Marketing Strategies and Competitor Analysis of ASDA

The report analyzed marketing strategies employed by ASDA, focusing on their marketing mix (4Ps) which includes product, price, promotion, and physical evidence. The company aims to create a positive shopping experience for customers through excellent service and clear communication of its price guarantee policy. A brief competitive analysis was conducted among three main competitors, highlighting differences in their strategies. Overall, the report aimed to understand how ASDA utilizes marketing tools and techniques to promote its products and services effectively.

Marketing Management

Table of Contents
EXECUTIVE SUMMARY ............................................................................................................1
INTRODUCTION...........................................................................................................................1
TASK 1 : BACKGROUND STATEMENT ...................................................................................1
TASK 2 : MARKETING AUDIT AND OUTLINED MARKET ATTRACTIVENESS ..............2
TASK 3 : COMPETITOR ANALYSIS OF THREE MAIN INDUSTRY PLAYERS...................6
TASK 4 : MARKETING MIX .......................................................................................................8
CONCLUSION.............................................................................................................................10
REFERENCES..............................................................................................................................11

EXECUTIVE SUMMARY
The main subject of this report is marketing management, which is a most important part
or function in every business or organisation. In this context, ASDA company is taken into
consideration, the assignment determined various tools, methods and strategies used by the
organization to promote its products and services to a large audience effectively. Various
competitors such as Unilever, Sainsbury and Tesco are also analysed in the following report. The
assignment determined that Marketing Mix is extremely basic and simple approach in the
marketing capacity of an organization, It alludes to the correct situation of the correct component
at ideal time and at the correct cost. For this purpose marketing mix of ASDA is also included in
the report.
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INTRODUCTION
Marketing management is an important essential part of each and every business with
effective strategies that can assist in increasing performance and profitability. Marketing
activities are responsible to promote products and services in order to attract more and more
customers.
The present report is in context to ASDA, one of the largest food retailers within United
Kingdom. The company sells a wide range of products, food items and apparel; it also identifies
ASDA's position within market along with a brief marketing audit. The report will also analyse
three main competitors of the industry along with various marketing artistes used by an
organisation to sustain position in the market.
TASK 1 : BACKGROUND STATEMENT
ASDA's mission is to be the best-valued retailer in Britain that satisfies needs of the
customers every day. It is a private limited company headquartered at Leeds; it shares a common
business culture with its parent company Walmart. The organization was established in the year
1965 when the supermarket Asquith family merged with associated diaries company of
Yorkshire owned by ASDA. The cited organisation expanded in South of England during
19870's and 1980's and acquired Allied carpets; it has 61 large Gateway supermarkets and other
businesses. It became a subsidiary of the American retail giant Walmart after a £6.7 billion
takeover in 1999 and it was the second largest supermarket chain in 2003 – 2014 on the basis of
market share.
ASDA Supermarkets was another division established in the year 2009 and initially there
were only 26 small-scale supermarkets and currently, it is operating around 400 stores all around
the world. The organization has more than 1, 60, 000 employees working in various stores and
segments of the company. Presently, ASDA is the second largest retail chain in the country
(Mason and et.al, 2017).
The history started in the 1920's, when the Asquith family owned a butchers shop at
Knottingley, West Yorkshire. There were two brothers in the family, Peter and Fred who took
over the business as founders of ASDA. At the same time, another company known as Craven
Diaries Ltd was established with the support of West riding dairy farmers. In the year 1965, both
the companies merged in order to establish associated Diaries and Farms Stores Ltd.

ASDA's main activities include apparel, retailing of food, general merchandise and other
services. Their strategic goals are to offer high quality products, reduce costs and exceed
consumer demands. The organization also have an additional sustainability goals developed in
order to decrease environmental impact and reduce cost of operations, whereas at the same time
ASDA's parent company Walmart is focusing on opportunities offered by e-commerce market.
The organisation provides various options to its customers to purchase products as well as
services easily such as online marketing or shopping and delivery of goods and services. ASDA
have created a growth strategy, including enhancing customer reach online and physically with
decreased overall cost of operations. The cited organization focus on implementing various new
strategies such as introducing new products and services in the market along with innovative
technologies
At present, ASDA have more than 500 offices all over United Kingdom, from
supermarkets to super-centres. This wide range of shopping facilities is developed in order to
meet needs or demands of customers at various levels. The company also designed a New Green
Corporate Logo which was capitalized as ASDA. The organization designed and established new
Eco-friendly stores with attractive colours and structure. It also overtook a supermarket chain
known as Netto, UK in the year 2010 which cost around £778 million. This deal offered the
organization with small sized stores that got linked with the supermarket division develop in the
year 2009, most of the Netto stores were only one fifth of the stores established by ASDA. Due
to this reason it sold more than 50 Netto stores according to the office of fair trading policies.
The cited organizations has a lot of competitors in the market that influence it to change and
develop various new and innovative strategies that could help in sustaining the market position.
TASK 2 : MARKETING AUDIT AND OUTLINED MARKET
ATTRACTIVENESS
ASDA is one of the fastest growing retailers in United Kingdom which is selling its
products and services at the lowest price in the market since 11 years. With respect to a division
of Walmart, it has revenues of around $32 billion in the year January 2010, which was 8.2% less
than compared to 2009.
Its vision and mission statement together suggests that ASDA aims at being the best
value retailer within UK by only satisfying its customers but ensure that it provides the lowest
priced products and services (Le andKarlsson, 2017). The company operates its stores in global
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market which is highly competitive as there are huge numbers of substitutes available. The
company focuses on offering wide range of products and service to their customers to attract
customers from each and every segments, age and culture globally. The company is the retailer
for food and non-food products and offers various products such as toys, apparel, food along
with services such as home delivery, insurance etc. ASDA owns a leading clothing brand in UK
named as George which is the Fourth Largest Retail Clothing Company in UK.
Examination of methods used by ASDA in developing marketing strategies
Proper marketing begins with considered, all around taught technique related with
showcasing. The progression of marketing strategy ought to be conceivable in the path
communicated as under:
1. Making compelling system out of publicizing: For making advancing methodology it is basic
to choose the targets and make progression of more grounded reputation with respect to the thing
(Kowalkowski and et.al, 2017).
2. Recognizing verification of the progressive targets: Identification of the business destinations
is basic while making market method. This is convincing in describing the set concentrations for
supporting them.
3. Communicating the advancing goals: in view of business targets specific course of action of
advertising destinations are portrayed. Such is convincing in stirring the gathering in setting the
benchmark for achievement of the accomplishment.
4. Research accessible: This is seen as basic bit of the showcasing technique. This fuses get-
together of information concerning the market that consolidates its size, advancement, social
examples and likewise financial.
5. Profile of the potential customers: the usage of measurable studying is being finished with a
particular true objective to devise customer profile that is being target and affirmation of their
needs.
6. Profile of competitors: As a bit of advancing procedure it is basic for ASDA to make
contenders profile through confirmation of thing, stock system, publicizing techniques and
furthermore esteeming.
7. Change of procedures for supporting promoting destinations: It is essential to make kind of
frameworks that can pull in the target market and hold them for longer navigate of time
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8. Use of 7 Ps of advancing: For progression of promoting procedure it is basic to impact
confirmation of the vital publicizing to mix with the utilization of 7 P's of advertising.
9. Testing of the considerations: For picking the techniques there is need to do online research
and test musings and approach on customers and staff and study the particular work.
Examination of decisions and choices that are created at corporate level
Inside the essential pyramid of the affiliation, corporate technique is at the pinnacle of the
pyramid. The genuine decisions of the firm are being taken at this level. Ansoff framework help
with making confirmation of the publicizing technique which business needs to get. If the
business needs extending the offer inside the present market of the present thing then it can grasp
the strategy towards diminishing the thing esteem with the objective that people can get it.
Certain conditions firm needs to visit new market close by the thing to improve the market. The
organization needs to settle on introduction of the new thing in existing business division. At any
rate at certain motivation behind time the business needs to keep running with additional
breakthrough exhibit through progression of new thing. Each one of the decisions that are major
are being taken at corporate level (Lambert and et.al, 2017).
As to pass on advancing survey in ASDA, data has been collected from basic and
discretionary sources. In such way, particular books, journals, magazines, appropriations, etc
mechanical assemblies has been studied which focuses around needed results and results in
ponder path at workplace. In light of assessment, it has been seen that association has effective
restricted time devices that gets huge zones of the market. It is the best way to deal with focus
around extending pay and advantage too. Corporate and furthermore advertising methodology
frequently blend or cover as a reason, distinction to predominant reasoning, essential
complement of advancing incorporates some portion of key organizing towards change,
assessing and thing transport. The two thought isolate in situation when corporate approach has
lesser to do with the progression of thing notice advantage and also bargains. In any case they are
phenomenally drawn in with advantage making. Corporate framework essentially lay emphasis
on advantage. Despite this it incorporates arrangement of the business structure, lessened in the
red for upgrading the advantage report of the affiliation, development of the thing or
organization line towards extending benefits or decreasing dependence on single thing, joining
with or purchasing other thing for generation of economies of scale. Advance it furthermore
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incorporates access to innovation and overhauling the volume of offers, reducing of cost of
overhead all together improve the net income.
On the other hand promoting strategy is considered as the plan that fuse making or offers
of the thing. They turn around the advancing mix. The system of advertising is contained
arrangement of the thing having exceptional favourable circumstances towards bargains, use of
channels which augment the advantages without impacting the brand picture and moreover use
of publicizing, electronic informal communication, open activities for supporting brand message
of the business The best organization of firm ought to be in close contact with their division of
elevating to decide the corporate methods which they have to look for after with the publicizing
arrangement of the affiliation
Analysis of marketing strategies of ASDA
Marketing information system
1. Decision support system – The flow of information within cited firm is stream-less from
bottom to top and vice-versa. It states that all the levels of management word in
coordination to make effective decisions.
2. Point of sales system – ASDA collect, use, protect and keep track of its financial records
and sales (Aaboen and et.al, 2017).
Micro environment analysis
1. Customers – ASDA shows maximum efforts in order to understand the needs and
demand of customers. It focuses on meeting these needs or demands effectively with the
help of their high quality and low price products. It also targets customers of every
segments such as price sensitive, healthy, traditional etc.
2. Competitors – The organisation has a huge number of competitors such as Tesco,
Sainsbury, Unilever etc. It is important for the cited organisation to design and develop
effective strategies that could
Online marketing campaign
ASDA also focuses on developing various types of Online Marketing campaigns that
helps the organisation in reaching large audience. The organisation promote its products and
services on various online platform such as social media, online websites, email marketing etc. It
also assists the company to communicate with the customers directly and collect customer's
feedback.
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TASK 3 : COMPETITOR ANALYSIS OF THREE MAIN INDUSTRY
PLAYERS
ASDA Plc is one of the leading supermarket and grocery store operating under retail
industry of United Kingdom. Retail industry in UK is characterised as one of the most
competitive industry. With other leading supermarket and retail organisations like Tesco, ASDA
and Morrisons, it becomes challenging for management of ASDA to retain their customers. Asda
is the well known retailer which is situated in UK. It is also the biggest retailer who contend with
different kinds of grocery store for example, Tesco, Sainsbury, Morrison, and so on. Asda helps
to pick up prevalence with buyer taste with picked business rival comfort and run with more
treks. Among every of the organisation Asda consider as the market pioneer. It takes approx one
third area of the market and reach the target customer early. For addition to its work it conveys
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Illustration 1: Marketing strategies
(Source: Marketing strategies- ASDA, 2015)

fixed basic supply benefits in regard to reach with various request which incorporates for
example comfort stores, grocery stores, departmental stores and so forth. To help a quite decent
position in the organisation Asda needs to focus around various methods and components which
helps in increasing upper hands. The basic fundamental contenders of Asda are as specified as
following :-
1. Unilever – The Unilever maintain the best most position as a whole world corporate
support-ability pioneer, Unilever takes after the sustainability living arrangement which
increase the company to focus all around enhancing the strength of its client by offering
pure, unadulterated and farming products. If organisation need to change this it will get
this change directly by using economical sources which will like wise help with reducing
the natural impact of their clients and above it help in expanding the revenue of the
organisation. So it is the best technique of arrangement and high combination of
managerial ability esteem inside the work force of the company. For some points like
items cost and market value Unilever is a noteworthy contender for Asda.
2. Tesco store – Asda's also have an extraordinary competitor's at worldwide level name
Tesco. The Tesco focus all around increase its image esteems and position in the context
of commercial focus. The company makes private code of behaviors and various
assessment forms to justify the support-ability of their products and services alongside
the creation procedure of the suppliers. The Tesco likewise has many numbers of stores
in UK and also in various countries around the world. This give them a special chance to
grow and accomplish a unique and quite decent position in the target market. The Tesco
offers number of substitutes and comparable products as offered by Asda. This situation
is danger for M$S which can like wise influence their market position and turnover.
3. Sainsbury – In UK retail sector there is another brand also “Sainsbury” which is driving
and fruitful brand in UK. Sainsbury has a particular specific organisational framework,
which help to them to support its own business sector to transform into dairy and
reasonable dairy segment. The Sainsbury's products are best and powerful and it offers
these products to its clients at cheapest price. It can possible because of an ease of
generation method. For all these situations it makes a high rate of rivalry for Asda which
is a noteworthy situation for them keeping in mind the end goal to maintain the market
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position. Sainsbury chiefly consider tasks with web based blasting resultant is internet
offering in the target market ceaselessly created.
Every organisation that is running their business for either trading or for manufacturing
and making profit, use different powerful techniques and methods for reach the specific
objectives and to achieve to end goal to accomplish a unique position in the market. Different
organisation use different marketing strategies. In every company's marketing strategy have
value proportion, key marketing messages, information on the target customer (Usui, 2017).
Marketing strategies use by some companies are as under:
Unilever:- Unilever's marketing strategies are depended on three fundamental points are said
underneath -
1. Individuals first – it is first and most profitable technique for grow its turnover. It defines
that Unilever simply focus on every person that is this implies they focus around genuine
individuals, genuine lives, wants and needs. This is the main technique for promotion by
Unilever.
2. Vital brands – Unilever make brand vitality with particular and clear reason for
increasing its brand value and for goodwill.
3. Impressive experiences – the third and most effective technique for better performance is
impressive experience. Unilever use this for their clients so that they have an awesome
ordeal while dealing with them. To hold potential customer and pull new customers, the
organisation centres around offering successful administrations and good quality items
along with pleasures.
Tesco :- Tesco company got more than vital marketing comparatively ASDA. Tesco have
numerous upper bands in their promoting methodologies and increase its turnover at high rate.
Its methods related to marketing strategies are as follows -
1. Division technique – The Tesco make its product accordingly to its target customer
preference. It keeps these things in their mind for their clients and their needs. Tesco
received help from a different type of system which is statistic and psycho-graphic
division. It helps to Tesco to understand that what is going on in their clients mind. The
organisation focus around new and offering items to the clients at cheaper cost in that
time when contrasted with the contenders (Gummesson and et.al, 2017).
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2. Situating technique – Tesco use this technique for a wide verity and this methodology
likewise assumes a most fundamental part in the Tesco's prosperity the organisation has
established itself as an association that offering low price goods and administrations to its
own clients in the commercial focus. It reaches its plan of action from embraced
evaluating methods of interest and accomplish in the time frame. For reducing its cost
and optimize its profit, it has eliminated different retailers since the most recent couple of
years through its various tasks.
Sainsbury :- Sainsbury a different type of organisation increase their sales use this technique
that is to offer items to customer at extremely modest or take amicable costs. This organisation's
totally focused on directing value mindfulness crusade with a particular end goal to contact with
more and more clients and offering them goods and services at low rate. For encourages to the
clients the Sainsbury is delivering its own dairy products to its clients to fabricate items requiring
little to no effort. Sainsbury promote with a technique which is totally relied on the value
adequacy (Villeneuve and Pasquier,2017).
TASK 4 : MARKETING MIX
Marketing Mix is extremely basic and simple approach in the showcasing capacity of an
association, It alludes to the correct situation of the correct component at ideal time and at the
correct cost. Different association, for example, the ASDA apply the instruments of advertising
blend inside their arranging procedure for the successful accomplishment business objectives and
destinations. Showcasing blend approach enables each sort of business to outline a successful
advertising to design to draw in clients and increment the offers of an item or service. It focuses
around every last component or factor of promoting blend keeping in mind the end goal to
advance their items through noteworthy advertising procedures. Marketing Mix incorporates 7
P's which are primary components of this approach. The components of Marketing blend or 7 P's
are portrayed as underneath -
 Product – ASDA offers a wide range of products and services to its customers, variety of
products includes electronics, food and nor food products as well as services like
insurance and banking. The company also have a leading clothing brand known as
George in United Kingdom that serves a huge number of customers with high quality
apparel online and offline. The primary component or segment of advertising is the
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product which should be advanced. The Marketing blend hypothesis expresses that the
item delivered should fit the movement or legitimize the need of the purchaser. It ought
to fulfill the buyer by filling in not surprisingly by them. The ASDA centers around
assembling powerful items which are imperative for the customers and can satisfy their
requirements. This encourages the organization to expand deals and keep away from
wastage of the created items (Chernev, 2018).
 Price – The hypothesis expresses that the result of an association ought to be estimated
by its fulfillment level which implies the item ought to speak to great incentive for cash.
This does not imply that the item ought to be shabby, clients ought not waver to pay the
cost while acquiring it. The ASDA considering this factor center around successful
evaluating of its items guaranteeing that item is advocating the cost.
 Place – It is critical to ensure that the buyer can without much of a stretch find and access
the items or administrations of the organization. The items ought to be accessible to the
customer at territories which are simple for the shopper to shop at. ASDA have different
stores in general UK and furthermore have online site for the shopper to access and in
addition buy the items easily.
 Promotion – The promotion incorporates different showcasing instruments, for example,
deals advancement, promoting, PR, Personal offering, Social media and other advertising
apparatuses which are essential for conveying the data of an item to the buyer. ASDA has
an amazing showcasing and advancement procedure which utilizes every one of the
apparatuses, for example, media publicizing, limited time battle, rebates and so on for
advancing their items and increment the offers of another item propelled.
 People – Each and every association is subject to the general population or
representatives working at each an each level of the organization, from the front staff to
the overseeing executives. The general population working in ASDA are vital for the
hierarchical activities to be viable and proficient and in addition accomplishing the
business objectives or destinations. The workers of ASDA assumes a critical part from
the generation to the offer of different results of the organization.
 Processes – The customer is additionally influenced by the administration of conveyance,
the items must be conveyed successfully or administrations of an association to convey
the items must be amazing with a specific end goal to fulfill and enhance the shopping
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background of the customer. The ASDA center around giving powerful after deal
administrations to the customer so they construct great business association with their
organization.
 Physical evidence – Each and each administration gave by an association comprise a few
or the other physical components, ASDA focus around giving physical proof of any
purchase made by the customer, regardless of whether they are paying for an immaterial
thing the customer are given some physical confirmation of the item obtained (Moutinho
and Vargas-Sanchez,2018)
CONCLUSION
The above report concluded that marketing is very essential for promoting products and
services of an organization or business. Promotion of goods and services helps in increasing
sales and profitability of a business or company such as ASDA. The report identified various
marketing tools and techniques used by the cited company to advertise its products in the market.
A brief competitive analysis of three main competitors has been also included in this report along
with marketing mix of ASDA.
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REFERENCES
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public sector. Routledge.
Usui, K., 2017. The development of marketing management: The case of the USA c. 1910-1940.
Routledge.
Gummesson, E., 2017. From relationship marketing to total relationship marketing and
beyond. Journal of services marketing, 31(1), pp.16-19.
Aaboen, L., La Rocca, A., Lind, F., Perna, A. and Shih, T., 2017. Starting up in business
networks. London: Palgrave Macmillan.
Lambert, D.M. and Enz, M.G., 2017. Issues in supply chain management: Progress and
potential. Industrial Marketing Management, 62, pp.1-16.
Kowalkowski, C., Gebauer, H. and Oliva, R., 2017. Service growth in product firms: Past,
present, and future. Industrial marketing management, 60, pp.82-88.
Mason, K., Chakrabarti, R. and Singh, R., 2017. Markets and marketing at the bottom of the
pyramid.
Le, T.H. and Karlsson, M., 2017. A Review of Exhibit Marketing: A Nordic School Perspective.
Online
Marketing strategies- ASDA, 2015 [Online]. Available
through:,<http://www.thedrum.com/news/2011/02/01/asda-told-asa-make-its-price-guarantee-
advertising-clearer>
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