MARKETING AUDIT

Marketing Audit

Table of Content

Executive Summary1

Introduction1

Strategic Marketing Management1

Tesco brands and segmentation2

Swot Analysis of Tesco3

Strengths3

Weaknesses3

Opportunities4

Threats4

Branding and Reputation5

PEST Analysis5

Political Factors5

Economic Factors5

Social Factors6

Technological Factors7

Tesco's advantage in UK market7

Industry Analysis: Porter's Five Forces7

Threat of New Entrants7

Bargaining Power of Suppliers8

Bargaining Power of Customers8

Threat of Substitutes8

Bargaining Power of Competitors8

Marketing Mix9

Product9

Price9

Place10

Promotion10

Conclusion11

References12

Appendix13

Generic Strategies of Tesco13

Tesco's pricing strategies13

Marketing Audit

Executive Summary

Tesco is a UK based company functioning in four banners: additional, supermarket, Metro and Express. Tesco sales in nourishment goods are roughly 40,000 in its superstores, as well as clothing and other non-food lines. The business has become one of Britain's largest petrol independent retailers. Other retailing services suggested in the UK encompass Tesco Personal investment and Tesco.com. The business has procedures in the rest of Europe, including the Republic of Ireland, Hungary, Poland, Czech Republic and Slovakia.

Introduction

Tesco is a significant international retailer. As a global business, the company perceives itself as having a vital role to play in helping to minimize its environmental impacts.

Although based in the United Kingdom, Tesco PLC has developed into an international grocery and general merchandising chain, employing 440,000 staff worldwide and with sales exceeding £59 billion (in the year ending February 2009). Operating income exceeded £3 billion. These figures make Tesco the largest British retailer in terms of both combined sales and domestic market share, and the third largest in the world after Wal-Mart (United States) and Carrefour (France). It is claimed that £1 in every £7 of UK retail sales goes the way of Tesco.

Strategic Marketing Management

The marketing management process involves five key steps: analysis, goal setting, planning, implementation and monitoring. At the planning stage, it looks equally to the strategic aspects (positioning of its product, expected reactions of competitors, choice of distribution most appropriate) as operational aspects (staff meeting sales dissemination of advertising material in the right place and the right time). The implementation of the marketing plan requires considerable coordination of all stakeholders and involves the participation of all sectors of the company: the production and the finance. The company executives must be informed of the operation implementation of the strategy. The operation control allows the company to compare results to objectives and to realign, if necessary by making the necessary corrections. It is a system of business activities integrated with each other, which aims at planning, pricing, promotion and distribution of goods and services to existing customers and potential customers. Marketing is an activity which aims to satisfy the wishes and requirements of consumers (Christchurch, Wilson, 2006, 64).

Tesco brands and segmentation

Wide range of Tesco products under its different brands is the factor that helps Tesco to maintain its position in the market and give the organization an edge. They have different brands for different categories of customer segmentation. Creating a separate brand for a segment of customers enables Tesco to be the first choice of customers in that segment. For example, Tesco finest caters customers that fall in the category of the finest food that constitute about 19% of their market. Then they have segmentation with the title of ...