Marketing Plan for Morrisons: STP Analysis and Marketing Mix Model

This report discusses the marketing plan for Morrisons, including STP analysis and marketing mix model. It evaluates the current market situation of Morrisons, analyses the STP marketing tool, and discusses the marketing plan of the company using the marketing mix model.

Assessment 2 individual
report

Executive summary:
The marketing plan is the activity performed by management for conducting market
research in order to know the customer preferences as well as demand in the effective manner.
The report will practise the marketing theories such as marketing mix in order to make effective
marketing plan for gaining larger customer base.
Table of Contents
Executive summary:.........................................................................................................................3
Introduction:.....................................................................................................................................4

MAIN BODY...................................................................................................................................4
Evaluating the current market situation of the Morrisons company:.....................................4
Analysing the STP marketing tool in order to develop marketing strategies:........................4
Discussing about the marketing plan of company by using marketing mix model:..............6
Conclusion:......................................................................................................................................7
Referencing......................................................................................................................................9

Introduction:
The marketing activities are considered as the activity adopted by management with the
aim improving the brand image of company’s product in the market. The marketing activities is
crucial for the organisation in improving competitive position as well as enhancing the market
share of the products as well as services. For this report Morrisons supermarket is taken into
consideration. The company is known as the fourth largest chain of supermarket in UK which
deals in number of products such as food and drinks, books, clothing and many more. The report
will discuss about the current market situation of the company. The report will also make
marketing plan by taking use of effective marketing theories such as Marketing mix as well as
STP model.
MAIN BODY
Evaluating the current market situation of the Morrisons company:
The Morrisons company comes under top five list on the basis of grocery market share in
the UK. The Morrisons organisation perform its operation in the vertically integrated model as
well as the firm produce larger amount of products by its own such as meat, fish, baked goods as
well as vegetables. In addition to this, the company has over 500 stores within UK and has an
employee strength greater than 130000. The firm perform its main operation mainly from the
Great Britain. Stating about the market position, the company holds the share of around 9.9 % in
the grocery industry of UK. Moreover, the company faces stiff competition from the other
famous super-chain markets such as Asda, Sainsbury, TESCO as well as Marks and Spencer. It
has been identified that the company has increased its market share by boosting online trading
and e-shopping activities in order to attract large number of customers (Czinkota and
et.al.,2021).

Analysing the STP marketing tool in order to develop marketing strategies:
The Segmentation, Target as well as Positioning is the marketing tool which supports the
company in analysing its product offering and provide the benefits as well as value of the
product or service to the customers in effective manner. The segmentation consists of dividing
the market. In addition to this, the target process involves targeting the best customers. Whereas,
the positioning refers to selecting best place for launching the products. In context to Morrisons,
this type of marketing theory assists the company to formulate effective marketing strategies by
identifying most valuable customers and then develop product on the basis of their needs and
wants. Moreover, this strategy enables the organisation to boost interaction with target group of
customers in order to enhance profitability as well as growth in the market (Hunt,2020).
. The following are the STP analysis of the Morrisons company which are discussed below:
Segmentation:
This strategy of marketing tool helps the company in dividing the customers into a group
of groups of people that reflects common characteristics as well as possess same needs. This
strategy helps the company by targeting only the needs of different groups in the most effective
manner. In context to Morrisons firm, the company divides the market on the basis of people
who look for lower price food products, people who look for convenience when purchasing food
items as well as people who look for the freshness in the products. This supports the firm in
determining needs of each group of people when developing the marketing strategies. In addition
to this, the strategy allows the company in increasing the chances of high profit as well as high
market growth.
Target:
The other crucial process of STP model is targeting the selecting customers after properly
identifying the group of people which can offer the firm highest possible return in the form of
increased sale of product. In context to Morrisons firm, the company target especially the
household customers while conducting promotional as well as advertising strategies. This allow
the organisation in greater generation of profits as the company sell cost effective products when
compared to other competitors in the market. In relation to this, it also enable the firm in gaining
higher attention of customers especially lower as well as middle income customers(Dahl,2021).

Positioning:
This is the last as well as important marketing model process which assist the company in
properly analysing the placement of product so that the targeted customers can easily understand
abut the mission as well as products of the firm. This will allow the organisation in knowing the
value of their products with that of competitor products in the industry. In context to Morrisons,
the Unique Selling Proposition of the company in the market is to sell freshest food items. This
supports the firm in promoting their products to the customers who consider freshness of product
as their top priority when buying food products. In relation to this, the company also position
their products in the digital platforms such as Instagram and also operate through website in
order to encourage more targeted customers to buy products(Kotler and et.al.,2019).
A perceptual map is a kind of chart which has been used by the researchers of market and
businesses to depict and understand that in which manner the target customers feel and view
about the given product or brand. It can be referred as product positioning maps.
The customers of TESCO company has positioned from different parameters which
includes symbolic positioning, functional, price, multi segment and experiential positioning as
well. Products which are sold from functional positioning are more expensive as compared to
their basic range of products of TESCO company. Symbolic positioning has been used from the
perspective of fair trade range of products in the grocery and food sector as well. The price
positioning of TESCO company has been utilised in its brand products such as 19-230 18.5 inch
widescreen HD ready LCD TV. Experiential positioning has been used into the context of health
and beauty range of products. In this manner, the customers of TESCO company has viewed the
products and services of the organisation and their perception has accordingly made for it. So
perceptual map is very important from the organisational point of view into positive manner.
Illustration : Perceptual Map
Source : The supermarket of Tesco-Wordpress .com

Illustration : Perceptual Map
Source : The supermarket of Tesco-Wordpress .com
According to this map, it has lots of parameters which include low brand recognition, loyalty,
slow delivery of food products and services and high delivery of food products and services. As
TESCO organisation has lots of competitors and their brand value is on the higher stake but
sometimes its delivery services and quality of products have to face negative situations due to
which they have to fight into tough manner from their competitors. Their competitors majorly
include Sainasburry's, ASDA, Aldi etc. So in this manner, this map is helpful in terms of
determining its position and view point of customers into the market.
Discussing about the marketing plan of company by using marketing mix model:
Marketing mix is the marketing model adopted by company in order to launch best
products, at the best price and at the right place so that large number of customers can be
motivated to buy the products. This business model supports the firm in achieving the desired
level of market by effectively providing the products as per of the demands of customer. In
context to Morrisons, the marketing mix strategy will help the firm to boost their market growth
as well as customer loyalty. The following are the 7Ps of this model that can support the firm in
developing effective marketing plans in order to attain higher market share as well as growth:

Product:
This element of marketing mix provides the information about the type of product
company is offering to the customers. In context to Morrisons, the company sells large variety of
highly differentiated products such as clothing, food products and many more. In order to
enhance market growth, it is recommended that firm should add additional services for the
customers such as after-sale service, no delivery charges as well as other helpline services. This
will allow the company in boosting its image in front of customers(Eisend and Kus,2019).
Price:
The other element provides the information of pricing strategy adopted by the company
in selling goods as well as services. In context to Morrisons, the firm follows competitive price
strategies which means that their price strategy is highly dependent on the price strategies
adopted by competitors. In order to further improve market growth the firm should give
discounts as well as allowances for short time period in order to attract large number of
customers.
Place:
This cover the information about from which platform the company sells their products.
In context to Morrisons, the firm sells their product by undertaking use of two marketing
channels i.e., from its website as well as by selling products to wholesales and then to retailers.
In order to promote higher customer traffic, the company should open an online store in social
media platforms.
Promotion:
This area of marketing mix involves promoting products through undertaking
advertisement programs. In context to Morrisons, the firm promote its product in the market by
taking participation in various trade exhibitions programs as well as event held around the year. I
order to improve further customer retention, the company should hire influencers such as
bloggers that can post the positive things about company product.
People:
This element of marketing mix includes managing the people skills in order to gain
higher productivity levels. In context to Morrisons, the firm employees competent marketing

professionals as well as customer executives that helps in improving the name of brand in the
market. In order to drive performance level of employees to higher level, it should provide
regular training sessions in order to improve customer management skills of employees(Kim,
2018).
Process:
This type of marketing model provides the insight of business processes of the company.
In context to Morrisons, the firm adopts different ERP software’s which allow the company to
manage inventory in most appropriate manner. In order to improve the efficiency in its business
operations, the firm should adopt innovative technologies in order to optimise its online delivery
process as well as other business processes.
Physical evidence:
In context to Morrisons company, the firm sells their products by packaging with unique
as well as eye catching colours. In order to improve the attraction of customers, the company
should collect constructive feedback related to the best packaging techniques.
Conclusion:
It has been concluded from the report that marketing strategies is very crucial for the
company in order to boost the motivation level of employees to buy product more often. The
report has discussed that STP analysis supported the firm in analysing the demands of customers
in the most effective manner in addition to this, the report has also concluded that adoption of
marketing mix theory can support the company in attracting large number of customers.

Referencing
Books and Journal
Czinkota and et.al., 2021. Marketing Management: Past, Present and Future. Springer Nature.
Hunt, S.D., 2020. Indigenous theory development in marketing: The foundational premises
approach. AMS Review, 10(1), pp.8-17.
Dahl, S., 2021. Social media marketing: Theories and applications. Social Media Marketing,
pp.1-100.
LeClair, D., 2018. Integrating business analytics in the marketing curriculum: Eight
recommendations. Marketing Education Review, 28(1), pp.6-13.
Kotler and et.al., 2019. Marketing Management: 4th European Edition. Pearson UK.
Eisend, M. and Kuss, A., 2019. The Nature and Relevance of Theories. In Research
Methodology in Marketing (pp. 19-57). Springer, Cham.

Kim, J., 2018. Technology Development and Marketing: With Cases & Theories. AuthorHouse.