Marketing Communication Strategies and Analysis: Addison Lee

This report provides a comprehensive analysis of Addison Lee's marketing communication strategies. It begins with an introduction outlining the company's services and objectives, followed by an examination of its marketing orientation, identifying it as market-oriented. The report then delves into a marketing environment analysis, considering political, economic, social, technological, legal, and environmental factors, and assessing their impact on the business. It includes an analysis of the micro-environment, including competitors such as Uber and Gett, and identifies the company's strengths and weaknesses. The report continues with a discussion of market segmentation, exploring different approaches and recommending income-based and behavioral segmentation strategies. Finally, it outlines the marketing mix for Addison Lee, including product, price, place, and promotion strategies. The report concludes with a summary of the findings.

Marketing
Communication

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
a) Description of production, product, selling and marketing orientations.................................1
b) Identification of oriented strategy adopted by Addison Lee...................................................1
TASK 2............................................................................................................................................2
a) Marketing environment analysis.............................................................................................2
b) Impact of economic and socio-cultural factors on business...................................................3
c) Micro environment .................................................................................................................3
d) Major strengths and weaknesses of business..........................................................................4
TASK 3............................................................................................................................................4
a) Market segmentation...............................................................................................................4
b) Segmentation approaches.......................................................................................................5
TASK 4............................................................................................................................................6
a) Marketing mix for the company..............................................................................................6
b) Marketing expansion...............................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Marketing communication are the efforts of the company aimed to inform and aware
people about the offerings of the company. The features of communication are amalgamated in
the marketing programme so that prospects can be informed in an effective manner (Andrews
and Shimp, 2017). Addison Lee is an organisation caters transportation needs of people around
the globe. This award winning service employs around 1600 employees and marks its presence
in over 252 business cities. The transactional values of this company valued at 500 million euros.
This report aims to identify marketing orientation of this company. The assessment of
environment and marketing strategies will be paid attention in this assignment.
TASK 1
a) Description of production, product, selling and marketing orientations
Production Orientation: The emphasis in production orientation aims to achieve
economies of scale by increasing production of the service to bulk amounts. A business which
carries production oriented tasks should emphasise on improving the processes while not paying
attention to quality and design.
Product orientation: the company whose activities are product oriented aims to improve
quality and design of the product. The company believes that quality services will be
automatically preferred by consumers over others. This organisation makes continuous attempts
to improve services provided to consumers.
Sales orientation: The aims of sales oriented organisation aims to sell products to the
target market in bulk amounts. The organisation tries to fulfil needs and expectation of the
consumers with the help market research and promotional tactics (Camilleri, 2017).
Market orientation: the activities are consumer oriented are aimed to provide value to
the customers through company's offerings. The services for business people are customised to
fulfil their needs by the company.
b) Identification of oriented strategy adopted by Addison Lee
Addison Lee have adopted Market orientation i.e. making continuous efforts to improve
services offered by the company. The efforts of the company are aimed to fulfil diverse needs
and expectations of people. The secondary importance paid to production efficiency and
practicality of services. This organisation to serve all the leading customer segments through
distinct offerings. A customer can avail luxury, spacious cars, standard services and convenience
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at too at a justified prices. This is done to serve every customer in a customised manner to have
an ideal business experience. The company is expanding its operations by forming a partnerships
with other service provider to ensure same quality and convenience of the brand.
Example: the company provides transportation services with standard cars such as Prius
and galaxy so that it matches its purpose. In addition to standard services, there are variety of
executive services which provides 4G and Wi-Fi facilities so right environment to a business
person is provided. There are other Airport transfers to people as well which covers almost major
airports of United Kingdom.
The above mentioned examples justify that the company have adopted the market
orientation and has made efforts to serve the target market in the ideal manner.
TASK 2
a) Marketing environment analysis
It is essential to conduct a marketing environmental analysis to gain a better
understanding of the market in which operations are carried out (Castronovo and Huang, 2012).
The local and national factors which carry an influence on the business operations are taken into
consideration. This is done so that their impact on business operations can be mitigated. The
better understanding of the market helps a business in formulating policies which are most
suitable to business circumstances. Addison Lee can conduct a marketing environment analysis
so that the policies constructed in the marketing sector carry a significance and deep impact on
the operating market. The approach which help in analysis of environment is as follows:
Political Factors: These are the policies and actions undertaken by the government
which impacts the functioning of a business. There are variety of licensing obligations which
impact operations of a business.
Economical Factors: The taxes and duties of a organisation are paid emphasis in this
segment. The current situation of market is essential to analyse as business functions depend
upon the same.
Social Factors: The demographics of a country are paid attention to in this analysis. It is
very important to analyse trends, preferences, lifestyle of the prospects as they carry a major
influence on marketing functions.
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Technological Factors: In this present competitive market, technological factors play the
most important role. The right technological tool helps in make effective impacts on people
through marketing tools and programmes (Cornwell, 2014).
Legal Factors: Government of United kingdom formulates various laws and regulations
so regulate the business of a company. This is done to market sure that the business is not opting
for any unethical measures.
Environmental Factors: It is essential for a business to adopt sustainable means of doing
operations. It is necessary for a business to conduct renewable sources of in operations so to
maintain a positive image in the mind of consumers.
b) Impact of economic and socio-cultural factors on business
The economic factors play a crucial role in constructing a suitable marketing tactics for
business. It is the duty of Addison Lee to analyse economical circumstances of the country as
they carry a significant impact on the real income possessed by consumers. The increase in the
taxes negatively influenced the buying power of the consumers. In such a scenario company can
develop marketing tactics which help in enhancing of sales. This organisation can use help of
coupon codes to ensure that services offered by the company carries a wider reach and is
accessible by all. The favourable circumstances such as disposable income, cost of borrowing
pose as opportunities in the market. The recession in the country pose as a threats to business
functions.
The socio-cultural factors undertakes demographics of a nation along with values and
beliefs of the same (Horrigan and Murphy, 2017). The role and status of a person plays as a
major determinant of the strategies which are to be adopted by an organisation. The disposable
incomes of a consumer are a major determinant in designing marketing tools. If the target
segment carry enough enough disposable income, marketing tactics should be aimed to depict
services as a premium transportation company. The other factors such as age and ethnicity are
crucial determinant as well. If the target market carries business people therefore marketing
programmes are designed to target the same. The education and working target segment help in
increasing chances of operations of a business.
c) Micro environment
Addison Lee is an organisation which carries mobility needs of people as well as goods.
The major competitor for this organisation are Uber, Kabbee and Gett. All these companies
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operate in the market of united Kingdom and acts as a alternatives to cited organisation. Gett is
one of the established brand which fulfils mobility needs of people in the United Kingdom. The
USP of this taxi services is that they are black and carries high degree of knowledge about the
city which is beneficial for them in countering with Addison Lee. The company also offers
digital payment and refined app which offers cab sharing features which can pose as a thereat for
the company as it is for cost conscious people.
Kabbee is another major competitor for this brand and have garnered a name for itself in
the market of United Kingdom. This cab service carries a large fleet of over 10,000 cabs
operation confined to London. The features which poses a thereat to major competitor is that
there is no surge pricing for the services and if offers 24*7 services to people.
d) Major strengths and weaknesses of business
One of the major strengths of this business is their sales. The data collected by the
company states that there is a substantial 40% growth in the sales of the company in Holiday
season. The mobile application developed by the company played a major role in determining
amount of booking to be made by travellers. Another major strength of this organisation is their
market reputation. After the cancellation of license of the Uber in London Addison Lee is named
as the best service provider in the country. The company carries a staggering 98% timely
delivering rates which is unmatchable.
The major weakness for this organisation is major emphasis is given to premium segment
which overlooks budget segments which constitute as a major portion of population of Britain.
Another weakness which have been experienced by the company is that it is looking to expand
its operations to American region which will divert company's resources and attention to
upcoming markets.
TASK 3
a) Market segmentation
Market segmentation is the effort made by the company to divide a bigger market into
small components on the basis of their nature and characteristics (Jefkins, 2012). This process is
carried out by an organisation so that target market can be created. The people comprising of
segmented of market carries a similar thinking and have similar interests. The market
segmentation can take place on the basis of income, age group, marital status and gender. The
various approaches to market segmentation are as follows:
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Psycho-graphic Segmentation: The interest, attitude and values of people are taken into
consideration while diving people in the market of the country. The classification on this grounds
helps marketers in formulation of practices.
Behaviouristic Segmentation: the behaviour is used as a basis for segmenting people.
Brand loyalties are used by marketers to place them in a same segments with similar
characteristics.
Geographic Segmentation: The division of market takes place on the geographical
grounds. People living in an area are supplied with similar marketing tactics.
It is crucial for a business to undertake market segmentation. The best suitable
demographic is adopted and effectively promotional programme is accompanied so that it creates
deep and positive impact on the prospects (Kim and et. al, 2014). The segmentation is beneficial
to organisation in numerous ways it helps in better understanding of the target market. Setting up
with right marketing strategies can help organisation receive better revenues for the firm. It helps
in customer feedbacks and opinions which are to be addressed by the company.
b) Segmentation approaches
Segmentation approaches are defined to be manner in which segmenting takes place in
context of an organisation. First segmentation which can be taken by the company should be on
the basis of income of people. Demographic segmentation can be conducted paying special
emphasis to income of people between the age of 16-25 years. This organisation can target
prospects in the middle and upper incomes segments as services provided by the company are in
premium segment. The income of prospect is a major determinant of services of the company
(Newcomb-Anjo and et. al., 2017). Upper and middle class segment are majority of buyer for
these services. Another segment approach which can be paid attention to is behavioural segments
which categorises people on the basis of pro-activeness, benefits sought and attitude. The
marketing strategies can be customised on the basis of active user possess positive use about the
service. Addison Lee can target this segment with suitable value proposition so that it seems
attractive to users and results in better sales of the service.
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TASK 4
a) Marketing mix for the company
Marketing mix are defined to be set of tools which are used by the company to pursue its
goals and objectives. The tools utilised helps in promoting an organisation in the target market.
The elements of marketing mix are as follows:
Product: it is the company's offering to the target market. This organisation provides
services to people which is an intangible form of product. This organisation delivers
transportation service to people as well as courier services. The services are differentiated and
customised according to the need people in different segments.
Price: it is the amount paid by a customer to experience a service. It is termed as most
crucial element of a marketing mix. The price from one postcode to another is fixed and can be
accompanied by surges or peak pricing which is influenced by the circumstances of operations.
The company have adopted to the competitive pricing for budget and premium pricing for the
executive services (Smith, 2017).
Place: it is the place where company delivers its services. The taxi services are carried
out in 252 metro cities in around 82 countries around the globe. The company have opted for
exclusive distribution tactics to market their presence.
Promotion: the company provides coupon codes to active and frequent users of service
which helps in reducing final price which is to be paid by them.
People: these refers to employees working with an organisation. The people are provided
with expertise so that ideal service can be rendered. The background of employees are checked
along with licensing and insurance.
Physical Environment: it is the interface of a consumer with the environment. The
company goes an extra mile to ensure that right interface is provided to guests.
Process: it is defined to be the manner in which services are consumed in the market. The
mobile application have been a major tool through which a consumer can avail facilities of the
company.
b) Marketing expansion
It is the new objective which is formulated by the company which will invite changes to
the crucial elements of marketing mix.
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Product: Along with premium line up, company can start services which cater the lesser
income segment. It is essential to gain sales in the emerging markets.
Price: To attract the age group of 16-25 years an organisation can employ market
penetration strategies (Economic Factors That Affect Marketing, 2017). The price should be
lower initially when an organisation gains momentum prices should be increased.
Promotion: it is necessary to adopt variety of promotional tactics such as discounting,
vouchers and free services to first time users so as to gain popularity in the market.
CONCLUSION
It can be concluded from the above report that it is essential to adopts suitable
performance orientation so that important aspects can be undertaken. It is necessary for a
business to conduct a marketing analysis so that ideal marketing tactics can be employed. The
company can manipulate elements of marketing mix to expand company's operation into
unexplored territory.
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REFERENCES
Books and Journal
Andrews, J. C. and Shimp, T.A., 2017. Advertising, promotion, and other aspects of integrated
marketing communications. Nelson Education.
Camilleri, M. A., 2017. Integrated Marketing Communications. In Travel Marketing, Tourism
Economics and the Airline Product (pp. 85-103). Springer, Cham.
Castronovo, C. and Huang, L., 2012. Social media in an alternative marketing communication
model. Journal of Marketing Development and Competitiveness. 6(1). p.117.
Cornwell, T. B., 2014. Sponsorship in marketing: Effective communication through sports, arts
and events. Routledge.
Horrigan, D. and Murphy, J., 2017. Segmenting Pleasure-Seeking Tourists: A Research Agenda.
In The Customer is NOT Always Right? Marketing Orientationsin a Dynamic Business
World (pp. 886-889). Springer, Cham.
Jefkins, F. W., 2012. International dictionary of marketing and communication. Springer Science
& Business Media.
Kim, K., and et. al, 2014. Trends in advertising research: A longitudinal analysis of leading
advertising, marketing, and communication journals, 1980 to 2010. Journal of
advertising. 43(3). pp.296-316.
Newcomb-Anjo, S. E., and et. al., 2017. The unique associations of academic experiences with
depressive symptoms in emerging adulthood. Emerging Adulthood. 5(1). pp.75-80.
Smith, K. T., 2017. Hospital Marketing and Communications Via Social Media. Services
Marketing Quarterly. pp.1-15.
Online
Economic Factors That Affect Marketing. 2017. [Online]. Available through:
<https://bizfluent.com/list-7452714-economic-factors-affect-marketing.html>
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