A Comprehensive Report on Internet Marketing for Tesco

This report provides a comprehensive analysis of internet marketing strategies, specifically focusing on the case of Tesco. It begins with an introduction to internet marketing and its various elements, including e-commerce, digital marketing, and e-business. The report then identifies and evaluates the internet marketing mix, encompassing e-product, e-price, e-place, and e-promotion, emphasizing the importance of adapting to customer needs. A comparison of different internet marketing tools, such as search engine marketing, email marketing, and mobile advertising, is presented, followed by an examination of Tesco's interactive order processing system. The report also delves into the mechanism of search engine marketing and provides an example of an opt-in email marketing newsletter. Furthermore, it outlines guidelines for maintaining online public relations and explores the use of new digital media communities in internet marketing. The report concludes with a discussion on conducting secondary market research, designing online surveys, and utilizing electronic customer relationship marketing in the context of Tesco, culminating in the production of an outline internet marketing plan.

Internet
marketing
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CONTENTS
Introduction.................................................................................................................................................3
1.1 Various elements of internet marketing ...........................................................................................3
1.2 Identification and evaluation of internet marketing mix ..................................................................3
1.3 Comparison in between different internet marketing tools ............................................................4
1.4 Examination of interactive order processing of Tesco.......................................................................4
2.1 Demonstrate the mechanism of search engine marketing................................................................5
2.2 Write the copy for a suitable opt-in email marketing newsletter......................................................5
2.3 Guidelines for maintaining online public relationship.......................................................................6
2.4 Use of new digital media communities in internet marketing ..........................................................6
3.1 Conducting of secondary market research .......................................................................................7
3.2 Designing on an online survey ..........................................................................................................7
3.3 Use of electronic customer relationship marketing in the context of Tesco......................................8
4.1 Producing of an outline internet marketing plan...............................................................................9
Conclusion...................................................................................................................................................9
References.................................................................................................................................................10
.............................................................................................................................................................11
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INTRODUCTION
In the modern era, internet marketing is considered as one of the effective parts of
marketing management which helps organization to promote its products and services through
using internet (Internet marketing, 2015). With the help of internet marketing, commercial entity
will be able to enhance the level of communication with customers along with developing better
relationship with them. Further, it helps management of company to increase its profitability as
well as its number of customers. By considering these advantages, the present report is focused
on describing the elements of internet marketing as well as internet marketing mix. Further, it is
focused on adopting suitable techniques in order to perform business practices in an effective
manner that are related to internet marketing. For better understanding of this report, Tesco has
been selected.
1.1 Various elements of internet marketing
Tesco is one of the leading retail companies in UK which provides a range of household
products to its customers including food items, clothing, cosmetics, toys and kitchen appliances.
Main aim of company is to provide better quality of products to its customers in an affordable
prices (Castronovo and Huang, 2012). In order to communicate with customers about the quality
of products and services, management of company is mostly focused to conduct their marketing
practices through internet. For making its marketing campaign more effective, business entity
considers major elements of internet marketing. These elements are as follows:
 E-commerce: E-commerce is an effective tool which is used for selling and purchasing
products through using the sources of internet. It includes various types of software,
technology and applications which help users to get services that are related to internet
banking, online fund transfer, internet marketing, transaction processing and inventory
management system (Hanson and Kalyanam, 2007). Further, it involves World Wide
Web for the purpose of rendering trading services to the customers. It is one of significant
section of e-business and it allows management of Tesco to sell goods and services with
an assistance of internet. Classification of key methods can be as mobile phones, EDI,
etc.
 Digital marketing: With the help of digital marketing, advertisement and promotion of
products or services can be promoted in an effective manner through using computer
networks as it helps Tesco to attract customers in higher extent (Digital Marketing,
2015). It consists three major tools including social media marketing, web marketing and
email marketing. It is one of most commonly used method that provides various
opportunities to business. There are number of tools that can be used by management of
Tesco such as smart phones, social media, etc.
 E-business: It is similar to E-commerce but it is applied to a higher extent. With an use
of E-business, Tesco Plc is focused towards accomplishment of long term objectives by
contacting their customers through internet, technology and applications (Agarwal, Athey
and Yang, 2009). It is not considered as a way of selling goods and services but also a
method that plays key role in customer services and accomplishment of various customer
needs.
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1.2 Identification and evaluation of internet marketing mix
In order to attract customers in an effective manner, it is essential for the management of
Tesco to focus on the major elements of internet marketing mix. With the help of marketing mix,
organization will be able to deliver better quality of products to its customers in reasonable price
through suitable sources.
 E-product: By considering this element, it is required for company to maintain its quality
of products as per the needs of customers (Soliman and Youssef, 2003). Along with this,
it is needed for them to render proper and correct information on the internet about its
product’s feature, characteristics, and prices as well as content used in it.
 E-price: By using internet, customers try to compare the prices of same products
delivered by different company. Due to this, Tesco needs to sell its products in an
affordable prices. Along with this, it should focus on providing fair information about the
prices of goods.
 E-place: In modern era, mobile marketing has been emerged as one of the best tools for
internet marketing (Garrett, 2010). Therefore, it is required for business entity to develop
its smartphone application in order to communicate with customers.
 E-promotion: In order to promote its products through internet effectively, management
of Tesco should focus on social networking sites which include huge amount of
population for communicating about products and services (Hanson and Kalyanam,
2007).
1.3 Comparison in between different internet marketing tools
Major tools included in internet marketing tools are relate to E-commerce, digital
marketing and E-business. Comparison between all these tools are mentioned below as:
Search engine marketing: Tesco Plc can focus on use of this tool in order to have better
promotion of its official portal so that its visibility can be enhanced over search engines. It is all
about increasing traffic over website so that products and services can be sold in effective
manner.
Email marketing: Company also focuses on use of e-mail in order to communicate with its
customers. Management of Tesco can communicate with employees using email. Significant
information can be provided to customer’s by sending them information about various products
and services. It will also attract more and more customers towards business.
Mobile advertising: The world is empowered with the presence of smart phones. Tesco makes
an easy connection with its customers through mobile phones which provides the facility of
internet. Tesco has marked its presence through launching its mobile app.
Pay per click advertising: In this, company has to pay some amount for use of internet
marketing tools. Tesco has to pay certain fee when its advertisements are being viewed by any
service user. It is one of significant tool that increases company visibility in the market.
1.4 Examination of interactive order processing of Tesco
In order to ensure the effectiveness of their online services, management of Tesco is
focused on maintaining its operations related to order processing. In case of Tesco, innovative
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technology and software are used to maintain the records of delivery and rendering products and
services on time through online (Goi, 2009). In accordance to this, an official electronic order
processing system is used by the management of company. This system helps company to
maintain the overall records about the order processing and delivery of products. When
customers makes any online order through using official website of company and smart phone
application, that order is recorded in the official system of company. After receiving order, a
confirmation message is delivered to that customers through this system that his or her order has
been received.
In Tesco, there are different departments that handle order procession of separate
products. When, products start to deliver than another message is sent to them related to date of
delivery from company and duration of time in which products will be reached to customers.
After the overall process, company allows customers to give their feedback about products and
order processing (Mangold and Faulds, 2009). Further, at the time of rendering online services, it
is required for the management of company to ensure the security of information collected from
the customers for eliminating the chances of misusing of that information.
2.1 Demonstrate the mechanism of search engine marketing
Search engine marketing is based upon the concept of search engine optimization which
includes a range of tactics, strategies and techniques that are used to enhance the number of
visitors on search engine for the official site of company. With the help of search engine
optimization, management of Tesco can obtain high rank for its websites on the Yahoo, Google,
Bing and other search engines for the purpose of attracting more number of customers. In the
modern era, search engine is mostly considered by most of the people to gain information
regarding the products and services provided by different company in order to take purchase
decisions effectively. By using different search engines, Tesco can promote its products and
services in an adequate manner in front of people (Sen, 2005).
Furthermore, search engine optimization helps company to get highest position in the list
of search results when customers search about the same products which are delivered by Tesco
or when he or she searches for the best retail companies. Along with this, it gives an opportunity
to include various types of keywords on the search engine that can be entered by the users at the
time of searching (Edelman, Ostrovsky and Schwarz, 2005). When customers enter the similar
keywords on the searching bar, it directly link to the company’s websites.
2.2 Write the copy for a suitable opt-in email marketing newsletter
Opt-in email marketing is one of the effective practices of marketing which includes a
ranges of electronic techniques and tools for the purpose of selling products to the customers.
With the help of this marketing, proper information related to products and services are
communicated with customers through using email newsletters. In case of email newsletters,
invitation to treat or an offer is given to the customers in terms of sale, discounts and other
seasonal offers (Hollensen, 2015). By using this, Tesco can informed its existing and new
customers about the availability of new products at its store. An example of Email newsletter
used by Tesco is as follows:
Welcome to Tesco
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Dear customers,
This is to inform you that company is offering 50% discounts on the products of
clothing, footwear and kitchen appliances for the occasion of Christmas. Along with this, there
are also 20% discounts on the cosmetics products and food items. This is such a big opportunity
for both company and customers to make their Christmas happy as well as prestigious. For any
queries about discounts, you can contact with customer care department at our store and you can
also submit your queries on the official website of company.
2.3 Guidelines for maintaining online public relationship
In order to maintain better public relationship through online, firstly it is necessary for the
management of Tesco to provide fair and accurate information to its customers that is displayed
on its official website. Along with this, it is necessary for company to maintain proper
communication with customers on the regular basis as lack of communication leads to enhance
the chances of misunderstanding between the companies (Kottler and Keller, 2006). Further,
Tesco should focus on understanding the needs and requirements of customers for developing
better relationship with them. For the same purpose, business entity needs to focus on gaining the
confidence and trust of customers by rendering them better quality of products according to their
needs.
Moreover, taking feedback form customers on time to time is also an effective solution
through which management can analyze the complaints and demands of customers in the respect
of products and services. Proper identification of customer’s complaints and demands will lead
business to maintain better public relationship through online (Castronovo and Huang, 2012).
Further, it should focus on maintaining the effectiveness of order delivery for developing
effective online public relationship. In the modern era, social media is the best tool for the
communication and developing relationship. So, it is necessary for company to get updated on
social networking sites such as Facebook, Twitter etc.
2.4 Use of new digital media communities in internet marketing
In case of Tesco, new digital media communities that can be used by the marketing
manager of company are as follows:
 File sharing sites: In this competitive world, using multiple channels for marketing and
promotion of products is crucial for business entity to gain competitive advantage. In this
aspect, file sharing site is one of the effective ways for sharing information with
customers. It is a type of website that can help Tesco to inform its customers about its
products and services as well as other business practices (Hanson and Kalyanam, 2007).
It is valuable source for attracting people as it is a way of promotion which is conducted
by someone else on the behalf of company.
 Social media: In the present era, social media has been emerged to a higher extent for the
purpose of exchanging information between customers and company. Main advantage of
social media is that it is focused on providing instant feedback on the information
updated by company (Soliman and Youssef, 2003). Further, it also includes an advantage
of communicating with large number of people at the same place at very less cost. By
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using social media, management of Tesco can also be measured its market position
through conducting survey.
3.1 Conducting of secondary market research
Secondary market research is an appropriate technique to evaluate information regarding
the products, services and practices of organization. Along with this, it can help the management
of Tesco to get better solutions for resolving their issues. As per the view point of Garrett (2010),
it has been analyzed that internet marketing is one of the best means of attracting a large amount
of customers towards the products of company by providing them proper information about
products and services. By increasing the number of customers, internet marketing helps company
to achieve its sales targets on time along with enhancing its revenue and profitability. In the
modern era, internet marketing is considered as a less expensive technique of marketing and
promotion of products that leads to enhance the popularity of company to a higher extent
(Garrett, 2010).
According to the study of Goi, (2009), it has been found that retail companies such as
Tesco, ASDA etc. need to focus on spending its money for marketing of products through
internet in the initial stage of product’s launch. By doing this, management of company can gain
proper knowledge about the demand and needs of customers related to new developed product.
For the same, it is stated by Constantine (2006) that internet marketing provides benefits to
business entity in order to contact properly with its customers for attracting them towards its
offering. Along with this, it leads to enhance the market share of company in the market place.
3.2 Designing on an online survey
Online survey is an important part of marketing that can help the management of Tesco
to understand the needs of customers as well as their perception towards its products and services
(Mangold and Faulds, 2009). Through understanding the review of customers, business entity
will be able to modify its products and services as per the customer’s needs. For conducting
online survey in an effective manner, questionnaire is the best method that includes a range of
questions regarding the products and services of company.
Questionnaire:
Name:
Age:
Gender:
1. How often you satisfied with the quality of products and services provided by Tesco?
 Highly dissatisfied
 Dissatisfied
 Neutral
 Satisfied
 Highly satisfied
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How often
you satisfied
with the
quality of
products and
services
provided by
Tesco?
Highly
dissatisfied 2
Dissatisfied 2
Neutral 3
Satisfied 4
Highly
satisfied 4
As per the above statistics, it can be interpreted that out of 15 respondents most of are
highly satisfied with the quality of products and services provided by the Tesco. It means
company is having better opportunities. It has also been spotted that only four are in against of
the statement.
2. Do you agree upon that online services provided by Tesco is appropriate?
 Strongly disagree
 Disagree
 Neutral
 Agree
 Strongly agree
2. Do you
agree upon
that online
services
provided by
Tesco is
appropriate? Frequency
Strongly
disagree 1
8

Disagree 2
Neutral 4
Agree 3
Strongly
agree 5
It has been spotted that the out of 15 respondents, 5 has said that they are strongly agree
with the statement that the online services provided by Tesco Plc are appropriate and it boosts
the effectiveness of business.
3. Which factor is considered mostly by you at the time of online shopping?
 Security
 Features of products and services
 Time
 Range of products
3. Which
factor is
considered
mostly by you
at the time of
online
shopping? Frequency
Security 4
Features of
products and
services 3
Time 3
Range of
products 5
It has been spotted that the out of 15 respondents, 5 has said that they believe that range
of product is one of critical and significant factor for in online business and company must focus
on improvement in its product line. It has also been noticed that rest of four are in favor of
security.
4. According to you, Tesco is focused on developing better relationship with customers through
internet marketing.
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 Strongly disagree
 Disagree
 Neutral
 Agree
 Strongly agree
4. According
to you, Tesco
is focused on
developing
better
relationship
with
customers
through
internet
marketing. Frequency
Strongly
disagree 0
Disagree 2
Neutral 4
Agree 4
Strongly
agree 5
It has been spotted that the out of 15 respondents, 5 has said that they are strongly agree
with the statement that Tesco is focused on developing better relationship with customers
through internet marketing.
5. Are you satisfied with the practices of Tesco related to online services and online campaign?
 Highly dissatisfied
 Dissatisfied
 Neutral
 Satisfied
 Highly satisfied
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5. Are you
satisfied with
the practices
of Tesco
related to
online
services and
online
campaign? Frequency
Highly
dissatisfied 0
Dissatisfied 2
Neutral 4
Satisfied 4
Highly
satisfied 5
It has been interpreted that the out of 15 respondents, 5 has said that they are highly
satisfied with the statement that the practices of Tesco related to online services and online
campaign are effective and it boosts the business opportunities for Tesco. It has also been noticed
that rest of four are only satisfied with the statement.
3.3 Use of electronic customer relationship marketing in the context of Tesco
Electronic customer relationship marketing can be defined as a process which is used to
establish better relationship in between customers and company. With the help of this marketing,
management of Tesco is focused on assisting customers to buy their products and services
(Soliman and Youssef, 2003). Along with this, it helps business entity to analyze the reviews of
existing and new customers that will be beneficial for management to make modification in their
products and services according to customer’s needs. Furthermore, electronic customer
relationship marketing supports Tesco to retain customers for the long term period as well as
maintaining its position in the market.
In this competitive world, maintaining relationship with customers is very necessary for
business entity. So, company needs to adopt the tools of electronic customer relationship
marketing for the purpose of gaining comparative advantage along with fulfilling its short term
and long term objectives (Constantinides, 2006). However, this technique is focused on
conducting indirect and direct interaction with customers that help Tesco to create its unique
identity in front of them.
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4.1 Producing of an outline internet marketing plan
For conducting internet marketing plan in an effective manner, there are manly two types
of analysis which needs to be considered by the management of Tesco at the time of conducting
its practices related to internet marketing. These are as follows:
Competitor analysis: For making an outline of internet marketing plan, it is required for
the management of Tesco to analyze their competitors in terms of their strategies, policies and
availability of products. With the help of competitor analysis, company can modify its strategies
and policies in an effective manner in order to get competitive advantage (Mangold and Faulds,
2009). Further, it helps in targeting the potential customers in a better way as compare to its
competitors.
Environmental analysis: It is also necessary to be conducted before making the outline of
internet marketing plan. It includes the analysis of internal and external factors of environment.
Internal factor includes customers, competitors, government, employees and shareholders (Sen,
2005). While, external factor includes political, legal, technological, environmental, social and
economic.
Other than this, management of Tesco can also focus on diversified activities that are
significant for improvement in work conditions and effective planning of internet marketing
plan. Organization can have its advertising over number of mediums like Tv, media, newspaper,
etc. It is also essential for management to have effective control over activities that can provide
better monitoring and enhanced outcome.
Activity Time frame
Competitor analysis 2 weeks
Environmental analysis 2 weeks
Result interpretation 1 week
Design strategies or activities and its
implementation
3 weeks
Monitoring 2 weeks
CONCLUSION
From the above study, it has been concluded that it is crucial for business entity to focus
on promoting its products and services through internet in an effective manner in order to survive
in this competitive world. Internet marketing provides various facilities to organization such as
E-commerce, E-business, digital marketing, pay per click advertising and social media
marketing. With the help of internet marketing, organization will be able to improve the quality
of their products and services by understanding the needs and requirements of customers.
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