Importance of Marketing Strategy and Relationship Marketing in Primark

This study discusses the importance of marketing strategy and relationship marketing in Primark, an Irish fast fashion retailer. It explores the segmentation, targeting, and positioning strategies used by Primark, as well as the marketing mix elements of product, price, place, and promotion. The study also highlights the impacts of relationship marketing on Primark's performance and provides recommendations for improving marketing strategy.

Marketing Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
Segmentation, targeting and positioning.....................................................................................3
Marketing mix of Primark...........................................................................................................4
Relationship marketing strategy and impacts on performance....................................................6
Recommendation for improving marketing strategy...................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES................................................................................................................................2

INTRODUCTION
This present study is based on Primark, an Irish fast fashion retailer, operate in many
countries. This present study is going to discuss importance of marketing strategy and marketing
department of this retailer (Deepak and Jeyakumar, 2019). It will discuss some ways and
functions that marketing department perform in order to help their company for accomplishing
goals. Marketing mix that consists of product, pricing strategy, place, and promotional strategy is
known as one of the effective strategy of marketing that is beneficial for both customers and
company. It helps customers in taking better decisions by comparing all elements of marketing
mix with other companies. STP is also known as an important strategy that this study will
discuss. Lastly, it will show effectiveness and importance of relationship marketing strategy that
is being used by companies for increasing customers’ interaction and engagement. There are
several other marketing strategies that also will be discussed in this study as a recommendation
to Primark in order to improve them and making them able to take competitive advantage.
Segmentation, targeting and positioning
STP is known as one of the important marketing strategy. It helps companies in performing their
further marketing functions accordingly. Also, it saves their time, if they have clear knowledge
and idea about customers as to whom they have to focus or sell products. STP of Primark is
being discussed below:
Segmentation: It becomes difficult for companies to reach all types of customers. Also,
it is not possible for companies and retailers to satisfy needs of all age group, tastes, locations,
cultures and behaviours of people. So, they segment people on some basis. Market segmentation
mainly depends on the type and range of products and services that are being offered by
companies. Market can be segmented on 4 bases such as:
Demographic: It consists some personal attributes such as marital status, gender, age,
education and ethnicity. In regard to Primark, it is found that it focuses on all age group 16-35
age groups of people. But some range of products like clothing is also prepared for kids
(Camilleri, 2018). For other product range such as beauty, it segments women and segments its
market on the basis of gender.
Psycho-graphic: When market is being segmented on the basis of values and lifestyle
then it is known as psycho-graphic. As per this type of segmentation, Primark mainly focuses on
young professionals both males and females.

Geographic: This type of segmentation is being done on the basis of specific region,
state and country. It is found that around 27% customers of this retailer are of Canadian
population. Along with this, it focuses on Toronto, Southern Ontario, Urban and Suburban
shoppers.
Behavioural: When market is being segmented on the basis of people's behaviours,
tastes and loyalty then it is being considered as behavioural segmentation. As per the taste of
people and it is found that college students who prefer fashionable clothing are mainly been
targeted under this type of segment.
Targeting: After segmenting markets on the basis of tastes, preferences, age group of
people, it is important for company to evaluate each market segment’s attractiveness. After
evaluating they also need to select one or more than 1 market segment to enter and by focusing
on them only, increasing attraction and customers’ retention rate. In regard to Primark it is found
that it has clear understanding of customers’ needs and it mainly target all those people who are
style mindful under 35s. It also uses slogan as “Look goof pay less”. For this target people, it
makes use of cost command strategy. Differentiated marketing strategy is targeting strategy for
Primark (Syapsan, 2019). Because it is not limited to one segment but also focus on all age group
of people, both genders, lower to middle income of people.
Positioning: It is also important because it provides detailed information into brand
performance as well as marketing communication to support a brand. It mainly focuses on word
of mouth, public relation and advertising for conveying information to customers. It also focuses
on quality and style of clothing as well as in store services so that they can maintain their current
placement.
So, from the above discussed segmentation and targeting it can be said that Primark can
increase sales because it focuses on all age group of people and especially to those, who are
fashionholic. So, by attracting only them and by communicating with them directly it can retain
customers with it for the long run. It can also make it able to save time of it only focuses on
specific segments.
Marketing mix of Primark
Marketing is known as one of the effective department or functional unit of any sector of
organization. Marketing department perform several functions and its functions starts with

market research or collecting data related to marketing trends and end to retention of customers
with the company. Marketing department also help their company in promoting their brand and
products and motivate customers to buy their products. There are several marketing strategies
that are being used by retailers and marketing mix is known as the best among all.
In regard to Primark, fashion retailer, it is known that it makes use of this strategy for
pursuing its marketing objectives in the target market. Marketing mix helps to customers also in
making buying decision by comparing all elements of this tool with another companies.
Marketing mix and effectiveness of all elements of Primark are:
Product: Primark offers variety of products for all men, women and kids. It offers
clothing, beauty products and housewares. The advantage and effectiveness of this element if
Primark is, it offers and produces clothing for all age group of people. It helps company in
increasing sales (Al-Da’abseh, Aljawarneh and Shwiyat, 2018). Each product line of this fashion
retailer has big number of items. Also, it is found that its products line is closely related in terms
of end use.
Price: Price is one of the other main elements that is being considered by customers
while making buying decision. Pricing strategy of companies should be affordable and effective
by which customers of all income group can buy. In regard to Primark, it is found that it follows
competitive pricing strategy in order to attract all age group and income group of people. As per
this strategy, Primark sell and offers its products to customers at lower price than competitors
that makes it able to take competitive advantages. But some of its cosmetics and clothing
products are offered at higher prices and for that it targets professionals only.
Place: Place also plays a vital role and companies should locate their stores at a place
where customers find easier in visiting and find easy access. Primark offers its products have its
physical stores in central shopping malls and local market where customers go for shopping. It is
located in the main market as per the convenience of customers. It is found that Primark has
around 370 stores in 12 countries (Utomo, Saputra and Nurfitriah, 2020). The biggest store is
situated in Birmingham, UK. It does not sell its products online that is its main limitation. The
reason behind nor selling products online is lack of privacy and confidentiality. Primark found
some third parties that were selling Primark's products on E-commerce site. Then Primark
warned customers that not to believe on such sites as Primark sell their products offline only. But
by providing products online to customers, it can increase sales and can attract global customers.

Promotion: Promotion strategy of companies is known as the main key of success of
marketing and business growth. Promotion strategy helps companies in attracting customers and
making them influence to buy products. It also helps companies in improving image in the
market. In regard to Primark, it is found that it mainly focuses on work of mouth and direct
marketing as a promotion of goods and brand. It believes that quality of products and customers'
satisfaction is the best way of improving image in the market. It also uses some social media
platforms such as:
Twitter, Instagram, Facebook and Instagram and also gets millions of likes as well as
shares. It shows its effectiveness and popularity.
People: People refer all who support company in accomplishing their goals and work for
them. In regard to Primark, it is found that it has around 70,000 skilled workforces who support
this retailer in increasing customers' experience. Employees of Primark are being paid as like
other retailers Zara and H&M in order to retain them.
Process: It is all about way of delivering final goods and products to customers. Success
of delivery of products depend on the type and channels of distribution. It is found that Primark
has string distributive channels that helps it out in delivering products to customers in a timely
manner (Othman and et.al., 2019). Customers need to come and visit stores and pay for their
selected items from either online or cash.
Physical evidence: It refers logo, infrastructure and others. Primark's main physical
evidence is its stores. Due to higher cost of shipping than prices of products itself, Primark do
not offer its products online. It can limit its sales and that is why physical evidence is poor of this
retailer to some extent.
So, from the above discussed all P's it can be said that customers can take better decision.
Also, by comparing all P's with competitors, Primark can make improvements and grow in the
market.
Relationship marketing strategy and impacts on performance
Relationship marketing is an effective strategy that can help companies in improving
customers’ engagement and fostering customers’ loyalty. The main reason of developing this
marketing strategy is to improve connection with customers by providing them detailed
information related to their needs and interests and by promoting communication.
Communication is known as the main key of success of marketing because communication with

customers makes them able to inform about new services and all effectiveness of products that
are being offered to them. There are 5 main levels of relationship marketing such as:
Basic: In this stage of marketing, companies focus on attracting customers and guiding
them via sales and help them out in making buying decision as per their needs.
Reactive: After selling products and helping to customers about products and services,
companies get feedbacks from customers. It is called reactive because, customers respond and
makes company aware about effectiveness as well as areas on which they should focus.
Accountable: It is as similar as reactive but it occurs after the reactive marketing stage. It
occurs in relationship marketing strategy when company reaches and communicate with
customers for suggestions and improvements (Payne and Frow, 2017). This stage in relationship
strategy is being focused because of improving customers’ experiences and making them feel
valued. It is believed that when customers’ concerns and needs are being focused and companies
make changes in their services as per the needs of customers then it makes them feel valued and
increase trust. It increases customers’ retention rate.
Proactive: After considering and identifying all needs of customers and making changes
as per their needs, company then focus on improving their products to the great extent. The main
reason of focusing on this step in relationship marketing strategy is to increase sales, improve
performance and taking competitive advantages. In regard to Primark it is stated that it
continuously focuses on improving its products and services in order to attract customers to the
great extent. It also believes that making changes in products and services as per the changes and
behaviours of customers can help them out in being in the market. It also helps this retailer in
providing the best possible experience for customers.
Partnership: It is also as similar as proactive marketing. In this type, all marketing
functions are being performed by company with other companies with collaboration with the
main aim of improving customers’ experience and satisfaction (Grönroos, 2017). In regard to
Primark, it found that it works individually but focus on direct ad face to face communication for
improving relation with them.
From the above discussed all stages and types of relationship marketing it can be said that
all stages and type of relationship marketing can help Primark to put their customers’ first and at
the centre of all campaigns.

There are several other ways by which Primark can make use of this strategy in an
effective manner and can make their customers’ feel valued. One of the best and effective ways
of making this strategy successful is: providing thank you note to customers’ through social
media post or by giving a surprise gift card. By saying thank you for shopping with us, hope to
see you soon again and like this. It makes customers feel valued and they think that companies
are thinking about them and they are grateful for them. Solicit customers’ feedback via survey,
phone calls for creating a positive impression and making customers feel that their opinions are
being valued and concerned is also an effective strategy of relationship marketing.
There are several other ways of applying relationship marketing strategy and by following
all these steps, Primark can improve its image, its performance and sales as well.
Networking: Networking is known as an effective relationship marketing strategy. For
this, company needs to think about interests that it has as a business and then by joining groups
that share its affinities can help in brand awareness. This strategy can also help this relation in
increasing potential customer base.
Continuous communication: Communication is the main key of improving relationship
and without effective communication it is not possible for any company to engage and improve
relation with customers. Relationship marketing can work well when company strive to be there
for customers and make them feel that company is always there for their customers. E-mail,
social media are some modes by which Primark can communicate to its customers and provide
free information relate to products and services that customers want to receive (Thaichon and
et.al., 2019). By providing all information that can help customers in making better buying
decision can help Primark in attracting and retaining customers with business for the long run.
Loyalty rewards: it is another effective way of making relationship marketing strategy
successful. There is requirement for Primark to expand beyond the traditional types of program.
People who are recognized and get stuff that praise them are more likely to become loyal. So, by
retaining customers with business it is must and can help this retailer in taking competitive
advantages. By cherishing loyal customers and by rewarding them, retailer can improve relation
with them and can also increase sales.
Building a brand identity: Primark can focus on making a memorable brand as it can
make easier for customers in finding its products. It can also protect them against duplicate
products of the same brand. It is said that if company’s brand resonates then customers will

likely remember brand and company can develop the relationship further. Once company has
string brand identity than those who wish to become a raving fan will know that where company
stand and for what they stand and why they should care. It can improve relation with them and
can also retain with the business for the long run.
Recommendation for improving marketing strategy
Presence on online store: It can be recommended to company that it should focus on
developing online stores. It found that the main limitation of Primark for which it is lacking
behind in taking competitive advantage is: lack of presence of online stores. Nowadays, due to
increasing rate of technologies and busy schedule, customers prefer buying products while sitting
at home. It saves their time and cost. In the case of Primark, it can be said that this limitation and
weakness can snatch opportunity of reaching global customers and increasing sales.
Another main reason of suggesting this to Primark is to increase brand transparency,
communication with customers online. It can also increase customers’ satisfaction rate if it
makes use of online. Via online, customers can suggest company about improvements and by
improving some areas it can retain them with the business for the long run.
Supply chain: It is also found that Primark pay its workers less than other companies and
retailers and it is it’s another weakness. For making marketing strategies successful and being in
the competition it is important for this retailer to have skilled workforce. Some UK employees
blamed that they were paid less. So, it can be suggested to this retailer that it should focus on
implementing all relevant policies and regulations (Chaffey and Smith, 2017). It can protect its
brand image and improved brand image can help it out in attracting custo1mers and their
retention.
Operational management approaches: It should also focus on improving its supply chain
as it is found that it is not effective in controlling its supply chain. No doubt it offers its products
at affordable prices but some customers complained about quality of products. SO, it can be
recommended to this retailer that it should focus on implementing and making use of operational
management approaches. Quality is the main key of success of all functional unit and overall
performance. So, by implementing total quality management, six sigma and just in time
approach, it can solve customers’ problem and improve its performance.

CONCLUSION
From the above study it has been summarized that marketing plays a vital role as it is one
of the main department that helps company in meeting goals. Further, it has discussed
effectiveness of marketing mix and it’s all elements such as products range, pricing strategy that
company uses, place, promotional channels, people and others. It has also been summarized that
segmentation, targeting and positioning is also an important marketing strategy. It helps
companies in attracting specific segment of people and retaining them with the company for the
long run. It saves time and cost of company and also increases their sales. It has further shown
some other marketing strategies such as communication mix, relationship marketing strategy that
also helps to foster customers’ loyalty and long term engagement with business.

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