Strategic Marketing Report: Metro Retail Stores Group Analysis

This report provides a comprehensive analysis of the marketing strategies employed by Metro Retail Stores Group, a supermarket chain in the Philippines. It includes a PESTLE analysis to assess the macro-environmental factors influencing the company, an internal SWOT analysis to identify strengths, weaknesses, opportunities, and threats, and a competitor and customer analysis to understand the market landscape. The report outlines the company's marketing objectives, target market, and positioning strategy. Furthermore, it develops a marketing mix strategy based on the 7Ps of marketing, providing recommendations for implementation and evaluation to achieve the company's marketing goals. This detailed analysis aims to enhance Metro Retail Stores Group's market performance and overall profitability.

Marketing
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Executive summary
This report has been developed on the Metro Retail Stores Group supermarket. This company
has belonged to the Philippineswhich are developing the nation. This supermarket has long chain
under the boundaries of the country. This report has been developed on the marketing strategies
to attain marketing objectives. PESTLE analysis has been conducted to analyse the factors
related to macro environment affecting the organisation. Internal analysis has also conducted in
this report to analyse and identify the strength, weakness, available opportunities and threats of
the company. Competitor and customer analysis have be4en made under this report on the basis
of its marketing objectives have been determined. Marketing mix strategy has been developed in
this report to attain marketing objectives.
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Table of Contents
Introduction......................................................................................................................................4
Situational analysis (PESTLE)........................................................................................................4
Customer and client analysis...........................................................................................................7
Competitor Analysis........................................................................................................................8
Marketing Objectives.......................................................................................................................8
Target market ad Positing................................................................................................................9
SWOT analysis................................................................................................................................9
Marketing mix strategy..................................................................................................................10
Target market Implementation and Evaluation.............................................................................12
References......................................................................................................................................15
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Introduction
Marketing is a vital subject for an organisation working in with higher financial investment on
which this report will focus. Marketing concept is has enhanced its scope to with marketing
analysis and promotions of products. This report is based on Metro Retail Stores Group which is
a retail supermarket. This company belongs to Philippines where it has large chain of superstores
in different cities. The company has approximately 46 stores and 9000 employee’s workin the
company. VicsalDevelopment Company is the parent company of this supermarket organisation.
This report is based on the marketing strategy of the company and it will contain situational
analysis based on the country. PESTLE analysis tool will be used for situational analysis and
after it, SWOT analysis will be conducted in this report to analyse internal environment. After it,
the report will present the marketing objectives, target market, positioning strategy used by the
company. 7p’s of marketing will be analysed in this report which can be used by the company to
attain its marketing objectives. At the end of this report will implement and evaluate the 7p’s of
marketing for the company.
Situational analysis (PESTLE)
Situational analysis mainly focuses on the external environment or situations which are affecting
on the business of a specific organisation. PESTLE analytical tool is effective to analyse those
factors which are underpinned in the macro environmental. PESTLE analysis of the company is
given below:
Political
Government and political parties are included in this section to identify and analyse their effects
on the company. Philippines now have a democratic system which has developed stability in all
sectors (Timberman, 2016). Government policies are positive for the growth of industries for
development in all areas. Effective government policies are developing a better working
environment for that organisation which is working with high financial investment. Democratic
system has developed stability in the government to set their vision for the development.
Government laws and policies are suitable for retail organisation which has provided huge
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support for business expansion in that geographical market which is remaining. Metro Retail
Stores Group has positive influence of the political factor from recent years which is required in
future also for the business development.
Economic
Figure 1: Philippine Interest Rate
Source: Trading Economics, 2018.
The above-presented graph is showing the interest rate of Philippine central reserve bank to
provide loans to the regional authorised bank. It has been analysed that ReserveBank of
Philippine has increased its interest rate by 0.25%. Currently, the interest rate is 3.25% on which
people can get loans.
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Figure 2: Philippines GDP growth rate
Source: Trading Economics, 2018.
Above presented graph is defining the current GDP growth rate of the country in the last quarter
of 2018 Philippine has retained 1.5% an average growth rate in their GDP. On the basis of this
economic analysis of Philippine, it can be concluded that rate of interest is lower and GDP
growth rates are stable which indicates the positive economic condition of the retail market
companies.
Social
Socio-cultural comes in this factors whichcontain the potential to impact on the organisation.
Most of the people are belongs toRoman Catholic religion in the Philippines. People highly
believed in their religion and culture. People are free to conduct their traditional rituals which
also belong to a religion (Sondereggerand Sauer, 2013). Government and society are now
focused to educate people more to enhance literacy in the country. Developed societies are
focused to get new products and services as compared to those people who belong to rural areas.
Social development has forced people to adopt development which has helped them to develop
their standards of living.
Technological
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Technology is a subject which has regular development and change which has created a vast
effect on each and every industry. It is essential for the organisations to make changes
accordingly in their technology used in the company. Cloud storage, wearable applications and
use of digital technology in the supply chain management is essential changes which have
enhanced the working capabilities of organisations. It is the prime need of the company to use
and adopt these changes in their acts to enhance their working abilities. Technological
advancement enhances the potential for the organisation to deliver better services to targeted
customers.
Legal
Minimum wages, employment acts, consumer protection acts are working in this segment which
is affecting the retail organisation (White, et. al. 2015). Government and legislative assembly are
focused to protect the rights of employees and customers so it is essential for the company to
develop its own policies accordingly.
Environmental
The Philippinesare situated on West Pacific ocean which separates it from the other countries. It
has less pollution and positive working climate. It provides effective conditions to organise
business activities in the whole working year.
Customer and client analysis
It is essential for the company to work according to the targeted customers. It has been analysed
that customers are highly tended to get higher quality products which are durable and higher in
quality. It is also significant to describe that customers are also want to buy products at
competitive and economicalprices so it is essential for the company to work accordingly
(Enriquez-Magkasi and Caballero, 2014). Metro Retail stores group works in the bakeshop, food
dining, grocery, vegetables and fruits etc. which are directly related to the customers. It is
essential for the company to accomplish the basic requirements of the customers on which
customers are focused to attain.
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Competitor Analysis
Ever Supermarket is the competitor company of the Metro Retail Stores Group Country-
Philippines which is also a family oriented and retail outlet company that deals in the low to
middle finance group of customers. It focuses on providing completely affordable goods to the
customers and thereby providing complete satisfaction to its target. The company constantly
focuses on making the complete satisfactory product and services. The company gives tough
competition to the Metro Retail Stores Group Country. It focuses on the each and every area of
working that has direct or indirect connection with the customer satisfaction of the customers.
The company makes efforts to provide completely providing feeling to the customers feeling of
homely. Since 37 years it has been working in this direction and therefore it is considered as the
tough competitor of Metro Retail Stores Group Country. The company also focuses on the all
human resources of the organisation and gives them compete training to its employees for
improving their interpersonal skills. Therefore the Metro Retail Stores Group Country must work
for focusing on all complete areas of working starting from the products in which it is dealing
and the resources that deals with the organisation.
Marketing Objectives
Metro Retail Stores Group Company is likely to work with the object of improving the
performance of the company by focusing completely on the production and distribution
management of the company. The company will also focus on improving the quality of the
services by focusing on bringing the quality improvements in all services that are rendered by the
company. The company focuses on maximising the profits by making qualitative improvements
in the products of the company. The company is also focusing on the competitor position
analysis as well with the object of making effective strategies to deal with the competitors of the
company. In this way the company is focusing on the object of improving overall performance of
it with the help of bringing the significant changes in the manner of working and adopting the
strategies. The overall functioning of the company is likely to be improved under the object of
making better profits by the company (Belz and Peattie, 2012).
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Target market ad Positing
The company is likely to target each and every customers group which includes the rich, poor
and medium group. The company will have to prepare its product in such a manner that it does
not loose any target group of customers. The object of the company of proving the products and
services to the customer with the homey feeling must not be overlooked. So as to focus on the
target customer group the company will be preparing the product that are qualitative as well as
cost effective for the lower and medium group and the company will focus on richer section by
providing them best products irrespective of focusing on the cost of the products so that the
luxury product demand can be met by the company and they can be satisfied for their demands
(Wilson and Gilligan, 2012).
SWOT analysis
The internal environmental analysis is significant to conduct for which SWOT analytical tool is
effective to use. SWOT analysis of the company is given below:
Strength
 Positive brand image: Company has a positive brand image which helps them to attract
new customers and it also helped in the reliance of the customers.
 Experienced employees: Experienced employees are the asset of the company which
enables it to beat any kind of market condition.
 The range of products: Large range of products is the strength of the company which
enhanced its grip on the targeted market.
 Positive working environment: Positive working environment enhance capabilities of
people to work and develop better outcomes for the targeted audience.
Weakness
 Technology: Metro Retail Stores Group is not technologically advanced which creates
disabilities to provide better deliverables as per the market expectations.
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 Coordination and communication: Lack of coordination and communication is another
aspect related to the weakness of the company.
 Decision making: Decision-making powers are handled by the higher management which
differentiates employees from the higher management. Participation has to be increased
by the management with the employees by using their employee’s suggestion in the
decision-making process.
 Employee’s engagement: Lack of the employee’s activities decreases engagement of
employees in the organisation. It is essential for the company to engage effectively
employees in the organisational work.
Opportunities
 International market: It is full from opportunityin which company can expand its
business.The company have to use this market opportunity which enablesits to gain more
profits and revenues (Habaradas, 2013).
 Grocery retail: Metro Retail Stores Group has to expand its business in the grocery retail
market. This vertical integration will provide a large market demands t with the company
which can be used to enhance their revenues and profits.
Threats
 Economic fluctuations: It is the major factor which can influence the Metro Retail Stores
Group business. Regular and proper economic analysis has to be used by the company to
develop and design appropriate policies.
 Market competition: It is another threat aligned with the Metro Retail Stores Group.
Different companies are working in the retail superstore's segment which has increased
the rivalry which impacts on the sales and profits of the company.
Marketing mix strategy
It is effective to design 7p’s of marketing to enhance the potentials for the company to attain its
marketing objectives. Different factors which are considered under the marketing mix strategy is
given below:
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Product
Grocery products are prime and core product for the company which has huge sales in the
supermarket section. It is essential for the company to develop and design their products
according to the market needs. They have to use customer’s feedbacks and market survey for the
betterment of the products as per the customers and market needs (Baroto, et. al. 2012). Metro
Retail Stores Group supermarket has to use the disposable material in the packaging of the
products for environmental benefits and develop a better and positive brand image among the
targeted customers. The company have to print their labels products and packaging which can
help the company to enhance brand image.
Price
It is essential for the company to work on the customers and market needs. By the customer
analysis,it has been analysed that most of the people belong to the Philippinesare tended to get
qualitative products on the cost-effective pricing (Dan, et. al. 2012). It is essential for the
company to use cost-effective or competitive pricing strategies for their products. Currently, the
company is having in use premium pricing which restricts them to the premium market. It is
essential for the company to develop their market by using cost-effective and economic pricing
to enhance their customer's database.
Place
Currently, the company has owned and used the brick and mortar concept for the distribution of
the products in the targeted market. Manyof the companies are using this concept which has a
huge investment and operational cost. It also restricts to the company in a geographical market
segment so it is essential for the company to develop its limitations to deal with the
customers.Metro Retail Stores Group supermarket has to use online distribution channel which
enhances the opportunities for the company to deal with the largemarket. Different companies
are using this concept which helps them to enhance their operating profits and revenues. Metro
Retail Stores Group supermarket has to develop their supply chain management accordingly to
maximise their reach to the targeted customers to enhance sales.
Promotions
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Currently,Metro Retail Stores Group supermarket is using print media for promotions of the
product and offers in the market. Magazines and newspaper are the prime mediators considered
in the print media (Glanz, et. al. 2012). It is a traditional type of medium for product promotions
so itis essential for the company to use effective media and sources based on latest technology.
Social media and electronic media should be used by the Metro Retail Stores Group supermarket
to promote their products and offers in the targeted market. Facebook, Instagram and YouTube
promotions are effective to convey message faster and effective manner.
People
It has huge significance in brick and mortar concept so it is essential for the company to develop
some effective training program to enhance the communication capabilitiesof the employees.
Metro Retail Stores Group supermarket has to provide training to its employees for effective
communication and new technology.
Process
Metro Retail Stores Group supermarket is based on the brick and mortar concept in which they
used direct sales to the customers. Now it is essential for the company to make changes in their
selling process. They have to develop online selling process and supply chain management
accordingly to enhance their sales with the technological advancement.
Physical Evidence
The ambience of outlets creates a significant effect on the customers so it is essential for the
company to make changes in their interiors. LED lights, internal promotions, music and LED
display indicators to have to be used by the company to enhance the internal ambience of the
company for its targeted customers.
Target market Implementation and Evaluation
The target market can be explained as the market in which company wants to sell its product and
services. In this market, they target the customers that direct the efforts of the marketing. The
essential step of the marketing is to identify the target market through developing the marketing
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