Marketing Management Executive Summary: M&S and Retail Sector

This report provides a comprehensive analysis of Marks & Spencer's (M&S) marketing management within the retail industry. It begins with an introduction to the retail sector and an overview of M&S, highlighting its history and current operations. The core of the report focuses on a marketing audit, employing PESTLE analysis to assess the external environment, including political, economic, social, technological, legal, and environmental factors influencing M&S's business performance. The report also examines M&S's marketing mix, with a discussion of the 7Ps framework. Furthermore, the report discusses innovation in new marketing mix strategies to address gaps between the firm's current marketing strategies and the external business environment. The analysis includes factors such as taxation policies, economic growth, customer preferences, technological advancements, and environmental standards. The report concludes by summarizing the key findings and recommendations for M&S's marketing strategies to enhance its market position and profitability.

Marketing Management

Executive Summary
In this report is will use PESTLE analysis as strategic tool, it helps to identify external
factors that impact on Marks & Spencer business activities and functions. Furthermore,
marketing mix 7Ps is the best model as it helps to understand company strength and abilities
working under retail sector. It will discuss that organization is creating new marketing mix
strategies better than before marketing mix plan to achieve gaps between firms and its present
marketing strategies and outside business environment.

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Introduction about M&S and retail industry................................................................................3
Marketing audit, outlining all over market attractiveness, either there is potential for market
growth..........................................................................................................................................4
Marketing mix of firm.................................................................................................................9
Innovation in New Marketing Mix............................................................................................10
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Marketing management is organizational discipline which focussing on applicable
application of marketing orientation, methods and techniques inside companies and enterprises
and on management of organization's marketing activities and resources. Marketing management
is very important for business as it helps to understand clients needs and requirements (Bagozzi
and et.al., 2018). It supports to improve service and products to satisfy consumer needs, many
organizations are using this technique to reach its target or potential customers. Increase
visibility of brand, help to build credibility and authority, creates trust and loyalty, improve
brand recognition and awarenesses, develop long lasting relationships with customer are the
several benefits of marketing management.
Marketing management give many opportunities to any business and also help to improve
and better image in marketplace. Overall report is based on retail industry and M&S company,
this study explain brief introduction about industry and organization in begging of this report. It
clarifies marketing audit and outlining all over market attractiveness and also explain whether in
market is any potential for market growth. This study justifies, marketing mix of organization
and explain firm's service or product mix. Furthermore, it defines new marketing mix actions or
strategies to achieve gaps between organizations present in external environment and marketing
strategy.
MAIN BODY
Introduction about M&S and retail industry
Industry Overview-
Retail sector includes department stores, market stalls, shops, internet retailers and door
to door sales people. Retail industry is important to UK economy, they help through generate
billions of retail sales. In UK retail sector has raised as one of the most dynamic and rapid
growth industries due to entry of many new players. It can be divided into two broad categories
such as unorganized retail and organized retail. Retail sector provide several employment
opportunities to residential people within UK as it helps to live their life happily and support in
economy growth. It includes any individual or business include with selling goods directly to
customers. Wholesale sector, manufacturing sector and logistics sector are the three different
types of sector included in Retail industry. Marks and Spencer is considered in retail industry,
they operate their business in UK and work under this sector since for so long.

Company overview-
Marks & Spencer is one of the most famous and leading brand in the world, it is British
multinational retailer in London. Company main headquarter is based on Westminster, London,
UK, they are specialized in selling higher quality home products, clothing and food products.
M&S is founded by Michael Marks and Thomas Spencer in Leeds in 1884, they provide its best
quality product to customers at affordable prices. In November 2008, they start began be sell the
best and branded goods such as Kellogg's Corn Flakes, it is included in healthy breakfast
product. Across UK they have 959 stores including 615 that sell only food items, in 1960
organization opened its primary Asian store in Kabul, Afghanistan (Zimmerman and Blythe,
2017). They expand their business in Canada, Hong Kong etc. Canada shops is has similar
outlets than British, but they did not carry the same collection in it. After that they expand it
capital into France and start began with many shops in Paris at Boulevard Haussmann.
Furthermore, company also expand their business into other Belgian and French cities which
helps to make them more popular. In April, M&S reopen their stores in which they sell clothes as
well as food products. Their Paris shops remained profitable and popular, but Western European
as entire cannot fare as well and where eighteen shops were sold-out. They announced to
launched new dedicated shops in 2007, for home furnishing, these shops have been opened in
Tunbridge wells in Kent, Cheltenham in Gloucestershine and Lisburn Sprucefield in Northern
Ireland.
Marketing audit, outlining all over market attractiveness, either there is potential for market
growth
Marketing audit refers to systematic, comprehensive, evaluation, analysis and
interpretation of business marketing environment, both external and internal environment. It
helps to interpretate strategies, objectives, goals and principles to ascertain areas of issues and
opportunities and also to recommend plan of activity to enhance company's marketing
performance.
PESTEL analysis and Porter's five force theory or model is the best way included in
market audit as it help to analyse external environment of business and find out any potential for
market growth.
PESTLE Analysis-

PESTLE analyse is one of the best strategic tool, it helps to analyse business external
environment and find out the potential effect business (Homburg, Jozić and Kuehnl, 2017). This
tool is used to monitor and analyse macro environment factors that may profound influence on
Marks & Spencer performance. It is especially useful and effective when entering into foreign
market and starting new business.
Political factor-
There are many factors included in Political factor such as government policy, foreign
trade policy, political instability or stability, labour law, tax policy, trade restriction and
environmental law. All above elements impact on any business included Marks & Spencer
business performance as whole (Vitouladiti, 2014). It determines stage to which government and
its policy may affect on company and its industry. Trade and fiscal would include in this factor
that put extent to negative and positive impact.
Political factor play important role in determining elements that can impact on company
long term success and profitability in certain market or country. For example, Taxation policy
affect M&S business, as they operate in retail sector in more than many countries and expose
their business in various types of political system risk and environment. Taxation policy makes
barriers in their business expansion procedure in which they will not been able to serve its best.
All the other companies also get affected due to high rate in transportation because it directly
impacts profit margin and financial budgets the most (Watrobski, Jankowski and Ziemba, 2016).
Thus, if Marks & Spencer has flexible business structure and adopt these change they can be able
to pay taxes according to taxation policy which make possibility for market growth as they
increase profitability and productivity more than its competitors. With the help of this potentail
market growth they earn more profit and enhance their performance better than before which is
quite beneficial for them.
Economic factor-
Economic factor have important impact on how company does business and also how
increase profit. It includes interest rates, disposable income of businesses and customers,
economic growth, exchange rate and inflation (Keegan, Schlegelmilch and Stöttinger, 2014) .
These components are broken down into micro economical and macro economic factors. Macro
deals with management of needs in economy, government use taxation policy, interest rate
control and government expenditure as main mechanisms which they use.

For example, GDP increase is one of the Economic factor that give opportunity to M&S
as market growth. GDP is measure value of economic actions within the country as it is sum of
market prices or values, and all final services or goods produced in UK economy during period.
With the helps of increasing Gross Domestic Product (GDP) people has an ability to purchase
high cost products which helps to increase profitability of company and also help to grow more
and better than before.
Social factor-
Population growth, career attitudes, population growth and age distribution includes in
social factors that affect business. Above factors is of specific interest as they directly affect how
marketers understand clients and what drives them.
For example, Customer preferences get changed they want products according to current
trends as it is one of the best opportunity for M&S because they manufacture clothes and other
products regarding new trends. They conduct market audit before starting procedure of
production which is beneficial for them as support market growth better than before.
Technological factor-
Changes in automation, digital or mobile technology, development and research are the
things that included in Technology factors (Marks And Spencer Group Plc PESTEL &
Environment Analysis. 2018). This element consider rate of technological development and
innovation that might be affect company or industry as whole. As it is clear that how fast
technological landscape is changed and how its affect way M&S market their products.
Technological factors impact management and marketing of company and other activities for
most.
For example, in market place there were new technologies were arisen for
communicating with target markets. As if company can adopt this technology in their business
structure they can be able to communicate with its customers and identify their needs and
requirement. After that they provide services or products according to their demands which give
many benefits to customers and firm.
Legal factor-
Equal opportunities, consumer rights and laws, product safety, products labelling, health
and safety and advertising standards is included in Legal factors that impact M&S productivity
and profitability.

For example, Marks & Spencer provide its workers equal opportunities as they give
equal importance to women workers like male persons in their company. Organization pays
equal wages to its staff based on their work performance without making any differences which
is potential for market growth.
Environmental factor-
In the world, several markets has various norm and environmental standards that impact
company profitability in those markets. Even within nation often states have different liability
laws and environment laws, for example in US Florida and Texas have several liability clauses in
case of environmental disaster or mishaps.
Marks & Spencer starting new business in current market or entering in new markets
before conducting market audit. They carefully measure environment standards in these markets
which is required to operate in it. They also play vital role in CSR and give its contribution in
Corporate Social Responsibilities which helps to make their good market reputation and garb the
attention of new customer.
Marketing strategy audit-
Marketing strategy define as a plan of action which is designed or make to promote and
sell services or products in marketplace. With the help of marketing strategy audit, it is easy to
identify effectiveness of M&S marketing strategy. Strategy statement- Company want to garb
the attention of customers and aware people in context of services or products which they offer
via using many marketing tool as for promoting and advertising things. Marketing plan is one of
the main strategy within business which affect overall performance of it. The purpose of this plan
is to reach at its target people and drive them towards purchasing their goods or service more
than before. Market audit support to know more about strength and weakness of marketing
strategy and its effectiveness in market. Marks & Spencer wants to enhance their productivity
and increase profitability more than its business competitors, thus for this they are try to make
effective marketing strategies which help to gain profit and attract new and existing customers
the most.
Marketing organization audit-
Marketing organizational audit is refer to as an action which is created to help M&S in
improving its operations by determining weaknesses and strength of company marketing
strategies to achieve its goals and objectives.

They want to attract people and generate awareness among them related to products and
service they sell. Company reach its target market only at level of 70% because their marketing
plan is not much effective and useful to gain their profit and business objectives. It directly
impacts on their profitability and productivity the most and also might be decrease their financial
budgets as compare to before. With the help of audit it makes things so easy to know more about
activities running in current market place. 70 Percent of their success is not appropriate
according to their plan and cannot give potential results to company.
Marketing productivity audit-
Productivity audit determine company management effectiveness and assets utilization
efficiency. It helps to identify most promising areas for productivity development and
improvement. Through marketing productivity audit, M&S will be able to know about their
productivity extent and how much they earn. Due to reach 70 percent of its marketing strategy
goal they can increase profit, but not as much as their expectations, they increase profit but not
appropriately or according to decided plan. They plan to reach targeted audience in which they
offer the best quality products, but due to ineffective marketing strategy they cannot be able to
generate more revenue as decided before. In short company face situation as failure which not
appropriate and beneficial for their brand image in marketplace. Marketing productivity audit is
the best procedure which is used by M&S to evaluate its marketing performance and
effectiveness of plan. It is used to analyse profitability and cost effectiveness for organization
evaluation procedure.
Market Attractiveness-
Market attractiveness is better concept that used many factors to identify whether or not
market can be profitable one for investing. It is the term used to depict interesting profit
possibilities one obtain by financing in available industry (Kozlenkova and et.al., 2015). Size,
number of potential consumers and depth of market significantly impact market attractiveness of
any endeavour or business like Marks & Spencer. In India people are more driving towards
current trends, due to GDP they can be able to purchase high cost products which is quite
beneficial for company as market growth. One more thing which need to be considered by firm
is that living standard within India is raising more and more, they prefer to wear clothes
according to current trends running in market recently, they are following the latest trend and
implement in their life styles. Thus, it is the main reason behind market attractiveness, Marks &

Spencer consider India as the best potential for market growth which helps to increase their
profit margin and also maximize its financial budgets more than before.
Marketing mix of firm
Marketing mix is useful tool used by marketers and businesses to help determine brand or
product offering. 7Ps have been associated with Marketing mix, once business develop their
marketing strategy, 7 P is use to continually re evaluate and evaluate M&S activities. Product,
promotion, packaging, price, people and positioning are the seven marketing mix formula.
Product- M&S is top retail and popular chain brand in world based out of United
Kingdom, they offer many products in its portfolio for Marks & Spencer in their marketing mix
which is wide covering product for all age group be it women, men and kids. Blazer, Cashmere,
Shirt, Cardigans, Linen, skirts and many more products offer by organization which grab the
attention of customers the most.
Organization segment different types of target market and offer product according to it.
Process- The actual process, mechanisms and flow of actions by which service is
delivered service delivery and operating program (Martín-de Castro, 2015). M&S stores is
found at sub urban areas and malls, these stores outlets is properly organized and beautiful as
compare to other store like wills life styles, pantaloons etc. company stores is separated into
floors it means that they have different section for gifts, clothing, furniture, flowers and other
home accessories.
Place- Accessibility and locations of service distributors is essential factors in service
marketing. M&S has 1000 stores in entire UK and established international presence, so their
products is easily available in towns and cities of UK as well as another well developed nations.
Furthermore, company sells their garments goods on internet through online shopping websites,
like its own portals and Amazon.com.
Price- Price intellection include extent of discounts allowances, prices, term of credit and
payment. It is the part of pay in differentiating one facility from another and therefore clients
perceptions of value obtained from services of price is important consideration in several service
price sub mixes. Marks & Spencer implementing competitive pricing strategy in marketing mix
for their product portfolio. Company have its own in house brands for clothing for men, women
and kids. Usually, these in house brands is priced between moderate to higher category because

of firm premium quality. They offer discount on its goods as following dynamic pricing strategy
during seasonal period.
Promotion- PR, Personal selling, Advertising and sales promotion are the components of
promotion which is used by company for generating awareness among customers (Mariani, Di
Felice and Mura, 2016). These tool is used by M&S to put around the company message to right
and targeted customers or segment in appropriate manner they would most like to offer. They
mostly use print media, mobile ads, social media campaign, TV ads.
Physical evidence- It is material part of facilities, there are several examples of physical
evidence, involving following buildings, signs, equipment and logos, business reports, websites,
annual accounts and even business cards. M&S has +1000 stores and began its business
operation in India as well, they have more than 52 stores in nation. Turkey, France, Hungary,
Spain, Finland, Ireland etc. are some nations where Marks & Spencer got its presence. All these
above mention stores act as company physical evidence.
People- All organization are dependent on effective workforce who run their business
from front line marketing and sales staff to managing director. Having appropriate people in
workplace is important because they are the main part of business offering as the services or
products they are offering to customers (Järvinen and Taiminen, 2016). M&S has got more than
1000 stores in over 50 nations, they employee strength across 83000. They pay specific attention
to workers, and follow competitive payment policy to retain their staff for longer term period.
Innovation in New Marketing Mix
The innovation are required to improve the performance in the global market. For this
different organizations uses different methods to achieve success in the market. The most
important thing for a business is to gain the competitive advantage in the market. The marketing
mix is a better approach to improve the productivity of organization. The different expects of
marketing mix are improvised with innovations. The implementation of innovation is required to
full fill the gaps in the seven marketing mix of M&S (Hutchinson and et.al., 2015). The purpose
of study of marketing mix is to keep monitoring the operation in the organization to maintain the
overall productivity of company. The present marketing strategy of the company have many loop
holes and this loop holes are causing trouble in the success of company marketing plan. By
implementing some changes in the marketing mix plan can help the organization to get
advantage in market over other competitors with similar products.

Product
The product is the key thing in the marketing. The whole operation of marketing moves
around the company product. The issues related to the product can influence the sales of M&S.
Mainly the products provided by the organization are clothing of different range for kids, men
and women. The most important aspect of product is quality. The sales and trust of customer can
be improved by enhancing the quality of product. To improve the quality of product company
can use different new techniques (Dickinson, 2014). By conducting primary research company
can find the issues which are mostly faced by customer regarding to the product. By targeting
this issues the selling of product will increase. For the innovation in the product M&S can use
suggestion of consumer to develop product as per the customer needs.
Process
The current process used by the M&S is traditional and slower than the competitors. By
making production process faster the company needs to adopt new technology. The
implementation will allow company to improve the availability of product in the market. The
process starts form the raw material to product in hand of customer. This is a lengthy and
complex process. Implementation of new technology like automation and Artificial will provide
more efficiency to the company (Wagner and Eggert, 2016). The automation will improve the
speed of production line and the manufacturing of product will be more accurate and precise. By
this precision and accuracy the process of productions will become more cost efficient. Less
chances of error will improve the productivity of company. This how by managing company
process the productiuvity of company can be improved.
Place
Currently the M&S is operating on the 1000 locations in the United Kingdom. The over
all number of stores are not enough to gain greater market. For the better performance in the
market the company need to change its approach to reach larger number of customer. This can be
done by selling company products on online platforms. This will improve the reach of company.
This can help the organization to increase its market share. The other things company can
perform is by offering franchisee to the local shoppers in remote areas. This will improve the
market share of company.
Price

The second important thing after the quality of product is the price of product. The price
and quality of product is decided on the base of target market. Company can offer more
convenient price to the consumer to improve selling. For this company should go for new
methods to improve the proportioning on cheaper cost with optimum quality. Price of the
company need to be affordable for the consumer (Retail industry overview. 2017). If the clothing
price of M&S is affordable for the consumer, they will prefer product of M&S over other
company this will provide opportunity to organization to gain competitive advantage in market
place.
Promotion
This is the operation of the marketing department in the organization. In current time
different methods used by the company are of traditional type. For the innovation in the
promotion company can used different new technology to reach to the larger audience. For
improvement in marketing promotion company can use digital way of marketing to achieve
company goals. Most of the people who can afford the company product are having smart phone
and access to internet. The essential things need for digital marketing are this two internet access
and digital devices. By using digital marketing through television advertisement and Search
engine optimization company can improve its visibility to the consumer. More the company is
visible to the consumer, more they will get attracted towards the company product. This kind of
digital and online promotion can help the organization to improve marketing of product.
Physical Evidence of Company
The physical evidence of the company is the logo of company, sign boards, machines and
transportation vehicles (Yu, Ramanathan and Nath, 2014). These are considered as physical
evidence of company. The presence of the company in the physical way is most important for the
organization. This evidence proves its existence. To improve company existence company can
use different method. These methods are by owning more physical property and use it for the
good of organization. The machinery and technology is also important evidence of company.
The objects which are owned by organization and having logo, sign and name of company are
source of company existence. By using creative and innovative slogans and quotas company can
show its presence in market. This how by improving company evidence company can attract
more customers.
People

The people who are related to the organization are considered in the marketing mix of
marketing plan. The employees are the first in place fir the organization cause the employees of
M&S help the company to run with higher efficiency. The employee motivation company can
achieve better performance in market. The other people in marketing mix are consumer and
shareholders of company. The consumer are the key of success in the organization. Without
support company is not able to run with profit. And support of shareholders is required to
perform different operation in market. By using different strategies company can keep their
employees motivated to improve over all performance in market.
CONCLUSION
From above, it has been summarized that M&S is one of the most famous brand, they
offer many products to customers working under retail sector successfully. Retail industry is the
major source for UK economy as they provide many job opportunities for local to residential
people within nation and also help to develop and improve economic status rather than before.
Marketing audit is the best part of external environmental analysis, with the help of PESTLE
analysis company identify its potential growth of market, which is quite beneficial for them as
business growth and success.
In this report is has been discussed about Marketing productivity audit, marketing
organization audit and marketing strategies audit are the sub parts of marketing audit that support
to determine effectiveness of M&S business Strategies as marketing plan. Furthermore, it has
been concluded that company are using dynamic pricing strategies and competitive strategy in its
marketing mix plan that help to gain profit and generate revenue better than before. They are
creating new marketing mix strategies to achieve their desired goal and gain gaps between
current marketing plan and external factors.

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