How is marketing used in two companies
Marketing is the action of promoting and selling a product or service, and it also includes advertising and market research.
Starbucks
Starbucks is a global company. Starbucks is a franchise that has over 17,000 stores in over 50 countries. It employs almost 200,000 people worldwide. It is in the private sector. In the year 2014 Starbucks revenue was 16.45 billion US Dollars. The secondary sector is where they take raw materials and make a product that is later on sold. They a in the secondary sector because they produce a product, coffee. They take the coffee beans and produce a coffee and sell the product. The tertiary sector is where they sell a service. Starbucks is also a tertiary sector because
…show more content…
Tescos geographic is semi rural and urban. This is because the majority of families live in these areas so this is why there are based here. They attract customers by using the penetration which is selling products are a low price so more people come and buy there and then at a later date increase the price but have gained a few customers in the process.
Tesco market relationship strategy is that customers have a clubcard that makes them more loyal to Tesco. This is when customers get clubcard they scan it every time they shop at Tesco. Every scan adds up points, when you reach 150 points you get sent vouchers with your clubcard statement. You can also get sent coupons for Tesco. This enables you to get money off your shop at Tesco. All of this is to keep you a loyal customer to Tesco. Tesco also hold competition for when you buy a certain product you may win a vouchers for Tesco. This makes customers want to go to Tesco more as there is more chance of winning better vouchers and getting a cheaper
…show more content…
They do this by using a loyalty card that works on points and in return getting vouchers meaning money off your next shop. Tesco also use market development when they decided to branch out oversea into countries like poland but this did not always work. Tesco are now pulling out of asia and concentrating more money on the uk Tescos because they were not doing very well in asia and they were/ are losing business in the uk as well. Tesco also use PD where they sell standard services to their existing customers, such as a petrol stations. This makes more customers want to go to Tesco because they know they can fill up their car as well.
Survival strategies and life cycle
A product life cycle is where you product has an intro where it sale are increasing and then it has a growth where the product sells even more quicker and this known as the product maturity. When the product has reached its peak of sales and this is known as the product's maturity. It then goes into a decline when the products are not selling as much. Here is a graph of what it looks
Online Stores Tesco wants go into other markets because they would be bringing in more customers, which are going to increase profit. They also have another aim which is to expand internationally because they already operate within the Europe. They have to set themselves new aims and objectives that are harder to achieve as it’s the expanding further.
Tesco PLC's Expansion in North Bracknell Introduction: Tesco PLC is an international supermarket not only selling high quality goods but has now also become one of the biggest job markets. As well as this Tesco has been running sub-projects to increase the level of customer care. [IMAGE] Tesco's main aims are shown by the steering wheel provided by their website (www.tesco.com). Tesco want to have good quality for value to earn their customers loyalty while still making a profit. I will be investigating the Tesco Superstore, petrol station, pharmacy and coffee shop in North Bracknell (Warfield).
Tesco also has various and wide range of products and that is to meet customers’ needs of whatever customers intend to buy, nearly whatever customer intends to buy would find it underneath one ceiling (at Tesco). On the top of selling groceries Tesco sells others products such as, books, CDs, DVDs to buy, DVDs to rent, games, flowers, electronics, cosmetics, etc.
Its core business is based in the UK, this is due to its vast rate of expansion, which is also expanding to other countries. Tesco first started as a food business but now has grown into other areas such as the Telecoms industry, clothing industry as well as many more, allowing them to be a well-known business. This strategy stabilises a gradual growth in terms of revenue for the business.
Tesco is trying to gain as high profits as they can because company investors or shareholders might thing about investing more money in to the business because of its success and development. Tesco wants to make its investors satisfied because it may affect business future.
It also expects the business maybe to give something back to them for example in Cannock they pay for the park across the road to be maintained for the community. They also want workers to be friendly and when coming out of work late at night to try to be as quiet as possible to not disrupt them and expect fair prices so that they don’t feel like they are being exploited. These have a huge influence on the business as if the local and national community’s do not like the business then they are going to go to other competitors so the business need to give something back to the community as you want a business that isn’t just providing yourself a service, you want a business that will go that extra mile that entices people to come back to the store for example the asda store in Cannock was given the planning permission to build on the terms that they maintained and renewed the park opposite them for the community so then the community feels they’ve got something back for the fact that a massive ugly store has been built in front of them. Sainsbury’s objectives for local and national communities are Community
Tesco believe that one of they offer the best quality on a broad range of products and believe that they offer the best value. They have invested one billion pounds since 1996 on the campaign to reduce prices to customers and that continues to build as they go in to 2004. They offer outstanding customer service, every customer is offered help at the checkout. Location and convenience is another reason to choose Tesco, they have introduced a staggering 200 in the last two years that stay open 24 hours a day and they plan another 1540 new express stores, which are Tesco mini sto...
Consumer’s shopping habit. At the moment, Asda strategy is to have large stores and out of town superstores. As online shopping and consumers’ habit of having food items on the go, more and more people are visiting the small stores. Asda could put a halt to its larger
Tesco has been particularly successful because of its powerful brand. It has a reputation for value, low prices and for being customer focused. Its brand and associations have helped the company to expand into new sectors and markets. Tesco has also been strong in public relations, advertising and building profile in catchment areas on a local level. This local approach to marketing appears to be a key driver for success. Tesco has a good range of products, including own label products. It seeks to provide excellent customer service, and ensure high levels of customer satisfaction.
Tesco is a Public Limited Company (PLC); this is usually a small business and their shares are sold freely to the open public as they can easily purchase their shares and most PLC’s are able to earn a fairly large amount of Capital at a quite fast pace which is good.
As a result, the customer will most likely come back to the store they are already familiar with. To this extent, the retailers can also send out gift cards, reward cards to customers rewarding them for loyalty to the store. Some people think it is manipulating people into buying goods, but it is not true. The customer always has to choose whether to buy or not. No one is forcing them to buy anything.
TESCO Plc, a British-based retail giant, founded by Jack Cohen in 1919. Today, the company operates in 12 countries and employes more than 530,000 people around the world. TESCO operates in six different formats including Tesco Extra, Tesco Superstores, Tesco Metro, Tesco Express, and Tesco One Stop.
This is a positive thing for Tesco has a larger demand for their products allow them to grow and expand due to greater profits.
For organisations to be truly marketed-orientated they must exceed the value offered by their competitors; and at the same time, the overall goals of the organisation must be achieved. Additionally, for marketing to be carried out effectively and efficiently throughout the organisation, then it must involve analysing, planning, implementation, and control (Kottler and Armstrong, 2012). According to Kottler and Armstrong (2012, p. 5), the modern marketing concept can be expressed as “the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return”. Tesco’s, it appears, may have managed to successfully achieve this.
Marketing is how a company or organization promotes the service or product the company uses to create revenue. After closely reviewing the needs of the public in an area or the market and the product or service is revised to accommodate these needs, a marketing plan would be created and executed.