Analysis of Marketing Functions and Interrelationships within Zara

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MARKETING ESSENTIALS
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Table of Contents
Introduction......................................................................................................................................3
P1 Explain the key roles and responsibilities of the marketing function........................................4
M1 Analyse the roles and responsibilities of marketing in the context of the marketing
environment.....................................................................................................................................5
P2 Explain how roles and responsibilities of marketing relate to the wider organizational context
.........................................................................................................................................................7
M2 Analyse the significance of interrelationships between marketing and other functional units
of an organization............................................................................................................................8
D1 Critically analyse and evaluate the key elements of the marketing functions and how they
interrelate with other functional units of an organization................................................................9
P3 Compare the ways in which different organizations apply the marketing mix to the marketing
planning process to achieve business objectives...........................................................................10
M3 Evaluate different tactics applied by organizations to demonstrate how business objectives
can be achieved..............................................................................................................................12
P4, M4 Produce and evaluate a basic marketing plan for an organization....................................13
D2 Design a strategic marketing plan that tactically applies the use of the 7Ps to achieve overall
marketing objectives......................................................................................................................15
Conclusion.....................................................................................................................................16
References......................................................................................................................................17
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Introduction
The business organizations in modern era uses marketing tools for understanding the demands of
the consumers, marketplace, customer driven market strategies and ways to build profitable
relations by providing quality service to the customers. The business marketing strategy helps in
analyzing the importance of building a quality customer relationship in order to obtain maximum
business efficiency. This report is related to a case study that includes a business organization,
that is named Zara that is located in Arteixo in Galicia which is one of the leading fashion brands
in retail sector (Ebay.co.uk. 2019). It highlights the interrelationship of the marketing functions
with several other functions based on the organization. It also compares the different processes
of application regarding marketing mix in the respective organization in order to attain the
organizational objectives and goals. It also highlights the evaluation as well as development of a
basic plan of marketing for Zara.
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P1 Explain the key roles and responsibilities of the marketing function
Marketing function refers to the role in an organization which is used to analyze and identify the
potentiality of the product or the services offered to the customers as well as develop new
strategic innovative plans for the development of new products or services (Bauer, 2018). The
roles along with responsibilities which are undertaken by the organization of Zara based on the
marketing functions are provided below.
Listening for the needs of the customers:
The marketing department is generally responsible for the identification of needs regarding the
customers by properly listening to the demands of the customers (Eletxigerra et al., 2018). It is
carried upon using two methods, 1) through the internal channels of the company and 2) through
the outside channels of the company.
Keeping a track of the changing trends and monitoring its competitors:
It is quite important for the marketing department to identify the position of the respective
company according to the market trends and also to analyze the strategies of its competitors in
order to possess an added advantage over them in the competitive market (Chaffey and Ellis-
Chadwick, 2019).
Working on the development of brand values:
The marketing department is responsible to create and disseminates messages, ideas and images
to promote the brand value of the company.
Coordinate with the marketing partners of the organization: The business marketing includes
several publishers, journalists, contributors, designers and consultants which need to be aligned
by the marketing department for achieving the objectives of the organization.
Innovate services or products: The demand of the customers need to be fulfilled by the
organization by creating innovative products or services (Uncles, 2018). The marketing
department of the organization is responsible for developing innovative services or products for
surprising the customers and make business profit.
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M1 Analyse the roles and responsibilities of marketing in the context of the marketing
environment
The marketing management refers to the process of execution and planning of several marketing
concepts which includes promotion, sales, pricing, distribution etc. that compliments the people
of the organization. The roles along with responsibilities of marketing are explained as:
Information system of marketing: The marketing information system (MIS) is responsible for
providing information regarding the planning, controlling and implementation of several
marketing strategies (Wilson et al., 2018). For instance, MIS provides the information regarding
the delivery reports of the logistics of Zara which helps in keeping track of the distribution
network
Market Strategies: The real role of marketing is to develop the planning and strategies of the
business organization. For instance, the CEO and the managers of Zara is responsible for
recognizing the requirements and needs of the target customers and then provide the product or
service accordingly. The marketing strategies are useful to maintain a balance within the market
opportunities as well as the organizational objectives (Malhotra, 2018).
Monitoring of marketing environment:
The marketing process plays the most significant role of identifying the innovative developments
in the business marketing environment. The change in market traits, change in the socio
economic forces, political and legal change and external and internal change are the factors
which change the business marketing environment (Cluley, 2018). For instance, Zara has a
strong marketing department team which focuses on the development of new products and
services by monitoring the changes in the business environment.
Brand equity: There are several customers who are often inclined over brands or to the
organizations that offer added value to the services or the products. Thus, the marketing
department of Zara creates a strong reputation of their brands by developing innovative products
and services associated to the customers. This helps in the increase of sales volume of Zara.
Marketing research and segmentation: The marketing research involves gaining of appropriate
knowledge about the pricing of the product, consumer demands and the value of the product in
order to develop a sustainable product or service to the customers (Heidarzadeh Hanzaee et al.,
2019). The market of globalization is very volatile and hence there is a need of proper
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segmentation of market for sustaining in the market. For instance, there is a separate market
research team in Zara who focuses on segmenting the products based on the needs of the
consumers. This research team carries out several experimentations in order to cope up with the
change in the market trends.
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P2 Explain how roles and responsibilities of marketing relate to the wider organizational
context
The roles as well as responsibilities of the department of marketing is useful for an organization
to enhance their business in the global market (Chernev, 2018). There are five major concepts of
marketing that depicts the widespread functioning of marketing at Zara. These concepts involve
the future trends as well as the current trends of the market in order to provide appropriate
market planning. The concepts are categorized as marketing concepts, selling concepts, product
concepts, production concepts and societal concepts.
Marketing concept: This concept focuses on the explanation about the needs and requirements
of the customers (Ethiraj et al., 2018). Business organizations like Zara need to promote better
value of services and products to the customers in order to sustain within the competitive market.
This concept also enhances the need of improvement of the brand value of the organization for
connecting with the global customers.
Selling concept: The concept of selling has changed over the years and in the modern era; the
customers are more focused on the quality of promotions of the product or services offered by
the organization (Sharma et al., 2018). For instance, Zara needs to promote their products more
aggressively in the market through proper media channels like television, social media, websites
etc. in order to attain a competitive advantage over others in the global market.
Product Concept: The customers are more concerned about the value of money for their
product and hence in order to retain the customers Zara needs to offer the products in a cheaper
rate in order to expand their business in the global market.
Production concept: This concept gives a detailed information for the demands of the global
customers regarding the available quantity of the product as well as the pricing details. The
operational unit of Zara needs to improve the production rate and also needs to focus upon the
supply chain management in order to promote their business worldwide.
Societal concept: This concept focuses on the requirements and needs of the society in
accordance with the change of trends. The R & D unit of Zara needs to focus on continuous
development of quality product and service in order to attain the demands of the society.
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M2 Analyse the significance of interrelationships between marketing and other functional
units of an organization.
The functions of marketing are interlinked with all the other units of functions of an organization
(Beig and Khan, 2018). For instance, the interlinking of the marketing department of Zara with
other functional units of the company can be explained by taking an example of the finance
department of Zara with its marketing department. The finance department of Zara focuses on
the financial requirements of the marketing functions for planning, evaluation, implementation,
and research of the strategies of marketing.
The marketing function of Zara is also interconnected with the production unit in order to gather
information about the services and the products of the organization in order to maintain an
accurate marketing plan. The marketing functions require the help from the HR department in
order to acquire human resources for the marketing team (Klepek and Starzyczná, 2018). It also
requires support from the supply chain management team in order to maintain the distribution
network of the company. The marketing functions are an integral part of the company as it is
useful in building up of a strategic business plan. There is a need of proper communication
between the marketing functional and the financial team of Zara in order to maintain the business
productivity. The HR policies need to be aligned with the operational marketing functions to
increase the sale of the company. The interrelations based on marketing functions with all the
other functional departments of the organization are quite necessary to build up the strategic
marketing plan.
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D1- Critically analyse and evaluate the key elements of the marketing functions and how
they interrelate with other functional units of an organization
The marketing function is an integral part of the business organization and it is interlinked with
other functional units in order to attain maximum business productivity. The marketing functions
are essential to provide back up to the other operational departments (Thomas, 2019). The
development of marketing plan depends on the overall communication of the HR department,
production department and sales department. The key elements for marketing strategies involve
the 4Ps of marketing mix. Thus, the key elements based on the functions of marketing for the
concerned organization are followed:
Product: The main goal of the organization is for producing such products that can provide
satisfaction to the customers. This requires a thorough research of marketing by the managers of
the organization.
Price: This includes developing a pricing strategy that is developed through the marketing
manager for the present organization. This helps in establishing the products within the target
market in a successful manner.
Place: This requires introducing the products in such places where, the probability for profit of
the concerned organization is high as compared to other places.
Promotion: The particular organization of Zara develops certain strategies of promotion for their
products within the target markets. This involves advertisement through social media platforms
and televisions along with hoardings and similar others.
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P3 Compare the ways in which different organizations apply the marketing mix to the
marketing planning process to achieve business objectives
Marketing mix is known to be a basic requirement and significant for marketing plan. This
involves the elements based on organizational culture that are important for manufacturing the
products along with its sales (Yolal, 2018). Hence, the factors of marketing mix for various
organizations regarding the achievement of organizational objectives are mentioned below:
Product: These are referred to as the goods as well as services that are delivered to the
customers or rather the target market. The products may be intangible or rather tangible for
nature. Regarding the present organizational environment, its products are considered as core,
actual as well as augmented products. In case of UK fashion as well as Textile association uses
tangible as well as intangible products for delivering to the customers.
Price: This is referred to as the amount that is exchanged from the buyers of the products. This
can also be termed as or rather calculated as the adding of cost for the product along with
maintaining a margin of profit for the companies (Lähteenmäki-Uutela et al., 2018). For
instance, the concerned organization is known to consist of a favorable pricing strategy for the
customers with a profit for the organization as well. In case of other companies such as British
Fashion Council makes use of high price that is of worth as, it serves higher quality based
products to the customers.
Place: This involves the places for selling products like retail, internet, direct marketing and
similar others. In case of the Zara organization, it comprises of a target market along with
recognized audiences that helps in selling their products in online portals as well as through
direct marketing. In case of UK fashion and textile association, the company serves its products
to the online markets along with direct marketing to its targeted audiences.
Promotion: This includes the promotional tools that are used by the organizations to display
their products (Dzyabura and Yoganarasimhan, 2018). Zara makes use of advertisements and
provides online services to attract potential customers. The organization of British Fashion
Council makes use of campaigns and advertisements for promotion of its products.
Packaging: This is referred to as the physical evidence based on the products and goods like the
internet pages, packaging, brochures and similar others (Massiera et al., 2018). Hence, the
concerned organization makes use of business cards and paper work to promote their packaging.
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The company of UK fashion and textile association uses the internet pages and brochures for
packaging of their products.
People: This denotes the target customers and prospect audiences where, the organizations can
sell their products (Lim et al., 2018). For example, Zara makes its sales through analyzing the
demography of the customers that is, through identifying the needs and wants of the customers.
The company of British Fashion Council consists of a target market in UK for selling their
products and also attracts new customer base as well.
Process: This is referred to as the process through which, the goods are delivered to the
customers (Olson et al., 2018). The present organization makes use of direct marketing as well as
home deliveries for online marketing. The other organizations also make use of online portals as
well as direct marketing strategy for making their customer base strong.
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