Comprehensive IMC Plan for Woolworths in the Australian Retail Sector

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AI Summary
This report presents an integrated marketing communication (IMC) plan for Woolworths in the Australian market. It begins with an executive summary highlighting the focus on premium quality and low prices, targeting young and health-conscious consumers with a six-month campaign and a budget of €500,000. The report covers company background, product and buyer analysis, and a promotional program situation analysis, including competitive reviews. It defines communication aims, objectives, segmentation strategies (geographic, demographic), and targeting approaches. A creative idea centered on the "It's all about the customer" campaign is proposed, alongside a positioning strategy emphasizing fresh, premium-quality products. The IMC mix includes digital marketing channels like YouTube, Facebook, Google Ads, SEM, SEO, and Twitter, with specific media objectives and evaluation programs outlined to measure campaign effectiveness. The report concludes with budget and timeline considerations.
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Running Head: IMC PLAN
IMC plan
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Executive summary
The main purpose of this report is to create IMC plan for Woolworths in the Australian market.
This report evaluates that Woolworths emphasizes on premium quality with low price products
and services. From the findings, it can be evaluated that campaign of the company is mainly
focuses on young people and health-conscious lifestyle people. This report also illustrated that
time period for this campaign is 6 months which enable the business to meet the objectives of the
campaign. It also finds out that total budget for attaining this campaign is €500000 and estimated
ROI is €500000 within 6 weeks. It also evaluated that there are different digital media mix
channel is used by the company to endorse the campaign named YouTube, Facebook, Google
Adwords, SEM, SEO, and Twitter. In the last, it evaluates the media and communication content
that will be used for this campaign.
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Table of Contents
Executive summary.....................................................................................................................................2
Introduction.................................................................................................................................................4
Company background..................................................................................................................................4
Product Review/Buyer Analysis..................................................................................................................5
Promotional Program Situation Analysis.....................................................................................................5
Communication aim and objectives.............................................................................................................7
Segmentation...............................................................................................................................................7
Targeting.....................................................................................................................................................9
Creative idea..............................................................................................................................................10
Positioning strategy...................................................................................................................................11
Communications strategy& Media mix.....................................................................................................12
IMC Mix................................................................................................................................................12
Specific Media Objectives/Mix.............................................................................................................12
Digital Marketing Media Mix Strategy..................................................................................................13
Measuring IMC Program Effectiveness.....................................................................................................15
Evaluation Program...............................................................................................................................15
Media Evaluation...................................................................................................................................15
Message content....................................................................................................................................16
Sales Evaluation....................................................................................................................................16
Budget.......................................................................................................................................................17
Timeline....................................................................................................................................................17
Conclusion.................................................................................................................................................19
References.................................................................................................................................................20
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Introduction
This report presents the background of the company. Further, it evaluates the buyer and product
analysis. This report also defines the content idea for a campaign. It also defines the STP
strategies for attaining the objectives of the campaign. It also evaluates the media mix strategies
for this campaign. It also discusses the evaluation program of using media mix strategy. In the
last, it demonstrates the budget and timeline of using digital marketing media strategy for this
campaign.
Company background
Woolworth is a leading supermarket in the retail industry of Australia. It operated in
approximately 995 areas across Australia as well as employed approximately 115,000 employees
in their retail stores and distribution channel. It aids the employees to provide premium,
extensive range, ease facilities and added value to its customers. It acquires around 96% of all
clean fruits and vegetables as well as 100% of fresh and frozen meat from Australian growers
with farmers.
It makes feel hygienic to people who exist in the Australian nation by delivering organic
products (Woolworths, 2017). Moreover, Woolworths identifies the Australian consumer who
wants to use innovative and comprehensive technology to shop. Consequently, it has created its
distinct image as innovation retailer in the Australia. Moreover, Woolworths provides facilities
to their customers to buy the product through ease process. For instance, customers can use a
computer at their home and on the train to shop via using the app of Woolworths. Moreover,
groceries may be delivered at the bench of the kitchen which has a positive image in the
customer’s mind (Woolworths, 2017).
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Product Review/Buyer Analysis
As per the assessment of Woolworth’s buyer, it is analyzed that buyers are more exciting and
strong as compared to sellers of the corporation. The key purpose of buyer’s analysis is to
determine the opinion and beliefs of customers with respect to particular goods and services as it
is beneficial for the company to improve their profitability. In addition, Woolworths retain the
customers via loyalty and club cards as it would be beneficial to improve the company’s
productivity. It also focuses on certain approaches like a premium product with affordable price,
and customer-oriented approach. At the same time, safe and ease services is promoted by the
company via using best promotion because it enables the company to retain the available
consumers and persuades the potential customers (Andrews, and Shimp, 2017).
In Australia, a major change has been identified such as a large number of customer wishes to
shop through supermarket due to the availability of all food and non-food items. In the current
business scenario, customers are more educated about fair trade practices as compared to the
seller. Hence, the company should take into consideration about the effective added value and
marketing strategies to influence potential and existing customers towards their products and
services (Ang, 2014).
Promotional Program Situation Analysis
Review of Existing/Past Programs
Woolworth’s supermarket focuses on how to retain available customers and build an effective
with an ongoing link with them. It has executed certain principle and approaches for promoting
their products like sales and distribution principle, cost-effective approach, as well as marketing
with publicity approach (Argenti, 2015). In this way, the cost-effective approach has involved
certain factors such as the final cost of finished goods is used to encourage the customers
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towards the company. Another factor that was considered by the Woolworths is marketing
expenditure, concession in amount, a concession to shop in a specified period, psychological
expenditures and costs associated with a set of product (Armstrong, et. al., 2014).
Besides this, Woolworth’s supermarket is focused on creating a favorable link with existing and
other customers by using eye-catching sales and distribution strategy. At the same time, the
company can use marketing as well as publicity approaches by considering different attractive
elements like e-mail confirmation, loyalty cards, and personal selling. It would be beneficial for
gaining the productivity because the company maintains a long-term relationship with their
customers via using different strategy (Armstrong, et. al., 2015).
Competitive review
Woolworths has different competitors in the Australian retail industry named Wesfarmers, Coles,
Aldi, and IGA. In addition, the growth in market share of company demonstrates the actual
condition of the business. The grocery market share of Woolworths is $32.2 billion in 2016 that
is higher than the other market players but it is almost equal to the Coles supermarket. As a
result, it can be stated that company has built their positive image in the Australian retail market
(Ashley and Tuten, 2015).
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(Sources: Bacile, et al., 2014).
Communication aim and objectives
The main aim of this campaign is to increase the brand awareness by 20%. In this way, following
objectives will be used to accomplish the main aim of the campaign. These are:
To increase the demand of customers by 25% within 6 months via using added value and
benefits with the products of company
To enlarge the potential and available customers as compared to its competitors by 20%
within 6 month
To influence the customers who had never used the brand of Woolworths by 15% within
6 month
To evaluate the impact of advertisement on consumer decisions by providing
responsiveness to act.
Campaign objective
To emphasizes on those customers who give preference to take value-added services like
application of Woolworth’s products and services
To targeted the customer as per the market research
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To focus on the urban and sub-urban customers for this campaign
To provide the positive impact on Australian retail market by delivering low price with
high-quality products and services
Segmentation
Woolworths use the specific market to gain opportunities in Australian retail market. In addition,
Woolworths facilitates different goods and service to the customers. As well as, groceries is
provided in a smaller bunch within the supermarket. Market segmentation is the procedure of
categorizing the market of potential customers into groups, and segments (Bacile, et al., 2014). It
is based on distinct characteristics. Under this strategy, the market is classified into identical
subgroups. This group can be chosen as target market that has homogenous wants,
characteristics, and needs. It can be achieved through distinct marketing mix strategy. The key
segmentation is categorized on the basis of demographic, geographic, psychographic and
behavioral factor (Barker, 2013).
Geographic
(Sources: Belch, et. al., 2014).
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Woolworth’s supermarket deals with 995 stores in the Australian retail industry. The
supermarket has high demand in the urban and suburban areas of Australia hence New South
Wales, Queensland, Western Australia, and South Australia will be selected by the company for
this marketing campaign. At the same time, this campaign will also focus on the northern
territories to create the awareness of brand (Belch, et. al., 2014).
Demographics: Age
(Sources: Bhupathi, 2016).
For this campaign, Woolworths will take into consideration on different age-groups such as 10-
17, 17-24, 24-31 and above 31 years customers. But, it mainly targeted the 17-24 and 24-31
years age group people for buying purpose. In addition to this, customers try to make a
comparison of price and quality with different supermarkets because they will only give
preference to shop a large amount from those supermarkets that will facilitate affordable price
with finest products and services. Hence, Woolworths will pull the attention of customers by
promoting the low-cost with finest products and services through this marketing campaign
(Bhupathi, 2016). As a result, it will create a favorable image in the customer’s mind due to
meeting the customer’s requirement, desire, and needs.
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Targeting
(Sources: Black, 2013).
The company will use undifferentiated targeting marketing strategy to target the customers. In
this way, the company will use mass marketing in which single marketing mix will be used for
the whole market. Moreover, the campaign of the company will lead the customers towards their
brands because it offers cost-effective products and services in the Australian retail industry
(Black, 2013). Together with, it provides the finest quality for customers. Therefore, for this
campaign, Woolworths will target the particularly young people who want a healthy lifestyle. As
a result, it has high chances to compete with key market participants in the retailing industry due
to offering fresh and finest products and services (Boone, and Kurtz, 2013).
Creative idea
The marketing campaign will be used by Woolworths to increase the brand awareness. This
campaign is used to promote the products and services via different media channels such as
radio, print, and online platforms. This campaign will not only rely on advertisement but also
involves different interactive techniques and word of mouth activity. It is analyzed that brand
image of Woolworth is high due to offering quality products and services. It also encourages the
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Premium
quality
High price
Ver high
Low
quality
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more customers to buy the products and services of Woolworths. The company uses different
promotional activity which is effective to educate the consumers with respect to new products
and emphasizes on building the favorable emotional value of the brand (Carroll, 2015).
Company launches the “It’s all about the customer" campaign which will be effective to meet the
aims and objectives. This campaign will be promoted by using different marketing tools such as
social media, public relations, and advertisement. This campaign will help the Woolworths to
reconnect with consumers and increase their brand awareness (Christensen, and Cornelissen,
2013).
Positioning strategy
This campaign will focus on the person who gives priority to a healthy lifestyle in the Australian
economy. Further, the campaign will create a positive image in the customer’s mind because it
uses effective tagline such as it’s all about the customers and fresh food for customers which
give added value to customers (Cornelissen, and Cornelissen, 2017). In addition, the company
will deliver fresh with premium quality products and services to customers which create greater
demand in the retail market. It will also pull the attention of customers towards their products
and services by improving the service level and extending the added value for potential and
existing customers. Woolworths will also build distinct image between the customers by creating
new products with premium quality. As a result, it would be beneficial to attract those customers
who want healthy life in different areas of Australia (Kuang-Jung, et al., 2015).
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Communications strategy& Media mix
IMC Mix
There are different components of integrated marketing communication such as personal
marketing, digital marketing, word of mouth marketing, direct marketing, social media
marketing, event and experience, and interactive marketing. It can be evaluated that online
marketing technique is also significant to attain the targeted campaign objectives as a customer
can get the products and services at any time and anywhere (Lusch, and Vargo, 2014). By
using this marketing campaign, Woolworths can reach out to the more customers at the time
while they make buying decision. This campaign will also be effective to share positive
experience of one customer to another.
Specific Media Objectives/Mix
To create optical picture among bulk of customers towards Woolworths
To build optimistic goodwill as compared to their key market participants
To encourage people towards their brands by using different media channels
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