Marketing Plan for Morrisons Food and Drinks Section

This marketing plan explains the process of planning the marketing strategies of the food and drinks section of Morrisons Plc in the UK. It includes SMART objectives, PESTLE analysis, SWOT analysis, STP approach, marketing mix, competitor analysis, budget, and monitoring & control.

Marketing Plan

Table of Contents
Overview......................................................................................................................................3
Vision...........................................................................................................................................3
SMART Objectives.....................................................................................................................3
PESTLE Analysis........................................................................................................................3
SWOT Analysis...........................................................................................................................4
STP Approach..............................................................................................................................4
Marketing Mix.............................................................................................................................5
Competitor Analysis....................................................................................................................5
Budget..........................................................................................................................................5
Monitoring & Control..................................................................................................................6
REFERENCES................................................................................................................................1

Overview
The following marketing plan will be explaining the process of planning the marketing
strategies of the food and drinks section of the Morrisons Plc in the UK. The Morrisons Plc thus
trades in the products likes bakery & cakes, seafood, meat, fruits & vegetables, chilled processed
products, pastries, rotisserie, coffee, porridge, salad bar, fresh meat & fish. Etc. It also offers
door – to – door delivery of these food and drinks to the customers through its online website.
Also, as of 2021, it owned and operated around 497 supermarkets across England, Scotland &
Wales and one supermarket in Gibraltar.
Vision
The vision statement of the Morrisons talks about making and providing food that it is
wholly proud of and where efforts of everyone is of a value to allow people to afford and enjoy
what they are eating.
SMART Objectives
The objectives of Morrisons regarding the food and drink section needs to be SMART
i.e., specific, measurable, achievable, realistic and time – bound. Therefore, such objectives and
targets will include the following:
 By 2025, the own products of the Morrisons will be healthy i.e., low in fat, salt and sugar.
 By 2025, the chicken that will be sold by the Morrisons will be barn born and barn raised.
 By 2025, sales of the products of own brand which are plant based will grow by 300%.
 By 2025, eggs will be free range that are used in the processed foods and as ingredients.
PESTLE Analysis
POLITICAL ECONOMIC
 Policies and regulations changes due to
Brexit.
 Legislations of UK government on food
retailers (PESTLE analysis, 2022).
 Currency fluctuations and pressure on
inflation
 Tightening of budgets of households
due to rise in oil prices.
SOCIAL TECHNOLOGICAL
 Rising age population.
 Growth of health and education of
consumers.
 New brand positioning.
 Use of artificial intelligence.
 Reduction of efforts being wasted and
costs due to investment in technology.

LEGAL ENVIRONMENTAL
 Compliance with legal standards of
food safety.
 Ethical trade audits.
 Compliance of regulations through
policies and legal guidance.
 Emission of operational carbon to be
reduced by 30% by 2025.
 Reduction in utilization of poly boxes.
SWOT Analysis
STRENGTHS WEAKNESSES
 Skilled making of food along with
strong network of distribution.
 Efficient chain of supply.
 Large portfolio of products and the
relevant customization.
 Presence is limited geographically.
 Response to the changes are delayed.
 Weakened program of loyalty.
 Low recall of private label by the
customers.
OPPORTUNITIES THREATS
 Global presence and aim to be largest
retailer of grocery in UK.
 Accessing retailing of non – food.
 Boosting of e – commerce.
 This sector is fastest growing.
 Ever amending rules and regulations.
 Elevating competition.
 Inclining risks in technology.
 Shortage of drivers hindering supply to
wholesale.
 Declination of sales and profits due to
covid.
STP Approach
Segmentation – Segmentation of the food and drinks of Morrisons will be done on the basis of 3
criteria i.e., demographic, psychographic and geographic (Gilg, 2019). Demographically, it will
be done on the basis of gender, age, race, ethnicity, income, family size, etc. Psychographic, it
will be done on the basis of lifestyle, personality and self – image. Geographically, it will be
done on the basis of country, region, climate, city size, etc.

Targeting – Consumers who are health conscious along with the ones who are vegetarians as
more and more people are resorting to eating vegetarian food. Also, online consumers will also
be the major target group.
Positioning – It will involve usage of comprehensive activities of promotion for engagement of
large number of customers.
Marketing Mix
Product – It involves development of new range of food products that are vegan and organic
(Jones and Comfort, 2020). Therefore, various niche markets are to be targeted to attain more
diversified customer base.
Price – Morrisons is adopting a pricing strategy which is highly competitive therefore, it will be
required to set the prices at low as compared to other competitors.
Place – The distribution of food and drinks will be through the physical stores of the company as
well as from the online store through its website.
Promotion – The food and drinks segment will be promoted through rebuilding of the awareness
towards the brand and utilization of single serve packaging.
Competitor Analysis
BASIS OF DIFFERENCE MORRISONS SAINSBURY
PRODUCTS & SERVICES Retail supermarkets i.e., in –
store and online retailing
activities of grocery.
Food, general merchandizing,
and retailing of clothes along
with providing financial
services.
LOCATIONS Bradford, Perth, Brampton,
Porto, Aberdeen, Basingstoke,
etc.
London.
NET INCOME £96 million for FY 2021. £677 million for FY 2021.
Budget
EXPENSES AMOUNT (in £)
Service providing costs 500,000
Salaries & wages 120,000
Promotion and advertising 90,000
Utilities 10,000

Administrative expenses 25,000
Technical device handling 15,000
Miscellaneous 5,000
TOTAL EXPENSES 765,000
Monitoring & Control
Now, there are various metrics that can be utilized to track the efficiency of the marketing
plan devised above. These metrics can also be referred to as Key Performance Indicators (KPIs)
which are explained as below:
Cost of customer acquisition – It means spending by the company on the gaining of a new
customer and the resultant sales that it will achieve from such a customer (Jones and Comfort,
2019). This cost will include costs of marketing and programming, commissions, salaries,
software and any other costs to turn a lead into a customer.
Value of customer for lifetime – It means how much revenue or profits can a business earn
from a customer in the whole lifespan of being him the customer of the company. It is one of the
most important KPI to be considered because there is specific cost to acquire a customer.
ROI of digital marketing – It means how much the company is earning on the investment done
on marketing (Jones and Comfort, 2021). It is very crucial to assess the performance of the
company monthly and annually along with the assessment of the capability for planning of
strategies and budgets.
Traffic on social media and conversion rate – It is to agreed that the success of any company
crucially depends upon the social media performance.

REFERENCES
Books and Journals
Gilg, J. Y., 2019. Paul Harvey: Picking up the Tesco Law Challenge. Solic. J. 162. p.48.
Jones, P. and Comfort, D., 2019. “Better Retail, Better World”: A commentary on British
retailers and the sustainable development goals. Journal of Public Affairs. 19(2). p.e.
1910.
Jones, P. and Comfort, D., 2020. Sustainability in Retail Supply Chains. International Journal of
Sales, Retailing and Marketing. 9(2). pp.51-60.
Jones, P. and Comfort, D., 2021. Leading Retailers in the UK and Modern Slavery
Statements. International Journal of Sales, Retailing and Marketing. 10(2). pp.18-26.
Online
PESTLE analysis. 2022. [Online]. Available through:
<https://www.cipd.co.uk/knowledge/strategy/organisational-development/pestle-analysis-
factsheet#gref>
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