Analysis of Marketing and Sales: Tesco's Vegan Product Development

This report examines the marketing and sales strategies employed by Tesco for its new vegan product range. It begins by defining key marketing and sales concepts in a changing marketplace, emphasizing the shift towards consumer preferences for ethical and sustainable products. The report investigates ethical marketing and sales practices relevant to Tesco's launch, including transparency, data privacy, and commitment to sustainability. It then demonstrates marketing theory through the formulation of a comprehensive marketing plan, including STP analysis (segmentation, targeting, and positioning), the marketing mix (product, price, place, promotion, people, process, and physical evidence), and a SWOT analysis. Finally, the report assesses the impact of marketing from both an organizational and customer perspective, considering the effects of the marketing strategies on Tesco's business objectives and customer satisfaction. The analysis highlights the importance of ethical considerations and strategic planning in successful product launches within the competitive market.

Principles of sale and
marketing

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK ..............................................................................................................................................3
Marketing and sales concepts in changing marketplace:.......................................................3
Investigate ethical marketing practises & sales practices.......................................................4
Demonstrate marketing theory by formulation of a marketing plan......................................6
Asses the impact of marketing from organisation and customer perspective........................9
Conclusion.....................................................................................................................................12
Reflection:......................................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Marketing is a activity that is concerned with promoting product and services so that it can be
offered top target segment of customers, presently there is concussion of different marketing and
sales concepts that are part of exchanging markets. Tesco is a organisation that has launched a
new category of products in their vegan range of products. This range is depicted as plant shed
that is plant based alternatives for traditional meals (Abdullah, 2017). There is investigation of
sales and marketing practises. There is demonstration of marketing theory for formulation of
marketing plan. Further there is assessment of impact of marketing from organisation and
consumer perspectives.
TASK
Marketing and sales concepts in changing marketplace:
There are different types of concepts that are part of organisation selling and marketing efforts,
all these aspects have to be considered to understand its impact on customers, society and
organisation. Some of these approaches are mentioned below:
 Production concept: It is a concept that is one of the older concepts of business that is
customers are preferring products that are inexpensive and at same time easily available.
Managers in organisations are having focus on achievement of high efficiency in
production, mass distribution and low costs (Dellaert, 2019).
 Product concepts: It is a orientation that is holding a belief that customers are having
preferences for products that are high in performance, quality and innovative features. In
this concept marketing managers in a organisation hold preferences for making products
that are superior in quality and is helping in timely improvement. Management si
committed to making timely improvements and superior quality products.
 Selling concepts: It is a business orientation that is based on businesses and customers are
using a aggressive promotion efforts. According to this concept customers are preferring
organisations who are widely involved in promotion of brands. The main aim of
organisation is to make and sell rather than make according to customer requirements.

 Marketing concepts: It is a business philosophy that is challenging above mentioned three
concepts. It is based on a belief that key to achieve a organisations objective is to enhance
effectiveness of a brand in comparison with other competitors by creation, delivering &
communication of high customer value to target customer (Deng, 2020). This concept
has been said in present situation of Tesco where the organisation is willing to launch
their new product category that is vegan products in organic range and then use
marketing strategies to promote for their target market.
Above mentioned are different concepts that are part of marketing & selling functions of
organisations. In TESCO there is focus on marketing concept that is based on changing tastes
and preferences of customers as they have launched a new product range that is vegan product
categories.
Investigate ethical marketing practises & sales practices.
In relation to Tesco, it is launching a new product within the market which is related to
organic vegan. It is a prime product of organization which require effective marketing within the
market as well as sales promotion of the product which help the organization in achieving the
goals and objectives related to the marketing of product. The most effective way to improve the
marketing strategy is related to following ethical practices while selling the product within the
market. There are different kinds of steps which can be taken by the organization to improve
ethical practices in relation to marketing of the products and services which it selling within
market:
Be transparent: one of the most prominent strategies which can be adopted by the
organization while serving ethical practices in the market is being transparent about the product
and services offered to the customers. Under this strategy, organization has to include the key
information about the safety and effective use of the products and services. In relation to Tesco,
it is going to launch its vegan which is made up of organic items. Under this, organizations to
provide all the information related to pros and cons of using organic products (Terho, 2017).
Protect customer data and privacy: It is related to management staff of the
organization where company has to protect the data of customer. Consumers, for the most part,
know that businesses use their information to deliver more personalized products and services

and are largely accepting of the practice as long as it makes their lives a little easier. However,
this agreement quickly breaks down when trust is compromised.
It has been a major concern for the organization working in industry to ensure safety of
data with the company. In relation to Tesco, organization can use to pay more emphasis on
company's commitment to the customer policies related to privacy and security of data.
(Madhani, 2016).
Commitment to sustainability and human rights: human rights are also important
parts while performing the function of marketing within the organization. In relation to Tesco, it
can follow ethical consumerism which becomes the major priority of the organization. It is
helpful to the firm in assuring purchase products to the customer where organization being
honest and its ingredients, product components and supply chain. Maximizing benefits and
minimizing risk: this is also a major focus point which can be considered by the Tesco while
introducing the Vegan within the market. This is because organization is going to launch organic
vegan where organization can use article marketing strategy benefit has large number of people
as possible and harm little (Woohyoung, 2020).
It can be evaluated from the above mentioned information, there are various functions
which have to be performed by the organization for making it ethical to use the marketing and
sales practices and improve the functioning of the organization in achieving goals and objectives
of the firm. The most effective way to improve the marketing strategy is related to following
ethical practices while selling the product within the market. There are different kinds of steps
which can be taken by the organization to improve ethical practices in relation to marketing of
the products and services which it selling within market. It is a prime product of organization
which require effective marketing within the market as well as sales promotion of the product
which help the organization in achieving the goals and objectives related to the marketing of
product.
Demonstrate marketing theory by formulation of a marketing plan.
Marketing plan is based on formulation of a strategy by defining of marketing objectives and
goals. It assist in examination of market and then determine further marketing approaches.
Present marketing plan is based on the way TESCO is using different Marketing strategies in
order to position themselves in the target market (Duus, 2019).

Vision: To be one of highly valued business according to customers being served, communities
they prepare and other stakeholders associated with TESCO.
Mission: mission statement of TESCO is “We make what matters better together”
Objectives:To achieve higher market share by launch of a new product range that is vegan
products across different physical locations in UK.
STP analysis:
Segmentation: It is a approach where market has to be segmented based on different categories
that are geographical, behavioural, demographic or psycho-graphic segmentation. In present case
of TESCO there will be a behavioural segmentation that will be adopted for the purpose of
dividing of market according to similar characteristics that. Such as in UK 3 percent consumers
are began where half of them changed in year 2018 and other one third are millennials who
posses demand fie began food that is driven by a high customer base because of environment,
health or a behavioural feature of eating less.
Targetting: After segmentation of market one particular segment is targeted by organisations to
achieve higher sales. Such as TESCO is targetting the millennial generation who have developed
a certain inclination towards eating healthy and eating less (Koku, 2018). All this is going to lead
towards preferences of this target segment of towards plant based meals.
Positioning: according to above mentioned criteria TESCO is focussing on achievement of a
differentiation position in the target market for achievement of higher sales. TESCO has a new
idea that is based in a belief of creating a plant pusher approach that is collaboration will be
based on chef crafted, affordable, innovative and delicious options of customers in vegan
category of products who are willing to eat more plants.
Marketing mix:
Products: The product range of TESCO is determined by a name as “Wicked kitchen” that is
collection of plant based meals. It will consist of dishes such as mushroom bolognese, pumpkin
falafel sandwiches, BBQ butternut mac and teriyaki noodles.
Price: The prices of all such products are based on affordable criteria. That is the price range is
set according to affordability level of their target customers that is millennial generation

(Nozdrenko, 2018). So there is use of price penetration strategy for entering the new range of
products.
Place: This category of vegan products will be available in all 600 stores of TESCO located
worldwide.
Promotion: TESCO is using different methods of promoting their new range of products. For
this they are using several digital media campaigns & existing promotional mediums to make
their target segment of customers aware about such category of products.
People: TESCO is targetting customers having preferences for healthy food. One in seven adults
in UK is interested in reducing their consumption of poultry or meat and this is resulting in
focussing on plant based meals. The meal is based on a plant based message to attract health
oriented customers as benefits are limited to animal ethics & environment enabling customers to
feel holistic, virtuous in choices.
Process: There are several recipes and blend of spices that have been added to flavours of ram
broth, Shiitake, puncy pumpkin laksa and vindaloo vibe kit. These are blended together with
plants with further use of mushrooms for flavours pulled “Pork”.
Physical evidence: The main taste of these products are focussed to be level of meeting non veg
range of products.
SWOT analysis:
Strength Weakness
 The new “wicked Kitchen” is a
collection of plant based meals.
 There is wide variety of dishes that are
categorised as “Chef owned and
helping TESCO in achievement of high
sales. As there has been sales of more
than 10 million units till present date.
 There is no longer dependence on
animal products as new process is
completely plant based (Schukin,
2016).
 The new wicked food has challenged
the present process of food system as
there is entirely a new plant based
practises.

Opportunities Threats
 There is a opportunity to expand the
present range of products according tio
shift in consumer attitude (Rascão,
2017).
 Consumers can be attract by conveying
of the message that there is following
of animal ethics & environment
enabling customers so that they can feel
holistic virtues for their choices and
preferences.
 There has been similar product
launches by other competitor brands
like Sainsburys as they have launched
targeting flexitarian diets.
 Online retail brand Ocado has
expanded their vegan category of
products.
Action plan: For the purpose of achievement of specified business objectives there is estimation
of budget. This budget has been set so that various financial requirement all through plan can be
timely fulfilled. Below mentioned is budget of TESCO for the marketing campaign of their
products.
Monitoring & controlling:
Fir the purpose of effective implementation of marketing plan there is need tp focus on business
objectives. There will be evaluation of objectives after a specified period of time tio Check the
progress towards achievement of laid objectives. There will be a in depth analysis according to
the set standard and present level of performance.
Asses the impact of marketing from organisation and customer perspective

The impact of TESCO and their marketing has changed their way of dealing to
customers and also has impacted on business at wider scale. As TESCO is focusing towards
selling of products wagon products, it has widen scope of their millennials as consumers by 30
%. It is seen that many retailers of TESCO are failing to meet up with millennial expectation
properly. They are focusing on selling of products as due to rise in expectation of their
millennials. In relevance with chosen firm, they provide both wagon as well as non-wagon
products depending upon their level of needs or demands. Thus, it is necessary to analyse these
effects so that correct changes related to both customer or organisation are made properly. With
its larger portfolio of products, they are improving their distribution process accordingly.
Customer impact-
The major impact of selling of wagon products is on customer as because they are many
customers who have different taste as well as preferences. Moreover, due to the selling of wagon
product, it is important for Tesco are changing their overall organisational structure and
marketing of product in different context. Millennials provide more profit and revenues to the
business, so it is essential for them to be aware about their changing needs as well as demands.
These wagon products are needed to be carried out distributed in in such way that it does not
affects other customers of TESCO (Wood, 2017). With changing period time, it has become
essential for them to focus towards customer needs as well as demands.
Organisational impact-
In context of organisational, non-wagon products have been always an most focused by
Tesco. The marketing of wagon products has deep effect business as because wagon products
have are less expensive as compared to non wagon products. This leads to impact upon sales &
profit ratio of business. Furthermore, people have perception that eating of wagon products leads
to healthy fitness. This means that marketing of these products created a big change in
organisation (Domański, 2020. The impact of marketing on organisational has resulted in various
change in their production as well as decision making process. BY preference of wagon products
by millennials, company has to focus on more on their production level and manufacturing
process of entity.
The above discussed matter depicts that these effect of marketing on selling of products
has changed the overall structure of business at deep level. In relevance with firm, they need to

overview these impacts of marketing so that further process are being carried out in most
efficient manner (Ali, 2018).

Conclusion
From above made discussion it can be said that there are different aspects of a
organisation that have to be considered for working towards enhancing the satisfaction level of
present customers. Marketing theories help in formation of plan that can assist in laid business
objectives with timely assistance of marketing managers. Further there has to be monitoring &
controlling measures to ensure that set objections have been timely achieved in course of
business.
Reflection:
In this project there has been application of different project techniques to understand the
concepts of sales & marketing in the external market. For this initially there has been a research
that was conducted by me to develop a detail overview of the sales and marketing concepts in the
changing environment. I faced some difficulty in practical application of theoretical concepts in
the wide range of macro environment. It is based on concepts such as production concept,
product concept and marketing concept. All these are affecting the way organisations are
performing their marketing & selling activities. I realised that that there are many different
factors that are affecting organisations internal functioning and further assists in the formation of
a marketing plan. There is application of various marketing theories in order to investigate the
ethical marketing practises in range of organisations. Organisations are continuously involved in
adopting new practise and working towards new campaigns in order to form effective strategies
for serving in this highly competitive environment.
I understood the importance of different frameworks such as STP analysis that are very
necessary in achievement of laid down objectives in a marketing campaign for organisations. It
has assisted me in understand the present position of the organisation so that future strategies for
targetting the market can be formed and implemented successfully. Marketing mix consist of
seven basic elements that lead to understand the crucial aspects of a organisation that will help
them in further understand how each such aspect is going to contribute towards achievement of
laid objectives in a marketing campaign. I have to deal with some complexities of Competitive
environment to select the most suitable strategy in thus present times as mostly competitors are
easily able to imitate strategies as soon as they are launched in the market. In the initial reports
there was no detail overview of all the concepts that help in formation of marketing and selling

campaigns and it was the reasons why some aspects of report were nor according to requirement.
Then I realised these mistakes and started to focus on developing ways by researching of
information from available secondary sources so that I can get a more clear over view of the
ambiguity in these concepts. This weakness was overcome by more searching of activities and a
comprehensive overview of future functions that are to be performed for successful marketing
campaign. Another activity that was very difficult to handle all through the project includes the
way monitoring & controlling function has to be performed in the marketing campaign. This
function helps in making a comparison with the set standards with actually achieved
performance level. So that any deviations can be clearly identified and further corrected. It will
help in ensuring that they are not posing any impact on future functioning of organisation. I have
understood the different types of concepts of marketing and way these are going to lead towards
having a clear idea about the direction in which organisation functions are based on & is going to
lead towards fulfilment of laid mission and vision.

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Online
Tesco Announces New Wicked Kitchen Meals and Expands the Budget-Friendly Plant Chef
Range, 2020 [online], Available through<https://vegconomist.com/products-and-launches/tesco-
announces-new-wicked-kitchen-meals-and-expands-the-budget-friendly-plant-chef-range>
INCREASE IN VEGAN FOOD CREDITED FOR TESCO’S REVENUE SPIKE, 2018 [online],
Available through<https://www.livekindly.co/increase-vegan-food-options-revenue-spike-
tesco/>