Marketing Essentials: O2 Plc - Marketing Mix and Strategy Analysis

This report provides a comprehensive analysis of marketing essentials, focusing on O2 Plc, a telecommunications provider in the UK. It begins with an introduction to marketing concepts, current and future trends, including production, product, selling, marketing, and societal marketing. The report then explores the marketing process, including situation analysis, strategy development, marketing mix decisions, and marketing control. It delves into the roles and responsibilities of a marketing manager, emphasizing market research, consumer demand analysis, strategy development, advertising, and communication. The report also examines the inter-relationship between the marketing manager and other functional departments. Furthermore, the report includes a comparison of the marketing mix of O2 Plc with Vodafone and culminates in the development of a marketing plan, offering insights into how O2 can achieve its marketing goals. The report concludes with a summary of the key findings and recommendations.

Marketing essential

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Concept of marketing..................................................................................................................1
Current and Future trend.............................................................................................................1
Overview of marketing process..................................................................................................4
Roles and responsibilities of marketing manager.......................................................................4
Inter-relationship between marketing manager and other functional departments.....................5
Significance of marketing...........................................................................................................6
Analyse significance of inter-relationship between functional departments..............................7
TASK 2............................................................................................................................................8
P3 Comparison on Marketing mix of O2 Plc with Vodafone.....................................................8
P4 Marketing Plan.....................................................................................................................11
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
Marketing is a concept which can be used by the firms which assist in analysing or
identifying the needs and desires of firm so that they can make correct decision and on the basis
of that they should make products and services so that targets can be achieved. Marketing or
promotion is necessary for every business entity as it helps in promoting merchandise of firm
which they are manufacturing to the consumers (Al-Ekam and et. al., 2012). This will assist in
providing or delivering proper and appropriate information or data to the consumers which will
assist in getting attention of service users. Marketing concept is a strategy which aid in
implementing or executing to satisfy consumers desires, this will assist in boosting sales and
generating more revenue. Present report is based on O2 which is provider of telecommunication
services in UK. In the below mentioned assignment discussion on marketing concept as well as
current and future trends (Business Essentials Information Session, 2017). Along with this
different marketing process needs to be demonstrated. Moreover, marketing plan has to be
prepared so that they can use that and on the basis of that goals as well as objectives can be
attained.
TASK 1
Concept of marketing
Marketing is a important and essential concept which assist in doing the business
development or improvement. Proper marketing needs to be done by O2 Plc which helps in
improving the sales and expanding the business in the market when they are facing the high
competition. Marketing is a process which focuses on different factors which includes sales,
promotion, awareness, identity, demand, communication as well as product development.
Managers and staff members of O2 have to do proper research which play a significant and
important role which assist in analysing the growth as well as improvement of business (Baker
and et. al., 2016). They have to deliver effective and qualitative products and services so that
they can offer new and innovative products and services. This will assist in attaining goals and
objectives as well as maximising surplus and according to that they can attain maximum benefits
at a time of high competition.
Current and Future trend
There are some current and future trends of marketing which includes:
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Production Concept: It is a concept which is based on traditional marketing and it focused
on producing merchandise in the bulk and this will having a higher availability so that they can
increase their market sales. This having a impact on quality aspect and this will not include in the
concept. Further, they have to make assumption on the basis of ultimate demand which having a
important as well as significant aspect of production concept. Consumers should prefer more
products which are widely available as well as they are inexpensive. It is operations oriented
concept (Brooks and Simkin, 2011).
Product Concept: It is a concept which also focuses on quality of products and services
which O2 is providing to their consumers in the market at the time of high competition. This
concept provide the proper believe in the consumers and customers to be loyal with the company
so that they can attain more benefits from the merchandise of the business entity. Manager of O2
should provide more focus on the products which having an adverse impact on the other aspects
of business which includes cost as well as demand within the market when high competition they
are facing. For consumers, they have to deliver more quality products and services which will
helps in improving the performance as well as productivity. When they are providing best
merchandise then this will assist in attaining targets and on the basis of that they can attain
maximum competitive advantage.
Selling concept: It assist in providing proper focus which assist in enhancing and
expanding sales within the economy so that they can measure promoting sales which helps in
maximisation in the economy. This concept is useful to the consumers as it helps in delivering
their products and services so that targets can be attained.
Marketing concept: It is a effective mean of doing promotion in the market and it assist in
providing proper focus on the specific needs as well as demand of buyers so that they can
develop the sales in the economy (Brooks and Simkin, 2012). It includes the pull strategy which
helps in doing effective business and targets can be attained. In this concept, they have to focus
on the needs and wants of consumers as well as they have to deliver their value better than the
competitors. They should believe in the pull strategy so that they become successful in attracting
large number of consumers.
Societal marketing concept: It helps in providing focuses on development and
improvement of impact on the community which assist in enhancing the growth along with the
development. This concept helps in fulfilling the social needs of consumers and make brand
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identity in the market. This concept focuses on the needs and wants of target market as well as
delivering the value better than competitors so that they can preserve service users as well as
society's well being.
In the present market situation, this having a reflection on the significant or important
demand which is effective as well as appropriate defined means of promotion which is associated
with the merchandise along with the administration (Cabrera and Williams, 2014). There are
some other market trends which are included:
Product awareness: This is one of the significant part of marketing which helps the
association in improving deals and requests inside the market. Making methods for advancement
is one of the compelling measure for the same. It refers to the consumers who assist in
recognising the brand in the market. In this, there are different elements which are to be included
that is consumer behaviour, advertising management, administration of their brand name as well
as development or improvement of strategy. Along with this it aid in making correct and
appropriate decision.
Enhancing communication: Adopting compelling measures of correspondence is another
basic part of advertising in the present monetary condition. In this senior management or higher
authorities play a important or essential role in the overall conversation so that they can easily
transmit information to the employees in a proficient manner (Desai, 2013).
Creative advertisement: Creative commercial are the best and noteworthy part of offers
improvement and business development in the market which help the organizations in making
huge market advancement. Managers of O2 have to make a connection with the advertising
agency so that they can conduct or make effective advertising for launching the products or
services which are made by firm for their consumers as they helps in increasing sales of O2 Plc.
Sales enhancement: Developing wide as well as noteworthy market deals is the key
concentration of every speciality unit in the present aggressive market. When they deliver
effective quality to their consumers then this will assist in enhancing or expanding the sales and
on the basis of that they can generate more revenue. This will aid in doing proper research so that
they can improve quality or value of different services which they are providing.
Strategic marketing measures: Strategic promoting viewpoints assumes an extremely
huge part in improving business development and advancement (Dibb and Simkin, 2013). It
helps the organizations in making an all around characterized affect on authoritative
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accomplishment inside the economy. They have to use or adopt appropriate marketing strategy
which will assist in expanding or enhancing the market share so that targets can be attained.
Overview of marketing process
Manager or employees of O2 Plc should use appropriate marketing process which helps
in delivering better products on a specific time and on the basis of that targets can be attained.
Different steps which are included in this process:
Situation analysis: They have to define the opportunities so that they can fulfil consumers
needs and wants. They have to do proper research so that they can identify and analyse the
desires and expectations of buyers then manager of O2 Plc needs to do measure those by using
its own capabilities so that proper work and services can be delivered (Gamble and et. al., 2011).
O2 Plc needs to proper analysis or evaluation of internal as well as external environment. This
analysis help marketing manager in the marketing process which provides proper satisfaction to
consumers as well as managers by fulfilling the needs and wants so that targets can be attained in
a specific time.
Marketing strategies: In this procedure supervisors needs to assess economic situation
and after that endeavour to satisfy the necessities of the costumers. All the market procedure run
on account of costumer. Distinguishes the market that is unique in relation to other market. O2
Plc necessities to fulfilled prerequisites by promoting techniques (Hoeffler, Herzenstein and
Ginzburg, 2015).
Decision on the basis of marketing mix: It comprises in 4 classifications. That is Price,
product, Promotion and Place. These 4 components of market finishes the advertising procedure.
When the choice of consumers changes then on the basis of that decision of marketing mix also
to be change. It can be change by the market directors.
Marketing control: This part of the procedure concentrates on investigating the crevice
between the real and expected consequences of the procedure. O2 Plc restricted need to
successfully break down the same to achieve huge outcomes inside the market (Hsu, 2011).
Roles and responsibilities of marketing manager
The main roles and responsibilities of marketing manager which includes:
Market research: Managers of the business entity have to do proper research which aid in
identifying needs and wants of consumers. Then on the basis of that services should be delivered.
This will aid them in attaining goals and objectives.
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Consumer demand analysis: Manager and employees of O2 Plc have to do analysis or
evaluation of demand of service user and according to that services to be delivered so that proper
satisfaction should be provided (Hsu, 2011).
Strategy development: They have to use appropriate strategy which will assist in doing
development or improvement which will assist in managing work and reaping targets.
Advertising and promotion: They have to use best tools and techniques for doing
advertising and promotion as it helps in delivering accurate information about products and
services to the consumers which will aid in reaping goals and objectives.
Communication: Effective conversation needs to be done and it assist in transmitting
information in a proper manner so that they can produce or manufacture best and qualitative
products according to the needs and wants of consumers. This will help them in improving
performance and productivity (Ionitã, 2012).
Feedback evaluation and updates: After delivering products and services they have to
take feedbacks from the consumers and on the basis of that they update their existing products.
They have to do proper evaluation after collecting the feedback so that they can identify the areas
where improvements can be done.
Inter-relationship between marketing manager and other functional departments
Marketing manager should maintain relationship with the departments as they help them
in delivering product in a specific and limited time. For doing the effective marketing, finance is
necessary and manager of finance department needs to make proper budget so that marketing
manager along with the employees cannot face any issues in doing the marketing of products and
services which they are preparing to the consumers. They have to use appropriate strategies
which will helps in delivering better products and attain targets in a specific time period (Jones
and Rowley, 2011).
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(Source: Inter-relationship between marketing manager and other functional departments, 2017)
Significance of marketing
The importance as well as significance of advertising part in the present aggressive
market might be broke down as under:
Planning: This is one of the major and most huge part of showcasing supervisor which
helps the firm in viably dissecting and getting ready for future patterns and requests. Advertising
administrator of O2 Plc need to keep a nearby beware of the expressed angle to achieve a huge
effect on business improvement (Khan and Adil, 2013).
Market survey: keeping in mind the end goal to guarantee a focused edge in the market
undertaking noteworthy statistical surveying assumes an extremely basic part. The advertising
director of O2 Plc concentrates on the same to build up an all around characterized development
in the market.
Growth analysis: The development and improvement of the organization is adequately
broke down by keeping a noteworthy checking on the deals and benefit of the business. It helps
the association in investigating the key improvement measures in the focused economy.
Competitive analysis: O2 Plc is restricted is viably working in the versatile system
industry and aggressive examination is one of the real parts for the advertising supervisor to
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Illustration 1: Inter-relationship between marketing manager and other
functional departments

accomplish huge and all around characterized affect on the association (Lipsman and et. al.,
2012).
Strategic analysis of business: O2 constrained has an incapable correspondence viewpoint
which has made restricted development measures on the business. Key business advancement is
one of the significant parts of promoting director.
Analyse significance of inter-relationship between functional departments
O2 Plc serve globalized buyer base in this way, keeping in mind the end goal to
streamline their work, they works their operations through different divisions or offices.
For example, O2 plc brings their work through deals, advertising, creation, back, Human
Resource and numerous others.
Each office perform recognize capacities from each, even other, they are essentially interrelated
to each other.
It is critical for the business achievement in differentiated ways. A standout amongst the most
critical advantages of interrelationship among different capacities is to keep up coordination
among all the hierarchical procedures and exercises (Mihart, 2012).
A standout amongst the most critical advantages of interrelationship among different capacities
is to keep up coordination among all the authoritative procedures and exercises. It keeps away
from any perplexity and streamlined the work to make progress.
Additionally, every capacities work are lined up with the vital business targets and
destinations of O2 Plc and in this every person or individuals have to put more efforts in meeting
the goals and objectives. Another one is that managers or employees of business entity have to
do effective conversation which will assist in transmitting accurate information as well as
interaction among the person within the departments of O2 Plc (Musibau, Oluyinka and Long,
2011). This will assist in maintaining or strengthening their inter-relationship so that they can
make healthy relationship and also provide best environment to do work in the business entity.
Moreover, it helps in building bonding among all staff members in the business entity become
stronger and this should be effective. Among the different and various functions trust as well as
loyalty will increase so that any type of confusion cannot create. Moreover, continuous or regular
interaction needs to be done among the different departments of O2 Plc which will provide an
proper assistance so that they can resolve queries as well as difficulties which they are facing and
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according to that they can make correct and relevant decision so that managers can attain long
term success in the market at the time of high competition (Nguyen and Simkin, 2012).
TASK 2
P3 Comparison on Marketing mix of O2 Plc with Vodafone
Marketing mix is a effective as well as innovative concept and it is a combinations of all
those factors which help firms in boosting sales. Elements of marketing mix includes:
Basis O2 Plc Vodafone
Price It provides various tariffs system for
the mobiles as well as broadband.
They are using different pricing
strategy so that they can maximise
their surplus. The company target
their consumers on the basis of
income as well as age group and
provide services at a reasonable
price. O2 Plc is using price
skimming strategy. They sell their
products and services on the basis of
combination of high price and
promotion which assist in expanding
their market share.
They provide high quality services
to consumers which include high
speed data. According to the
services they have to set the price
and also to be decided on the basis
of income of consumers. They have
to use effective pricing strategy
which assist in reaping targets.
Along with this it helps in attaining
maximum advantages in market
(Novak, 2011).
Place It is a second largest company in
telecom industry and business entity
offer products and services to buyers
at a right time and also at a right
place by using a appropriate and
relevant distribution channel which
will assist in improving strength of
firm.
Vodafone should provide proper 3G
services which is based on GSM
technology. They have to make
plans so that they can upgrade the
network to 4G. They should focus
on the needs and wants of service
user and they can attain lead when
proper and appropriate
revolutionary services related to
8

telecommunication. Company
having their store in every corner of
country.
Product O2 is a leading company and offers
best products and services to
consumers. Company having a good
brand image and they are associated
with Apple, Samsung as well as
Sony which has thrived to the
business. There are some products in
which O2 plc deals in phone and
tablets, business apps along with the
accessories.
It provides different range of
products of consumers which
involves data, messaging etc.
Business entity deals in various
products which includes
smartphones, handsets, voice and
messaging services. They deliver
best and qualitative products and
services to consumers. along with
this they deliver best designing
products and services which helps
in increasing sales and generating
more revenue.
Promotion They have to use appropriate
channels for doing promotion of the
products or they can offered the
privileges along with opportunities
which includes stadium tours as well
as dining with the players
(Ogunmokun and Tang, 2012). O2
offers its consumers to buy premium
tickets. They can use social media,
Facebook, Twitter etc. for doing the
effective promotion so that they can
attract large number of consumers
and generate more revenue.
Vodafone is using recognition of
local name as well as have to
maintain trust. They have to do
effective conversation which assist
in delivering information associated
to products and on the basis of that
brand value can be created.
Vodafone have to do proper
advertising so that they can reap
their brand value by using
Billboards as well as television.
Process O2 is using appropriate process for It includes the different channels
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promoting its products and services.
They have to generate the maximum
revenue and that is based on
advertising campaign. When they are
doing proper promotion then this will
assist in creating awareness among
consumers.
which helps in doing delivery of
products. There are some effective
channels which helps in reaping the
targets. They should conduct
effective advertising campaign so
that appropriate information can be
provided to their service user and
this will attract large number of
consumers as well as generating
more and more revenue.
People O2 Plc having approx. 23 million
consumers. The company having a
retail staff and in all over world
which serve products in approx.
more than 450 stores of brand. This
assist in creating a good experience
for consumers so that they can
provide education about digital
services.
There are so many person who are
working in the business entity. Staff
members of Vodafone are
responsible for delivering products
and services so that company will
increase their sales as well as
generating more and more revenue
(Papasolomou and Melanthiou,
2012). Manager of the firm should
provide training and guidance to
their employees so that they cannot
face any issues in making products.
Physical Evidence Business entity having a official
website which provides overall
service offering to the consumers. the
company is planning to open
different stores for future which will
assist in enhancing the experience of
consumers (Pike and Page, 2014).
This element helps in identifying
and analysing the evidence in the
market. Vodafone having a strong
as well as physical presence in UK.
It is a responsibility of them to
provide demo when they are
launching new service in the market
when business entity is facing high
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competition.
P4 Marketing Plan
Executive Summary
O2 Plc is a provider of telecommunication administration and they have to do research so
that they can identify the needs and wants of consumers and it is a duty of them to fulling their
desires. This will assist in delivering satisfaction to the consumers. Managers and employees of
O2 have to do proper internal and external evaluation so that they can overcome from all
weaknesses. This will helps in maintaining strong position in the market at a time of high
competition.
Company Overview
O2 is a company which provides different telecommunication services. O2 was formed or
established in 1985 and this is a joint venture business entity among BT Group and Securicor.
O2 Plc was was takeover by Spanish Telecommunication company Telefonica in 2006. approx.
21580 employees are working in this business entity and £2.973 billion revenue they are earning
(Purvis, 2016).
Current marketing situational analysis
 Internal analysis: It refers to the process which aid in identifying as well as analysing
the characteristics which is specific in nature and it includes all resources along with the
capabilities of the firm.
◦ Primary activities: These are the activities which helps in attaining competitive
advantage. These activities are divided into two parts such as inbound and outbound
logistics. Inbound logistics assist in controlling the inventory as well as managing
warehouse so that targets can be attained. Outbound logistics are the activities which
helps in delivering finished product with a proper quality. They have to do proper
marketing which help consumers in making correct decision for purchasing the
products and services. These are the activities which assist in improving values of
merchandise this will assist in generating more revenue and on the basis of that
targets can be achieved.
◦ Supporting activities: These are the activities which aid in providing proper
assistance so that manager and higher authorities of O2 can do proper business. With
11

the assistance and support of manager of human resource department, proper
management of operational activities should be done and according to that they can
attain their goals. For doing these activities, managers have to implement or execute
payroll procedures as well as structure related to internal communication needs to be
done on a appropriate basis so that cost of services can be control. This will help O2
in increasing their sales and earning maximum profit (Rundle-Thiele and et. al.,
2013).
 External analysis: It refers to the process which assist in scanning and analysing various
factors which is associated with environment externally so that they can demonstrate
negative as well as positive trends and this will having an adverse impact on
performance.
PEST Analysis of O2 entity:
Basis Description
Political factor Company having a framework related to government which assist
in delivering proper guidance so that work can be done in a
efficient manner. After the impact of Brexit, company having a
political uncertainty within the UK that means firm having a poor
opposition.
Economic factor Business entity having a low value in the market after having the
impact of Brexit which decreases or reduces value of O2. Along
with this it having a increment in the roaming charges.
Social factor The business entity having a strong sense of community spirit
within O2 as well as it having an involvement in all the regions so
that workers can get proper encouragement at all the levels.
Business entity is having a research centre and it is running for the
technology for mobile phones but it having an adverse impact on
human health (Swenson, Rhoads and Whitlark, 2014). This factor
helps in improving the standard of living and also boost or
improve the usage of mobile phones.
Technological factor O2 is a first business firm who launch GPRS network for mobile
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data. It also provides or deliver the 4G connection by using LTE
technology. O2 Began the trial of near field communication
services. Along with this O2 Plc provides the multi channel TV to
mobile handsets.
SWOT Analysis of O2 company:
Strength Weaknesses
 Business entity having a good brand
name in the market.
 Provide good network services as well
as coverage.
 Company having good advertising
which helps in attracting large number
of buyers.
 O2 Plc having a limited operational
activities in a global market.
 Company having a severe price
competition in the market.
Opportunities Threats
 O2 Plc having a extending market
opportunities in the different countries.
 They have to increase or tap to the new
market (Wirtz, 2012).
 O2 Plc have to consider licensing
regulations associated to international
entrant.
 Portability of mobile numbers.
Objectives of O2
Managers of O2 have to develop or improve objectives so that they cannot face any
issues in becoming successful in industry. They can use SMART approach for making effective
approach so that they can improve services for a longer time.
 To increase number of person by 50% in 3 months.
 They should provide data services at a reasonable price so that everyone can afford.
 Increase subscribers of 4G in next 4 years.
 To boost brand awareness among consumers so that they can attain maximum benefits at
the time of high competition.
Strategies of O2 according to marketing:
There are various strategies related to marketing which can be adopted by O2. They have
to make proper and appropriate strategy which will assist in attaining success for a long time.
13

Company is using price skimming policy which helps in launching the new merchandise along
with the services in a competitive market (Basic elements of the marketing function, 2012). By
this they can charge high prices from their service users but after sometime automatically price
becomes down. If business entity wants to increase their consumers then they have to deliver
products at a reasonable price.
Segmentation, Targeting and Positioning strategies:
There are different type of segments which can be done by manager of O2 as it aid in
analysing and identifying behaviour of consumers. Then staff members needs to be effective
conversation and attain correct information or data so that they cannot face any issues in reaping
targets. Business entity is having high competitors in the market and on the basis of that manager
of O2 needs to do planning. They have to include different approaches which are income level,
living standard as well as age. Company is targeting young generation people and for them they
have to provide 4G network at a reasonable price (Marketing Plan, 2016). This having an
adverse effect on the market position. Managers and employees have to focus on the quality of
products which will assist in boosting strength of O2.
Tactics and action:
Managers of O2 have to take different actions according to the problems or situations
which they are facing. They should do effective working which includes mobile tracker,
transactions, usage speed of internet etc. They have to make chain so that consumers feel
comfortable with the different services of payment in mobile. O2 have to define or analyse the
goals and objectives so that they can be reaped in a effective and specified time (Baker and et.
al., 2016).
Budget for marketing
Managers and employees of the business entity have to make proper budget which will
help in doing proper spending in the different activities. It is a process which is used in
computing total cost which is related to production of merchandise.
Marketing budget
Particulars
1st
year
2nd
year
3rd
year 4th year 5th year
Initial money 50000 14000 13500 19300 14000
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Investment 36000 36500 30700 36000
Total 50000 50000 50000 50000 50000
Marketing
expenditures
Advertisement 10000 12000 11000 10000 12000
sales promotion 4000 5000 3000 4000 5000
Direct marketing 3000 3500 4000 6000 4000
digital marketing 5000 6000 5000 5500 3500
Social media 2000 3000 2500 2000 2500
printing 5000 2000 3000 4000 5500
Events 7000 5000 2200 4500 6000
Total 36000 36500 30700 36000 38500
Available balance 14000 13500 19300 14000 11500
Control in activities which are unwanted
Staff members and managers of O2 have to put more efforts so that they can put more
control on the different activities which they do not want to do. This includes as a important
function for the management as well as administration of O2 (Al-Ekam and et. al., 2012). It is a
responsibility of higher authorities that they have to put control and also make proper and
effective coordination between distinctive departments. Manager have to put extra efforts so that
they become successful in controlling the price of products which will assist in attracting large
number of consumers and on the basis of that O2 boost their sales.
Conclusion
From above marketing plan it has been concluded that managers of O2 have to analyse
their market as well as organization by adopting different tools and techniques whether it is
15

SWOT or PESTEL which will helps in evaluating the competitive market. Then they have to
make appropriate objectives which they want to attain so that staff members cannot face any
constraints. Correct and relevant strategies should be prepared accordingly so that all the
objectives which are prepared by them needs to be reaped. They have to make appropriate
budget so that spendings can be done on all operational activities in a effective and proficient
manner.
CONCLUSION
After summing up the report it has been interpreted that each and every business entity
should use marketing concept as it assist in promoting products and services which are prepared
by the firm to the consumers. By doing effective promotion and advertising, they can provide
accurate information of merchandise which will aid in attracting large number of consumers. For
creating and maintaining significant competition in the market. Updated technology should be
used by them for producing products and services so that they become successful in delivering
innovative and creative products. This study is focused on the analysis as well as evaluating
marketing concepts which is used by O2 for the purpose of business development or
improvement. Managers of business entity have to do proper marketing plan so that they can
analyse or evaluate proper mix elements of marketing which will assist in expanding their market
operations and the issues which they are facing from that they have to overcome so that targets
can be attained. In the present days, internet is using more as it helps in doing promotion of
products and from that they can collect or gather the information or data for the improvements of
merchandise which are producing for service users.
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