Sample Assignment on Marketing Management

Marketing management
1

Abstract
In this report it has been described about retail industry and Miller stores that operate in
Malta. Also, it is discussed that company unique selling proposition is low cost structure which
allows customers to buy their products and services. Moreover, strength of company is in
wholesale their price is cheaper as compared to other. Its weakness is low margin profits.
Furthermore, it has been analysed that there are many external factors that is impacting on
company such as interruption of Arab in Malta, sustainability issues, etc. In addition, firm needs
to solve marketing mix gaps which will be beneficial to reduce impact of external environment.
1

Table of Contents
Abstract............................................................................................................................................1
INTRODUCTION...........................................................................................................................1
Q1. A background statement to outline the industry, market positioning as well as the present
unique selling proposition............................................................................................................1
Q2. A marketing audit, outline the overall market attractiveness and whether is the potential
for market growth........................................................................................................................4
Q3. Critically defend new marketing mix actions to achieve gaps between the companies
present marketing strategy and external environment.................................................................7
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11
2

INTRODUCTION
Marketing mix is a process which have set of actions or different techniques which will
be used by company to promote its product and brand in the market. In simple words it is a group
of variables in marketing which will used by company to control and combine, to produce
effective response in the target market. This is an important tool of marketing that combine all
the elements which affect the demand for products offered by the firm.
Millers origin date back to 1914 and it is a subsidiary of W.H. Smith of the UK. Miller is
a market leader in importation, distribution, marketing and retail of press products in Malta.
Business and support service is closely eased of communication and continuation through all
areas of the business. Miller operate their stores 24/7. Sales efforts are giving support by team of
30 sales members covering every selling point in Malta market.
There is a background statement of that explains how this could improve industry and the
market position as well as USP and market audit of overall growth and potential of market. It
also describes about new marketing mix actions which helps to fill the gaps between company's
present marketing strategy and future marketing plans.
Q1.
Retail is how producers of the goods get their products to their customers. A commodity
becomes a finished product when retailer often get their goods directly from the manufacturer.
Miller retail limited. Is an Australian company that sells women's apparels, accessories and
cosmetics and is one among the states largest retailers (Sari, 2017). It is listed on the National
Stock Exchange of the country. Miller's ran television commercial with advertising slogan “we
know what you want...we're Miller's”. There are variety of products and services offered by retail
companies to people. This industry is entirely dependent on consumer trends and preferences.
Also, there is intense competition in retail sector as many companies operate in it providing
similar types of products. Thus, in order to gain competitive advantage, it requires constant
innovation in products features. It allows business to survive in industry for long term.
In marketing and business strategy, market positioning means consumers' perception to
the product or the company in relation to competing brand or products so that consumers recive
in a some way.
1

How the retail store competes with the other retail stores of the market is defined by the
market positioning of the Miller Malta, it shows that different customer has differences in their
needs, and this need could be identified by achieveing an image in the minds of the customers.
An image of a product that a customer experience in store must be distinguishing in their minds.
It is believed that market positioning is dependent on the 'valued provided to the consumers' and
not the 'price'. Price could be the market positioning only if retailer uses an innovative approach
to be the lowest cost seller of the commodity (Keegan and Rowley, 2017). Miller retail has a
unique approach to being the low cost operator and its pricing is based on the competitive
landscape. It has a potentially manually destructive strategy, where it has head-to-head
competition in geographic proximity, so it avoids price discounting vs competition. But where it
has lower competition, prices are often above average. And where it has somewhat distant
competition, it discounts to attractive customers within the proximate geography. However,
miller retail defines competition very carefully and is always cheaper than the traditional
supermarkets, so it could exercise based upon its “low cost structure”.
To attract customers the company follows two rules i.e. either by attracting customers to
visit the companies store or either by creating an image in the or the identity in the minds of the
consumers so the identity of the product could be highlighted in the mind of the consumer
whenever it feels need of it or of a similar product. The newer choice of retailing is based on the
understanding of the consumers behavior I.e how consumers shop, understand and evaluation of
the product on display screens and make choices accordingly. Purchasing behavior of consumers
offers retailers various opportunities. Researchers suggest that brand choices are created in the
physical stores, instead of past experience of the product. Assortment
price/quality/diversity/width, staff consumer interaction and assortment presentation are the three
potential levels that influence the customers. Assortment presentation include visual image of the
product. Assortment planning is different from assortment management is shown by this
potential level of the consumer. It is seen that customers make product decisions at the shop floor
and they make their mindset accordingly what is influenced by the display of the product. This
type of planning is called assortment management.
A factor that differentiates a commodity from its competitors is called unique selling
proposition. A unique selling proposition of a commodity could be set by keeping the lowest
2

price or by giving the highest quality or selling a unique product. The unique selling proposition
is based on the fact that to sell what others doesn't have.
A USP defines the companies unique position in the market place, getting at the heart of
the business: the value they offer and the problem they solve (Hänninen and Karjaluoto, 2017.).
A strong USP clearly articulates a specific benefit – one that other competitors of Miller don't
offer- that makes it stand out.
To reach the companies mission, Unique Selling Proposition plays an important role
internally, as this company believes on the fact that successful business can only be established if
their competitive differences within the company are clear.
Miller retail wants to sell the commodity or the services as the best available options, but
ultimate their most proposition tends to fall into one of three categories. Different types of
proposition is based on the various values, it should tell what customers care about the most.
Which proposition would be effective is uncovered by establishment of buyers persona.
Products its target value is quality. The provider of service or the product would be considered
superior from their competitors claims the establishment of business. For instance, in Miller
retailing company retailing rare commodity which is unique in the market and no one is selling
the product anywhere else.
Price This USP has its target value as affordability. Every buying decision is based on the cost,
but it is often a focal selling point when selling to comparison shoppers who used to compare
each product they want to buy. Price based proposition don't discount their quality, rather they
emphasize value. This attracts to consumers who want to buy the commodity by spending money
as less than as possible.
Establishing stores establishing multiple store at various locations is the unique selling
proposition of Miller retail. To have an easy reach to desired consumers.
Uniqueness unique selling proposition is can be defined as the affordable product of higher
quality with appropriate consumer services. It defines the uniqueness of Miller retail USP to
consumers that has allowed them to quickly expand their products over the past years.
Support its target value is social connections. While purchasing a product consumer see the
reliability and peace of mind after the purchase of the commodity While product and price
clearly play a role, what can really sell them is reliable support. This includes return policies,
technical helplines, extensive online resources or some of its combinations. This support-based
3

proposition in Miller retail industry is selling a reassurance that no matter what happens, the
customer will be taken care of. Support is especially important for merchants who cultivate an
ongoing relationship with their customers.
Educate customers huge and costly product purchases are essential. Miller Retail provides
product reviews that are considered very important in purchasing products, thus, it helps
consumers make better buying decisions.
Q2.
SWOT Analysis of Miller
A SWOT analysis is a tool that will help you to develop your strategies of business,
whether you're setting up new business or working on existing company. SWOT stands for
strengths, weaknesses, opportunities and threats. Internal of our company are strength and
weakness and external are opportunities and weakness.
1. Strength
Miller has high efficiency of chain of supply. Miller has to identify strength of the
company. Miller's one of the possible strength will be financial banking if they have enough
capital then they can easily access to loans of banks. Another and very effective strength will be
the prices in wholesale market which are cheaper. One more advantage to the company is, if they
provide unique and different products in compare with other retail store then customers will
attract through them. Miller is a large retail store which gives lots of funds and expansion to
business. Whatever the situation is a retailer will prepare a list of all strength of its store in
compare with their competitor.
2. Weaknesses
Miller weaknesses are that they are using generic strategy which leads to reduce in profit
margin and it is affecting development and resources. By using these strategies' miller is facing
weaknesses which are low profit margins (Grewal and et.al., 2018.). Their business is easy to
copied. High end retailers are attracting quality buyers whose price sensitivity is low. The main
weakness which is affecting business is that there are innovative competitors which are dividing
environment of business in the presence of e-commerce firms.
3. Opportunities
Miller opportunities are totally related about growth and improving business and their
practices.
4

These opportunities are connected to the situation of global economic. Human resource
situation also presents some issues which are actually opportunities to improve the firm. The
major opportunity for miller is that they can expand their business in developing countries which
have high growth economic condition. Opportunities of HR practices are related to the analysis
on the employment practices of the company (Haider and et.al., 2019). By making changes in
these practices can attract quality workers related to other retailers. Miler have opportunity to
improve standard regarding concerns to consumer’s health effects which is due to using low
quality and low cost products.
4. Threat
Threats to miller industry are connected to retail condition of market and the changes in
consumer attention towards products they buy. All these factors should enforce the company to
prepare few competitive strategic changes. Healthy lifestyle is a trend in opportunity and threat.
It threatens miller because so many company’s products are observed as not good for health and
are not natural. This is an opportunity for the miller to make improvements in quality standards.
This factor is more threaten because big retail companies does not design healthful products in
their stores. Aggressive retailer is also a competition which is threat because other big retailers
also can use aggressive strategies to capture miller’s customers. Also, large online sellers and
small scale seller’s area big threat to the Miller retail business. Through online, small sellers or
other individual sellers can compete and cross company's presence by their websites to sell
products to the online customers. Totally threat wants to explain that large online retailers have
capability to satisfy and attract customers, especially who have interest in online transactions.
PESTEL analysis of Miller retail industry
latest trends and forces are molding the retail market in Malta. Particularly these are the
technologies and economic tends that has the most deep effects on it. Moreover, with the time
there is a growth in the competition pressure with the growing proliferation and players in the e-
retailing in Malta (Ashley and Tuten, 2015). 2015 was a year of whooping growth for e-
retailing. Amazon itself has grown by leaps and bounds. Globally retail is a major part of GDP of
nation and large workforce has been employed. Retailer must use technologies such as artificial
intellegence and coggnettive intellegence to grow in the market place and better serve their
consumers.
5

Political factors such as government policies and regulation of the retail industry affects Miller
retail profitability and revenue. International supply chains of the business and economic
environment of the nation is affected by the political environment (Festa and et.al., 2016).
However, political issues can also become hindrance to smooth business operations. Continuous
interruption of Arab countries also affected the political factors of Malta. These factors made it
complex for retail companies to operate profitably in this scenerio.
Economic it is an important factor in terms of business & trade in Comte to retail industry of
Malta. Profit of the company and its sell could be describes by the companys economy. Malta's
economy is rebounded and growing. And it means people will spend more money on shopping.
However, at the time of recession, the retailed industry had maintained an impressive sale.
Economic crises did not affect Malta as much as it affected other nations of the world. All these
factors are good indication of the retail industry. With the high profits and revenue the economy
of the company would also be improved. With the growing sales and overall betterment of the
company better economic scenario of the company could be created.
Social trends have a great impact on retail industry and its profit margin. Changing consumers
and demographic changes are having a great results on the retail industry. New generation have
different preferences than the previous generation. When it comes to consumer service new
generation wants more personalized service. Demographic change also affected the popularity of
products, technological products are in more demand than others. The importance of customer
service is growing and a lot of retailer popularity depends on how well the customer experienced.
Malta has a good local supplier though and it is more concerned to safety issues.
Technological - From the other factors technological factors are very important than supply
chain, customer service & sales. The number of retailers in the industry are also increased due to
the growing of digitalization technology. For the better customer experience more and more
technologies are used by Miller retails. Technologies such as cognitive intelligence & artificial
intelligence would change the retail sector within the years. Even cloud computing is haveing a
great impact on Miller retailing industry. Within the time being various thing will be determined
by the technology which would be the centre offocus in technical factors of Miller retail industry.
Technologies such as Wi-Fi, social media also facilitated the retail industry in many terms.
Environmental Sustainability concerns also affected the retail industry like the other industries.
Renewable energy, reducing wastage, packaging and various other issues related to sustainability
6

are present in retail sector. Miller retail always diving improvements in packing sustainability
around entire chain of supply. Along with reduction of carbon footprints Miller retail industry
also focus on achievement of 100 percent renewable usageage in long term.
Legal - various laws that affect employment & business of any country. Labor laws are
considerably a huge issue in Miller retail industry to maintain low price of the commodity and to
remain competitive in the market. Where as in the other law such as packaging & comodity
related laws also applicable to this industry. Overall the legal scenario is quite hard and Miller
retail industry have to be cautious since any violation can result in huge fine.
Q3. Critically defend new marketing mix actions to achieve gaps between the companies present
marketing strategy and external environment.
Marketing Mix
Marketing mix is a stage of designing and combining different elements in the market in
that way which will help them to achieve objectives of enterprise. 7 P's of marketing comes
under marketing mix which are product, price, place, promotion, process, physical environment
and people. Product related decision are related to designing, packaging and labeling and the
most important decision on price because product pricing on large extent depends on sales. Its
help business to understand their offerings on product and service and by adapting market
strategy there are several successful plans to launch.
Strategy used by miller to fulfil gaps through 7P's which are:
1.Product
Miller sell their product with so many varieties which are available and that will allow
every customer to choose the best product which suits them best. Miller can extend more benefits
that will attract customers to purchase their product which includes warranty, delivery and option
of credit, helpline services etc. miller can bring some new products in the market with the latest
trends. By introducing new product in the market can increase opportunities (Ndubisi and
Nataraajan, 2016). Company have to keep in mind that before commercializing their new
products in the market first test them in test markets. Company can improve or make changes in
their packaging so that it will be easier to carry and transport. Packaging should be attractive so it
will attract the customers.
2. Price
7

Currently miller is following competitive pricing strategy to adjust the price level. Miller
is following this strategy because there is easy to access data of competitors. For setting up
prices it will take cost for some products which will unable to provide information on
competitors and are very expensive to make (Datta, Ailawadi and Van Heerde, 2017). Miller
sells their products at high prices in compare with their competitors because it provides more
features and the prices are high to make. Miller charges high rates for those products which it
sells to online because delivery charge is included in the product price. So miller have to provide
discount for a short period to attract customers and gain share in market. It can be done through
by making a drop in percentage of price of its products.
3. Place
Miller sells its product into market by two ways. Where 1st is directly to the customers
through online websites and the other way to sell is to wholesalers. To run their online websites,
they have to be in touch with the delivery service providers to provide product to customer on
time. Strategy which Miller can use that they can grow their or expand their business through
social media where they can sell their product on different platforms with the help of social
media post (Liu and et.al., 2017). This will help company to increase their sales. They have to be
more focused on their online sites that how they can improve and make it easier to use. Miller
can use personal selling to sell their products to huge big retailers. These big retailers can help to
attract more customers because they have a wide communication.
4. Promotion
Miller uses different media channels to promote and increase its sales of their products.
They use television and radio for advertisement for product. They use social media and online
ways to attract large number of audience. Company advertise on different social media stages
and their focus on you tube, twitter, Facebook and Instagram because these are the platforms
which are high in use and through all over the world customers are following these pages. Take
parts in various exhibitions of trade and events. (Stead and Hastings, 2018). This will increase
alertness for brand into the mind of customers. To improve online traffic, they have to go
through different techniques of digital marketing. They can collect data on customers for sending
messages via SMS or email which will result in continuous purchasing by customers.
5. People
8

Miller have their working team under sales which are putting huge efforts in marketing.
The workers of these teams are trained in effective techniques, but they have to keep in their
mind that they have to respect their customers (Jones and Shaw, 2018). Workers who are
working in department of customer service. They have to guide or help customer who have any
queries about products these workers help customers to resolve the issue. Employees of miller
works with suppliers to get raw material. These people have a key role in improving and
maintaining the quality of the last and final product which is produced. Miller can provide
training for sales, services to customers and people who are purchasing because they are giving
values to the customer. They can provide sales incentives to the working team or bonus for
completing targets or the sales commission. Hire those people who give respect to customers and
are connected to the company.
6. Process
Miller has to be sure that their products are available every time in the retail stores where
systems are installed to notify retailers that their levels of inventory are low. Miller provides
more products while order to refill its stock. This process let them know that their products are
always available in the stores when there is a need of customer. Miller have their process of
delivery in which orders received in their system and on base of those orders' product will be
delivered to their place. Strategies which miller can use that they can use computer systems to
control different process of increasing efficiency and delivery of products on time to customers.
To improve its process in terms of cost and skill miller look for different innovative ways.
Savings on cost will help to lower the prices for their products.
7. Physical evidence.
Miller sells their variety of products in a sharp color that will easy to identifiable on the
shelves of shop. This will help customers to identify the shelves in stores. Company has their
online website which is convenient and provide pictures of their products which are taken in high
quality and from different angles (Terho and Jalkala, 2017). Miller should have to take feedback
from the customers and on the basis of feedback they can improve packaging and other need
from the customers. Miller should have to set up more stores to provide or making available their
products to every place and to every customer.
9

CONCLUSION
Thus, it has been concluded that retail is how producers of the goods get their products to
their customers. A commodity becomes a finished product when retailer often get their goods
directly from the manufacturer. New trends and forces are shaping the retail landscape in Malta.
Particularly these are the technological and economical tends that are having a deepest effect on
it. Marketing mix is a process which have set of actions or different techniques which will used
by company to promote its product and brand in the market.
10

REFERENCES
Books and journals
Ashley, C. and Tuten, T., 2015. Creative strategies in social media marketing: An exploratory
study of branded social content and consumer engagement. Psychology &
Marketing. 32(1). pp.15-27.
Datta, H., Ailawadi, K.L. and Van Heerde, H.J., 2017. How well does consumer-based brand
equity align with sales-based brand equity and marketing-mix response?. Journal of
Marketing. 81(3). pp.1-20.
Fan, S., Lau, R.Y. and Zhao, J.L., 2015. Demystifying big data analytics for business
intelligence through the lens of marketing mix. Big Data Research. 2(1). pp.28-32.
Festa and et.al., 2016. The (r) evolution of wine marketing mix: From the 4Ps to the 4Es. Journal
of Business Research. 69(5). pp.1550-1555.
Grewal, R. and et.al., 2018. Marketing Channel Management by Multinational Corporations in
Foreign Markets. Journal of Marketing. 82(4). pp.49-69.
Haider and et.al., 2019. Marketing Management.
Hänninen, N. and Karjaluoto, H., 2017. The effect of marketing communication on business
relationship loyalty. Marketing Intelligence & Planning. 35(4). pp.458-472.
Jones, D.B. and Shaw, E.H., 2018. Avoiding academic irrelevance in the marketing discipline:
the promise of the history of marketing thought. Journal of Marketing
Management. 34(1-2). pp.52-62.
Keegan, B.J. and Rowley, J., 2017. Evaluation and decision making in social media
marketing. Management Decision. 55(1). pp.15-31.
Liu and et.al., 2017. The effects of products’ aesthetic design on demand and marketing-mix
effectiveness: The role of segment prototypicality and brand consistency. Journal of
Marketing. 81(1). pp.83-102.
Ndubisi, N.O. and Nataraajan, R., 2016. Marketing relationships in the new millennium B2B
sector. Psychology & Marketing. 33(4). pp.227-231.
Sari, O.H., 2017. Influence Of Marketing Mix And Customer Relationship Management On
Customer Loyalty In Pt. Abc In Jakarta. Jurnal Manajemen Bisnis dan
Kewirausahaan. 1(2).
Shaw, S., 2016. Airline marketing and management. Routledge.
Stead, M. and Hastings, G., 2018. Advertising in the social marketing mix: getting the balance
right. In Social Marketing (pp. 29-43). Psychology Press.
Terho, H. and Jalkala, A., 2017. Customer reference marketing: Conceptualization,
measurement and link to selling performance. Industrial Marketing Management. 64.
pp.175-186.
11

12