Marketing Organic Food: Tesco's Strategies for Customer Attraction

This report delves into Tesco's marketing strategies for promoting organic food, emphasizing the use of blogging to enhance sales and customer engagement. It examines the effectiveness of segmentation, targeting, and positioning (STP) strategies in attracting customers, as well as the role of the marketing mix (product, price, place, promotion) in promoting organic food products. The report also highlights the significance of customer relationship marketing, detailing various methods Tesco employs to improve customer experience and loyalty, including the introduction of club cards and CRM technology. Furthermore, it analyzes Tesco's competitive positioning and digital marketing strategies, particularly the use of online platforms and mobile marketing techniques, to sustain brand value and meet consumer needs, especially during and after the Covid-19 pandemic. The report concludes that Tesco's comprehensive marketing approach, which includes affordable pricing, premium quality, and experienced customer service, has contributed to its success in the organic food market.

Marketing Fundamental
Assessment 1 Blogging to
Communicate

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Organizational background..........................................................................................................3
Segmentation, targeting and positioning in customers’ attraction...............................................3
Marketing mix strategies and promotion of goods and services.................................................4
Diverse methods in customers’ relationship marketing...............................................................5
Marketing strategy and competitive positioning.........................................................................6
Digital marketing and competitive positioning...........................................................................7
Situation Analysis in order to attract customers..........................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Marketing refers activities that company undertake with the main aim of promoting
products and services (Deepak and Jeyakumar, 2019). This study is going to discuss marketing
blogs that can make Tesco retailer able in promoting as well as increasing sales of its organic
food. It will further discuss effectiveness of STP, marketing mix strategy and customers’
relationship in promoting product of Tesco. Further, it will show effectiveness of social media
and ways by which, Tesco retailer has increased customers´ retention and attraction rate.
MAIN BODY
Organizational background
Tesco is British multinational groceries and as per the gross revenue it has been counted in the
third largest retailer (Gonen and et.al., 2017). It has diversified into number of areas such as:
furniture, clothing, toys, petrol, electronics and financial services. It has decided to promote
organic food products by making use of effective marketing blogs.
Segmentation, targeting and positioning in customers’ attraction
In regard to segmentation, targeting and positioning marketing strategy, it can be said that
it helps employees able in selecting niche market and group of people who will be attracted for
buying products of company. In regard to Tesco, British multinational it is found that it highly
focuses on this strategy as it gives clear insight about its target market to whom it wants to attract
for buying products. One of the main advantages of this strategy is to increase sale and saving
time.
Tesco provides clothing, toys, books, electronic, software and financial services. So, as
per its types of products it has segmented market into different types such as: geographical,
behavioural, demographic and psychographic. Under geographic and demographic, it targets
people of all age categories, rural and urban both, males and females and specially to low and
middle income group of people. Students, employees, professionals, easy going, traditionalist,
active users and positive behaviour of people are being targeted under behavioural and
psychographic segmentation (Sood, Tulika,Hershey, Pennsylvania, 2020). This segmentation and
targeting is specially for promoting and increasing sales of its Technika TV. It makes use of
different positioning such as functional, symbolic, price and others. Under functionalist, it targets

people of middle and upper class of group because under this, it sales expensive and fine quality
of products.
Positioning of products
On the basis of this strategy and blog, it can be said that STP is one of the effective
marketing strategy that can increase sales of Tesco and can save its time. Overall, it can be said
that selected of segmentation and ways of targeting people as per the nature of its products and
requirements of needs of customers has made able to Tesco in becoming the market leader in the
context of organic food products (Smigielska and Stefanska, 2017).
Marketing mix strategies and promotion of goods and services
In regard to marketing mix, it can be said that this marketing strategy also help
companies in promoting their products in an effective manner. Tesco makes use of this strategy
and it gives clear description of its product to customers. Customers find easier in comparing
features of organic food of this retail with other retailers and accordingly can make buying
decision. Some main elements of Tesco that has made it able in attracting as well as promoting
its organic food product among its target people include:
 Product: Its organic grocery and food items include: pasta, olive oil, cooking sauce,
fruits, vegetables and dairy products.
 Price: Tesco has adopted cost leadership pricing strategy. As a result, it maintains as low
price as possible for its products and services without hurting the quality of products. It
enjoys economies of scale and this strategy has made it able in increasing customers’
attraction (Bahl and Chandra, 2018).
 Place: It provides organic food at both its stores and online websites. Customers find
easier in getting this product with both of these options.
 Promotion: It is one of the main important element of marketing mix strategy and Tesco
has invested in promotional activities for attracting customers for buying its organic food.
Firstly, it told its customers or target people about natural and organics in its stores with
all features of products. It told them some reasons of selling organic food products and
then it promoted its organic food products on social media platforms. It identified that
people make use of social media platforms to the great extent and they get number of
information via these platforms. For this reason, it made an official page on social media

platforms and provided detailed information of organic food products with features and
elements used in it (Oluwoye, 2017). This strategy has made it able in increasing sale of
this product and increasing awareness among people regarding healthy eating.
Tesco’s total organic food sales has increased 15% over the past year and it is all because
of enlisting features of this products and having appropriate pricing strategy. Marketing mix
strategy has made it able in increasing sales of this product even at the time of Covid-19 and post
Covid-19.
Diverse methods in customers’ relationship marketing
Relationship marketing is also an effective type of marketing strategy as it is a mix of
tactics that are being used by companies in order to build strong relationship with customers.
Tesco gives high priority to improved relation of customers. It believes that customers are main
resources as well as key of their success. There are number of methods that has made this retailer
in improving customers’ experience in organic food (Kitchens, Dobolyi and Abbasi, 2018).
Tesco has introduced club card through the option to club card points through transaction with
other retailers. It’s on demand CRM technology has also made it able in improving relations with
customers (Kotler, Philip,Armstrong, Harris, Lloyd, 2020 ). CRS software vendor right now also
made it able in accomplishing goals and increasing sales.
In regard to this, it is found that this marketing strategy has made this retailer able in
increasing sales of organic food product. The main aim of Tesco was to improve health of people
by encouraging them to have healthy food. Customers relationship marketing has increased
customers’ engagement as well as retention rate. In this post covid time also, this retailer has
potential customers with it (Alhelalat, Ma’moun and Twaissi, 2017). Customers are less likely to
switch their brand and stay loyal with this retailer. Improved relation and ways of employees of
Tesco to interact with customers make customers feel valued and it is the reason as they stay
with this retailer for the long run.
Continuous and clear communication, asking for feedbacks, connection and appreciation
are some best strategies and factors that need to be considered for improving relations with
customers. Tesco engage its customers in decision making and other processes by allowing them
to give feedbacks and suggestions. By considering their suggestions, it makes them feel valued
and valued customers are more likely to stay with business. Customers’ relationship marketing

has made this retailer able in successful promotion and selling of organic food. It makes
employees’ life cycle successful. It also makes them able in identifying their issues and
satisfying them. Overall, it can be said that communication is vital in all types of marketing
strategies for promotion of goods and services as well.
Marketing strategy and competitive positioning
Marketing strategy bring up the business overall planning in order to reach maximum
number of people or prospective customers along with their potential consumers with the help of
their appropriate goods and services. It consists of companies’ overall value proposition, brand
messages that have been generated with regard to attract consumers, data over target customer
demographics and other high level elements (Amin, 2021). In context of Tesco, it has been
identified that the firm is excellently offered their organic food products among the society in
order to make them aware about the benefits of the organic products towards their health. The
major purpose of their product is to enhance the awareness as nowadays people are highly
conscious about their health and well-being (Bishop, Trinidad., 2012).
The organic food items have been offered at a very affordable price range in order to
attract more and more consumers towards their brand and thus through this they are able to
create a well-developed brand image and value among their other competitive firms. Tesco is
highly grateful while using their marketing strategies in efficient manner as they completely
focus towards the fulfilment of the requirements and desires of their consumers in most effective
manner. Tesco uses a strategy of marketing by offering the products of organic food items at
comparatively low price range which makes it possible for them to become the leading
supermarket chain within the Britain. Apart from this, they also offer various benefits along with
the products that have been offered to them such as club cards in order to allow them to collect
points at the time of purchase and redeem them at their next purchase on order to grab specific
advantages (Zurabovic, 2021). This serves as an excellent price promotional strategy in order to
provide their local customers with certain amount of extra discounts to them so that the firm is
able to sustain their customers as well as create potential customers as well. The firm offers their
products at varied places which are offline as well as online platform. This help their consumers
in order to make their purchase at their comfort level (Krafft, Sajtos and Haenlein, 2020). Apart

from this they offer varied promotional activities in order to grab and sustain their brand image
or value within the competitive environment.
Digital marketing and competitive positioning
Digital marketing which is also known as online marketing which comes under
consideration of promotion of products or brand in order to connect efficiently with their
potential buyers with the help of internet and other forms of online communication. This strategy
involves all the kind of activities such as social media marketing, email, web based advertising
activities, multimedia messages and certain similar kind of actions that helps the firm to attract
more and more customers towards their company. In context of Tesco, it has been evaluated that
Tesco is the firm who utilizes more of the online marketing strategies in order to attract their
consumers. They highly utilize mobile marketing techniques as well as devices such as geo-
location service providers which helps them to reach towards their consumers at highest ease
level (Wooliscroft, 2021). Apart from this they also send promotional offers and many other
discount coupons that are only available over the online platforms so that the users are more
prone to utilize their online platform rather than giving their services in physical manner. At the
time of Covid-19, the online platform of Tesco greatly helps them to sustain their brand value
and fulfils the requirements of their consumers in highly efficient manner (Housden,
Matthew.Chartere., 2005).
Company solely focused towards providing low cost products to their buyers along with
great quality of goods and services greatly helps them to create their brand image in front of
other competitive firms. Although sometimes the low prices reduces their profit margin but
within the products such as organic food items, they offer specially varies offers in order to make
themselves in front of everyone so that the major purpose of the business has been resolved in
appropriate manner (Hooley, Graham J.Nicoulaud, Brigitte, Rudd, John M, 2020). There basic
way to achieve competitive advantages are related to development of low prices of organic food
products, provide their buyers a premium quality of goods and services, provide them
experienced customer services that has automatically led towards the profit maximization in
more or less manner (Andrei, 2018). Hence, with the help of their effective promotional
activities which are related to the digital marketing promotional actions helps the firm in highly

effectual manner to promote their organic food products within the society as per the
requirements and desires of their buyers along with their potential customers.
Situation Analysis in order to attract customers
SWOT analysis is the strategic management or planning technique that has been used in
order to help an individual by identifying company capabilities, weak points, possibilities and
warning regarding other things. It is therefore sometimes known as situational analysis. It helps
the firm Tesco in order to identify and get proper visibility over the current status of the firm.
This also allows them to understand and measure complete evaluation of the firm which helps
them to make themselves highly competitive enough to sustain within the market place. It is
critical to remain optimistic when one can discuss the results of the firm that has been grabbed
after the complete evaluation of situation analysis (Palazzo, Foroudi and Siano, 2020). On the
other hand, with the help of pestle evaluation, the company is able to identify their external
factors that greatly affects the firm in complete manner. Both the procedures are able to provide
appropriate and systematic decision-making with through evaluation of business that is being
performed by Tesco.
Tesco by identifying their internal strengths and weaknesses, they identify their
opportunities so that they are able to make themselves highly efficient enough to work for the
betterment of the firm, employees as well as their customers. It is most efficiently help the firm
to make certain strategies that assist them in demonstrating company overall analysis and
consider all the political, environmental, social, economic, legal as well as technological factors
that helps them to fulfil the desires of the buyers in highly fruitful manner. With the help lof such
analysis, the company is able to identify various opportunities so that they can perform better
with the fulfilment of the desires of their customers (Fehrer, 2020). The process is able to give
their decision makers a better awareness and understanding about the changes that may occur
and the impact that these changes have over the business functions of Tesco. Thus, the Tesco
find it helpful by adding these into their advertisements facilities as well in order to make their
decisions according to the betterment of the whole organization as well as according to the
requirements of buyers so that the firm is able to compete effectively with their other competitive
firms and sustain their brand value or image among market place (Callingham, Martin.Sterling,
Va., 2004).

CONCLUSION
It has been summarized from the above study that marketing fundamentals plays a vital
role in order to make their products and services highly considerable within the market space. It
consists of certain practices which makes their actions appreciable among the society by their
buyers and also helps them to make more potential customers. With the help of appropriate
research, communication, creativity, evaluation, market analysis, revising activities and policies,
etc. the Tesco is able to take advantages of adopt certain strategies of advertising in order to
make their customers highly satisfied.

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