Marketing Plan for TESCO: Utilizing Marketing Mix to Improve Growth and Market Share

This article discusses the current situation of TESCO and the development of a marketing plan to improve growth and market share. It explains the utilization of marketing mix tools to enhance growth and improve market share of chosen food retail organization. The article also includes SWOT and Pestle analysis, BCG matrix, Ansoff matrix, and marketing implementation.

PROJECT 2

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
Summarizing organizational current situation.............................................................................3
Developing marketing tactics......................................................................................................5
Discussing how marketing mix used to help TESCO in question to improve growth & market
share.............................................................................................................................................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................1

INTRODUCTION
Marketing is defined one of those elements that contribute to generate awareness among
people about a product and service that drive their attention toward purchasing the things. This
element plays significant role in the context of an organizational growth and success in the
business world. The current assignment will be based on TESCO, which falls under the category
of leading food retail organizations in the UK. The study will explain, current situation and
development of a marketing plan. It will specify utilization of marketing mix tools to enhance
growth and improve market share of chosen food retail organization.
TASK
Summarizing organizational current situation.
For purpose of analysing current organizational situation, a specific strategic business
environmental tool is required such as SWOT and Pestle analysis, which enable management to
identify the key factors or forces that impact TESCO, either in positive or negative manner.
PESTLE analysis-
Political factor-
This factor may affect supermarket current business growth and success level in positive
manner, as political stability in the UK and other nations where, TESCO has been operating its
venture is stable (Casañ, Alier and Llorens, 2021). It means that firm may run its venture
successfully, which aid to enhance or increase customer base.
Economic factor-
Another factor that affect organization, is current one, which encompasses key terms such
as employment, economic growth, etc. The combination of these concepts, may put positive
impact on TESCO, in term of driving attention of company toward taking pleasure of increasing
profitability as people are able to purchase products from organization. Thus, firm set low
pricing tactic that enable customers to buy goods according to their wish list.
Social factor-
This factor may also affect organization in positive manner, in term of increasing
customer base and enhancing their performance level, for which organization and its
management work harder. Customer needs and changes related to this factor, may affect firm
positively, as TESCO always take initiative to fulfil consumer need, even when it has changed.
Technology factor-

Technology advancement may put positive impact on TESCO, in form of increasing
operational effectiveness such as marketing (Kolev, 2021). It may enable organization to take
approach to using advanced technologies that aid to build strong brand image and reputation in
the market.
Legal factor-
This factor may impact negatively, in term of increasing work pressure on management
for changing their policies and employment rules in appropriate manner, according to
government directions.
Environmental factor-
This factor may affect TESCO, in positive manner, in term of building positive brand
image as firm may already conduct approaches and practices in regard to sustainable business
performance.
SWOT analysis-
Strengths-
Tesco plc is one of the largest grocery retailer in UK, as it has around 2,318 stores in all
over the world and employing around 326,000 people. It means organization had power or
strength to beat rivals that accessible in the business world.
Along with online, company provides online services to customers, which falls under the
category of TESCO strengths (Benzaghta and et.al., 2021). The aim of this company model is to
serve the customer not just in UK but also around the world and make them feel happy. With
above two and more strengthening elements, company may achieve this aim. Along with above
strengths it may have more things such as engaged in retailing business and associated with
activity of banking. Its venture portfolio includes, Tesco hungry, bank, and other category of
ventures.
Weaknesses-
Lack of quality control is one of the biggest TESCO weakness, that may lead to decrease
the effectiveness of operational management, which is not suitable for its rapid growth in the
retail industry. Another weakness that may affect negatively upon company success is increasing
of debt, as firm is not able to get rid off from debt in the last few years as compare to its rivals.
Opportunities-

Technology advancement is the best opportunity that organization and its management
may grab in form of using and implementing new technologies in the workplace. Therefore, it
may contribute to increase organizational performance and productivity as well as profitability
level. Another opportunity that company may grab is strategic alliance that enable supermarket
to enter into Japan and other nations where it may obtain desire outcomes.
Threats-
Intense competition and changing regulatory framework, are the biggest challenges or
threats that may impact in negative manner upon TESCO.
Developing marketing tactics.
Aim-
The objective or aim of TESCO marketing plan is to generate awareness among people
about new vegan products that it will plan to offer people and accessible in each store.
Target market-
For purpose of new goods, it is important for the company and its management to target
specific group of people, by using the best segmentation, targetting and positioning strategies. By
using demographic, behavioural and psycho-graphic, segmentation tactics, TESCO will target
each and every one, in world, as individual person in the recent time prefer to eat health.
Segmentation basis
Preferences
Value proposition- Individual person prefer to eat health and purchase quality products
according to trend.
Income- 25000- 30000
Age- 09-40
Marketing strategies-
For purpose of generating market awareness in the context of new vegan products, it is
necessary for marketer to develop the best tactics that enable them to achieve current marketing
plan objective or aim (Li, Larimo and Leonidou, 2021). They will take approach to develop
strategy such as to communicate target market directly in form of creating social media site and
profile.

Discussing how marketing mix used to help TESCO in question to improve growth & market
share.
7Ps of marketing mix-
Product-
TESCO and its stakeholders will improve business growth and increase market share in
form of introducing a new range of vegan items in the market, after pandemic. It will enable
them to take pleasure of increasing profitability, customers and their satisfaction level, as each
person in the recent time prefer to eat and buy vegan products that is good for their health.
Price-
For purpose of increasing profits margin and organizational growth, management will
take initiative to select a specific pricing tactic, related to good that they want to offer, target
audience. They will choose competitive pricing tactic, that drive their attention toward increasing
and decreasing cost against rivals. It will aid to obtain desire outcomes in form of aim
achievement.
People-
The success of marketing plan is possible when management has skilled and talented
employees in the workplace. In order to reach desire results, they will effort to build wide and
strong workforce in form of hiring and recruiting people on the basis of their skills and efficiency
instead of age, gender and other features.
Place-
For purpose of gaining customer attention and achieving other objectives, organization
will plan to select its existing stores in the market, where they will offer new range of vegan
items. In the UK, firm has number of outlets, where it will effort to offer new thing
appropriately, as it is quite easy for customers to purchase items according to their list along with
new.
Process-
In term of procedure, TESCO and management will initiative to connect with sustainable
suppliers, who are able to provide fresh fruits, vegetables and other vegan items that enhance
customer satisfaction and engagement level in the context of products purchase from chosen
company. This approach will in turn provide unpredictable outcomes to administration.
Promotion-

In order to promote venture new product worldwide, marketer will approach to use the
best social media channels and other digital platforms, where they will initiative to advertise new
goods. It will contribute to increase profitability and productivity, which is not that easy for any
company to do so as it required a lot of time, and some valuable resources that TESCO have.
Physical evidence-
Social media websites, holding and billboards are the best examples that utilize to specify
the physical existence of TESCO in the world. All these concepts will provide organization
benefit in form of gaining customer attention and retaining existing.
BCG matrix-
This form of strategic model encompasses four different categories of products or
services that specify which item or service provide benefits to a company. In case of TESCO,
this model is applied in appropriate manner.
Star
 Financial services strategic business
unit
Question
 Local foods
Cow
 Products
Dog
 The plastic bags strategic business unit
According to the above BCG matrix, TESCO is able to gain competitive benefits in form
of having star products such as good financial services that contribute tot enhance customer
satisfaction level. This symbol or indicator may indicate that high market share and growth drive
the attention of company toward unpredictable success. Question mark product indicate that a
specific item had high growth but low market share. It means supermarket, may do not sustain
for long with its item because customers are concentrating more toward other food goods such as
vegan. Cow category of product shows that firm may earn more profits and generate revenue,
with clothing and other category of good as it is now in demand. While, dog category of product
such as plastic bags may do not provide desire outcome to company.
Ansoff matrix-
Another model that encompasses key elements is current one, which drive the attention of
management toward selecting the best technique with which they may proceed further in form of
marketing plan implementation.

Market penetration, product development, market development and differentiation are the
four types of components, that organization consider and then chose, according to their aim and
objectives. Marketing penetration may drive companies attention toward focusing on current
product improvement, while product development enable to focus on developing new item. In
case of marketing, it may select product development tactic, which enable firm to gain
competitive benefit in form of gaining customer attention, whether they are national or
international (Cooper, 2019). It may provide firm chance to retain and acquire new potential
target audience in form of offering vegan food items that people prefer to buy, according to need,
along with considering health concern. It is fact that product development may provide
supermarket chance to give tough competition to rivals in form of offering those items that other
brand may do not have (Guiné and et.al., 2020). It may give organization power to increase
profitability, generate revenue and maximize productivity level with wide customer base.
Marketing implementation-
In order to implement the marketing plan, it is important for marketer to set a specific
time line that drive their attention toward conducting practices and activities accordingly.
Performance evaluation-
There are different forms of approaches and techniques accessible in the corporate world
that a company may use to evaluate the performance or success of their marketing plan and
tactic. In case of new vegan products, TESCO and its administration, will take approach to
review customers comments and feedbacks about the new goods. Furthermore, they will also
initiative to determine the gap, between current and previous years of profitability.
CONCLUSION
On the basis of above discussion, it has been concluded that marketing plans had
provided unpredictable benefits to supermarket. It has achieved strategic objectives and aim of
company, and enhanced customer base, which is quite essential for rapid growth and success of
its venture in the retail industry. Furthermore, from above analysis, it has been identified that
utilization of marketing mix 7ps element and other approaches of marketing plan, enabled firm
to take pleasure of generating revenue and gaining competitive advantages in the market. By
using the best marketing tactics, it had given tough competition to rivals, in effective manner.

REFERENCES
Books and Journals
Benzaghta, M. A and et.al., 2021. SWOT analysis applications: An integrative literature review.
Journal of Global Business Insights. 6(1). pp.55-73.
Casañ, M. J., Alier, M. and Llorens, A., 2021. A Collaborative Learning Activity to Analyze the
Sustainability of an Innovation Using PESTLE. Sustainability. 13(16). p.8756.
Cooper, R.G., 2019. The drivers of success in new-product development. Industrial Marketing
Management. 76. pp.36-47.
Guiné, R.P. and et.al., 2020. The link between the consumer and the innovations in food product
development. Foods. 9(9). p.1317.
Janiah, S., 2019. STRATEGIC MANAGEMENT EFE-IFE MATRIX, SWOT ANALYSIS,
COMPETITIVE PROFIL MATRIX (CPM) DAN BCG MATRIX PADA PT
YAMAHA. Jurnal Ekonomi Manajemen Sistem Informasi. 1(2). pp.188-196.
Khajezadeh, M. and et.al., 2019. Application of neural network in portfolio product companies:
Integration of Boston Consulting Group matrix and Ansoff matrix. International Journal
of Economics and Management Engineering. 13(6). pp.809-813.
Kolev, M., 2021. 12 Reverse Stress Testing with Strategic Management Tools. Reverse Stress
Testing in Banking: A Comprehensive Guide. p.269.
Li, F., Larimo, J. and Leonidou, L. C., 2021. Social media marketing strategy: definition,
conceptualization, taxonomy, validation, and future agenda. Journal of the Academy of
Marketing Science. 49(1). pp.51-70.

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