Asda Marketing: Principles, Strategies, Environment & Marketing Mix

This report analyzes Asda's marketing strategies and principles, focusing on its approach to market success. It examines the marketing process, the advantages of a marketing orientation, and the environmental factors impacting marketing decisions. The report also covers segmentation criteria, targeting strategies, buyer behavior, and positioning strategies employed by Asda. Furthermore, it discusses methods to promote new products, distribution methods, pricing strategies, and promotional activities. The report concludes with a discussion of marketing mixes for different market segments, a comparison of B2B and B2C marketing, and the differences between domestic and international marketing, providing a comprehensive overview of Asda's marketing approach.

Marketing Principles
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................4
1.1 Marketing process..................................................................................................................4
1.2 Advantages of marketing orientation.....................................................................................5
Task 2...............................................................................................................................................6
2.1 Environmental factors that impact on marketing decisions...................................................6
2.2 Segmentation criteria to be used for products in different market.........................................7
2.3 Selection of targeting strategy to be used by Asda................................................................7
2.4 Buyer behavior affect on marketing activities of Asda.........................................................8
2.5 New positioning strategy for Asda........................................................................................9
Task 3...............................................................................................................................................9
3.1 Methods to promote new products to take competitive advantage........................................9
3.2 Different distribution methods.............................................................................................10
3.3 Price determination affect on marketing objectives and market conditions for developing
new products..............................................................................................................................10
3.4 Various promotional activities to reach out set goals..........................................................11
3.5 Additional components to extend marketing mix for Asda.................................................11
Task 4.............................................................................................................................................11
4.1 Marketing mixes plan for two different market segments...................................................11
4.2 B2B vs. B2C........................................................................................................................12
4.3 Differences between domestic and international marketing................................................13
Conclusion.....................................................................................................................................13
Reference.......................................................................................................................................14
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INTRODUCTION
Marketing is key element to run any business organization smoothly. It aims to gain
customer satisfaction with increasing profitability of entity to sustain product value in
competitive market. The present report is based on understanding marketing strategic tools of
Asda group UK. It is one of the wide spread retail sector company that provide groceries and
general merchandise to large number of customers. In this regard, different marketing process
and advantages for marketing oriented strategy can be understood here. Environmental factors
that impact on organization's business activity including effective segmentation is obtained
through this study. However, learners are able to understand buyer behavior and its impact on
firm's reputation in market. Different tools and techniques to launch and advertise products
including maintaining attraction of consumers can be recognized. Apart from this, variances
between domestic and international marketing including business activities is to be understood
through the present report.
Asda Group UK:-
Bases Structure
Industry Retail sector organization
Number of Stores/branches in global market Near about 600
Goods and services provided by Asda Groceries, general merchandise, economic
facilities
Number of workers Around 180,000
Slogan “Save money. Live better”.
Asda is largest supermarket chain of UK for producing grocery items and food products
in international market. It has various branches across country to fulfill all requirements of
consumers at high level. However, it is a division of Walmart to expand business entity including
planning and controlling over transaction. It is one of efficient organization of retail sector places
good reputation in market. Including this, it performs several type of marketing including
domestic, online and international for the purpose to increase productivity and profitability of
Asda. Its marketing principles involves analyses of current market position, planning,
implementing and evaluating. On the basis of this cyclic stages managers of company makes
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plan for further activities. In addition to this, this entity provides variety of services to make
position in market as well effective strategies are applied for its entire development.
TASK 1
1.1 Marketing process
As per the given scenario, there is issue occurs regarding productivity for previous five
years. Therefore, being marketing manager of Asda, preparing plans for different strategies to
maintain organization's existence and launching new products in market (Leonidou, Katsikeas
and Morgan, 2013). Including this, re-position of groceries and merchandises to implement
business activities is to be planned. Thus, problem can be solved out by applying marketing
process that can be described as below:-
Analyze problem including causes:- At first, recognizing current situation is required to
reduce issue occurs at workplace. Including this, it is necessary for entity to determine reasons
behind the problem. It can be identified that at present, entity is surviving with this situation due
to imbalanced production and distribution system. Thus, according to given case, issue and its
cause are determined which leads to making strategic plans for re-positioning and advertising
new products in market (Mintz and Currim, 2013).
Preparing strategies according to recognizing issues:- After analyzing situation
including its causes, manager of Asda prepares plan to sustain product value in market. It
involves forecasting and decision making for developing strategic plans. In addition to this,
various plans and decisions are made related to resource as well fund allocation to reach out
objectives. Thus, evaluation of proper market structure is helpful for strategic plans to implement
action plans.
Implementing and critically evaluating the present performance:- under strategic action
plans, it proceed to developing the planned strategies. Moreover, its implementation is valuable
to meeting set goals. In addition to this, evaluation of present performance is comprised with last
business activities. In this regard, proper balance is created to achieve targets. It also involves
creating balance between demand and supply as well performance of business organization
(Totten, and Cross, 2015).
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Thus, above mentioned marketing process is implemented to make re-position of
groceries and food items in market. Moreover, systematic transaction of goods and services can
be obtained to run entity effectively.
1.2 Advantages of marketing orientation
Marketing orientation considers as business model which is helpful in exchanging
company's product systematically with customer satisfaction. It is a structural framework that
plays crucial role in marketing oriented strategy. Moreover, marketing orientation is beneficial
for Asda to sustain position and implementing dimensions for its effectiveness. Thus, marketing
orientation significance can describe as follows:-
Aware with current market position:- Strategies related to market position of Asda
present recent groceries and merchandise position in market. However, actual performance of
transaction and qualitative services are determined through this process. It considers as key
element to move towards planning and decision making for further business activities (Veríssimo
and McKinley, 2016). Thus, strengths and weaknesses of company is presented to increase
marketing strategy for implementing action plans. Including this, it also aware with customer
demand regarding items' efficiency. It generates idea to fulfill consumer requirement impacts on
getting maximum satisfaction for goods effectiveness.
Competitive advantage:- Marketing orientation is helpful for taking benefits of
competition presents in market. It interrelates with presenting market position of Asda and
determining its role model by facing competition. In this regard, attitude and perception of
consumers related to grocery items and food products are analyzed. It is interlinked with demand
and supply of company's services also creates environment of firm through surviving in
competition (Wei, Samiee and Lee, 2014).
Cost:- Essential of marketing as price is tool for determination of products' costs. In
accordance to this, by identifying market position of Asda cost effectiveness is obtained.
Moreover, it presents various idea for facing competition including this pricing leads to create
marketing oriented strategy. On the basis of market position, changes in price of products can be
done to attract buyers at large scale. As per consumer behavior tool economic condition of
customers is analyzed that proceed to making strategy for cost effectiveness. Therefore, they can
afford groceries and merchandise products of organization effectively. It affects market position
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of firm to make place and carrying on organization smoothly by focusing on entire marketing
essentials (Huang and et.al., 2015).
Marketing orientation is essential for Asda to recover problems occur in entity as well
provides variety of strategy for sustainability. From all the above mentioned orientations,
awareness with market position is appropriate for increasing productivity and implementing
action plans to achieve Asda's effectiveness (Asda, 2016). However, it is key component to make
position and increasing efficiency to create balance between production and distribution. Positive
environment of firm can emerge by applying these marketing strategies. Thus, organization
should utilize marketing orientation technique as recognizing actual position to reach out set
target.
TASK 2
2.1 Environmental factors that impact on marketing decisions
Marketing decision involves various determinants such as launching, promoting and
evaluating product value in market. However, position of Asda in and methods to sustain in
competitive market are dependent on environmental factors can express as below:-
Micro environmental factors:- It includes competitors, suppliers, customers that impact
on Asda goodwill in market. Thus, dealing with all of these elements and relations create market
position affects business entity's activities. In this regard, manager of organization can control
over these components by preparing strategic plans (Adams, 2015). Including this, systematic
management of grocery items and food products including qualitative efficiencies can be
obtained through analyzing micro environmental factors of firm.
Macro environmental factors:- These are those uncontrollable components which
remains beyond monitoring over. It includes PESTLE analysis that stands for political,
economic, social, technological, legal and ecological factors. Therefore, manager of Asda
recognizes these elements for preparing strategic plans and its evaluation. Under political factors,
tax policy, foreign trade, market structure as inflation and deflation come that impacts business
activities of firm. Including this, social and economic factors involves public interest and earning
power of customers to buy products (Brown, Browne and Browne, 2015). Similarly,
technological and legal factors includes protection structures and changes in technologies
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regarding producing and supplementing groceries. Thus, macro environmental factors that affect
on company are analyzed by entity to prepare strategies for firm's effectiveness.
Manager of Asda makes decision by analyzing all above mentioned components that
plays crucial role for increasing productivity and profitability. It also impacts on making place in
competitive market.
2.2 Segmentation criteria to be used for products in different market
For several market structures, manager of Asda uses different criteria for segmentation. It
is useful to fulfill customers' requirements in several markets can describe as follows:-
Homogeneous criteria:- It involves division of products in similar range. Under this
strategy, consumers allocated to individual part in equal relevant way. Thus, segmentation is
presented by considering all buyers' have same needs (Fan, Lau and Zhao, 2015). It is significant
to provide goods in equivalent terms.
Heterogeneous criteria:- This basis for market segmentation includes varieties of factors
with analyzing buyer behavior. Hence, through this criteria, as per interests of consumer division
for grocery and food items is presented. In this regard, actual market position and consumers'
opinions are determined for segmenting market effectively.
Measurable criteria:- Market segmentation is done through measuring information
collected form market. Recognition of all public attitude and perception including product
value's position in competitive market are obtained. On behalf of these factors, different tools are
determined to measure and segment products for production and distribution of Asda services
(Huang and et.al., 2015). In accordance to this, gathered data are identified that proceed to make
decisions for marketing of groceries and merchandise products.
Accessible criteria:- It is related to segment Asda products according to accessibility. In
accordance to this, manager of company looks at distribution and communication channels for
producing groceries. In this regard, reaching out criteria to meet consumers is obtained.
Therefore, marketing essential as place is concentrated key to segment market for effective
marketing strategy of organization.
2.3 Selection of targeting strategy to be used by Asda
After analyzing customer requirements, targets are set for producing and supplementing
goods. For this purpose, different marketing strategies are applied and implemented that remains
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helpful for business as well competitive plannings. Hence, various marketing structures for
making place in market can be obtained as follows:-
Undifferentiated marketing:- It refers to mass market philosophy for supplying grocery
items of Asda. It is interlinked with homogeneous market segmentation (Leonidou, Katsikeas
and Morgan, 2013). In this regard, homogeneous market segmentation is impacted for producing
products. However, it influences cost of products and market orientation strategy.
Differentiated marketing:- It is related to marketing of Asda as per variances of
customer requirements. Therefore, under this marketing, targets are segmented for production
and distribution of grocery items. It generates various objectives for target strategies that impacts
on market position of firm. However, implementation of different goods are targeted to increase
productivity and launching new items in market.
Focus on concentrated targeting:- Under this strategy, individual goods are targeted to
be improved. Hence, manager of Asda focuses on objective to develop specific grocery or food
products (Leonidou and et.al., 2013). This strategy is appropriate for promoting segmented and
particular items for sustain market position by facing competition.
Customized marketing:- it is interlinked with relationship between supplier and
customers. Under this marketing strategy, requirements of individual customers are fulfilled
regarding unique and special demand. Thus, customized marketing is determined within
organizational market because of high value of orders and specific demand of buyers.
2.4 Buyer behavior affect on marketing activities of Asda
Interest and attitude of customer impacts on marketing activity including establishing,
advertising and analyzing product's position in market (Liu and et.al., 2016). There are different
factors to analyze buyers' opinion that can be determined as below:-
Personal or psychological factors:- It includes varieties of components that presents
personality and interests of buyers. It is related to interests, opinions and lifestyles of consumer
by which Asda can prepare strategy for market oriented activities. Therefore, on this behalf
company implements marketing activities including promotion and analyses.
Socio-cultural factors:- Different countries people have various social and groups that
influences marketing activities for Asda group. In this regard, several regions and organizations
demand affect on groceries and merchandise products marketing (Mintz and Currim, 2013). It
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influences marketing and business strategies for implementation of products and advertising of
items at high level. Thus, concentrating on these factors leads to increase strength for facing cut
throat competition.
2.5 New positioning strategy for Asda
Positioning strategy is great concept of marketing for launching and promoting products
including making place in market effectively. It is attribute of marketing to achieve
organization's objectives. However, new products can make position through attractive
advertising techniques. Under this term, various factors are determined including product quality,
pricing and accessibility (Mintz and Currim, 2015). Including this, various marketing activities
and competitive strategies are obtained for sustaining position of groceries and food items are
implemented.
According to given case scenario, manager prepares strategy for establishing new
products with the help of marketing essentials. For this purpose, different promoting tools are
determined such as advertising through TV, radio, newspaper, magazines and email etc. In
accordance to this, features and products' attractive tools are presented for positing in market
according to market segmentation.
TASK 3
3.1 Methods to promote new products to take competitive advantage
New products of Asda can be advertised effectively through different techniques. For
instance; using promoting tools like TV, radio, newspaper, social media sites etc. In this regard,
by setting product efficiency according to expenses and quality features Asda launches goods in
market. Further, makes plan for its development through taking advantage of competition. It is
useful for increasing marketing and competitive strategies (Nufer, 2015).
Therefore, by using different advertisement tools new products of entity can be
developed. It includes showing off of products' uniqueness and features to be implemented.
Thus, company can take advantage of competition to sustain product value for long term
sustainability. However, through these tools Asda can develop product efficiency in market that
impacts on marketing and business activities. It influences marketing for domestic as well online
to develop product value in market. It is beneficial to take advantage of competition in global
market for attracting consumers at high level (Totten and Cross, 2015).
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3.2 Different distribution methods
Asda aims to provide goods and services as per convenience of customers. In this
process, varities of marketing strategies are prepared to meet customer expectation. It involves
different distribution channels for producing and supplementing goods effectively. It is key
element to achieve customer satisfaction through effective placing for reaching out products. In
accordance to this, company sets target to supply products at right place in appropriate time. It is
valuable for organization's effectiveness as well increasing in demand for products (Sheth and
Sisodia, 2015).
Thus, under place as marketing essential, various channels are obtained such as
wholesalers, retailers, customers etc. Therefore, manager of Asda prepares strategy for
distributing goods to consumers effectively. It influences market position and effective goodwill
for long term sustainability of company and its produced products. However, different
distribution channels are obtained to maintain interest of buyers for purchasing goods at high
level. Including this, it is useful for establishing good relationship with collaborative effectively
that impacts on stability of firm in competitive market (Veríssimo and McKinley, 2016).
3.3 Price determination affect on marketing objectives and market conditions for developing new
products
According to expenses realted to purchasing raw materials, advertising and other fields,
price are determined for product. In this regard, manager of Asda sets cost of goods by analyzing
economic conditions and purchasing power of consumers. However, this price determination
affects demand and product value in market, it influences strength of organization for making
effective place in competitive market.
Thus, deciding cost of products on the basis of various determinants impact on
organization's effectiveness. Similarly, different ideas for competitive advantage and
supplementing schemes regarding discount can be obtained (Walker, 2014). However, fixing
cost for making place in market present for facing competition. In addition to this, new products'
cost effectiveness also impacts on Asda reputation in market. Hence, pricing strategy impacts
productivity and profitability of organization.
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3.4 Various promotional activities to reach out set goals
Asda uses different advertising tools for increasing efficiency and making position in
market. Therefore, organization's goal can be achieved through various tools including TV,
newspaper, social networking sites, magazines, articles etc. By using these techniques
orgnization can attract consumers at high level. Including this, creating contact through email
and Facebook, Twitter is helpful for promoting protects (Wei, Samie. and Lee, 2014). In this
regard, various elements are presented to emerge interest and aware society related to product
features. However, these advertising techniques are useful for stability of company in market.
In accordance to this, various promotional activities are applied to attract customers
including getting positive feedback for effectiveness of firm. Thus, these are supportive tools to
promote goods including reaching out marketing objectives efficiently. Through these
components, Asda can achieve goals for effective product value that impacts on competitive
strategies for increasing in demand at large scale. Moreover, it also provides various factors to
compare Asda performance with competitive entity that is helpful for adding uniqueness in items
supplied (Asda, 2016). By using different attractive techniques to promote products are valuable
to get positive feedback from customers.
3.5 Additional components to extend marketing mix for Asda
Except above mentioned marketing elements product, place, price and promotion,
different factors also impact marketing activities of Asda. For example; people, physical
evidence and packaging. In accordance to this, people involves employees' performance to
present organization's structure. These are crucial for effectiveness of entity at high level. In this
regard, firm aims to develop workers' working efficiency imapcts on their personal and
professional development. However, packaging and physical evidence includes look out of
products and manner to present goods in front of public (Brown, Browne and Browne, 2015).
Therefore, these components are useful for implementing strategies and making place in market
effectively. It creates accurate structure of organization to present business profile.
TASK 4
4.1 Marketing mixes plan for two different market segments
Marketing mix includes product, price, place and promotion elements for presenting and
promoting goods and services of organization. In this regard, manager of Asda makes decision
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according to targeting, segmenting and positioning process. Therefore, it produces products for
different segements as male, female and children. Howeverm it provides different category of
goods by focusing to choices and requirements (Fan, Lau and Zhao, 2015). Thus, it sets target to
divide goods as per segmentation for elders and baby products. In accordance to this, for both
selected and targeted people, Asda provides different quality features and flavors of products. It
involves concentrating on all marketing mix elements as product, price, promotion etc. It set
different goals for selected segmentation. In this regard, varieties of product qualities, pricing
and different promotional activities are implemented for effective marketing. However, it
includes making decisions for marketing plans including promotion and attraction towards goods
and services. In addition to this, as per segmentation, different types of plans are obtained for
increasing efficiency of firm. It impacts on customer satisfaction and profit earning capabilities
of firm at large scale. Thus, Asda targets, segments and implement strategies for advertising to
increase demand for goods and services. It is valuable to create effective market position. It
impacts on business and competitive strategies of organization systematically. For this
segmentation, Asda provides different facilities for children and young generation's people. It is
possible through analyzing past years' performances and making decisions for implementing
strategies regarding company and its structure for long term sustainability in market. Moreover,
different tools and technique are applied for maintaining good reputation of firm in market by
facing competition (Liu and et.al., 2016).
4.2 B2B vs. B2C
Asda is wide spread retail sector's organization that implement business activities by
producing goods to customers including retailers, wholesalers and other business entities. In
accordance to this, transaction of groceries and food items are obtained for estabilsihing relations
with collaborative. It can be understood in brief as follows:-
Business to business (B2B):- It is an activity for exchanging goods and services within
business to business. In this regard, relationship of Asda with retailers, wholesalers and other
entities of different countries are determined. It influences expansion and increasing demand for
grocery items. However, different techniques are used for increasing qualitative services of
organization at high level (Sheth and Sisodia, 2015). Hence, it considers as tool for
implementing strategy to face competition and making its effective position in global market.
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Business to consumer (B2C):- Under this relationship, it is determined that customers
are key elements of Asda. In accordance to this, marketing strategy as focusing on buyer
requirements and making plans to fulfill them impacts on organization's productivity (Veríssimo
and McKinley, 2016). Therefore, for launching and developing products in market, manager uses
different techniques. However, establishing effective public relations and critically analyzing
market position is impacted on business performance of company that is helpful for long term
sustainability.
4.3 Differences between domestic and international marketing
Domestic marketing refers to transacting goods and services in country. While,
international marketing is related to performing transaction of products within nations
worldwide. Both are valuable for enlargement and increasing qualitative services of Asda. In
comparison to both marketing, various differences are presented. In domestic marketing, there is
small scope and convenient transaction of products is obtained. In comparison to domestic, it is
determined that global marketing had wider scope to perform business activities in wide range
(Adams, 2015). However, it is considered that international marketing is costlier than domestic
including this various charges and tax rates for exchanging products are presented.
CONCLUSION
The report is concluded that effective marketing essentials are useful for increasing
competitive strategy of organization. Various tools and techniques are obtained for presenting
marketing terms. In addition to this, several determinants for getting customer satisfaction and
overall development of organization are recognized. However, various marketing mix elements
and strategic planning are considered through this study to increase efficiency of firm.
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