Marketing Strategies: Sainsbury and Tesco Analysis Report

This report provides an in-depth analysis of marketing strategies employed by Sainsbury and Tesco, two leading retail companies in the United Kingdom. It begins with an introduction to marketing techniques, including diversification, product development, market development, market penetration, and branding. The report then discusses the limitations and constraints of marketing, such as regulations and consumer protection. A significant portion of the report is dedicated to marketing research, detailing primary and secondary research methods, and their contribution to marketing planning. Furthermore, it examines how both companies target specific customer groups based on product categories like groceries, baby products, and apparel. The report also includes SWOT analysis to evaluate the strengths, weaknesses, opportunities, and threats of Tesco's marketing plan.

Introduction to
Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Marketing techniques are used to market products in two organisations.........................1
P2 Limitations and constraints of marketing.........................................................................2
TASK 2............................................................................................................................................3
P 3 Marketing research to contribute to the development of its marketing plans..................3
P4 Marketing research for marketing planning......................................................................4
TASK 3............................................................................................................................................5
P 5 Groups of customers are targeted by compnay................................................................5
P 6 A coherent marketing mix for a new product or service.................................................6
CONCLUSION ...............................................................................................................................7
REFERENCES ...............................................................................................................................8
.........................................................................................................................................................8

INTRODUCTION
As marketing is one of most aspects of business organisation like Sainsbury, company
must use some effective techniques and tools for it (Anda and Temmen, 2014).In following
report, it will be discussed that how marketing techniques are used to market products in firms
like Sainsbury and Tesco. Both are retail firms on leading position of United Kingdom. Along
with many benefits of marketing, there are few limitations and constraints of marketing. There
are many types of marketing research as qualitative and quantitative to contribute to the
development of its marketing plans of company. To achieve organisational goals, firm targets
groups of customers for specific products.
TASK 1
P1 Marketing techniques are used to market products in two organisations
Marketing techniques contributes in promoting products. Sainsbury is an extremely
surely understood organization of retailing in United Kingdom and is having the position of
second biggest chain stores in the country. Though Tesco is third biggest store as measured by
benefit, it is extremely famous association all around the globe its prevalence is high and
furthermore it has an effective development rate in the focused market. Following are strategies
of advertising that is been utilized by these two organizations to survive and develop and
furthermore to make mindfulness in Market about their items and administrations. Thus
marketing techniques are important for firm.
Sainsbury Marketing methods (Growth system)
 Diversification:- It is a phase of Ansoff framework which is most hazardous and the odds
of development are likewise high here. The organization is broadening in Market by
presenting more items in its retail location next to what as of now it is been giving to
open of society. It has helped firm to catch more offers in market and extension of its
business made it known to all in new market range (Bhattacharya, 2010). Broadening
strategies encourages Sainsbury to create it items and administrations in more different
and extended way, which has aided manage and to develop viably.
 Product development- Product improvement is the technique which encourages
organization to much of the time develop in advertise. Sainsbury is continually
attempting to present new items in the economy as to pull in clients and to hold them for
1

drawn out stretch of time. This will develop benefit rates of organization and will ready
to fulfil clients by satisfying needs and needs of them.
 Market advancement – It is a path by which organization will be giving its items in new
market, those ranges which it has not yet tapped and served are targetted by it.
Development of its business in new territory are finished by organization, which will help
in achieving its targets and also it will help with catching more prospects of market
(Hallahan, Kauffman and Pullen, 2011).
 Market penetration- This technique concentrates more on offering of items in advertise
which it is been putting forth till now and furthermore in a similar market. Its significant
target is to expand its customers and to ensure its reliable development.
Tesco's advertising procedures
 Branding- It is a strategy through which an organization can have the capacity to make a
picture of it in the psyche of clients. Organization is doing marking of its items and
administrations to its objective clients so they can have the capacity to manage in Market
with help of its unwavering clients.
 Brand expansion- It is a technique that organization is utilizing to present another item
and administration with help of its current administrations in advertise. The brand name
are utilized by it with its new items. Its current things has just made a benchmark in
advertise which is helping the firm to dispatch new items.
 Relationship- showcasing It is an imperative perspective as it helps in keeping up long
haul association with the clients of society. A few devices and strategies are utilized to
complete this action.
P2 Limitations and constraints of marketing
Marketing has some limitation or weakness related to compnay. As showcasing is a vital
parts of business, it is extremely essential for association to see every last idea of it. Each
component has its upsides and downsides promoting likewise have, for example,
1. Offer of merchandise act-It is a basic viewpoint which must be considered by the organization
as in light of the fact that this demonstration depicts that promoting which are finished by it must
benefit clear data of items and administrations of an association (Malhotra, 2012). For instance a
cleanser is promoted as it will eliminate germs 100% then unquestionably it must be doing that
unless it ought not be spoken to in wrong way.
2

2. Buyers security from out of line exchanging 2008-This demonstrations are made to ensure
customers rights as in light of the fact that there are many organizations which speak to an
alternate parts of items and administrations and its really perform altogether different to what it
has been appeared. Hence this demonstration help clients to defend their privilege being a
shoppers, they can likewise gripe in court if unreasonable exchange has been finished with them
at any minute (McKenzie-Mohr, 2013).
3. Purchaser credit act-This demonstration is embroiled upon every one of the organizations and
clients who are doing their exchanges on lay away premise that implies, items and
administrations are benefited on loans(Financial help to those clients who need). For instance
bank and money related establishments these profit their administrations to clients in credit
premise.
4. Satisfactory dialect This perspective additionally must be viewed as the most as on the
grounds that this help with knowing right method of dialect that must be picked by organization
to pass on message and data that are identified with items and administrations of it. Thus along
with some positive impact, marketing has some constraints also.
TASK 2
P 3 Marketing research to contribute to the development of its marketing plans
Company conducts some mart research on basis of primary ans secondary data. Tesco
utilizes each and every viewpoint to comprehend current state of market. The diverse techniques
for advertising research has been done by organization with the goal that requirements and needs
can have the capacity to see legitimately and to know correct necessities of open most fitting
devices must be utilized by it.
Primary research
Essential research are those technique through which an association' analysts get
straightforwardly into the market and cooperate with clients to gather significant informations
and information that will help organization to support in Market. Quantitative and subjective
strategies are included where subjective includes open finished surveys, perception techniques,
meeting and centre gathering. While in quantitative strategies analysts are more engaged upon
numericals and measurable angles, it includes polls and overviews (Mentzer and Gundlach,
3

2010). This sources will help realizing what really clients need and with this organization can
have the capacity to benefit them what they need and this will fulfil each clients of the
organization.
Secondary research
This is a strategies for social event data where organizations gather information which
has been now get gathered by some different specialists like, books, diaries, magazines and so
forth it has interior and outer sources, inside are those informations that can be accomplished
inside the organization like retail information, stock investigation and monetary records. Though
in outer sources incorporates business information, government details and so on (Molesworth,
Scullion and Nixon, 2010).
This approach will help in creating plans identified with promoting and will lead in
finding out about industry and market of a few spots where organization needs to manage its
items and administrations. Thus market research plays a vital role in marketing.
P4 Marketing research for marketing planning
For marketing planning, a detailed analysis of company must be done. The promoting use
for advertising making arrangements for Tesco organization, with the assistance of showcasing
plan by SWOT it can be broke down that how organization will have the capacity to actualize
and utilize adequately every one of the informations that are accumulated by showcasing
research.
Strength
As statistical surveying has been done it is plainly comprehended that Tesco has substantial
number of clients in Market it is its USP that administrations that it gives to them are
exceptionally special and distinctive. It has its driving position in UK advertise this get known
by investigate that get led by organization. Its online operations are successfully done and
clients are additionally extremely happy with this. With assembled data organization can have
the capacity to perform all the more proficiently
Weaknesses
With help of research inside it come to realize that budgetary administration of organization is
very terrible legitimate administration is required in regards to money related perspectives.
Brand picture has additionally been ruined because of embarrassment that gotten in broad
4

daylight (Palmer, 2012). Gathered information can be utilized to legitimately design upon more
endeavours that organization can put to manage in Market and to develop in a compelling way.
Opportunity
Research has helped organization to know number of chance that it can benefit from Market as
it can have the capacity to grow its business in worldwide market. It likewise come to realize
that it can build its range in non retail segments as well.
Threat
The most unsafe factor that organization may confront and is confronting is vacillation of cash
in Market. Issues that can happen are moral issues that must be settled by organization to
support in Market unless it can be a greatest test and issue for the organization. Thus SWOT
analysis is an important part of company.
TASK 3
P 5 Groups of customers are targeted by company
To make a specific product, company has to select potential customers. Clients are
targetted by organization on the premise of the items and administrations that they will be
putting forth to them. It is a basic component as in light of the fact that it will help in drawing in
those clients who are really utilizing them. There are distinctive modes through which
organization can focuses on its clients frame Market.
 Grocery- It is the item that are most utilized at each home henceforth home creators of
society are targetted. On the premise of psycho realistic strategy and land division
technique clients of society are targetted most (Papasolomou and Melanthiou, 2012). Its
is on the grounds that tastes and inclinations changes as patterns of market get vary,
consequently it is exceptionally fundamental for organization to know their necessities
and needs with respect to the items that will be offered to them. Both Tesco and
Sainsbury are managing in same classification of industry as retail they both will be
concerning more upon taste and selections of clients of this fragmented market.
 Child items- These items are not utilized as a part of incessant way it is utilized by
mother for their new conceived kids. Subsequently clients are targetted on the premise of
statistic division technique. This is on the grounds that it lies upon age factors as infant
items are just utilized by little youngster. It is vital for the firm both Sainsbury and Tesco
5

to comprehend all's identity needing it with the goal that the clients can be targetted as
per that.
 Attire- It is the segment which is been targetted by both refered to organizations on
statistic geographic and psycho-realistic premise as on the grounds that administrations of
organizations are profited in numerous spots as indicated by that topographical divisions
is to be viewed as most, their tastes and inclinations likewise get changes much of the
time as indicated by that clients can be targetted. Thus target market helps in gaining
maximum customer satisfaction.
P 6 A coherent marketing mix for a new product or service
A marketing mix is one of crucial tool of Tesco. Advertising blend are the apparatuses
through which organization can have the capacity to control a few factors that can impact
operations and elements of it (Peter and Donnelly, 2011). For example,
 Products- It is exceptionally fundamental for an association to deliver those items and
administrations that are in pattern and clients need it. On the off chance that organization
produces items which are not in Market require then there are chances where it can
confront difficulties and dangers to manage in the market. Centre esteem and
administrations must be profited in items that is been produced and advertised.
 Price- Price set for items must be exceptionally compelling, appealing and aggressive as
to rival different organizations of market (Anda and Temmen 2014). Items has worth
when shoppers will pay that sum which is set by firm for a result of administrations.
 Place- The most imperative perspective is that organization must have the capacity to
benefit its administrations and item to its objective clients, thus it is extremely important
for it to find its store at reach of its clients.
 Promotion- As items and administrations are recently created it turn out to be
exceptionally important to pass on related data to people in general so they can get
mindfulness about new things of the firm.
 People- All the individuals who are included in exchange with the firm is said to be as
individuals. Labour of the organization are agents of it they are the person who has
coordinate associations with clients, they most think about customers decisions and
inclinations, henceforth while delivering another item and administrations their feeling
are extremely should to be considered by the organization.
6

 Process- The strategies and steps required in giving administrations and items to a
definitive clients and to make them fulfilled is an intense undertaking to be performed by
the organization (Bhattacharya, 2010). In this way it is extremely fundamental to select
the right strategy to accomplish the consumer loyalty's.
 Physical confirmation- As administrations as to be given any physical component or
unmistakable nearness is not there thus the encounters and process through which a
clients has experienced are to be considered in this perspectives.Thus marketing mix
plays vital role in accomplishing goals of company.
CONCLUSION
From the above report it can be concluded that marketing is an essential part of business
organisation like Tesco and Sainsbury. It helps in promoting product and services of firm so that
it can attract maximum number of customers in long term. To prepare a marketing plan, the
mentioned business organisation conducts time to time market research to estimate current
demand of product and provide customise goods to public.
7

REFERENCES
Books and Journals
Anda, M. and Temmen, J., 2014. Smart metering for residential energy efficiency: The use of
community based social marketing for behavioural change and smart grid introduction.
Renewable Energy. 67. pp.119-127.
Bhattacharya, C.B. ed., 2010. Introduction to the special section on stakeholder marketing.
Journal of Public Policy & Marketing. 29(1). pp.1-3.
Hallahan, D.P., Kauffman, J.M. and Pullen, P.C., 2011. Exceptional learners: An introduction to
special education. Pearson Higher Ed.
Malhotra, N.K., 2012. Basic marketing research: Integration of social media. Boston: Pearson.
McKenzie-Mohr, D., 2013. Fostering sustainable behavior: An introduction to community-based
social marketing. New society publishers.
Mentzer, J.T. and Gundlach, G., 2010. Exploring the relationship between marketing and supply
chain management: introduction to the special issue. Journal of the Academy of
Marketing Science. 38(1). pp.1-4.
Molesworth, M., Scullion, R. and Nixon, E. eds., 2010. The marketisation of higher education.
Routledge.
Palmer, A., 2012. Introduction to marketing: theory and practice. Oxford University Press.
Papasolomou, I. and Melanthiou, Y., 2012. Social media: Marketing public relations’ new best
friend. Journal of Promotion Management. 18(3). pp.319-328.
Peter, J.P. and Donnelly, J.H., 2011. Marketing management: knowledge and skills: text,
analysis, cases, plans. Plano: Business pub., INC.
Online
Tesco SWOT Analysis. 2016. [Online]. Available through:
<http://research-methodology.net/tesco-swot-analysis/>. [Accessed on 17 July 2017].
8