Digital Marketing Strategies: A Report on Tesco's Campaign Analysis

This report provides a comprehensive analysis of Tesco's digital marketing strategies. It begins with an introduction to digital marketing and its processes, followed by an overview of Tesco's digital marketing campaigns, including a situational analysis utilizing PESTLE and SWOT frameworks. The report explores how Tesco links its digital business with its marketing strategies, formulates objectives, and designs an implementation plan. It also covers budgeting and measurement of the campaign's effectiveness. The analysis includes Tesco's use of social media, website, and email marketing to engage customers and drive sales. The report concludes with recommendations for optimizing Tesco's digital marketing efforts and achieving its objectives. The report highlights Tesco's strengths, weaknesses, opportunities, and threats in the digital landscape, providing valuable insights into its market position and competitive strategies.

DIGITAL MARKETING
STRATEGIES

Table of Contents
INTRODUCTION...........................................................................................................................3
Digital marketing process................................................................................................................3
Digital marketing campaign.............................................................................................................4
Situational analysis......................................................................................................................4
Linking digital business with digital marketing strategy.............................................................7
Objectives formulation.................................................................................................................8
Implementation plan to meet the objectives................................................................................8
Budgeting.....................................................................................................................................9
Measure the campaign.................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES................................................................................................................................1

INTRODUCTION
Digital marketing strategy tells us the action by which online marketing channels are used to
achieve the objectives. There are various channels which can be paid or owned. This helps in
launching the online marketing strategy effectively with success.
Overview and Organization analysis
This study will discuss overview of the digital marketing process which company will choose.
Creating digital marketing campaigns by using certain steps which are situation analysis which
include pestle analysis and swot. Linkage of digital business with digital marketing strategy.
Formulation of objectives. Designing of the implementation plan to meet objectives. This study
will also give budgeting and measure the campaign.
Online strategy
Company is using digital marketing for the promotion as nowadays people are more active on
social media and advertisement done through social media is cost effective and saves time.
Digital marketing process
Digital marketing:
The marketing which is performed with the help of digital modes or through the using of
digital devices is known as digital marketing. Digital marketing is one of the recent trend of the
globalized economy which has broad coverage over the globe (Bala and Verma, 2018). It is one
of the important marketing form which is used by the companies to sale their product or to
interact with the customers through the help of digital or online platform.
Digital marketing process:
It includes a series of steps used by companies in determining the digital marketing
strategies. While adopting and determining the digital marketing process companies first start
with marketing research where the current trends and changes of the marketing are researched
and analysed. As per the research data the companies then make the digital marketing goal,
strategies, and various other determinants. After that companies have to promote their product or
services through the use of digital modes including the social media or mobile applications or
through search engines and various others modes (Chaffey and Smith, 2017). This process ends
with analysing the outcomes which will be achieved after the adoption and following of process
and then optimizing and controlling it which may includes taking the corrective steps to make it
more effective.

Digital marketing campaign
It includes the commination of efforts taken by the company in order to attract the profits by
increasing the sales and execute the digital marketing process. It includes a series of steps which
may includes:
Situational analysis
It is the first step of digital marketing campaign under which the analysis of the situation
or business environment is performed by the companies which may includes the analysis of the
internal as well as external environment analysis. It is an important step by which companies will
analyse and determine the current market situation. It includes two type of analysis:
Pestle analysis of Tesco:
This helps the companies in determining the external environment.
Political factors:
It includes the political forces, tax rates, laws and various other elements. Since Tesco
operate its business at a global level and it has to be very careful regarding this factor. A small
changes in the political situation of the country may affect the working of Tesco at a greater
extent. It would be right to said that the Brexit is one of the major element of this factor which
may have great influence over the working of Tesco (Shtal, 2018). Due to the global presence of
Tesco it has to carefully analyse this factor and its impacts which may put over the company.
Economic factors:
This is the important factors to be considered by Tesco because this factors directly have
the influence and impact over the sales and profits of the Tesco. Thus, it has to careful regarding
this factor which may includes tax rates, situation of the economy, interest rates and many more
(Perera, 2017). Any changes in the tax rate or interest rate or changes in the situation of the
economy may directly affect the Tesco in terms of achievement of goal and earning profits.
Social factors:
It is directly related with the society or the customers which is an important element for
Tesco because ultimately it has to serve its customers. It is one of the most changing factor of
Pestle analysis because the preference and the trends of the customer changes very frequently

and thus Tesco have to carefully work and perform its operations as per the changes of the social
elements and factors (Helmold, 2019).
Technological changes:
Technology up-gradation and changes are very important element which may affect the
working of the Tesco because with the changes in technology and emerging technology needs
the mode of working also change. Thus, it is very important for Tesco to act as per the changing
technology which not only help in serving the customers but also proves to be very beneficial in
reducing the cost of operation at certain extent.
Legal forces:
It includes the laws and regulations of the concerned country in which company may
operate its business. It is very essential for Tesco to analyse this force because Tesco usually
operate its business activities in more than one country and since the laws and regulation of
operating the business of every country is different from one other (Frue, 2017). Due to this
reason only it made important for Tesco to act and meet this force.
Economic factors:
Due to the increasing awareness among the customers regarding the environment made
this force to be important for studying. Thus, Tesco have to lie proper attention towards
production of environmental friendly products and using of eco-friendly modes of production for
producing the products (Adamyk, 2019). Apart from that Tesco also have to give proper
importance towards the concept of sustainability by which it would be able to meet this force.
SWOT analysis of Tesco:
Swot analysis is the framework which is used to identify the internal environment of the firm.
Strength:
The biggest strength of Tesco is the technological innovation. In UK, they are the biggest
grocery retailer. The company is having global presence and along with the physical store they
are having online presence as well. The company have their website which is very attractive, and
they are doing good sale from their website. The company is having diversified stores which
include Tesco metro, Tesco express, Tesco superstores etc. Tesco uses the advanced technology
so that costumer can get better shopping experience (Fatricia, 2017). Company launched the
enable barcode system which automatically count the number of products.

Weaknesses:
The export operations of the company got failed in many countries so as a result
company have to close the stores from that countries. Company has made the false accounting
statements and misrepresentation of profits which is the fraud for which company is fined by the
government and that also destroyed the image of the company. Brexit is also the reason by which
the company is making less profit. Now it has become difficult for the company to hire
employees from the European Union because now it has many restrictions and in EU cheap
workers can easily get. The low cost strategy under which company is selling products at low
cost which eventually affecting the profits of the firm.
Opportunities:
Tesco is having mobile application through which online shopping can be done. The
company should timely update the app and free home delivery feature should add which will
increase the sales and revenue of the company. In some countries the stores of Tesco are not
generating profits so in that case company can do joint venture with the local company so that
they will get the knowledge of local market which will help in the growth of the company (Peng,
2018). Company has opened new store in the name Jacks. It is the blessing for the company as it
is performing good. So company can invest more into these stores as it will help the company to
beat their competitors like aldi.
Threats:
Tesco has launched a Christmas ad for which the company have got trolled on social
media. As a result consumers boycott the company and their products and claim that its is the
disrespectful add by the company because it hurt the sentiments of Christian. The market share
of tesco is in danger because it is getting constant competition from the rival companies like
Walmart, aldi etc.
STP:
It is one of the strategic tool used by Tesco to meet the competition and achieve its objective.
Segmentation:
It refers to dividing the market into different segments or parts on the basis of customer
need and wants. Tesco divide the whole market into different in order to lay focus and
concentration over the specific group of people.

Targeting:
After diving the market into segments or parts then the next strategy adopted by Tesco is
to target the customers and group of customers (Camilleri, 2018). The targeting is usually done
by companies on the basis of attractiveness of segment in terms of its benefits towards the
company.
Positioning:
This strategy is adopted by Tesco in order to know and identify their position in the
competitive market. This strategy helps the companies to grab the competitive advantages
(Hollebeek, 2019).
Linking digital business with digital marketing strategy
There are various modes and methods by which Tesco can link its business with the digital
marketing and its strategies. Some methods are:
Tesco can make its business digital by making the customer friendly digital websites by which it
would be able to connect with its customers. Through the use of websites it can launch its new
product as well as promote its existing products among the customers at a very fast speed.
Similarly, with the help of websites customers can easily share their views and feedbacks
towards the company's product. Thus, it would be treated as a good mode of connecting the
business of Tesco with digital marketing.
Tesco can also connect its business into digital marketing through the use of social media and
social websites. Since today's generation are more active towards the social media and by
adopting this mode Tesco can easily grab more customers and achieve good sales margin apart
from being digitally connected with the customers (Ištvanić, Crnjac Milić and Krpić, 2017).
Email marketing is also a good method of converting the business of Tesco into digital mode
which may includes establishing the interaction with the customers through the use of emails
whereby company may give the information about its products to the customers by sending them
emails as an advertisement mode.
One of the best mode which Tesco can adapt to convert its whole business into digital mode is
the adoption of mobile application mode which means Tesco can develop the mobile application
where it can provide the complete details about its available product which it wants to sale to the
customers and on the other hand customers by using the mobile application may easily connect

with the company and place their orders (Santhidevi, 2020). Thus, this will not only help the
Tesco in being digitally linking but also raise its sales and profit margins.
Objectives formulation
To form the objectives are very important for the company which help the company to achieve
predetermined goals (Mandal, and Joshi, 2017). Tesco can consider these following objectives to
sustain in this competitive environment.
 To increase the market share through online shopping by 10% to the end of the year.
 To raise the number of customers who are using company's website for online
purchasing.
 To becomes the online market leader and strong competitor for other.
 To increase the number of sales through digital platforms within six months.
Digital marketing used by company
Tesco is using social media marketing more as more people are using it for this company regular
posts images and videos so that customer does not forget about the company.
Implementation plan to meet the objectives
Increase market share:
To achieve this objective Tesco may use the policy of providing discounts, or other attractive
offers in the form of buy 1 get 1 product policy, and by providing various other benefits specially
on online purchasing of products to the customers, by which it can easily raise its online market
share. Apart from that company may also organize some festival or seasonal sales over its online
platform which may also plays an important role in the achievement of this objective.
Increasing the use of company website:
For achieving this objective company may adopt the strategies or make planning regarding
making of investment in advertisement and marketing the products apart from providing the best
offers to its customers at its official websites. Company may also adopt various attractive and
appeasing online offers for the customers for achieving this objective (Akram, 2018). Providing
early access facility regarding the grabbing of sales benefits over the official websites also
contributes a lot in raising the use of official websites.
Becoming market leader:

Tesco can become the market leader only by adopting the best plans and strategies which may
includes taking of feedbacks of its customers and accordingly inculcating changes in it.
Similarly, company may also analyse the current marketing trends and requirement and
accordingly making the plans and policies in order to cope with such changes and becoming the
strong competitor for others. Company may adopt the policy of providing the best quality and
consumer oriented product with special discount policy over the online purchasing which may
also helps the company in converting this objective into reality.
Raising sales percentage:
To meet the objective regarding the achievement of sales target, Tesco may adopt various digital
modes by which it can attract more customers and increase the sales percentages. For that
company may adopt various methods including the use of social media, mobile applications, pay
per click methods, etc. Tesco may also adopt the strategy of delivering the products in less time
along with no cancelling charge or easy return policy may also help the company in attracting
more customers and thereby raising sales and profit percentages.
Marketing mix
product: the product portfolio of tesco is wide which include grocery, clothing, telecom etc
Price: low cost price strategy is followed by the company in order to take the competitive
advantage.
Place: Tesco have many stores and also selling online through the website.
Promotion: company using traditional as well as modern methods for advertisement like TV,
social media etc.
Budgeting
Budget is expenses and revenue which is going to be used in the future for the plan which
the company comes up with so that there is going to be higher achievement of goals. This budget
is made by a group of people. Aim of Tesco is to make sure that they are making sure that the
customers and clients are aware of the products and services which are present. Challenges and
goals have to be overcome on time and implementation has to be stronger so that there would be
higher tracking which is going to be present. There is a huge investment which the campaign will
have to make in social media marketing and advertisement and email marketing so that the
campaign can be successful. Having the right technology to be able to make the clients aware

and make sure that the impact on the population is huge is very important for the company to
have in the market so that there is going to be higher satisfaction and operations which is going
to be present.
Measure the campaign
The main objective of the company is to achieve the SEO optimization and which is successfully
achieved by them. From the organic search now the company is getting new leads. Pat per click
campaign is effectively done. With the help of social media marketing company is successful in
attracting good traffic or consumers. The success rate of lead conversion is also very high of
Tesco. From their own website also company is getting amazing sales (Patrutiu-Baltes, 2016).
By framing new digital marketing strategy now company is able to retain more customers which
are more than previous. Customer feedback is considered as an important element in finding the
success of the campaign. Positive feedback is an indicator of success while negative feedback is
an indicator of failure of campaign. Taking the customer's feedback also helps the company to
identify their position in their mind which will again helps the companies in framing future plans
and policies to achieve more success.
CONCLUSION
From the above report it is concluded that digital marketing plays a very important role in the
field of marketing for companies which not only save the time and cost of the company but also
helps the companies to raise their sales and profits percentages. It is also being understood that in
order to take the advantage of the digital marketing and converting the business of the company
into digital mode, company have to carefully organize or make the digital marketing campaign.
Under which it has to give due consideration to the market situation, its objectives along with
budgeting terms so that it can achieve its objectives in more efficient manner.

REFERENCES
Books and journals
Adamyk, K., 2019. PESTLE Analysis on Tesco PLC.
Akram, and et.al., 2018. How website quality affects online impulse buying. Asia Pacific
Journal of Marketing and Logistics.
Bala, M. and Verma, D., 2018. A critical review of digital marketing. M. Bala, D. Verma (2018).
A Critical Review of Digital Marketing. International Journal of Management, IT &
Engineering.8(10). pp.321-339.
Camilleri, M.A., 2018. Market segmentation, targeting and positioning. In Travel marketing,
tourism economics and the airline product (pp. 69-83). Springer, Cham.
Chaffey, D. and Smith, P.R., 2017. Digital marketing excellence: planning, optimizing and
integrating online marketing. Taylor & Francis.
Fatricia, R.S., 2017. STRATEGIC ANALYSIS OF TESCO SUPERMARKET. Jurnal
Manajemen Terapan dan Keuangan. 6(2). pp.69-86.
Frue, K., 2017. PESTLE Analysis.
Helmold, M., 2019. Tools in PM. In Progress in Performance Management (pp. 111-122).
Springer, Cham.
Hollebeek, and et.al., 2019. Customer engagement in evolving technological environments:
Synopsis and guiding propositions. European Journal of Marketing.
Ištvanić, M., Crnjac Milić, D. and Krpić, Z., 2017. Digital marketing in the business
environment. International journal of electrical and computer engineering
systems.8(2.). pp.67-75.
Mandal, P. and Joshi, N., 2017. Understanding Digital Marketing Strategy. International
Journal of Scientific Research and Management. 5(6).
Patrutiu-Baltes, L., 2016. Inbound Marketing-the most important digital marketing
strategy. Bulletin of the Transilvania University of Brasov. Economic Sciences. Series
V. 9(2). p.61.
Peng, S., 2018, November. The Status and Countermeasures of Rural E-commerce in Shandong
Province Based on SWOT Analysis. In 2018 International Conference on Economy,
Management and Entrepreneurship (ICOEME 2018) (pp. 197-199). Atlantis Press.
Perera, R., 2017. The PESTLE analysis. Nerdynaut.
Santhidevi, P., 2020. Digital Marketing Strategies and Implementation. Studies in Indian Place
Names.40(70). pp.1686-1689.
Shtal, and et.al., 2018. Methods of analysis of the external environment of business activities.
1

2