Marketing Essentials Report: River Island and Arcadia Group Analysis

This report provides a detailed analysis of River Island's marketing strategies, functions, and their interrelationship with other organizational units. It begins with an introduction to the core concepts of marketing and its significance, followed by an examination of the key roles and responsibilities of marketing functions within the broader organizational context and the marketing environment. The report then compares River Island with the Arcadia Group, applying the marketing mix (7Ps) to evaluate their approaches and tactics. Furthermore, it includes a discussion of a basic marketing plan and a strategic marketing plan, incorporating the 7Ps of the marketing mix. The report concludes by evaluating the elements of the marketing function using the SOSTAC model, offering insights into how River Island can optimize its marketing efforts and achieve its business objectives.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
a) Key role and responsibilities of marketing functions relate to wider organisational context.1
b) Key roles and responsibilities of marketing in the context of marketing environment.....2
c) The significance of interrelationship between marketing and other functional units of an
organisation............................................................................................................................3
d) Critically analyse and evaluate the key elements of marketing function and how they are
interrelated with other functional units of River Island. ........................................................4
TASK 2............................................................................................................................................5
1) Comparison between River island and Arcadia Group applying marketing mix..............5
2) Different tactics applied by River Island to achieve the business objectives....................7
TASK 3............................................................................................................................................8
1) Basic Marketing Plan.........................................................................................................8
2) Coherent Marketing Plan of Arcadia Group . ...................................................................8
3. Strategic marketing plan which includes 7P's of marketing mix.....................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
The heart of the success of company lies in its marketing. Marketing is the most essential
functions to any business. It is a key process of researching, promoting as well as selling goods
and services to the target market. No business can survive for long time without the functions of
marketing (Pike, 2015). Entire activities of business is depended on a successful marketing. In
this present report, River Island company will be chosen for assessment. It is a clothing company
especially for women's. Its headquarters are located in London, England, United Kingdom. There
are about 300 stores in United Kingdom. The present report will cover the key responsibilities
and roles of the marketing functions as well as its relation to wider context of organisation.
Further this report also include 7P's of marketing mix in order to achieve organisational
objectives.
TASK 1
a) Key role and responsibilities of marketing functions relate to wider organisational context
Marketing is the process of market research, planning, promotion and executing all the
activities which will allow firm to increase there customer base. Marketing is very important
functions of all the company as well as for River Island too. It is very helpful in exchange,
transfer as well as movement of goods and services. It is the key procedure of researching,
promoting, advertising and selling goods or services to the target market. The main motives of
River Island is to earn high profit and profit is largely depended sales and sales is totally
depended on the level of marketing. With the help of marketing, company can inform, attract as
well as convince audience that goods and services are of value to them. It is true that none one of
the business or company can survive in the market for long time if they ignore the functions of
marketing (Stanford, 2017). With the help of marketing the goods and services are bought to the
place of consumption and satisfied the needs of customers.
The function of marketing that River Island is following are buying, selling, transporting,
storing, risk taking, financing and communication standardization & grading, These are all the
roles and responsibilities of marketing function that are related to the organisation context as
well as overall growth of company is depended on the marketing function. Here are the duties
and responsibilities of marketing department of River Island which are as follows-
Buying and Assembling- This is one of the most important function of marketing as it is
the responsibility of manager to decide what to buy, in what quantity, how much and from who
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to buy, when and what is the price (Pike, 2015). The marketing department of River Island first
plan to assemble all the raw materials and resources required for the product. This function is
directly related with the production department of company as marketing manager provide all the
information about the product and after that production department starts functioning.
Selling- This the key of marketing. It is concerned with the potential buyers to actually
accomplish the buying of the product. Transfer of ownership from seller to buyer is involves in
selling function. It is the responsibility of marketing department to increase the sales by making
efforts in marketing of product as achievement of aim and profit earning of River Island is
entirely depended on selling of the product (Babin and Zikmund, 2015). River Island use variety
of selling techniques which is conducted by marketing department of organisation.
Transportation- Transportation also is an important function of marketing. It is physical
means by which products are move from one place to another. Marketing helps company where
goods and services needs for consumption. Place and utility is created by marketing. Without
transportation it is not possible to deliver final goods and services to one place to another. River
Island uses the type of transport that is suitable, speedy and cost consistent (Greenwell, 2017).
Storage- This is also an essential function of marketing where manager of marketing
used to collect information from the customers and provide it to ware-housekeeper that what is to
be sold and what need to be store (Babin and Zikmund, 2015). Goods can be raw material and
finished goods. Thus, marketing help ware-housekeeper about the storage and delivery of goods
when needed.
b) Key roles and responsibilities of marketing in the context of marketing environment.
The department of marketing plays a crucial role in promoting the goods and services as
well as mission and vision of company. Marketing department of company is useful in both
organisational and marketing environment. Here are the duties and responsibilities of marketing
department of River Island -
Defining as well as Managing Brand- This is most important activity of marketing
department that it helps company to define its brand that where they are standing in the market. It
also manages the brand name of company by taking information about the perception of
customers and inform it to production manager and after that marketing manager also take
feedbacks from customer and make them accordingly (Stephens, 2017).
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Conducting market and customer research- This is also one of the most important
function of marketing as it is the duty of marketing manager to define the target market with the
help of research (Byers, 2015). By conducting research, company can grow and develop more by
taking the advantages of opportunities prevailing in the market.
Overseeing the outside agencies and vendors- There are various agencies and vendor
which produce materials of marketing as well as render marketing support so it is the
responsibility of marketing manager to select and manage the outside agencies and vendors in a
systematic way (Wolf, 2014). PR agencies, print vendors, web provider and many other agencies
are there who give support to marketing.
Organising Campaign management for marketing initiative- This is also one of the
most important function of marketing as it help in tracking, planning, executing and analysis of
direct marketing campaign (Malhotra, 2015). With the help of these campaign, company can
deliver its message to target market as well as reach to maximum audience.
Advertisement and Promotional activities-This is also one of the most essential activity
of marketing as to promote and advertise goods and services in the market. River Island used to
promote goods and services to social media which is popular channel for advertisement (Ogden,
2015). They also used to monitor them as according to perceptions of customer.
c) The significance of interrelationship between marketing and other functional units of an
organisation.
Marketing is universal function that is very important for entire organisational
departments. All the other functional units like production, HRM, Sales and Finance are
interrelated with marketing. They all are dependent on marketing. Here are the functional units
of River island and importance of interrelationship are as follows-
Human Resource and Marketing department - Human resource department is one of the
most important functional units of company. Both the departments are interconnected with each
other as marketing manager provide all the information about staff or workforce required to
complete the project or task. Once the information is gathered by marketing manager, HR
manager of company hire or delegate responsibility according to need of completion of project
(Lilly, 2014). Both the departments has to work closely.
Finance and Marketing Department- The department of marketing and finance have to
work closely as their functions, roles and responsibilities are interconnected to each other. It is
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the duty of finance manager to make sure that there should be adequate budget in order to meet
the needs for research, promotion as well as distribution (Gumbley, 2015). The budget that is
provided by finance manager than not only marketing department but all over organisation have
to work according to the given budget.
Production and Marketing Department- The department of marketing and production
have a great relationship. The entire activity of production department is depended on the
marketing activities. The manager of marketing provide information how to produce product as
per the needs of customers (Purvis, 2015). Volume of production is also depended on the
marketing activity. If the marketing function is unknown than there is heavy loss in terms of
production.
d) Critically analyse and evaluate the key elements of marketing function and how they are
interrelated with other functional units of River Island.
The critical analysis and evaluation of elements of marketing functions and there
interrelation with other functional units of River Island can be done with the help of SOSTAC
marketing model. This is the model of marketing which is developed by PR Smith in 1990.It is
fact that there number of approaches and strategies of marketing in order to build a marketing
plan but there are some crucial factors that plan must have (Morimoto, 2017). With the help of
this model River Island can check the plans of company. There are six stages of this model
which are as follows-
Situational Analysis- This is first stage of this model that depict that company should
actuality knows where they are standing (Van Breda, 2016). River island can use the tool like
SWOT analysis, PESTLE analysis in order to track the position of company in the market.
Objectives- This is the next step which defined that explains that what company wants to
achieve in the future (Malhotra, 2015). The objectives of company can be active with the help of
setting the SMART goals.
Strategy- Strategy means how plan to achieve the goals and objectives of company.
There are various strategy of River island that management plan to achieve the desired goals and
objectives of company like acquisition, merger, engagement, team working and many other
strategies are set according to the needs of attaining aim and objectives (RATNAYAKE and
HAPUGODA, 2016).
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Tactics- Tactic covers the particular instruments of the marketing that are utilized in
order to achieve the goals and objectives. KPI is one of the most common tools that River Island
used to check the performance of company in the market. Moreover, affiliate marketing, email
marketing, pay per click etc. are also the tactics of marketing (Anderson and et.al., 2014).
Action- This is the stage where plan is implemented within organisation. After planning
all the strategies, tactics, company decide to put the plan into work.
Control- This is the last stage of this model where the managers of River Island used to
control on the activities in order to achieve the desired gaol like measurement, reviewing,
monitoring, updating etc.
TASK 2
1) Comparison between River island and Arcadia Group applying marketing mix.
7P's of marketing mix is the strategy of marketing tool that evaluate and re-evaluate the
activities of business. There are seven elements of marketing mix. The marketing mix elements
of company's differ from each other. Here are the comparison between River island and Arcadia
Group.
Elements River Island Arcadia group
Product Product means what company
is offering to the customers as
well as it also included all
those features that customer
can enjoy. The product of
River Island is very attractive
as customers are highly
attracted towards the product
of company (Mishra, 2016).
Product of company is able to
satisfy the needs of customers.
Clothing is the main product f
the company.
The product of Arcadia group
is also including all those
features but they are not able
to satisfy the needs of
customers as compared to
River Island.
Price Price is the most important The price strategy followed by
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element of marketing mix. The
price of product of River
Island is not so high as it is
according to the value of
products. The pricing strategy
followed by River Island is
low cost pricing.
Arcadia Group is Premium
price policy as in this type of
policy company places its
prices very high. The product
price of company is very high
as compare to River Island
which attract less customers
(Snuggs and Qualls, 2015).
Promotion Promotion means to make the
customer's ware of the product
of company by using some
channels of promotion. The
promotional activities of River
Island as customers are highly
aware of the product of
company. They usually
promote there products on
social media.
The promotional activities of
Arcadia Group is different
from River Island company s
they have less focus on social
media, as they use banners,
television, radio channels for
advertising (Hair Jr and et.al.,
2015).
Place Place is the important element
of marketing mix as it the
place where product is seen,
produce, sell or distributed.
The products of River Island is
easily available to customers
as they used to sell there
products by online.
Arcadia has many stores in
United kingdom, there
products are also easily
available but as compare to
River Island as their customers
are connected by social media.
People People refers to the employee's
of company who are directly
or indirectly connected. All the
employees of River island are
The people of Arcadia group
are also satisfied but as
compare to River Island is less.
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satisfied with the company.
Process Process means the entire
procedure of delivering the
products to the end users.
River Island has a good
process as they repeatedly
deliver the same standard of
services to customers.
The process of delivering the
product of Arcadia Group is
not good as River Island as
they usually change the quality
products.
Physical Evidence Physical Evidence means each
and every thing that customer
watch when they communicate
with the business (Baker and
Saren, 2016). The physical
evidence of River Island is not
seen by customers as they sell
there products online. But the
packaging and branding of
company is very effective and
efficient.
The physical evidence of
Arcadia Group is very
attractive as compare to River
Island in terms of interior
layouts as there interior are
very beautifully designed.
2) Different tactics applied by River Island to achieve the business objectives.
It is true that each and every companies plan different strategies to achieve the aims and
objectives. There are many tactics that are planned by River Island in order to execute the goals
and objectives of company which are as follows:
Key Performance Indicator- This is most important technique that company used to
follow in order to achieve the aims and objectives of company. With the help of this technique,
company can check its performance as well as the performance of employees regularly. River
Island keep its major focus on regular monitoring of performance of employees so that errors and
mistakes are minimized (Greenwell, 2017).
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Smart selling- This is also one of the most attractive technique that company focuses on
executing aims and objectives of company. It is the responsibility of management to increase the
sales of company. The sales and marketing managers of River island always come-up with new
ideas and strategies in order to sell maximum products in the market (Stern and Porr, 2017).
They used to follow discounts, gifts, vouchers, coupons as well as festival sales which attract
many customers.
Good distribution Network- The distribution network of River Island are very attractive
as it reaches to maximum customers. They maximum use social media to reach maximum
number of customers (Byers, 2015). It is true that, a good effective network so that products can
be reach to maximum customers.
Value Customers- River island has number of strategies which are formulates for valuing
its customers. One of them is to furnish the top-quality of services to customers. All companies
should value its consumers and try to fulfil their wants and expectation so that consumer will
come over again buy the products of the organisation (Costanzo, 2018). The customers of River
Island are local customers as they value there needs and wants.
TASK 3
1) Basic Marketing Plan
Marketing Plan is a broad design or documents that underline an advertising of company
as well as marketing efforts for the coming year. All the activities of company is involved in
executing specific objectives marketing within a period. Companies prepare marketing plan in
order to achieve certain objectives of the market (Brady, 2014). While making a marketing plan,
marketing manager use tools and techniques in order to track the environmental factors that
affect the business and its operations and functions. The key elements of marketing plan are
market research, target market, positioning, competitive analysis, marketing strategy, budget and
metrics.
2) Coherent Marketing Plan of Arcadia Group .
Executive Summary
In this present marketing plan, marketing manager will select Arcadia Group which is a
British multinational company of United Kingdom. It is retailing company popular for Clothing,
accessories and shoes. The owner of company is Taveta Investments and it was founded in
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2002. The manager has planned the objectives of is to increase the sales by 15%. The manager
will conduct analysis of external and internal factors by doing SWOT and PESTLE analysis.
Budget will also prepare by manager (Warner, 2016).
Aim & Objectives
“ To increase the sales of company by 15% within 6 months”
The aim of the company will be achieve by setting the goal with SMART objectives:
Specific- The goal is specific which is the increase the sales of company by 15%.
Measurable- The goal is measurable by evaluating increasing profit.
Achievable: The goal is achievable as company has time.
Reliable: The goal is reliable as it is practical to achieve the target.
Time: There is specified time to achieve the gaol which is 6 months.
Internal and External Analysis
For internal analysis manager has used SWOT analysis too in order to check the present
position of company. Here is SWOT analysis of Arcadia Group-
STRENGTH
 Strategic locations of the stores
 Prices are affordable
 Exclusive, intricate collection
 Recognized globally
 High Quality (Baker and Magnini,
2016).
 Endorsed by celebrities
WEAKNESS
 High price being changes for all the
product's means limited target audience
 Fake imitations
 Brand switching is high
 Imitator not Creator
OPPORTUNITIES
 Online Retailing as well as E-marketing
is gaining huge amount of significance.
 High demand of luxury goods is
increasing
 Innovative and stylish designed
products.
THREAT
 Economic recession as well as
downturn influenced on purchasing
power of individuals.
 Other cheaper as well as lower brands.
 High level of competition in fashion
industry (Malhorta, 2015).
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 Locations are attractive.  Labour cost is increasing Europe.
 Ever changing fashions.
PESTLE Analysis is to track the factors that are which are influencing business of Arcadia
Group.
Political
 Ending of import quotas on textiles.
 Environmental law's exploration.
 Heavy taxes and duties.
 Subsidies (Design and Studio, 2016).
Economical
 Economic crises.
 Price of cotton is increased.
 Inflation.
 Consumer confidence is low.
Social
 Modern lifestyle support demand for
fast fashion.
 New market segments is created with
the awareness of environment.
Technological
 Internet marketing
 New channels of distribution
 Advertise through social media.
Environment
 A very strong impact on cotton crop
(Rancati, Gordini and Capatina, 2016).
 Growing attention to environmental
protection.
Legal
 Labour standards are improved in
emerging countries which reduces the
cost advantages (Mustonen, 2017).
Segmentation, Targeting and Positioning (STP)
Segmenting- It refers to subdivision of market or population into segments with defined
same characteristics. Demographic and psycho-graphic segmentation are used by Arcadia group
in order to reach there customers (Kerr, 2015).
Targeting- It refers to selection of potential customers to whom business wishes to sell
products or services. The main target of Arcadia group is of trendy as well as fashionable
consumers. They also target younger people (Morgan, 2016).
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Positioning- It refers to occupying a distinct position, relative to competing brands in the
mind of consumers. Arcadia Group is looking to furnish high quality, fashionable, of clothing at
the best price (Salem, 2014).
Budget
Particulars Amount
Raw Material $100
Salary to Staff $200
Resources $250
Market Research $170
Total $720
3. Strategic marketing plan which includes 7P's of marketing mix.
Marketing mix is a tool that is used by marketers or company that help to determine a
product or brand offering. Here are the 7P's of River Island which are as follows:
Product: It refers to product that should able to satisfied the needs and demands of
consumers. River Island is dealing in clothes, shoes and accessories are very beautiful and people
are highly attracted towards the product of company (Nedbalova, 2015).
Place- This also one of the most important element of marketing mix as it refers to the
place or location of company where products are easily available. River Island have its platform
of dealing is on online through social media (Hugos, 2018). Selling on online platform is one of
the best way to each the maximum customers.
Price- It refers to value of product for money. This is the most Price is the most important
element of marketing mix. The price of product of River Island is not so high as it is according to
the value of products. The pricing strategy followed by River Island is low cost pricing (7P's of
marketing Mix, 2017). With the help of low pricing policy company can captured large number
of market share.
Promotion- Promotion is the heart of selling. It is fact that, product cannot be sold
without its promotion. Promotion is the activity which makes the customers aware of the
product. River Island used to promote there products through social media (Siahpush and et.al.,
11

2016). They are also taking help of pasting banners, personal selling which is the best way to
make the customers aware.
People- This refers to the people or stakeholders that are attached with the company. The
employees of River Island are satisfied with the operations and function of company. It is
important for the success of company to have the right people within organisation.
Process- It means the whole procedure of delivering the products to the end users. River
Island has a groovy process as they repeatedly deliver the same standard of services to customers
as well as they increase the efficiency by saving time and money. They deliver there product
through online channels (Rogerson, 2014).
Physical Evidence- It means each and every thing that customer see when they interact
with the business. The physical evidence of River Island is not seen by customers as they sell
there products online (Wilson, 2014). More over, the packaging, branding and labelling of
products is very effective and efficient.
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Illustration 1: 7P's of Marketing Mix
(Source: 7P's of marketing Mix, 2017)

CONCLUSION
The above report concluded that marketing is the most essential functions to any
business. It is a key process of researching, promoting as well as selling goods and services to
the target market. This report also included the key roles and responsibilities of marketing
function in context or organisation as well as to environment. Significance of interrelationship
between marketing and other functional units of an organisation was also summarised in this
assignment. Further, this assignment also make understood the effectiveness of marketing plan
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