Principles of Marketing: Primark's Promotional Mix Analysis Report

This report provides an in-depth analysis of Primark's marketing strategies, focusing on its promotional mix and customer relationship management. It begins with an introduction to Primark, a fast-fashion retailer, and its background, highlighting its business model and market position. Task 1 delves into Primark's promotional mix, examining advertising, public relations, sales promotion, personal selling, direct marketing, internet marketing, sponsorship, and in-store promotions like layout, services, special offers, new launches, and staff interactions. The report then explores Porter's generic strategies, specifically cost leadership, and customer relationship management (CRM) approaches employed by Primark. Additionally, the report discusses STP (Segmentation, Targeting, and Positioning) strategies, including Primark's target demographic and market positioning. It also covers digital promotion techniques, such as Primark's website and social media presence. Task 2 focuses on marketing theories relevant to Primark's operations. The report concludes by summarizing key findings and offering insights into Primark's marketing effectiveness.

Principles and practices of
marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Background of Primark...............................................................................................................1
Promotional Mix and Activity of Company................................................................................2
TASK 2..........................................................................................................................................11
Marketing Theories...................................................................................................................11
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Marketing is explained as management and study of exchange the relationships. This is
business process of developing the relationship with and also satisfying customers by value
exchange. It is process that includes investigating, advertising, selling and also distributing
services and products (al Habibi, 2019). Primark is fast fashion retailer in Dublin as it is
subsidiary of the food processing and the retail firm Associated British Foods. In present report
will be discuss about promotional mix policies which are undertaken through an organisation.
TASK 1
Background of Primark
Primark is leading retailer that specializing in sale of accessories, footwear and clothing.
This firm was began in Dublin, Ireland in year 1969 through Weston family. Primary company is
mainly owned through British food processing firm Associated British Foods (ABF). It is unique
and brilliant company with mission top enrich everyone life with the fashionable clothing
regardless of the social status. This is an emerged main force that contributing by its high quality
fashion goods and minimum cost value for each one in the society as whole. Success of this
company depends on supplying cheaply, they purchase directly from the factories without
involvement of agents that making the clothes with better fabrics and designs. Primark has stores
in almost 370 stores across 13 countries and around 78000 employees are working (Arriaga,
Domingo and Silvente, 2017). It is minimum prices retailer that carrying wide range of selection
of products consisting men and women clothings, home ware, accessories etc. This has stood
between rivals through consistently providing the minimum cost goods. In year 2019, revenue of
Primark was £7.79 billion (Boateng, 2014). After the success, it expanded business in other
countries. In US, Primark is making steady and slow expansion. This company has opened the
nine stores since 2015 and has the plan to be open more. The expansion of this company is times
to take the explosion in the value oriented stores in US. While the stores have suffered and off
cost have the experience of boom that enable them to develop and add some other location across
country.
Promotion is an effort through marketers to inform people in target market regarding
goods and also persuade them to be participate in exchange. Promotional mix is an integration of
personal selling, public relations, direct marketing and advertising. Marketers require to view

questions to have the balanced blend of all the promotional tools. This is believed that there is
best way of allocation of budgets for various components within promotional mix to attain the
better marketing outcomes and challenge for the marketers to search correct mix for them.
Primark can maintain or enhance market share of its current goods through combination of the
competitive pricing strategies, sales, promotion, advertising etc. This company should use the
internal promotional strategy through introducing the loyalty scheme as well as enhance use
through existing consumers (Chakravarty, 2014). Primark company relies on the word of mouth
marketing. Its reason could be the lack of digital marketers, skilled employees and budget
constraints. Other than this, Primark company has an extensive portfolio and this can secure the
growth market dominance and also drive out the rivals through aggressive the promotional
campaign. It conducts many marketing campaigns such as Kingsmill’s partnership with reality
show Britain’s Got Talent, Twinings’s “Art of Tea” ads etc. Primark has continued to see the
strong development in sales. In clothing chain, total sales rose at 15% in 16 weeks. Sugar
business of Primark did well maximising 44% and its agriculture division enhanced 6% (da
Costa, Bairrada and Oliveira, 2017). According to the experts, brands are turning to the
marketing messages which promote links to the British farming as an extension of sustainability
strategies.
Promotional Mix and Activity of Company
The promotional mix is combination of the promotional tools which company uses. There
are some elements of promotional mix which Primark use given below:
Advertising- Advertising is marketing tactic that considering paying for the space to
promote service, cause and product. Its goal is to reach at large number of people which willinhg
to pay for services and products of company. Primark is international retailer that gives the high
quality beauty, home ware and fashion at best value on high street. This company run its
business differently. It do less advertising not the nigh television ads (Duff, 2017).
Public Relations- It is practice of managing information spread among a person or
company. Primark company has to be demonstrate most extensive public consultation means it is
challenge for firm that prefers to neglect media spotlight. This company give the PR support for
launch of new store. Other says good about the company as it provides its products on less cost.

Sales Promotion- This is procedure of persuading potential consumers to purchase about
goods. Primark company use the loyalty scheme as sales promotion so that its customers can be
sustain (Dach and Allmendinger, 2014).
Personal Selling- It occurs when sales representative meets with potential consumers for
transacting sale. In this, employees are Primark used to promote the company by providing the
discount card to customers.
Direct Marketing- This is concerned with selling goods directly to customers in non-
retail environment. For the direct marketing, Primark use newsletters.
Internet Marketing- It is explained as marketing and adverting efforts which use email
and web to drive the sales of business through electronic commerces in context to enhance sales
from email and websites. Primark relies more on social media to be communicate with
consumers and also keep their reputation, firm prefers developing social buzz that spending
money on doing promotions.
Sponsorship- Under this, CSR is related to how organisations manage processes of
business to produce overall positive impact on the society. Primark does not own factories or
firms which produce its products but this dos have responsibility to workers in factories, to
consumers and assure that goods are made in better working situations (Mañas-Viniegra, Veloso
and Cuesta, 2019).
Inside stores
It is a method of creating the product promotion inside the store when consumers are
coming for buying purpose of services and products. In this, personal relationship is helpful in
creating awareness among loyal customers. There are different tools used inside stores for
promotion of services and products given below:
Layout- This is way the items are set in store. Proper structure tends to affect consumer
purchases of goods. The Primark company has atmosphere with video walls, exposed brickwork
vibrancy, and dynamic window displays. Merchandising seems sloppy in context to way goods
are displayed (Oliveira, 2014).

(Source: Primark Layout)
Services- Primark gives the different services inside stores to consumers for an instance
better environment, good employee behaviour, sitting facilities etc. It is greater promotion way
and provide the positive experience to consumers (Oliveira, 2017).
(Source: Primary services)
Special offers- Primark uses this kind of promotional tool as it gives the special offering
during any occasion such as Christmas. It helps in attracting consumers and enhancing sales of
company.
Illustration 1: Layout of Primark
Illustration 2: Primark services

(Source: Special offers of Primark)
New launches- Primark company enters 12th market with launch of the new Slovenia
store. This launch marked the entry of Primark into Central and Eastern Europe (CEE) market. It
also launches first range of the jeans made with the 100% sustainable cotton (Ortega and
Okechukwu, 2017).
Illustration 3: Special offers of Primark

(Source: New launches of Primark)
Staff- Primark staff's actions is very respectful and positive for their customers. It is
necessary instrument in any company. Effective staff can easily make the purchase of goods and
services convenient and encourage people. They treat each individual in a good way so they
become attached to the organization and only come to that place (Perullera Ruiz, 2018).
(Sourtce: Staff of Primark)
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Illustration 4: New launches of Primark
Illustration 5: Staff of Primark

Atmosphere- It is related to internal organizational environment where employees work.
This should be better enough so that employees can work efficiently and effectively (Gordon,
2012). It establishes positive relationships between manager and employee by which they can
better serve their customer.
Porter Generic Strategies
It defines how an organisation pursues competitive benefit across its selected market
scope. There are two different Porter's strategies such as differentiation and cost. Among both,
Primark use the cost leadership strategy by using slogan i.e. “look good pay less”. In this
strategy, company proposes minimum cost to stipulate, attract customers and enhance market
share (Cook, 2018).
Customer Relationship Management (CRM)
It is a method used to control the relationship between a business and future and existing
customers. It needs to use the data analysis on the past of an organization's customers to improve
relations with its buyers and concentrate on maintaining their interest and rising sales growth.
Primark develops strong relationship with consumers by providing them high quality goods in
less cost. Its main focus on searching way to attract consumers to enhance market share of
company (van der Pijl, 2019).
STP (Segmentation Targeting and Positioning)
Segmentation, Targeting and Positioning (STP) is familiar approach in the modern
marketing. It is useful when the developing the marketing communication plan as this assist the
marketers to prioritise the propositions and develop relevant messages for engage with various
audiences. Segment of Primark is youth ages of 16-30 years. It targeted the people which are
fashion conscious. In context to position, Primark latest fashion at the reasonable cost.
Position in Market
Primark company has the better strength and the high market share. This has better
financial strengths and high profit level but there is an issue of low standard of the technology
position. This company is on the track to be overtake Next as second biggest clothing retailer in
UK after the strong sales. Aviator jackets, minimum costs, new make-up messages and clothing
of children helped the Primark outperform rivals.
Away from Store
7

Promotion tool is helpful in attract the consumers towards the products and services of
company, make them loyal and also gain the competitive benefit. Primark company mainly use
the internal promotional strategy by introducing the loyalty schemes and also enhances usage by
its existing consumers. Primark company has an extensive portfolio and this can secure the
market growth of company and drive through competitors by the aggressive promotional
campaign. Primark company uses the banners to inform the people about its new services and
also opening of new stores (Bui, 2018).
(Source: Advertising campaign)
Digital Promotion Techniques
It is component of the marketing that use online and Internet based digital technologies
such as mobile phones, social media etc. to promote about services and products. Strategy of
Primark is to engaging via digital while selling by stores which helps to enhanced sales and the
profit level. Digital is an intrinsic part of strategy and also retailer operated non- transactional
website that show about the ranges of clothing while pointing the consumers towards nearest
stores. Primark attract consumers through launching the aggressive and attractive marketing
campaign on the digital social networks. There are different digital promotional mix given
below:
Primark website- It is one of the effective way that company that can keep in touch with
the consumers. On its website, Primark company display the latest news and about arriving of
new products. From this, customers will be aware or inform about firm (Kasemsap, 2019).
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Illustration 6: Advertising campaign of Primark

(Source: Website of Primark)
Social media- It is one of the effective way to each out to consumers at global level. This
company uses the Instagram, Facebook and Twitter. On these sites, Primark uses to post its
different videos and pictures to provide the fashion advise to consumers and in what way they
can match with their outfits (Freij and Gartnell, 2014). The people also give their review on
Facebook and Instagram and the comments of people develop positive or negative impact on the
other people.
(Source: Primark on Facebook)
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Illustration 7: Website of Primark
Illustration 8: Primark on Facebook

(Source: Customer's review about Primark
Different Theories Used By Primark
Push and pull strategies- Push marketing is related to trying to promote promote
particular product to audience for search something relevant. It makes use of sales force of an
organisation and the trade promotion activities to develop customer demand regarding product.
This tries to sell the products directly to consumers, bypassing from the other channels of
distribution (Liu, and Huang, 2015). This is Pull strategies are those which company execute to
draw consumers towards goods. In this strategy, its goal is to make customer actively seek goods
and also get the retailers to be stock goods because of direct consumer demand. Both are the
effective strategies which Primark can be used for generating more profit and also enhance
market share with satisfying customer's requirement.
Above / below the line- Above the Line advertising includes of the advertising activities
which are non- targeted and also have the broader reach. ATL communication is mainly for
develop brand and also inform consumers regarding goods. In this, marketers encourage the
consumers to be visit stores and seek goods. These kinds of strategies help Primark company top
reach at large audience and also develop the visibility of brand. This company conduct the
adversing campaigns that directed at international level (Cuadrado, Guerra and de Lara, 2014).
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Illustration 9: Customer's review about Primark