Internet Marketing Strategies: Tesco's Approach and Global Impact

This report delves into the realm of internet marketing, also known as online marketing, and its significance in today's business landscape. It highlights the various facets of internet marketing, including affiliate marketing, search engine optimization, and email marketing, and showcases how organizations like Tesco leverage these channels to promote their products and services. The report details the advantages of internet marketing for both businesses and consumers, such as increased customer reach, cost-effectiveness, and enhanced customer choice and bargaining power. It further explores the benefits and opportunities of internet marketing, emphasizing its role in enhancing efficiency, effectiveness, and the overall success of organizations. Additionally, the report addresses the challenges of globalization faced by businesses when using internet marketing, such as security concerns, cultural differences, order fulfillment complexities, and the importance of customer relationship management. The report concludes by emphasizing the crucial role internet marketing plays in modern marketing strategies.

INTERNET MARKETING

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1 ...........................................................................................................................................1
P1. Role of internet marketing in modern marketing context.....................................................1
P2 Use of internet marketing by organisations...........................................................................2
TASK 2 ...........................................................................................................................................3
P3 Benefits to customers.............................................................................................................3
TASK 3...........................................................................................................................................4
P4 Benefits and opportunities of internet marketing...................................................................4
P5 Role of internet marketing in efficient, effective and successfulness of organisation...........4
P6 Challenges of globalisation faced by organisation while using internet marketing..............5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Internet marketing is also known as online marketing. It is a channel through which
organisation can provide their services from any online medium. This process is adopted by
companies for promotion of their brand, product and services over net (Chen, 2011). This term is
divided into different parts like affiliate marketing, display advertising, email marketing, inbound
marketing, search engine marketing, social engine optimization etc. Tesco is one of an
organisation who adopted this channel for advertisement of their product and services. It leads to
attract large number of customers toward them. There are few more advantages that are available
to firm through adoption of this technique. It provides benefit to user and to company.
TASK 1
P1. Role of internet marketing in modern marketing context.
Internet marketing is the term that is widely adopted by companies in modern era. The
key role of marketing channel is to attract large number of consumer toward them. In the present
time, online marketing is adopted by almost every organisation as Tesco and TUI group for
promotion of their product and services. It is advantageous for company as well as for user
because customer can get to know about the different products and it can be easily available to
them (Christiansen, 2011).
It provides many opportunities as producer-customer dialogue. There are many
companies that provide their services directly to end users so that they can get product at low
price. This facility aids to build relation among them. Organisation can identify the needs and
wants of buyer so that they can provide their services to them as per their expectation. It provides
assistance to build strong relationship and trust among them. Consumer trust is the important
segment for every business because it helps to attract new customers and to retain existing buyer
for long time.
Internet marketing is associated with following as:-
1. Product: It helps to sell the product and services to people. It is easy for company to
create attractive page that contains information, audio and video about the product so that
they can reach to more people. This process reduces expenses of company as there is no
need to hire sales man for promotion and advertisement.
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2. Price: This channel provides different price of same product that are available on
different sites. It is opportunity for consumer whether to buy such product from online
sites or retail shops.
3. Place: There is no place required for internet marketing. The place is only webpage. The
company does not need any place to shop their product (Ducournau and et. al., 2011). It
helps to reduce expenses of the company because there is no need to hire place for their
stores.
4. Promotion: It is the effective channel for promotion of their brand. Previously, it is
required for organisation to hire such personal for advertisement and promotion but now
it is not required.
5. People: This provides assistance to company to reach large number of people and it helps
to enhance profitability of cited organisation. Now, it is possible for company to provide
their services to large number of users.
6. Process: It provides quicker process. Previously, it was essential for companies to adopt
long process to provide their product and services. Now, this is easy to adopt such
process.
7. Physical evidence: Internet is digital, not physical. This is one of the difficult step in
internet marketing because customers have preference to see and feel the product before
purchasing.
P2 Use of internet marketing by organisations
Internet marketing is widely used by companies for promotion of their brand in market. It
provides assistance to company to increase number of customer and to enhance profitability as
well (Fritz, 2013). This is used by them in different ways like:-
 Promotion: Most of the organisation use this term for promotion of their new product and
services and to reach to large number of user. It provides assistance so that company can
provide their product and services to large number of people.
 Product awareness: This term is used by organisation to make the awareness of their
product to attract large number of buyer toward them. It helps to increase productivity so
that they can provide desired services to people.
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 Cost effectiveness: It can be adopt to minimize the cost in the hand of company because
there is no need to hire personal for promotion and advertisement, no need of store to
reach buyers.
 Increase sales: It helps to enhance sales of company because this provides services to
large number of people and there is no restriction of area. Through this channel they can
reach to large audience (Leung, Xue and Bai, 2015).
TASK 2
P3 Benefits to customers
Online marketing channels are used by organisation which provides assistance to
company as well as to customers. There are many sources that are used for marketing of
product and services.
Following are the benefits to consumer:
1. Comparison and selection of provider- It is the key benefit to customers. Here, buyer
has choice to select seller of product. They can make comparison among different seller
and choose best one. The company that does not use such facility is unable to get large
number of customers.
2. Increase bargaining power-
People have choice to select best alternative. There are various seller of same product that
provide their services at different price and buyer has choice to select them as per their own
choice. It helps to increase the bargaining power of customers.
3. 24/7 Presence- Internet marketing is the channel that operates 24/7 (Michaelidou,
Siamagka and Christodoulides, 2011). The productivity and profitability of company get
increase. Company that does not adopt this strategy, provide their services for limited
time in a day.
4. Cheaper and more flexible-
This system is cheaper because there is no need for organisation to hire individuals for
promotion of their brand to attract people toward them. This channel is able to provide product
to large number of customers at low cost.
5. Up to date product information: This feature contains complete description of product so
that buyer can identify product as per their own needs. It is easy for buyer to select
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effective product out of number of product.
TASK 3
P4 Benefits and opportunities of internet marketing
Internet marketing is used by Tesco company. It is used to provide more and more
services to large number of people. This service provides assistance to companies to get global
recognition in market.
Following are the advantages of internet marketing to Tesco:
1. Global Reach:
Company can adopt this technique. It is used by organisation to get recognition in market so that
they can attract large number of customers toward them. The market area of company is limited
to one territory but it expands such areas to large level (Roberts and Zahay, 2012). This
technique is used by company so that they can provide their product and services to more users.
2. Brand enhancement: The brand value and goodwill of company get enhanced because of
this feature. Now a day, internet marketing has vast impact over the preference of people
and people want to try something new. When this facility is available to them then they
are attracted to try such product. It provides much satisfaction to buyer and ultimately
brand value gets increase.
3. Cost and time effective: It helps to save time and cost of the company because there is no
need to hire sales man for promotion of their product. Advertisement is possible through
online medium and it saves time that company devote in promotional activity. When
there is no need to hire such personal then the expenses that are incurred in this regard get
reduced (Salehi and et. al., 2012).
4. Faster growth of company: Through this channel, they can reach to large number of
customers and it is helpful tool to retain existing buyer for long time. It provides growth
and development opportunity to them.
P5 Role of internet marketing in efficient, effective and successfulness of organisation
Internet marketing play important role in enhancing effective, efficient and
successfulness. Tesco has adopted this channel for promotion and advertisement of their brand so
that they can attract global customers toward them.
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Efficient is the way to function in most effective way within least time. It helps to
provide their services to people, where and when it is needed. The company has become more
efficient by using this technique because it provides criteria of production so that they can
provide better services to customers.
Effectiveness is the ability to be successful in producing desired result. Internet
marketing is effective for Tesco as well as for its customers (Sin Tan, Chong and Lin, 2013).
Search engine is effective tool that provide assistance to users to find out product with additional
feature at low cost.
Internet marketing is used by company so that they can target new customers of
marketing. It is the competitive advantage for company. This provides assistance to organisation
so that they can beat competitor in market and prove themselves better than their competitor. The
business can be said successful when it is able to attract people toward them. It helps the
organisation to save its cost and time so that they can provide their services to buyer at low cost.
People are more attracted toward organisation that provides additional features at low cost. When
they are able to provide effective services and product to their customers then their business can
be successful and take stand in competitive market.
P6 Challenges of globalisation faced by organisation while using internet marketing
Internet marketing is the growth tool for company. It helps to enhance brand value at
global level. When such business moves to international level then it provides opportunities as
well as challenges to organisation.
Following are the globalisation challenges that may be faced by Tesco while using internet
marketing:-
1. Challenge related to security: It is one of biggest issue because there are many hackers
who can steal data from internet. When business operates at global level then it faces
issue related to security (Tsai and Cheng, 2012). It is required for cited organisation to
use internet marketing with special assistance so that it can be safe from hacking.
2. Culture: when company adopt to operate their business at internal level the there are
many challenges that may be related to culture. It is issue because business has set
standard and sometime, they do not want to adopt new culture so it may create hindrance
in the growth of company.
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3. Order fulfilment: It is another issue that may be faced by company at global level because
of increase in number of customers (Ducournau and et. al., 2011). It is required for
organisation to provide their services to user when it is demanded by them. It helps to
attract large number of people toward them. Internet marketing targets many customers at
global level so it is also required for organisation to fulfil their needs and demands.
4. Customer relationship: It is the biggest issue that may be faced by organisation because it
is required for growth and development of business to have effective relationship among
the service provider and its customers (Fritz, 2013). When business trades at international
level then it is required for business to build relationship of trust with new customers.
CONCLUSION
As per the above discussion it can be concluded that internet marketing is the technique
that is used by Tesco. It provides assistance to company to run their business in more effective
way. When business of cited company adopt such feature then it provides opportunities as well
as new challenges to them. There are many problems that may be faced by organisation to
operate their business at international level as challenge related to security, culture, customers
relationship, fulfilment of orders etc. it is required for company to adopt this feature more
effectively so that they can trade in more effective way.
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REFERENCES
Books and Journals
Chen, K.C., 2011. Text mining e-complaints data from e-auction store with implications for
internet marketing research. Journal of Business & Economics Research (JBER),
7(5).Sharma, A., 2011. Take-off of online marketing: casting the next generation
strategies. Business Strategy Series. 12(4). pp.202-208.
Christiansen, L., 2011. Personal privacy and Internet marketing: An impossible conflict or a
marriage made in heaven?. Business horizons. 54(6). pp.509-514.
Ducournau, P. and et. al., 2011. Direct-to-consumer genetic testing through Internet: marketing,
ethical and social issues. Medecine sciences: M/S. 27(1). pp.95-102.
Fritz, W., 2013. Internet-Marketing und Electronic Commerce: Grundlagen—
Rahmenbedingungen—Instrumente. Springer-Verlag.
Leung, X.Y., Xue, L. and Bai, B., 2015. Internet marketing research in hospitality and tourism: a
review and journal preferences. International Journal of Contemporary Hospitality
Management. 27(7). pp.1556-1572.
Michaelidou, N., Siamagka, N.T. and Christodoulides, G., 2011. Usage, barriers and
measurement of social media marketing: An exploratory investigation of small and
medium B2B brands. Industrial marketing management. 40(7). pp.1153-1159.
Roberts, M.L. and Zahay, D., 2012. Internet marketing: Integrating online and offline strategies.
Cengage Learning.
Salehi, M. and et. al., 2012. Dissimilarity of E-marketing VS traditional marketing. International
journal of academic research in business and social sciences. 2(1). p.510.
Sin Tan, K., Chong, S.C. and Lin, B., 2013. Intention to use internet marketing: A comparative
study between Malaysians and South Koreans. Kybernetes. 42(6). pp.888-905.
Tsai, Y.C. and Cheng, Y.T., 2012. Analyzing key performance indicators (KPIs) for E-
commerce and Internet marketing of elderly products: A review. Archives of
gerontology and geriatrics. 55(1). pp.126-132.
Online
Top 10 Advantages of Internet Marketing in 2017. 2017. [Online]. Available through:
<http://www.digitalvidya.com/blog/advantages-of-internet-marketing/>. [Accessed on
5th June 2017]
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