Marketing Strategies of TESCO

The assignment discusses TESCO's use of social media platforms like Instagram hashtags and Facebook to promote their brand. It also mentions the importance of labelling and packaging in attracting customers. The document analyzes TESCO's marketing mix strategies, including their focus on children as target market and instilling love for fruits and vegetables.

PRINCIPLES OF
MARKETING

Table of Contents
INTRODUCTION ..........................................................................................................................1
Main Body.......................................................................................................................................1
Product & Service Description...............................................................................................1
Market Analysis.....................................................................................................................2
STP process............................................................................................................................2
Recommendations..................................................................................................................3
Individual Reflection..............................................................................................................3
CONCLUSION...............................................................................................................................4
REFERENCES................................................................................................................................5
.........................................................................................................................................................5

INTRODUCTION
Principle of marketing are the helpful measure through which an organisation become
able to ascertain all goals and targets effectively. This consent is basically adopted by every large
business whom have a desire to maximise their profit and accomplish targets in an appropriate
manner (Cătoiu and et. al., 2010). This project is based on TESCO new “Wonky Veg” range
whom are the largest British Multinational Grocery They are conducting market analysis under
which various marketing things are getting identified. Along with this on the basis of STP
process, appropriate justification get derive on target market and its segmentation.
Main Body
Product & Service Description
Marketing refers as a set of managerial activities that satisfy the needs and desire of the
target customer. It includes selling, advertising, and delivering product and services to consumer.
The chosen organisation here is Tesco which is a British multinational grocery headquartered in
Welwyn Garden City. This project is focusing on making various marketing strategies that
TESCO have used to launch its unique vegetable range to encourage children to eat healthily.
Direct marketing and word of mouth are not sufficient these days, therefore company's are
required to opt innovative and latest marketing scheme in order to evaluate emerging
opportunities. Following are the elements of Principle of Marketing in Digital world:
 Insight come before inspiration : TESCO are required to innovate or communicate with
their customer through their relevant channels such as Facebook, Instagram etc.
 Don't just join the conversation, spark it : TESCO are required to create online
communities rather than the existing one by advertising the video of its new “Wonky
Veg” that's unlike any other supermarket which attracts customer and gives them a
reason to come back (Kotler and Armstrong, 2010).
 There's is no business without show business : TESCO believes that your brand is story,
tell it to everyone. It is required to make people emotional and fiery which insist them to
buy. Therefore, they have launched this product in order to charm kids or to encourage
them to eat healthier food which are in the shape of star and faces.
 Product are the new services : Digital media turn product into on-demand services that
help the TESCO to gain higher satisfaction level from their customers.
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 Mobile is where it's at: Mobile refers as the new platform where TESCO can advertise
their product effectively and efficiently.
Market Analysis
TESCO aiming to run number of workshop and campaign which bring customer and
stakeholder face to face to understand the latest trend in the buying behaviour of their consumer.
Market Trend : Recently, TESCO has launched new fresh veg range to charm kids keeping in
mind the fact that children usually don't like to eat vegetables but they have taken learning on ho
to relate children with interesting shapes and sizes which generates fun and curiosity among
them.
Key Competitors and their positioned : ALDI, Primark, Sainsburry are their key competitors
which holds major share of their customer and revenue.
Issues
 Cap on the amount of fresh produce
shoppers.
 Use of chemicals in moulding
vegetables into different shapes and
sizes may effect health.
 Jeopardizing the weather fluctuations
Opportunities
 Introducing love of fruit and vegetable
in children thus covering children
sector.
 Financial Stability
 Using multi channel to reach its target
customer such as online, catalogue,
hoardings etc.
 Tackling food waste
STP process
Segmentation: It can be done on the basis of
 Demographics : Their average customer is between 4-15 years of children who usually
don't like to eat vegetables.
 Behavioural : TESCO provides wide variety of products that creates value for money for
their customer (Lindgreen and et. al., 2013).
 Geographic : Every country is having their own trend which they follows. TESCO
focuses on that respective trend and make their product according to that.
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 Psychographic : TESCO has decided to use different sizes and shapes in order to attract
its children segment and for their middle aged group they can choose any Brand
Ambassador.
Target Market : TESCO planned to focus on children as their target market in 2017. They are
required to increase their growth rate by 5% every year which led them to opt for various
innovative techniques such as Wonky Veg which gives them higher competitive advantage over
their rivals. Target market should buy the TESCO product because they are offering fun-shaped
food and vegetable to children and create novelty among them. They are now reaching to its
consumer by using the technology that there are clients are using often such as social media
platforms.
Positioning : TESCO has placed themselves as a premium range of brand which makes their
customer to pay higher prices for their product and services.
Recommendations
 Product : TESCO can focus more on labelling and packaging part. They can use various
cartoon characters so to attract their target customer easily. (Rusinko, 2010).
 Pricing : TESCO require to improve its supply chain in order to cut down the cost. Also
they can research on consumer buying behaviour pattern so to avoid unwanted product.
 Promotional Strategies: TESCO are required to cover the schools and college also in
order to instil a love of fruit and vegetables among their target customer.
 Distribution: TESCO trying to expand their supply chain management globally by
covering the countries such as China, Indonesia etc.
Individual Reflection
With this project, I came to know various marketing related factors that affect the sales,
growth and revenue of TESCO. Above discussed are the various strategies that TESCO has
adopted which enhances their productivity and profitability. I realized how the prospective
company has modified themselves according to the changing trend. They have chosen children
ranging between 4-15 as their target market and introduce new range of vegetables for them in
the shape of stars and different faces. Their main focus is to create fun shaped fruit and veggies
for children in smaller sized portion. TESCO wishes to act as the helping hand of different
parents by encouraging their kids to eat more vegetables and fruits, Now a days we are more
influenced by the modern technology such as Instagram hashtag posts, Facebook etc. TESCO
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has chosen this method, to promote their brand by using the method which their clients are using.
I personally feel that such approach help them to build healthy relation with their consumer
(Miller and Lammas, 2010). I as a customer, choose that brand which satisfy the needs of my
whole family. I personally would prefer that brand which satisfy the desire of my children.
Therefore they are required to render offers to their target market and satisfied them the most.
TESCO has analyse the trend of the market and their key competitors. They have conducted
various workshops in the mall, schools and colleges which bring their customer and stakeholder
face to face so as to understand the buying behaviour of them. Generally such workshops and
campaign attract us the most if they are of our choice and TESCO is multinational grocery which
now aimed to focus on children as their target market and instil a love of fruits and vegetables in
children. When I was going through their marketing mix strategies, I realized they need to focus
more on labelling and packaging part because this is what customer looks first. The more
attractive packaging highly satisfied client (Parker and et. al., 2011). They can use pictures of
different cartoon characters on their packaging part in order to attract their target consumer.
CONCLUSION
Marketing strategy helps the organisation to adapt themselves according to the changing market
conditions. It ensures in gaining higher level of satisfaction from their customers. It is all about
attaining and retaining the customer for longer period. It is essential for the enterprise to adopt
marketing strategies that are effective and provide higher yield in terms of profitability. TESCO
has uses various marketing tool in order to make their operations efficient and achieve higher
market share.
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REFERENCES
Books and Journal
Cătoiu, I., Vrânceanu, D.M. and Filip, A., 2010. Setting fair prices–fundamental principle of
sustainable marketing.Amfiteatru Economic. 12(27). pp.115-128.
Kotler, P. and Armstrong, G., 2010.Principles of marketing. Pearson education.
Lindgreen, A., Dobele, A. and Vanhamme, J., 2013. Word-of-mouth and viral marketing
referrals: what do we know? and what should we know.European Journal of Marketing.
47(7). pp.1028-1033.
Miller, R. and Lammas, N., 2010. Social media and its implications for viral marketing.Asia
Pacific Public Relations Journal. 11(1). pp.1-9.
Parker, S., and et. al., 2011. Formative assessment using social marketing principles to identify
health and nutrition perspectives of Native American women living within the
Chickasaw Nation boundaries in Oklahoma.Journal of nutrition education and
behavior. 43(1). pp.55-62.
Rusinko, C.A., 2010. Integrating sustainability in management and business education: A matrix
approach.Academy of Management Learning & Education. 9(3). pp.507-519.
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