Importance of Marketing in Strategic Planning: A Case Study of Unilever

This report discusses the importance of marketing principles and detailed application of marketing mix in the business organisation. It highlights the key principle of marketing used by Unilever, importance of marketing in strategic planning, and concepts of segmentation, targeting and positioning to a product or service. The report also discusses the link between marketing and other functional areas of the organisation.

Sales and Marketing

Table of Contents
Introduction .....................................................................................................................................3
Main body .......................................................................................................................................3
Discuss the key principle of marketing used by the chosen organisation..............................3
Discuss the importance marketing plays in the strategic planning creating an appraisal of
rationale of the current marketing decisions..........................................................................5
Assess the concepts of segmentation, targeting and positioning to a product or service. .....7
Discuss how organisation use a number of techniques to improve their communication
process to enhance sale...........................................................................................................9
Conclusion.....................................................................................................................................10
References ....................................................................................................................................11

Introduction
Marketing is defined as process undertaken by the business organisation in order to
promote their product and services among the target customers and enhance their performance as
well as productivity. It includes satisfying the needs and wants of the customers through offering
them quality goods and services. Whereas sales is defined as the process of selling goods and
services to the customers with the main main of maximising their profit. For this report Unilever
is taken as the base company. Unilever is one of the top consumer goods company offering
quality services in more than 190 countries, company is the biggest producer of soap around the
globe. Unilever was founded in 1929 having more than 400 brands. This report highlights the
importance of marketing principles and detailed application of marketing mix in the business
organisation (Agu, 2020). Importance of marketing in effective strategic planning of the
organisation is also highlighted in this report. In addition to this detailed analysis of
segmentation, targeting and positioning of a particular product and services.
Main body
Discuss the key principle of marketing used by the chosen organisation
Marketing is defined as the process of making consumers aware of the company's product
and services suing various marketing tools and techniques. It helps business organisation to
enhance their profitability and productivity, through marketing consumers aware of their their
products (Ben-Shaul and Reichel, 2018). In case of Unilever, the company is activity engaged in
their marketing activity. Being the leading consumers goods company around the globe company
is actively making consumers aware of the their products and services using various mediums. In
context to Unilever, the key principle of marketing is discussed below:
Marketing mix: It is defined as the combination of the actions used by the company in order to
effectively promote their product and services in the marketplace also to make consumer aware
of their brand effectively. It allows company to focus on various areas which helps them to
enhance their overall performance. In context to Unilever, marketing mix is highlighted below:
Product: The product refers to the physical community offered to the consumers by the
organisation in order satisfy their needs. It can be tangible or intangible enabling company to
gain competitive advantage in the marketplace (Heggde and Shainesh, 2018). In context to
Unilever, company has more than 400 brands in order to effectively meets the needs of their

customers. It's products are mainly divided into three categories such as foods, home care
products and personal care products. With large number of brands makes the company to be the
leading producer in the marketplace. Some of the most famous brand of the Unilever includes
Dove, Lipton, Vaseline, magnum, Persil, comfort and so on are some of the names recognised
globally (Ifediba, 2019).
Price: It is the value of the products set by the market and needs to be offered by the
consumers in return of the product and services. It determined the value of a particular products
and services in the marketplace. In context to Unilever, company uses penetration pricing
strategy in order to attract large number of customers and gain competitive advantage in the
marketplace. It is analysed that FMCG market faces lots of competition around the globe,
following competitive pricing allows the company to determine their price as per competitors
effectively. Unilever attract different types of customers so its pricing is also set as per customers
needs and preference also.
Place: It is one of the most essential part of the marketing mix, it involves placement or
distribution of the product and services in a place that is easily reachable to the target customers.
In context to Unilever, company is currently functioning in more than 190 countries also having
large distribution network including retail and direct outlets. Company has large number of
distributors also millions of retailers around the globe which allows company to effectively
reduce their cost, it helps company to capture large numbers customers enhancing their overall
profitability and productivity.
Promotion: It is defined as the technique used by the company to make consumer aware
of their brand as well as product and services. There are number of promotional techniques
available such as advertising, direct sale, personal selling and so on which helps company to
promote their product and services. In case of Unilever, company uses digital marketing
integrated with e-commerce in order to attract large number of customers and enhance their
sales. Company also uses digital campaigns and celebrities in order to promote their product and
services (Klein, 2021). In addition to this various other promotional tools such as print media,
hoardings, discounts and free samples are also used by the company. Effective use of various
promotional tools helps company to enhance their brand image around the globe.
People: They are considered to be the most essential factor of any business organisation
which lead them towards growth or either failure, so it becomes essential for the company to

effectively manage them. In context to Unilever, the company has large number of loyal
employees working towards achieving desired goals and objectives of the company. Unilever has
strength of around 1,49000 employees. In addition to this company has large number of
employees working in the sales team contributing to the enhancement of sales and large number
of people working in the customer service department ensuring satisfaction level of their
customers (Lacoste, 2018).
Process: It is defined as the systematic process followed by the business organisation in
order make it easier for the company to reach their target customers and make them buy
companies products and services more easily. In context to Unilever, the company follows
systematic process which allows them easily represent themselves in front of their target
customers. Company ensures that their products are always available at the retail stores. Unilever
also follows online delivery process, where the systematically product from the inventory is send
to the service provider.
Physical evidence: The last factor is the physical evidence, it is defined as the physical
environment experienced by the target customers of the chosen organisation. It can be the
physical design or structure, layout and website of the company. Which helps in analysing the
physical presence of the company among the target customers. In context to the Unilever, the
company has stores in more than 190 countries, also has their own website which is considered
as the most essential physical evidence for the company, allowing consumers to easily find
company's product and services (Lee and Heinze, 2020). In addition to this company also offers
their products in the colour packaging which makes it easier for the customers to identify them in
the retail stores.
Discuss the importance marketing plays in the strategic planning creating an appraisal of
rationale of the current marketing decisions
Marketing plays an essential role in the formulating and implementing strategies of the
organisation, in the effective strategic plan the marketing role is to implement it through using
their marketing channels. Marketing helps in creating strong brand image of the company,
effectively allows the target customers about companies products and services also help making
consumers aware of companies value proposition (Nayak, 2019). The effective marketing
strategy helps the business organisation in analysing the areas influence by the business growth
and accordingly helps in creating effective plan in order to fulfil customers needs and wants.

Effective strategic marketing also helps in proper utilisation of resources which
automatically leads to enhancing the overall profitability of the company. In context to Unilever,
the marketing process is involved in the strategic planning of the company at all the levels. The
marketing process helps in collecting and gathering all the required information to analyse the
present situation of the company as well as analysing the trends along with the impact of these
trends on the company (Nejadfathiand Nazari, 2019). This information helps in providing inputs
for the creating effective strategic plans. Unilever effectively utilise their market in order to
analyse the current trends and accordingly offers quality goods and services to their target
customers. Many bold marketing decisions were taken by the company in order to cater the
needs of their customers. Company believes that marketing is one of the most powerful force for
the behavioural change, as it helps in informing consumers about companies products and
services. Some of the rationale of the current marketing decisions taken by the Unilever is
discussed below:
 One of the major marketing decision taken by Dove, one of the Unilever's brand was to
start a real beauty challenges against the current stereotypes about the beauty. The
company aimed at promotes the real beauty in their campaign which is one of the most
appreciated campaign by the company.
 Another one was by the Persil's, where the company started campaign named dirt is
good. Under this the company promoted that getting direct is normal and positive for
everyone, it marketing decision helped company to attract large number of customers
enhancing their overall profitability.
 Company is also effectively using various social media platforms as their marketing tools
in order to attract large numbers of customers.
Organisation strategy and links with other functional areas
For an effective marketing strategy required the marketing department to effectively
work with the other departments of the organisation. The marketing department helps in smooth
working of the other departments also, it allows in the effectively carrying out various activity
also and implementing essential organisational strategy (Obal and Morgan, 2018). The marketing
is directly linked with the other functional areas of the organisation. The link of marketing with
the other functional department is highlighted below:

Marketing and human resource department: Human resource department ensures that
there is availability of skilled workforce in each and every department. In context to Unilever,
human resource of the company ensures that there is availability of skilled workforce in the
marketing department, also offering required training to them to enhance their skills and
performance. Thus marketing department helps human resource department through attracting
large number audience to apply for the job using their marketing tools and techniques.
Marketing and finance department: The finance department of the company ensures that
there is availability of fund in each and every department so that they can effectively carry out
their activity. The finance department of Unilever ensures that there is availability of required
fund to the marketing department so that they can effectively carry out their marketing
campaigns and activities also marketing department helps finance department in providing
required information about the market and customers so that they can set their budget. The link
among the two helps in achieving desired goals of the company (Peterson, 2020).
Marketing and operations department: Operations department of the company helps in
effectively carrying out all the operations of the company. There is direct link between the
operation and marketing department. Marketing department helps in providing required
information about changing needs and preference of the customers so that operations department
can accordingly carry their operations satisfying the needs of the customers. Marketing
department will also helps in making consumers aware of the product and services as per the
information offered by the operations or production department. Smooth working of both the
departments helps in achieving desired goals and objectives.
Assess the concepts of segmentation, targeting and positioning to a product or service.
In order to meet the changing customers needs and enhance their performance as well as
to gain competitive advantage in the competitive market it becomes essential for the companies
to offering unique and innovative product to their target customers. Change in the organisational
strategy as per customers requirement will also helps company to attract large number of
customers and enhance their performance. Innovation in product and services design will also
helps company to meet their customer's needs. In context to Unilever, in order to maintain their
position in the marketplace and continuer to gain competitive advantage, the company is
planning to launch new sugar free foods which will help in catering large number of customers

who are health conscious (Sowter, 2018). In order to successful launch this new product and plan
their marketing strategy, the STP model is mentioned below:
Segmentation, targeting and positioning model: It is one of the most essential strategy used by
the business organisation. This allows the company to effectively divide the large market into
small market, also helps company to target the potential customers more effectively, leading to
enhance the overall profitability and productivity of the business. In context to Unilever, which is
planning to launch their new sugar free food the STP model for effective marketing strategy is
highlighted below:
Segmentation: The segmentation is the dividing market into small distinct market, it allows the
company to divide different customers segments on the basis of certain criteria and
characteristics in order to effectively and smoothly fulfil their needs (Tosun, 2020). The main
four criteria on the basis on which the large segment is divided includes
Geographic segmentation: Under this the segment is divided on the basis of geographic
location such as country, region and state.
Demographic segmentation: Under the demographic segmentation the segment is
divided on the basis of age, gender, education and occupation level and so on.
Behavioural segmentation: Under this the segment is divided on the basis of their
behaviour, taste and preference also their relationship with the company.
Psychographic segmentation: Under targeting the segment is divided on the basis of
their lifestyle, hobbies, activities, attitude and so on.
In case of Unilever, for their new launch the segment is divided on the basis of
demographic and psycho graphic. The customers of all age group and gender will be taken into
consideration also segment who is conscious about their health will be taken as the segment by
the company.
Targeting: After segmentation comes the targeting, once the segment is divided then it is
targeted effectively in order to satisfy their needs and enhance overall productivity of the
business. Targeting is defined as the process of analysing the most potential segment to be
targeted by the company in order to enhance their performance and achieve desired goals and
objectives. In context to Unilever, company will be targeting on the customers who are mostly
health conscious and prefers sugar free goods (Vadamala and Amarnath, 2020).

Positioning: The last one is the positioning, under this various tools and techniques are used by
the business organisation in order to make consumers aware of the product and services, this
includes creating strong position of the brand in the minds of the customers using various tools
and techniques effectively. There are number of marketing tools available that can be used by the
company such as direct marketing, social media marketing, advertising, personal selling and so
on. Use of these these tools will helps company in creating strong brand image among the
customer. In case of Unilever, company will be using digital marketing including various social
media platforms such as Facebook, Instagram, Twitter in order to make consumers aware of the
new launch and also create strong position of the brand in their minds effectively.
Discuss how organisation use a number of techniques to improve their communication process to
enhance sale.
Repeat customers are the ones who comes back to the business again and again in order
to purchase goods and services. Repeat customers are considered to be highly profitable fro the
business organisation. Retaining loyal customers for long period of time helps company to
enhance their performance in the marketplace and also to gain competitive advantage effectively.
Customers are considered to be the most essential part behind the growth and success of the
organisation so it becomes important for the companies to continuously satisfy their needs and
wants (Weinstein and Johnson, 2020). In context to Unilever, number of techniques used by the
company in order to repeat customers purchase which will help in enhancing the overall sale are
discussed below:
Offering quality customer service: One of the most essential strategy that can be used by
the company to retain their loyal customers and enhance their sale can be offering quality
services to their target customers. Unilever needs to ensure that their customers feel comfortable
with their products through effective training and demos. Also company can offer personalised
live chat support to their customers in order to solve their problems.
Offering required information about the products: Another strategy that can be used by
the company in retaining their customers can be offering required information about the products
and services. Customers feel confident about the products when they through knowledge about
the products and services along with its merits and demerits. When customers doesn't have
knowledge regarding the products and services there are chances that they will easily get shift to
the competitors.

Collecting feedbacks and enhancing products accordingly: Customers feedbacks plays
an essential role in evaluating their performance and also helps in the effective customers
experience for any business organisation. Feedbacks will help Unilever to analyse their
customers needs and also helps in anticipating what their customers are looking for, analysing
the customers needs will help company to offer customers products as per their needs and wants
effectively.
Conclusion
From the above report it has been analysed that marketing is one of the most strategic
process used by the business organisation. Effective marketing helps the business organisation to
enhance their profitability through making consumers aware of their product and services. It also
helps in improving performance of the business organisation and enhancing their brand image in
the marketplace. This report helps in analysing various principles of marketing used by the
company such as product, price, place and promotion and so on. Also marketing also helps in
enhancing overall performance of the company and helps in strategic planning of the
organisation. The detailed description of segmentation, targeting and positioning for a particular
product is also analysed also the various techniques used by the company to enhance their
communication process is also analysed in this report.

References
Books and Journals
Agu, G.A., 2020. Perceived sales promotion transparency and customer intention to participate:
Insight from student-bank customers in Nigeria. Journal of Marketing Communications,
pp.1-18.
Ben-Shaul, M. and Reichel, A., 2018. Motives, modes of participation, and loyalty intentions of
Facebook tourism brand page consumers. Journal of Travel Research, 57(4), pp.453-
471.
Heggde, G. and Shainesh, G. eds., 2018. Social media marketing: Emerging concepts and
applications. Springer.
Ifediba, E., 2019. The empirical analysis of the roles of sales promotion in the marketing of
Nigeria bottling company products. International Journal in Management & Social
Science, 7(10), pp.136-147.
Klein, M., 2021. Emotional labor in a sales ecosystem: a salesperson-customer interactional
framework. Journal of Business & Industrial Marketing.
Lacoste, S., 2018. From selling to managing strategic customers-a competency analysis. Journal
of Personal Selling & Sales Management, 38(1), pp.92-122.
Lee, Y. and Heinze, T., 2020. Do technology-based sales support materials make a difference in
personal selling? The impact of technology usage by gender in the personal selling
process. Journal of Marketing Education, 42(3), pp.272-283.
Nayak, J.K., 2019. An exhibitors perspective: factors affecting selection of industrial trade shows
in India and the importance of spot sales. Journal of Business-to-Business
Marketing, 26(2), pp.125-140.
Nejadfathi, A. and Nazari, F., 2019. Investigating Customer Relationship Management Based on
the Knowledge of Customer Response and Providing a Model to Increase Sales: A Case
Study of the Branches of Tarma Café-Museum. Journal of Business Administration
Researches, 11(21), pp.373-402.
Obal, M. and Morgan, T., 2018. Investigating the moderating effects of perceived technological
change on sales force acceptance. Journal of Business-to-Business Marketing, 25(4),
pp.319-338.
Peterson, R.A., 2020. Self-efficacy and personal selling: review and examination with an
emphasis on sales performance. Journal of Personal Selling & Sales
Management, 40(1), pp.57-71.
Sowter, C., 2018. Marketing high technology services. Routledge.
Tosun, P., 2020. Unethical sales practices in retail banking. International Journal of Bank
Marketing.
Vadamala, R.R. and Amarnath, B., 2020. An Empirical Study on the Effectiveness of Consumer
Sales Promotion Tools in Hyderabad. IUP Journal of Business Strategy, 17(3).
Weinstein, A. and Johnson, W.C., 2020. Designing and delivering superior customer value:
concepts, cases, and applications. CRC press.