Marketing Management: Analyzing Marketing Strategies for Woolworth

This report analyzes the marketing strategies of Woolworth, a retail company, to attract customers and increase profit. It discusses the company's target market, competitors, and collaborator partnerships. The report also explores the changing business context and the development of a market strategy for Woolworth.

Running Head: Marketing management 0
Woolworth
Marketing management
5/4/2019
The report has been prepared so that the marketing strategies can be
analyzed so that more profit can be earned. As there are many
competitors the company Woolworth have so, by making the
marketing strategy and marketing tactics the company can easily
compete with them. The company has targeted the particular
wealthy class of people and providing them the quality goods and

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services. They were also offering the discount to their regular
customers, which was helpful in attracting the customers. They were
also offering many brands at the cheapest price, which is the reason
the company was earning the higher revenue. The 7 Ps has explained
which are helpful in developing the marketing strategy of the
Woolworth.

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Contents
Introduction........................................................................................................................2
Issue 1...............................................................................................................................3
Issue 2...............................................................................................................................3
Issue 3...............................................................................................................................5
Issue 4...............................................................................................................................6
Issue 5...............................................................................................................................8
Conclusion.......................................................................................................................10
References.......................................................................................................................11

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Introduction
The report is prepared so that the marketing strategy of the
company Woolworth can be explained. Woolworth Company
is the types of the retailer company, which deal with in the
supermarket and the grocery store. The company was
founded in 1924 and selling groceries such as packaged
food, meat, fruit vegetable, etc. The report prepares the
market strategy, which will attract customers. As there are
many competitors the company Woolworth has so to make,
the marketing strategy and tactics are helpful in earning
more profit. There are many environmental issues the
company has to face related to the customers, their wants,
price, competitors that will be stated in this report (Abdallah
and Jaleel, 2015).
In the competitive world, the marketing strategies will help
the company to compete and to earn greater revenue. To
increase the sales in the market the 7 Ps of the marketing
will be adopted. The company also does the SWOT analysis
to know the marketing position of the company. The
marketing strategy will be developed in the report to attract a
large number of customers from Australia.

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Issue 1
Woolworth Company is the types of the retailer company,
which deal with in the supermarket and the grocery store.
The company was founded in 1924, 5 December and has
the headquarter in the Bella Vista, New South Wales,
Australia. The main product in which the company is
specialized in the selling groceries such as the packaged
food, meat, fruit vegetable, etc. not only in groceries the
company deals but also in the magazines, beauty and health
products, stationery items, etc. The company Woolworth
also has its online website where they sell this item and
provides the services of the home shopping delivery (Walsh,
2014).
The company was originated with the name Woolworth’s
Bazaar Ltd, which was not registered earlier. but when the
company has expanded its business in Australia and in the
overseas, the company start decided to register with the
name Woolworth Limited. In the preceding year 2018, the
company has earned the revenue of A$56.726 billion in the
year 2018. The company has formed a new duopoly in the
Australian market of about 80% along with the Coles and
operating around the 995 stores across Australia (Lourenço,
et al., 2012). The main purpose of this organization is to

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serve the market with different services at the same store.
They provide a good quality of the services in the food and
establish the household brands.
Issue 2
Five Cs of the company Woolworth is analyzed which is
stated below:
Company: With the help of the SWOT, get strength,
weakness, opportunity, and the threat of the company is
analyzed.
Strength: The strength of the company is that they have
good market leadership in the retail market. They deal in
upscale brands so they can easily target the wealthy class.
They have balanced the segments in the income and
managing the perception (Yan, et al., 2015). They have good
business analytical tools, which helps in tracking the good
customers.
Weakness: The company Woolworth has the weakness of
the targeting a large number of income statements with the
same product. The company has a large number of
competitors so they have to face the problem of the price
wars. The company gives more attention to the higher
segment with the between goods and services.

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Opportunities: The Company has the opportunity to
experience new things. The opportunity is that the company
has the personalized services and artificial intelligence,
which attracts the people and avail the services (Rahmani,
2014). They also provide specialized loyalty to the
customers, which increase their sales.
Threat: The Company has the biggest threat of the
competitor with the company Coles. The company also
facing the threat in online marketing as the company
Amazon has forayed into the food retail.
Customers: The major customers of the company
Woolworth is the High-income people who can afford high
and branded products. The company deals in trust and being
valued so they have a large number of customers. It is one
of the Australian largest supermarket chains, which has the
115000-team members in the distribution centers, stores,
etc., which provides the customers premium services and
convenience (Pettigrew, et al., 2015). They have customers
who require organic material, not any chemical products.
They have the customers all of the areas of the Australian as
they have the big supply chain.
Collaborators: The Woolworth Company has collaborated
with the Pharrell Williams on the series of the sustainability-

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focused projects. The retailer company was collaborating
with the four layers of the campaign, which includes
displaying your talent, driving sustainable fashion,
entertainment, fundraising for education. The brands of the
Woolworth are also collaborating with the Bionic Yarn so that
the company can create a sustainable T-shirt, recycled
plastic waste, etc. The collaboration is done with the South
African retailer and the superstar so that more values can be
given to the lives of the people (Yan, et al., 2015).
Competitors: The Company Woolworth has a large number
of competitors in the market. As there are many companies
who are dealing in retail products. The major competitor of
the Woolworth Company is the Coles as they both have the
supermarket in Australia. The competitors of the Woolworth
are Tesco, Amazon, Wal-Mart, Carrefour, etc. This all
competitors company has similar prices of the products and
value the customers so it becomes very challenging for the
company to fight against these competitors. Although the
revenue of the Woolworth is more than the Coles
supermarket they both operate in the hypermarkets and
supercenters (Jaber, et al., 2015).
Context: Woolworth Limited was founded in 1924 and it was
named as the Woolworths Bazaar Ltd. at the time of the

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origin. Later on, the company decided to register themselves
and expand their business for the overseas (Fidelman,
2013). The Woolworth chain has majorly focused on sporting
goods. It is the retailer company, which deals in many
products such as footwear, consumer electronics, jewelry
products, etc.
Issue 3
The issue came in the company is by collecting the
information from the different sources. By doing, the market
research and marketing intelligence much information is
selected to analyses the position of the company.
What do customers want?
The company Woolworth has a large number of customers
as they are operating the 995 stores across Australia. The
customer of Woolworth wants that, they get fresh vegetables
and fruits, which does not have any chemicals (Walsh,
2014). They want organic products and perishable items.
Customers want the goods services on time and they want
they should treat will with the proper value. The basic needs
were that they want a high quality of the product at the very
low and the reasonable price. The customers want that the
goods should be durable and their certain meets and

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requirements should be meet up. The customers want the
trust of the company and want the products, which makes
their health much better and healthier.
As Woolworth Company is also providing the online services
so the customers want that the delivery should be made on
time. Customers also want that the Woolworth offer them the
store financing so that installment payment can be done for
some high price material. The customer wants loyalty from
Woolworth and personalized customer services.
Which competitors pose a threat?
The company Coles possesses a threat for the company
Woolworth. Coles is the major threat for the company
Woolworth as they both deals in supermarket, retail and
consumer services chain. They both have the largest
retailers company in the Australian. The company Amazon
also possesses the threat to the Woolworth as they provide
all the retailers’ product online to the customer at a
convenient rate. The biggest threat is to compete for the
customers as they both deals with the same products and
the same brands (Mohammad, 2015). The pricing strategy is
also having. Both the companies provide online services to
their customers and deliver the products to the customers at
the time. The company Woolworth has the threat that they

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will lose their profit and sales lot of competitors are there in
the market.
How the context of business is changing, if at all?
The context of the business has changed a lot from the
previous time. As in the starting, the company decided to
start the business with the name of the Woolworths Bazaar
Ltd. Which did the F.W. Woolworth renew? However, at that
time the company was not registered so later on the
expansion of the business takes place in the overseas areas
and the company gets registered with the name of the
Woolworth Limited. The company was first to open the
Imperial Arcade on Sydney’s Pitt Street. In starting, the three
was the little shareholders who were taking the interest but
later on more shareholders brought more capital to the
company. The more branches of the store were established
in the year 1924 across Australia. They were selling a variety
of goods at the cheapest price. It was the first store in
Australia who has installs the receipt printing cash register
machines in the year 1926.
What role do collaborators play in the process?
Collaborators play an essential role in maintaining a
sustainable environment. They also play a major role in

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promoting goods and services. Woolworth has done the
collaboration with the Pharrell Williams, which was the
Grammy-winning award musician, philanthropist and record
producer. As he was the global superstar so doing, the
collaboration plays an essential role in increasing the lives of
the people and the planet (Toh and Leonardelli, 2013). They
play a major role in sustainability-focused projects and
create a better future for the country. They have collaborated
so that education in South Africa can be uplifted. They have
created the fashion, which was very cool, and sustainable.
Issue 4
Developing a market strategy
The market strategy of the market Woolworth is stated
below:
A choice of the target market (/s)
The company Woolworth targets the upper-class people who
give more value to the quality products and demands for the
organic products. The Woolworth targets to the middle-class
people also. They target the population of the working class
and the households. The major focus of the Woolworth is to
targeting the Upper and Middle-class people because they
deal in the strong brand name, which is very costly so it can

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be affordable by this person only (Lima, 2014). Woolworth is
the oldest company, which deals in a lot of retail products so
it is convenient for the business class people to get all the
products at the same place. It saves their time so it is easy
to target business class people. It also targets regular
customers by providing discounts and other facilities. There
were many private label brands, which are very popular so to
target the upper class and the middle-class people is quite
easy. The company Woolworth also targets customers by
tracking them through business analytical tools. They have a
strong brand portfolio so they target the rich class people.
A value proposition for the target market (/s)
The Upper class and the Middle-class customers should buy
the products from the Woolworth Company, as they are the
market leader of the Australian market. They target the
wealthy class people so that stock in the upscale brands can
be provided. These potential customers are targeted
because they can easily afford such high brands. The
business class people are targeted because they demand
loyalty and Woolworth is giving it (Hashim, 2014).
The company Woolworth focuses on the needs of the
customer has and fulfills their requirements and the
demands. The company Woolworth is focuses on the quality

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of the products and provides the cheapest prices, which was
easy to target such class of people. The company
Woolworth also provides online services and the delivery
services, which attract the above-targeted people. The
targeted people also get the discount if they purchase on the
regular basis, which is the major factor that the company
Woolworth is attracting a large number of customers than its
competitors (Hemphill and Sampat, 2012).
A positioning statement for the target market (/s)
The company Woolworth targets the wealthy class of people,
which only demands the higher brands and good quality of
the food. The product and services in which the Woolworth
deals is several different kinds of the upper brands and the
organic material, as it fulfills the need of the targeted group.
As the competitor Amazon targets every section of the
society, they do not have a particular class (World Health
Organization, 2013). However, the company Woolworth has
a variety of brands, which are generally offered to the upper
and wealthy class people only. As the rich and upper-class,
people belong to the business class so they demand a
different variety of brands, which meet the needs of the
customers. There are many benefits of selling the brand
products such as values and loyalty of the customers is

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gained, strong image of the product dealing is created in the
market, and also helps in acquiring the new customers.
Issue 5
The marketing tactics are explained so that marketing
strategy can be developed.
Product: The Company Woolworth sells huge retailing
products such as the packaged food, meat, fruit vegetable,
etc. not only in groceries the company deals but also in the
magazines, beauty and health products, stationery items,
etc. The company deals in the branded products and it
provides the quality to the customers. The products provided
by the company are very styling so the customers easily
attract it (Morgan, et al., 2012).
Price: As generally, all the branded products are sold by the
company Woolworth so they have a high price range which
was affordable by the wealthy class people. The company
accepts the electronic payment modes and earns a huge
amount of the profit margin. The company also provides the
facility of the discounts so attract the regulate customers.
Promotion: As Woolworth is largest retailer company in
Australia, so they have good promotion tactics. The
company does advertising through online websites and does

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direct marketing. The promotion activity is very effective in
the company as it increases sales.
Place: The Company Woolworth has a large number of
stores in the market through which the customers buy the
products (Yaghubian, et al., 2016). They have cover across
all the places of Australia, which are operating 995 stores
and have a large number of distribution centers and support
offices, which provides the services at the different places of
Australia.
People: Many people are involved in the processing of the
company. Woolworth has the largest retailer chain, which
involves many people such as the employees, staffs, guards,
intermediary, customers, intermediary, distributors, sales
clerk, etc. The training is also provided to the employees so
that they can give better services (Roberts and Grover,
2012).
Packaging: It is an important element of the market mix as
packaging plays a crucial role in attracting the customers. If
the packaging of the product is properly labeled than a large
number of the customers are getting attracted. In the organic
vegetables and fruits, proper packaging is required so that
they are not spoiled.

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Conclusion
From the above report, it is concluded that it is very
important to analyze the market strategy and perspectives
make a higher profit in the market. Woolworth is the retailer
company and it has many competitors in the market but by
analyzing the operating environment, the Woolworth can
easily compete with their competitors. Woolworth was the
largest retailer company in Australia and deals in many
products. In this report, 5 C of the Woolworth has clearly
explained. The SWOT analysis of the company has done to
analyses the strength, weakness, opportunity, and threat of
the company. The company targets the rich society and it
was typical for them to tackle the lower society. The
Woolworth Company has collaborated with the Pharrell
Williams on the series of the sustainability-focused projects.
The company has a large number of competitors, which are
also explained in this report such as the Coles, Amazon, etc.
as they have the supermarket in Australia.
The market research is done and market strategy is
prepared so that for that the proper management of the
marketing can be done. The seven Ps are explained which
helps in analyzing the marketing strategy of the company.
The major focus of the Woolworth is to targeting the Upper

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and Middle-class people because they deal in the strong
brand name, which is very costly so it can be affordable by
this person only. Coles is the major threat for the company
Woolworth as they both deals in supermarket, retail and
consumer services chain. There are many benefits of selling
the brand products such as values and loyalty of the
customers is gained, strong image of the product dealing is
created in the market, and helps in acquiring the new
customers. Therefore, in this way, the Company Woolworth
has earned great revenue and targets the market in a good
manner.

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