Analyzing Tesco's Marketing Role, Strategies, and Implementation

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This report provides a comprehensive analysis of Tesco's marketing strategies, roles, and responsibilities. It begins by defining the core concepts of marketing, including the production, product, selling, marketing, and societal marketing concepts, and outlines the different stages of the marketing process. The report details the roles and responsibilities of a marketing manager at Tesco, emphasizing the importance of interdepartmental relations with production, finance, and HR. It also assesses the significance of marketing in Tesco's overall business strategy, focusing on customer satisfaction and competitive advantage. Furthermore, the report includes a comparison of two organizations using the 7Ps of marketing and proposes a marketing plan for launching organic products, complete with objectives, SWOT analysis, and a 4Ps strategy. The conclusion highlights the interconnectedness of all departments and the critical role of marketing in organizational success. Desklib provides access to similar documents and study resources for students.
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Marketing essential
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Part 1................................................................................................................................................3
Concept of marketing.............................................................................................................3
Different marketing process...................................................................................................4
Roles and responsibilities of marketing manager...................................................................5
Interrelation with other functional departments.....................................................................6
Importance of marketing role in Tesco..................................................................................6
Conclusion on effective interrelationship...............................................................................7
Part 2................................................................................................................................................7
Comparing two organisation with the help of 7p's of marketing...........................................7
Marketing plan to meet the marketing goals and objectives................................................10
Objectives.............................................................................................................................11
SWOT...................................................................................................................................11
4p's of Tesco organic product...............................................................................................11
Monitor and controlling........................................................................................................13
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14
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INTRODUCTION
Marketing can be termed out as activity that aids to promote the buying and selling the
product and services to individuals. It can be undertaken with help of advertising, sales
techniques and publicity (). However, this is defined as set of institution that aids to conduct the
services as to create, communicate and deliver services to consumer and other business as a
whole.
The study is based on business activities of Tesco, it is a British multinational grocery store
whose headquarter are located in Welwyn garden city, Hertfordshire, England, uUnited
Kingdom. The founder of Tesco is Jack Cohen and it was founded in 1919, 100 years ago. It
deals in product and services as grocery commodities.
In this presentation there will outline the activities as to determine the roles and
responsibilities of marketing managers. Thus, interrelation between the various department of
marketing has been defined to evaluate its functions. Lastly, report has conducted marketing plan
to launch organic product to full fill the need of health-conscious customers.
MAIN BODY
Part 1
Concept of marketing
It is defined as a philosophy that assists the enterprise to study the need and wants of the
customer’s. Henceforth, enterprise need to take the decision that can lead up to satisfy the need
of consumers. There are 5 essential concepts of marketing and current and future trends in it
which are:
1. The production concept- This concept of marketing shows the condition of customers
who mostly preferred cheap quality products . Almost every manager has focused on high
efficiency of production, low costs and mass distribution. Customers take interest in
product availability and low prices. To increase the supply, producer have to cut the cost
of production as output will increase and manufacture quality of goods efficiently
(Baltes., 2015).
2. The product concept- According to this concept they believed that the high quality of
products. It is considered as the important aspect. Focus of managers is on producing
high quality of products and then improve them overtime. The assumption is that
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customers mostly choose well made products. They can judge quality. Managers will
improve the success of their product if they do not make improvements in its quality.
3. The selling concept- Consumers are left on their own, they will not purchase enough
goods form the firm. Sales and promotion play an essential role, because users show
hesitation in purchasing the products. Some business has habit rather they have to sell
what they have rather than manufacture wanted products by consumers. The organization
have to use allocated tactics and tools of selling.
4. The marketing concept- This concept is different from all other concepts and it was
modern firm use to follow. The aim of this principle is to overcome their competitors or
beat them in producing quality products via communication with the customers,
availability of products and affordable prices. Consumer is the king here. This concept is
based on 4 pillars which are needs of the clients, target market, integrated marketing and
profitability.
5. The societal marketing concept- Finds the needs, wants and interest in target markets and
according to them it delivers the favourite satisfaction as socially and environmentally
responsible. Production is also completed with the customers' well being in mind (Saura
and et.al., 2017).
Different stages of marketing process
It is a series of steps that allows the company to find out the problems of customers,
analyzing opportunities in the market, and create material for marketing to reach the targeted
audience. There are the 4 steps of marketing which includes find and target the right customers
in the market.
Analysis the opportunities in the market- The basic process of of this component is to
analyze the market and find the opportunities which are available because these needs
and wants are related to the customers who are not completely satisfied with the
competitors in the market.
Selection of target market- This is the most important step in the marketing process in
which they have to select the customers which are going to be targeted. For this company
carefully analysis the targeted market to choose the final audience. This done internally
with SWOT model analysis along external environment using PESTLE & PORTERS 5
forces model. The company also use STP model.
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Development to design marketing mix – Demand of the product is affected by using
various activities of marketing mix. This mix has seven p's as the development of
marketing strategy.
1. product- It refers to offering goods and services to market by company.
2. price- refers to money given by customers to purchase the product.
3. place- It means, efforts which assure the availability of product in the market.
4. promotion- It is the way to give information about the product in different unique way to
customers in order to attract them.
The Marketing efforts- The people, process along with physical evidence have also the
inclusion of implementation of the plan and at last control the market (Ryan., 2016). The
final step s to have the proper monitoring, evaluating along with controlling whether the
implementations strategy is successful or not.
Roles and responsibilities of marketing manager
The Marketing manager has so many roles and responsibilities faces in TESCO and what
are they is mentioned below:
Become the company expert and work closely with remote and local teams to authorise
campaigns. For understanding the potential opportunities, the daily interaction with the
marketing team is necessary. Give training to the new users of the system. At first cover all the
email marketing, this role will extend with the time to cover whole area of multiple channels.
There are some responsibilities also which are mentioned below:
Establishing a strategy for price which helps to maximize profits.
Identify new customers in the market.
With the help of advertising managers, create promotions.
Understand and develop budgets, including expenses, research and development allowance
nadand projection on profit loss.
Managing and developing advertising campaigns.
Organizing conferences for the company, shows and major events also.
Building awareness of brands and positioning.
Maintaining and evaluating a strategy for market.
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Planning, directing and coordinating efforts in market.
Communicating the plan for marketing.
Developing each marketing competition from start to finish.
Research for the demand of products and services needed by Tesco.
Assess competitors
Developing marketing strategies and plans- manager of the company has to find the needs of
customers and wants, deliver them and communicate premium value. Planning is managerial
process for developing and maintaining balance between organizations which are skills,
objectives and its changing marketing opportunities. Strategic planning has four levels: division,
corporate, business unit and product.
Monitoring marketing environment- Managers have to look for the trends which are
running in the market and change them into opportunities and with the change in global
scenario, marketers have all focus on six main environmental forces which are economic,
demographic, socio-cultural, technological, political and legal forces.
Research in Marketing- At the time of seeing the environment in market, managers also
have the knowledge of the company. This particular knowledge is related to their
company's, their product, team of targeted consumers and response to their
communication efforts.
Responsibilities of manager
marketing manager have to manage all the the activities in the company and also in the market
department also. They have to Establish a price strategy which helps to maximize profits.
Identifying new customers in the market. With the help of advertising managers create
promotions. Developing and Understanding budgets, including expenses, research and
development allowance and projection on profit loss. Manage and develop advertising
campaigns. Plan for conferences for the company, shows and major events also. Building
awareness of brands and positioning. Maintain and evaluate a strategy for market. Communicate
the plan for marketing. Research for the demand of products and services which is necessary for
the organisation.
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Interrelation of marketing with other functional departments
Marketing is to learn about customers needs that wthatwhat they want, then inform to
Tesco to do the delivery of that product and services. Marketing has a great relation with every
department and how they interrelate with other functional departments is mentioned below:
Production management- department of marketing will have to work closely with the
department of production to just assure that development and research is planned to fulfill
the present and future needs of customers. The quantity of orders will generate through
marketing as they know the level of demands and they will met with the schedule which
is required for delivery. It is like that department of marketing will put deadlines which
will stretch the capability of the production department.
Department of Finance- Department of marketing have to also work closely with the
department of finance to ensure that there is enough budget to meet the needs for
promotion, research and distribution. The marketing department have to focus on volume
of sales and creating a market share, where finance department have to be focused on
covering cost, cash flow and paying back investment as soon as possible.
HR department- The department of marketing have to build strong relations with the HR
department to assure that suitable skills and staffing are in place to develop and research
new ideas for product. Meeting with the targets of production and create a competent
sales team. The HRM department have so many demands and training for recruitment
but they have to balance its responsibilities to marketing with other departments.
Importance of marketing role at Tesco
The important objective of Tesco is to develop and maintain the satisfied relationship with
both customer and company to get the benefits. At the Tesco level, marketing is essential
function of business which is necessary in all industries. Why mMarketing role is important for
the Tesco because it develops products which satisfy needs. Tesco helps to compete in the
aggressive environment which helps in lowering the prices of products. By developing
distribution system of product that offer the products to a large number of customers across the
UK and other geographic regions. The demands for products that helps Tesco to expand their
force of labor. It is important because it identify that whom to target and how Tesco reach to
them. Satisfying customers through making the right product and make it available to the right
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people at the right time. It is important because it retain customers for Tesco. Tesco have to
focus on their customers and provide a reason through which they come back and buy it
repeatedly. The marketing completely also offer techniques that acquire the ability to send text
that will change the behavior of societal in a positive way (Tatlow-Golden and et.al., 2017).
Conclusion on effective interrelationship
Success of Tesco or any other organization begins with the success of marketThatsing team.
All the departments are interlinked with each other if one department is facing problem then it is
sure that it will affect other department too. The finance department has a great impact on every
organization because it provides funds for other departments and company knows that money is
the essential factor for their organisation. By supporting the department of marketing it will
provide a lot of information which is helpful and effective in maintaining the relation of finance
department with the marketing. Surveys will create impact on production department because
through this organisation get to know that what are the things which is unlike by the customers
about the product and also helps in doing effective marketing for organisation. (Chaffey and
Smith., 2017).
Part 2
Comparing two orgnisationorganisation with the help of 7p's of marketing.
Marketing mix is actions or it can be tactics, which is used by company to promote its
brand or its product in the market. The marketing havehas its 4p's which are extended to the 7p's
which are price, product, promotion and place, people, process and physical evidence (Stephen.,
2016).
ComaprisonComparison between Tesco and Sainsbury according to the 7P's
Basis Tesco Sainsbury
Product Tesco is a huge brand and it
has large range of products at
its different stores. The
products available in the Tesco
are food, beverages, pet care
products, frozen food, bakery
Sainsbury also has large
offering for its customers
under startegystrategy of
marketing mix. They are
offering 30,000 products and
20% are from its own brand.
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products, gaming products,
technology along with mobile
and banking.
Some products which are
ready to eat meals and bakery
products, food products, home
collection and furnishings etc.
Price Tesco adopts the strategy in its
pricing. By maintaining quality
they also provides low priced
goods at the same time. Tesco
use best channels for
acquisitions to maintain low
prices. Tesco cuts promotional
expense after receiving
feedback from customers.
Tesco recently launched some
new products at low prices.
The pricing strategy of
Ssainsbury is depends upon
customers which are value for
money. Sainsbury uses good
discrimination of price policy
as per the product positioning,
thus usually access a premium
price. Sainsbury basic range of
products of kids are low and
also with excellent quality
which is value for money.
Place Tesco has more than 6900
stores in 11 countries. Tesco
has these kinds of stores which
are Tesco Metro, Tesco extra,
Tesco express and Tesco
superstore. Lso the online
shopping
Sainsbury has total 598
supermarkets and 714
convenience stores and out of
them 45 stores runs 24/7 and
the rest ones are open on
Fridays till midnight. They
offers home delivery and
online website option also. .
Promotion Promotion strategies in Tesco
are that they have a strong
image of their brand. Tesco use
Hoardings, advertisement on
television, charitable events as
promotional channel. They
provide huge discounts and
The strategy for promotion is
that Sainsbury use
promotional strategies to
attract the attention of
customer and to create its
brand name. they use the
various celebrities David
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offers like buy one get one.
Tesco has 'Tesco Clubcard'
which provides different offers
.
Beckham for advertising and
to highlight its sponsorship in
London Paralympic games.
Use of televisointelevision and
radio in ATL and sales
promotion and packaging
under BTL.
People Tesco is a leading brand and
giving work to lot of people.
These are the employees of the
company which are
selectdselected through
selection process held by
company. There are 4,80,000
employees in 11 markets.
Employees of Tesco are
supportive and help each other.
Sainsbury has well trained
experts and professionals who
knows the sensitivity of
consumer behavior. First
preference is always given to
customer by Sainsbury, giving
trainings to employees to
satisfy the needs of consumers.
They introduced level 2 craft
skills for bakers.
Process The process which Tesco
follows is that Tesco will attain
market task and kept in mind. It
was designed in that manner
that made changes from the
policies of the company which
were kept as minimum. Other
factors which are considering
the service feature,
accessibility and capacity level
of production.
Sainsbury provide online
shopping option for its
customers. Just click and
services of groceries will
comes in front of you. Also
makes changes in its pricing
and allocation of slots of
delivery which increase
number of orders and customer
loyalty.
Physical evidence It is a proof of real products
which are given to the
Sainsbury has excellent
strategy to market its products
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consumers included logos,
lableslabels, colours and
equipments are the physical
evidence used by Tesco. The
stores are also example of
physical evidence because it is
a place of that brand.
through physical evidence. It
has various layouts and
designs of stores. The quality
of trolleys and baskets assure
well shopping experience. The
layouts of shelves in the stores
are impressive and makes
shopping convenient.
Tesco is a huge brand name and through marketing mix they are promoting their products
through various methods and by implementing the proper plan which is done through proper
planning and after that they are working on their team to be more effective and increasing their
distribution channel is also helping them to achieve their objective. Sainsbury is using broadcast
media to promote and through setting up stores in the center of the market is helping them to
attract the attention of the people and at last the effective plan which they are implementing to
achieve objective is providing home delivery of their product.
Marketing planning to meet the marketing goals.
Marketing plan
Executive summary
After analyzing the changed habits of UK consumers, it seems that consumers begin to shape
the company in the sense of health consciousness and awareness of product quality. Starting
from this report aims to suggest new segment for Tesco which gathers all its organic and health
related products under the one brand or label called Tesco Wellness.
Mission-
for creating value for customers, to earn their loyalty for lifetime.
Vision-
Tesco wants be the most high value business by: the consumers they serve, the communities in
which Tesco is operating and their loyal colleagues and at last their shareholders”
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Objectives
Awareness for the organisation to achieve the goals organisation.
increase market, share by 25% till the end of year 2021.
enhance customer experience by 11% in upcoming 4 months.
increase profits by 23% till the end of year 2021..
SWOT
Strength-
Tesco has not allowed any competitor to come any close to them. No one has ever dared
to challenge them.
There is a high revenue of Tesco because of Huge brand name and this is the advantage
for the chosen organisation they don't need more promotion because of huge brand
name their stores are already known by everyone.
Weaknesses-
The weakness of Tesco is that it is not being able to provide privacy to its customers.
Because of growth in competition with wallmartWalmart, sainsbury has to face lose in
the market share.
Threats-
Other stores are finding and implementing new things for distribution of their product
and this will lead to less revenue for the organisation.
The two competitors that Tesco is feeling a threat from are wallmartWalmart and miller.
They are growing so rapidly that Tesco is scared to lose its spotlight.
Opportunities-
Tesco prepared to be marketed which could become a boost for Tesco to progress and
develop.
Chosen organisation needs to find innovative things for their product and this will be the
best opportunity for organisation to attain growth in the market.
STP process
Segmentation- The market is segmented in four dimensions which are demography,
psychography, geography and behaviour.
The relevant variable of demographic dimensions are age and income, which permit to
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distinguish, among children, young, adult and old age people and on other hand it is
among lower, middle and upper class.
Geographic dimension is relevant because various places may be associate to different
states ans shopping habits.
Psychographic dimension is more concerned about health and well being or it is
interested in new flavours, new channels or innovation in normal.
Targeting-
Tesco is adapting an everything to everyone approach which lead to covering almost all
possible segments of the market. Tesco products are for special diet requirements and different
special things according to regional preferences. Tesco has also different stores which helps to
meet the dissimilar needs and shopping habits of customers.
Positioning-
The performance is associated to the Tesco wide availability and great online service. It also
shows the unintelligibility of its brand perception and its brand communication. Tesco states on
its website that customers wants great products at a great value which they can purchase easily
and its organisation job to deliver this in the right way to customers.
4p's of Tesco organic product
Product- The company is coming out with a new device or product which is Tesco organic
product to compete with the competitors. The herbal products are good for health of the
customers and the its organic natural ingredients also (Todor., 2016).
Price- Using market skimming price strategy for Setting price of the organic products and the
pricing strategy which we will going to use is that we will set a high cost for our new product
which will lead in high profit quickly and also because they did not entered in this market
before so they need to establish the market first so that they can get in more customers.
(Yasmin, Tasneem and Fatema., 2015).
Place- The product will be sold first in US UK first to see if they can sell this product world
wide and will be accepted by the people. Tesco herbal product once becomes good enough
selling product then it will be launched all over the world.
Promotion- The company is not promoting it fully because the brand name is already totoo
strong. But Tesco is still putting its advertisements everywhere so that they can establish the
market in herbal product field too.
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Budget allocation
Key resources Price(dollar)
Raw material $200
Labour $270
Technical advancement $300
Promotion $110
Total budget $880
Hence the marketing budget for the product and services will be this.
Monitor and controlling
The price is kept low so that more and more customers want to try this new product. This
product is not make for any specific race, culture, gender, etc. This product is made for all kind
of people and for satisfying them as much as possible without damaging them. The product is
safe and satisfying according to the survey which Tesco had done with the employees and
outside people to take a feedback from them .
The quality of the product is unbeatable with the price they have put it for. Even if, the other
company's try beating this product they will not be able to (Yadav, Joshi and Rahman., 2015).
CONCLUSION
This brief describe about how marketing essential is important for organizations. Through
this all project we get to know about that how marketing concepts and marketing process helps in
achieving the desired goal for the organisation. It shows that how roles and responsibilities of
marketing manager manages all the activities within the organization. by interlinked with other
department it will result in showing benefits which comes from interlinked with other functional
departments. Explanation how role of marketing is important for organisation. With the help of
marketing mix we can see where the company is lacking and where they can do more growth.
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The plan of marketing is essential ton know the vision and mission of the company. In the end it
shows that how company can do their growth by adopting various marketing plans.
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REFERENCES
Books and Journals
Baltes, L. P., 2015. Content marketing-the fundamental tool of digital marketing. Bulletin of the
Transilvania University of Brasov. Economic Sciences. Series V. 8(2).p.111.
Bhowmik, S. and Bag, S.N., 2017. Prospects and scope of digital marketing in indian industry: a
review. International Journal of Management Research and Reviews. (4).p.490.
Chaffey, D. and Ellis-Chadwick, F., 2019. Digital marketing. Pearson UK.
Chaffey, D. and Smith, P.R., 2017. Digital marketing excellence: planning, optimizing and
integrating online marketing. Taylor & Francis.
Ryan, D., 2016. Understanding digital marketing: marketing strategies for engaging the digital
generation. Kogan Page Publishers.
Saura, J. R. and et.al., 2017. Understanding the digital marketing environment with KPIs and
web analytics. Future Internet.9(4). p.76.
Stephen, A. T., 2016. The role of digital and social media marketing in consumer
behavior. Current Opinion in Psychology.10.pp.17-21.
Tatlow-Golden, M. and et.al., 2017. A safe glimpse within the" black box"? Ethical and legal
principles when assessing digital marketing of food and drink to children. Public health
panorama. 3(04). pp.613-621.
Todor, R. D., 2016. Blending traditional and digital marketing. Bulletin of the Transilvania
University of Brasov. Economic Sciences. Series V.9(1).p.51.
Yadav, M., Joshi, Y. and Rahman, Z., 2015. Mobile social media: The new hybrid element of
digital marketing communications. Procedia-social and behavioral Sciences. 189. pp.335-
343.
Yasmin, A., Tasneem, S. and Fatema, K., 2015. Effectiveness of digital marketing in the
challenging age: An empirical study. International Journal of Management Science and
Business Administration.1(5). pp.69-80.
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