Tesco's Marketing, Sales & Negotiation Skills: A Detailed Report

This report provides an analysis of Tesco's marketing, sales, and negotiation skills. It begins with an introduction to the importance of marketing in the retail sector, focusing on Tesco, a British multinational grocery and merchandise retailer. The report includes a PESTEL analysis, examining political, economic, social, technological, legislative, and environmental factors impacting Tesco. A SWOT analysis identifies the company's strengths, weaknesses, opportunities, and threats. The marketing mix (product, price, place, promotion, people, process, physical evidence) is discussed in detail, highlighting Tesco's strategies for each element. The report also reflects on essential sales and negotiation skills, such as effective communication, active listening, research abilities, and empathy, crucial for enhancing sales performance. Recommendations for Tesco include improving marketing efforts, maintaining product quality, offering competitive pricing, and providing comprehensive sales training. The report concludes that effective marketing strategies and strong sales skills are vital for Tesco's continued success.

Marketing, Sales and
Negotiation skills

Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
PESTEL Analysis...................................................................................................................3
SWOT Analysis......................................................................................................................5
Marketing mix........................................................................................................................5
Sales and Negotiation skills....................................................................................................7
CONCLUSION................................................................................................................................8
Recommendations............................................................................................................................8
REFERENCES................................................................................................................................9
Books and Journals.................................................................................................................9

INTRODUCTION
Marketing is one of the essential functions of an organisation. It is the process of persuading
the buyers towards the organisation. It includes various functions that are done by an
organisation to attract the customers and to serve them effectively for success of an organisation
(Deepak and Jeyakumar, 2019). Marketing plays a major role in retail sector. In this report the
marketing of Tesco is taken into consideration. The marketing helps in engaging the customers
towards the organisation in order to enhance the sales of the company. It is British multinational
organisation of groceries and general merchandise retailer. It was established in 1919 has its
headquarters in UK. The marketing of company is so strong that helps the company to gain
advantage over the competitors. The company is able to enhance its reach due to effective
marketing strategies used by them. In this report there is discussion related to internal as well as
external factors that impact the success of the company. Also, the marketing mix of the company
helps to form effective strategies for the company. In the end of this report sales and negotiation
skills that help the company to enhance its sales.
MAIN BODY
PESTEL Analysis
This analysis helps to know about the external factors that have impact on the organisation.
It helps to understand the market dynamics of the environment and helps the company to
improve business continuously.
Political Factors Tesco is one of the largest retailers in the world and the company
follows all the regulations to compliance with the safety of its product.
The circumstances of all the countries where Tesco as it is this our
different. So, a company always follows the political structure of the
company and operates in a manner that there is no problem. The
headquarters of Tesco are in UK and the political condition is stable that
also helps the company to operate effectively and on more profits.
Economic Factors It is important to know that Tesco has a wide range of products and that
are consumed by a lot of customers in UK (Adamyk, 2019). No doubt
there are various environmental changes that take place but the company

operates in an effective manner and contributes to the GDP of nation.
Also, it is seen that the company has a big contribution in providing
employment to the people of UK. The company has set its price in such
a manner that people are also able to purchase its goods when the
economy was under pressure or there is inflation around.
Social factors There is continuous change in the trends. The social factors focus on
working according to the needs and wants of society. It is important to
note that a Tesco works as per the trend in the market. For convenience
of people, they provide variety of goods under one roof that helps them
to save time. The company also takes care about quality of goods that
are provided to them in order to retain them. The company provides the
products after analysing the attitude and lifestyle of people in order to
satisfy them.
Technological
Factors
The company that uses advanced technology is able to serve customers
effectively. It is important to note that uses latest means of marketing
i.e., they use digital marketing tools and it helps the company to attract a
greater number of customers (Collin-Lachaud, Reynolds and
Cuthbertson, 2018). Along with that, they provide the options of self-
checkout points that helps the company to serve customers effectively.
This helps the organisation to gain edge over its competitors and earn
more profits.
Legislative Factors The laws and legislations also have direct impact on operation of an
organisation. Tesco follows the code of principles that is given by Food
Retailing commission. At the same time the company also takes care
about the employment laws that are being applicable on them. This helps
the company to work effectively and without any intervention of
government.
Environmental
Factors
Tesco has committed to reduce its carbon footprints by 50% by 2020.
The organisation is working towards sustainability and planning to
reduce the negative impact on environment. The work to minimise the
wastage at stores and are working in an eco-friendly manner. By taking

care of environment Tesco is able to formulate strong brand image.
SWOT Analysis
This framework helps to analyse the internal capabilities of an organisation. The company
us able to analyse all its strengths and weakness that will help them to work more effectively.
The strengths, weakness, opportunities and threats are discussed below:
Strengths Weakness
 Tesco is biggest grocery retailer in UK
and it is number 1 supermarket there.
The sales of the company are also high
and the company earns huge amount
of profit (Perera, 2017).
 Tesco has achieved several
international awards such as British’s
Favourite Supermarket, Waste Not
Want Not Award.
 The company has done a fraud trial
and accounting scandal in 2017. That
caused charged on them with fines.
 The company is unable to operate in
certain parts of world such as Japan. It
is also a point of weakness for Tesco.
Opportunities Threats
 The company using latest technology
and provides the option of online
shopping to customers as well as
option of home delivery is also
provided by them.
 There are so many opportunities to
enhance the operations in emerging
countries and that will also help to
earn more revenues.
 There are large number of competitors
that are present in market and that
creates threat for the company.
 Covid-19 has also impacted the
business and they have to change their
way of working and that is another
threat for the organisation (Leiber,
Stensaker and Harvey, 2018).
Marketing mix
Marketing mix is the study of product price place and promotion that are used by an
organisation. Tesco uses the marketing mix to formulate effective marketing strategies to help
the company to earn good revenues.

Product There is a wide range of products in which
Tesco deals such as clothing food financial
services electronics etc. The company
expands the product line as per the demand in
market (Thabit and Raewf, 2018). They
provide high-quality goods to their customers
in order to retain them in the organisation.
The product is the only thing that customers
take with them and that helps the company to
achieve success.
Price The pricing strategy of a company has direct
impact on its success. In relation to Tesco the
company maintains low price in the market
that helps them to serve more customers. The
company achieved economics of scale due to
its large production. It is important for an
organisation to work in such a manner that
quality is maintained while providing the
goods and services at affordable prices.
Place The company has world wide operations. The
channels of distribution used by company is
both online as well as offline (Blut, Teller and
Floh, 2018). It helps the company to serve
customers effectively.
Promotion Using right tools of promotion is necessary
for every company. Tesco uses digital tools of
promotion in order to achieve success.
Physical evidence The stores of company are clean and that
enhances the attractiveness of the stores. They
are easy to navigate and all the products of
Tesco and find them.

People The employees of the organisation are
properly trained and that helps the company
to work effectively (Pomering, 2017). This
helps to build good relation with customers.
Process The process used by company is effective and
it helps in keeping the customers happy. They
take the grievances of customers effectively
and provide them goods and services on time.
Sales and Negotiation skills
The sales manager of an organisation plays a vital role in success of an organisation. It is
important to note that Tesco is third largest retailer in the world if measured in gross revenue.
The skills of sales manager and quality of goods provided by company helps them to earn ample
amount of revenue. The various sales and negotiation skills are as follows:
Effective communication skills: There is need of good and effective interaction skills in order
to enhance sales of the organisation. As it helps to understand the customer’s needs and wants. I
have analysed that the person is able to persuade them with their good communication skills
(Rippé, and Dubinsky, 2018). This skill helps them achieve high sales and attain success.
Be a good listener: A sales person should have ability to listen to the customers. The person
should listen to the customers and understand what they want. I have learnt that it makes easier
to sell the goods by first listening to the problem of customers and then providing them solution
of problem.
Research skills: I have also analysed that there is need of good research skills that will help the
organisation to achieve success (KESTANE, 2020). It is necessary to know about the trends in
market and that can be done through conducting effective research.
Empathy: There is need to empathise the customers as it directly helps to enhance the sales. I
have evaluated that by changing the places and thinking from point of view of customers will
help to provide better services to customers.
All these skills help to work in an effective manner and enhance the sales of organisation.
A person that is able to communicate effectively is asset for an organisation.

CONCLUSION
From the above report, it is analysed that there is need of proper marketing in an
organisation as it helps to achieve marketing objectives in an effective manner. At the same the
company should know about the external factors and their impact on their business. As it also
facilitates the company to form effective marketing strategies and deal with the factors
effectively. There are various strengths and weakness of company that are internal to the
company and help in success of organisation that are also analysed in the report. There is also
discussion related to marketing mix used by the company in order to promote the product. In the
end on the report there is reflection on the skills that are required by a good sales person.
Recommendations
The following are the points of recommendation for Tesco:
1. The company must work of marketing and should provide offers and discounts to the
customers. As there are so many competitors present in market. Providing offers and
discounts will help in gaining competitive lead.
2. The company must maintain quality of good and the prices should be affordable. This is
helpful in retaining the customers for longer duration of time. They must also take care
about proper safety and hygiene of customers to form strong image in market.
3. They must provide effective training and development to the sales person in order
enhance their skills and knowledge. This will also lead to increase in sales of the
company.

REFERENCES
Books and Journals
Adamyk, K., 2019. PESTLE Analysis on Tesco PLC.
Blut, M., Teller, C. and Floh, A., 2018. Testing retail marketing-mix effects on patronage: A
meta-analysis. Journal of retailing, 94(2), pp.113-135.
Collin-Lachaud, I., Reynolds, J. and Cuthbertson, R., 2018, July. Track: Retail Marketing Who
are the retailers now?. In Academy of marketing.
Deepak, R.K.A. and Jeyakumar, S., 2019. Marketing management. Educreation Publishing.
KESTANE, S.Ü., 2020. DYNAMICS OF PERSONAL SELLING AND CHANGING SALES
SKILLS IN THE DIGITAL AGE. Pazarlama ve Pazarlama Araştırmaları
Dergisi, 13(2), pp.285-304.
Leiber, T., Stensaker, B. and Harvey, L.C., 2018. Bridging theory and practice of impact
evaluation of quality management in higher education institutions: a SWOT
analysis. European Journal of Higher Education, 8(3), pp.351-365.
Perera, R., 2017. The PESTLE analysis. Nerdynaut.
Pomering, A., 2017. Marketing for sustainability: Extending the conceptualisation of the
marketing mix to drive value for individuals and society at large. Australasian
Marketing Journal, 25(2), pp.157-165.
Rippé, C.B. and Dubinsky, A.J., 2018. Trust me, I’ma physician using sales skills: Enhancing
physician–patient communication through the personal selling process. Health
marketing quarterly, 35(4), pp.245-265.
Thabit, T. and Raewf, M., 2018. The evaluation of marketing mix elements: A case
study. International Journal of Social Sciences & Educational Studies, 4(4).