Marketing Strategies of Primark and Tesco: A Comparison

This report provides a comprehensive analysis of the marketing strategies employed by Primark and Tesco, two prominent players in the retail sector. The report begins with an introduction to marketing and its importance in organizational success, particularly focusing on how marketing departments contribute to sales and profitability. It then delves into the application of the 7Ps of the marketing mix (Product, Price, Place, Promotion, People, Process, and Physical Evidence) for both Primark and Tesco, highlighting their distinct approaches to gain a competitive advantage. The report examines how Primark and Tesco develop their marketing strategies differently, considering factors like product offerings, pricing strategies, distribution channels, and promotional tactics. Furthermore, the report discusses the tactics these organizations use to achieve their objectives, including short-term plans, cost leadership, and expansion strategies. It also outlines the essential steps in developing a marketing plan, such as analyzing the current market position, market analysis, target audience identification, defining goals, and budget allocation. The report concludes with a discussion on developing a coherent, evidence-based marketing plan and its implications for Primark's global expansion, emphasizing the need for adapting to the changing commercial environment and integrating social media marketing. References to academic journals and books support the analysis.

MARKETING ESSENTIALS

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK1.............................................................................................................................................1
Covered in PPT.......................................................................................................................1
TASK2.............................................................................................................................................1
P3 Application of 7P's of marketing mix in marketing planning...........................................1
M3 Different tactics developed by organisation to achieve objectives..................................4
TASK3.............................................................................................................................................4
P4 Development marketing plan............................................................................................4
M4 Evidence based coherent marketing plan.........................................................................5
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Marketing is an process which is collection of activities in order to identify, analyse and
satisfy consumer needs. Marketing department us having great importance in growth of
organisation successfully and involved in increasing sales for company and contributes in
increased profitability (Abushadi and et. al., 2015). PRIMARK largely focuses on its marketing
strategies to attract more customers and provide them a satisfactory services in order to archive
customer loyalty for their brand products.
In this report various roles and responsibility of marketing department along with its
relationship with other functions of PRIMARK are studied. This assignment provides a brief
knowledge to reader about marketing mix followed by different business systems in order to
increase sales for firm.
TASK1
Covered in PPT.
TASK2
P3 Application of 7P's of marketing mix in marketing planning.
Marketing mix of company plays an important role in developing various strategies in
order to increase sales of companies and contributes in higher profitability of organisation.
Various firm are involved in developing 7P's of marketing efficiently in order to attract more and
more customers towards their products and services. The businesses like PRIMARK and TESCO
dealing even in same sector i.e. retail sector develop their marketing strategies differently to gain
competitive advantage and increased sales. They follow different ideas and motivation to attract
customers towards brand product and various positioning plans to increase probability. The tools
used by these ventures in developing 7P's of marketing mix are described below.
Marketing Mix developed by PRIMARK: This is an clothing retail outlet established in
1969. Company was founded by Arther Ryan in integration with Micaela Mitchell. Organisation
in engaged in providing a wide rage of products to their customers. Firm in engaged in clothes,
house wares, beauty products, footwear etc. This is also engaged in food sector and involved in
delivering confectionery items to their customers (Lamb, Hair and McDaniel, 2011). After
success of stores in company, this decided to expand its business in other countries also to earn
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more profitability. Venture is well established 170 stores located in different countries of world.
The strategies developed by company in comparison to gain competitive advantage in market are
as follows: Product: This is an major element of marketing mix which is major constituent of
product and services of an company. Thus helps in attracting customers as it is source of
accomplishing of various needs and wants of consumers. Firm is engaged in large
number of product line serving in clothing and food sector. This provides wide variety of
kids clothings, women wear, menswear, home wares and confectionery items. Price: PRIMARK pricing strategies is helpful in gaining competitive advantage among
different competitors in market. This follows making availability of good quality product
at reasonable and affordable prices for middle class peoples. The pricing of products
ranges from about accessories starts from 1 to 10 euros, lingeries from 3 to 10 euros,
home wares from 1 to 20 euros approximately which are within affordable range of
customers of UK. Place: Company is following well organised strategies in order to target customers
through availability of their retail outlet in different locations of countries. All stores of
firm are located in easily accessible locations by public transportation vehicles by
consumers of company (Lancaster and Massingham, 2010). The company is targeting
their customers through developing their outlet in man busy street of UK like stores in
Oxford street of London, near lake in lakeside shopping centres. Promotion: Promotional schemes by organisation include Penny's Gift Cars to customers
that is helpful in large saving by consumers while shopping with PRIMARK. This helps
in building customer loyalty with brand. Organisation is little but slow in promotional
activities as this is not involved in any kind of television advertisements and other
campaigns. As a promotional tools company utilises transient marketing through motor
bike advertisement and sales follows world of mouth promotional and sales strategies. People: People are the major service provider of any of company. PRIMARK is having
an self motivated sales workforce who develop an good relationship with customers. Process: This is defined as how an end user of company is receiving its product and
services through what means it is utilising these services. Firm manages its distribution
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services to consumers and develop sales through word of mouth to deliver better services
to customers.
 Physical Evidence: This defines various evidences that can be utilised by customers in
evaluating quality services (Malhotra, Birks and Wills, 2013). PRIMARK logo, its
packaging material and design, registered name, infrastructure of stores all are physical
evidence for consumers that helps in attracting more clients towards brand products.
Marketing mix of TESCO: This company is established in 1919 in England of UK. This
is founded by John Cohen. This is an multinational brand engaged in retail sector. Company is
developed their express stores, supermarkets in different countries of world. Product: Organisation is having variety of product that are served by firm. This includes
grocery items, frozen foods, beverages, Toys, gaming products, clothing, jewellery etc. Price: Venture is implemented cost leadership in their marketing strategies in order to
provide their product at lowest cost in market. This helps in creating a huge customer
base for establishment (Mihart, 2012). Place: Firm is established in about 12 countries and having more than 6900 located
globally. Venture is involved in delivering their products through express stores to
increase efficiency of retail outlet in busy streets. Promotion: TESCO Club Cards helps in segmentation and targeting loyal customers
according to their preferences. Organisation is using television advertisements and
charity promotional campaign in order to increase sales through involving in various
types if sales activities. People: Company recrudescent policies follows various selection process in order to
work with potential and motivated workforces in market. Firm is having about 480,000
employees working in its retail outlet located all over the world. Process: Business entity follows and well defined prices of delivering their services
according to its production capacity in order to manage stock availability according to
consumer demand to satisfy their needs effectively.
 Physical Evidence: Product packaging, labelling, colour of carrying bags, company logo
and infrastructure of supermarket provide authentication and physical evidence to
consumer of TESCO.
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M3 Different tactics developed by organisation to achieve objectives.
PRIMARK utilises various tactics in order to achieve goals of company and increase
profitability by involvement in various promotional strategies (Nguyen and Simkin, 2012).
Different tactics that can be defined by organisation involves scheduling short term plans for
increasing sales and customer base of stores and retail outlets. Tactics plan include gaining cost
leadership in following five years and increasing sales to double of present figures. The tactical
plan helps in increasing customer base and expanding business in other countries. The tactical
plans develop by the Primark company should be effective and as per the defined smart
objectives in the business environment. The tactical plan involved devising various growth s
strategies in like applying ansoff matrix tactical plan in order to differentiate their services and
develops higher competitiveness through promoting Primark new tactics and products to attract
large numbers of customers.
TASK3
P4 Development marketing plan.
Marketing plan involves evaluating various factors affecting growth of organisation and
develops different strategies which is most effective alternative for achieving goals and
objectives of marketing department within budget and time constraints. Development of
marketing plan involves following steps to be considered:
Company Current position- This analyse various strength and weaknesses of
organisation ruining its business in changing market scenario. This evaluation can be carried out
by Swot analysis of PRIAMRK. This should include consideration of internal capabilities and
resource available to sales department of firm (Peter and Donnelly, 2011).
Analyse market- This involves analysis of micro and macro surrounding of venture by
Pestle analysis and other models to develop a market research. This will helps in evaluating
effectiveness of various alternatives available to the marketing in order to increase sales of firm.
Targeting audiences- Segmentation and targeting involves grouping of various
customers according to their choices, preferences, age groups and interests. This helps in
positioning the brand product according to wants of consumers in market to develop competitive
advantage.
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Define market goals- This involves defining various goals that are to be achieved
through development of marketing plan, objectives for organisation can be like achieving cost
leadership, gaining competitive advantage or increasing sales for venture in many folds.
Develop marketing communication plan- This involves various strategies if developing
marketing mix pan in order to communicate policies of firm to attract large numbers of client
towards company product and services (Purvis, 2016).
Decide marketing budget- This is major aspect of any of planning carried put by
businesses. This involves allocation of available funds in various activities according to need and
priorities of marketing plan. This decides budget for marketing and promotional campaign and
events.
Develop strategies and implement strategy- Development of strategies involves selection
of appropriate alternatives and following this in practice to achieve goals of marketing plan
efficiently.
Monitor and control performance- This includes various activities that measures
deviation in process and define various corrective measures to execute plan effectively resulting
in enhancing sales figures for company growth (Pike, 2015).
M4 Evidence based coherent marketing plan.
Coherent marketing plan for PRIMARK should include various strategies in order to
expand its business globally (Spillan, 2010). This is evidenced that company is not following
online marketing and social media in their promotional tools. This should utilises various social
networking site in order to increase sales of firm. The organisation should be coherent with the
changing needs ion the commercial environment. This largely contribute in increasing the
profitability of the firm through working in coherent with the new needs and desires of the
customers and developing change sin the business plan. This helps in effective promotion of
various competitive element of marketing mix of Primark to increase the sales of company in
many folds.
CONCLUSION
This can be concluded from above report, that the companies are involved in increasing
their sales continuously. This can be achieved by analysing new market trends and performing
marketing functions effectively. Marketing department of PRIMARK is work in correlation with
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other department of venture like operations, HR and financial management in order to allocated
available resources effectively to increase probability of firm. From above discussion it can be
understood easily that marketing strategic planing plays important roles in effectiveness of
company and helps in increasing sales in many folds.
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