A Detailed Analysis of TESCO's Marketing Process and the Marketing Mix

This report provides a detailed analysis of TESCO's marketing strategies, focusing on the marketing process and the role of the marketing mix. It begins with an introduction to marketing and its objectives, emphasizing the importance of attracting and retaining customers. The main body of the report outlines the marketing process, including understanding the market, designing a customer-driven strategy using the STP model (segmentation, targeting, and positioning), constructing an integrated marketing plan incorporating the 4 Ps (product, price, place, and promotion), building profitable customer relationships, and capturing customer value. The report also examines the role of the marketing mix in new product development, delivering customer value, and facilitating competitive advantage. The conclusion summarizes the key findings, and the report includes a list of references for further reading.

The marketing process

Table of Contents
INTRODUCTION.......................................................................................................................................3
Main Body...................................................................................................................................................3
Marketing process...................................................................................................................................3
Role of marketing mix.............................................................................................................................6
CONCLUSION...........................................................................................................................................7
REFRENCES..............................................................................................................................................8

INTRODUCTION
Marketing is an activity which aims to attract new buyers and retain existing customers
with an aim to earn substantial amount of revenue. Main aim of marketing is to advertise and
promote goods & services in such a manner that customers get attracted and eventually take
necessary action (Robertson, 2017). In marketing, significant efforts are put in order to make
long term relationships with buyers so that they do not switch over other brands. The present
report is based on TESCO which is a renowned chain of supermarket based on UK. It deals in
groceries and other general items and also prepares significant strategies in order to stay in
market for longer period of time. The present report comprises marketing process along with role
of marketing mix.
Main Body
Marketing process
Marketing process is a combination of different activities which are combined together in
order to attain predefined goals within stipulated period of time. It comprises a series of various
activities which allow an organization to identify problems, analyze opportunities available at
market place and at end create marketing strategies for reaching desired audience (Rudawska,
2018). Each and every company follows a specific marketing process for making efficient use of
available resources and accomplishing set goals. For this purpose steps of marketing process are
given as under:
Understanding the market place and need & wants of customers: It is the first step as
per which customers are required to gather significant information regarding market place and
also about needs & wants of customers. In current challenging environment, it is important to
gather information regarding customer’s needs and wants for building trust and values. If,
company offers goods and services to buyers as per their requirement then it significant help in
maintaining long term and positive relationships. For this purpose, it is important to first
undertake detailed market analysis in order to know requirements of buyer. Market trend is also
likely to change over the period of time. So, it is vital to gather necessary information for
formulating effective strategies in order to sustain in market place for significant period of time.

In this regard, marketers of TESCO carry out detailed market analysis with an aim to gain
familiarity with needs, wants and demands of buyers for ensuring positive outcomes in future
period of time.
Designing a customer driven marketing strategy: In this step, marketers are required to
design an efficient marketing strategy by which, it is easy to gain the attention of customers.
Here, they are required to identify target segment and also need to select an USP for attracting
customers in an efficient manner. In this, organization applies a model called STP analysis for
selecting specific customers groups. For this purpose, STP model is described below:
 Segmentation: It is the first step of STP model under which the whole population is
divided into smaller groups under which individuals having similar characteristics,
attributes are combined together in order to formulate a group (Hoque and et. al., 2018).
Here, groups are formulated on the basis of demographic, geographic, psychographic and
behavioral aspects. In reference of TESCO, they adopt demographic and geographic
segment where they divide audience based on age, income, location and other such
factors.
 Targeting: After segmentation, the next step is to select target audience. In this,
marketers select a specific group to target. They formulate strategies by keeping the
target audience in mind. It is imperative to select target segment with due diligence as it
affects revenue, profit margin of organization significantly. They target to both lower as
well as upper income group of people by providing products in different price range.
 Positioning: It is the last step of STP model under which marketer put utmost efforts in
order to create positive image of brand among target group. For realizing this aim, they
also formulate appropriate promotional and advertisement strategies. In reference of
TESCO, they have been successfully established positive images of brand over the period
of time.
Construct integrated marketing plan that deliver superior value: Marketing strategy of
organization outlines its customer segment and the way in which company will create
value(Hyder, 2016). In this regard, marketers formulate an integrated plan of marketing for
creating trust among target segment. It includes marketing mix which is a combination of 4 P’s
that are mentioned as under:

 Product: It refers to the attributes of product and service for which customer make
purchase. Product includes different characteristics, features in order to satisfy
requirements of buyers. Product is a crucial element of marketing mix which put a
profound impact over customers. Hence, TESCO offers varieties of products and services
for receiving higher level of customer satisfaction.
 Price: Under this, price of products and services is determined. There are a lot of
methods of price determination. Marketers are required to set a price in such a manner
which can easily afford by target segment. In this regard, TESCO determines different
price for different products for ensuring higher ease & convenience for buyers.
 Place: It depicts the place from where products and services are offered to customers. For
this purpose, it is required to ensure appropriate supply and distribution management so
that customers receive timely delivery of goods. In context of TESCO, they have outlets
at different places from where they offer products to buyers.
 Promotion: This element of marketing mix signifies promoting and advertising goods &
services for gaining attention of customers in significant manner. There are a lot of ways
by which products and services can be promotes such as personal selling, direct
marketing, advertisement, online mediums and more. TESCO also adopts ample of
traditional as well as advanced approaches of promotion & advertisement.
Build profitable relationships: Customer relationship is a process of formulating and
maintaining profitable relationship with customers through delivering superior values to
customers. Customer relationship management is crucial to build strong and long term
relationship with buyers (Low, Gao and Mohdari, 2016). For effective customer relationship, it is
vital to provide them superior values & experience. In reference of TESCO, they value
customers and emphasis on maintaining long term relationship with them for getting positive
results in future period of time.
Capturing value from customers: It is the last step where marketer emphasis to build strong
relationship with buyers for producing higher customer equity. If, the customer are loyal then it
will enlarge customer equity which is used to measure current market performance of company.
For this, marketers of TESCO are required to formulae appropriate strategy so that they can build
trust, value among customer groups in significant manner.

Managing marketing process: It is the last stage of marketing process under which
marketers are required to keep control over all the marketing activities and functions. Here, it is
required to analyze the outcomes and then take appropriate set of actions for meeting with
predefined goals in an efficient manner.
Role of marketing mix
Marketing mix is a tool which is used for gaining competitive edge in market place. It is a
crucial tool which combines different elements and further helps in preparing effective strategies.
There are elements such as product, price, place and promotion included in marketing mix. Apart
from this, some other additional elements such as process, physical equipments and people are
also covered in expanding marketing mix. For this purpose, role of marketing mix is given
below:
Helps in new product development: It is stated that marketing mix is used for developing
a new product and service. While designing a new product, elements such as price, place
promotion are taken into consideration (Vellas, 2016). Marketing mix plays a vital role in
developing new products and services in order to meet with needs & requirements of buyers in
significant manner.
Delivering value to customers: Marketing mix also plays an important role in delivering
values to customers. Here, marketer prepares significant strategies so that customers receive
products & services as per their requirement which is really important for gaining higher level of
customer satisfaction. Customers are regarded as vital part of business so it is important to
provide them timely and effective services in order to produce customer equity.
Facilitate competitive advantage: In current challenging environment, there is extensive
competition present in market place for which it is required to prepare suitable strategies (Kemp,
2016). Marketing mix plays a vital role in preparing significant strategies which further help
organization in order to provide unique products & services to customers. Marketing mix
provides an edge to company over rival firms for sustaining in challenging environment for
longer period of time.

CONCLUSION
It is monitored with above mentioned information that marketing is a business function
which is related with promoting products and services at wide level with an aim to earn
substantial amount of sales and profit margin. There is discussion regarding marketing process
and role of marketing mix in success of an organization.

REFRENCES
Books and Journals
Hoque and et. al., 2018. Moderating effects of marketing communication and financial
consideration on customer attitude and intention to purchase Islamic banking
products. Journal of Islamic Marketing.
Hyder, S., 2016. The zen of social media marketing: An easier way to build credibility, generate
buzz, and increase revenue. BenBella Books, Inc..
Kemp, G., 2016. Public relations in marketing. The practice of public relations.
Low, S.P., Gao, S. and Mohdari, M.M., 2016. Marketing importance and marketing performance
measurement of architecture firms in Singapore: an exploratory study. Construction
Management and Economics, 34(11), pp.739-750.
Robertson, T.S., 2017. Business model innovation: a marketing ecosystem view. AMS
Review, 7(3), pp.90-100.
Rudawska, E., 2018. From sustainable market orientation to sustainability marketing. In The
Sustainable Marketing Concept in European SMEs. Emerald Publishing Limited.
Vellas, F., 2016. The international marketing of travel and tourism: A strategic approach.
Macmillan International Higher Education.