Marketing Essentials: John Lewis, Marketing Mix and Strategies

This report delves into the fundamentals of marketing, exploring its crucial role in business operations, particularly within the context of John Lewis. It examines how marketing interrelates with other organizational functions, highlighting its significance in driving sales, profit margins, and customer loyalty. The report provides a detailed comparison of marketing mix techniques employed by different firms, with a specific focus on John Lewis and Marks and Spencer, analyzing their product strategies, pricing models, distribution channels, and promotional activities. Furthermore, it presents a comprehensive marketing plan for John Lewis, outlining its objectives, target customers, and strategic approaches. The report also explores the impact of external factors such as economic conditions, technological advancements, and social trends on marketing strategies. It concludes with an analysis of the interrelationships between the marketing department and other key departments within John Lewis, such as human resources, finance, production, and research and development, emphasizing the importance of cross-functional collaboration for achieving organizational goals. The report provides valuable insights into effective marketing practices and their application in a real-world business setting.

Marketing Essential

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Role of Marketing and the way it is interrelated with other function of organisation.................1
TASK 2............................................................................................................................................4
Comparison between Marketing Mix technique used by different firm to achieve overall
objectives of business..................................................................................................................4
Marketing plan of John Lewis.....................................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11

INTRODUCTION
Marketing is an activity that is undertaken by firm to attract and influence large number
of customers to purchase products of company through advertisement, various promotional
offers. Therefore it can be stated that marketing plays an important role in increasing sales and
profit margin of John Lewis by attracting large number of customers. John Lewis was founded in
1864 in United Kingdom that is high end department stores having 867000 employees that are
working across 51 stores to render qualitative services to customers. This report covers about
role that marketing plays and its interrelationship with other department in John Lewis. It also
compares the way organisation use elements of marketing mix to achieve objectives of business.
This report also contain an Marketing plan of John Lewis that state its objective, target customers
and its various strategies to influence people.
TASK 1
Role of Marketing and the way it is interrelated with other function of organisation
Marketing included various activities and function that are performed in order to increase
sales and profit margin of company by influencing people to purchase products of John Lewis
over other brand (Patil and Bach, 2017). As all companies are established to offer product and
services to customers and increases its profit margin so marketing plays an important role in
achieving objective of firm. Marketing is important process for John Lewis to retain customer’s
loyalty, increase awareness, market share and to bring economic of scale.
Nature of marketing:
Customer oriented: Marketing in modern times is customers oriented as firm has to manufacture
products and services as per needs and demand of customers. Due to digitalisation and
continuous updation of technologies knowledge of people has been enhanced and there are
continuously changing their preference so marketing department has to identify such needs and
make way to effectively satisfy them.
Art as well as science: Marketer must have ability to influence customers in order to enhance
sales and profitability of firm. It should be able to decide its target customers, product to be
offered and method of delivery of product in order to satisfy needs of people.
Exchange process: Marketing involves exchange of information between firm and people living
in the society about various products that are available in market and the way they will able to
satisfy their needs and requirements (Mahajan, 2017). Marketing process also involves exchange
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of ideas, innovation and technology thus helps in economic growth and development.
Development of marketing concept and current and future trends
Marketing is continuously changing to meet various current changes in the environment
and to helps firm in gaining competitive advantages. Due to digitalisation and technologies
updation has brought many changes and development in marketing trend that are used by
marketing manager to attract large number of customers. Such as :
Internet Marketing: Now most of company market and offers its product through online sites to
provide ease and comfort to customers by delivering products at their doorsteps. Such strategy is
also used by marketing manager of John Lewis to provide better and qualitative services by
offering its product through its website thus enhancing its market share and brand image. It also
advertise its product through various social media as it’s is used by most of the younger
generation so helps in increase sales of company.
Ethical marketing: As people and government are getting more concerned about environment
protection so it had pace development of ethical marketing to influence customers. John Lewis is
large organisation that takes various steps to conserve natural resources by effectively utilising
resources and minimising waste production (Wieland, 2018). It also taking steps to reduce
carbon emission to protect environment and ensure health and safety of people so all such
strategies helps in effective marketing of John Lewis.
Service marketing: People also select a company on the basis of various services render by it to
satisfy needs of customers. John Lewis has high skilled, knowledge and experienced employees
that work with motivation and dedication to provide effective services to large number of
customers. 24 hour customer services offered by company also helps in effective marketing and
retention of customers with the firm (French and Gordon, 2019). It also take continuous
feedback from customers through presence online sites so that people are provide best services
and their problems and grievance can be resolved within limited time for effective operation of
business.
Marketing mix: It is also another current marketing strategy of John Lewis that is used by it to
provide qualitative product and service to customers and enhance its market share. Effective use
of marketing mix toll helps in gaining customers satisfaction and retaining their loyalty. Such as
company has brand high end department stores across Britain that offers wide varieties of
product to customers at competitive price (Sharma, Nasreen and Mishra, 2017). Various
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promotion offers and social media is used to enhance sales and profitability of company.
External factors that affect marketing strategy of John Lewis
There are various external factors such as policies of government, technological
development and preference of people that impact on marketing strategies of John Lewis.
Marketing department of company continuously considered all such factors for effective
operation and achievement of goals.
Economic condition: John Lewis operates its business in UK that is facing situation of recession
due to various diseases and Brexit disposable income of people have decreased thus there are
less willing to spend money on unnecessary things. Therefore marketing manager of John Lewis
has plan strategies that influence customers to prefer or products and services of company.
Technological Factor: Continuous change in technology and increase use of social media
customers has forced marketing manager of company to use innovative technologies to market
products and services of firm (Karim, 2019). Thus John Lewis marketing manager has
effectively market its product through online to attract large number of customers within limited
time and cost.
Social Factors: Due to continuous change in preference of people there are various social factors
that impact on marketing strategies of John Lewis. Such as people are more concerned about
their health and safety so marketing manager by planning to inform people about its product
quantity and the way they are developed can attract large number of customers to make purchase.
Another fact that John Lewis has strong brand image in the market so people believe in its
quality and purchase product of firm over other competitors in the industry.
Interrelationship between departments
There are different functions that are performed by company so that it can provide
qualitative services to customers and enhance its market share. Each function and activities
within John Lewis are performed by particular department for growth and success of company
within industry. Marketing department in order to achieve its set goals have to coordinate with
other function department of firms. Therefore interrelationships between marketing and different
departments within John Lewis to achieve goals are as follows:
Marketing with Human resource Management: Marketing department of John Lewis by
identifying and evaluating preference and taste of people living in UK assist HR department to
recruit and select specific employees that can perform various function of organisation. It assist
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HR department about preference and needs of people living in the society so it can easily
formulate compensation plans and incentive to motivate people. Such as John Lewis has plan to
market its product through social media thus it has to coordinate with HR department to hire
people that can effectively use such medium and provide qualitative services (Plester and
Hutchison, 2016). At the same time plan to develop knowledge and motivate employees to use
innovative technologies so that marketing plans can be effectively implemented and sales of
company can be increased.
Marketing with Finance department: Finance department also plays an important role by
identifying various sources of finance and effective utilisation of fund by investing in best
possible option. It also prepare budget of each and every department that can be used to perform
various function. Such as marketing department of John Lewis after identifying needs and
requirement assist finance department to arrange various fund so that customer’s needs are
satisfied and goals of company are achieved.
Marketing with Production department: Marketing manager of company analysis and
evaluates current trends and preference of people, it also identifies unsatisfied needs of
customers. Therefore, it assist production department of John Lewis to manufacture products and
services as per needs of customers so that company can grow and expand its business. At the
same time Production department provide information to marketing about unique features and
content of products so that it can easily market product and services of John Lewis.
Marketing with Research and development department: Interrelationship between marketing
and research development department is also essential as marketing department not only can
achieve goals of John Lewis (Arnold, 2017). Marketing department after identifying unsatisfied
needs of customers assist research and development department of John Lewis to find best
possible way to satisfy requirement of people and helps company in gaining competitive
advantages. Therefore both departments by coordinating with each other promote growth and
success of John Lewis and expansion of its market share.
TASK 2
Comparison between Marketing Mix technique used by different firm to achieve overall
objectives of business
Marketing mix is a tool that is used by most of the organisation to promote its products and
services and gain competitive positioning in the market. It included various strategies of
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company such as place, promotion of product, distribution channel that are used by different
firms to attract large number of customers. Therefore various marketing mix tools used by John
Lewis and Marks and Spencer to increase their market share and brand image are as follows:
MARKETING MIX JOHN LEWIS MARKS AND SPENCER
PRODUCTS John Lewis provides large
varieties of product and
services ranging from personal
style to technical support.
Home, electronic,
technological, fashion, beauty
and baby care are some of the
product category offered by
John Lewis to satisfy needs of
people and effectively achieve
its objective (Ravichandran,
2018). Strong brand image of
company as leading premium
retail stores helps in attracting
large number of customers to
prefer products of John Lewis
over other competitors.
Marks and Spencer has its
own house brand that means
each product categorise have
their own brand name that are
associated with main parent
brand. Therefore company
can easily introduce new
product and increase it sales
without bearing reputation and
dilution risk. Product portfolio
of Marks and Spencer stated
that it has all product range as
per age group of people such
as men, women and kids.
Home and furniture product
are also offered in order to
satisfy all needs of customers
within single stores.
PRICE John Lewis belief in taking
fair price for product and
services that are offered by
company to its customers. As
company manufacture
qualitative and standard
products it charges
competitive pricing from
customers. It also
On the other hand Marks and
Spencer has set prices of its
product from medium to
higher in order to fulfil
requirement of people.
Company by maintaining its
quality of product is able to
charge competitive pricing
from people. At the same time
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continuously benchmarks its
product in order to gain
competitive advantages and
meet needs of customers. John
Lewis always compares its
price with other competitors
and immediately makes
changes to attract large
number of customers.
it use dynamic policy such as
during off season provide
various discount and offers or
incentive to influence people
to purchase products of Marks
and Spencer.
PLACE John Lewis has use different
and multiple channel strategy
to distribute products and
services to large number of
customers. It has 51 exclusive
retail outlets in Britain so that
customers can easily come and
make purchase of products
and services. Company is also
spread its business through e-
commerce such as using of
social sites so that people can
make purchase while staying
at their home.
Whereas Marks and Spencer
has more than 925 stores that
are established at high street in
more than 50 countries to
effective supply and deliver
products to customers (Key
and Czaplewski, 2017).
Company has also offers its
products in its websites so that
they can easily select products
as per their needs and
requirements.
PROMOTION Innovative and creative
promotional strategy is used
by John Lewis to attract
customers. Company also
associated it with Olympic
Games to create awareness
among customers about its
product. Loyalty card and
Marks and Spencer has
planned to market its products
through digitalisation and
store strategy to attract
customers. Company also
offers seasonal sales to its
loyal customers by offering
them special discount. At the
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point, special discount on
occasion in order to increase
its sales.
same it provide loyalty
program in order to retain
customer satisfaction.
PROCESS There are large number of
warehouse and distribution
channel that helps in effective
distribution of products to
customers (Hult and Ketchen,
2017). John Lewis use
innovative technology to
distribute products and service
to large customer within
limited time.
Well definite organisational
structure and work
environment helps in
effectively performance of
work and quick delivery of
product to large number of
customer.
PEOPLE There are 86700 employees
that work in John Lewis stores
to offers qualitative services to
large number of customers and
enhance market share of
company.
Whereas Marks and Spencer
has 80000 employees that are
working across various stores
of Marks and Spencer.
PHYSICAL
DISTRIBUTION
It has distinct look, feel and
ambience and customer
friendly environment and
offers services such as
shopping bags, so that
customer can comfortably
purchase products.
It stores can be found in mall
and high street where large
number of people can come
and purchase products of
Marks and Spencer.
Marketing plan of John Lewis
MARKETING PLAN
Situational Analysis:
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John Lewis enjoys a very high brand value in the retail clothing markets amongst its
competitors, which allows it to attract and retain a large number of customers. Through their
past attempts to interact with customers gain customer insight, John Lewis’s administration and
marketers know exactly what customer expect and demand from John Lewis products and how
they can be satisfied. John Lewis also knows the huge opportunities digital channels of
marketing provide to its marketers in order to market to a large audience at very little costs
incurred.
Objectives:
John Lewis’s objective is to maximise its operational productivity and profitability in the
consumer markets by selling relevant and premium products to their customers in an attempt to
increase their customer retention and satisfaction metrics (Dib, 2018). John Lewis’s objective is
also to increase their total number of clients serviced in order to increase their market share and
gain a competitive advantage amongst its competitors in the consumer markets. Another
objective of John Lewis is to increase its interactivity with target customers in order to attract
them towards switching to their operations.
Strategy:
John Lewis’s administration and marketers have segmented customers belonging to the middle
upper and upper classes of society as their targeted customers due to them possessing
disposable personal income needed to buy high end premium products sold by John Lewis.
Further in this section, John Lewis has segmented customer from the ages of 15 to 45 as their
target customers based on the demographic. As John Lewis makes retail clothing for both males
and females, they have also targeted customers from genders in their marketing plan (Post,
2019). John Lewis has positioned themselves to market to these target customers effectively
through various digital and traditional channels of marketing in order to achieve their marketing
objective.
Tactics:
In order to achieve the marketing objectives laid out by John Lewis’s marketers, they have
decided to make use of both digital and traditional channels of marketing in an effort to promote
and advertise to as large an audience as possible at minimal costs incurred. For their digital
marketing operations, John Lewis’s marketers make use of digital marketing tools such as
online website, social media platforms, smartphone applications etc in order to market to their
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targeted customers in an effective and efficient manner. John Lewis also makes use of
traditional marketing tools to promote and advertise their products in magazines, tv and radios,
pamphlets, billboards etc in order to reach sections of community who are not available to the
marketers on the internet.
Actions:
In order to accomplish the objectives of their marketing plan efficiently and effectively, John
Lewis’s marketers have delegated appropriate tasks amongst themselves with respect to which
employees will handle digital channel marketing and which shall look after their marketing
efforts through the use of traditional channels (Wood and Jobber, 2016). To perform this task
efficiently, John Lewis’s administration has allocated the required resources and tools to their
marketing team in order for them to perform their marketing duties without facing any
operational problems or issues.
Control: Marketing department of John Lewis in order to achieve goals of firm monitor and
supervise activities and performance of employees so that best and qualitative services can be
provided to customers. Various tools are also used by marketing manager to analysis and
control performance such as key performance indicators and customers survey through use of
social media (Hanssens and Pauwels, 2016).. Key performance indicator of John Lewis state
that employee are highly dedicated and motivated to work hard for growth and success of
company. At the same time various comment on social sites also stated that company has one of
the leading brand in terms of rendering qualitative services and products to customers.
Innovative technology is also used by manager to monitor performance of employees so that
various strategies can be plan to develop their knowledge and skill so that they can effective
promote products of John Lewis. Therefore control and improvement in marketing activities
performed by employees helps in achievement of goals and expansion of business.
CONCLUSION
From the above it can be concluded that marketing help John Lewis to build strong brand
image and market its products and services to large number of customers. It can also be
explained from above analysis that interrelationship among various department of John Lewis is
required so that company can achieve its objective and gain competitive advantages. Marketing
mix is tool that is used by John Lewis to promote its products and service an effectively meet
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needs and demand of customers. At last it can be explained that marketing plan of John Lewis by
setting in advance strategies and steps is able to increase its sales and market value.
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REFERENCES
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