Role of Data in Improvement of Relationship Marketing

MARKETING
MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASKS.............................................................................................................................................3
Role of Data in improvement of Relationship Marketing...........................................................3
Segmentation, Target and Positioning (STP) Model...................................................................5
Innovation in Tesco’s Product and Services................................................................................7
Viable Solutions to meet Customers’ demands...........................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Marketing plan refer to the plan in the management of the company related to its marketing
structure. Marketing plan refer to the planning and procedure of the marketing in a way by which
company can get the best result out of it and can utilise the best of the resources in the
management and get the result out of it. Tesco is one of the largest retailers in the UK market of
the retail sector and is covering most of the market in UK and have business in 13 other countries
across the globe. The report will discuss the evolution of the marketing and relations in the
business and it will also discuss the target market and its segmentation with the positioning in the
market of the Tesco.
TASKS
Role of Data in improvement of Relationship Marketing
Marketing becomes the sole of every business whether big or small in order to expose its
good and services in the different markets. When marketing comes in play, the major thing
which is realized is the data or information to develop innovative marketing strategies in order
to move the business forward and keep itself ahead of competitors (Fitzpatrick, 2017). Tesco,
being a well-known group of retailers in UK, needs innovative policies and strategies to have
ever-deeper insights and to compete with its major competitors like Sainsbury, Morrison’s, Asda
etc.
The data helps mainly the marketing team to have greater insights about the preferences of the
citizens and the market. The way of gathering the data is becoming innovative day by day as
earlier it was collected in the form of statistics, figures etc. but now the companies are collecting
it from social media posts, feedback forms from customer etc. Tesco finds the following roles of
the data in relation marketing:
 The data or the information gathered by the company can help it in improving the decision-
making process (Nguyen and et.al., 2017). It can also enhance the company’s operational
processes along with providing innovative products and services to the customers thereby
satisfying their needs and desires.
 The data can also be used to improve the customer retention. Tesco can use this by using
social media in order to analyse the number of customers cancelling or renewing the
contracts. It can also evaluate the phone and text use patterns to monitor the customers’
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preferences. This information can be used during the marketing campaigns to target those
customers.
 These data-driven insights can be used to develop new strategies as in earlier times the
companies organized sales in the end of the season which made them earn a large profit
margin. But the data helped the companies now to change this traditional method and adapt
new and innovative ways for marketing the products and services of the company. Tesco
prefers reducing the prices to facilitate more number of customers of every class in order to
achieve a greater revenue and to satisfy maximum consumers.
 The data collected by the marketers of the company also helps to match products to
customers. This will also provide ways to reach them which will help them to know about the
products preferred by the customers. This will help in targeting certain products to certain
group of customers. For example, people in some areas in UK prefer junk food whereas some
are becoming health-conscious. So, the data collected by the marketers can help the company
to target the areas according to the customer’s choices.
 The major problem faced by the companies is to bring innovation in order to compete with
the competitors. The data proves beneficial to develop various strategies which can help the
company to emerge in this competitive markets. This will give a clear idea about the areas
which needs innovation and development to attract large number of customers. For example,
after collecting the data Tesco found out that the maximum number of people in UK prefer
taste as well as dietary food. So, the company can bring innovation like changing the
contents of the food products like Pizza, Burger etc. to make them organic as well as
delicious to eat in order to increase the customer base.
 The data can be proved useful in measuring the regular changes in the customer demands
which is not possible to measure without collecting a regular data. It can be gathered in the
form of charts, graphs to make it simpler for the marketers and the company to have a brief
analyse. Tesco used this policy in making its strategy to ask the customers before spending a
pound or a dollar on its stores. They considered customers as their first guardian to have an
idea to produce the products.
 The data also provides the companies about the marketing methods. The people of UK are
becoming socially active which helped Tesco to carry out its promotional activities online
through social networking websites and other platforms (Grewal, 2018). It started giving all
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