company can put customers of each
market segment having similar characteristics which a business can leverage to modify their
advertising, sales and marketing efforts. There are majorly four types of market segmentation
which includes psycho-graphic, demographic, geographic and behavioural segmentations. The
segmentation which can be used by Marks and Spencer are demographic segmentation and
geographic segmentation(Gretzel and et.al., 2016).
Geographic segmentation targets customer that are based on a predetermined geographic
boarder. Market can be segmented geographically in several ways such as dividing the market in
geographical areas that can includes city, state, country, religion or an international region. A
company can also divides its markets into urban. Sub urban and rural market segments, and it
can be segmented by climate or total population of the area. Marks and Spencer can divides its
market on the basis of geography by dividing in several city, country or state and religions as it is
an effective approach for the companies having large national and international markets which
Marks and Spencer is already in so that different consumers from different religions have several
needs and wants with cultural characteristics which can be specifically targetted. It is an effective
approach as it focuses on their defined area and prevents spending of needless marketing
expenses on those approaches which are ill-suited for the targeted geographic segment. Another
reason for which Marks and Spencer should undertake geographic segmentation is because it
works good in different areas of population density. Consumers living in an urban area have
different needs of products than the products which are consumed by people of rural area and
there are cultural differences in these different areas, so geographic segmentation will allow the
company to provide the products in such a manner that it fulfil all the requirements of the
justified areas and offering of products which are not being consumed much in those areas must
Understanding of buyer behaviournot be offered in excess. Hence, its easy to break down the
market into geographic segments (Zhechev, 2016).

Demographic segmentation is a market segmentation in which market is being segmented
according to religion, gender, race, family size, age, education, ethnicity and income.
Demographics are being segmented into different markets by a business in order to help an
organisation to target its customers more accurately. Dividing the market into several segments
each with a common variable allows an organisation to use their time and resources more
efficiently and effectively. Marks and Spencer can use this segmentation for categorising the
needs of the consumers in the target market. They can better understand the prospective with this
segmentation and use advertising personalization for ensuring the needs of the targeted groups
are been fulfilled(Melo, Hernández-Maestro and Muñoz-Gallego, 2017). The company should
undertake this segmentation because the information which is required to undertake this
approach is easily available as a company can pull census data for determining whom, where and
how to market the company's products, like Marks and Spencer can market their clothing
products to different income levels, age group and genders. Company can reduce the risk of
conducting campaigns to uninterested customers that can result in quick increase in return of
investment. It helps in building long lasting customer relationships by reaching the customers on
a more human level with the help of demographic based personalised marketing which creates
deeper customer loyalty. It improves products and services of the company by having a loyal
customer relationship encourages them to look at the company's products and services in a new
way. It also optimises company's marketing strategies as it allows to get more specific with
marketing strategies by clarifying the vision and having more directions with the future plans for
advertising and optimizing the companies resources, budget and time(Qu, Qu and Chen, 2018).
Understanding of buyer behaviour
Marks and Spencer can create different segments to offers its products in justified manner
and with the help of geographic and demographic segmentation. According to geographic
segmentation, company can offer its products in different segments by categorising and
justifying appropriate products as per the area and region which can be classified into several
categories which includes city, country, state and these can be classified into rural and urban
areas. Company can offer its high quality clothing products in urban area by targeting the
customers who are much interested in this category of products which can help the company to
prevent its unnecessary promotion expenses in rural areas where consumers are not too much
interested in buying high quality clothings. So, company can target consumers of these products

in rural market rather than offering in urban areas. For promoting a particular product in rural
area, company can offer its products in a sale which is likely the most effective method of
attracting the people of rural areas towards company's products. Accessories, beddings,
decorative appliances and technological appliances are to be offered in urban market as most of
the share is being taken by urban population as use of these products in more in this area as
compare to rural regions(Kitheka and Sirima, 2019).
Demographic segmentation includes segmentation according to income, race, family size,
gender, age, education, ethnicity and race. Marks and Spencer can offers its products according
to demographic segments in order to reduce the cost in marketing and offering the right products
to the right persons. Like it can offer its clothing products which includes jackets, jumpers and
casual clothings to the age group of 14 to 22 which includes maximum number of youngsters and
they are interested in these kind of products. Marketing of these products must be done in such a
manner that it targets mostly the targeted age group, social media can be used by the company
for the marketing of these products as this age group is involved in usage of social media
applications. Likewise, women clothing and home appliances are to be offered to a targeted
group which includes women as they are involved in purchasing of these goods, so advertising of
such products must be done in such a manner that company can reach maximum number of
women and men group must not be targeted much by the company
CONCLUSION
From the above report it is concluded that by assessing the market of Marks and Spencer
with the help of SWOT and PESTLE analysis in order to find the company's performance. It
also determined the current strategy of the company and identified the current marketing
position of Marks and Spencer. Further it also included the two sets of market segmentation
which have been successfully targeted by the business and have also conducted the market
research in order to explain the chosen customer groups that has helped the business of Marks
and Spencer to grow within the retail marketplace at international level and also demonstrated
the buying behaviour of the consumers and justified the marketing strategy to meet the
requirements of the consumer(How to Conduct a Marketing Assessment, 2019).

REFERENCES
Books and Journals
Adeyinka-Ojo, S. and Nair, V., 2016. Destination Branding Framework in Tourism Research: A
State-of-the-Art Gap Analysis.
Ahamed, I. and et.al., 2016. Prospects of E-Tourism Ecosystem in Bangladesh: Services and
Infrastructure.
Biełuszko, K. and Marciszewska, B., 2018. Room Rate Parity vs. Rate Fences in the Context of
Price Discrimination Theory: the Case of the Polish Hospitality Market. Argumenta
Oeconomica.(2 (41). pp.113-133.
Gretzel, U.and et.al., 2016. Tourism disaster resilience scorecard for destinations (TDRSD): the
case of Manta, Ecuador. International Journal of Tourism Cities.
Kitheka, B. and Sirima, A., 2019. 15 Tourism governance and organisational infrastructure in the
East African Community. Positive Tourism in Africa.
Kladou, S.and et.al., 2017. The role of brand elements in destination branding. Journal of
Destination Marketing & Management.6(4). pp.426-435.
Melo, A.J., Hernández-Maestro, R.M. and Muñoz-Gallego, P.A., 2017. Service quality
perceptions, online visibility, and business performance in rural lodging
establishments. Journal of Travel Research. 56(2). pp.250-262.
Qu, Y., Qu, H. and Chen, G., 2018. Market segmentation for a leverage revitalization of China’s
inbound tourism: the case of US leisure tourists. Current Issues in Tourism.21(6). pp.646-
662.
Zhechev, V., 2016. Integrated marketing communications of hotel chains. The Routledge
Handbook of Hotel Chain Management, p.274.
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