Comprehensive Marketing Evaluation and Analysis of Compass Group

This report presents a comprehensive marketing evaluation and analysis of Compass Group, a British multinational food service company, focusing on both internal and external business environments. The internal analysis includes a SWOT analysis, market segmentation based on demographic, behavioral, geographic, and psychographic factors, targeting and positioning strategies, and an examination of the marketing mix (product, price, place, promotion). The external analysis utilizes PESTLE and Porter's Five Forces models to assess the broader market landscape, considering the impact of COVID-19. The report aims to identify strengths, weaknesses, opportunities, and threats to improve Compass Group's market positioning and strategic planning, particularly in light of recent disruptions and competitive pressures. This analysis helps in formulating effective marketing plans and strategies for sustainable growth and competitive advantage.

Marketing
Fundamentals -
Evaluation & Analysis

Table of Contents
INTRODUCTION.....................................................................................................................................3
Internal analysis.......................................................................................................................................3
SWOT analysis........................................................................................................................3
Market Segmentation..............................................................................................................5
Targeting and Positioning........................................................................................................7
Marketing Mix.........................................................................................................................7
External analysis......................................................................................................................................8
PESTLE analysis.....................................................................................................................9
Porters 5 Forces Model..........................................................................................................10
CONCLUSION........................................................................................................................................13
REFERENCES........................................................................................................................................14

INTRODUCTION
The scrutiny of the internal as well as the external business environment is significant for
the determination of the needs and the requirements of a business enterprise. The strategic
planning for the development and other related policies is imperative to explicate for the
effective formulation of the marketing plan. The comprehensive marketing strategy of a business
includes the broader dimensions of the objectives that are to be attained in order to function in a
viable manner (Aggarwal and Singh, R.K., 2022). The company chosen for the analysis is the
Compass Group, which is a reputed British Multinational Food servicing company with its H.Q.
In Chertsey, England. The impact of the pandemic over the functioning of this company
hampered and disrupted the operations but Compass Group managed to retain the position in the
market somehow. This report will try to examine the internal and the external dimensions of the
market through the utilization of the suitable models considering the influential impact of
COVID-19.
Internal analysis.
The thorough investigation of the intrinsic elements of a company, to accurately
determine the critical areas of growth in regards to the formulation of a practical business
strategy can be referred to as the connotation of the internal analysis. This helps in the
identification of the relative weaknesses and the strengths of the company in respect to the
available opportunities and threats that are present in the market. This segment of the study will
try to conduct the scrutiny of the integral components of the Compass Group with the help of
distinguished tools which will help in the detailed elucidation of the internal structure of the
company (Ahn and Yap, 2022).
SWOT analysis.
This form of analysis can help the Compass Group to address the significant strengths
and the weaknesses of the company as well as the enumeration of the scope of the available
opportunities and the identification of the presence of threats in the market which could help in
the improvement of the positioning of the company in the market that got disrupted due to the
influence of COVID.

Strengths – The relative financial position of the company helps in the retaining of the
competitive edge in the market. The experienced workforce, uniqueness of the products and the
brand value of Compass Group are some of the influential strengths that can prove to be an aid in
the time of pandemic. The venture is significantly emerging in the market with epochal
acquisitions which has helped in the robust positioning of the enterprise in the market.
Weaknesses – The imperfections of the company are although very less in number but is
somehow prudent to get them regularize for the effective and smooth functioning of the
company. These negative attributes of the company become a hurdle in the pathway of enhanced
performance level of Compass Group (Ban and et. al., 2022). The issues in the quality of food
experienced by the Canadian Prisons during the time of COVID, affected the image of the brand
along with the irregularities in the functioning mechanisms.
Opportunities – The areas in the market that help in the improvement of the commercial space
can be defined as the scope of opportunities. This includes the expansionary implications,
effectiveness in the communication and the improvement on the chain of products. Compass
Illustration 1: SWOT analysis

Group can try to bring new dimensions of innovation in the market along with the incorporation
of promotional campaigns in regards to the CSR. This will help in the generation of goodwill for
the company.
Threats – The factors that can prove to be a negative impact over the functioning of the company
are known as the potent threats. The increase in the promotional activities of the rival businesses
in the market, changes in the government policies and the threats of the alternatives or the
substitutes can be some of the reasons which can hamper the business of the company. The effect
of negative controversies in regards to Compass Group can fade the image of the brand in the
eyes of the customers. The scope of managerial issues in the market can also impose significant
threat to the market.
Market Segmentation
The comprehension of the competitive edge of an organization in the market is basic for
the count of the greatest number of benefits that are available, and to utilize the accessible open
doors and the sources to achieve a huge situation in the business (Chen and Cui, 2022). Compass
Group can subsequently utilize the promoting division for the examination of the changed
estimations with respect to the inside measurements that can help in the drawn-out endurance of
the organization in understanding to the foreordained guidelines. Market segmentation can assist
the organization with focusing on only individuals probably going to become fulfilled clients of
the organization or the energetic buyers of the administrations. To portion a market, Compass
Group can separate it into bunches that have comparative qualities. The organization can put
together a section with respect to at least one characteristic. Separating a group of people in this
manner considers all the more definitively designated showcasing and customized content. The
division should subsequently be possible in the accompanying way.
Demographic Segmentation – Sectioning a market as indicated by socioeconomics is the most
fundamental type of segmentation. Joining segment segmentation with different sorts can assist
the company with reducing your market significantly more. One advantage of this sort of
segmentation is that the data is generally effectively open and minimal expense to get. There are
various ways of social affair segment information. One way is to straightforwardly ask the
respective clients. This can be tedious, however getting the data straightforwardly from clients
will assist with guaranteeing its exactness. Assuming the company go this course, be mindful so

as to be aware by the way one asks and give clients adequate reaction choices so that Compass
Group comes in form by exact outcomes (Coopersmith and et. al., 2022).
Behavioural Segmentation – The company can likewise portion the market in light of buyers'
ways of behaving, particularly in regards to the proposed item. Isolating the segmented crowd in
light of ways of behaving they show permits to make informing that takes special care of those
ways of behaving. A large number of the activities the company could take a gander at connect
with how somebody interfaces with the item, site, application or the brand. Social information is
helpful on the grounds that it relates straightforwardly to how somebody communicates with
Compass Group’s image or items. Along these lines, it can assist with showcasing the brand’s
image all the more successfully to them.
Geographic Segmentation – The separation of the market in light of the area, is a fundamental
yet exceptionally helpful segmentation procedure. A client's area can assist the brand with better
comprehension of their necessities and empower to convey area explicit promotions. Compass
Group can likewise think about various requirements in various districts. For example, a clothing
company organization, for example, will show promotions highlighting hotter attire to
individuals living in cooler environments and show the inverse to individuals living in hotter
environments.
Psychographic Segmentation – Psychographic segmentation is analogous to demographic
segmentation; however, it manages attributes that are more mental and closer to home. These
qualities may not be as simple to see as socioeconomics, yet they can give you significant
understanding into the segmented crowd's intentions, inclinations and requirements.
Understanding these parts of the customers, can assist Compass Group with making content that
requests to them all the more successfully (Fathi, Azizi and Gharache, 2022). A few instances of
psychographic qualities incorporate character attributes, interests, convictions, values,
mentalities and ways of life.

Targeting and Positioning
TARGETTING: Next, the organization needs to conclude which sections to focus by
distinguishing the gathering that will offer the biggest return and will be the most productive.
There are a few variables to think about here:
How well the affiliation can uphold this market - For example, are there any real, mechanical or
social limits that could make a difference? Conduction of a PESTLE Analysis to grasp the
entryways and perils that could impact each part,
The size and expected improvement of each and every client package - Is it satisfactorily gigantic
to worth tending to the requirements? Is predictable improvement possible? How might it
differentiate and various parts? (Guarantee that the association won't diminish pay by moving the
great fixation to a specialty market that is nearly nothing) (Fu, 2022).
The adequacy and benefit of each portion - Which client bunches contribute most to Compass
Group's main concern?
POSITIONING: Lastly, the association needs to perceive how the brand should arrange
the offered things to the assigned group the main client areas. Then, at that point, select the
advancing mix, that will be best for all of them. Consider the motivation behind why clients
should purchase the acquainted things as gone against with those of the competitors. Compass
Group can do this by recognizing the special selling suggestion, and attracting a positioning
guide to comprehend how each section sees the item, brand or administration. This will assist in
deciding how with dominating to situate the contribution. Additionally, check out at the needs
and needs of each section. A compelling technique for doing this is by pinpointing the issue that
the presented thing handles for these people. Make a motivation that obviously figures out how
the commitment will meet this essential better than any of the competitors' things, and
subsequently encourage an exhibiting exertion that presents (He, Chen and Zhang, 2022).
Marketing Mix
By generating practices that address the various pieces of each and every part, will really
need to achieve its extensive exhibiting strategy. An examination of the 4 fundamental parts of
the advancing mix and proposed strategies for the Compass Group among each for are as per the
following:

Figure 1 Marketing Mix
Product – The association tends to sells things that are significantly isolated, with various
features proposed to clients that competitors don't offer. Its things are therefore seen as stand-out.
The brand should give new things that are in understanding the latest examples watching out. It
should recognize significant entryways inside the market and present new things that make use
of these entryways (Kim and Chung, 2022).
Price – The ongoing pricing scheme of Compass Group to set the expense level that follows is a
significant based esteeming strategy. This is in light of the fact that the data on competitors is
successfully open in view of endless competitors that exists inside the business. The brand can
introduce cut-off points and settlements, where it cuts down costs for a short period of time to
attract clients and gain slice of the pie. It can do this by diminishing a rate off the worth of its
things.
Place – The organization wholesales the offerings through two exhibiting channels. The first is
where it sells directly to its client through its web-based destinations. The second is where it
offers to wholesalers who then, at that point, propose to different retailers tracked down all over
the country. These then proposition to its clients. Compass Group hence has an association of
more than 500 suppliers that outfit it with the raw substances expected for creation. It has
cultivated a close by working relationship with its suppliers allowing the association to work
with them to create and introduce new and engaging components on its things (Lyu, Thompson
and Laursen, 2022).

Promotion – Compass Group can make use of regular media channels, which recalls a business
for TV and radio. This is useful as a result of its tremendous reach and ability to attract endless
people. The brand can really utilize the significant level on the web and virtual amusement
advancing, which is more affordable and beneficial as a result of the rising use of the web.
External analysis.
The examination of the industrial environment in regards to the dynamics, competitive
structure and the positioning of the macro-economic dimensions, comes under the scope of the
external analysis. The preliminary purpose of this scrutiny is to determine the profitability,
growth and the terms of volatility the company experiences. The segmentation of the market by
the Compass Group, on the basis of the targeting of the customers in respect to their demands
and preferences must be adhered by the organization effectually. The supply chain management
of the company must also be appropriate along with the comprehensive understanding of the
power of suppliers. The utilization of the PEST analysis will help in the elucidation of the
influence of the external market factors upon the functioning of Compass Group. The explication
of the Porters 5 Forces, on the hand, will examine the potential power of the varied elements that
are present in the external market (Salim and Dabous, 2022).
PESTLE analysis.
The evaluation of the macroeconomic environment factors of the company will help in
the scrutiny of the impact they can have upon the functioning of the Compass Group. This will
help in the ascertainment of significant measures to prevent the negative consequences of the
determinant factors in response to the occurrence of COVID-19.

Figure 2 PESTLE analysis.
Political – The systemic structure of a country can contributes towards the attainment and
accomplishment of the targets that are determined by a company. Compass Group's association
with the global market can be influenced through a number of political factors. The situation of
the pandemic imposed stringent regulations upon the functioning and the operations of the
company. The restrictions that were imposed across the borders proved to be a significant hurdle
for the smooth and hassle-free flow of trade in regards to Compass Group's business (Sharshir
and et. al., 2022).
Economical – The fluctuations in the interest’s rates, economic cycle and the foreign exchange
rates can cause authoritative implications upon the commercial aspects of the businesses. The
forecast accuracy of Compass Group will prevent the company to face the negative influence of
the vacillations of these determinants. The interruptions that were caused by the dominance of
the situation of pandemic in regards to the business cycle of Compass Group must be effectually
taken care by the management of the company.
Social – The attitude and the conviction arrangement of an association assumes a significant part
in the work process guideline of an organization. The skillfulness of the personnel must be
accurate enough to proficiently carry forward the designated tasks and responsibilities that are
assigned to them. Also, Compass Group must try to understand the needs and the requirements

of the targeted audiences in order to comprehend towards the prevailing situation in the external
market, especially the delivery of the work during the time period of COVID.
Technological – The advancements in the technological aspects can impose multiple technical
difficulties upon the workforce of the company. The dynamic changes in the external market
must be taken into considerations by Compass Group and the provision of the training and
developmental programs must be adopted for the effective completion of the work (Winoto and
et. al., 2022). For the employees, that are working from home because of the contemplation of
COVID, the online classes must especially be conducted for the workforce to eliminate the scope
inefficient performances of the workers.
Legal – In number of countries, the legal framework and establishments are not areas of strength
for adequately protect the authorized advancement honors of an affiliation. A firm should
carefully survey before entering such business areas as it can provoke burglary of affiliation's
secret fixing in this way the for the most part high ground. A piece of the genuine factors that
Compass Group drive should consider while entering another market are Copyright,
licenses/Intellectual property guideline, Data security and the fundamental business guidelines in
term of the work act.
Environmental – Different business areas have various guidelines or natural standards which can
influence the advantage of a relationship in those business areas. Before entering into novel
ventures or starting one more business in existing business area the firm should carefully
evaluate the natural rules that are supposed to work in those business areas. A part of the regular
factors that Compass Group should contemplate in advance are - Attitudes toward "green" or
biological items, Laws directing climate contamination and the Waste administration in
Consumer Services area.
Porters 5 Forces Model.
This particular model can help in the explication of the underlying layers of the
profitability ratio. Compass Group can make use of this model to examine the industry in terms
of the influences that can affect the lucrativeness and thereby formulate a viable strategy in order
to enhance the competitive advantage for significant period of time.

Figure 3 Porter's 5 Forces model.
Bargaining powers of the buyers – The demand of the customers can vary with time in
accordance to the prevailing trends of the society. Their indulgence upon the functioning of the
business ventures is significant to consider as their contribution towards the company is epochal.
The customers tend to demand for the products at the lowest possible prices irrespective of the
situation, be it the prevalence of pandemic. Compass Group must make sure that they are
successful enough to build a loyal base of customers which will help in the lowering of the
bargaining power of them and accelerates the relative sales of the company (Zheng, 2022).
Powers of the suppliers – The suppliers of the raw materials are an imperative part of the
functional magnitude of a company. The impact of the indulgence of this particular sphere can
create stringent issues for Compass Group, for them to cooperate with the contractors especially
during the time of pandemic when they demand for additive costs to provide the material on
time. The company can tackle this sphere through the construction of an effective supply chain
management system and development dedicated chain of suppliers whose business depends upon
the operations of Compass Group.

Threats of the new entrants – The entry of the novel business ventures in the market can bring
disturbances in the functioning of the businesses. The challenges imposed by the new entrants in
regards to the lowering of the pricing strategies, new value propositions in the market and other
effectual changes which can build barriers for Compass Group to function profitably. The ambit
of this dimension however is not that conspicuous because of the situation of COVID, as people
are afraid that they might face significant losses in the novel start ups.
Power of the substitutes – The company suffers significantly because of the introduction of
alternatives in the market. The customers can get the substitute if the availability of one
particular product lags in the market. In regards to the Compass Group, the company should tend
to become customer oriented for understanding the core needs of the buyers rather than just
selling the already existing products in the market (Fathi, Azizi and Gharache, 2022). During the
time of the pandemic, the customers used to buy the products that are affordable and relatively
cheaper because of the limited income bracket which somehow compelled them to switch to the
cheaper substitutes. This must be taken into account by Compass Group importantly for the
retention of the customer base.
Competition in the market – The intensity of the rivalry in the market can drive down the
profitability quotient of a company. Compass Group must comprehend towards this domain of
the conception and try to tackle the implications of the scope of competition in the market. The
adoption of sustainable differentiation must be done by the company. The collaborations for the
sake of increasing the market cap in the market can also be one of a solution for rigging the gap
of inefficiency of the organization.

CONCLUSION
A reasoning can now be inferred that for the effectual planning and the marketing of a
company, the scrutiny of the internal as well as the external business environment is imperative.
This helped in the enumeration and the identification of the influential conceptions that impact
the functioning and the operations of a company. The utilization of multidimensional analytical
marketing tools can help in the examination of these factors and thus prove to be an aid for the
formulation of a viable and a practical plan of action that can lead to the attainment of the
standards that are designed by the respective company in regards to the accomplishment of the
targets.

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