TESCO MARKETING ACTIVITIES

Tesco Marketing Activities



Tesco Marketing Activities

Introduction

Tesco's ethical credentials will come under close scrutiny at its own annual shareholders' meeting thanks to the dogged persistence of a single shareholder. The retired solicitor only has a small shareholding but has gathered sufficient support to force the retailing giant to put the issue of ethical trading with suppliers onto the agenda. (Frances Brassington and Stephen Pettitt, 2003, 66-78)

Ben Birnberg, who is company secretary for War on Want, believes the supermarket should adopt higher standards in its dealings with suppliers and farmers in low-wage countries. He won the support of more than 100 other shareholders, who speak for six times the number of shares required, to include the resolution demanding higher standards. This resolution will now be put to shareholders. Tesco initially refused but was forced to back-track after Mr Birnberg used the Companies Act to show he had gathered sufficient support to get it put on the agenda for the annual general meeting. Although it is clear that Mr Birnberg's battling qualities have forced Tesco into this corner, the wider issue of ethical and fair trading is one that is becoming increasingly important for our major retailers.

As they come under much closer scrutiny, both from the media and from within their own operations, they cannot continue to go through the motions and be seen to be saying the right things. (Frances Brassington and Stephen Pettitt, 2003, 66-78)

All over the UK there are individual campaigns being fought and won against the expansion of our major retailers, with Tesco often in the firing line.

The 4 P's are elements in the marketers armoury - aspects that can be manipulated to keep ahead of the competition'. The suggested marketing mix will help the new brand achieve a desired position in the minds of its target market in relation to its competitors.

For the new range to be successful it is essential to create the right balance between the four elements of the marketing mix making effective use of Tesco's resources. However it will remain difficult for Tesco to market the new range directly at the target market because of the diverse range of products offered. Tesco's market is split into a number of segments and care must be taken to target the correct one but also not to alienate others. There is also a certain amount of product association that will occur, and the new range must be diversified from old ranges to ensure that it will appeal to the target market achieving the desired brand image.

An important aspect of the marketing process is to review the existing theories relating to buyer behaviour and the influences that may affect the buying decision process. This will enable marketers to adapt the marketing mix accordingly.

Decision Making Unit - An important concept in marketing communications is the DMU, the Decision Making Unit. The decision to make a purchase is not made solely by the purchaser; there are different groups of people that will ultimately affect the purchase ...