Marketing Planning for Primark: Case Study, Analysis, and Strategies

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This report provides a comprehensive analysis of Primark's marketing plan, utilizing a case study approach. It begins with an introduction to marketing planning and its changing perspectives within Primark, followed by an assessment of Primark's planning capabilities for future marketing activities. The report details techniques for conducting external factor analysis and organizational auditing, including SWOT and PESTLE analyses. It further examines barriers to marketing planning and strategies for overcoming them, comparing Primark's approach with Marks and Spencer. The second part of the report focuses on developing a marketing plan for a specific Primark product, emphasizing the importance of marketing planning in strategic planning. It identifies new product development techniques and offers recommendations for communication mix, product distribution, and pricing policies. The report also addresses factors affecting marketing plan implementation, the influence of ethical issues, and the analysis of consumer ethics on marketing planning, concluding with a summary of findings and references.
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Marketing Planning
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A case study of Primark
Table of Contents
Introduction................................................................................................................................3
Task 1 Report of Marketing Audits...........................................................................................3
1) Changing perspectives in marketing planning of Primark.................................................3
2) Primark’s planning capability for future marketing activity..............................................4
3) Techniques for analysing external factors and organisational auditing.............................4
4) Organisational audit and analysis of external factors of Primark......................................6
5) Barriers of marketing planning in Primark........................................................................7
6) Overcoming of barriers to marketing planning in Primark and Marks and Spencer.........8
Task 2.........................................................................................................................................9
1) Marketing Plan for a specified product of Primark............................................................9
2) Importance of marketing planning in the strategic planning process..............................10
3) Identification of techniques of new product development...............................................10
4) Recommendations for communication mix, product distribution and policies of pricing
..............................................................................................................................................11
5) Account of factors affecting marketing plan implementation..........................................12
6) Influence of ethical issues on marketing planning...........................................................13
7) Analysis of the effects of consumer ethics on marketing planning.................................14
Conclusion................................................................................................................................14
References................................................................................................................................15
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Introduction
The following report would entail a thorough discussion on the topic of marketing planning
approach undertaken by the business organisations to create an understanding about the
aspects of organisational audit, market entry strategies, barriers faced and the ways to
overcome them, drafting of marketing plan, consideration of the ethical issues, the consumer
ethics and analysis of the style of product development in the retail sector keeping in context
the retail chain of Primark, UK as the case study organisation.
Task 1 Report of Marketing Audits
1) Changing perspectives in marketing planning of Primark
It is crucial for transformations to take place in the area of marketing planning so that the
current condition of a business can be improved by its utilisation. With the introduction of
change in the process of marketing planning, the input decreases with a simultaneous increase
in the inputs. At the retail outlet of Primark, the changes in the process of marketing planning
was aimed at the accumulation of knowledge on evolving customer preferences so that the
enterprise can successfully gratify the respective demands of their customers ( Chan et al,
2011). In the context of transformations in the marketing planning of Primark, the
development of the concept of production was taken into consideration as it would help in
focusing on the products that is known for their quality. In such circumstances, the area that
attracts the vision of the managers would be product expansion but at a low cost. Secondly
Primark would be concerned about the innovative technology utilisation to bring about
transformations in the existing and the old products. The enterprise till date had been
focusing on products that were of higher value, but the transformation in the marketing
planning helped in the shift of their vision towards the production of low priced products
thereby catering to the demands of middle segment buyers in the competition (Chaffey et al.,
2012). From the promotional aspect the changes in the marketing planning involved the
introduction of sales promotional strategies of Primark that are aimed at the festive occasions
or cultural festivities as in such times, the quantity and the number of sales both increases in
the supermarket and this is more so since the large quantity of products are bought by the
customers around this time.
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2) Primark’s planning capability for future marketing activity
The organisational capabilities refer to certain processes that if followed by Primark would
assist in surmounting the weaknesses so that various activities related to marketing can be
done for the expansion of the platform of sales. Primark is an Irish retail enterprise with many
stores spread strategically in the region of UK. This happens to be the retail destination for
people who are conscious of the trends of fashion as well as the ones that seek value from
their purchases. In the context of the organisational capability it can be said that the
enterprises diligently follows a marketing concept that is strong in nature so that the elements
of a simplistic design and use of quality fabric in sizes that are easily acceptable having a
reasonable price tag can be supplied for reaping success in the competition (Das and
Chowdhury, 2012). The target sector of the retail brand comprises of people who are
conscious of the trends of fashion and they seek value for their money from the products of
the brand. Primark therefore is determined to increase their capabilities through the process of
customer’s need gratification and also increase the number of its outlets, which eventually
would help the brand in determining the process of marketing planning in the near future. The
retail brand has perceived the customers, both the genders in the teen and middle age
category, as its target sector, so that the product can be positioned as a reasonably priced
fashion brand in the minds of the consumers thereby enabling the enterprise in the
determination of the future course of marketing planning (Fahy et al., 2012). In line with the
future marketing activity of the brand, Primark is planning to expand with the opening of
more outlets in several regions of Europe within the next fiscal and also include the fashion
apparels from the local designers in their existing infrastructure to cater to most of the
segments in the target market. The brand is also increasing its human resource capabilities by
recruiting staffs and simultaneously imparting specialised sales and marketing training to the
existing employees, so that the promotion of the brand can be done effectively amongst the
customers. In the present the customer demand and perception is also change The company
also affected by the perception of person and economic growth of rthe country. Strategy
intent refer to the strategy tbhat are relate to the product inovation and creativity in the market
through the consuption of the product that place in the market through some significance
level. The company can coduct the research in the market for identification of demand and
need of the consumers.
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3) Techniques for analysing external factors and organisational auditing
The conduct of an effective process of marketing planning as well as the promotion of the
understanding about the customer’s preferences is done most suitably by the process of
organisational auditing. It also helps in the determination of the external and the internal
environment of the enterprise. The process of organisational audit can help in assessing the
relationship between the workforce and the owners of the retail brand. Primark must impose
restrictions on its aspect of cash flow thereby reducing the useless utilisation of the financial
resources and causing detriment in the quality of the products (Hollensen., 2015).
SWOT Analysis
Strengths – the greatest strength of the brand lies in the number of its loyal customers which
has been largely possible because of its exceptional services. The brand is constantly focused
on improving the services and products for its customers. The aspect of governance has been
effective and the brand has thus achieved distinction in the area of corporate responsibility.
As the contributions of the employees are recognised by the brand the employees too
participate in the management with full heart.
Weaknesses – the weakness lies in the fact that its rival Esprit has the same line of apparels
which poses a stiff competition to the brand and hence to avoid the similarities in products
Primark is required to adopt innovative strategies for strengthening their product and service
lines for achieving their objectives.
Opportunities – the brand can increase its coverage of the market space by concentrating on
the promotion of the uniqueness of its product rather than imitating those of the rivals. From
the sector of blue collar consumers the brand can widen its expanse so that it can explore
various kinds of alternative strategies. Primark has tapped the e-marketing domain to remain
constantly connected to its target market with the trendy apparel lines in offer.
Threats – the fundamental aspect of threat for Primark is in the shape of the increased number
of competitors having almost similar product lines with similar objectives. The brand should
in every way analyse the strengths and weaknesses of these rivals so that counteracting
moves can be developed by the brand. It is vital for Primark to invest a substantial amount on
the advertisement and also increase their marketing strategies for maintaining the average
revenue level and also retain and lure new customers towards its brand.
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An appropriate evaluation of the external environment of the retail enterprise which could
likely affect the marketing planning process can be conducted by the tool of PESTLE
analysis. The process of organisational audit can be conducted in the most appropriate
manner by undertaking market research involving systematic accumulation and analysis of
the data available from the research process. The process of branding that involves diverse
product offerings to the target sector consumers can also be considered as a suitable process
conducting the organisational audit of the enterprise.
4) Organisational audit and analysis of external factors of Primark
The conduct of the analysis of the external organisational factors and the organisational audit
can be undertaken in a simplified manner. The process of organisational audit can be
facilitated by following a specified concept of marketing as well as by the analysis of the
consumer buying behaviour. The brand of Primark is well known for delivering well cut
fashionable fabrics with tasteful designs with an affordable price tag to the middle and the
low income segment of the economy without any pompous investments in advertisements
(Finney., 2011). As Primark follows the fashion trends and the evolving fashion preferences
of its customers, it focuses on market expansions in uncharted territories and in new regions
which makes the conduct of the PESTLE analysis quite significant to have knowledge about
the external environment in which the enterprise plans to set up its operations.
PESTLE Analysis
Political – this aspect is concerned primarily with the political climate in which the business
organisation would have to conduct its operations and therefore the analysis highlights the
kind of effect that the initiatives of the local government in power would have on the
performances of the retail brand. Primark must take care to make its activities compliant to
the various kinds of governmental regulations such as the sex discrimination act, data
protection act and health and safety act that is in practice in the region of its operation ( Hutt
et al., 2012)..
Economic – through this analysis the retail brand can assess the risk factors that could be
confronted or avoided by the enterprise during its operation such as the changing rates of
interest, recession, price trends etc, thereby helping in development of a premeditated
decision to deal with the future contingencies and uncertainties that could be faced by the
enterprise.
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Social – the aspect of demographic factors gets highlighted by the analysis of the social
elements which leaves a deep impact on the performance of the business organisation in the
region of its operation. The perception of the customers of the new region gets highlighted
and also the factors of income, choices, spending power and the changes in preferences of the
target segment can be analysed which would be highly beneficial for retail brands like that of
Primark to place its products accordingly in the market and gain early recognition ( Lorange.,
2013).
Technological – this analysis helps in the assessment of the ability of the enterprise in
utilising the changing or available technology in the process of manufacturing products. This
aspect is responsible for determining the improvement in the product quality and
transformation in the product features of the retail brand as well as helps in minimising the
uncertainties that Primark would have to confront due to the changes in economic and social
environment (Mariadoss et al., 2011).
Legal – the analysis of the legal aspect would help Primark to conduct its business activities
within the precincts of various kinds of trade and taxation policies as well as the tariff law
that is in vogue. Primark had been following strict adherence to the governmental regulations
and legislations in its business activities over the years. The analysis helps in the
understanding of the issues related to the laws of labour and therefore helps in its early
resolution so that the enterprise can function legally in its designated sector (McDonald.,
2013).
Environmental – the analysis of the environmental factor brings to light the contributions of
the enterprise towards the environment that it operates in and as such the factors of corporate
social responsibility of Primark would be highlighted in the process. The retail brand has
been utilising recycled and bio degradable products in packaging and the industrial wastage is
recycled at periodic intervals thereby reducing the health hazards and environmental
pollution to the immediate vicinity and the community that the company serves through its
operational activities.
5) Barriers of marketing planning in Primark
The barriers that are faced by Primark in the process of marketing planning are given under
the following heads:
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Objective / Strategy Confusion – the planning of the strategy was difficult since the factors of
economic environment, services and products and customers had to be taken into
consideration and the objective of establishing new store within the radius of 2km from the
existing location would expose the brand to the strong competition of Marks and Spencer
retail chain. Hence confusion gets created in the development of the process of marketing
planning for Primark.
Isolation of marketing function – the location of the Primark store and the distance of the
centres of distribution and appropriate channel makes it quite difficult to strengthen the
marketing function and so does the distinctiveness of the social outlook across various
regions which creates issues that does not support the marketing function (Lorange., 2013).
Technology advancement although remains helpful but not without being developed in a
perfect manner.
Organisational barriers – the activity and the strategy of the competitors like that of Marks
and Spencer serves as the main barrier since it enjoys the power of bargaining in the market
that is existent. Apart from the bigger chains it is also obvious that the presence of other
smaller retail chains has eaten up a considerable amount of the loyal base of customers.
Expectations of the customers – one of the important aspects that remains a barrier is the
knowhow of the customer’s requirements because the specifications tend to vary with
individual customers and appropriate understanding can be gained when the product has been
served in the region specified having a specific environment and culture (Jain and Haley.,
2009).
6) Overcoming of barriers to marketing planning in Primark and Marks and Spencer
The methods by which the barriers that are faced in the marketing planning of Primark and
that of Marks and Spencer can be overcome have been listed below:
Primark Marks and Spencer
1) Opening of a small store and engage in
product promotion to gauge the preferences
of the customers.
1) Conducting of a complete analysis of the
demand of the customers and the market and
cultural situation of the region
2) Conducting of customer surveys to gain 2) Analysing the market strategies of the
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knowledge about their taste and choices in
apparels.
existing competitor in the region to reach out
effectively to the target customers (Finney.,
2011).
3) Reduction of prices and supplying quality
goods with top of the line customer service.
3) Adoption of either product or price
differentiation to attract and lure customers
towards the brand.
4) Collection of customer’s feedbacks about
products as an after sale service to
successfully cater to their growing needs.
4) Engaging customers in the product
promotion strategies by supporting social or
environment causes through its operation in
the region.
Task 2
1) Marketing Plan for a specified product of Primark
Primark has a wide recognition as a retail clothing brand supplying fashionable clothesline
for all the age categories of both genders at the most affordable price to the higher as well as
the middle income segment of the society. T\he marketing planning is aimed at the launch of
a women’s apparel line especially targeted at the teenagers involving the steps given below:
Development of a goal – as the brand is devoted in producing the fashion apparels for
different categories of customers, therefore more focus would have to be given on the new
product line targeted at the teenage population. The product would be required to reflect the
newest fashion trends and the company must set a goal to attract the most number of
customers in the target segment in the least possible time, thereby augmenting the volume of
sales of the company (Ullman., 2015).
Marketing audit – the weaknesses in the plan of marketing can be identified by the conduct of
the marketing audit so that those areas could be converted to strength and the threats
appearing in the course of the business activities could be overcome along with an eye on the
various kinds of business opportunities that could be explored for gains.
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Development of Strategies – the process of strategy development could come in handy for
Primark during the period when there is a lack of resources as that would not only help in
continuing with the production of the fashionable clothing lines but would also help the
company in learning the different processes of retention of the same (Umeda et al., 2012).
Review of the process of manufacturing – a continuous process of monitoring the production
line of the women’s apparels would assist in the determination of the modifications and
alterations that could be necessary and need to be taken into consideration in the product
manufacturing process or whether there is any scope for incorporating any new resources in
the process.
2) Importance of marketing planning in the strategic planning process
In the conduct of the process of strategic planning it is imperative that an estimation of the
process of marketing planning is taken into consideration. It is after all through the process of
marketing planning that the stakeholders of Primark would be able to conduct a comparative
analysis of the organisational progress in relation to the similar organisations operative in the
sector. When the marketing planning has been designed effectively by Primark to enable the
strategic planning process for the new apparel line for teenage women, an enhanced level of
production and sale of the same would guarantee a considerable amount of expansion for the
enterprise ( Wells et al., 2011). The marketing planning is advantageous in keeping the focus
of the enterprise on the target market. The workforce pays more attention to the customer
needs and after a thorough evaluation of the same they can focus on its subsequent fulfilment
by the supply of products designed for that purpose. An appropriately designed marketing
planning helps Primark recognise the new customers as well as the new competitors that they
are required to confront in the competition. The strategic analysis through the development of
a marketing planning in Primark the rate of cash flow required by the organisation to capture
business opportunities can be determined to a great extent.
3) Identification of techniques of new product development
It is important to note that success by the business enterprise cannot be gained depending on
the production and introduction of a new product line, rather development of the new product
would necessitate development of ideas that could be of use in the manufacturing of the
products. Primark must take into consideration the feedback of its valued customers and give
it due importance since it would help in the production of the goods in alignment with the
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specification and demands of the customers of the brand ( Brooksbank., 2013). Performance
monitoring of the enterprise must be conducted on a regular basis so that the development of
the new products can be done in accordance by the enterprise. It is also crucial that the raw
resources that are put into the process of manufacturing must be recognised qualitatively to
understand its utilisation in the process of incorporating a new outlook in the existing product
base so that the same could be sold to the customers as a modified and new product.
The cost of production is one of the most important aspect in the process of new product
development and as such the company must develop a cost effective manufacturing process
by entering into partnerships with the suppliers of the raw materials and also by the method
of process outsourcing to the developing countries or places having cheap labour. Cost of
production can be also managed efficiently by cutting down the cost of operations which can
be done by focusing on the marketing process of direct selling to certain segment of
consumers especially who prefers to place their orders on the e-marketing sites.
The pricing policy of the brand must be done in a manner which can help in promoting the
product in both the elite circles as well as the existing customers. It would mean development
of differential marketing strategies for catering to various target segments of the population.
However the aggressive pricing policy adoption of catering to all segments of the target
market through offering of apparels by about 40% lower prices than the market rivals like
that of H&M could pose serious threats to its market competitors.
The enterprise must take into consideration that the rights of the customers in receiving the
best quality products from the brand gets satisfied in the best possible manner. The extent of
sale of a product helps in the determination of price and also the extent of the development of
the new products. Primark’s determination to develop a new product must be followed by
development of activities of promotion to attract the attention of the customers as much as
possible and also for spreading information about its launch which must be appropriately
supported by an efficient level of customer satisfaction through delivery of quality so that the
number of repeat customers increase with time (Chan et al., 2011).
In this case the firm can understand the demand and also concerened wirth the creativity
related to the need and passing the expences of the pertcuklar demand in the market that they
are depended in the variables that mae reflect the price of the particular product. Primark’s
determination to develop a new product must be followed by development of activities of
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promotion to attract the attention of the customers as much as possible and also for spreading
information
4) Recommendations for communication mix, product distribution and policies of
pricing
The list of recommendations suggested to Primark on the context of policies of pricing,
communication and distribution mix has been given below:
Primark must take recourse to affordable or reasonable price policy so that the
product can cater equally to the richer segment and the middle segment of the target
market helping in enhancing the sales and customer base of the enterprise ( Fahy and
Jobber., 2012).
Primark must ensure that the supply chain of the enterprise is managed efficiently and
the products reach the customer’s hands when it is demanded without much delay.
The brand must focus on increasing the availability of transportation so that the stocks
of products gets replenished before time and the customers never leave the store
empty handed as it would result in losing customers.
A constant channel of communication must be in place between the employees of
Primark and the customers so that the changes in their fashion preferences helps the
company in remaining updated about the current trends and accordingly design the
products to cater to their tastes (Das & Chowdhury, 2012).
The channels for promotion of sales must get determined beforehand to minimise the
barriers faced in the course of product exports for meeting urgent demands.
There are the some factors that affect the demand of the particular product in the market like
political condtion it include the strike and other issues that relate to launching new ptroduct
in the market, Economical condition it include the interest rate, inflation rate etc., social
factors that include the income, preferences, demand of the product, Technical factors that
new technique used in the market for the produce competitive environment. Legal and
goverment policy also affect the business for launching new product like tax rate.
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