Amazon Go UK: Strategic Marketing Plan, PESTLE & SWOT Analysis

This report presents an executive summary of a strategic marketing plan for Amazon Go, focusing on tactics, activities, and tools to improve marketing outcomes and market share. It includes an analysis of the external and internal environments using PESTLE and SWOT frameworks to identify strengths, weaknesses, opportunities, and threats. The plan outlines SMART strategic objectives, target market segmentation, and the significance of the marketing mix. The analysis incorporates Porter's Five Forces to assess industry competition. Key findings emphasize the importance of understanding the target market, customer needs, and brand positioning to achieve competitive advantages and enhance overall business performance. The report concludes by highlighting the strategic implications for Amazon Go in the competitive marketplace.

MBA

Executive Summary.
As per this report is covering the major information related to strategic marketing plan which is
involves different tactics activities along with tools and techniques to helps for scrutinize better
outcomes as well as it also enhance high preference marketing share and evaluating plan to
seeking positive implication. To approaching further external and internal environment for
strength and weakness along with outside market opportunity and challenges which enhance
better effective to attaining marketing related competitive advantages. The finding and fact
evidence are generated on the basis of plan and measuring of detail study about target market as
well as involving targeted customer which enables to procuring more supplier and buyers, more
efficient manpower to hire and brand positing in international market that provides more
outcomes which it leads towards for productive outcomes in better way.

Table of Contents
INTRODUCTION...........................................................................................................................1
Task 1 of 1 – Presentation ...............................................................................................................1
Task 2 of 2 – Marketing Plan ..........................................................................................................1
A section in which you perform a PESTLE analysis and review Porter’s 5 forces relevant to
your organisation. .......................................................................................................................2
A section with a SWOT analysis and a stakeholder analysis of your organisation ....................4
A section in which you should develop SMART strategic objectives for the organisation .......6
A section concerning the market segment...................................................................................7
A section concerning the marketing mix. This section should
analyse the significance of the marketing mix for the organisation............................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
In the changing environment needs and wants of customers are changing day by day
where it is important for organization to introduce the new products and services that can help to
reach the target audience and maintain the higher profitability. If all organization are using
effective strategies and marketing plan then it develop their business effectively. Marketing is the
important activity which mainly uses to provide the information regarding product and services
that are going to launch by company in market (Alves and et.al., 2019). The aim of organization
is attracts the wider range of customers by understanding their needs and providing kind of
products and services so that customers feel happy and share their positive experience. This
report is based on case study of Amazon Go supermarket that is situated in UK, providing
different types of products and services to customers that can help to increase the performance
and profitability effectively. This is cashier-less supermarket which uses technology to allow
customers to pick up items and walk with them. This report is divided in two parts that will help
to understand how organization is attaining the higher profitability. The first part covers purpose
of strategic marketing, planning process, three marketing concept, significance of branding using
Amazon and concept of Brand Pyramid. The second part is about marketing plan by covering
PESTLE, Porter's 5 forces, SWOT, and SMART objectives that can help to increase sales and
performance. As a representative of Amazon it has determined that marketing plans formulated
by marketing manager after evaluating needs and wants of their customers that can help to
support the business and increase the performance in competitive environment.
Task 1 of 1 – Presentation
Purpose of Strategic Marketing
The Strategic Marketing plan is the systematic process in which it developing, processing
and manufacturing through implementing by facts and finding for better involvement evidence to
optimise positive outcomes which enables to attain more competitive advantages or edge. On
the basis of Example: Small business which is planning to offer Amazon.Go for productive
business plan in which many marketing practise involve which support to generate more
outcomes as well as direct process to shows for indicate about certain objective to attain more
objective to accomplish for setting benchmark in competitive marketplace. Meanwhile,
Amazon.Go need to propound their rectify mission, vision , objective which helps to clarity that
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enhance better working regulation for attaining aspect to presume the planning through better
way of approach task. By finding out the target market and customer which helps to produce
systematic procedure that can filling up their more competitive advantages which having major
positive outcomes. As per the main objective customer satisfaction. There many operation are
regulating through on the basis of guidance which employees used to follow in proper maner to
attain more goals.
2. Diagram about the marketing planning process
3. Critical review of at least three marketing concepts/models/theories and how they
relate to the marketing planning process
The description of marketing is effective planning of manufacturing, promoting, distribution
about product ad level main objective is to creating positive competitive advantages, yby
designing strategic aims to attain by procedure that follows under the guidelines it makes
effectively helps to procure techniques or tools that operate better outcomes which enhanced
for expectation. For example the goals and objective is mainly gathered as well as to
highlight issues and challenges which get to face by company team. The Marketing team of
Amazon.Go is plans to create their innovative marketing concept which mainly support to
accomplish various kind of supportive actions and more opportunity related new market and
new product concept which allows with an two objective to fulfilling customer expectation
as well as to branding awareness. For example: the marketing practises towards achieving
better competitive advantage there are three major factors to customer get satisfied in
effective manner. To consider marketing approach in order to satisfy where the
organisational objective where the organisation like Amazon.Go anticipate the needs and
wants where the consumer to better satisfy the more customer efficient manner to mapping
competitors.
There are three main feature which use in marketing concept to better creating marketing
design effectively
 Need: This is one of essential for people where they are link with people to living
in stable healthy and safer life. It mainly need to remain fulfil or as unfulfilled
where it clear for adverse to optimising dysfunctional death. Needs can be the
highlight about the objective which is enhance better physical as well as food and
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shelter that surrounding within better family along with all over social, self
esteem and actualisation that procure more effectiveness.
 Wants: To making indicate which is really having individual people wishes or
desire to acquire some related with product and service. As Wants is not for
essential but it counts on better survival on long term that enhance from culture.
 Demands This is the last stage of customer decision making impact when needs
and wants fulfilled but it generates more used to it and customer is having ability to
spent all the expense to just undertakes it effective ness.
Some of major three marketing concept:
 Production concept: As per Amazon.Go company perspective the process of production
is to better major aspect by including authentic raw material which is helps to dominate
the market effectively. This is based on approach where company tend to implies by
increasing supply through decreasing the cost to more retain customer in long term
aspect. Eventually, the production is having concept that reflecting business lower costs
or mass production for more demand or fulfilling customer expectation.
 The Selling Concept: According to this it defines about both better concept that helps
to focuses on production but also promote for selling in actual sales about product. The
manly determines selling concept which making every possible regarding through
quality of product which fulfil the deal to better accomplish product need to customer.
 The marketing concept: For promotion and advertising in different platform to enhance
more customer interaction which helps for places customer by making them awareness
about product and service to accomplish needs and wans. For example Amazon.Go
marketing process that applicable towards needs and wants where deliver ore value and
performance tracking more competitors.
4. Significance of Brading for Amazon.Go.
Branding is wide concept which is more prefer by understanding in perspective of
Amazon.Go to examine how branding is effective along. This is enhance to create more
competition for attaining for better classifies in provides alternatives for right economic choice.
The significance about branding that involves in Amazon.Go practise:
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 Branding helps to increase the business value for better generating through future
business. As well as having strong that enhance to awareness about product and service
in better aspects.
 On the basis and good value to generates in customer for better referrals through
better assume to provide agentries. Once it better regulates examine to provide well
established for major production
Task 2 of 2 – Marketing Plan
Marketing plan is defined as essential document of any organisation which uses to
introduce the products and services in competitive market and develop the business effectively.
If organization is having good marketing plan and strategies then it complete the decided goals in
certain time and attain the higher profitability (Araujo-Lima and et.al, 2016). The aim of
Amazon Go UK is to arise the bar of customer experience by using internet and new technology
that empower business productivity. Therefore, management of chosen organization have
formulated the marketing plan that are as explained:
A section in which you perform a PESTLE analysis and review Porter’s 5 forces relevant to your
organisation.
PESTLE analysis - This defined as important framework that uses by Amazon Go to
analyse the external environment while running the marketing plan and developing the business.
The pestle analysis in context to retail industry is defined below:
Political factor - This factor depicts government regulation and laws which are important
to follow while running a business. This involves tax rate, political stability, fiscal policy etc.
that are connected with trade. After Brexit, the government of UK became stable who formulated
different policies in relation to trade that provide the opportunity to Amazon Go for running a
business effectively (D'Agostino, 2018).
Economical factor - Various aspects are related to economy such as inflation, interest,
changing in currency etc. After Brexit, inflation rate of UK have been decreased that became an
opportunity for Amazon Go to run their business and increase the performance in changing
environment. This has increased the spending power of customers and maintaining good
performance.
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Social factor - This factor is related to society such as lifestyle, population growth, age
distribution, cultural trend etc. COVID -19 is big pandemic which has occurred in whole world
has created the threat for Amazon Go to reduce their sales and productivity as customers become
health consciousness who have stopped to buy the products.
Technological factor - The relation of factor with new technology and innovation which
can help to operate the business continuously. Amazon Go have used the new technology and
become cashier less super market where it introduced various products and services which
helped to increased the productivity and profitability in changing environment. Moreover, by
using new technology it keeps track of all items in virtual cart, online shopping and one day
delivery which become an opportunity to complete the marketing plan and develop their business
effectively (Dolata, 2017).
Legal factor - This factor is related to laws and regulation that are important to follow
while operating a business. Amzon Go is larger size supermarket in retail industry that is
following employment and business trade rules which are formulated by government that can
help to increase the sales and performance in changing environment and attain the higher
profitability.
Environmental factor - It considers pollution and green house gas emission, promoting
business ethics, changing in climate and weather, and geographical location that affected the
business. Amazon Go is following all environmental regulation such as gas emission and
changing climate in which it provides products by reducing wastages that helps to increase the
business performance and profitability (DONICI and et.al., 2012).
From the above it can be concluded that PESTLE analysis uses by Amazon Go for the
purpose of evaluating which factor might be affected the business and how these can be
opportunity for organization by following all regulations and trade laws.
Porter's five force – This can be defined as framework which attempts to evaluate the
competition level in an industry and market by developing the business and facing the
competition. The selected organisation is using the porter's analysis for the purpose analysing the
competitive in retailing sector that are as defined;
Competitive rivalry – Having other organisation similar to running business increases
the competition level for business where management is require to formulate strategies such as
reducing cost and effective marketing strategies which supports to run it continuously. In retail
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sector there are many organisation ASDA, Tesco, Sainsbury and Morrison all are competitor of
Amazon Go company affected the business of existing organisation (Dou and et.al., 2018) .
Buying power of suppliers – Suppliers are good performer for organisation as they helps
business by providing the raw material and products in bulk at very less prices. In context to
Selected organisation the threat of supplier's power is low as having larger number of suppliers
in UK may be strength for retailer organisation to buy products from low cost manufacturer that
can help to save cost and increase the profitability.
Buying power of buyers – This is defined as power of customers as how easy they can
buy products by reducing prices. In UK, there is high population and less number of retailers that
are selling the products as per their wants. This can be opportunity and low threat for Amazon
Go to sale their products at fixed prices which can help to manage the good organisational
performance (Engie and Sarnelle, 2014).
Threat of substitutes – People are living their life by using daily uses products which
are important to use, are providing by organisation. If companies are selling their products at
high prices then customers goes towards other products which may be substitution that fill the
needs of original products. In context to Amazon Go, there is less threat of substitution which
can affected the business positively and help to take the competitive advantages.
Threat of new entrants – This can be consider as other threat which can reduce the
organisational performance due to coming a new organisation in similar sector. There is a
moderate threat of new entrants in context to Amazon Go because government regulation, trade
tariffs and trade barriers is not easy to facer which may affected the business negatively and
reduces organisational productivity.
The above discussed porter's five forces has explained that Amazon Go is getting various
opportunities as having higher population and range of suppliers who provides products at fixed
prices along with better quality that can help to increase the sales and profitability in changing
environment and develop their business effectively.
A section with a SWOT analysis and a stakeholder analysis of your organisation
SWOT Analysis :- Is useful tool to help you develop your business strategies. SWOT
stands for Strength, Weakness, Opportunities and Threats. Strength and Weaknesses are internal
to your company – things you have control over and can change. Opportunities and threats are
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external-things that are going outside of your company, in the largest market. You can take
advantage over opportunity and protect against threats but you cant change them.
To understand SWOT Analysis better lets do SWOT Analysis of Amazon Go UK
Company .
As we already discussed above Amazon Go is a British Multinational Food retailer Company.
Amazon Go Strengths:-
 Biggest grocery store in Britain:- Amazon Go has captured British market in real sense
in terms of revenue.
 Network of suppliers:-Well planned network of suppliers as suppliers plays an
important role in operation of the business.
 Highest market share:-As a leading supper market and grocery store it hold highest
market share in UK .
 Technology Awareness:-It has improve the use of technology throughout its operation
so as to reduce cost efficiency and enhance service experience (Forsberg and et.al.,
2012).
 Diversification globally:- Amazon Go diversified into many countries and known by
everyone globally.
 Lunching new stores :- Amazon Go has launched many stores to cover more
demographics of the entire market.
Amazon Go Weaknesses:-
 Some of Amazon Go subsidies are not working as well as they are unsafe to certain
external factors.
 Consumers may not buying many items relating to having less disposable income and the
retailer has not adjusted its inventory and selection, leaving it with high cost of inventory.
 The retailer highly depend on UK and Europe for its sale and has not spend time and
resources for developing the other markets where it operates .
 Competitive pressure have led to price war that have spoils some of retailers profit
margin when Amazon Go have been focus on other ways to gain profits.
Amazon Go Opportunities:-
 Joint Ventures:- Amazon Go has been partnering up with other brands in tracking of
growth. The aim is to come up with new products and services to generate customer's.
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 Amazon Go has introduced mobile app for online shoppers, it should upgrade and add
the feature of home delivery. As would attract more customer's towards brand that
provides various opportunities.
 There are few Amazon Go Stores in certain countries that are not performing well. If it
get partner up with local businesses and know local market then there is a chance of
gaining profit.
TESCO Threats:-
 Rising raw material cost effects Amazon Go profitability and causing it to expand its
supplier network so as to get lower price of raw material.
Comparative threats are coming from other global retailer who may be able to offer lower price,
better quality and greater variety as well as has more established global supplier network to
move goods faster than Amazon Go as they are more innovative and know how to use
technology effectively.
 Labour threats in terms of rise in wages and benefits around the world add to Amazon
Go's cost basis, which further puts pressure on its pricing strategies.
Stakeholder analysis
Stakeholders analysis
LEVEL OF
INTEREST
LEVEL OF
INTEREST
LEVEL OF POWER HIGH LOW
HIGH Management, Owners Government
LOW Staff members Customers
High power, high interest – In Amazon Go, management and owners have highly power
and high interest as they are responsible to formulate plan and implement them in organization
which can help to increase the organizational sales and profitability effectively.
High power, low interest – Government is holding high power and lower interest in
Amazon Go as it formulate different policies and regulations that needs to run the business. The
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government has no interest in organizational activities but have power to focus on trade and
manage the activities in other places (Getirana and et.al., 2012).
Low power, high interest – In Amazon Go, staff member are having low power and
high interest as they works in organization for getting salary and other benefits which are
important to run a business and boost the employees morale that helps to increase the
productivity and profitability in changing environment.
Low power, low interest – Customers are those people who buys products and services
from organization and maintain the effective relations. In context to Amazon Go, customers are
having low power and low interest in organizational activities as it does not have any
involvement in business activities (Gupta and et.al., 2015).
A section in which you should develop SMART strategic objectives for the organisation
The management of Amazon GO has formulated different SMART Objectives that are as
explained:
 To increase the number of customers by 40% within 2022.
 To become the larger retailers in retail industry and maintaining good
performance.
 To capture the high market share by 60% up to 20222.
 To use the new technology and innovation in business organization that attracts
people.
 To attain the higher competitive advantages in changing environment.
 To satisfy the customers and expand the business by opening new stores at new
location.
A section concerning the market segment
Market segment is the continuous process of dividing a heterogeneous market in to
relative term that can help to manage the business and increase organizational profitability.
Amazon Go is using segmentation to divide the market in to different groups such as:
Segmentation: This involves geographic, demographic, and behavioural segmentation
which can help to increase business sales. The management of Amazon Go focuses on
geographic and behavioural segmentation in which they open new stores at different location and
offers products according to customers demand by implementing marketing plan that helps to
attain higher productivity.
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Targeting: This is defining as important aspects which uses by Amazon Go to target the
potential customers as all ages and income group of people who wants better quality of products
and services (Onyusheva and Seenalasataporn, 2018).
Positioning: According to marketing plan and its better implementation Amazon Go is
getting leading brand position by influencing number of customers and attain the higher
performance in changing environment.
Therefore, chosen organization is using marketing segmentation strategy for the purpose
of delivering better quality of products and services in changing market and attain the higher
profitability. The management understand the needs of their customers and provide the kind of
products which helps to attain the competitive advantages effectively. This analysis also helps to
improve the brand positioning as organisation is using different technology and innovation in
their business (Trigg and et.al., 2017).
A section concerning the marketing mix. This section should
analyse the significance of the marketing mix for the organisation
Marketing mix is the combination of various element which uses by organization to sale
their products and services in the changing market and attain the higher profitability. In other
words marketing mix is the process of putting right product at the right place, at right prices, and
right time that helps to increase the sales (Showers and Bevis, 2015). In context to Amazon GO
UK, management requires a lot of hard work and research for the purpose of meeting with
customers needs and attaining higher performance. Therefore, marketing mix model is explained
below:
Product: In Amazon Go, vast range of products and services are providing such as toys
to electronic gadgets, grocery, daily needed items, beauty products of different brand, clothings,
auto parts, accessories, and others which fills the customer demand and develop their business
effectively. To provide the variety of products and new technology create a great opportunity for
Amazon by formulating effective planning which helps to reach the targeted audience and
increase sales (Ratnasingham, 2016)
Price: This can be defined as important factor for any business's marketing plan as helps
to determine the prices of products and services that supports to survive in market. By following
the marketing plan Amazon Go is adopting competitive pricing strategy that influence the
number of customers and attain the higher profitability. Moreover, Artificial intelligence, and
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Virtual reality technology is uses in store that helps to maintain effective cost and prices are
decided accordingly.
Place: To increase sales and boost profitability it is important for organization to expand
their business at different places. Amazon Go can increase its sales and profitability by
increasing number of stores in different city that will help to reach more customers and attain the
competitive advantages as compare to Tesco and Sainsbury.
Promotion: Amazon Go is using online channel, social media, newspapers, magazine,
billboards and print media to influence the number of customers and increase the organizational
sales effectively (Yamazaki and et.al., 2012)...
Physical evidence: Amazon GO is maintaining effective structure, well interior and
exterior design that is easily recognised by customers and increases the organizational sales by
completing market plan.
Process: The process which are using by Amazon Go are online, websites, and new
technology that will help to provide the greater experience and higher profitability in changing
environment (Verma and et.al., 2019).
People: In Amazon, marketing manager, sales manager, HRM, store keeping,
maintenance, administration, finance people, employees, various people are working at different
profile who performs their roles and responsibilities effectively and attain the decided goals and
objectives (Rodrigue, 2020).
CONCLUSION
From the report it can be concluded that marketing plan is very important for all
organization as it helps to attain the business goals and objectives which are decided by
management. In marketing plan, PESTLE analysis states how external factors influences the
business where as SWOT states strength and weakness of organization. Porter's five forces uses
to get the competitive advantages by using all resource and implementing the marketing plans.
Marketing mix is the effective strategy which uses by organization to deliver the better quality
of products and services that maintain higher performance. Moreover, stake holder analysis uses
to know the power and interest of shareholders in relation to business and manage the all
activities effectively.
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(Alves and et.al., 2019) (Araujo-Lima and et.al, 2016) (D'Agostino, 2018) (Dolata, 2017)
(DONICI and et.al., 2012) (Dou and et.al., 2018) (Engie and Sarnelle, 2014) (Forsberg
and et.al., 2012) (Getirana and et.al., 2012) (Gupta and et.al., 2015) (Onyusheva and
Seenalasataporn, 2018) (Ratnasingham, 2016) (Rodrigue, 2020) (Showers and Bevis,
2015) (Trigg and et.al., 2017) (Verma and et.al., 2019) (Yamazaki and et.al., 2012)
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