Marketing Plan for Sainsbury: Analysis and Strategy
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This marketing plan for Sainsbury includes analysis of issues faced by the company, objectives, marketing mix, marketing analysis, and customer-driven strategy. The plan suggests market development strategy and effective use of STPD for sustainable growth.
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Marketing Plan (Referring to the issues identified in Assessment one, prepare a marketing plan with clear analysis and strategy as to how your organisation)
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Table of Contents INTRODUCTION...........................................................................................................................3 TASK..............................................................................................................................................3 Isseus faced by company.............................................................................................................3 Objectives of marketing plan......................................................................................................4 Marketing mix.............................................................................................................................5 Marketing analysis......................................................................................................................5 Customer Driven strategy...........................................................................................................7 CONCLUSION................................................................................................................................9 REFERENCES..............................................................................................................................10
INTRODUCTION The marketing is basically defined as the commercial activities, procedure and unit of institution for making, communicating, exchanging and deliverig services. Due to conducting these activities organization is able to understand the real needs and wants effectively. In marketing various types of strategies are also involved for promoting company goods and services in market effectively. The chosen company is Sainsbury and its headquater is situated in London, UK. The company was estaablished in 1869 and this company is dealing with wide range of products which includes grocery items, home appliances, food items and others (Akbar, French and Lawson, 2019). The report will be covered issues faced by company in market, objectives of marketing plan, marketing mix, marketing analysis, recommendation and customer driven strategy. The various issues which are faced by various organization aregovernment rules and regulations, various policies, inflation rate, keep communication with local stores and use of outdated technology. The vision of organizationvision is to provide better quality product to customers and maintain strong image in market. Isseus faced by company There are various types of issues which is faced by organization in UK and other locations in their business activiies. Those issues are government rules and regulations, various policies, inflation rate, keep communication with local stores and use of outdated technology. Due to facing these types of issues firm is not able to enhance the awareness of their products effectively in market and between consumers. Due to occuring changes in the rates of currency on regular basis in the form of inflation Sainsbury is not able to enhance the sales in their services and goods effectively. Due to this it is necessary for the management of Sainsbury, that they must fix competitive price in their goods and services. Due to fixing competitive price in their goods organization easily stabled their position in market without any type financial, legal and other losses. With out proper coordination with local stortes and suppliers firm is not able to enhance the availability of their products in vatious locations. In aspect of use of outdated equipments, this will reduced the convenience of customers to buy the company's product in low time. The other and major issue which is faced by company is shortage of skilled employees. Due to this the resources of company are not utilized in optimized manner. Due to fixing high price in their goods and services customers are
get very limited for Sainsbury. Due to having limited customers goodwill and revenue of company are increased in slow manner which leads to decrease the performance of employees. For solving this these type of issues it is necessary for the management of Sainsbury’s that they must develop effetive marketing plan with objectives. Objectives of marketing plan Here the main objective of Sainsbury in aspect of developing effective marketing plan is to decrease the above mentioned issues effectively. Due to this the overall growth and popularity of company are highly increased in market within short duration. For the effective development of marketing plan, the management of Sainsbury is used the model of SMART objectives. The stages of SMART objectives are described below - Specific –The organization Sainsbury wants to become a number one brand in market internationally and also want to earn high profit margin. But for this management need adapt specific policies and regulations of UK government effectively (Dragojlović, Mihailović and Novaković, 2018). Measurable –They exactly wants to get good ratio of portfolio in global level and also wished to accomplish their objectives. For this the management of Sainsbury is decided to adapt advanced technology such as artificial intelligence. With help of this the performance of employees are easily analysed on regular basis. Achievable –In this phase the management of Sainsbury is focusing on fixing the targets for employees with full flexibility on monthly basis. Due to providing flexibility skilled employees always keep loyalty towards company which leads to enhance their profit margin effectively. Reliable –In aspect of reliability it is highly essential for organization to attract the customer's in large number. Due to providing reliable information to users regarding product through advertising, desires of consumers are highly increased and facilitates value to company. In this way positive the positive relationship between company and customer's Time frame –It is also very important for organization and due to this Sainsbury used AI technology in their business and operational activities. Due to employees within firm are able to accomplish the task in time which leads to enhance company performance.
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TASK Marketing mix The marketing mix is the combination various actions or tactics which is used by the organization for promoting their goods and services in efficient manner. Due to the effective use of marketing Sainsbury is able to sustain competitive advantage in market for long time. The actions which are involved in marketing mix are - Product –In context to Sainsbury they are providing wide range of products to users as per their needs and desires. But their main and highly popular product is fashionable cloths in market. With help of facilitating uniqueness in their products are easily attracted in large number for buying their product. Price –In context Sainsbury it is necessary for them that they must fix low or average price in their services and goods which leads to enhance their sale in less time. The drawback of keeping heavy price in their goods is that customers are limited in number for buying their products (Ellram and Murfield, 2019). Place –In aspect of this firm management is established strong distribution channel through online and offline mode. With help of strong distribution channel convenience are highly increased for users to buy their desired product within low time. In this way the sale and revenue of company are easily increased in low time. Promotion –The organization promoted their goods and services through social media and other digital platforms. The major benefit for utilizing social media effectively is that here firm easily highlight the features of their goods and services to users in low time by visual modes. After the above analysis it is understood that focusing on a marketing mix helps organizationsmake strategic decisions when launching new products or revising existing products.Effective marketing mix touches on a broad range of areas as opposed to fixating on one message. Doing so helps reach a wider audience, and by keeping the four Ps in mind, marketing professionals are better able to maintain focus on the things that really matter. A marketing mix includes multiple areas of focus as part of a comprehensive marketing plan. Marketing analysis Ansoff matrix -
The Ansoff matrix is basically defined as the strategic planning tool which is used by organization for sustaining their profit margin and goodwill in market. This provides framework to assist the senior managers, executives and marketer’s device strategy for future growth. The stages which are required to consider by the management of Sainsbury are discussed below - Market penetration –According to this strategy organization utilized different types of sources and methods are utilized for enhancing the sale of existing products in existed market. In context of Sainsbury, management used various marketing strategies such as providing discounts, offers and various beneficial schemes. Due to this consumer are easily attracted in large number for buying their services and product. Market development –In this strategy company is entering in new market with its existing goods (Han and Kang, 2020). In this strategy goods are similar but consumers are different and this kind of strategy is also called as market development strategy. In context to Sainsbury, management is required to highlight the features of their existing goods in new locations effectively through both offline and online mode. It leads to develop strong customer base. Product development –In this strategy organization is focusing on introducing new product in existing market. In this strategy management made lot of investment in R&D department for developing uniqness in their goods according to the taste and desires of users. With help of providing unique and best quality goods the trust of customers towards company are highly increased. Diversification -In this strategy product and market both are newly developed asper the needs and desires of users. Due to the new development of product and market chances are highly enhanced for the success of firm. BCG matrix - The BCG matrix is basically a tool which is utilized by organization for developing effective marketing strategy and also for sustaining competitive advantage in market. With help of this strategy Sainsbury easily understand that which type of goods are beneficial for them and how to attract the users in large number. The stages which are involved in BCG matrix are described below - Stars –In this stage company less amount of investment for sustaining the awareness of new goods and services in market effectively. Because the products which are comes in
the category of star, they are highly valuable for company growth. The products of star are easily enhanced the revenue of firm at large scale. Cash cows –It refers to those products which are comes in the category of cows and the growth of those goods are very less. Such type of goods required high improvement in aspect of packaging and other features. The main advantage in this category is that here market share is very high because in this goods company always maintained high price. Due to this company did not face huge loss in their financial status. Dogs –It refers to having low market share and very low popularity in their goods. Due to keeping dog category goods company faced huge financial loss and consumers also get reduced. In context to Sainsbury it is one of the company who always facilitates beneficial and quality goods to users as per their needs and wants (Martins, 2018). Question mark -The products which comes under this stage are highly demanded products but the organization is required to invest large amount of investment so that they can make higher market share by beating the competition. Recommendation - From the analysis of above matrixes strategy of market development is suggested to Sainsbury for solving above mentioned issues effectively. Due to the effective use of market development organization is able to develop strong positive relationship with all customer segments for long time. Due to this firm easily understand the real needs and desires of customers quickly. In this strategy organization is highly used various advanced systems for run their business functions smoothly and also for delivering best quality products to customers within low time.By using this type of strategy the products which are comes under the category of dogs, those products are also get popularized within in low time. Customer Driven strategy The segmentation,targeting,positioningand differentiationisbasicallya toolsor strategieswhich isutilizedby Sainsbury for sustainingcompetitiveadvantagein market effectively. With help of these components company easily identify and target those customers who are highly valuable towards their services and products. Segmentation –The segmentation is basically defined as categorising the customers into various criteria for enhancing the sale and popularity of their goods and services. The name of those criteria’s are demographic, geographic, psychographic and behavioural. In context to
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Sainbsbury, management utilized demographic criteria for enhancing the sale of goods and services. Because according to this criteria middle and upper segment customers are highy targeted for enhancing the sale of their goods and services. Targeting –As per the above information here targeted customers middle and upper class segments and in these segments income and status level of customer's are very good. The other highlight of these targeted customers is that they are ready to pay any cost for buying their products. In this ways the revenue of firm are easily generated at higher rate in short duration. Positioning –Here company positioned themselves as an luxury product in market. Management of Sainsbury also used various types of marketing tools such as social media, advertising and others for promoting their good and services effectively in market. Due to the effective use of various marketing tools organization easily attract the customers in large number for buying their products. The major advantage of positioning is that here consumer easily understand the benefit of specific product and services (Martynenko, 2018). Differentiation –In aspect of differention, Sainsbury is one of the largest supermarket chain in UK in comparison with other retail brands. In comparison with other brands this company is providing the healthy and quality based goods to users which leads to sustain their uniqueness and reputation in market for long time. Therefore, differentiation is a very important concept for enhancing the success and productivity rate of company at large scale. FromtheanalysisofSTPDitisunderstoodthat,effectiveutilizationofSTPD organization is able to identify those customers quickly who are highly valuable for their services and products. With help of identifying the valuable customers firm is able to sustain their position in market for long time. Due to fulfilling the requirements of customers in time, the visits of users in their store are easily increased for long duration.
CONCLUSION From the above analysis, it concludes that marketing process and planning plays the major role for fulfilling the desires and needs of customers in time. Effective marketing planning and process are highly essential for developing strong positive relations between organization and customer for long time. Due to the effective modification in their product, company is able to increase their profit margin and market share within low time. This report will cover compare the techniques in which various companies apply the marketing mix to the marketing planning procedure for gaining the objectives of business. It further covers developing the marketing plan that involves key components of marketingplanning for an company to gain marketing objectives.
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