Comprehensive Marketing Report: Tesco's 7Ps, SWOT, Ansoff & Digital

This report provides a comprehensive analysis of Tesco's marketing strategies, focusing on the 7Ps of marketing, SWOT analysis, Ansoff growth matrix, and digital marketing initiatives. The report examines Tesco's marketing mix, including product offerings, pricing strategies, distribution channels, and promotional activities. It conducts a SWOT analysis to identify Tesco's strengths, weaknesses, opportunities, and threats, providing insights into the company's internal and external environments. The Ansoff matrix is used to evaluate potential growth strategies, such as market penetration, market development, product development, and diversification. Furthermore, the report explores the role of digital marketing in enhancing Tesco's brand awareness, customer engagement, and sales performance. The study concludes that effective marketing strategies are crucial for Tesco's success and sustainability in the competitive retail market.

Introduction to marketing

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Marketing and 7 Ps.....................................................................................................................3
SWOT analysis...........................................................................................................................4
Ansoff growth matrix..................................................................................................................5
Digital marketing........................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Marketing is defined as process of creating, delivering, communicating valuable goods to
customers within specified time period. Further, present report is based on Tesco that is well-
known largest food retailers in various regions. Moreover, the report will explain in detail
various concepts relating to marketing along with analysing detailed marketing mix for quoted
firm through using various examples. Also, internal factors affecting the business will also be
identified through conducting SWOT analysis so that certain weakness might be overcome easily
by the firm. Moreover, to analyse certain growth strategies for quoted firm ANSOFF matrix will
also be presented for better understanding of the working operations of the firm. Furthermore,
significance of digital marketing in improving the effectiveness of quoted firm will also be
discussed. Lastly, impact of digital marketing on performance and growth of Tesco will also be
covered under this report in detail.
MAIN BODY.
Marketing and 7 Ps
Marketing refers to specific activities that are undertaken by company to promote or sell
various products or services. Moreover, marketing activities includes advertising, selling and
distributing goods to variety of consumers on large scale (Bala and Verma, 2018). Also, all the
marketing activities that are undertaken by any company aims attracting potential customers
towards the company products or services so that greater revenues may be generated in the
future.
Marketing mix of Tesco.
Marketing mix refers to set of actions that are taken by any firm to promote its brand or
its products in the market. Moreover, this mix consists of various Ps that are described as
follows:
Product: It is defined by variety of products that are sold by the company. In context of
Tesco it can be said that it sells deals in variety of product line such as clothing, food, cosmetics,
stationary and much more (Eckhardt and et.al., 2019). Thus, it deals in range of product
categories depending upon the needs and wants of the customers.
Price: Based on the pricing strategy various companies goods are sold among the
customers. Also, all the company tries to maintain low prices of goods without compromising on

quality to attract more customers. For example: Tesco uses the cost leadership strategy to make
various products available at reasonable prices that would enable the firm to increase the existing
customer base.
Place: In the current era there are two main channels of communication that would allow
the firm to sell its goods that is online and offline. Moreover, Tesco uses both these channels so
that goods might be made available to large number of people.
Promotion: This technique helps in creating brand awareness and making the product
information available to the target customers in the easiest manner. Also, Tesco uses various
forms of promoting the products such as loyalty card, buy one get one free etc. for enhancing
current sales (Marketing mix of Tesco, 2017).
People: Tesco all employees are highly competent and plays important role for the
company. Also, the company invest huge amounts in introducing rewards scheme for those
employees that have performed extraordinary well in any field.
Physical evidence: It is the infrastructure and tangible representations of the company
that attract most of its customers. Further, Tesco uses the best logo for its company and all its
offline stores are easy to navigate so that all goods might be easily found out.
Process: It refers to the set of activities that is carried out to achieve something. Also, in
Tesco the consumers now have the option to pick and pay goods in the outlets through self-
service machines to save the extra time (Stremersch, 2021).
SWOT analysis.
Marketing is very effective tool that would allow the business to achieve the desired
gaols within specified time period. Also, effective marketing allows firm to narrow the target
customers so that company resources are not wasted and better products or services might be
offered. Furthermore, it allows the company to stand out in the market among the rest of its
competitors (Grubor and Jakša, 2018). Moreover, marketing help to remain competitive through
aligning all the products with customer needs, exploring and expanding into new markets,
enhancing the current distribution channels and much more.
Also, SWOT analysis helps the Tesco in closely identifying the strengths and weakness
so that better business decisions might be developed in the future. Also, this analysis allows in
understanding the business in better so that better strategies and goals might be developed in due
course of time.

Strengths
 The Biggest grocery retailer in UK and
other adjoining regions.
 Existence and growing number of
diversified stores.
 Use of best and superior technology in
the business (Wirth, 2018).
Weakness
 Low cost strategy might lead to lower
profits margins.
 Poor operational performance in some
markets.
◦ Due to high debts at some point of
time Tesco overall profit margins
were reduced.
Opportunities
 Growing trends in online shopping
would increase sales of the business.
 Enter into new markets in form of joint
ventures to expand the existing
customer base.
 New form of cashless stores in the time
of pandemic will boost the business.
Threats
 Any type of economic crisis will
impact the sales and revenues for the
business.
 Rising cost of various raw materials
might not enable firm to keep the prices
of goods minimum.(Li, Larimo and
Leonidou, 2021)
 Having major supply chain issues
would also limit the sales of the firm
Ansoff growth matrix
This matrix is type of tool that is used by the firm so that better growth strategies might
be developed by the firm (Nosalska and Mazurek, 2019). Also, this matrix shows various
strategies that may be used by the firm for its growth and also closely analyse risks that are
associated with each of this strategy. Moreover, this matrix is very useful as it may be used for
individual department as well. Furthermore, it is very simple and quick to understand.
Moreover, for Tesco, Ansoff matrix may be used as described as follows:
Market penetration: It focuses on increasing the sales of existing product in the existing
market. Also, various use of competitive pricing strategies and ad campaigns have allowed
Tesco to increase the existing customer base and sells variety of goods to its customers.
However, doing so profit margins of the company are also affected or sometimes reduced.

Market development : It means selling the exiting products into newer markets and in
this context it can be said that Tesco sells both its own and other brand labelled products into
newer market segments where chances of revenues are higher (Thakkar, 2021). Moreover,
developing new products in costly and hence this strategy allowed the firm to remain competitive
without spending more amount of money.
Product development: It is method of developing new products in the already existing
market. Also, this method might be adopted by only those firms that have already established
brand image and wants to remain competitive in long run. Also, Tesco that is earning huge
profits might be able to use this strategy to compete with other competitors in UK market.
Diversification: This is riskier strategy as it means introducing newer products into
completely new markets regions (Lam and Li, 2019). Also, in urge to earn greater amount of
revenues Tesco might apply this strategy to target new customer segment that is eager to
consume innovative products of the company that are not existing the current market.
Digital marketing
In the current era where most of the business firms are eager to earn greater profits and
sustain in the market for longer period organizations might use various social media platforms to
promote various good and services so that people are ware of the new products and special
attributes that are associated with the product to enhance the sales of the business. Also, Tesco
has used digital technology in both online and offline mode as part of marketing strategy so that
better branding campaigns might be developed (Kumar, 2018). Moreover, through the official
website of Tesco the firm is able to enhance sales and reply all the queries of customers
immediately so that better customer relationships might be developed.
Furthermore, digital marketing is very good as it allows in increasing the customer
loyalty and establishing frequent communications. Also, quick measurement of results might be
done by the firm without many problems (Du and et.al., 2021). Moreover, digital marketing had
more global reach than any other platform and is more time and cost effective strategy for any
firm that wish to expand its business. Furthermore, digital marketing allow the firm to send the
personalized messages to large number of customers so that higher engagement with them might
allow the firm to attract new potential consumer for the business.
Thus, digital marketing is very good medium for all those firms that are planning to
promote goods in better manner than others as automated processes will ensure that all the

things are running on time and correct information is made available to all those persons that are
associate with the firm in any form. Also, this method is success only when there is transparency
in the business activities.
CONCLUSION
From the above report it can be concluded that marketing is very crucial activity for
successful selling of various goods and services in the market. Also, the study had identified
positive impact of marketing mix on company operations through various business examples of
Tesco. Moreover, impact of internal factors of quoted company had been identified through
conducting detailed SWOT analysis that had impacted operations of the firm. Furthermore, to
analyse growth strategies Ansoff matrix had been discussed so that better policies might be
developed in due course of time. Lastly, the report had analysed the impact of digital marketing
on the growth of the business along with Tesco ways of improving the sales of the business.

REFERENCES
Books and Journals.
Bala, M. and Verma, D., 2018. A critical review of digital marketing. M. Bala, D. Verma (2018).
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Du, R. Y. and et.al., 2021. Capturing marketing information to fuel growth. Journal of
Marketing. 85(1). pp.163-183.
Eckhardt, G. M. and et.al., 2019. Marketing in the sharing economy. Journal of Marketing.
83(5). pp.5-27.
Grubor, A. and Jakša, O., 2018. Internet marketing as a business necessity. Interdisciplinary
Description of Complex Systems: INDECS. 16(2). pp.265-274.
Kumar, V., 2018. Transformative marketing: The next 20 years. Journal of Marketing. 82(4).
pp.1-12.
Lam, J. S. L. and Li, K. X., 2019. Green port marketing for sustainable growth and
development. Transport Policy. 84. pp.73-81.
Li, F., Larimo, J. and Leonidou, L. C., 2021. Social media marketing strategy: definition,
conceptualization, taxonomy, validation, and future agenda. Journal of the Academy of
Marketing Science. 49(1). pp.51-70.
Nosalska, K. and Mazurek, G., 2019. Marketing principles for Industry 4.0—a conceptual
framework. Engineering Management in Production and Services.11(3).
Stremersch, S., 2021. The study of important marketing issues: Reflections. International
Journal of Research in Marketing. 38(1). pp.12-17.
Thakkar, R., 2021. Green marketing and sustainable development challenges and
opportunities. International Journal of Management, Public Policy and Research. 1(1).
pp.15-23.
Wirth, N., 2018. Hello marketing, what can artificial intelligence help you with?. International
Journal of Market Research. 60(5). pp.435-438.
Online
Marketing mix of Tesco. 2017. [Online]. Available through:<https://howandwhat.net/marketing-
mix-tesco-tesco-marketing-mix/>.