Analyzing the Use of Web for Marketing in Tesco

GREENWICH SCHOOL OF MANAGEMENT
(GSM)
STUDENT NAME: DANIEL A O AYODELE
STUDENT ID NUMBER: 36016
MODULE CODE:
SUBMISSION DATE:
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Running head: DISSERTATION

Acknowledgement
Thank you to all of those who have helped listened and encouraged me throughout this study. I
am indebted to my lecturer ......................... whose guidance, advice and patience have been
immeasurable. My sincere thanks to all members of the Greenwich School of Management
(GSM). both staff and students, whose continuous support have made this thesis possible.
I would like to thank all of the participants in the study: students, teachers and Local Education
Authorities including Student Finance England, for the time and help given throughout. Without
their participation, this research would not have been possible. In this context, I am also thankful
to them, those whose research work helped me to execute this paper well.
Finally, I thank my family, without whom this thesis would not have been started or completed!
Your encouragement and support have never faltered; thank you.
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Abstract
Marketing is the strategy undertaken by the business organizations to communicate their product
and services to the target customers. It can be said that better marketing results in better customer
attraction and business expansion. However, considering the present market condition and fierce
competition, the business organizations have adopted web for marketing their products. This is
because the majorities of the customers in today’s world is web friendly and have access to the
web. Thus, reaching out to the customers around the globe is easier through the web compared to
the difficult marketing which incurred a huge cost.
The researcher also identifies the factors affecting both the variables and analyses them critically
in order to determine the effectiveness of the identified factors. The study also includes relevant
theories and models that support the concepts of both the variables. In this chapter, the researcher
analyzes the use of the web for marketing in modern day by considering the changing needs and
demands of the target market and the fiercely competitive market. The researcher has used
positivism philosophy, deductive approach, descriptive research design and survey research
strategy. The researcher has selected 100 customers of Tesco by random probability sampling
technique and analyzed the primary data collected by quantitative data analysis technique by
using SPSS, a statistical tool.
It was found that the use of web for marketing is impeccable for the business organizations.
Marketing is one of the most important business strategies that is undertaken by the business
organizations in order to communicate with the target customers. This is because appropriate
marketing provides an opportunity for the business organizations to share the properties and
description of the products with the target customers directly. As a result, the customers are able
to relate with the products and determine the suitability of the product in accordance with their
needs and demands. The business market has seen changes over the years that have led to fierce
and highly competitive market. Thus, the business organizations have used web for marketing
their products and service in order to hold better grip of the market. The use of web has several
benefits for the business organization as well as the customers.
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Table of Contents
Chapter 1: Introduction....................................................................................................................8
1.0 Overview...........................................................................................................................8
1.1 Problem statement.................................................................................................................8
1.2 Research aim..........................................................................................................................9
1.3 Research objectives...............................................................................................................9
1.4 Research questions.................................................................................................................9
1.5 Research hypothesis...............................................................................................................9
1.6 Research rationale..................................................................................................................9
1.7 Structure of the research........................................................................................................9
1.8 Summary..............................................................................................................................10
Chapter 2: Literature review..........................................................................................................11
2.0 Overview..............................................................................................................................11
2.1 Conceptual framework.........................................................................................................11
2.2 Use of web for marketing....................................................................................................11
2.3 Factors affecting web marketing.........................................................................................12
2.3.1 Target market................................................................................................................12
2.3.2 Technology...................................................................................................................12
2.3.3 Budget...........................................................................................................................12
2.3.4 Talent............................................................................................................................13
2.4 Impact of the web on marketing..........................................................................................13
2.5 Challenges in using web for marketing...............................................................................13
2.6 Concept of marketing..........................................................................................................14
2.7 Factors affecting marketing.................................................................................................14
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2.8 Theory of marketing............................................................................................................15
2.8.1 7 P’s of marketing.........................................................................................................15
2.8.2 Segmentation, targeting and positioning theory...........................................................16
2.9 Model of marketing.............................................................................................................17
2.9.1 AIDA model of marketing............................................................................................17
2.10 Difference between traditional and web marketing...........................................................18
2.11 Summary............................................................................................................................18
Chapter 3: Research methodology.................................................................................................19
3.0 Introduction..........................................................................................................................19
3.1 Research outline...................................................................................................................19
3.2 Research philosophy............................................................................................................19
3.2.1 Rationalizing the election of positivism philosophy....................................................19
3.3 Research approach...............................................................................................................19
3.3.1 Rationalizing the election of deductive approach.........................................................19
3.4 Research design...................................................................................................................19
3.4.1 Rationalizing the election of descriptive design...........................................................19
3.5 Research strategy.................................................................................................................20
3.5.1 Rationalizing the election of survey strategy................................................................20
3.6 Sampling technique and sampling size................................................................................20
3.6.1 Rationalizing the election of random probability sampling technique.........................20
3.7 Data collection technique....................................................................................................20
3.7.1 Rationalizing the election of primary data collection technique..................................20
3.8 Data analysis technique.......................................................................................................20
3.8.1 Rationalizing the election of quantitative analysis technique.......................................20
3.9 Ethical considerations..........................................................................................................20
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3.10 Accessibility issues............................................................................................................21
3. 11 Summary...........................................................................................................................21
Chapter 4: Data Analysis...............................................................................................................22
4.0 Overview..............................................................................................................................22
4.1 Summary..............................................................................................................................43
Chapter 5: Conclusion and recommendations...............................................................................44
5.0 Conclusion...........................................................................................................................44
5.1 Linking with objectives...................................................................................................44
5.2 Recommendations................................................................................................................45
5.3 Future scope of the study.....................................................................................................46
References......................................................................................................................................47
Appendix 1.....................................................................................................................................50
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List of Figures
Figure 1: Conceptual framework...................................................................................................10
Figure 2: 7 P’s of Marketing..........................................................................................................15
Figure 3: Segmentation, Targeting and Positioning (STP)............................................................16
Figure 4: AIDA model of marketing.............................................................................................17
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Chapter 1: Introduction
1.0 Overview
Marketing is the key strategy that determines the success of the business organizations. As
commented by Chaffey and Smith (2013), marketing is the strategy undertaken by the business
organizations to communicate their product and services to the target customers. It can be said
that better marketing results in better customer attraction and business expansion. However,
considering the present market condition and fierce competition, the business organizations have
adopted web for marketing their products. This is because the majorities of the customers in
today’s world is web friendly and have access to the web. Thus, reaching out to the customers
around the globe is easier through the web than was difficult and incurred a huge cost in
traditional marketing (Royle and Laing 2014).
Keeping in mind the impeccable influence of web in terms of marketing, the business
organizations have to use it effectively and appropriately. This is because the use of the web for
marketing provides an opportunity for the business organizations to expand business and
customers. Along with business and customer base expansion, the use of the web for marketing
provides and allows the business organizations to save cost. This is because several marketing
strategies in the web are virtually free (Stone and Woodcock 2014).
Tesco is a British multinational general merchandise and grocery company. Tesco has its
headquarter in Welwyn Garden City, England, United Kingdom. After considering the profits
generated by the company, Tesco is considered as the third largest retailer in the grocery
industry. Tesco has retail outlets in 12 countries in overall Asia and Europe. Recently, an issue
has been identified in Tesco in terms of using web for marketing. Considering the intense
competition in the grocery market, inappropriate use of the web for marketing is hampering the
company in terms of business. Thus, the research is conducted in order to analyze critically the
use of the web for marketing for Tesco (Tesco.com 2018).
1.1 Problem statement
The issue in terms of using web for marketing has been identified in Tesco. This is
hampering the business of Tesco. The rise in the number of groceries retails have increased over
the years thereby, making the market highly competitive. The tough competition of Tesco in the
business sector includes Lidl, ALDI, Morrison’s, Sainsbury’s and ASDA (Stephen 2016). Thus,
it has become difficult for Tesco to attract customers by using the traditional method of
marketing only. As Tesco is unable to use web for marketing, it is threatening their survival in
the competitive market. Tesco is unable to communicate the new products or services they have
to offer to the customers around the globe effectively. As a result, the sales of Tesco are
decreasing, as they are unable to communicate with the target customers effectively and develop
interest and desire within the customers. In addition to, this is also hampering the existing image
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