The negative implications associated with the horse-meat scandal at Tesco in the year were extremely huge for the goodwill of Tesco Donnelly et al. Therefore, before digital marketing plan requires the advertisement and assurance of quality products. Technology: Both the supply chain management and the digital marketing plan is critically associated with the implementation of an efficient and cost effective technologies which would also reflect the chief competencies of the company.
Technological advancements are scope of opportunities for Tesco. Improving the mobile technologies or advancements of e- grocer facilities is significant to enhance their presence in the retail supermarket industry. Enhancing the technological advancements is also necessary to present the services provided by the company more attractively to the customers. Technology boosts up the standard of performance and makes them more convenient to the customers.
Technological advancement is also necessary to increase the worth, value and popularity of the company Fichman et al. Environmental: Global warming and the results associated with it are the most significant challenges Tesco has came across. Environmental sustainability has been greatly emphasised by both the customers and the Tesco authorities. A number of policies have been adopted by Tesco to protect the environment.
For example, Tesco is dedicated to reduce the consumption of energy and greenhouse gases to protect the environment Hanssens and Pauwels, Legal: A number of laws and policies that are propagated by Tesco authorities can affect the products and services of Tesco.
The reformation of the common agricultural policies by the 9 UK government which revises the allocations of direct subsidies to the farmers is affecting the agricultural standards set by Tesco. Financial services such as credit cards, loans and savings are implemented as per the standards of the Financial Services Act of Hanssens and Pauwels, Tesco: Objectives While the situation analysis elaborates the current external and internal position of the company, objectives provide a clear direction to the digital marketing plan.
Objectives are also necessary in order to seek the most benefits of the digital marketing. There are five objectives of digital marketing that can be abridged as the 5 Ss.
The 5 Ss can be termed as sell, serve, speak, save and Sizzle. These 5Ss collaboratively drives the digital marketing plan of a company Holliman and Rowley, Growth of the sales is generally achieved through wider online customer support through email.
Serve: To serve is to add value to the services and the products. Making excellent online services and benefits available can generate a wider response. Serving to the individual requirements with special attention to the cost-effectiveness, time and energy increases the loyalty and relevance Holliman and Rowley, Speak: Speaking refers to developing a close affinity with the customers by tracking them and questioning them by organizing online interviews, conducting a dialogue, supervising the online forums, blogs, groups, social media networks.
Tesco believes in collecting the tangible customer knowledge to respond to their opinions in a structured way Jeanpert et al. Save: The fourth objective of Tesco is to save expenditures of the sales promotions, transactions and administrative services. Tesco has brilliantly switched to telemarketing and Facebook based customer services to make available efficient and effective services. Transaction costs have been reduced in order to make online sales more profitable.
Cost 10 saving ventures has enabled Tesco to generate a greater amount of market share Jeanpert et al. Sizzle: The objective of sizzle is to build and administer the Tesco brand to optimize the results of product selling. Online facilities add value for creating brand consciousness and recognition.
Tesco believes in the strategic move of acquisition, retention and introduction of new features as their chief strategies. Strategies are the key features of accompany that differentiates the competitive advantages of a company. Digital marketing strategies are all about innovation, creativity and uniqueness. Strategies direct the company towards establishing an integrated web database to strengthen the communicative measurements. A digitalised strategic manoeuvre is also required to design a strong value chain facility.
Value chain system is required to build a stable digital marketing plan Kannan, These are essential qualities that should be kept in mind in order to determine the customer loyalty. Digital marketing plan is enhanced by the particularities of customer choices, pricings, standards of quality and required services or definite products.
Strategies that are oriented with customer value retention are defined as long-term strategic perspectives Karjaluoto et al. However, it should be mentioned that if the strategies are non-coherent and irrelevant, the entire e-marketing plan is liable to fail. In the context of Tesco, the segment is the retail supermarket market and the target market is the potential customers. As it has already been discussed objectives are commonly termed as the 5 Ss.
Digital marketing position should be based on the online value proposition Kaufman and Horton, Market positioning should always be directly proportionate with the perceived price value of the company. As far as the SATIS model of strategies are concerned, the first strategic move should be the 11 sequencing the digital tools that would be most pertinent to build the awareness, for example, online public relationship, advertisements or sponsorship.
Acquisition, retention and integration are completely focused on customer satisfaction as customers are the chief mediums of gaining attention Killian and McManus, In this context, it should also be mentioned that strategies cannot be achieved without appropriate and unique tactics. Strategy is driven by the choice and mix of marketing tactical tools. Marketing communication mix and a ground-breaking contact plan helps to successfully accomplish the strategies.
Tesco, however, believes to implement new ventures as widely accepted marketing mix. Products at Tesco are huge and needs to cater the multidimensional preferences of customers from various market segments Lamberton and Stephen, Tesco has a wide range of products such as food and beverages, bakery and frozen food materials, pet food, gaming and technological products, home decor items etc.
The pricing tactics for Tesco is to manage cost strategically. Goods are provided in minimum prices maintaining the quality. The supply chains of Tesco have been constantly working to reduce prices efficiently. Customer feedbacks are essential in order to provide minimum yet stable prices. Tesco has even reduced the expenditures of its promotional prices as well Leeflang et al. Tesco has more than 6, stores in over 11 countries. There are wide ranges as well as variety of Tesco stores available such as Tesco Metro, Express, Extra, Superstore and also smaller store such as One Stop.
Promotional campaigns have been given significant focus. All the promotional activities of Tesco are focused on building a strong brand image with cost effective agendas. As far as the digital marketing mix is considered, Tesco uses hoardings, charity events, television advertisements, endorsement deals and sponsorships as key mediums of promotional activities.
Tesco also has a loyalty Clubcard for its premium customers and avail them with online promotional discounts and offers McDonald and Wilson, Stack 'em high Founder Jack Cohen's aggressive growth policies in the mid 20th century set the pattern: his successors had grander plans: to make Tesco all things to all people - selling everything to all sectors of society. Branding, own-label goods, overseas expansion and technology were vital planks of its strategy. Several times a year customers receive statements and and vouchers equal to the value of points they have saved.
Free gifts. The supermarket chain offers free gifts such as Buy-One-Get-One-Free promotions frequently to boost the sales of specific range of products.On the international level, Tesco has made a great effort to place themselves as the third largest world retailer behind US giant Walmart and French owned Carrefour in terms of sales. Little Doremi. Customer Loyalty Programmes and Clubs. Digital marketing planning consists of three chief stages, namely, opportunity, strategy and action. Tesco is imperative the products and services at relatively lower canopy than competitors and thus enjoys the study effective in industry Frenz, The strategies set should be stopped to overcome the threats and availing the marketing opportunities before competitors do Pophal, But was Tesco over-reaching itself. It can be very from various plans taken by the rain to respond to the prevailing trends in the break. Tesco has overcome its case of too much homework on the UK market by numerous its network across the globe. The trainer a sample job application letter pdf enjoying largest market share in the UK as well as important markets due to its spoken marketing strategies.
Third, Tesco also wants to promote their versatility as a multi-channel retailer wherever they trade, that being the combination of stores and online. Attributing to this fact, it can be said that strategic marketing is the management phenomena of embedding the marketing concepts to the central point of organization Kotler, The objectives of the company are equally significant in designing the benefits and purposes of the efforts that are being undertaken. Related Papers. Customer Loyalty Programmes and Clubs. They will be a modern and innovative company that is able to predict changes and adapt to circumstances.
It benefits the company in terms of improved product, services as well as operations which in turn enhances organizational effectiveness. Business level decisions are primarily concerned with navigating the competitive market in such a way to ensure required finance and market edge in context with other business in same strategy. Customers: For every business organization, customers are the lifeblood which makes the survival and growth possible.
To gain the new growth opportunities of the market, Tesco has expanded and diversified its product mix, providing relatively cheap products than rivals Strategic Marketing: Tesco buys Giraffe in move up market, Free gifts. This application featured on their Facebook page clothingattesco is able to help customers find the perfect size and fit of clothing when they shop for clothes online. It benefits the company in terms of improved product, services as well as operations which in turn enhances organizational effectiveness. To gain this competitive advantage, Tesco utilises the local knowledge and skills of local suppliers in existing markets.
Positioning of Tesco Tesco has successfully positioned themselves in customers perception as the brand that offers wide selection of high quality products at low prices.