marketing oct 19

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ContentsIntroduction:...............................................................................................................................1

Primark.......................................................................................................................................1

LO1. How the marketing plan supports strategic objectives.....................................................4

1.1 Explain how the strategy of the organization impacts on the marketing plan..................4

What is strategy and why it is important:...........................................................................4

Vision of Primark:..............................................................................................................4

Mission Statement...............................................................................................................4

SMART...............................................................................................................................4

Importance of Marketing Planning at Product Level & Business Level:...........................5

Products:.............................................................................................................................5

Marketing Planning Process:..............................................................................................5

Explanation:........................................................................................................................6

SWOT Analysis:.................................................................................................................6

Difference between Marketing Planning & Strategy:.........................................................7

Marketing Planning:...........................................................................................................7

1.2 Identify the component parts of a marketing plan............................................................7

Components of a Marketing Plan:..........................................................................................7

LO2. Understand the construction of a marketing plan.............................................................8

2.1 Identify the levels of importance of each component of the plan....................................8

Marketing Mix of Primark:.................................................................................................8

Product:...............................................................................................................................9

Quality:...............................................................................................................................9

Designs:..............................................................................................................................9

Brand Names:.....................................................................................................................9

Packing & Sizes:.................................................................................................................9

Price:.................................................................................................................................10

Promotion:........................................................................................................................10

Place:.................................................................................................................................10

People:..............................................................................................................................10

Processes:..........................................................................................................................10

2.3 Produce a marketing plan...............................................................................................10

2.2 Identify mitigation strategies for high risk components of the plan...............................16

Careful analysis of internal and external environment:....................................................16

Importance of Budgeting in Marketing Plan....................................................................16

LO3. Understand how to promote the marketing plan in support of strategic objectives.......17

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3.1 Discuss how the plan support strategic objectives.........................................................17

Marketing plan and the Strategic objectives of Primark:.................................................17

Publicity & Promotion Strategy in this Marketing Plan:..................................................17

3.3 Identify an evaluation and review measure for the agreed plan.....................................18

Conclusion................................................................................................................................18

References:...............................................................................................................................18

Introduction:

Marketing strategy is vital for any business as it gives the business a direction towards the profitability and stability. Any good marketing plan can be a source of success for the business.

There are 3 main divisions of the following assignment. At first the basics or strategic marketing and planning are discussed, and then process of marketing plan is discussed. Then I have made a marketing plan for the company myself and applied it to show how it can be produced and implemented. And all this happens in the second part of the assignment. Third part of the assignment is shows that how strategic marketing plan is helpful in gaining the strategic objectives of the organization.

Primark

Primark is one of those few companies which are not affected too much by recession which started at the end of 2009 and still has its affects. It is a popular cloth retailer which is selling clothes to customers on cheaper prices. It started from Ireland but now has extended its horizon in different European markets. Mostly placed in UK, Primark has more than 150 outlets including its Irish and Spanish stores. It started its business in 1970s and now thinking to expand it over many countries. Now within UK Primark has got hold of many important places on the high street and getting more attention of customers and having greater revenue generation.

(Source: www.primark.co.uk)

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LO1. How the marketing plan supports strategic objectives

It is important to have a good knowledge of how important is the strategy and how it can help formulate and marketing plan. First it is important to know and differentiate both of these things and then discussing the difference between them.

1.1 How the strategy of the organization impacts on the marketing plan

What is strategy and why it is important:

A collection of all those activities which are important to get specific objectives is known as a “strategy.” Strategy comprises of all those viable deeds and advancements taken to move the organization forward. It is also the aim of administration to increase the market share of the organization.

Vision of Primark:

Primark wants to become a leading organization by encouraging the fair business and also aims to satisfy the stakeholders related with the organization directly or indirectly or either they are the workforce within the organization or customers outside the organization.

Mission Statement

Primark aims to be a value retailer in clothing industry by selling its products on cheap prices with no compromise on quality. It also wants to stay in competition by keeping its focus on price and quality.

SMART

The simplicity of the mission statement of the Primark can be judged on the basis of “SMART analysis.”

Specific: The organization does not deviate from its main goals at all.

Measurable: The constraint of certain timing lacks in its main objectives.

Achievable: The goals set by the organization seem to be gettable.

Realistic: The organization has it objectives which are practical.

Timely: it looks the company does not give importance to the time constraint in its mission statement.

(Source www.primark.co.uk)

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Importance of Marketing Planning at Product Level & Business Level:

The organization makes it marketing plan in order to promote its products or services in the market in order get the market share and make its entities accessible to customers. It needs to focus on 4Ps in order to get successful which mean product, price, place, and promotion. First of all we will start from “product.”

Products:

Normally product is often taken as a touchable thing which has a specific design, measurement or flush but in real it can be untouchable known as service. Product or service is the main thing which introduces the company to customers.

(International Marketing Analysis & Strategy P-275)

It is also important to know that any organization which makes a marketing plan needs to consider it process in detail.

Marketing Planning Process:

(Kotler et al, 2010) describes the marketing plan as an in-print manuscript which has all the aspects related to an entity or organization and the actions which are related to that product or company.

Furthermore the organization makes a formal planning process to make it clear that how the upcoming goals will be achieved. In this planning process it is important for the company to consider the present and future prospects in the marketplace, have a good knowledge of what abilities it has to cope with these prospects and also needs to know those forces which affect it and the organization cannot respond to them at some levels.

The planning process helps the organization to get response of following:

1. The position of the company. 2. The aim of its direction.3. The ways and means to go towards a particular direction.

A good marketing planning process consists of following 5 steps.

It is important for the organization to consider the different stages of the marketing planning process given below:

1. It should clearly shape its goals. 2. Must consider its reserves to achieve those goals.

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3. Keep a track of what dangers and prospects can be in the way. Should make a clear marketing strategy.

4. Should apply it plans gradually and carefully and keep a track of them on the way. (Source Doowle & Lowe 2004)

Explanation:

First of all we have to clear out the main purposes of the marketing plan and it will be the start of any marketing plan. It is the first step in finding out what will be the target and how that target is going to be achieved. The evaluation of the assets of the organization is done at this stage when its funding is checked, the individuals, its manufacturing capability and technology required.

SWOT Analysis:

A brief and comprehensive way of checking what is the situation inside and outside of the organization is to do its SWOT analysis. The organization can assess what is going on inside and what can be useful for it by judging its internal strengths which give an idea of how the organization can compete with the rivals. Weaknesses of the organization cannot be ignored as they help the organization in order to avoid going beyond the desired targets and wastage of resources.

The organization has to keep an eye of its external environment as it helps the organization to remain in competition and avoid any catastrophic situation arising around it. It gives the organization a good view of how it can gain advantage over its rivals by taking any opportunity arising and keeps it aware of any type of dangers which can affect it badly if any wrong steps taken.

There are many other ways that can be helpful in getting a good idea of success and failure of any marketing plan of any organization including the “PEST analysis” and “Porter’s Five Forces Model.” Both of these are helpful for the organization to judge its current position in the market and are helpful to get a good idea of how it can achieve its targets. .

Difference between Marketing Planning & Strategy:

The organization makes its strategy in order to fulfil its general intentions and goals. By making a strategy the organization keeps a track of its activities in order to gain advantage over it rivals. Any strategy which is made in helpful in telling the current status of the organization, its main objectives from a specific starting point and the ways and means to go in a certain direction to achieve its goals. On the basis of strategy, the organization puts its targets in place and then makes a plan to achieve those targets.

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Marketing Planning:

The procedure of upholding a merchandize of the organization or the promotion of organization on the foundation of the strategy is known as marketing planning. Marketing plan is made by checking the position of the company in the market, the judgement of the inside and outside environment of the organization by using the accurate Ps in order to give the organization competitive advantage over its rival within a specific period of time.

1.2 Identify the component parts of a marketing plan

Components of a Marketing Plan:

First and foremost in these components of the marketing plan is “marketing mix.” The company divides the market into different sections and then puts the most appropriate of marketing mix to target those sections.

(Kotler, Managing Markets p-19) describes marketing mix as a sequence of right fits used for getting the marketing targets of the organization. These tools are further elaborates as 4 Ps by different marketing experts as:

“Marketing mix is defined as a set of tools a company or a firm may use to achieve its marketing goals”. (Kottler, Managing Markets P-19).

McCarthy divided these tools into 4 broad groups, which he called as “4P’s”

Product Price Place Promotion

Some other authors include 7P’s as the complete version of marketing mix. Those remaining 3P’s are as under:

Moreover, there are 3 more Ps important for the success of any marketing plan and they are given below:

People Processes Physical Evidence

By judging the marketing mix of Primark it is not tough to decide how they did attained the satisfaction of customers.

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LO2. Understand the construction of a marketing plan

2.1 Identify the levels of importance of each component of the plan

Marketing Mix of Primark:

Primark is one of the leading value companies in the garments industry which is giving its competitors a hard time in the market. Their marketing strategy is unique and is very useful for them as they are growing their influence with the changing time.

Product:

Primark not only give more preference to price but also provide a wide range of quality products for different segments of the society. They sell a wide range of products to customers of all age and gender keeping in view the latest fashion and consumer demand in the wide clothing market.

Quality:

Keeping in view the price of the products, the quality should not be that good as that of other competitors but it is surprising that quality of their products is sound.

Designs:

Latest changing fashion demands a higher level of designing from all producers in the markets and Primark keeps it in mind. It brings the newest designs at low price for the consumers.

Brand Names:

For a low-price retailer it is not easy to set up new brand names but Primark has done this job with excellence. They have brought these brand names in the market and made them a part of everyday life for example,

“Rebel Active

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Early Days ( For babies) Cedar wood State ( For Gents) Active Atmosphere CS Active Young Dimensions”

(Source: www.Primark.co.uk)

Packing & Sizes:

In the clothing industry it is important to keep the packaging standard high and provide all kinds of sizes of every product because the every customer has different size and Primark does this job properly. The company also provides with great services in terms of customer service. Also it has an excellent policy of return of product in case of any type of fault for twenty one days.

Price:

Primark are a value retailer and want to supply superior products on lower prices. Especially at the time of recession when the consumer is giving more importance to saving, then Primark becomes the most important and successful retailer in the high street as it believes and make the customer believe that “Look good, pay Less.”

Promotion:

Although company is considering promotion as an important factor for its future aspirations, but so far it is lacking in this aspect. Now a days companies are focusing on providing more and more products on their website and doing online business.

Place:

Place is one of the most influential factor in the success of any marketing plan and Primark realizes this fact. There are big and accessible outlets of Primark in all the shopping centres and markets. These stores with big signs are visible and accessible to the consumers which give it advantage and big business.

People:

This aspect of marketing mix becomes significant if the product is intangible that means it is a service. Both inside and outside the organization there are either staffs or consumers and are important for the business.

Processes:

From start to finish of any marketing plan, there are different processes which should be considered important by the organization. For example, the organization should keep “CRM”

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http://www.Primark.co.uk/

as an important factor as it gives the feedback by the consumer and makes the company alert if any kind of problem occurs during the course of a marketing plan.

2.3 Produce a marketing plan

In this section I have produced a marketing plan for Primark and is given below:

Primark introduces its branded sports range

Website: www.primark.co.uk

Email: [email protected]

Service name: “Primark value sports range”

Slogan: “your best value company brings you sports range now”

Selling “Primark sports range” to the Customers:

“Primark sports range’ is the first value sports range of clothes for the young customers all around UK who wants sports clothing at cheaper rates.

“primark sports range” has major reimbursements as follows.

It gives a variety of different types of marked clothing of different clubs and counties and different sports stars which the youth of the country seek as ideal.

It is cheaper in price and durable. It is available and all shapes and sizes.

The Markets for “Primark”:

Macro-Environmental Analysis

Sports loving fans can get the products of their liking without any restriction imposed by market of higher prices.

The consumers loyal to Primark do not have to go to other stores like JD Sports to buy their products as they get it here on cheaper prices.

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Micro-Environmental Analysis

The Market:

Now a days there are few licensed retailers who can sell the sports clothing to customers and they are well established but there is still a lot of market potential for the Primark is it is willing to providing the best value of its products to the customers.

The Competition:

Primark faces stiff competition from its rival brands like JD Sports, Lillywhites other manufacturers in sports clothing range. Also these rivals provide shoes and other gifts as well which can be an issue to be considered by Primark while introducing its range in the market.

The Customers:

The expectation of the consumer is high in this clothing range as they want wide range of the products including all kinds of sports and players, so it will not be that easy for Primark to bring its clothing range and make it successful.

(SWOT) Analysis

Key Strengths Implications for Marketing

Primark is a trusted brand name so it can get success if it works on this clothing range carefully.

A bigger network of Primark stores and convenience to reach the customers can be a greater strength for the company.

As the brand prices of Primark are considered cheaper so it can attract more consumers to its stores to buy sports clothing range.

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Key Weaknesses Implications for Marketing

There can be licensing problems for the Primark in getting the bigger brand names like adidas, nike etc.

Primark needs more money to advertise its products in the market. The training provided to the customer services is necessary because the consumers

will feel hectic in case of any query at the stores. Primark lack expertise in this clothing range before so it will need more experience

staff in this department.

Key Opportunities Implications for Marketing

Cheaper products tag for the company can be helpful for it to bring the sports range cheaply for the consumer.

Customers can buy other clothing range with the sports range at the same place so it can be a good opportunity to promote other products.

Younger customers are attracted more to the company as company lacks in this department before.

Key Threats Implications for Marketing

In sports world there is a trend of growing uncertainty of the market so Primark might not be able to cope with the changing trends.

Other sports clothing manufactures already have captured big market so for Primark to enter in this market can be a tough job.

Cheaper brands tag has a lower quality thinking in the consumer mind so it can be a threat.

Strategic Goal:

The main purpose behind the introduction of “Primark sports range” is to capture bigger market in clothing industry and gain the confidence of the teen age generation in the UK market.

Core Strategies:

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The company aims to focus on the Cost Leadership strategy in this field of clothing range as well.

Brand Name

“Primark Sports Clothing Range”

Tagline

“your best value company brings you sports range now”

Unique Selling Proposition

“providing the cheaper sports clothing range to the consumers.”

Benefit Statement

The Primark sports clothing range has many reimbursements

It is cheaper It gives the customer more variety It is available in all stores across UK

Positioning Statement

It shows that company is in a strong position to put its efforts in this clothing range and beat its rivals.

Target Market Segments and Strategies

Target Market Strategy

The current customers who are loyal customers of Primark Younger customers

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Smaller clubs and counties Visitors to the country

Pull policy:

The organization can advertise its new sports clothing range through different sources although it does not need to spend much money on advertising because the customers who come to the stores will find the products and it is a natural advertisement. Other sources can be Radio, television, papers and most importantly internet.

Key Product Policies:

Product/service

The customers can get the products in-store and in every store.

Price:

The same lower price strategy is applied on the prices of this clothing range.

Promotion:

All kinds of resources available for the advertising will be used for the promotion of the product.

Place:

All small and big Primark stores will have a specific area in its stores especially dedicated for these products.

Positioning:

Vision Primark: “it’s your sports”.

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Sports clothing range has its main aim behind it to bring the younger consumers in its stores to get better market.

2.2 Identify improvement strategies for high risk components of the plan

Careful analysis of internal and external environment:

Any marketing plan is successful if the marketing mix is taken care of during the implementation of the plan. It is always taken after the careful analysis of inside and outside environment of the organization.

The greater competition in the market forces every organization to put the right kind of products at reasonable prices and promote them in order to make the marketing plan successful. It also needs to consider the proper placement of the product/services in order to make it accessible for the consumer. So the marketing plan is successful if the marketing mix is given more importance. In this plan there is risk of high level of competition from different market retailers like JD Sports, Lillywhites who already hold most of the market share in this area. So the company has to work hard to beat these competitors and attract younger customers by doing aggressive marketing strategy.

Importance of Budgeting in Marketing Plan

The position of the organization is important to be considered at all levels and also the direction of its position should be clear and in this regards finances of the company are one on the most important factors while making any kind of marketing plan. The organization should allocate finance to the marketing plan keeping in view it current position and should predict the outcome of the plan on the basis of its finances. It should also keep finances if any kind of contingency plan is needed in case of failure of the original plan. At the start of any marketing plan the financial resources of the organization must be considered and what more is needed at the time of promotion should also be allocated while making a plan. Here in case of this plan the company will have to allocate a big budget based on the diversification of the range of the products.

LO3. Understand how to promote the marketing plan in support of

strategic objectives

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3.1 Discuss how the plan support strategic objectives

Marketing plan and the Strategic objectives of Primark:

Low price quality clothes company Primark can provide the sports clothing range at lower prices as well which can be beneficial for its future aspirations. The only strategic objective of the company is to boost the revenue by targeting customers of all ages and genders will still keeping its reflection of a low price clothing market.

Primark is an easy to access company in every corner of the high street so the consumer can get reach it everywhere. So this plan should be successful as the modern day consumer does not want to go too far to buy his/her products.

The company will get boost towards its strategic aims as it is bringing the younger customers to its outlets. So the marketing plan will focus its advertising on it.

Publicity & Promotion Strategy in this Marketing Plan:

Not all of the marketing plan needs the same kind of promotion techniques but still are important. It seems that company is content with what it is achieving but still if any kind of promotional policy is considered in this plan, it can be helpful for the organization in order to attract the attention of more and more consumers towards its products. “Integrated marketing communication”(IMC) can be the best advertising policy in this plan.

3.3 Identify an evaluation and review measure for the agreed plan.

This plan is actually focused on the younger generation which is the future of the society. So Primark has not given any time frame to get the target in this plan seems understandable. Sports products are very famous in the younger generation and Primark seemed to be lacking in this respect. Now it has got a chance to boost its sales and get a competitive advantage over the consumers. I do not see any kind of threats involved in this plan because even if it fails Primark has not reserved any special stores for this plan, so this plan can be easily reversed or any contingency plan can be applied if needed by the top management.

Conclusion

Strategic marketing is a great source of achievement of goals for any kind of organization. In order to reveal the importance of strategic marketing “Primark Stores Plc” was taken in this assignment as an example. Any kind of marketing strategy is successful if the marketing plan made for it is crafted in a way that suits the organization’s internal and external environment.

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If this kind of plan is efficient and affective and meets the demands of the markets, it can be a great source for the organization to get lead over its adversaries.

References:

Alan Chapman 2005, based on Michael Porter's Five Forces of Competitive Position Model Web addresses www.businessballs.com. Alan Chapman accepts no date accessed

Doole Isabel and Robin Lowe ,International marketing strategy,4th Edition,2004,Reprinted 2005,Copy right Thomson Learning ,London, Printed in China by C&C offset printing Co. Ltd.

Grant, R. (1991) The Resource-Based Theory of Competitive Advantage. Implications for Strategy Formulation. California Management Review, 33(3).

Philip Kottler and Kevin Lane Keller, Managing Markets, 12 th Edition, 2006, copy right Pearson Education Inc, New Jersey.

Peter.J, (2008), Marketing Management, 9th edition, NYC; Mc-Graw Hill

Primark’s history, www.Primark.co.uk

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http://www.Primark.co.uk/

http://www.businessballs.com/

http://www.businessballs.com/portersfiveforcesofcompetition.htm

marketing oct 19

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