Principles and Practices of Marketing for Whole Foods UK

PRINCIPLES AND
PRACTICE OF
MARKETING

Table of Contents
INTRODUCTION....................................................................................................................3
TASK.........................................................................................................................................3
Positioning of Whole Foods...................................................................................................3
Marketing mix used for reinforcing positioning....................................................................7
Evaluation of effectiveness of marketing...............................................................................8
CONCLUSION.......................................................................................................................10
REFERENCES.......................................................................................................................11

INTRODUCTION
Marketing refers to activities which are performed by an organisation to promote and
sell their products and services to consumers. The process of marketing is followed in order
to intentionally stimulate demand for the products and services which are offered by the
company. The principles of marketing or agreed upon marketing ideas, waste and
organisation used for effective marketing strategy (Gbadamosi, 2019). The principles of
marketing are based upon price, place, product, promotion, physical evidence, people and
processes which are interconnected and work all together. Whole Foods Market is an
American multinational supermarket chain which was founded by John Mackey, Craig
Weller, Renee Hardy-Lawson and Mark Skiles in 1980. The company is operating as grocery
and health and food store. The parent company of Whole Foods is Amazon and is serving in
around 500 locations. The purpose of this report is to discuss the positioning strategy
followed by the company with the help of porter generic framework. With the help of porter
generic strategy, the report will discuss the marketing mix factors which can influence the
operations of business. The project will define the marketing mx which is used for
reinforcing the positing of the company within the industry. Lastly, some of the metrics and
strategies will be implemented in order to evaluate the effectiveness of marketing strategies
followed by the company.
TASK
Positioning of Whole Foods
PORTER GENERIC STRATEGY
Porter generic strategy is the framework which defines the attractiveness of industries
for long term profitability. As the porter generic strategy is based on three factors, the three
factors are- cost, differentiation and focus. These factors help in determining scope and
competitive advantage. This framework is a competitive strategy which defines the source of
competitive advantage which are cost and differentiation (Pride and Ferrell, 2021). This
framework is used to define how companies gain competitive advantage by choosing the
right strategy. The porter generic strategy is helpful in understanding cost leadership,
differentiation and focus. Here, focus is further divided into- cost focus and differentiation
focus.

A detailed porter generic strategy in context of Whole Foods Market is explained
below:
Cost leadership- Cost leadership strategy involves getting competitive advantage by
reducing the cost. The cost leadership factor is the main component of Porter generic
strategy. In context of Whole Foods Market, the company use cost leadership in various
consumer markets. The organization use this strategy in order to preserve market leadership
position through efficient value chain management and it allows the supermarket chain to
expand their market share by targeting middle class customers who made the largest
proportion of overall consumer marketing mix in most of the countries where the companies
operating (Robertson, 2021). As Whole Foods Market focuses on offering affordable and
accessible products follow around the globe the help of cost leadership strategy this leads the
brand towards high brand awareness in incline in sales revenues which offers them strong
competitive advantage.
Whole Food Market provides discount coupons and promotional campaigns through
which they can reach the sales target and maintain their competitive position in highly
competitive business environment. With the help of cost leadership strategy, it helps Whole
food company to gain various benefits which are offered due to this cost leadership strategy.
This strategy helps the company in increasing consumption, strengthening customer base,
enhancing brand awareness and recognition in the market by promoting their affordable and
accessible products.
Differentiation- By implementing differentiation strategy it allows Whole Food
Market to expand their customer base by offering unique products. By using innovation
strategy, the Whole Foods Market focuses on differentiating their brand with the other
competitors. By incorporating the combination of differentiation and cost leadership strategy,
this supports Whole Foods Company to establish a strong and loyal customer base through
which they can generate higher revenues and maximize their profitability.
With the help of differentiation strategy, The Whole Foods company position their
products in effective manner through which they can differentiate their brands from other
available alternatives in the industry (Whole Food Market generic strategies, 2018). So, all
these strategies such as having management and marketing celebrity endorsement,
advertisement for some of the differentiation strategies followed by Whole Foods Market in
order maintain their competitive position in the industry. The logo of brand is also another