Strategic Marketing in the Digital Economy

Introduction

Marketing strategic planning of the businesses is important to develop effective tactics to promote the organisational products and services in the market and in this regard all the companies in the recent era of globalisation focus on building strong marketing strategies to establish the company in the market and secure future sustainable development through successful retention of the customers (Armstrong et al., 2018; Peeroo, Samy and Jones, 2016). The study aims at discussing the marketing strategies, both the traditional and digital media marketing. The report also focuses on discussing the tactics of the organisation Tesco in developing marketing planning for retaining and recruiting the customers in the organisation in order to secure sustainable development in near future by ensuring high profitability and sales volume.

Tesco is a British multinational groceries and general merchandise retail, which is situated in the UK and established in 1919, 100 years ego. The company is successful to enhance their profitability and sales volume by serving the customers across the globe since 1919 (Tesco, 2019a). The company focuses on delivering quality product at effective price so that the organisation can retain more customers across the international borders. The major products of the organisation are such as super markets, hypermarkets, groceries, home appliances and the products in convenient shops including clothing, accessories, electronics, furniture, toys and software products, telecoms and financial services (Tesco, 2019b).

Total revenue of the firm in this year is £63,911 million ad total employees are 450000 who are working across the international borders for serving the customers in a better and efficient way to meet their expectations and retain them for long run. The company is operating with 450000 colleagues who are efficient to serve the customers according to their personal preferences and choice and there are over 6800 shops around the world through which Tesco is operating across the international retail market (Tesco, 2019c).

Key tools of traditional and digital marketing

The marketing mix strategic planning is appropriate for the organisations to gain high competitive advantage and effective market share through which it is possible to establish the brand and retain ling term customer’s base in the market (Armstrong et al., 2018). In the recent era of globalisation, the retail market is highly competitive due to presence of many retail firms across the globe and substitute products for which the organisation Tesco is also facing threats of existing competitors and substitute products. It further influences the leader of Tesco to develop effective marketing planning in order to improve branding and establish the company successfully, in the global retail industry (Peeroo, Samy and Jones, 2016). There are traditional and digital media through which the companies focus on promoting the organisational products and services. The traditional tools are such as billboards, print media, televisions, radio and brochure, through which the companies are trying to promote the organisational products and services.

traditional and digital marketing tools

However, in the recent era of globalisation, the use of digital media is increasing rapidly and the people across the globe prefer digital media for daily updates and gathering latest information. Hereby, social media provides a platform to the business for developing two way communications and it further helps the firm to promote the products successfully.

Tesco’s digital marketing strategy:

The target audiences for the firm is all the customers, who need groceries, home appliances and other super market products, the company targets the people from high and medium income group so that they can afford the products. The company also focuses on both men and women where it is efficient to maintain the stock of products for all the people in the market. In addition to these, the company is also targeting the customers who try to consume variety of products and who live fashionable outfit, as the company aims at products diversity to maintain the stock and serve the customers daily with new product line (Tesco, 2019d).

In this regard, the company Tesco focuses on sharing brochure for prompting the brand in the market where effective content and attractive offers ion the brochure further helps the customers to make effective purchase decision (Tesco, 2019c). In this regard, word of mouth is another traditional marketing tool though which the customers share information with others for making effective purchase decision from the organisation Tesco. In addition to these, the company invests approximately £110 million in 2013 on traditional marketing where the intention of marketing was heavily on traditional media such as televisions advertisement, magazine and newspaper as well as radio and cinema which helped the company to gain high market share, where the company was successful to motivate and influence the customers to develop effective buying decision for the products and services of the organisation (Tesco et al., 2016).

Tesco invests a lot to develop their website of the company, where the tag line ‘every little helps’ is effective to attract the target audiences in the market (Saqib, 2019). This further helps the customers to improve trust and loyalty to get quality products at effective price and it is one of the effective online strategies to promote the brand in the market. In addition to these, the organisation focuses on gaining customers base by digital media marketing strategic planning, where the company invests approximately £250 million for successful marketing and promoting of the organisational products and services online where the company has the opportunity to share the information about the quality products, pricing offers, sales promotion and seasonal offers with all the customer worldwide for improving trust and loyalty and retaining them for long run (Peeroo, Samy and Jones, 2016).

Tesco.com is joining with Bigmouth media for effective search engine optimisation, so that the customers can identify the products and access the website successfully for placing their orders (Saqib, 2019). Apart from that, email marketing is another effective planning of Tesco, where the company sends personalise email to the customers which increases customer loyalty and retain the target audiences and through this process, the company is able to enhance 60% revenue (Nizam, 2018). Facebook and Twitter have greater link with the customers and Tesco also focuses on promoting the products though Facebook page and posting blogs on Twitter. Additionally, the online promotional campaigning through Facebook and Twitter are also effective strategic initiative of Tesco, through which the company is successful to develop effective marketing tactics for strengthening their customer’s base (Tesco, 2019d).

Demonstrating the ability to retain the customers through marketing

The above mentioned marketing strategic planning of Tesco is effective to retain the customers, where the organisation invest a huge amount of financial resources on marketing promotional activities both in traditional media and digital media. It further helps to share the information and data of the organisation through the media including televisions, radio and print media as well as social media platform. SWOT analysis is effective in his regard to evaluate the strengths and weaknesses as well as identify the future opportunities and threats of the firm.

The strengths are beneficial for improving loyalty and trust among the customers, where the company is successful to retain the long run customers and strengthen their base for securing future development. The customers can access the organisational products through the own company website as well as store where the customers are well acknowledged about the products and prices and organisational activities, where Tesco aims to create values for the customers and this further enhances customers loyalty and retain the target audiences for long run (Peeroo, Samy and Jones, 2016).

Evaluating the effectiveness of the strategies of the firm

The above mentioned marketing strategic planning is effective to strengthen their customer’s base where the company is successful to deliver high quality products and services at effective price, where the customers will be beneficial as they can make effective purchase decision according to their needs and preferences (Saqib, 2019). Hereby, the marketing tactics of Tesco is successful to gain market share and high competitive advantage which in turn helps to enhance the organisational values (Nizam, 2018). The marketing planning is also beneficial to improve the profitability and sales volume of the firm in long run through which they are able to strengthen their financial position in the market and it is known as largest retail chain across the globe.

Conclusion

It can be concluded that, the marketing strategic planning, both the traditional and digital media tactics is beneficial for the organisations, where the companies are able to promote their organisational products and services it he market and target the audiences successfully. In this regard, Tesco focuses on marketing strategic planning and invest a huge amount for developing the traditional and digital media planning for successful promotion of the organisational products and services. the use of digital; media including Facebook, Twitter, Blogs, email marketing are useful for Tesco to improve trust and loyalty among the customers and attract the target audiences across the international borders by promoting their products and haring the important information about the products and pricing of the brand through the traditional and digital media.

Reference List

Armstrong, G.M., Kotler, P., Harker, M.J. and Brennan, R., 2018. Marketing: an introduction. London: Pearson.

Nizam, N.Z., 2018. Interactive Online Advertising: The Effectiveness of Marketing Strategy towards Customers Purchase Decision. International Journal of Human and Technology Interaction (IJHaTI), 2(2), pp.9-16.

Peeroo, S., Samy, M. and Jones, B., 2016. Generating Customer Engagement and Customer Enragement on Facebook Pages of Tesco and Walmart. In Conference on e-Business, e-Services and e-Society (pp. 146-156). Springer, Cham.

Saqib, N., 2019. A positioning strategy for a tourist destination, based on analysis of customers’ perceptions and satisfactions. Journal of Tourism Analysis: Revista de Análisis Turístico.

Tse, Y.K., Zhang, M., Doherty, B., Chappell, P. and Garnett, P., 2016. Insight from the horsemeat scandal: Exploring the consumers’ opinion of tweets toward Tesco. Industrial Management & Data Systems, 116(6), pp.1178-1200.

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