Critically evaluate the current marketing strategy of

ASDA Introduction and company background Marketing Strategy Decisions

Marketing is one of the most significant structural functions for any organization. It includes the whole process of analysing the market situation, finding out the
customer demands, bringing out products to satisfy them, making the customer well aware of the products and selling them at the end to make them reach to the
customers’ hands. In this report, we will have a thorough demonstration on different aspects of marketing like – product strategy, pricing strategy, brand positioning,
Product Strategy People, process and physical evidence
value proposition under the aspect of one of the largest retailer supermarkets named ‘ASDA’ (Lee, 2016). ASDA ranks as the 2nd largest retailer supermarket in the UK
after Tesco. It has a total of 631 stores till 31st January, 2020. It mainly businesses with products like grocery, daily usage merchandise and lately it also has started ASDA has a wide range of products in its line which is in demand of the market. But the time The workforce of ASDA is humble, knowledgeable and intelligent in handling the customers.
financial services and mobile phone providence. changes and the product need a new shape or it may need a slight variation or a change in its The process is made easy for the customers in buying the product and the process is made easy

Situation analysis style. In this case ASDA follows the Product Development Strategy. The Product
Development Strategy is developing the product in a new form or to bring a completely new
and convenient. Finally, the physical evidence is the physical locations and the structure of
ASDA which is efficient in doing its activities.
product in its existing market. For example, ASDA in its clothing line brings new kind of
Marketing Environment Analysis dresses every time to the changing preferences of the people and changes in style.

Technological environment – ASDA mainly deals with

PESTLE analysis is a very useful tool in analyzing the Social environment – ASDA has got the influence of
products which people need from day to day basis.
external environment of any business. So, here we social environment in a positive way. Since ASDA is a
Through technology it might increase its production at a
present the PESTLE analysis for ASDA supermarket store where people are to find all their daily
greater extent. Apart from that ASDA also started as a
Political environment – Politics also plays the role of an necessary products so there is no chance that social
provider of mobile phones which is an example of
upper hand in running any business organization. benefit is hampered anyway or ASDA can get at loss due
coping up with the evolvement of modern technology.
Political unrest can be very influencing on the to such factors.
Legal environment – ASDA is safer from the legal
organization’s activities. In case of ASDA, the
aspect too as it gives the maximum quality possible in
uncertainty of the government regarding remaining in the
the least price that they charge. Moreover, ASDA has
EU has been a very crucial political factor which has
never been penalized for deceiving customers with high
influenced the supermarket’s sales largely.
price or rotten products.
Economic environment - As a business representative
Environmental – ASDA deals with such products which
any country’s economy has a direct influence on it.
needs a lot of packaging. So, it is causing excessive
ASDA is no exceptional because its activities and
usage of plastic which is harmful to the nature. But lately
product selling is also dependent on how the country’s
it has started changing its packaging way due to the
economy is running.
increase of the customers’ consciousness for saving Market Communication Strategy Other strategic Marketing Decisions of ASDA
nature.
In Market Communication Strategy, ASDA has been going to the Digital Marketing. The
company has its page on Facebook through which it promotes its product and gives ASDA overlooks at the CRM as its one of the most effective strategy. CRM stands for
answers to the different queries of the customers. It also uses SEO to bring their website Customer Relationship Management. It is about building profitable relationship with customers,
Justification of the market’s choice on top compared to the other competitors. The company has also its advertisement collecting data about them, analyzing them and keeping them in center in all the activities of
campaigns through Google Ads through which the ads of ASDA is shown on YouTube and the organizations.
As we know, ASDA deals with groceries and regular merchandise which means it has other google sites. In this way ASDA promotes its products through Digital Marketing.
targeted the basic necessary products. Thus it has targeted a large section of market
which includes customers from every level of income. Critique of the Market Strategy
Pricing Strategy ASDA should look for ways to expand its market more in global arenas. As ASDA is one of the
Target segment top brands in supermarkets and is present in many countries of Europe, it should look for better
ASDA follows the Cost Leadership Strategy in its pricing strategy. That is ASDA through
branding strategies in other countries and establish themselves, so that they can be a global and
ASDA has targeted a very general yet very popular segment of the market. Basic bringing efficiency in its production and doing cost minimization, is able to sell product at
known brand in supermarket industry. But their expansion process has not been that
necessities are something which never goes off rather some necessities just change a low price to the customers. For this ASDA has been able to outperform many
satisfactory. As their products have huge potentiality of grabbing global market, they haven't
due to season and some changes due to innovations. Moreover, the chance of failure competitors and get a competitive advantage. As ASDA sells more products, they make
been able to fully utilize it.
of businesses with the objective of satisfying people’s basic necessities is very less if more profit. So, the low margin in setting the price comes as a benefit for the company.
proper strategies and pricing is adopted.

Conclusion with Recommendation

Brand positioning Value proposition Distribution Strategy As we have seen and discussed the marketing environment and strategies of ASDA, we have
ASDA offers a variety of products for different section of people under the same ASDA in its distribution strategy has always taken the customer’s convenience in their seen how effectively they are running their activities which has brought huge success to the
ASDA has positioned its brand value as the supplier of the highest quality with the
roof. Starting from regular groceries to kids diaper, baby food there is hardly consideration. As ASDA is a superstore, the demand of its product is huge. And as their organization. Now, as this company has more potentiality, it should take its activities in a
cheapest price. That is why, it now ranks the 2nd largest retailer market in the UK.
anything that customers won’t be able to find in any store of ASDA. Customers business is a B2C business, they have opened their shops all over the country so that the planned way. SMART recommendations for the company is:
The company gained a high customer satisfaction level with their fresh products.
naturally have a great fetish for quality rich products within a very reasonable price. customers can easily grab their product in an easy way. There are stores of ASDA all over
They also have their own food chain which basically are instant foods with average
ASDA’s main focus was always to fulfill this need of customers and it also has the UK and also the customers can make home delivery of their products. The customers •Gain 5 percent of more market share in two years by taking up the competition with Tesco on
taste and very cheap. Because of their such cost effective strategy it has gained a very
accomplished. It has gained high customer value and satisfaction with their cheap can choose their desired product from the website of ASDA from their product line. And a new height.
significant image in their customers’ mind making their customer more loyal to
price and qualitative products and with these values till now ASDA has been serving ASDA delivers the product same as the picture at a low cost. As the customers feel •Expand business in Asia where the business will be profitable to them and reach a good
them.
the whole UK. convenient, they become for interested and get used to in buying the ASDA products. position in 5 years.
•Make the advertising program more efficient in international markets by making advertisement
in accordance to their culture.
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