Procedure
The author, in order to complete the report studied several texts with regards to marketing and consumer ethics. The author also researched many useful websites with regards to Sainsbury's. The information studied can be found in the bibliography section found at the closing part the report.
According to Jobber et al (1998) the marketing mix is ` the tactical `toolkit' of product, place/distribution, promotion and price that an organisation can control in order to facilitate satisfying exchange'. The following is Sainsbury's current marketing mix strategy.
Product
Sainsbury's is committed to the continuous improvement and development of its products, as it understands quality is of paramount importance to customers. It is apparent that economy range products can target the price conscious customers. Sainsbury's Supermarkets always try to provide high-quality products, value of money. In addition to a wide range of quality food and grocery products, many stores offer bread braked on the premises, delicatessen, meat and fish counters.
Price
Price is a sensitive component of the marketing mix in Sainsbury's. In 1996, due to Sainsbury's poor profits performance, its share price consequently fell, resulting in the organisation moving closer to a low price platform.
Promotion
According to www.sainsburys.co.uk Sainsbury's fully takes advantage of above the line and below the line promotion to build up its strong brand and to draw attention to products in order to gain more customers. Sainsbury's has learnt that its own brand identity has become more important than the products they sell and greater wealth can now be created by the communication of an overall retail brand identity. Sainsbury's uses me...
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... of Business 3rd Ed Prentice Hall Brassington, F and Pettitt, S (2000) Principles of Marketing Prentice Hall
Blythe, J (1998) Essentials of Marketing Pitman
Buchholz, R & Rosenthal, S (1998) Business Ethics Prentice Hall
Cannon, T (1998) Basic Marketing: Principles and Practice Cassell
Drummond, G & Ensor, J (2001) Strategic Management: Planning and Control Butterworth Heinemann
Jobber, D (1998) Principles and Practice of Marketing McGraw-Hill Kotler, P (2001) A Framework for Marketing Management Prentice Hall Rickard, L & Jackson, K (2001) FT Marketing Casebook Financial Times Strauss, J (2001) E-Marketing Prentice Hall
Werhame, P & Freeman, R (1998) A Dictionary of Business Ethics Blackwell
Websites
www.marketresearch.com
www.bbc.com/news/business
www.sainsburys.co.uk
On the other end of the spectrum Woolworths prides itself on ‘value for money’ therefore its pricing structure is very dynamic and can vary from store to store and economic determinants. Woolworths recognises the need to participate in ‘price’ to stay competitive and employ the strategy of ‘KVI’. ‘Woolworths will conduct weekly basket checks against the price of its competitors ensuring that prices remain competitive on items that are relevant to that week or month and to flag products that erode value over time’ (3.2.13 KHAN. S, 2011) & (3.2.8 KHAN. S,
...ned with solving problems in the most amicable manner. One of the consequences of unethical practices in business world is that they solve short-term problems and pave way for mistrust. To regain the trust back from the public is not easy and this is costly to the company than anything else. Therefore, the issue of ethical advertising should be very critical in any organization especially if the company has to project and implement its long term goals. It is trust that is going sail the organization through to the attainment of long term goals. This is due to the fact trust creates consumer loyalty and this loyalty ensures a steady and growing market. Finally, though there is a proposal that law should be instituted to control unethical advertising, more should be invested in building the morals because it is these morals that lead to instillation of ethical values.
Sainsbury’s mission statement is split up into several sections, first of all, to have great products at quality service and fair prices, secondly to be there for the customers and finally for their colleagues to be the difference. This is the mission and values of Sainsbury’s organisation which should be seen throughout their entire staff and the staff should know about it because of the fact that it is forced throughout all the different areas of Sainsbury’s managers and stakeholders. Sainsbury’s main goals are to sell products and services at prices that can relate to their customers, they achieve this goal by setting process and discount deals to attract customers to the products being sold. Also that colleagues are the ones who are making
However, with the brilliance of Sainsbury’s marketing initiatives, they may be able to recover some of the lost grounds. The marketing campaign adopted by Sainsbury of encouraging new consumptions is bound to wear out consumers and in the absence of an equally brilliant campaign; the growth momentum may be lost. The battle for supremacy in the market is therefore likely to be won by the organisation that will pursue the right marketing strategy and implements it effectively. The average consumers in the UK are price sensitive. This is due to the fact that with a diminishing level of differentiation in the industry, products offered across the different stores are similar hence raising the threat of brand substitution where consumers can easily switch from one retailer to the next with the determinant factor being the price in most of the situations; whereby heightening rivalry. Sainsbury use the competitive pricing strategy where the price deals at their possession are undertaken to avoid loss of customers to the other retail chains. The commitment to remain affordable remains where they play the lead role in setting the product prices with Sainsbury and other retail chains seeming to follow. In order to restore faith in their pricing strategies, such as brand matching guarantees at giving consumers the confidence that their
Jobber,D & Ellis-Chadwick, F (2012). Principles and Practices Of Marketing. 7th ed. : McGraw Hill Higher Education. p19-21 & 352-354.
J Sainsbury's aims and objectives Their business is now focused very much on Sainsbury’s Supermarkets and Sainsbury’s Bank following the sale of Shaw’s
Kotler, P., Keller, K.L. (2012). Marketing Management (14th ed.). Upper Saddle River, NJ: Pearson Prentice Hall.
Schultz, D.E., et al., 1994. The new marketing paradigm: integrated marketing communications. NTC Business Books, pp. 105-156.
Etzel, Michael J., Stanton, Bruce J., Stanton, William J. (2004). Marketing. (13th ed.). Boston: McGraw-Hill.
Sainsbury’s is in the market of an oligopoly and few big firms run this kind of market. One of the objectives of Sainsbury’s is to gain market share. Sainsbury’s will be looking to beat competitors. To beat competitors Sainsbury’s will need to research and see what business activity they do compare to Sainsbury’s. If they research they can think of way to beat competitors in the market.
As Shani and Sandler have put across, ‘Ambush Marketing’ is viewed, as both ‘illegal’ and ‘immoral’. The earlier part of the paper discussed the legal issues, in this part of the paper the focus on the existing ethical controversies. The law regulates and the enacting of legislation solves the legal controversies. Thus the focus of this part of the paper is on the remedy for ethical controversy.
Armstrong G. & Kotler P. (2007) Marketing: An Introduction 8E Upper Saddle River, NJ Pearson Prentice Hall Publishers
Given the current environment shows how the strength and broad appeal of the Sainsbury's brand has improved substantially during the past four years. Like-for-like sales growth, excluding fuel, of 4.3 per cent over the summer quarter and 3.9 per cent for the first half,
In order to generate sales, marketers often promote aggressively and uniquely, unfortunately, not all marketing advertisements are done ethically. Companies around the globe spend billions of dollars to promote new products and services and advertising is one of the key tools to communicate with consumers. Conversely, some methods that marketers use to produce advertisements and to generate sales is deceptive and unethical. Ethical issues concern in marketing has always been noted in marketing practice. According to Prothero (2008), ethics itself has a profound, varied and rich past. It emphasizes on questions of right and wrong or good and bad.
Kotler, P., & Keller, K. (2012). A Framework for Marketing Management (Fifth ed.). Harlow: Pearson Education Limited.