Marketing Essentials Assignment

This assignment explores the fundamentals of marketing, examining its role, responsibilities, and interrelation with other departments within a company. It analyzes the marketing mix of IKEA and Tesco, highlighting their strategies for product, price, place, promotion, process, people, and physical evidence. The assignment also includes a comprehensive marketing plan for IKEA, outlining its target customers, pricing strategy, distribution channels, promotional activities, and financial projections.

MARKETING ESSENTIALS

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P.1 Role and responsibilities of marketing.............................................................................1
P.2 Interrelation of marketing with other departments...........................................................3
TASK 2 ...........................................................................................................................................4
P.3 Application of marketing mix by two organizations .......................................................4
TASK 3 ...........................................................................................................................................6
P.4 Monitoring of marketing plan..........................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Marketing is the method in which seller sells the goods and services to another person. It
includes different activities such as sales and promotion etc. It delivers product according to
preferences of al people (Baker and Magnini, 2016). Thus as a result they can easily satisfy the
customers. Thus they can easily attract many users. Hence firm can earn more profits. Thus
seller can easily maintain good position in the market as well as in front of users. Report
describes about the IKEA which distributes furnitures to all customers. It was found in U.K.
Assignment describes about the functions of marketing and its relation with other departments in
the firm. Through this all sectors can function in an efficient manner. Thus company can easily
accomplish their objectives. It further explains about the comparison of marketing mix of two
companies. It also explains about the developing and evaluating a basic marketing plan.
TASK 1
P.1 Role and responsibilities of marketing
Marketing is selling of different items to various users in countries. Marketing includes
different activities such as selling of goods and setting prorate prices for products and promotion
etc. Thus it can increase the satisfaction level of all people. Thus as a result they can easily
increase their profits. Role of marketing in IKEA are:
Product: Manager of the company monitors the preferences of all people so that they can
create according to their choices. Thus as a result they add some unique and distinct features in
their products. Through this attributes they can easily capture many customers in minimum time
period. Hence IKEA can earn more profits and can increase the satisfaction level of all people.
Through this they can easily expand their activities in many countries. Hence they can maintain
good position in market.
Selling and distribution: In this function market selects a channel of distribution to sell
various products to all customers. Thus they can easily distribute various goods. It can select
direct in which there is no intermediary and manufacturer can sell products to users. They can
also choose industry in which lot of people are involved such as whole sellers, retailers and
agents etc. They can select channel according to their financial capacity. Through this products
can be delivered in tome to all users (Baker and Saren, 2016).
Pricing: Company set prices according to needs of all consumers. Through this they can
easily select a pricing strategy so that they can capture many customers in less time. They can
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choose price skimming in which they an set higher prices for goods (Baker, 2014). Manager
can also set price penetration in which they can set lower prices for all their product. They an
also select another pricing strategy which suits to all users. They select a strategy according to
requirements of all people. Thus they can easily increase the satisfaction of all people.
Promotion: It is a strategy in which company can sell more products to all users. Thus
they can sell many products. Manager can use different methods such as direct marketing,
advertisement and online tools. Most popular is the online tool so that they can easily sell and
promote the products. Thus customers can easily purchase the product. Through these techniques
many consumers can attracted and thus IKEA can generate more revenues. They can easily
widens their business in less time.
Financing: It is a technique in which manager finds out various ways through which
it can arrange finance for all activities one in the company. Thus they can easily arrange the
finance for its requirements. They can collect finance from different financial institutions and
banks. They can also arrange finance from their friends and relatives. By arranging necessary
money they can easily perform all activities in an efficient and effective manner. Thus they can
easily accomplish their objectives in less time. IKEA can receive various funds from many
sources. It can be internal as well as external. It can take funds from banks and finance
companies. At same time it can take finance from angel investors also. Thus marketing helps in
finance the data regarding various sources.
Evaluating the target market: In this process manager can monitor the target
customers. They can segment population on different criteria. After this only they can evaluate
the needs and wants of all customers. They can create targetting strategies only after monitoring
the needs of all target users. Then only they can easily provide products and can increase the
satisfaction level of all people. Thus they can attract many users in less time. Hence as a result
they can easily maintain good position in the market. Thus marketing helps in giving the data
regarding the target customer and thus they can easily create target strategies. Hence it can reach
to many people.
MIS(Marketing information System): This is a technique in which company can keep
records of all customers. Marketing manager monitors the needs and wants of all consumers and
then creates product. They can keep the information and data regarding the customers in a secret
database so that other firms cannot check the data (Brady, 2014). Thus data is very helpful and
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thus they can creates the plans and policies so that they can easily create product. Hence they can
easily deliver the products to uses in time. Marketing helps in strong data into a single database
and thus they can easily gives this data to marketing information system. Hence as a result they
can easily enhance their profits and market share.
Selling and distribution: Marketing helps in selling and distribution function. Marketing
helps in giving various details regarding the needs and choice of all users. Through this they can
easily distribute all products to all users using various sources. It can be internal as well as
external source. Thus they can easily deliver furniture to all users.
P.2 Interrelation of marketing with other departments
Marketing plays a different role in capturing attention of all users. Thus it helps other
departments so that they can function well (Cavusgil, and et. al., 2014). The role of marketing
with other departments in IKEA are:
Marketing and finance: Finance department ha to create plans so that they can reduce
costs and increase their revenues. Thus marketing manager monitor the sources of finance and
they can also evaluate the capital requirements of firm. They select that source which is less
costly as compared to other sources. Hence as a result marketing manager can give advices to
finance manager regarding the money which is to be invested in printable activities so that they
can generate more revenues. Thus as a result finance manager invests in profitable activities and
do not invest cash in irrelevant activities. This leads to reduction in expenses and increasing of
more profits. Thus as a result they can generate more revenues and hence they can easily
maintain positive image in user's minds and in market. As a result they can easily expand their
activities.
Marketing and production: In this marketing manager evaluates the demand and
requirements of all people. Thus as a result they can give suggestions to production department
regarding the plans to create products. Hence production manager create various policies so that
they can create items according to different needs of all people. Thus product manager can create
various plans and polices so that they can create products according to choice of all people. Thus
as a result they can easily capture many customers. Thus they can also delivers the products in
time to all users. Hence as a result all users are satisfied with product and furniture of IKEA .
Thus gradually it becomes a popular brand . Hence it can maintain good position in the market as
well in minds of all users. Hence it can earn more profits (Wilson, 2014).
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Marketing and procurement: In this process marketing helps the procurement
department through different methods and techniques. Marketing manager can easily monitor the
quality of raw material and also monitor the prices. Thus it selects that materiel which is of less
price and is superior quality. Thus procurement department can easily procure all resources at
cheaper costs. Thus they can generate more revenues and hence can maintain good position in
market (Eslinger, 2014).
Marketing with research and development: Marketing manager monitor the products
which are required by all users. They also give the information regarding the use of latest tools
and techniques so that they can easily use recent technology. Thus research and development
department can apply modern tools and methods to develop product and hence it can give strong
competition to other firms. Thus form can earn more profits (Griffitts, 2016).
Marketing and personnel: In this function marketing helps HR department by
determining the needs of all employees. Marketing manager can give data such as training needs
of staff members and thus they can easily recruit and select qualified employees. Personal
department can give suitable training to all staff members which helps them in creating good
products. Hence they can capture many users in less time.
TASK 2
P.3 Application of marketing mix by two organizations
Marketing mix consists different elements which are people and physical evidence place,
product, price, promotion, process through which a company can easily promote different
products. Hence they can easily market their products and thus can maintain good position in
industry as well as in the mind of all prospect customers (Hanlon, 2014). It consists of 7 P' s
through which product can be easily promoted. Marketing mix of IKEA and Tesco is described
below:
Basis IKEA Tesco
Product IKEA is a furniture retail
company which delivers
different ready to assemble
furnitures for multiple purposes
and also engage in producing
Tesco is a retail company
which delivers general utility
products like clothes, home
utility appliances, electronic
equipments etc. Tesco is
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home appliances and kitchen
utility equipments which fulfils
requirements of wide number
of consumers and company
generates high revenues and
profits. For example ready
made and custom made
furnitures etc. IKEA deals with
wide range of products which
makes it an expandable
business. From which it can
easily enhance satisfaction
level of all users. Due to
diversity in products it results
in customer satisfaction with
delivering quality products and
ultimately benefit the company
with high revenues.
offering a wide range of
products through which it can
attract many customers in no
time which helps it to generate
high revenue and earn more
profit. General utility goods
are used by the world, which
gives an opportunity to diverse
their business in different
countries. Due to effective
business activities and efficient
management Tesco can create
its own brand image.
Price IKEA charges different amount
for their various products
which are comparatively low
than their competitors which
attracts customers of all status,
IKEA can offer different
discount schemes and gift
coupons to capture more
buyers through which they can
fulfil their primary goals of
customer satisfaction and
profit maximisation.
Tesco follows pricing strategy
of economies of scale which
enables the company to charge
less for its products but
produce and sell large number
of units of their products and it
also offers schemes of discount
coupons and gift vouchers
through which it attracts many
customers and hence results in
achieving high revenue targets.
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Place IKEA has 25 distribution
outlets and deals in over 50
countries and its produced
goods are directly transferred
to outlets or stores which
reduces warehousing and
product handling costs. Due its
wide number of distributional
outlets it can reach rural as
well as at urban areas. And
finally it can gain attention of
all users and can generate more
earnings.
Tesco distributes its products
not only by manual tools but
also with the help of online
tools. Tesco has created
webpages where customers
can order their products with a
click which is beneficial for
company and convenient for
customers too. Tesco
maintains an unique position in
customer's mind and in
industry. Thus it can generate
more profits.
Promotion IKEA advertises and promotes
its products from various
digital and manual sources like
television, social media and
billboards. IKEA spreads a
message where it shows
conflicts between individuals
and then the solution of those
conflicts from all its
advertisement campaigns.
They also offer various gifts to
all users with the products.
These promotional strategies
can gain focus of many
prospect customers and thus
can generate more revenues.
Apart from manual and digital
promotion, Tesco also offers
their club cards which provides
services of discount if goods
are purchased of high value.
They uses attractive and
innovative promotional;
strategies to attract more
customers so that they can earn
trust and interest of buyers to
ultimately earn high revenues
and more profit..
Process IKEA use advanced tools and Tesco deals in delivering
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techniques which creates high
quality furniture and
appliances. Being a furniture
distributor, they also use
processes which are
environment friendly so that
they can occupy a positive
image in the market. They use
slogans which emphasize green
environment and pollution free
goods which helps them in
building up a brand image in
the minds of the customers.
Hence with these strategic
processes they easily promote
various products which help
them in generating more
profits. Environment friendly
tools and techniques helps the
manufacturing unit in reducing
costs.
various products, Due to
diversity in variety of their
products, company has
appointed staff which can
guide the customers on which
product is appropriate for them
and can aware them about
benefits of those goods. Tesco
uses a customer friendly
process to achieve their goal of
customer satisfaction which
lead them towards profit
earning.
People IKEA is a furniture
manufacturing company which
requires a lot of labour, and
IKEA follows the strategy of
appointing efficient managers
so that they can motivate
workers to do better and can
also manage the workers by
solving their conflicts. IKEA
adapts mutual policy where
Tesco appoints highly skilled
staff which can convince
prospect customers to buy the
products as Tesco is not a
labour intensive company but
they also need managers who
can manage and motive their
employees to work more
efficiently.
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personnel of lower level has
right to communicate new
ideas which can be beneficial
for the company which helps
employee satisfaction and
better organisational image.
Physical evidence IKEA has direction signs
which helps people to move in
right direction and they has
different areas for all kinds of
their products like they have a
certain place where all used
items are sold, along with that
they has services like parking
facility and restaurant.
Tesco maintains different shelf
for various products in order to
help customers in finding what
they want, in minutes.
TASK 3
P.4 Monitoring of marketing plan
Marketing plan: It is the plan in which firm creates various strategies and policies so that
they can promote various items. (How to Create a Marketing Plan, 2013). It can also earn more
revenues Thus it can give strong competition to other companies (Lane, 2016).
Executive summary: Ikea is a group that design and sells kitchen appliances, furniture
and various home accessories. Company is very popular for its modern designs of furniture and
interior design.
Company profile: Ikea is a multinational furniture company which has more than 4000
stores in approx. 50 countries. Ikea is going to launch new type of furniture in their stores to
increase the number of its customers and its profitability.
Target customers: Main target of Ikea is working and middle class people who are more
price conscious or the who one want quality and featured products at affordable prices.
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Unique selling Proposition: Main USP of IKEA is its ready to assemble furniture and
home items which are available at affordable prices.
Pricing strategy: Company use cost leadership pricing strategy. Company offer its
products at lower prices so large number of individuals can afford them.
Distribution plan: IKEA has its own wooden components and woo based furniture
stores. Customers come in the store, select the product and purchase it.
Promotion strategy: Company do promotion of its products with TV advertising,
newspaper, sponsorship and magazine advertising.
Online marketing strategy: Ikea use strategy of online marketing in order to provide a
experience, not just a product to its customers. Company has a strong brand identify online.
Joint ventures and partnership: Ikea is world’s largest retailer of furniture. IKEA has
more than 300 stores in more than 30 countries.
Referral strategy: Ikea require research more about the requirement of its customers in
order to retain them for long time period.
Strategy for increasing transaction prices: This can be done by Ikea by apply bundle
pricing to its customers.
Retention strategy: In order to retain its customers for long time period company require
to offer them facilities such as membership cards or special discounts.
Financial projections:
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year 5th year
Initial money 5000 10600 6400 12400 8600
Investment 8000 25000 28000 8500
Total 5000 18600 31400 40400 17100
Marketing outlay
Promotion 3600 3300 5400 3200 4000
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Sales publicity 2700 1600 2400 3000 1100
Direct selling 4300 2500 4600 2400 3850
Total 10600 6400 12400 8600 8950
Customer demographics: Main target of company are the individuals who are older than
22 years which middle income.
Competitors details: Walmart, TESCO, LIDL and Woolworths are the major competitor
of Ikea.
Market research: Ikea require to carry out market research on continuous basis so it can
better satisfy the needs of its customers by offer them products as per their requirements,
Industry analysis: Ikea operate in a big industry and face competition from various
suppliers.
From above assignment is has been concluded that marketing is important to every firm.
Different functions and its relation with different departments so that all departments can
function well. Marketing mix of two organizations so that they can function well in the firm.
Marketing plan consists of objectives, SWOT analysis and PESTEL analysis.
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REFERENCES
Books and Journals
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