Digital Marketing Report: Sainsbury's Digital Marketing Strategies

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This report provides a comprehensive analysis of digital marketing, focusing on Sainsbury's application of various strategies. It begins by defining digital marketing and comparing it to offline marketing, then delves into key consumer trends and insights that drive digital marketing growth. The report assesses essential digital tools and hardware, followed by an examination of e-commerce development and digital marketing platforms in relation to physical channels. A significant portion is dedicated to developing a digital marketing plan and explaining the evolution of omnichannel marketing. The report also covers measurement techniques, performance metrics, and actions to improve performance in digital marketing. Sainsbury's case is used to illustrate these concepts. The report also incorporates insights into customer behavior, challenges of digital marketing, and the importance of e-commerce in today's competitive market.
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Digital marketing
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Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
P1: Digital marketing and compare online and offline marketing..............................................3
P2: Key consumer trends and insights that are fuelling the growth of digital marketing...........5
TASK 2............................................................................................................................................6
P3: Assess the key digital tools and hardware............................................................................6
P4: Development of e-commerce and digital marketing platforms and channels in comparison
to physical channels.....................................................................................................................7
TASK3.............................................................................................................................................8
P5: Develop a digital marketing plan and...................................................................................8
P6: Explain how omni-channel marketing has evolved..............................................................9
TASK 4..........................................................................................................................................10
P7: Measurement techniques and performance metrics in digital marketing...........................10
P8: Present a set of actions to improve performance in digital marketing................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
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INTRODUCTION
Digital marketing is defined as the promotional activity that use different electronic devices
in order to communicate various promotional messages as well as measure their impacts on
business activity as well. Basically, it is the marketing campaigns that are done through
computers, tablets, mobile phones and other electronic devices. Digital marketing is the most
effective component of marketing activities that involves use of internet and various online based
technologies. It is considered as the most effective marketing approach that help business to
promote organisational products and services in order to enhance market share to reach potential
customers. In this report the chosen organisation is Sainsbury which is second largest
supermarket established in 1869 by John James Sainsbury. Headquarter of respective
organisation is situated in London, England, UK. In this report concept of digital marketing,
difference between online and offline marketing, opportunities and challenges of digital
marketing is discussed. Apart from that digital marketing tool, development of e-commerce and
omni-channel marketing are mentioned in this project report.
TASK
P1: Digital marketing and compare online and offline marketing
Digital marketing: The concept of digital marketing is defined as the combination of various
marketing activities that facilitates the organisation to promote organisational products and
services through utilising internet as well as other digital media devices like computers, mobile
phones and other devices. Digital marketing landscape provides an electronic platform that
facilitates the customers to engage with organisations directly and purchase desirable products
and services. Sainsbury use digital marketing to promote products and services for the purpose of
enhancing organisational sales and brand value in market place (Ardito, 2019). Effectively
utilisation of digital marketing facilitates the respective organisation to spread brand awareness
through providing all information about new innovating or existing products and services to
potential customers and it ensure the reach to potential customers. On the other hand, Sainsbury
conduct various online campaigns on social media channels to promote product and gain target
audience feedbacks in order to enhance organisations sales.
Difference between online and offline marketing concepts
Basis Online marketing Offline marketing
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Meaning Online marketing is defined
as the process of promoting
organisational products and
services by using various
online channels such as
social media and e-mails.
On the other hand, offline
marketing is the procedure
of selling products and
services through offline
mediums like telemarketing
and advertisement in
newspaper.
Focus and communication
medium
Online marketing focus on
the content which is
published on various digital
platforms (Bergemann,
2019). Businesses
communicates with potential
customers through online
channels like chat, e-mails
and various social media
channels.
Offline marketing focus on
the products and its quality
to attract customers. In
offline marketing
organisation establish
communicates with
customers through mobile
phones and their staff
members.
People and cost requirement There are less people are
required to manage online
marketing as well as it is
cost effective process.
On the other hand, in offline
marketing higher number of
people are required and it
contains high marketing
cost.
Prospective buyers In online marketing
prospective buyers are not
visible and they are not
personally connected with
business on the other hand,
it provides a specific
platform to met with target
audience.
In offline marketing
prospective buyers are
directly and personally
visible to organisation and
in it target audience are
situated is scattered form
(Brandão and Wolfram,
2018).
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P2: Key consumer trends and insights that are fuelling the growth of digital marketing
Customer insights and trends are very important for the ensuring the growth of digital marketing
in an organisation. Sainsbury analyse all customer’s insights because behaviour of customers
plays important role in the success of organisational marketing campaigns. Evaluation of
customer facilitates the respective organisation to understand customers needs, demands and
preference as well as persuade them to purchase organisational products and services (Caiazza,
and Bigliardi, 2020). In the process of developing marketing strategy Sainsbury include the
insights that ensures the effectiveness and align target audience with campaign that help in
growth of digital marketing in organisation.
Importance of customer insights and understanding in effective digital marketing strategy:
Digital convenience: As digital marketing provides convenience to customer in their daily
shopping because there are various options are available that enhance shopping experience as
well as saves their time energy as compared to physical shopping. Sainsbury conduct digital
marketing and also provides home delivery facilities to their customer that ensures the growth of
digital marketing.
Enhance engagement with organisation: Digital marketing ensures the reachability of
organisation to potential customer and provides than information about new products in the
market that enhance the engagement of customer with organisation. There are various offers also
provided by the Sainsbury in products that attract customers to purchase products through online
medium.
Seamless customer experience: Customers experiences plays important role in the growth
and development of digital marketing. Customer insights facilitates the Sainsbury to highlight
the areas that enhance the customer’s satisfaction level and help to enhance opportunities as well
as identify potential weakness (Cant and Van Rooyen, 2017). Effective customer insights help to
understand the market gaps and improve organisational product innovation strategy in order to
gain various competitive advantages.
Challenges and impacts of digital marketing: Sainsbury has to face various challenges that
impacts the digital marketing strategies. All these challenges are discussed below:
It is quite difficult to trach and monitor the different devices that are used by the
customers and find potential customers.
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Managing effective customer relation is enhance the challenge for organisation through
digital marketing.
High competition is the factor that affect the business and digital marketing strategies as
well.
Negative publicity and higher customer experience create the challenge for digital
marketing that impacts on brand image.
TASK 2
P3: Assess the key digital tools and hardware
The term Bricks and mortar is referred for the traditional street business that provides products
and services to customers through face-to-face interactions at stores and offices. These
traditional stores also use digital marketing to gain various sustainable competitive advantages.
As digital tools are considered as the programme, websites as well as online resources that help
business to perform task in easily and quickly (Cruz, Leonhardt and Pezzuti, 2017). For
marketers various digital marketing tools are available that facilitates the organisation to enhance
organisational sales and awareness. Some tools are discussed below:
Social media platform: Social-media is the most effective tool that help business to promote
organisational products and services in order to enhance their sales. There are various social
media platforms such as Facebook, Instagram and YouTube the facilitates the organisation to
engage potential customer as well as creates buzz around business. There are various features
like Facebook ads manager and social media management tool that help to track performance.
Design tool: In is the most important part of digital marketing that is used by the marketers
to design ads and content for social media post as well as blog post. There are various designing
tools such as Canva and other photoshop tools that allow to add graphics and images in content.
Analytical tool: Analytical tool is important for the marketers that includes google and
social media analytical tools like twitter analytics and Facebook insights that provides the
metrics to marketers to enhance customer engagement and help to optimize the digital campaign
(Deryabina and Trubnikova, 2019).
Content marketing tool: There are various tools are used by the marketers to create
effective content that attracts customers. Co-Schedule and Hubs-pot are some tools that help
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marketer to create content which is publishes in social media post to enhance awareness of
customers. Effective content generated attention of audience and persuade them to buy.
Digital hardware tools: There are various digital hardware tools are used by the marketers
to perform all digital marketing activities. The physical part of computer device that can be
touched are defined as the hardware tools. Desktop computers, mobile phones, tablets and other
electronic devices are used to published advertisement and promotions of organisational products
and services (Hellemans, Willems and Brengman, 2020). All these are used by the help of
internet that support selling and marketing activities of organisation.
Organisations use digital platforms to conduct marketing activities through using internet
mediums that facilitates the business to enhance brand image, customer base and revenue.
P4: Development of e-commerce and digital marketing platforms and channels in comparison to
physical channels
In competitive market, the development e-commerce and digital platforms are noted as
comparing to physical channel. In situation of pandemic covid-19 people changes their buying
behaviour. Use of digital channels such as social media and e-commerce website are raised.
Sainsbury expands the business through using various digital platforms like social media
channels and internet because customers in UK are like to purchase products from online mode
that enhance organisational customer base. E-commerce and digital marketing platforms
provides various benefits to both customer and organisation like customers get information about
new products and purchase then without visiting any store that saves their time and efforts on the
other hand, organisations also get information about customer needs and demands and promote
organisational products and services to customers that enhance sales (Hoffman, 2017). Through
e-commerce organisation conduct their business activity worldwide and operate trade with other
countries as well. digital marketing technique is cost effective than physical channel as well as it
consist higher conversion rate. Organisations promote their products at lower cost and ensure
higher customer engagement. As there are various online campaigns are conducted by the
Sainsbury the help to enhance customer base and market share. By e-commerce organisation can
identify consumer interest and satisfy then by providing quality products. Here organisation can
build its unique selling proposition by providing valuable goods and services to its target
audiences as compare to other competitive brand.
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TASK3
P5: Develop a digital marketing plan and
Digital marketing plan contains various marketing strategies that guide and lead the marketers to
attain all defined objectives on time. Sainsbury conduct proper market research and evaluate all
factors than prepare digital marketing plan in order to accomplish all marketing objectives. There
are sone steps that are used by the Sainsbury to develop effective marketing plan and strategies
to enhance the multichannel capabilities are discussed below:
Define brand: It is the first step of developing digital marketing plan and strategy,
Sainsbury defined the brand. All unique factors are identified that differentiate the brand from
other competitors that help to attract more customers. Sainsbury creates unique selling points that
enhance customer insights. All organisational marketing missions and visions are identified that
help to develop effective marketing plan and strategies.
Develop buyer persona: After defining the brand mission and objectives, Sainsbury
creates effective buyer persona to identify target audience that includes all information about
customers like their locations, income, age, hobbies and interest (Ju, 2018). Buyer persona plays
important role in preparation of digital marketing plan and strategies.
Set goals and objectives: Once the target audience is defined, Sainsbury establishes
marketing goals that help to determine the effectiveness of marketing campaigns. The goals
should be smart, measurable, relevant, timely and attainable. Proper defined goals help to
business to attain success at fast track.
Select digital marketing methods: In this step, Sainsbury select the most effective digital
marketing method that facilitates the organisation to reach potential customers. There are various
options are available content marketing, influence and social media marketing, and search engine
optimisation are involved in digital marketing plan and strategies.
Establish budget: Budget is the most effective part of digital marketing planning in
which marketing activities and campaigns are conducted. Proper allocation of budget help to
complete task more efficiently.
Measure results: There are appropriate strategy is being developed by the Sainsbury to
measure the performance or result of digital marketing plan (Marini, 2019). There are key
performance indicators are used by the organisation to evaluate results effectively. Effective
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digital marketing plan help business to develop various multichannel capabilities to attain all
objectives.
P6: Explain how omni-channel marketing has evolved
In current competitive environment multi-channels marketing strategy has evolved the
omnichannel that provides various benefits to the customer section. In this marketing strategy
communication is operated by one platform of organisation. It provides cost effective options for
customers that enhance their purchasing experience.
Omni-channel marketing is defined as the multichannel approach of sales that offers products
and services with effective integrated shopping experience. Each and every channel of omni-
channel process creates effective experience (Marques, 2018). It facilitates the customers to shop
from various online mediums such as mobile, desktop and other electronic devices or by the
stores directly. Omnichannel ensures that organisational customers receive same shopping
experience and consistent messaging at every channel.
There are various benefits of omnichannel marketing that facilitates the Sainsbury to enhance
customer experience and retain them with organisation for long period of time. Some benefits are
discussed below:
Enhance customer loyalty and experience: As omni-channel marketing strategy
provides the consistence purchasing experience at every platform as well as offers personalised
experience to each customer that enhance the brand value and trust among market place. This
approach improves the overall experience of customers and enhance their loyalty towards brand
so they will retain with organisation.
Improves brand recall: The approach of omni-channel marketing use various cross
channels in order to ensure that customers see the brand in same way at all platforms and devices
(Payne, Peltier and Barger, 2017). It facilitates the Sainsbury to enhance brand image the
enhance organisational customer base.
Enhance organisational revenue: Omnichannel marketing strategy help business to
enhance band loyalty, brand recall rate, purchasing and attract new customers as well as retain
the existing one that enhance the revenue of Sainsbury.
Steps to develop omni-channel marketing strategy:
Omni-channel marketing strategy focus on customer experience so in first step customer
journey and their touch points are identifies.
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In this step all informational about target customers are collected.
Appropriate tool and solutions are selected to connect with customers such as CRM
software and data analytics tool.
In this step customers are segmented according to their characteristic and data points.
Sainsbury make personalise connection with target audience.
In the final step the success of marketing strategy is tracked through applying right
matrix.
TASK 4
P7: Measurement techniques and performance metrics in digital marketing
Digital marketing metrics as well as KPIs are used by the organisations to measure and evaluate
performance of digital marketing campaigns. As there are various tools are used by the
Sainsbury to promote organisational products and services and it is quite time taking and difficult
process to evaluate the result. So, respective organisation creates various digital marketing KPIs
that help to measure the performance of digital marketing (ciarrino, Wilcox and Chung, 2020).
There are various measurement techniques as well as performance metrics that are used by the
Sainsbury are discussed below:
Customer retention rate: The Customer retention rate is defined as the percentage of
potential customers that are retained by the organisation over a specific period of time. This KPI
is important for Sainsbury because it contains more cost to acquire new customer than retaining
the existing one. On the other hand, existing customer are loyal towards organisation.
Web traffic sources: The source of web traffic is important to evaluates the performance
metrics. It examines factors from where of digital channel generating customer for the traffic
sources. In Sainsbury social media as well as digital marketing platforms is most effective and
generating web traffic sources.
Brand awareness: Effective social media marketing facilitates the Sainsbury n to spread
brand awareness among potential customer and market place. If brand awareness of organisation
is high than performance is ultimately enhances.
Website traffics leads: Sainsbury adopts various latest technologies that provides website traffic
leads to organisation than other competitors and help to enhance the attention of potential
customers and convert them from prospect to potential customer (Thoti, 2018).
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Online conversion rate: As Sainsbury develop effective digital marketing strategies and
implement them in proper manner that enhances online conversion rate and facilitates
organisation to attain large market share.
Customer lifetime value: Sainsbury provide quality services to customers that retain them
with organisation for life time. It enhances the customers loyalty towards organisation and help
to maintain brand image in market that facilitates the organisation to attain all defined goals and
objectives.
P8: Present a set of actions to improve performance in digital marketing
In current competitive environment it is important for the growth and development of
organisation to created improvements in marketing strategies and process in order to gain various
sustainable competitive advantages (Storm, 2020). Sainsbury implements a systematic procedure
of defined actions that facilitates the respective organisation to improve the performance of
digital marketing that are discussed below:
Sainsbury review and remap all digital marketing strategies to get better results and
performance. There are various changes are happened in the business environment and
market trends. So, Sainsbury evaluate all these changes and implement them in marketing
strategies to enhance performance.
Organisation formulated a marketing team through hiring the digital marketing company
which is specialised in marketing field and implement new marketing strategies properly.
The team contains storyteller, curator, data and social media manager.
Create profiles on various digital platforms such as Facebook, Instagram, Twitter and
YouTube that enhance the connectivity and engagement of target customers through
executing various digital marketing strategies.
Sainsbury implement multi-channel campaigns of digital marketing to attract more
customers that enhance the performance of digital marketing. Respective organisation
diversifies the marketing strategies and use various social media channels to enhance
performance level.
Marketing content plays important role in success in marketing campaigns. Sainsbury
created effective content that attracts large target audience that includes videos, images
and links.
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Sainsbury creates regular improvement in their digital marketing strategies according to
requirement that enhance the performance of digital marketing and organisational market
share as well.
CONCLUSION
As per above report, it can be concluded that digital marketing plays important role in
promoting organisational products and services to potential customers that enhance
organisational sales and brand image in market. Digital marketing is the process of publish
advertisements by using internet through computers, mobile and other devices. Offline marketing
is quite different from online marketing. Customer insights plays important role in the growth of
digital marketing. Organisational prepare digital marketing plan after evaluating all factors that
guide marketing team to perform in well defined manner in order to attain all marketing goals
and objectives.
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