Asda Marketing Plan The WritePass Journal

Asda Marketing Plan Abstract Asda Marketing Plan )[4]. Tactics Action Given the above, the main tactic for ASDA s to re-position itself in the market, remove this constant focus on price and look to focus more on ethical issues such as sustainability, which in turn may suggest quality. To do this, the retailer has a number of actions: ASDA will move to focus on local; putting its focus on supplying more UK produce in-stores, having dedicated aisles in superstores to local producers. The benefit here will not only be from higher sales of these goods, put also of the positive PR which could arise through supporting local farmers, and local communities. This is essentially classed as differentiation; the retailer will be introducing new products to do so. ASDA will also look to introduce convenience aisles into superstores. This will be seen as segmentation,[5] looking to attract a new set of customers to its stores who may have previously left as they prefer to do ‘little-and-often’ shops. This can be marketed by ASDA to target these specific customers. Budget This section will now discuss the budget for such a change in strategy. The main costs to the business will be seen as the marketing. For instance, when it comes to the ‘convenience aisle’, it could be noted that the infrastructure is already there; the stores will simply have to shuffle around stock to create the new aisle. When it comes to introducing the new products, the costs may be more down to developing the local links, with the suppliers themselves bearing the costs associated with producing the goods. Rather than a major financial cost, the introduction of more local products may be more time consuming for ASDA, given that they will need to ensure that the new products are in-keeping with the goals of the business, both in terms of pricing and quality (Ferrell, 2012)[6]. Marketing will be done through all ’traditional’ channels given the mass-market appeal of ASDA and the fierce competition within the UK grocery sector. While this would involve a higher cost than say digital marketing opportunities, it would be hoped that print advertisements and TV commercial will draw more attention, and so inform more customers. However, digital marketing could also be used, especially when it comes to advertisements through social media, and targeted banner ads which can be used online. Control Control remains an important consideration, both in terms of ensuring a level of consistency in the marketing message as well as also monitoring the return on investment (hereafter ROI). When it comes to consistency, while marketing could change to reflect changes in the marketplace, the business must look to maintain its ‘core’ message. For instance, while the focus on new marketing campaigns may be on local produce, the core message remains with the slogan ‘Save Money, Live Better’. Too much of change may lead to current customers becoming detached with the business and its values. Control will also come with ROI. Essentially, all businesses need to ensure that their marketing spend is generating business. New, digital marketing allows businesses to track this, with businesses able to use tools such as Google Analytics to view web traffic etc. (Chaffey, 2012)[7]. Traditional marketing may be harder to manage in terms of ROI, given that it is harder to distinguish how a certain poster/ TV commercial may have driven demand. However, if ASDA move forward with a unified campaign, so changing all marketing to reflect a single message, then the business can understand the potential ROI of the campaign. Recommendation/ Conclusion To conclude, ASDA has in the past focused its marketing plan on price, looking to drive consumption through low prices. This is itself would not be considered ‘ethical consumerism’, given that some of the lower prices products could be viewed as a damage to the environment. However, this strategy has now placed ASDA into a market segment which is seeing more competition, at a time when the size of the market may be slowing, given improving economics in the UK[8]. To combat this, ASDA has an opportunity to diversify its product range into a more ‘premium’ space; be it the expansion of their ‘Extra Special’ range, or through the introduction of more local products and brands (Perreault, 2010)[9]. The focus on UK produce could provide ASDA with a ‘Unique Selling Point’; which could allow the business to justify higher pricing, noted in Fifield (2012)[10]. This may also improve the organisations ethical position as it suggests that ASDA is considering sustainability in its wider supply-chain; given that more food is local, opposed to international, reducing the ‘distance’ of the supply chain, potentially being seen as more environmentally friendly. However, at the same time, the retailer must be wary that any change to its pricing may impact on its core customers. In the end, this may further impact on market share, however this is seen as a potential risk of an opportunity. The recommendation for ASDA is that is moves forward with a change in marketing, highlighting developments in both local sourcing as well as convenience. However, ASDA must look to control this movement, and potentially monitor the opportunity. 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