CW1 Inquiry Project: Sainsbury's Retail Industry Analysis and Trends

This report, part of a CW1 Inquiry Project, provides a comprehensive analysis of Sainsbury within the dynamic UK retail industry. It begins with an overview of current trends, including updating business models, social selling, sustainable retailing, customer loyalty programs, and omni-channel strategies. The report then delves into Sainsbury's structure, marketing, sales strategies, and a detailed SWOT analysis. Finally, the report offers recommendations for Sainsbury's future growth, emphasizing the importance of setting a target market and fostering innovation to maintain a competitive edge. The report underscores the significance of adapting to evolving consumer behaviors and market dynamics to ensure long-term success in the retail sector.

CW1 Inquiry Project

TABLE OF CONTENT
INTRODUCTION...............................................................................................................3
MAIN BODY.......................................................................................................................3
Current trends within retail industry...............................................................................3
Analysis of Sainsbury.....................................................................................................4
Recommendations.........................................................................................................6
CONCLUSION...................................................................................................................7
REFERENCES..................................................................................................................1

INTRODUCTION
Inquiry projects are very creative and meaningful which provides the appropriate
knowledge and education to the students and helps them to perform accordingly. These
projects describe the educational functions which are driven by the student's questions
as compared to the lessons of the teachers. Sainsbury is the second largest chain of
supermarket store in the United Kingdom who basically retail the grocery items. In this
current assessment, it will illustrate the brief overview of the firm where it will highlight
the current trends in the retail industry (Kembro and Norrman, 2019). Along with this, it
will analyse the organization structure and functions in detailed manner and provide
appropriate recommendations for the further growth and development of the
supermarket business.
MAIN BODY
Current trends within retail industry
Retail industry is developing and growing in rapid manner and increasing the
economies of the countries as well. In UK, the retail industry is one the most important
and fast growing businesses who need to understand the current trends within the retail
to stay ahead in this competitive marketplace. After the recent pandemic Covid19, it has
become essential for the retailers to evaluate the recent trends within the industry and
can run their business accordingly. The topmost trends which has been seen within this
industry of the UK are described below:
Updating business models: To run any company at successful level, they are required
to update their business models from where they can easily drive their business and
can grow and develop their firm accordingly (Życzyński, Gazda and et.al., 2019).
Company faces many challenges where after the pandemic, it becomes essential for
the Sainsbury to understand and update their business models from which they can
deal with the challenges in definite manner. Sainsbury has to take the strategic changes
within the firm which can help them to deal with the issues faced by them though
making the investment in IT field, employee satisfaction and specialization.
Social selling: Today, the technology has developed in rapid manner which can help
and support the organizations to drive their business enterprise at successful manner.
Each individual is active on social media platform and addicted to use the mobile phone

and social media which can help the company to promote their business in definite
order. Marketing is one of the major thing which a business enterprise should
understand and consider from where they can create an awareness among the society
and people about the brand and firm accordingly. Sainsbury has required to recruit a
social media management team from where they can easily sell their products and
services though the social media platform and can earn the productivity in definite order
(Marrucci, Marchi and et.al., 2020). It has been identified the studies also that there are
many companies how uses the social media for their branding and selling of the items
where they get the best and profitable results.
Sustainable retailing process: Performing a sustainability at the workplace is the most
important factor be considered at the companies from where retail industry can grow
and develop accordingly. It becomes important for the retail businesses to practise the
sustainability at the firm as it will lead them to satisfy the customers in definite order and
can obtain the higher productivity level. Sainsbury has to focus on R's which refers as
reduce, reuse and recycle from where the appropriate outcome can be achieved. This
process is highly affecting the customer purchase decision and can drive the
productivity of the Sainsbury at effective level.
Increase loyalty parameter: Conducting a business is not an easy task and activity
where an individual business firm needs to satisfy the needs and desires of the people
or customers from where they can feel valued and can connect with the business in
definite order (Pantano and Vannucci, 2019). Due to pandemic, it is important for the
Sainsbury to identify the areas of improvement from where they can satisfy the
customer's and can stay loyal with them which will put the great impact over the
organizational performance. Sainsbury focuses on implementing such strategies which
can attract large number of customer's towards their business products and can develop
the loyalty among them and can retain them in definite manner.
Invest in Omni channels: Omni channels is a multichannel approach that sales and
seeks to provide customer's with excellent shopping experience and can boost up their
sales in definite order. By investing in omni-channels it allows retailers to achieve more
availability and drives the sale of the products of the Sainsbury and create traffic on the

sites. However, adopting the omni-channels within the business activities will help to
improve the customer experience and provides more channels for the purchase.
Analysis of Sainsbury
Overview: The second largest chain of the supermarket store in the United Kingdom is
Sainsbury plc. The company was founded in 1869 with the small grocery store at
London where they deliver fresh foods and later expanded into packages groceries
such as tea and sugar. With the time, the company started to grow and developed in
definite manner and now it is a multinational supermarket store operating in different
countries. The vision of the company is to be most trusted retailer where employees can
feel loved to work and shop.
Structure: A systematic process which includes the certain activities which are directed
in order to achieve the set targets and missions and can develop the business at
successful level. To run any organization, it becomes important for an individual to
understand the importance of the internal structure and environment of the workplace
from where the employees of the company can feel positive and can perform their
workings in definite order which will also provide an effective result in relation to satisfy
the customer's as well (Mrasi, Jere and et.al., 2018). The company's internal
environment matters a lot where Sainsbury keep focus over the employees and
customer's and practices the functional and team-based organizational structure at the
workplace from where they can satisfy stakeholders in appropriate manner. Functional
structure simply defines as where the organization categorizes the departments in
different sections from where they can be able to take the effective decision for the
particular department and also for an individual employee and can provide the accurate
satisfaction level. Similarly, the team-based structure also refers a common goal while
performing their own specialized tasks by the several team people. Team-based
working and division of the departments works more effectively than any other within the
Sainsbury as it have number of employees working over there and its not easy to
manage an individual person in appropriate manner and requires the accurate
organizational structure to be performed accordingly.
Marketing and Sales: Sainsbury is a well-known organization who mostly focus on the
marketing and sakes department and can increase their productivity level. To develop

any firm, it is important for the management to implement the appropriate and relevant
strategies which can delivers the profitable results to the business and can improve the
overall performance. However, Sainsbury uses the marketing mix approaches for the
branding of the company from where they can increase the sales by attracting the
customers in effective manner (Okorie, Salonitis and et.al., 2018). Marketing mix
strategy includes the price, place, product and promotion where setting these factors in
definite way will lead the company to acquire the profitable outcome. Sainsbury has
kept the prices of the products very affordable and delivers the quality items to the
customers which helps them to influence the customer in wider range. Along with this,
place and promotion factors also matters a lot where Sainsbury operates in different
countries and have approximately 300+ stores as well. For promoting the brand and
products of the company, they use the social media platforms from which they get the
successful results. For promoting and advertising of the products Sainsbury has
adopted the great channels like omni-channels which help and supports the firm to
promote their services and items in definite manner and can easily attract the customer
at their store.
Swot analysis: The swot analysis is a strategic planning which is used by the business
enterprise to identify the company's strength, weaknesses, opportunities and threats
from where they can put their efforts in implementing the appropriate strategies at their
firm and can obtain the successful outcome and results accordingly.
Strength: Sainsbury is a second largest supermarket chain in the UK and has
increased the number of sales as compared to other supermarket businesses (Omarini,
2018). Sainsbury is geographically diversified and able to deliver their products and
services in effective manner and can obtain the appropriate outcome and results as
well. By providing the products to the customer by satisfying their needs and
requirements is one the best strength of the firm and helps to develop their business
accordingly.
Weakness: Sainsbury do not focus on the pricing structure in definite manner and leads
them to obtain the difficulties in selling the goods and services. To run any business, it
is important for the management to keep the prices and cost of the products affordable
and valued as per their quality and services where Sainsbury high pricing structure

leads them to obtain the problems In booting up their sales and also losses the
customer's from the store.
Opportunity: Sainsbury delivers the 24×7 services to their customers which make sthe
customers to feel free to interact and communicate with the management about their
issues which also get resolved within a day or two days.
Threat: Companies mostly have a threat of financial instability and environmental
impact where during the Covid19, Sainsbury gets the threat to run their business in
definite order and can be able to retain their employees and customer's at the place.
Recommendations
Developing a business at successful level requires to understand the different
strategies and approaches from where the firm can obtain the effective productivity level
(Bernon, Tjahjono and Ripanti, 2018). It is very essential for the Sainsbury to pay
attention toward the market which can help them to survive in this highly competitive
market and can maintain the position within the particular marketplace in the future.
There are few recommendations for the betterment of the Sainsbury which can lead the
company to grow and develop at successful level and can boost their sales accordingly.
Set appropriate target market: The company needs to keep their focus on the target
audience from where they can be able to get the appropriate outcome and results in
respective manner. It is important for the firm to set the target market because it will
help Sainsbury to launch the new products and services for the particular group of
people and can increase their productivity level. By setting an appropriate target market
by the firm will lead them to focus on the needs and requirements of the specific group
of people and can deliver the services in such manner from where customers can get
satisfied in successful order.
Bring innovation: Sainsbury can survive in this highly competitive market by bringing
the innovation within the business (Rossi-Hansberg and et.al., 2021). Today, each and
every individual customer looks for something new and innovative which can help them
in any activity and makes work easier for them. Launching new products and bringing
the innovation within the marketplace by the Sainsbury will lead the firm to drive their
organizational performance at higher level and can deliver the results accordingly. This,

it has been recommended to the firm that they are required to keep focus on the
innovation and can survive in this highly competitive market.
CONCLUSION
The above mentioned report has summarized the importance of the
organizational functions and structures which helps the company to grow and develop in
definite manner. The report has included the three major subjects such as it highlighted
the current trends within the retail industry, detailed analysis of the firm and provided the
suitable and appropriate recommendations for the betterment of the business from
where the firm can be able to survive in this highly competitive market.

REFERENCES
Books and journals
Bernon, M., Tjahjono, B. and Ripanti, E.F., 2018. Aligning retail reverse logistics
practice with circular economy values: an exploratory framework. Production
Planning & Control, 29(6), pp.483-497.
Kembro, J. and Norrman, A., 2019. Exploring trends, implications and challenges for
logistics information systems in omni-channels: Swedish retailers’
perception. International Journal of Retail & Distribution Management.
Marrucci, L., Marchi, M. and et.al., 2020. Improving the carbon footprint of food and
packaging waste management in a supermarket of the Italian retail
sector. Waste Management, 105, pp.594-603.
Mrasi, A., Jere, A. and et.al., 2018. Critical skills and knowledge to succeed in the
township liquor retail industry. Journal of Business and Retail Management
Research.
Okorie, O., Salonitis, K., and et.al., 2018. Digitisation and the circular economy: A
review of current research and future trends. Energies, 11(11), p.3009.
Omarini, A.E., 2018. Fintech and the future of the payment landscape: the mobile wallet
ecosystem. A challenge for retail banks?.
Pantano, E. and Vannucci, V., 2019. Who is innovating? An exploratory research of
digital technologies diffusion in retail industry. Journal of Retailing and
Consumer Services, 49, pp.297-304.
Rossi-Hansberg, E., and et.al., 2021. Diverging trends in national and local
concentration. NBER Macroeconomics Annual, 35(1), pp.115-150.
Życzyński, N., Gazda, A. and et.al., 2019. IT support for the goods reallocation process
in textiles-based fashion retail. Fibres & Textiles in Eastern Europe.
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