Strategic Marketing Planning for Tesco plc

Strategic Marketing Planning

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
Investigation of Retail Industry.......................................................................................................3
Organisational Structure..................................................................................................................5
Environmental Analysis...................................................................................................................6
PESTEL Analysis............................................................................................................................7
Corporate and Marketing Objectives.............................................................................................10
Marketing Strategy Selection........................................................................................................10
Segmentation, Targeting and Positioning......................................................................................11
Marketing Mix...............................................................................................................................11
Implementation, Control and Evaluation.......................................................................................12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Strategic marketing planning deals in various systematic processes including setting goals
and objectives, evaluating the internal as well as external factors, planning the products,
implementing and tracking the progress of the company. This helps in putting all the pieces
together so that everything done by the employee of the company contributes towards the overall
success of the company (Hashim and et.al., 2021). The strategic planning process in any
company includes various steps such as determining the strategic position, prioritising
objectives, developing strategic plan, executing and managing plan and then reviewing and
revising the plan. This complete process helps the company in achieving its strategic and
SMART goals. Tesco plc is considered to be the biggest retailer headquartered in UK in terms of
domestic market share and global sales. The company deals in the grocery and merchandise
products like consumer electronics, telecoms, health, home, clothing, electronics, car insurance,
dental plans, retailing and renting DVDs, internet and financial services and many more (Tesco,
2021). The report will shed light on the strategic marketing planning with respect to Tesco plc. It
will include various aspects of the company such as environmental analysis, organisational
structure, marketing strategies, marketing mix and many others. Various models can be used for
the analysis of the company such as PESTEL, 7 P’s and many more. The report will overall lay
emphasis on marketing segmentation, targeting and positioning, its implementation, control and
evaluation which will be aligned with the marketing objectives of the company.
Investigation of Retail Industry
The retail industry of UK contributes greatly to the economy of the country as it includes
various large retailers such as Tesco, Aldi, Sainsbury, M&S, ASDA, Lidl etc. There can be
various opportunities of Employment in the retailer industry of UK which include customer
services, merchandising and allocation, retail management, loss prevention and security, buying
and many more. There are various specific areas in retail industry such as fashion, entertainment,
general merchandise, home, sports and leisure, technology, food, health and beauty etc. The
country UK has a worldwide reputation for innovative design, heritage and craftsmanship and is
also considered as a home to world-renowned brands. The Brexit impacted the overall operations
of retail industry of UK greatly (Lenoël and Young, 2020). The vote of UK was to leave the
European Union (EU) and this has far reaching impacts for the retail industry of UK. At this
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time, many retailers trade on slim profits and sales declining as the new breed of consumers.
Brexit is the name which deals in departing of UK from the European Union. The name Brexit is
due to the combination of names Britain and Exit. Due to Brexit, there were complete restrictions
on the supply of the materials from other countries and the retailers faced various issues in
importing and exporting raw materials from other countries. This is why; Brexit impacted the
retailer firms in UK. The companies need to look to their supply chains and also develop and
implement the strategies for improving their supply chains which could help them in improving
their payments and channels. Earlier the focus of the retail firms was on the Brexit issue but later
on as the pandemic of COVID-19 started, the retailers started focussing on the pandemic and
started developing strategies for the same. When the companies adopted the policies for better
hygiene protocols and social distancing, this gave various opportunities for becoming innovative
and creative (Upadhyay, Kumar and Akter, 2021). At many firms like Tesco, Sainsbury, Asda,
M&S and others, the companies introduced virtual queuing which gave the customers various
opportunities to select the store from where they wish to shop. The retail firms already faced a lot
of damage and losses due to the Brexit so this became very difficult for the companies like Tesco
to manage both the problems at the same time which is Brexit and pandemic of COVID-19.
This is why, last year was considered as the year of ongoing crisis of business restructures. All
the retail stores closed and the jobs were cut for the people who were working at the retail firms.
Brexit was the most underlying reason for the same. Retailers faced a loss of 0.1% and they were
not shocked about this because after shutting down of the stores the businessmen expected the
major loss. The countries need to be subjected to the EU controls at the time of selling the
products and services in EU countries. This also resulted in the higher export costs such as
packaging or quality requirements, custom delays or possibly even taxes or tariffs. This can be
observed that the retailing sector of UK helps in strengthening the brand overseas which is due to
the fact that more than 3 million people are employed in the retail sector (Schleper and et.al.,
2021). This makes the retail sector one of the largest private sector employer in UK which
accounts for more than 10.5% of the total employment. This can be evaluated that the costs of
the products also increased due to the increasing costs in the movement of goods between EU
and UK due to tariffs. This impacted the customers as well as the profitability of the retail firms.
In this time of Brexit, the pandemic started which shifted the majority of the customers online
which is why the retail firms faced a greater loss in the stores. The foreign as well as domestic
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