Marketing Essentials

This report discusses the essential roles and responsibilities of the marketing function in an organization, with a focus on TESCO. It explores the marketing mix of 7P's and compares the strategies of TESCO and ALDI. The report also highlights the interrelationships between marketing and other functional units such as research, finance, production, and human resources.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1Essential roles and responsibilities of marketing function.....................................................1
P2 Roles and responsibilities of marketing that relate to wider context of organisation............4
TASK 2............................................................................................................................................5
P3 Marketing mix of 7P'S...........................................................................................................5
TASK 3............................................................................................................................................8
P4 Marketing plan for an organisation........................................................................................8
CONCLUSION..............................................................................................................................13
REFERENCES .............................................................................................................................14

INTRODUCTION
Marketing refers to the different types of activities all that underpinning by a firm in
order to promote their goods and services as well as buying or selling goods. Another side,
marketing includes delivering, selling and advertising goods to end consumers as well as other
businesses. On the other side, marketing involves different types of actions that undertakes by an
organisation in order to maintain good relationship with consumers . This type of relationship
with consumers always fruitful for firm to achieve high level within competitive scenario. This
present report is based on TESCO which is known as groceries and merchandising retailer and
headquartered in Welwyn Garden City, England, United Kingdom. It was founded in 1919 by
Jack Cohen as a market stalls group (Okumus and Cetin, 2018). Moreover, discussion will be
based on marketing role and their interrelations with functional units of an organisation. There
are so many ways in which firm use marketing mix of 7P'S. At last, basic marketing plan will get
covered.
TASK 1
P1Essential roles and responsibilities of marketing function
Marketing is a process in which an organisation exchanges its ideas, views and thoughts
about a product or service offered by them.
Marketing Concept: Marketing concept states that it is required by a company to
analyse demands, needs and requirements of its customer and only then take decisions to fulfil
their requirements and satisfy them.
Current and Future Trends in Marketing: Current marketing trend is continuously
evolving due to change and development in industry. In this report it is analysed that Tesco uses
newspapers, television, and a number of other media outlets to deliver its message to its
customers. Other than advertising Tesco also uses a number of tools for sales promotion. Tesco
provides many offers like buy one get one free (Fırat, 2013). Tesco also issues its own loyalty
card to regular customers. Customers owning Tesco club card get some points whenever they
buy something from its stores. These points can be redeemed later on to receive some discounts.
A number of personalised discounts and offers are also provided to Tesco's customers. In this
way Tesco retain its customers and face its competitors in marketplace.
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Process of Marketing: Process of marketing followed by Tesco includes four major steps.
These four steps followed by Tesco are mentioned below:
 Step 1- In this step marketing team of Tesco does market surveys. Through this they
come to know about all the external opportunities which can be availed from market. It
generally includes demand, needs or requirements of customers.
 Step 2- Once survey is done Tesco have a clear vision about its customer, its emand in
market and geographical areas where it is needed. Tesco categorises its customers on the
basis of their needs and companies offerings.
 Step 3- After categorising customer and identifying its marketplace, marketing team of
Tesco develops a marketing plan which helps them in promoting their products and
services and increasing its revenues.
 Step 4- In step four employees of Tesco work towards execution of plan. The marketing
plan which has been developed is brought in to use in order to promote products and
services in Tesco.
Tesco is one of the leading retailer on globe. It has a staff of around 460000 and a total of 6809
stores around world (Desai, 2013). Tesco serves millions of customers in a week including its
stores as well as online. Major countries it operates in are UK, China, India, Ireland and a
number of others. Maximum number of stores are owned by it in UK. Tesco's marketing
department have an important role to play in survival as well as growth of company. Effective
marketing practices helps attract a number of customers towards them. The key roles and
functions of marketing department are as followed:
1. Market information- This is first job to be performed by marketing team of Tesco. In
this team examines market conditions and conclude about requirement of its customers. It
analyses both internal as well as external factors that are affecting growth of Tesco. This
also helps them to know weather there is a need to alter services they are providing. Once
information is collected by company then decisions are taken considering these
inforation.
2. Finance- There are a number of functions performed in marketing which are related to
finance. Tesco's marketing team needs to make a budget for its promotional activities. In
it they need to make an estimate which is to be spent in these activities. They need to
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allot some amount to each promotional tool based on the benefits they will provide to
firm. Major budget of Tesco is used in bill boards and hoardings.
3. Market Planning- The marketing function also include market planning. Market
planning is necessary for a firm in order to know cause effect relationship between the
tasks it is performing. Plan is prepared in so that any effort of team is not wasted. In
Tesco marketing team makes a plan which include bringing in inventory, arrangements of
products in store, promotional tools used and advertising done for brand (Ionita, 2012).
Major focus of planning is on enhancing Brand Image of Tesco.
4. Product development and designing- It id job or marketing team to understand needs of
customer and then offer them products which fulfil their needs. Tesco do not produce any
such product. But tesco have a number of suppliers from whom it takes products and sell
it in its supermarkets. Marketing team of Tesco decides how to arrange products in stores,
what benefits to be given to customers and what all to order from suppliers. They develop
and design their stores so that it is convenient for customers to shop there.
5. Exchange Functions- In today's context Tesco is required to know about requirement of
its customers. These requirements help to generate a plan. The execution of plan is done
then which includes exchange of products and services. Exchange function is planned by
marketing team. They have generated two ways of exchanging goods. One online
platform in which it distributes through its websites. Another is through offline platform
which is its stores which are present all over world. It is duty of marketing team to make
distribution easy for both company as well as customers.
6. Distribution Channel- In this marketing function logistics related decisions are taken. It
is role of marketing team to find out best methods in make their products available for its
consumers. In Tesco both online as well offline platforms are used for distribution. It has
physical stores which have a good response from consumers. In online platform it has its
own site from where customers can order and then products are delivered to them
(Hashim and Hamzah, 2014).
Through above discussion it is clear that all roles and responsibilities of marketing
function are essential to a company. Marketing team have functions which are interrelated to
every other function in organisation as well. It helps gaining market share, increases revenue and
it also creates a good image of company in mind of consumers.
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P2 Roles and responsibilities of marketing that relate to wider context of organisation
In so many organisations, functional unit of marketing plays crucial role in order to fulfil
entire objectives and goals of business for better growth in future. Without having marketing
department firm is not able to accomplish their target. Therefore, all of firms are required to have
effective and different types of functional units so that they can run business successfully. In
regards with TESCO, as it is one of British largest retail grocery within the U.K. Thus, they are
having different types of marketing department by which they can make their presence great in
front of their competitors. Along with it is considered as third largest retailer which is based on
huge sales and revenue. There are so many marketing departments of this organisation, those are
going to be discussed below:
Marketing and Research:
Research department refers to the group of people within the firm as well as institutional
investment which identifies economic matters, firms and securities (Clow and James, 2014).
Thus, it is necessary for firms to bring few suggestions from research department for future
benefits. In context of TESCO, research division help this firm to gathered or collect appropriate
information which further helps them to promote goods and services at marketplace. By having
accurate information respective firm is able to know accurate needs and wants of people so
accordingly they can execute on those strategical tool that gives them huge benefits and increase
firm's productivity. On the other side, marketing department of every firms needs to talk with
research department before implementation of any new strategical ideas. It shows the proper
interrelationship of both research and marketing report in a successful manner.
Marketing and Finance:
Department of finance refers to the broader team that identifies several activities
associated with leverage or debt, banking, credit, capital market, investment and money as well.
Along with it encompasses study of money, assets, liabilities and many more financial systems.
In regards with TESCO, financial department always develop best strategical ideas for marketing
department in order to produce effective quality of product and services with low cost price
strategy. On the other side, they generally makes proper budget statement for firm by which they
can execute on new costing and pricing tools. Thus, marketing department is able to direct
interlinked with finance department and than both work together to achieve future goals and
objectives towards firm.
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Marketing and Production:
Production department always involves manufacturing appropriate goods and services in
an effective manner. Finishing, assembling and machining are the best example of this functional
unit. In regards with TESCO, it is most considerable important part of them by which they can
make different types of goods and services for their customers and satisfy them always. On the
other side, production team of this firm always related and interlinked with marketing
department in order to accomplish their demand at marketplace. By doing work together they are
able to achieve particular goals. With the help of having such kind of interrelationship with both
functional units commonly have direct impact on desires of people positively and firm can
achieve their desired goals within short period of time.
Marketing and Human resource:
Human resource department plays important role within the firm. This department has
responsibility to recruit, hire and select highly skilled employees in order to increase firm's
growth and probability at marketplace. In regards with TESCO, there are different types of
employees as workers who are working together to achieve same goals in an organisation. On the
other side, it can be said that if firm is regularly focusing on their working performance of
employees, so that they can directly achieve its targeted goals. Therefore, HRM department of
respective organisation always share their views with marketing functional unit in order to
promote their goods along with by having such kind of interconnection respective firm is able to
sustain at marketplace for long period of time (Gamble and et. al., 2011).
From the above interrelation of different department within the TESCO, it has been
evaluated that, if respective organisation will have these assorted functional units than they can
grab large number of opportunities at workplace along with able to gain competitive advantages
in an appropriate way. Therefore, it is necessary for each and every firm to have such kind of
functional units by which they can communicate with people and able to understand employee's
needs and wants at same time. It also beneficial for giving huge benefits to consumers by giving
them qualitative goods and services in a perfect way.
TASK 2
P3 Marketing mix of 7P'S
Marketing Mix (7 P's)
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7P'S TESCO ALDI
Product It provides large number of
products which includes
clothing, food, electronics and
financial services. Thus,
having different varieties of
goods always makes TESCO
great. Thus, they are able to
fulfil needs and wants of their
customers and increase its
productivity in U.K (Khan and
Adil, 2013).
It is a private organisation
which associated with retail
industry. It is famous brand
that mainly focuses on
providing qualitative goods to
its customers. It provides
ample number of food items
such as rich tea biscuits, little
journey and many more. On
the other side it also deals with
different types of non-veg
food, beer, wines to satisfy
entire needs and wants of
consumers.
Price In order to maintain low price
as without overcoming quality
of goods and running itself in
loss. Therefore, to pass
different types of cost
advantages to its consumers
they always keep low pricing
strategies to achieve
organisational goals and
objectives.
Consumer market is very
competitive as they have large
number of choice. Aldi mainly
identifies consumer's needs
and wants in order to meet
demand via suitable pricing
strategies. Therefore, they
target customers at middle
class and lower middle class in
order to fix their pricing goals.
Thus, prices of this
organisation are low as its rival
firm.
Place It is headquartered in England.
Therefore, stores of this
It is chain of supermarket that
provide its services globally. It
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organisation are very wide
across the globe. They also
deals with online and offline
goods and services in which
offline includes Tesco Metro,
Tesco Extra and many more.
Thus, main motive of this firm
is to reach every customer's
needs and make them happy
(Mihart, 2012).
has nearly 10,000 as well as 66
outlets in twenty countries
such as UK, US, Spain, Poland
and so on. Products of this
firm based on discounted price
so that easily people can buy
their goods and able to buy
their products from anywhere.
Promotion As they have price strategies
so it is biggest advantage for
them. In order to promote
different types of goods and
services firm advertise their
goods by online and offline in
order to target potential
customers.
It is an international brand to
maintain its impact on global
arena, in order to promote their
goods and services they
generally use better
communication method within
its outlets. According to this,
they are to focus on campaigns
such as Swap and like or save
brands.
People This organisation having
excellent sales assistants thus,
they all have responsibility to
achieve successful growth of
business. Along with this
company use several
programmes like colleague
privilege card, save as you
earn and many more to achieve
worker's loyalty. Thus, they
As this brand follows lower
customer services rather than
its competitors as workers that
do not assist consumers in
goods selection due to has very
effective stores layout at each
floor. Thus, this firm pays its
employees high than the
competitors.
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make great success of TESCO.
Process It refers to process of keeping
its consumers happy through
effectively developing services
of products in its stores online
as well as offline. By which
respective firm is able to
achieve desired goals.
This brand has its sheer layout
by which people can find their
product very easily. Along
with they keeps limited
number of high qualitative
priced brands in order to grab
huge attention of customers
and have larger barcodes for
quick identification for fast
billing.
Physical evidence All stores of TESCO are very
clean and attractive. It is easy
for firm to satisfy consumers
through focusing on their
needs and wants (Lipsman and
et.al., 2012). Along with
websites of TESCO are also
simple as well as easy to
operate.
It is globally renowned for
simple process of business
with effective prices. On the
other side, it offers 30%
cheaper goods and keeps day
to day low prices
internationally. Thus, it covers
marketing mix of Aldi.
TASK 3
P4 Marketing plan for an organisation
Marketing plan refers to the particular business plan in order to develop different types of
marketing strategies for fulfilling entire requirement of business within short period of time. On
the other side, it is also called blueprint document which is very helpful for marketing team
towards firm that always play different types of marketing activities in order to implements on
new ideas or views for the betterment of future (Jones and Rowley, 2011). Along with this, firms
can easily examine entire value of their products as well as able to produce such kind of goods
which is desired by customers at competitive market. It increase the business growth by
reviewing negative and positive factors of environment. In relation with Tesco, marketing
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manager always able to formulates proper plan of marketing in order to sustain at marketplace
for long period of time so that they can directly achieve their targeted goals without facing any
issue. Marketing plan followed by Tesco, mentioned in beneath:
Overview of Firm
Tesco was the first business in UK that make huge profit when it announced as a largest
global retailer depends upon high sales and revenue. This industry represents their different types
of grocery products within retail sector as it is known as largest industry within UL that
providing large number of employment for millions of people in UK. Therefore, it is famous
firm was established by Jack Cohen in the year of 1919 that sells surplus groceries from a stall in
the east of London. On the other side, it is known as largest food retailer across the globe that
operates around 2,318 stores and having 326,000 people as an employees. This organisation was
floated on London Stock Exchange as Tesco stores limited. Whereas, 50% of sales in Tesco are
gotten from own-label goods which are in 3 levels, normal and finest and values. It is also
becoming one of the best Britain's largest independent petrol retailer due to convenient produce,
along with many stores have gas stations and other retailing services rendered by Tesco that
includes personal finance of Tesco. Therefore, this organisation is known as one of the better
supermarket chain of UK that has motive to provide large number of goods and services to
customers at marketplace. It increases their entire values in front of their competitors also
enhance probability of their business (Papasolomou and Melanthiou, 2012).
Mission
The main mission of Tesco is to make better and proper qualitative goods and services in
order to achieve targeted business goals in a successful manner.
Vision
Main vision of firm is to growing business with full of opportunities by accomplishing
entire needs and wants of consumers across the globe.
Marketing Objectives
 One of the best of objective of Tesco is to regain the trust of stakeholders towards this
particular brand.
 Along with respective firm is refocusing on strap line in order to make better products
with huge strengths to achieve competitive advantages in an appropriate manner.
 On the other side, this firm wants to increase their sales by 30% in next 7 months.
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STP Approach:
This model stands for Segmenting, Targeting and positioning which is used by lots of
business organisations in order to develop best plan of marketing to achieve business goals in a
stipulated manner. It is most considerable part of an organisation which is segmented in different
types of categories to analyse several kind of products and services in an appropriate manner. On
the other side, firms always segmented its products in its initial stage after this they are able to
target consumers and then able to give position of their goods at marketplace. This model and
their three stages has been identified below: Segmentation: Tesco mainly use Geographic segmentation in order to degments its
market. According to the location of Tesco stores, they can see all its stores located in sub
urban and urban area so that they can serve its consumers based on destiny of population.
On the other side, they measure overall buying power on the basis of segment in order to
make best potential customers to gain higher profit. Along with market segment also
profitable and large which is beneficial to serve large number of goods and services in an
effective manner. Targeting: Tesco generally use Mass marketing strategy. This strategy refers to those
strategy that helps them to avoid segmentation differences as well as target entire market
with effective offer, it also concentrates on common needs of people rather than the
difference. It means Tesco do not differentiate customer's types as it always serve its
goods and services to every customers. So that the common needs of people is lower
price of product, hence Tesco has so many discounted offers that differentiate the types
of consumers (Durmaz, 2011).
 Positioning: It refers to the act of designing different types of goods and services which
are served by Tesco in order to make best place within the target market. Therefore, the
main aim of this brand is to make their products valuable within the consumer's mind in
order to enhance potential benefits towards firm. Thus, Tesco has done very great job
along with able to attract large number of customers by giving them lower cost products
in a perfect way.
SWOT Analysis of TESCO
Strength Weakness
 Tesco is one of the best grocery retailer  In the year of 2018, share prices of
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in UK so that, it has high sales and
revenue as compare to the supermarket
chain in Great Britain.
 It is known as effective leading market
share that dominates grocery retail
market of Great Britain with the share
of 27%. along with it recently become
most famous chain of supermarket in
Ireland.
 Last but not the least, it has established
several kind of forms of stores and its
stores division includes Tesco metro,
One stop, Tesco extra and so on.
Tesco fell more than 9% because of
decline in handling profits. Thus, it has
proved that it was the worst
performance of them when Brexit
referendum.
 Because of high credit and debt card
liability, Tesco's financial performance
has been affected.
 Lower price strategy of Tesco lead to
overcome profit margins.
Opportunities Threats
 Tesco has been established Jack's
business with new discounted stores
that have been shown their essential
growth. Thus, they have opportunities
to growth their business and they can
sustain properly as low cost
competitors Lidl and Aldi (Novak,
2011).
 Tesco could avail large number of
opportunities for joint ventures by
providing appropriate market
knowledge through improving
performance in various regions.
 Economic crisis is one of the biggest
threat that involves legal and tax
matters, credit crunches and so on that
can influence overall working
performance of Tesco.
 Tesco has large number of competitors
with supermarket giants like WalMart,
Aldi and so on.
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year
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Investment 10000 10000 6000 5000
Initial money 10000 5000 5000 5000
Total 20000 15000 11000 10000
Marketing
outlay
15000 1000 3000 5000
Sales
publicity
2000 2000 1000 1000
Direct selling 4000 3000 1000 1000
Promotion 4000 1000 5000 2000
Total 25000 7000 10000 9000
Monitoring and Control
As per the given marketing budget of Tesco, marketing manager of this firm has
responsibility to monitor and control entire activity day to day. Therefore, main purpose of this
table is to overcome unnecessary activity to save fund along with resources. Therefore, it can be
said that, management team of respective firm should always be able to have such kind of
business budget so that they can run successfully their business in a perfect mode.
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CONCLUSION
According to the above respective report it has been analysed that, marketing refers to the
different types of activities of exchanging good and services used by firms in order to promote
their products effectively. Herein, marketing mix consist different types of elements used by
firms in order to analyse their products difference with others. Along with marketing department
have responsibility to cope up with other functional units in order to achieve successful growth
of business without facing any issues. By having good interrelationship with different types of
functional units firm is able to achieve target successfully. Through examining basic plan of
marketing is beneficial for making in order to gain competitive scenario-based advantages
worldwide.
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