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Marketing Strategy and Plan PDF

   

Added on  2021-05-31

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Running head: MARKETING STRATEGY AND PLAN Executive SummaryThis study is aimed at designing a marketing plan for Supabarn which has come to the existence in 1991; however, could not expand beyond Canberra and New South Wales. The paper identifies that the company does not make significant investments over infrastructural changes. This is why the paper recommends that Supabarn should expand to other cities in Australia. The paper does the external market environment analysis and also the industry analysis. The paper also highlights the customer analysis along with it SWOT analysis is also being given. These are done to collect the information and effectively design the marketing plan for Supabarn.

1MARKETING STRATEGY AND PLANTable of ContentsIntroduction...........................................................................................................................................2Situation analysis...................................................................................................................................2SWOT analysis.......................................................................................................................................6Target market........................................................................................................................................8Positioning.............................................................................................................................................9Marketing mix strategy..........................................................................................................................9Implementation and Evaluation..........................................................................................................10References...........................................................................................................................................12

2MARKETING STRATEGY AND PLANIntroductionSupabarnis an Australian based supermarket chain headquartered in Canberra. The foundation of the company was laid in the year 1991. The company is not as bigger as other supermarket giants in Australia such as Coles and Woolworths; however, Supabarn has significant existence infew parts of Australia (Supabarn.com.au, 2018). It is one of the brick & mortar formats of stores that uses a more or less the same strategy for departmentalization such as administration, liquor, service and others (Supabarn.com.au, 2018). The number of employees in this company ismore than 800 (Supabarn.com.au, 2018). The first store of Supabarnhad come up in 1991 in Canberra City which had closed its door in 2016 (Supabarn.com.au, 2018). According to the suppliers, the marketing strategies of Supabarnis hampering its growth and causing problems for the company in keeping a race with giant companies such as Coles and Woolworths. Suppliers have found Supabarnas highly concerned for the quality of products and pricing strategies; however, it has not been able to influence the family, quality and community as beingdone by Coles, Woolworths and Aldi (Supabarn.com.au, 2018). Additionally, the company also fall behind to its competitors in terms of investments in infrastructural changes and the strategic plans for ‘out of stock’ issue. Situation analysisPolitical forcesThe political factors in Australia largely influence the business of Supabarn. The duopoly of Coles and Woolworths is vastly popular and their dominance in the supermarket industry has actually prevented smaller retailers from being into the competition. One of such factors is the recent announcement made by the Australian Federal Government on the competition policy. As per the policy, the dominance of duopoly will no longer prevail and will ease out ways for others as well (Austrade.gov.au, 2018). To support the policy, the government is also allowing the potential retailers, the attractive land spaces for stores, approving their infrastructural investments and supporting their market expansions. The supermarket industry which at once was challenging for others has now gone through a radical change. Consequently, the change can be evidently observed in the incrementing success of Aldi in the Australian supermarket industry. The German based retailer with its innovative supply chain strategies and the cost-effective business model is continually creating worries for giants such as Woolworths and Coles (Alley, Bentley & James, 2014). It means that the changed political factors can be supportive to the growth of Supabarn if it works efficiently on its marketing strategies. Economic forcesThe tough economic condition in Australia has benefitted the supermarket industry. The economic conditions have encouraged people for preferring to eat at home than by going outside for it. Additionally, customers could not resist their temptation from purchasing at the supermarket stores as they now have the incremented desires to cut on their household costs.

3MARKETING STRATEGY AND PLANThey are concerned with the rising utility bills and childcare costs. In the highlighted circumstances, the supermarket stores as such the Coles are highly preferred for their cheaper pricing strategies (Wardle & Chang, 2015). The rising threats from Aldi have forced the giant supermarket brands Woolworths and Coles to consider a reduction in prices and offer customersthe competitive prices (Wardle & Chang, 2015). Supermarket giants may face the challenge in maintaining its competency in the pricing strategies as the energy costs and the input costs are climbing. Despite the fact, suppliers of giant supermarket brands believe that it is very difficult toincrease the prices to compensate the incremented costs as the customers of Coles will not accept it (Zulqarnain, Zafar & Shahzad, 2015). Socio-cultural forcesFew of the consumer trends in the Australian supermarket industry are a matter of concern for Supabarn. Increasing demands for private label products are one of those trends. Such products are much cheaper than the branded products. Hence, Australians have shown an inclining trend for such products which is also justified considering the challenging economic conditions. This is also the reason why Aldi is ahead to Coles in terms of rate of sales (Glynn & Widjaja, 2015). Shopping online is another trend which is a threat to Supabarnas it does not have a competitive platform like Amazon has. The platform is still underdeveloped which means it has ample of opportunities for e-commerce service providers like Amazon (Thananuraksakul, 2018). Buying the fresh grocery items is growing in demand due to the rising awareness of environmental threats. The coverage on environmental facts on the various media resources like Newspapers and the News Channels has produced the ample of accessible information resources. Hence, customers are now getting educated on environmental facts which are why it is important that Supabarnis able to offer customers the fresh items (Vu, Phan & Cao, 2015). Technological forcesThe Australians are yet to get the opportunity to purchase through Amazon as it is still to initiate its business in the country. However, it is also notable that customers, once they shop through Amazon they get to know the range of products and the shopping experience offered to them. The range of products and the shopping experience on Amazon play an utmost role in influencing the perception of customers (Pappas et al., 2016). On the other hand, the supermarket giants have struggled to flourish their online shopping platforms. They have failed to improvise the online services due to low investments in the system. This means supermarket brands are not in a place to put any competition to Amazon. Hence, there is a need for technological advancement in the online shopping platforms, so that, Coles is equally competitive in terms of providing the online shopping experience to customers (Pappas et al., 2016). Legal forcesThere are certain legal restrictions which may be the factors of worry for Coles. The Federal Government of Australia has made significant changes to the competition laws. The new competition law is against the dominance of duopoly of Coles and Woolworths. This would rather allow others such as Aldi to capitalize the advantages from (Austrade.gov.au, 2018). Additionally, the quality of products is also strictly monitored as in some cases customers are misled by premium features sold to them that never exist. In addition to it, the innovation fails when it does not maintain the integrity issue (Austrade.gov.au, 2018). The changed legal

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