Tesco's Marketing: 7Ps, SWOT, Ansoff Matrix & Digital Strategies

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This report provides a comprehensive analysis of Tesco's marketing strategies, examining how the company utilizes the 7Ps of marketing to create consumer value. It justifies how Tesco can maintain a competitive edge through effective marketing, supported by a SWOT analysis. The report also describes Ansoff's growth matrix and its application to achieving brand success, along with an explanation of how Tesco can leverage digital marketing to enhance performance and growth. The analysis concludes that Tesco has created significant value for its customers by using effective marketing mix elements, gaining competitive advantages through key strengths, and achieving business growth by implementing strategies from the Ansoff's growth matrix model. Furthermore, digital marketing has improved the organization's performance and contributed to outperforming its rivals.
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INTRODUCTION TO
MARKETING
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK ..............................................................................................................................................3
1- Explaining what is mean by marketing and how 7ps are utilized to create consumers value 3
2- Justifying how TESCO can use marketing to remain competitive for that SWOT analysis is
used.............................................................................................................................................4
3- Describing Ansoff's growth matrix and its usage to become a successful brand...................5
4- Explaining how company can use digital marketing to improve its performance & growth 6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
Marketing term encompasses varied activities and practices that help companies to grow
and get success while operating in specific sector. The current assignment will base on TESCO,
which falls under list of top 10 supermarket in the world. The study will define marketing term
and explain how 7ps are utilized to create consumers value. Furthermore, it will describe how a
company can utilize marketing to remain competitive, for which SWOT analysis will be used.
The report will justify how can company use Ansoff's matrix to become successful and also
clarify how it can utilize digital marketing to improve performance and boost growth.
TASK
1- Explaining what is mean by marketing and how 7ps are utilized to create consumers value
Marketing means finding out what consumers want, then developing and promotion those
goods at right place in appropriate market (Boyd and Koles, 2019). It defines as process of
advertising goods in profitable market where many customers are seeking to purchase quality
products or services for longer period. It associated with purchasing, promoting, distributing and
selling an item/service.
7ps of marketing mix-
In the world of business, many marketers used varied forms of approaches, concepts and
techniques to create value for their target customers. Here, 7ps of marketing mix as a concept is
used to do so, by using its key elements that are;
Product-
TESCO in order to create consumer value may adopt effective product strategy in term of
selling pet care products, Frozen food, technology, bakery items, gaming goods, home, garden,
toys etc (Rosnizam and et.al., 2020). All these goods creates value for each buyer, because firm
may sell these in appropriate quality and quantity.
Price-
Firm may create value to its consumers, by choosing right pricing strategy, because it is
one of those sources that help to gain attention of customers and provide value to them
(Septianto, Lee and Putra, 2020). Supermarket may use cost leadership pricing tactic, which is
quite beneficial for buyers and its ventures as well.
Place-
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A company may creates consumer value when it chooses the most effective distribution
place in context of services and products (Lubańska, 2020). In case of Tesco, firm may sell its
quality goods via more than 69,000 outlets that has been established in 11 nations where local
people easily reach.
People-
When staff provides better service to consumer in term of before and after purchase
services, they may contribute to create buyer value, which make each customer able to retain
with brand for longer.
Process-
Company may use effective tactic in context of this element in term of designing
company policies and rules that each candidate need to follow.
Promotion-
TESCO use the best marketing tactics in term of promoting its products and services as
well via hoardings, TV advertising etc. Its promotional practices and activities are centred on
venture theme.
Physical evidence-
It stands as an evidence of authentic items provided to consumers by TESCO. Firm show
its existence and authenticity by using logos, equipment and labels.
2- Justifying how TESCO can use marketing to remain competitive for that SWOT analysis is
used
Marketing is one of those components that contribute to gain competitive edge and
provides a lot of benefits in varied terms, for example it also helps TESCO to remain
competitive, when company may utilize this element in effective and systematic manner (Iwu-
James, Haliso and Ifijeh, 2020). Here, SWOT analysis is utilized to define that company can use
marketing in the way which help to remain competitive within retail industry for longer time
period.
SWOT analysis-
Strengths-
Employees are the key strength of varied companies like TESCO, they contribute to
remain competitive by using their skills relate to marketing in term of developing influencing
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content and strategic marketing plans which help to gain attention of profitable buyers and retain
existing for longer period of time.
Weaknesses-
Low cost tactic is one of TESCO weaknesses that may affect marketing process and
profits margin in negative manner. It may bring barriers in procedure of remaining brand as
competitor. For example, many consumers consider low cost product as worthless because of
price tag.
Opportunities-
Emerging online channels that many marketers has used to promote their goods and
ventures in market, has provided benefits to companies like TESCO in term of making firm able
to remain competitive by using effective digital marketing platforms where population has
created their accounts to get more information about quality products.
Threats-
Intense competition within retail industry may affect marketing activities of TESCO in
negative manner as it increase pressure upon management to develop the most influencing
content & plan that its rivals may not create every, it helps firm to be competitive.
3- Describing Ansoff's growth matrix and its usage to become a successful brand
Ansoff's matrix is the best strategic framework that caters a concept to help marketers
which they may use to grab further growth (Chintalapati, 2020). This model is utilized by many
companies in order to analyse and plan their tactics in effective manner relate to venture
progress, which is quite essential to grow. It encompasses four strategies that a company may use
according to suitability.
Usage of Ansoff's matrix by ventures to become successful-
Market penetration-
An organization may use this model in term of using market penetration tactic. It may use
in style of focusing on current products and target customers. A company like TESCO may focus
on improving existing items, which made it capable to become a successful brand, because
improvement always add value that firms may offer to its consumers which help to retain
potential buyers for longer.
Market development-
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Businesses may use this strategy to become a successful venture within the world of
business in term of concentrating on selling their current products to a new market, where
potential buyers seeks to buy quality products from a well-reputed brand or companies. When
firm target new customer, it may contribute to increase its sales and productivity, which is quite
beneficial for a company.
Product development-
It is one of the best and most effective strategies that help a company to grow even better
than its rivals and allow to be a successful venture. According to this strategy, businesses may
become successful by producing and launching a new item after considering key market trends,
which is quite important for better growth and unpredictable success in market where an
organization is operating its venture.
Diversification-
Above three Ansoff's growth tactics are beneficial and useful, just like current one. As it
also help a venture to become successful in term of targetting new customer for its new product.
Diversification tactic drives the attention of management towards attempt to get a new item in
front of a whole new target segment.
4- Explaining how company can use digital marketing to improve its performance & growth
Digital marketing is defined activity of advertising and selling a good or service by
marketers via leveraging online marketing strategies such as search promoting, social media and
email marketing.
It provides excellent return investments more than traditional marketing platforms that a
company for example TESCO may use, which provide benefits in term of improving business
performance as well as growth in effective manner.
TESCO can utilize digital marketing concept to enhance its venture performance and
progress in term of creating as social media accounts where marketers may upload or post
valuable information about its goods, which help to generate brand awareness (Adam and et.al.,
2020). It also contributes to improve performance in term of taking feedbacks from buyers
reading goods quality, which let management able to identify possible areas where
improvements according to customers feedback or reviews are important.
It can be analysed that digital marketing is the essential factor that foster business growth
and drive its attention towards success. It made organization able to connect bulk of customers in
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just one time and give chance to identify their needs, expectations and requirements. Along with
these benefits, digital marketing give chance to create more consistent branding in effective
manner that supports to improve performance and let company grow even better than its
competitors, such as ASDA, Morrison's, Sainsbury etc.
It presents unique chance for ventures to develop a consistent brand, by displaying logo,
slogan, mission, vision, product images and showing its quality via videos, which marketing
teams may upload at the most influencing social media platform. It may also give opportunity in
term of growth by expanding consumers outreach.
CONCLUSION
From above analysis it has been concluded that company has created great value to its
target customers by using effective and useful marketing mix element in term of 7Ps.
Organization has gained competitive advantages by using its key strengths and gaining business
growth opportunities. Furthermore, by summing up above discussion, it has been identified that
firm was leading at top-level as well-reputed and profitable brand by using the best growth
strategies that has been taken from Ansoff's growth matrix model. Moreover, from above report,
it has been determined that digital marketing has improved the performance of organization and
has contributed to grow even better than its rivals.
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REFERENCES
Books and journals
Adam, M. and et.al., 2020. The Role of Digital Marketing Platforms on Supply Chain
Management for Customer Satisfaction and Loyalty in Small and Medium Enterprises
(SMEs) at Indonesia. International Journal of Supply Chain Management. 9(3).
pp.1210-1220.
Boyd, D. E. and Koles, B., 2019. An introduction to the special issue “virtual reality in
marketing”: definition, theory and practice.
Chintalapati, S., 2020. BankBuddy. ai—Business Expansion and Marketing Dilemma: A Case
Study to Discuss the Ansoff Growth Matrix Concepts Combined with Business
Expansion Strategies for Expanding into Emerging Markets. Emerging Economies
Cases Journal. 2(1). pp.44-53.
Iwu-James, J., Haliso, Y. and Ifijeh, G., 2020. Leveraging competitive intelligence for successful
marketing of academic library services. New Review of Academic Librarianship. 26(1).
pp.151-164.
Krizanova, A., and et.al., 2019. The effectiveness of marketing communication and importance
of its evaluation in an online environment. Sustainability. 11(24). p.7016.
Loredana, E.M., 2017. The use of Ansoff matrix in the field of business. Annals-Economy
Series. 2. pp.141-149.
Lubańska, A., 2020. Evaluation Of The Cooperation Of Fruit And Vegetable Producers With
Large-Format Retail Chains–Opportunities And Risks. Roczniki (Annals). 2020(1230-
2020-1875).
Nizam, N. Z. and Jaafar, J. A., 2018. Interactive online advertising: The effectiveness of
marketing strategy towards customers purchase decision. International Journal of
Human and Technology Interaction (IJHaTI). 2(2). pp.9-16.
Rosnizam, M.R.A.B. And et.al., 2020. Market Opportunities and Challenges: A Case Study of
Tesco. Journal of the Community Development in Asia. 3(2). pp.18-27.
Septianto, F., Lee, M.S. and Putra, P.G., 2020. Everyday “low price” or everyday “value”? The
interactive effects of framing and construal level on consumer purchase
intentions. Journal of Retailing and Consumer Services. 58. p.102317.
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