Marketing Report: McVitie's Roles, Mix, and Strategic Plan Analysis

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MARKTING
ESSENTIALS
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Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Key roles and responsibilities of the marketing functions................................................1
P2 Define how roles and responsibilities of marketing relates with organisational context..3
It is important for marketing team in McVitie's to have a strong relation with other
departments so that organizational work can be performed in a timely manner. In this respect,
interrelation of marketing team with other departments of McVitie's is performed below:. .3
TASK 2............................................................................................................................................5
P3 Compare ways in which different organisations apply market mix to achieve business
objectives................................................................................................................................5
TASK 3............................................................................................................................................9
P4 Prepare and evaluate a marketing plan for organization...................................................9
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14
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INTRODUCTION
Marketing is defied as the study and management of exchanged relations in a proper
manner. It is a business procedure that helps in creating a strong bond with customers by
satisfying their needs in a proper manner. Marketing is evolved as a basic set of activities,
procedures and institutions which benefits in creating, exchanging and delivering valuable
services to their customer base (Amri, 2017). This assignment is written in context with
McVitie's that is a Britain based multinational snacks and food brand. Organisation was
established in 1830 at Edinburg, Scotland. This business firm is working under united biscuits
and provide products like Jaffa cakes, chocolate digestives, Hobnobs and rich tea to the customer
base. This report is going to mention the responsibilities and roles of marketing function along
with importance of interrelation among different units of organisation. Beside this, a marketing
mix is carried out to identify the position of company in market place. At last, an effective
marketing plan is prepared so that organisation can achieve its goals and targets in a proper
manner.
TASK 1
P1 Key roles and responsibilities of the marketing functions
To attain expected outcomes, manager of different departments are required to perform
various activities. In case of marketing department, manager is given the duty to perform
advertisements and marketing related activities so that objectives of company can be achieved
desirably. Marketing department in McVitie's holds a strong position in company as they
benefits in retaining customers for a large time period. By this, company will achieve high sales
and revenues. In context with McVitie's, roles and responsibilities of marketing function are
mentioned below: Maintaining customer satisfaction: It is the responsibility of marketing department in a
company to enhance the satisfaction of consumers by offering them expected services or
products. In case of McVitie's, marketing team is responsible for sustaining the customers
of company for a long time period. Duty of marketing team in McVitie's is to ensure
customers that they will be given only standardised and good products. Marketing team
of company can retain their customers with the help of online platforms, feedbacks and
surveys. By this, company will be able to understand the issues and problems faced by
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customers in a proper manner. If marketing department of McVitie's will not consider
about the satisfaction level of customers. It will results the company with low market
shares and sales (Baack, Harris and Baack, 2013).
Conduction of market research: The marketing department in McVitie's has the
responsibility to conduct a marketing research. This will allow the company in offering
services or products to consumers as per their expectations. By carrying out market
research, manager of marketing team will be able to design effective policies that will
help concerned company in gaining competitive advantage over rivals. This will results
the company in achieving high market shares (Bačík, Štefko and Gburová, 2014). If the
marketing unit in McVitie's is not able to conduct market research in an appropriate way
then it will be complex for company to sustain in market for a long time period. Due to
this, popularity of company in marketplace will also reduce.
Responsibilities of marketing department in different market environment
Maintaining Brand equity: Marketing department in McVitie's is given the
responsibility to maintain brand equity of company so that high profits can be earned by
company. It is only possible by targeting right people with right product. By this,
requirements of people will be fulfilled and reputation of company will enhance.
Marketing unit of McVitie's can increase brand equity of their organisation by carrying
out promotional activities through advertisements, magazines, TV, newspaper etc. If
brand equity of company will not increase then gaining advantage over competitors like
Mondlelez organisation will not be possible.
Strategy formulation: It is the responsibility of marketing department in an organisation
to develop effective strategies so that high sales can be earned. This will allow the
company to sustain a strong position in market place. Marketing and business strategies
will benefits McVitie's to adopt various tools that will helps the company in enhancing
their customer base in a desired manner (Baker and Saren, 2016). If the marketing unit of
concerned company will not make effective strategies, company will not be able to
achieve high sales. Due to this, earning desired outcomes will not be possible.
Marketing in B2B and B2C
B2B is abbreviated as business for business marketing in which an organisation or person
focuses on the practical use and logic of product rather than buying products by taking emotional
2
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decisions. In this kind of marketing, business personal have no emotions at the time of
purchasing the products of company. If a product has no important or role for that person, they
are not going to buy it. Business to customers is called as B2C marketing in which people take
decision to choose a product by using their emotional aspect. If company will show emotional
side of product, customer will become eager to buy it.
P2 Define how roles and responsibilities of marketing relates with organisational context
It is important for marketing team in McVitie's to have a strong relation with other
departments so that organizational work can be performed in a timely manner. In this respect,
interrelation of marketing team with other departments of McVitie's is performed below: Marketing and finance department: Role of finance department in an organization is to
manage all the work related with funds and finance. It is the duty of finance department
to allocate a proper budget for company so that all the activities can be performed in
allotted budget only. This department also provide money to marketing department so
that their operations and activities can be performed in a systematic way. Role of
marketing department is to identify the potential investors for company so that no
shortage of funds will be faced (Brady, 2014). For example- marketing department wants
to promote offerings which requires funds therefore, marketing head have responsibility
to contact with financial head so that required funds can be arranged easily. Therefore, it
can be said that interdependence between these divisions are higher and supports the
McVitie's in achieving its desired goals. The roles and responsibilities of these two
departments are interrelated with each other which increases the chances of achieving
organizational goals and objectives within limited time period. Marketing and sales department: Sales department in an organisation have the role to
sold services or products to customers in large quantity. This will allow the company to
earn high profits and revenues. McVitie’s can gain the attention and trust of consumers
with the help of promotion, feedbacks, surveys etc. which are carried out by marketing
department of company. Due to this, company is able to identify which products are
achieving high sales and which products are not performing well in marketplace. Also,
the marketing unit is responsible to gather information about the requirements of
customers. Due to this, sales department is able to stock those products in high quantity
and sales targets are achieved. If these two departments of a company are not going to
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work in a collaborated manner then, it will be difficult for sales department to identify the
needs of customers (Clow and James, 2013). Due to this, interest of customers towards
the products of McVitie’s will decrease and it will impact the sales & profits of company
in a negative manner. Marketing and production department: The role of production department in McVitie’s
is to produce products in accordance with the requirements of customers. All the product
formulation is carried out by this department only. Whereas the marketing department of
company has the duty to collect feedback and opinions of customers for the products
which are offered by company and tell production department about those products which
are in high demand in comparison with other products. By this, the production
department of company will get to know if the products produced by them are liked by
customers or not. If customers are not satisfied with product, then production team can
carry out modifications in accordance with that. This will benefit the company in
achieving high sales and revenues (Desai, 2013). If these two department of McVitie’s
will not work in a unified manner, then it will be difficult for company to produce those
good and products which are needed by customer base. Due to this customer can start
using the same products which are provided by other company that will results in revenue
loss. For example, the marketing department in McVitie’s perform a market research to
acknowledge the preference and needs of customers so that demanded product can be
produced by production department in bulk amount.
Marketing and HR department: Human resource department in an organisation have the
responsibility to hire talented employees which are capable to perform well in difficult
and complex situations. For this, company is needed to share and advertise about the
vacant position, qualification for applicants who can apply for this post and venue of
interview etc. All this work is performed by marketing department of McVitiies.
Marketing manager of concerned company is given the duty to acknowledge more and
more people about the vacant job so that more number of talented people can apply for
the job role. In case of marketing department, to perform their work in an efficient and
timely way, skilled workforce is needed which is hired by HR department of company.
Marketing head tells HR department about their requirements in employees and in
accordance with that recruitment takes place. In this way both department assists each
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other in performing their works desirably. If these two departments will not work in a
coordinated manner, then it will be impossible for company to have efficient employees
due to which overall productivity of company will reduce.
TASK 2
P3 Compare ways in which different organisations apply market mix to achieve business
objectives
Marketing mix is referred the association of marketing variables that are controlled by a
company so that targeted customers can be reached in a desired manner. This tool will benefit
the company in influencing customers about their products. Marketing mix benefits in gaining
consumer attention due to which market share of company hikes in a considerable manner (Joshi,
2012). To acknowledge position of company in market place, different aspects like product,
price, promotion, place, people, physical evidence etc. are discussed. It is a basic tactic which is
implemented by a business firm before starting a new business. Marketing mix is going to
benefits McVitie’s in understanding their customers about products or service so that high sales
and profit margins can be adopted in a proper manner.
Basis McVitie's Mondelez International
Product As McVitie’s is performing their
business operations at worldwide,
company has a wide product line. The
main aim of company is to provide
high quality products to their
customers in less price so that high
profits and sales can be earned.
Company specialises in offering
products like Jaffa cakes, fig rolls,
penguin, hobnobs, Krackawheats,
digestives, nibbles, waffles, iced cakes
etc. other than this, organisation also
It is a renowned organisation which sells
their products in five categories at global
context. Each category of company
possesses a separate product line. As
company has vast number of products to
offer their customers. Main products of
company are dairy products, baby food,
cereals, breakfast, pet food, ice cream,
bottled water, confectioner etc. main aim
of company is to offer high quality and
new products to their customers that can’t
be replaced by the products offered by
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offers products like dairy items,
chocolates and coffee to their
consumers
rivals.
Price Price of products which are offered by
McVitie’s are high due to their high
nutritional values and high quality. To
attain wide sales, company uses
bundling price strategy in which
different products of company are
bundled and given to customers in less
rates in comparison with the
individual products. Online products
offered by company are priced in
accordance to their innovative and
uniqueness value. This is the reason
some of the products of company ae
charged high then other. Basic pricing
strategy used by company to target
customers is economic pricing so that
high sales can be achieved (Lipsman
and et. al., 2012).
Company prefers to choose competitive
pricing strategy in which the rate of a
products is marked after acknowledging
the prices set by rival companies. This
helps the company in giving tough
competition to rivals. Those products
which are unique to company are charged
premium rates so that high class people
can be targeted for that unique product.
This benefits the company in gaining
attention from high class in a proper
manner. Online products offered by
company are priced high in comparison
with the same products which are
available at store. This is due to the
expenses of delivery charge which is
faced by company while offering product
to customers.
Place Organisation is a leading manufacturer
of biscuits and manage their business
operations in around 120 countries
situated in Middle east, Africa, Asia,
America, US etc. customers can easily
buy the products of company from
both offline and online mediums. In
context with offline medium, customer
can buy product from stores and
To sell its products at both domestic and
internal market, company has two
marketing channels. The first channel
used by company is the online platform
through which customers directly order
and receive the product. In second
channel, organisation sold their product to
wholesalers which sold these products to
retail stores in different location around
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outlets. Products sold by company are
easily available at every departmental
or retail store. Company takes the help
pf extensive marketing strategy to sold
their product in maximum places.
globe. Company mainly operates in
European nations and some countries of
American & Asian continent (Long and
Jerath, 2018).
Promotion Company uses various methods to
promote and advertise about their
products in a desired manner. In this
context, company takes the help of co-
branding in which McVitie;s sell their
products at events, social gatherings,
fests etc. at both domestic and
international level. Also, company
takes the help of online and social
media platform like Facebook, Twitter
etc. to promote about them. With the
help of traditional media like TV,
newspaper etc. company carry out
below the line and above the line
promotions. By this, customers are
able to gain required information
about products.
Company can take the help of different
media channels so that their services or
products can be advertised in an
appropriate way. In case of Mondelez
international, main promotions of
company are carried out with the help of
traditional media like radio, magazine,
TV, newspaper etc. Manager of
concerned organisation also uses social
media to advertise and acknowledge
people about their products. Company
also goes for personal selling so that their
presence in personal stores can be
enhanced considerably. In order to
identify their promotional budget,
company takes the help of percentage of
sales method.
Process In order to ensure that an organisation
provides only high quality products,
company has adopted lean operational
methodology where those procedures
and activities are avoided that do not
add value to the product. Due to this,
operational cost of company decreases
and company also follows an online
This organisation ensures that the
products of company are easily available
and assessable for customers at nearby
retail stores. Due to this, company has
installed a system in retail stores by which
retailers and wholesalers of company can
easily acknowledge company about the
unavailability of required products.
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procedure where products are sold at
different discounted rates and offers
like buy one get one free etc.
Beside this, company has a feedback and
delivery process so that satisfaction level
of customers for company can be
sustained in a proper manner.
People Organisation believe that they are able
to achieve their targets and objectives
only if their employees will be happy.
This is the reason, needs and
requirement of employees are given
high consideration. In this context,
company provide training and
development sessions to their
workforce so that they can retain in
company for a larger time.
Workforce of a company are their main
assets. Without their efforts, organisation
can never achieve their aims and targets
in a proper manner. In this context,
company provide training sessions to the
employees du to which they feel confident
and motivated while performing
organisational work in a proper manner
(Lovelock, 2011).
Physical
evidence
Products which are offered by
McVities are packed in a particular
themed packages due to which
customers can easily identify them.
This is a physical evidence for
company. Also the official website of
the company and the retail stores
which provides the products of
concerned companies also acts as a
physical evidence for the organisation.
Products and goods which are offered by
the Mondelez international are packed in
a coloured packaging that is very easy to
distinguish. Headquarter and warehouses
of company along with their official
website acts as a strong physical evidence
for the concerned organisation. Also, the
outlets which have their products acts as a
strong physical evidence.
With the help of marketing mix, it can be identified that company holds a strong position in
market but there are some fields in which company is required to improve themselves. Also,
company can use pricing strategies like price skimming so that products of company can be sold
in large amount and high sales can be achieved. Also, to beat the sales of rivals like Mondelez
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international, company can use psychological pricing for more products. Due to minor difference
in rates, company will be able to grab millions of customers (Mueller and et. al., 2015).
TASK 3
P4 Prepare and evaluate a marketing plan for organization
Marketing plan: It is a formal document which helps the organisation in launching a
new production. Company like McVitie's should focus on marketing plan as it will allow them to
identify the marketing and advertising strategy, current marketing position of the company,
avoiding future uncertainties and to ensure the success of new products or services provided by
the company to their potential customers so that the customers can get full satisfaction.
Marketing plan of company will act as a blue print that will include different activities
which results in achievements of targets and objectives. In this context, company is going to
introduce a new product in market i.e. McVitie’s protein shake. This Protein shake will help the
customers in sustaining a healthy and nourished life. As shake will be available in different
flavours, company is aiming to achieve wired success (Nicholls and et. al., 2013).
Situation
SWOT Analysis – It is abbreviated as strength, weakness, opportunities and threats. It is
a strategic tool that will benefits the company in understanding their strengths and weaknesses
before launching a new product in market. Also, opportunities and threats related with new
product will also acknowledged. In this context, SWOT on McVitie’s is mentioned below:
STRENGTH WEAKNESS
Major aim of company is to provide
healthy food and snacks to their
consumers. Due to this, new product of
company i.e. McVitie’s protein shake
will be gain wide popularity due to its
nutritional content (Papasolomou and
Melanthiou, 2012).
Retail sector is highly competitive in
which different organisations compete
against each other to earn high revenues
and profits. Hence, it will be difficult
for the new product to sustain a strong
position in market
OPPORTUNITY THREAT
As company is going to introduce a Marketing environment of retail sector
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new product in market, manager of
company can adopt different measures
like advertising, providing free
samples, promotions so that people
from different segments can be
attracted desirably.
is very uncertain due to which there
are many risks that can be faced by
organisation like product failure,
reduced customer base etc. Which can
be a big threat for the company.
PEST analysis: With the help of this analysis, it will be easier for McVitie’s to acknowledge
external business environment in a proper manner. In context with company, PESLTE analysis is
mentioned below:
Political factor: Before launching a new product, it is important for the manager of
company to identify political stability, tax and tariffs of the region where product will be
served. If region will be political unstable or tax charges will be high, company will have
to face loss of revenues (Pudaruth, and Nursing, 2017).
Economic factors: These are concerned with the growth, GPD of nation, interest &
inflation rate and purchasing power of people. Company in needed to launch their
product in those region where people have disposable income so that they can earn high
returns.
Social factors: These factors are related with the lifestyle and living standard of people.
People in countries like UK and US are very health conscious due to which Mcvitie;s
protein shake is going to earn high sales there.
Technological factors: to gain advantage over rivals, company in needed to update their
technology on regular basis as per customer requirements. Company can use advance
technology to prepare protein shake due to which customers will prefer it in a proper
manner (Rossi, Allenby and McCulloch, 2012).
Objectives- SMART objectives of company in context with new product launch are mentioned
below:
Specific- Company wants to increase their profits by 10%.
Measurable- with the help of past year performance, this year’s performance will be
measured.
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Assignable- Team assigned for this project will be guided by leadership management
style.
Realistic- New product is going to introduce in market to increase health of customers
along with enhancement of market shares of company.
Timely bound- Estimated time for product launch is 6 months.
Strategy- Company is going to adopt strategies and plans in accordance with the targeted section
of society.
Source- SEGMENTATION TARGETING ADN POSITIONING. 2015
Segmentation- In this procedure, population is divided into different segments in
accordance with their geography, behaviour, psychographics and demographics. McVities is
going to segment people on the basis of demographics.
Targeting- Out if entire population, company is going to target adult aged up to 50 and
teenagers as they are highly conscious about their health. They will surely like the protein shake
offered by company (Silver and et al, 2012).
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Illustration 1: SEGMENTATION TARGETING AND POSITIONING
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Positioning- The new product is going to be positioned at different local stores and
departments so that customers can easily access them. McVitie’s protein shake will also
available at different online purchasing sites.
Action Plan
Budget allocation: Company has estimated a budget of 700 million pounds for this
project. All the activities related with project will be performed within this amount.
Marketing Mix
Product: Company is going to introduce McVitie’s protein shake which will be available
in different flavours.
Price: This price will be moderately priced so that all health conscious people can buy it
without facing complexities.
Place: This product will be available at different retail and departmental stores where
other products of McVitie’s are sold.
Promote: Company is going to promote this product with the help of traditional and
social media like Fb, newspaper, TV, radio etc.
Forecast:
Cost: Required cost for the production of new products are mentioned below:
Particulars Amount (€)
Advertisement 120000
Catalogues 80000
Machinery 180000
Raw materials 130000
Sales: Company has planned to increase sale by 15%.
Profits: 10% increment in profit margins in upcoming 6 months.
Market share: By introducing McVitie’s protein shake, company wants to increase
market shares by 20%.
Control: McVitie's is using key performance indicator in order to measure all the
activities carried out in the business. Here, business associates can also compare past and present
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performance so that gap or differences can be examined and tactics can be designed to achieve it
(William and Zikmund, 2012).
CONCLUSION
From above mentioned report, it is concluded that marketing function plays an important
role in the success of a firm with the help of advertisements and promotion. McVitie's can take
the help of marketing function like conducting market research, satisfying customers so that high
customer base can be sustained for long time period. Marketing department in McVitie's must
work in coordination with other department so that work related activities can be performed
effectively. Marketing mix will help McVitie's to identify their performance in market against
the performance of rival organisations. Marketing plan will help the concerned company
McVitie's in developing strategies so that desired revenues and sales can be achieved.
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