(A) Describe the business and its aims and objective
In this report I will be investigating how marketing in business helps using organisation that has a national promotional campaign for its products or services.
The business I have chosen to investigate is the large supermarket store called J Sainsbury’s; Sainsbury’s is one of the top supermarkets that you are able to buy products and services at a good quality.
Sainsbury’s supermarkets were established in 1869 by John James and Mary Ann Sainsbury’s and is Britain’s longest standing major food retailer chain.
Sainsbury’s is a very large supermarket and employs over 145,000 people of these 60% are part time and 40% are full time. 62% of all the employees they employ are women.
The supermarket now have many types of store where customers can get products from but a large supermarket will offer customers 34,000 products and over half are Sainsbury’s own brand including fresh produce form tomatoes to spinach.
In addition to a wide range of quality food and grocery products many stores offer bread baked while your shopping, meat and fish counters, pharmacies, coffee shops, restaurants and petrol stations.
Because of many of these services Sainsbury’s supermarkets are able to serve over 11 million customers a week and as at March 2004 had 583 stores throughout the United Kingdom.
Sainsbury’s over the years now have not just been in the area of providing food products but now have a Sainsbury’s bank which was opened for business on the 19th of February 1997, this was a joint venture between Sainsbury’s and the bank of Scotland this was a big achievement for Sainsbury’s because they were the first bank of the UK this was a good groundbreaking venture for Sainsbury’s to take because they were able to attract 2 million customer accounts.
Sainsbury’s also now provide a range of affordable services including life and health cover, personal loans, savings accounts and travel insurance. In the year 2003 Sainsbury’s bank was named the best provider in the money direct awards.
Sainsbury has seen a change in customers requirements with organic food healthier foods and convenience food all being topical, they have responded to these changes and are proud of the initiatives they have put In place most of Sainsbury’s own brand products have been gm free since 1999.
Sainsbury’s have also made the shopping experience more enjoyable for customers by introducing non food services like beauty and home ware products, general merchandise and clothing on offer.
Sainsbury’s aims and objectives
The aims and objective of Sainsbury’s are very straightforward for everyone within the business to understand here are some of the aims and the objectives:
Sainsbury’s aim to survive and reclaim the number one spot from their competitors Tesco- This aim shows us that Sainsbury’s are determined to survive as a business they may need to do this by reaching all the needs of customers so that customers will come back to the store over and over again the aim indicates that Sainsbury’s may be struggling to please their customers which is now affecting how they are to survive in an intense race for the number one spot.
But are now trying to achieve this so that they can survive and to do better then their recent form so that some time in the future they are able to shift the number one supermarket which is Tesco so that Sainsbury’s can become the number one supermarket in the league.
Sainsbury’s aim to increase profits- Sainsbury’s are trying to increase in profit so that more money can be reinvested into the company which will allow them to grow to be a better supermarket also by increasing profit more and new ideas can be generated for the business so that they can be differentiated from other competitors by doing this they will also increase sales this is very important for Sainsbury’s to do so that they can use reinvested money to improve the current performance from employing new staff to making sure that food advertised is actually in the store.
By doing these things Sainsbury’s will be able to make their customers or sales increase because customers no that products they need are in the shop Sainsbury’s no that if profits are increased then they are able to spend more on the focuses of the customers and their for customers expectations will be reached and they will be satisfied. .
To provide shareholders with good, sustainable financial returns- This means Sainsbury’s want to ensure that shareholders receive a satisfactory returns for each share they own, Sainsbury’s know that in order to do that they will need to ensure that profits are increased annually so that shareholders can be satisfied with their returns this may hard to do especially if they are struggling at the moment to even increase their profits so they will need to strategise so that they don’t lose stakeholders and shareholders.
To provide outstanding quality and choice- This means to achieve this objective they will need to be committed to providing customers with quality and choice in both food and non food areas also they would want to try to improve own brands and products so that they can provide customers with superiority food. This is an objective where it seems that Sainsbury’s have sat down and have come up with ideas on where in the store improvements need to be made quickly so that the service they give to their customers are outstanding,
Sainsbury’s have also looked at the quality of the food and how they can improve on it they may be trying to enrich the taste of products and also improving the choice that customers now have Sainsbury’s are introducing new brands in to the market so that customers have more to choose from not just the same particular item.
Delivering great services to customers- This means they must try to provide a consistent level of good customer service across all their activities whether it is product availability or food quality. Basically Sainsbury’s should be aiming to develop and progress on every area in their supermarket stores by doing these customers will notice there are more services.
For example staff packing bags at the checkout this can be very effective and can attract customers these are services that Sainsbury’s now are improving on so that customers are pleased with their shopping experience and that they feel comfortable every time they shop in the stores.
Sainsbury’s aim to exceed customers expectations during their shopping experience- This means going beyond what the customer expectations are for healthy safe fresh and tasty food making their life easier everyday when buying or even preparing food this is a great way to gain profits by aiming in this direction Sainsbury’s know that the more easier shopping is at their stores the more customers will come back to shop.
By exceeding customers expectations they will want to be ahead of how the customers thinks and shops by Sainsbury’s doing this they no that they can make life easier everyday when shopping in their shops or even preparing food from scratch clearly something that customers may find hard doing so Sainsbury’s will try to even make life better even when customers are at home.
(B) Relate the promotional campaign to the achievements of those aims and objectives.
Description of the promotional campaign
The promotional campaign that Sainsbury’s is currently doing is proving to be very effective Sainsbury’s communicated to their public and customers by using above the line advertisements on the telly or on billboards, this was a good way for them to reach a wider audience so that more people new about the promotional campaign this was a good initiative and they were able to create and maintain awareness about the Sainsbury’s stores. What Sainsbury’s did was to work with a popular British icon which was Jamie Oliver, one of Britain’s talented chefs they were both able to come with ideas to promote Sainsbury’s the main idea that was generated was giving customers ideas to prepare fresh, safe, healthy, organic and tasty food that was also easy to prepare for the family.
This idea is very good and was launched at the time when obesity was a problem and is still running till now, in the advertisements it shows Jamie Oliver preparing meals for the family and showing how easy food from Sainsbury’s can be cooked at the same time he will talk about the experience when shopping in Sainsbury’s and how tasty the food is. The promotional campaign has been successful because there are still more adverts today and Sainsbury’s are able to focus on the target market which is in fact everyone that may shop in Sainsbury’s this is called blanket promotion where every one is targeted.
The promotional campaign had some kind of effect on some of the aims and objectives this was good and improvements were obvious when related to the aims and objectives.
To provide outstanding quality and choice
To provide outstanding quality and choice is such a good objective for the business Sainsbury’s to identify and to tackle it shows they are trying to put the most important factor first which is their customers that shop in their store they have tried to enhance the shopping experience in many ways by trying to improve the food selection within their store not just the quality but by letting customers have more to chose from when looking for particular products. Customers will like this because they will feel as if they are being looked after by Sainsbury’s and this is exactly what the company want customers to feel like.
I am able to say that because of this success that Sainsbury’s may have achieved in this objective I able to easily say that the promotional campaign has also had influences on the success of Sainsbury’s in the last year the promotional campaign is aimed at people who shop in the store and people who don’t they were able to show through advertisement that their stores had a lot of the products they wanted at the same time the icon used within the adverts would comment on services and confirming that Sainsbury’s were not just good at making life better but also excellent at providing quality and choice by using promotional advertisements like these it will have an influence on customers because they will take such a like person opinion on board and go and see if the adverts were telling the truth or accurate about Sainsbury’s.
Sainsbury’s aim to exceed customer’s expectations during their shopping experience
This aim is very crucial and is important that Sainsbury’s try to make sure they achieve this aim everyday in their stores once again the aim shows that they have put customers in the limelight this is good and shows their focuses is on their customers. In the stores Sainsbury’s will try their best to go a step further then the customers expectations this is done in many ways and one of these could be to pack shopping for customers at the till this is such a high-quality idea allowing customers to be at rest and to be less stressed by doing these things customers will notice changes allowing them to feel more appreciated in the stores and improving the shopping experience.
Once again we can relate promotional campaigns to the objectives and see how the campaign has had an effect on the aims with the issue of exceeding the customers expectations Sainsbury’s were actually able to do that which involves another one of the campaign adverts showing the UKs most loved chef Jamie Oliver being served at the checkout while his is waiting one member of staff is packing his bags. The advert portrays that Sainsbury’s are wiling to take the extra step further because of this advert according to Sainsbury’s annual report sales increased and customers were impressed with the new idea and happy because they felt as if they were making life taste better before they have even prepared any food from the store this was a big plus for Sainsbury’s and the promotional campaign was able to boost the sales figures.
Delivering great services to customers
Delivering great services to customers is another one of Sainsbury’s objectives and involves them doing things around the store to make customers feel more comfortable over the years Sainsbury’s have improved upon the looks of their old store by giving them new looks and using bright colours making the shopping environment more intriguing for customers or whoever may shop in their stores, they also delivered services by serving customers well. That means they continually improved their product ranges and develop new offerings to customers but this was on a much higher level then other supermarket stores.
These are all the thing that were part of the promotional campaign they didn’t just show one end of the stick but many areas and this is what Jamie Oliver was able to do in the adverts he was able to make Sainsbury’s look like they are capable of providing many different products especially organic and healthy food emphasizing on the fact that this type of food was important and at the same time good for you showing the audience that Sainsbury’s were than only store who provided a wide range of organic and healthy eating products in their stores because the campaign started near the time when obesity was a problem they were able to promote healthy eating as an option which increased sales.
Conclusions of the promotional campaign
The Sainsbury’s national campaign in my eyes was very successful because of the timing and the icon used in adverts it helped boost sales figures because of the way they realistically put the advertisements together and at the same time they were also honest what you saw on the TV or on billboards is what you saw when you were to go into a Sainsbury’s store. The campaign was put together very well and almost ties in with the fact that the company motto is making life taste better its obvious that through the campaign they have tried to show customers that Sainsbury’s are able to make life taste better even in the shops before they have prepared products by making them feel comfortable while in the shopping experience or by providing customers with outstanding quality and choices and providing customers with healthy eating options.
(C) Explain how the promotional campaign “p” relates to the other elements of the marketing mix in this particular campaign.
The promotional mix consists of the three Ps, which are product price and place. This is the mix that brings and shows how Sainsbury’s will try to promote their new products or even themselves as a business. Sainsbury’s will make sure they look on how they are able to promote themselves and ensure that they do this by linking each of the p together this is crucial because the promotional mix is the tool used to promote the product to the best effect and to the target audience in Sainsbury’s case to describe their overall mix they would call It a blanket promotion where their have targeted no specific group but more or less everyone
In order for Sainsbury’s to ensure that their promotional campaign goes according to plan they will need to look at the different aspects of the promotional mix. They will need to ensure that they have looked at several thing that may concern the product for example they will need to look at the cost of the campaign the focus on the target market the effectiveness is the company doing the right thing meeting aims the flexibility of the promotion is it adjustable to the target audience and most importantly the achievability do they have realistic aims do they have the right sources to achieve a goal. These things must be looked over and certified so the success of the promotional campaign can be successful.
Promotional campaign related to products
The promotional campaign of Sainsbury’s relates to the product in the way they will try to project the image out to the target audience. In the case of Sainsbury’s they have related the product in several ways while promoting their product which is fresh tasty healthy organic food that is easy to prepare, they have shown why their product is good for you why its unique they show this because it is important to let customers no that they are the only supermarket that can offer you a wider range of fresh organic food which at this time people will want to buy also showing that their products are better then their competitors.
Sainsbury’s have achieved this and have shown all these areas of the product to the customers through the way they are able to advertise to their target audience in adverts they have shown customers the type of food they sell allowing the audience to see evidence of the foods that can be found in their shops and the quality of them showing customers what people like the chef Jamie Oliver think of their products telling people why he like to shop in the shop because they have a range of products which he likes and especially because they are healthy and also organic foods.
By using someone who is well liked by the millions that see these advertisements the promotion links better to the product especially because Jamie Oliver is a fulltime chef I say this because he is likely to have more knowledge with foods if people see that such a high quality chef goes to Sainsbury’s to shop it will encourage others to also go and purchase products from Sainsbury’s.
Promotional campaign related to price
The promotional campaign related to price is how Sainsbury’s are able to also show to customers or the target audience the prices of products with the promotion in Sainsbury’s they do not directly show prices of products through their above the line promoting methods like advertisements because they are not promoting special offers like buy one get one free but they are trying to promote the actual product and letting their target audience know that products are of a high quality and are sold at reasonable prices that are good for value.
In the adverts they don’t particularly show how much products are but continually show that foods that are fresh and healthy are good for you and are priced at standards cost by Sainsbury’s doing this the relationship between the promotion and price integrate and customers feel more comfortable so in the adverts that Jamie Oliver appear in he will confirm this by talking about the good value from Sainsbury’s and stating that he is happy the value he gets when he buys food that is so important for you and your lifestyle.
Promotion campaign related to the place
The promotion campaign also relates to place and also to the marketing mix and where they will promote the product. The product of Sainsbury’s is the option of eating fresh healthy tasty and organic food. In their promotion they are trying to get people to no that this type of product can only be found in the stores of Sainsbury’s even if this product was to come in any other supermarket store through their advertisement they will show that the only place where you will find value for money is at Sainsbury’s for their great ranges of products.
Sainsbury’s will ensure that products like their own are shown through their promotion allowing the target audience to see where they are able to find their products. Sainsbury’s will also make sure they do this in a particular way maybe just by having Jamie Oliver in the stores where the specified product can be purchased which will be in the stores of the Sainsbury’s
Promotional campaign linked to products, price and place
The promotional campaign is linked to products price and place and this is important in the way they are able to promote through each p so that the target audience can be targeted. The promotional campaign is kind of like a triangle and Sainsbury’s will first promote the product through the above the line advertisements focusing on their target market and showing the audience that the products are available and that there are a lot of resources to cover that area. By doing this Sainsbury’s will meet there aims in showing customers the whole point of their product. Then through the same or similar adverts they will show where the products can be bought specifying that Sainsbury’s stores are where the products of the campaign can be found.
So while the advertisements are on the telly it is very likely Jamie Oliver is going to be inside one of the stores showing the different ranges of the products available this at the same time will promote the product these are ways in which the product and place link also this will link on to the price because through Jamie Oliver showing the place to find products he will also comment on the pricing strategise of Sainsbury’s in this Sainsbury’s will instruct Jamie Oliver to show the target audience that their products are of high standards and are for the benefits of the customers he will let the target audience know that this is good because the prices are at affordable levels which makes life easier when shopping at Sainsbury’s supermarkets.
(D) Comment on the marketing mix in the relation to the achievement of the marketing and promotional objectives and through them the business aims and objectives. Explain the specific importance of the promotional aspect of the marketing mix.
The marketing method used within the Sainsbury’s plc would be called the marketing mix, which will consist of the four ps. These are called the place, promotion; product and price this is what the business may use to best satisfy customers in the target market of the promotional campaign. This is also an area where their will be relations with the companies promotional objectives, the marketing mix helps to achieve the promotional objective which is used as a communication tool to achieve mains aims and objectives
In the case of Sainsbury’s the product they offer relates to the promotional objectives and aims by the quality of that particular product is it worth it is it better then the others, in Sainsbury’s they will need to make sure that the products are produced of high quality better than their competitors, to ensure that customers are happy with these products they will need to ensure that the products appearance appeals to that certain customers in their target audience.
Also they will need to ensure that the quality of that product is up to the standards of the customer these are some important aspect of delivering the products to ensure that customers are satisfied with the product or services they received by ensuring that they are able to tackle these issues then it will be able o show up in the objectives for example sales may increase this is one of the ways they are able relates.
This involves Sainsbury’s making decisions on how they are able to promote the products/services they are offering they may do this by advertising, sales promotions and public relations these are all done to create awareness for new customers also to communicate with their target market by offering specials offers they will be able to attract more potentials customers because they will show interest because they no that the particular offer is aimed towards them by Sainsbury’s by doing this they are able to see the response from those are interested in what they offer.
This is just away for Sainsbury’s to inform their target groups about their organization and the products they offer this area of the mix relates to the promotional objective in the way that by using this method they can communicate with customers this may increase the amount of people that may shop in Sainsbury’s this is the way the mix relates with the promotional objectives by ensuring people know about the product or services that they offer.
This marketing sector is very important and Sainsbury’s will need to show customers where they are able to receive their goods for example they will need to show their target customers were they distribute products and also they will need to ensure that customers no were their branches are either in the high streets or on the internet
Sainsbury’s will also try to make their branches a more comfortable place for customers to shop they may do this by improving the way branches are layout, they may also do this with their internet banking site allowing customers to have a better understanding of what Sainsbury’s products are about this is important and is another means of communicating with customers which is one of the important objectives letting customers know where you are where they can purchase products in the promotional customers.
In Sainsbury’s case they will need to consider the price so that it relates with the promotional campaign because if Sainsbury’s are saying that their products are of high quality and at value for money it wouldn’t be advised that they price products at such high extreme cost.
Sainsbury’s will need to ensure that customers no that products are high quality but at valued prices by doing this customers will be more encouraged to buy the products in this sense the price area of the marketing mix will relate to the promotional and business objectives because Sainsbury’s will see positive correlations. If Sainsbury’s are able to achieve this more objectives can be met like delivering great services to customers
The importance of the promotional aspect of the marketing mix is that the four ps are a means of communicating to the customer which is a very important tool without the promotional p it would cause a lot of problems and they will not be able to communicate products to their target audience in an effective way which will cause a decrease in sales and profits.
By having the promotional p it will boost the image of Sainsbury’s which will allow more customers to know about the promotional campaign and the goings on of Sainsbury’s. It is also important that Sainsbury’s stick by their promise through their means of communicating so that they do not mislead customers into the wrong direction they will need to ensure that the availability of products are high standards and are the resources available at the right time and at the place also they will need also ensure that they keep their focus on their target market mix different target audience because this will get confusing.