The Nature and Importance of Marketing Mix in the Marketing Process - Sainsbury's Case Study

This report discusses the concept of marketing mix and its importance in the marketing process. It provides a theoretical explanation of the 4Ps of marketing mix and applies it to Sainsbury's, a leading supermarket brand in the UK. The report also covers the introduction of a new product range and its application to the marketing mix. The report concludes by emphasizing the importance of evaluating marketing mix for effective marketing operations.

The nature and importance
of the marketing mix within
the marketing process
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Table of Contents
Introduction.....................................................................................................................................3
An explanation of marketing ..........................................................................................................3
Marketing mix.................................................................................................................................3
Theoretical explanation of 4Ps of marketing mix of Sainsbury's....................................................4
Introduction of new product range..................................................................................................5
Application of 4Ps of marketing mix to the selected product ........................................................6
Product........................................................................................................................................6
Price............................................................................................................................................6
Place............................................................................................................................................7
Promotion....................................................................................................................................7
Conclusion ......................................................................................................................................7
References.......................................................................................................................................8
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Introduction
The function of marketing is associated with the promotion of selling of goods and
services in order to induce customer base and to increase brand awareness. An organization
adopts a range of techniques and methods in order to increase its customer base and to develop
high brand image. The concept of marketing mix is very prominent and the decisions regarding it
has high influence on the overall process of marketing. In this individual report, the concepts of
marketing and marketing mix is being discussed both in general and in context to an
organization. The chosen organization for this report is Sainsbury's which is a leading
supermarket brand of UK (Aguilera and Grøgaard, 2019). The company is operating worldwide
indicating high market presence and significant brand image with a huge base of loyal
customers.
An explanation of marketing
Marketing refers to the process where a business attempts at increasing awareness of a
product or service among customers to increase revenues. It refers to the activity where an
organization attempts at increasing customer base through applying various techniques of
promotion including advertising, personal selling techniques, campaigns, commercials etc.
marketing is a significant function in the course of an organization as without proper marketing
techniques, consumers remains unaware about the values and offerings of a company.
Marketing mix
Marketing mix refers to the seven components which determines the engagement of
consumers in an organization. The choices regarding the seven elements known as P's described
in marketing mix are crucial as all these elements have direct or indirect influence on how much
a consumer would be attracted towards services offered by an organization. The seven P's of
marketing are explained below:
Product: It refers to the commodities that an organization offers to individuals for the
purpose of satisfying their desires and requirements. The choices regarding the product is highly
crucial as it directly impacts customer engagement through determining their inclination and
preferences. The product or service that a company offers plays a major and most important role
in the process of marketing (Biswas, Lund, and Szocs, 2019). The range of products that an
organisation offers decides its costing structure and need of finances as well.
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Price: It is another major element which is directly associated with customer engagement
as a rational consumer always wants to purchase an item which provides maximum utility at
most reasonable price. Pricing factors are substantial in marketing process as organization tries
to induce consumers through offering discounts which affects its pricing strategies.
Place: Another crucial determinant of marketing mix is place which refers to the
location where a product is displayed or service is offered so that customer can avail it. The
choice of place is significant for a company as it decides the extent of accessibility of goods or
services to consumers (Colliander and Marder, 2018). Consumes are likely to purchase from
stores which are easily accessible to them or in centre location audience is highly engaged.
Promotion: It refers to the techniques and methods which are adopted by a business
enterprise in order to enhance customer base or to maximise customer engagement. An
organisation is engaged in adopting various techniques in order to promote its goods and services
in the market. This element of marketing mix is highly important as without effective promotion,
consumers remains unaware about existence of a company which overall impacts upon its
customer base.
People: It refers to the individuals which are associated with functioning or existence of a
company including all its major stakeholders such as consumers, suppliers, investors, employees
etc.
Physical evidence: It refers to the proof of a business existence which includes
everything that a consumer observes while interacting with a business enterprise.
Process: It relates to all the actions that a consumer undertakes in order to avail or access
a product or service.
Theoretical explanation of 4Ps of marketing mix of Sainsbury's
Product: The product range of Sainsbury's is vast and it provides a variety of products to
the consumers as well as it constantly innovate and add on new varieties and innovations in its
product range (Ji and et.al., 2019). The company has around 30,000 product lines including
ready-to-eat meals packages and confectionery products and a range of food offerings. In
addition to this, it has its TU range, a clothing line as well as home collection range which
includes kitchen appliances etc.
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apart from this, the company also owns a bank which is providing major financial services to its
customer base.
Price: The pricing strategy of the company is based on the criteria that it charges the
consumers according to the value and utility that it offers. Therefore, it decide its pricing
strategies keeping in mind the criteria that of high quality and providing innovative products and
services to consumers for maximum engagement and retention. Pricing decisions are crucial for
an organisation as it has direct impact on the company's sale. Sainsbury's has adopted a
competitive strategy for the purpose of its price fixing (Maderer and Holtbrügge, 2019). The
organisation make effective use of the policy of price discrimination according to the product's
positioning. The company use tactics where it provides some basic and kids products at
relatively low prices while maintaining top quality standards thus attracting a large range of
customers. This is the main strategy that the organisation has adopted and is greatly benefited by
it through earning a total yearly revenue of more than 25 billion in dollars.
Place: Sainsbury's is operating globally including countries such as Scotland, Ireland,
Belfast as well as north east united states etc. the organisation operates in approximately more
than 500 supermarkets making its products highly and widely available as well as accessible to a
range of customers. It owns 700 convenience stores which remained opened for 24 hours except
a few which gets closed at mid-night on Fridays. Presently the company manage to own 10
regional distribution centres along with two national distribution centres.
Promotion: The organisation has adopted various promotional techniques and methods
in order to promote its goods and services all across the world. The company make effective use
of above the line as well as below the line promotional tactics in order to attract consumers
towards its products and increase brand awareness. The enterprise is engaged in promoting its
brand through advertising and sponsorships (Munaro, Tavares and Bragança, 2020). It uses a
range of media platforms including television and radio for its brand promotion and make
effective use of sales promotional techniques like packaging strategies as well as database
marketing. The company promotes it brand currently under the slogan “live well for less” which
implies its values and vision.
Introduction of new product range
The company has launched a variety of vegan products and ranges to meet with growing
demands of people leading a green lifestyle and consumes vegan food items. Due to the
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increasing preferences of population of UK to lead a plant based life, the company has added a
range of new items in its product line. The organisation is aimed at expanding its magnitude of
product range as well as customer engagement through providing meat substitutes which are
highly delicious,nutritious, fresh as well as healthy choice.
Application of 4Ps of marketing mix to the selected product
Product
The product range of Sainsbury's vegan food items has expanded and it has started
offering consumers a variety of vegan items (Orsini and Marrone, 2019). Approximately 30 new
grocery, fresh and frozen products are included in the expanded range which are banana
blossom, Peking no duck jackfruit, fish-less fingers, No Lamb Shawarma jackfruit, sweet and
smoky BBQ etc. The new products are added in Sainsbury's existing line of vegan foods
includes vegan steaks, shroomdogs, cheddar, style kievs and hot and spicy goujons. Through
extending its product line, Sainsbury's has enhanced its marketing activities and it is aiming to
increase its customer base through fulfilling their requirements and enhancing satisfaction. The
company is aimed at achieving high customer engagement and builds its brand's significance
through adding a range of new delicious vegan products. The company was awarded best vegan
supermarket through vegan food UK and is appreciated by PETA for vegan produce. The
organisation has expanded its product range with a view to retain its existing customers as well
as to attract new conumsers towards its services.
Price
Pricing strategies followed by Sainsbury's for its vegan product range is based on the
criteria of quality and utility the organisation offers to its customers. The organisation has fixed
prices according to taste and quantity that is offered in packages and quality is always an
important aspect for the enterprise to consider while deciding prices (Shahzad and et.al., 2018).
The vegan produces and packages of the organisation are relatively cheaper and less expensive
as compared to its meat based products. The shroomballs with jackfruit are priced at 2.50 euros
and golden fishless filets are recorded to be priced at 3.50 euros. The organisation has made a
pricing strategy where many vegan varieties fall under the category of 2.50 euros which it
implies that a number of company's launced varieties are available at this price. Likewise, it has
added a range of products varieties in the price range of 3, 3.50, 2.25, 3.80 and 1.50 etc. all
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varieties of vegan pizza is available at 3.80 implying that the company is charging affordable
prices to its consumers satisfying needs and requirements of middle level income groups. The
organisation is attempting at inducing its customer base through providing high quality and fresh
products available at affordable and reasonable prices.
Place
All the newly launched varieties in vegan product range of the organisation is placed at
its regular offline stores which are accessible and available to its loyal customers. The plant
pioneer product range of the company has launched in stores as well as on online marketplace of
Sainsbury's (Wongkitrungrueng and Assarut, 2020). The organisation is aiming for high
engagement of consumers through improving the accessibility of its product range to all types of
consumers. The online offerings of vegan products ensures the availability of its innovations in
remote areas as well. Through making its newly launched offerings available at online
marketplace, the company is enhancing the reach of customers and improving their convenience
as well as accessibility to the products. Place is an important element in the marketing mix and
thus Sainsbury's assures and fulfil the criteria of effective marketing mix through making it
widely available as well as in reach of consumers.
Promotion
The company Sainsbury's uses various promotion techniques such as sales promotion and
media to launch its new vegan products in the market. For this company uses to promote by eye
catching tag lines and modes of advertisements like television, radio, newspaper etc. by
attractive and mouth watering pictures. In order to launch new vegan products in the market
Sainsbury's gives various offers like giving gift vouchers, discount offers, buy one get one free,
price cut etc. which helps in increase the sale and market share. It tells their customers various
uses and advantages of vegan products and why they should use them which influence them to
buy. It is an expensive and essential tool of marketing mix as it makes them buy a products and
grabs their attention. It provides this products in an attractive labelling and packaging as this also
used to gift to their loved ones (Yamakawa, Qin and Mussatto, 2018).
Conclusion
From the above report, it has been concluded that the concept of marketing mix is very
important in the function of marketing. The elements of marketing mix are associated with
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customer engagement and decides how much a consumer is likely to consume from an
organisation. The choices regarding products, prices, promotional techniques as well as locations
of place have a direct influence over customers. Sainsbury's effectively promotes and conducts
its marketing functions and pays emphasis on all elements of marketing mix in order to enhance
its overall growth and performance. The importance of evaluating marketing mix is prominent
within the marketing process as it is necessary to examine every element of marketing mix for
effective marketing operations.
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References
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