This report provides a detailed marketing audit of Debenhams, a British retailer company. It discusses the macro and micro environmental factors, competitive analysis, and SWOT analysis. The report aims to analyze the company's marketing strategies and identify areas of improvement.
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PJ1 – Marketing Audit Report
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EXECUTIVE SUMMARY On the basis of this report it can be determined that marketing is considered the most prominent department in the company which operate various activities. The improtance of the marketing audit is more because it can help to identify and implement the internal and external business environment factors and also helpful to analyse that in company which areas are doing well or not . With the help of PESTLE model, macro analysis is done to that is useful to analyse the whole external market situation. In term of micro analysis, company use various internal factors including company , mission statement and suppliers. SWOT analysis determined the strength and helps to remove the weekness and get the opportunities to remove the threats.
Table of Contents EXECUTIVE SUMMARY.........................................................................................................................2 INTRODUCTION.......................................................................................................................................4 MAIN BODY..............................................................................................................................................4 COMPANY BACKGROUND....................................................................................................................4 MACRO ANALYSIS..................................................................................................................................4 PESTLE Analysis....................................................................................................................................4 MICRO ANALYSIS...................................................................................................................................4 Company.................................................................................................................................................4 Customers................................................................................................................................................5 Suppliers..................................................................................................................................................5 Marketing Intermediaries.........................................................................................................................5 COMPETITIVE ANALYSIS......................................................................................................................5 SWOT ANALYSIS.....................................................................................................................................7 CONCLUSION...........................................................................................................................................7 REFERENCES............................................................................................................................................8
INTRODUCTION Every company needs to follow a specific business strategy which can help to maintain each and every operation in an appropriate manner. In order toachieve goals effectively, it is essential to follow specific marketing techniques which can help to improve the performance of the business.Company mainly use marketing audit to measure and implement the business marketing environment and also identify the specific areas which can provide the opportunity and threats. This report will discuss about the marketing audit of the Debenhams Company which is British Retailer Company that operate in strors and providing fashion clothes, shoes, gifts, toys, cosmetic, electronic items and many mroe. This company founded in 1778 by the William Debenhams and headquarter situated in London,. UK. The main purpose of this report is to consider the improtance of marketing audit and discuss about the macro & micro environment factors. Furthermore, this report conducts the competitive analysis and SWOT analysis which can help to take more competitive advantage. MAIN BODY COMPANY BACKGROUND Debenhams is one of the longest retailer company that mainly operating almost 124 departments stores in UK and 7 stores and outlets under the Magasin du Nord brand in thr Denmark. This company mainly operates in UK, Denmark and Ireland. As per the British market the annual sales of the company is more than € 1.3 billion that considered the top five retail company in UK. Debenhams is dealing with more than 178 locations across the otehr countries. In this company, more than 2500 employees are working and the net income is considered 4.61 Million. As per the current market situation, Debenhams operate in 45 stores under the license within 17 foreign countries(CHEIKH and ALAOUI, 2019).Debenhams faced various ups and downs in some countries like Indonesia and Australia. Indonesia stores ckosed in 31 December in 2017 and Australia closed in the year 2020. Debenhams give credit & store card services that operated by the NewDay. In this company, insurance products are also offer by Debenhams through financial companies.
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MACRO ANALYSIS To identify the external environmental factors it is necessary to conduct the macro analysis. In process to maintains and analyse the marketing audit it is prominent to understand the impact of the external factors on the ongoing business outside activities. To measure the macro analysis factors Debenhams conduct PESTLE analysis which are discussed below - PESTLE Analysis Figure1, What is a PESTLE Analysis? Understanding Macro-Environmental Factors, 2021Political Factors –This factormainly include the political stability of instability, foreign trade regulations, trade restrictions, taxation policies and many other factors which provide the direct impact on the Operations of the company. Due to take of awareness about the political policies producers Company can experience various issues. In term of Debenhams, this factor lead the long term profitability in the UK market but company also face various challenges and risk in term of foreign countries political factors. Debenhams need to pay more attention on taxation, price regulations , mandatory
workforce benefits and maintain anti trust laws related to the retail Industry are beneficial provide the positive political factors consideration(Chen and Yang, 2019).Economical Factors –Thesefactors mainly contain the economical growth of the company, employment rate, exchange rate , interest rate , inflation , recession and other factors which can affect the performance of the company as well as country. Debenhams can consider the government intervention use in the new market , hire skilled level of workforce,mainatin the customers services sector, effectively business process stages. All these activities are helpful to boost the economic factors in the Debenhams.Social Factors-this type of factors basically involved age, gender, cultural activities , buying behaviour of consumer, buying power of customer, education level, religion and income level.All these factors play a significant role to influence the marketing of the company. Debenhams need to address of all these factors which can help to improve the marketing of the company. Debenhams can use hierarchical & power structure , target demographics & skills level of people, entrepreneurial sprite and mainatin the leisure interest can help to provide the positive impact on the working of the company in context of social factor. Technological Factors–In order to maintain the technological factor, it is essential to adopt the advanced technology and do some modification in the existing technology and software is considered. Debenhams can use advanced level of technologies , adopt the latest working techniques are beneficial to create the effective customer service structure which lead the most positive outcome in the development of the Debenhams external market(Golyash, Panasiuk and Sachenko, 2017).Legal Factors–in term of legal factors, specific laws, legislation, policies, procedures and other regulations are considered. Every country legal framework is different and not thatmuchsufficienttoprotecttheintellectualpropertyrightsofthecompany. Debenhams need to pay more attention and properly follow all the laws and legislation so that government can provide them full support. Debenhams can use copyright , patent, e commerce activities, health & safety laws and data protection to mainatin ecah and every operations running in the effective way. EnvironmentalFactors-everymarketcontainerdifferentnormsandsetmany environmental standards that can provide profitability to the company.In term of
environmental factors , climate change , wether , endangered species , air & water pollution andrecycling activities are involved. Debenhams properly follow all the environmentallawsandalsoinitiatethefreemarketingsystemtoprovidetheir contribution in the development of the environment sustainability(Grayand et. al., 2020).As per the above discussion about the macro analysis it can be analysed that all the external factors provide their full involvement in the development of the company. Debenhams conduct this analysis to identied the positive and negative impact of these factors on the working business operations so thay it can make possible to do properly marketing audit process in an efficient way. MICRO ANALYSIS Basically micro analysis considered the internal factors of the company which can affect the each and every operation within a company. Debenhams mainly conduct the micro analysis to determine the impact of internal factor on the business operations which are discussed below - Company Company and its operation are involved in the internal activities which can affect the marketing and performance. Debenhams is the most popular retailer company that providing theirservicessincemanydecades.Debenhamsmainaconcernisgainingthecustomers satisfactions with the help of full fill all the expectations of the targeted customers. There are various activities are contained in the company internal factors which are explained below - Mission Statement To building the efficient infrastructure that is fit and appropriate for the future growth and provide the high quality of products which can attract the customers so taht company can gain more profit advantages as compared to their rivals(Kamaruddin and Hanefah, 2017). Strategy To improve the marketing and selling of their products and services , Debenhams used to adopt the 360 degree marketing strategy and mainly invest on the digital marketing activities , TV commercials , other online platform like Twitter, Facebook , YouTube , Instagram and
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Google plus are an essential platform through which company effectively boost their marketing. The main concern of their Strategies is mindset of the customers instead of competitive factors. Debenhams use Strategic distribution and supply chain management channel which can help to mainatin the inventory and supply of resources in each and every stores so that all the delivery operation are accomplish in a right manner. Customers Debenhams mainly target the all age groups people so that everyone customers can use their products and company can cover the whole market place. Debenhams believed that customers are the key of success so it is essential to take care of the customers. The main concern of the Debenhams is to provide the high quality of products at the very minimal rates which can attract the customers and gain more revenue. Debenhams mainly use democratic and psychological segmentation which can help to target the customers and also understand the perception and attitude of customers towards a particular products and services. Consumer Market The market of Debenhams is very wast and diversified. As per the UK marketing scanerio , as per the past 12 monts performance , the website of the company has been considered the most trending online wtore site & almost 63% of the customers mainly utilities their laptops while they want to purchase anything via online platforms. Through financial services, fashionable designer dresses, gifts, electronic items and many more which buyer can purchase by their own decisions for their personal consumption. International Market Debenhams mainly operate in 15 global franchise partners which can help to mainatin & supportthecompanytoimprovethemarketingshareassetsintheoperationalcontent. Debenhams providing their services to the last two hundred years , now company become a big multinational British retailer company that operating their services more than 20 countries. 58 stores and 15 franchise parteners are running international level(Meyabadi and Deihimi, 2017).
Suppliers Debenhams suppliers provide the 10 % value of the orders after specific department stores can slip it into the administration as per the second time. Basically supplier’s decline their offers from their administration are wanted that they face the bearing cost of the shipping products back from UK to port of origin. Debenhams faced various adverse situations from the Bangladeshi suppliers. Now company deal with the various suppliers and mainatin the good relationship with the UK retail suppliers. Marketing Intermediaries In term of marketing intermediaries, there are four types of marketing intermediaries are considered by the Debenhams such as brokers & agents , retailers, wholesalers and distributors. The main role of marketing intermediaries is to promote the goods with the help of marketing channels and make effective customer relationship to increase the brand loyalty & awareness of the company. Through proper development of the specific plan and procedures can help to enhance the promotion & packaging of the products to satisfy the customers. COMPETITIVE ANALYSIS CompanyStrategyStrengthsWeaknessesCompetitor Reactions Marksand Spencer Marksand Spenceristhe multinational retailcompany thatfoundedin 1884 in London. Thatmainly providesthe home,foodand clothsproducts. In this company, Itisawell experienced recognised companythat mainatinvariety ofproductsand also consider the variousfamous designerbrands. Thiscompany holdsan Perception of the local publicand high rate due to manualprocess areconsidered the weakness of thisbrand.This brandnotthat muchsuccessful in the integrated This competior is veryeffective performance and spreadtheir recognizationall around the world. This company is well known and trustablebrand and it cover the hugemarket
more than 78000 employeesare working.Marks andSpencer adopted competitive pricingstrategy toattractthe customersof all agegroups whetheritis women,menor kid. international presencethatis consideredthe bigstrengthof this brand. business frims.across the globe. Debenhamscan takeadvantage from this firm in termoftheir marketing strategiesand adaptationof flexiblepriceof the products. John Lewis and partners Itisamost famous brand of highstoresthat foundedinthe year 1864 by the JohnLewisand thereare38100 employeesare working.This companyalso competitive pricingstrategy forallthe productsandit keeping the value and quality of the products on mind andcreatea Thisbrand containsrebust groetystrategeis that can help to mainatinthe market structure. Themain concernofthe companyis innovationand creativity products and the onlinepresence ofthecompany isverystrong. Thiscompany very well known of their policy " The range of the productsis very limitedas compared to the otherrivalsand the pricing of the productsare morethanthe supermarketand other stores that areconsidered the weakness of thebrand (Mustaphaand Lai, 2017). In UK, this brand isdoingvery well and used by themany youngersand students. Debenhamscan takesomeshort ofcompetitive advantagein term of their cost becauseJohn Lewis offer high cost as compared tothe Debenhams.
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specific benchmark in the market. Never knowingly undersold". SWOT ANALYSIS StrengthsWeaknesses Debenhams maintain high brand value andqualityintermofthefashion world. Companydomingbusinessinsome foreign countries like Denmark, Ireland and operating more than 150 stores in the 20 countries. Debenhams contain strong presence in thepartnershipandmerger& acquisition frims. Companyoperatingeffectivemulti brand stores with strong and influential customers services. Company presence in many retail stores which can affect their market share and it become slow. Companycontainsthelimited geographical presences which affect the marketing and performance. Company market cover not that much strong as compared to rivals(Yeeand et. al., 2017). OpportunitiesThreats Throughspecificfranchisemodel, Debenhamscangainmoreprofit advantagesandspreadtheir international presence. More opportunities to spread business in European territories(Nebbak and et. al., 2017).Customer presences and the distribution system is the fast place in High level Competition from the local anddomesticmarketersaffectsthe marketing of the company. Increasethepriceoftheraw commoditiescanimprovetheinput cost. As per the current scenario, more brand awareness & specific products can lead
context of fashion industry. Improve the online delivery system in the local market can provide the various enhancement chances. the brand switching. CONCLUSION According to their report it can be analysed that marketing audit is necessary for each and every company which can help to maintain the performance structure and implement the internal and external factors in an appropriate manner. To improve the performance and effectiveness of the company, it is necessary to analyse the Impact of the internal and external business environment factors on the company. This report discussed about the macro analysis and micro analysis of the company and it is determined that in term of macro analysis, PESTLE model play a significant role. Technological and social factors are influenced the most and it can affect the company on both basis negative or positive, it is based on yhe situation. This report also discussed about internal factos analyded various factos like customers, suppliers and many more areessentialforthedevelopmentofcompany.ThisreportalsoconductedSWOTand competitive analysis model which can help to define the competitive facts and strength and weakness of the company.
REFERENCES Books and Journals CHEIKH,B.I.andALAOUI,L.L.,2019.MARKETINGAUDITAMETHODOFA CONDUCTEVALUATIONOFTHEMARKETINGSTRATEGYANDTHE BUSINESS PERFORMANCE.Revue Internationale du Marketing et Management Stratégique,1(4). Chen, H.C. and Yang, C.H., 2019. Applying a multiple criteria decision-making approach to establishinggreenmarketingauditcriteria.Journalofcleanerproduction,210, pp.256-265. Golyash, I., Panasiuk, V. and Sachenko, S., 2017. The performance audit of a corporate website as a tool for its internet marketing strategy.EUREKA: Social and Humanities, (5), pp.57-66. Gray, S.. and et. al., 2020. Strengthening coastal adaptation planning through scenario analysis: A beneficial but incomplete solution.Marine Policy,111, p.102391. Kamaruddin, M.I.H. and Hanefah, M.M., 2017. Enhancing Shariah audit practices in Islamic financialinstitutionsinMalaysia.JournalofModernAccountingand Auditing,13(11), pp.457-470. Meyabadi, A.F. and Deihimi, M.H., 2017. A review of demand-side management: Reconsidering theoretical framework.Renewable and Sustainable Energy Reviews,80, pp.367-379. Mustapha, M. and Lai, S.J., 2017. Information technology in audit processes: An empirical evidence from malaysian audit firms.International Review of Management and Marketing,7(2), pp.53-59. Nebbak, A. and et. al., 2017. Comparative analysis of storage conditions and homogenization methods for tick and flea species for identification by MALDI‐TOF MS.Medical and veterinary entomology,31(4), pp.438-448. Yee, C.S. and et. al., 2017. Perceptions of Singaporean internal audit customers regarding the role and effectiveness of internal audit.AJBA,1(2), pp.147-174.