Marketing and Communication: Mark & Spencer Marketing Plan (Essay Sample)

Mark & Spencer Marketing Plan
Name
Institution Affiliation
Table of Contents TOC \o "1-3" \h \z \u Executive Summary PAGEREF _Toc469334365 \h 3Company overview PAGEREF _Toc469334366 \h 3Current Marketing State Analysis PAGEREF _Toc469334367 \h 4Internal Situation Analysis PAGEREF _Toc469334368 \h 4External Situation Analysis PAGEREF _Toc469334369 \h 5The Porter’s Analysis PAGEREF _Toc469334370 \h 5SWOT Analysis PAGEREF _Toc469334371 \h 6Objectives PAGEREF _Toc469334372 \h 7Strategy & Segmentation, Targeting and Positioning (STP) PAGEREF _Toc469334373 \h 8Tactics & Action PAGEREF _Toc469334374 \h 9Budget PAGEREF _Toc469334375 \h 10Control PAGEREF _Toc469334376 \h 10Key Performance Indicators PAGEREF _Toc469334377 \h 11Group revenue £m PAGEREF _Toc469334378 \h 11Progress Monitoring PAGEREF _Toc469334379 \h 12Conclusion PAGEREF _Toc469334380 \h 12References PAGEREF _Toc469334381 \h 13
Executive Summary
A marketing plan is a necessary instrument for each and every business in the current viable economic atmosphere. Considering this, Marks and Spencer marketing plan would be an actual example in the current situations. Marks and Spencer is forecasting to get into the Australian market, comprehending an extensively perceived marketing plan can be of great benefit, not only to organization board but it would also be a great contribution to the knowledge body by adding some academic findings(Burrow et al. 2013). Moreover, it would assist in the making of a creative idea for learners with the inclusion of any other readers interested in Marks and Spencer situation analysis efficiently in the present market.
Company overview
M&S is one of the most successful retail supermarkets in the UK with 1,382 stores distributed worldwide. The retailer generates revenue worth £10.4 billion and its UK turnover split between food and general merchandise is 58% and 42% respectively. Revenue generated from clothing & home products and food products is £3.9bn and £5.4bn respectively. The company operates a total number of 914 stores in the UK and 468 international stores which employ a total of 82,904 employees. The retail giant that was founded in 1884 has been in the retail industry longer than many companies. The company provides a wide collection of products and services from which its customers can choose from. Its products include clothing, furniture, food and beverages, furniture, home and office appliances among other household goods. In any given organization, the marketing plan is at most an essential features within a competitive marketplace and is meant to enable it attain more profits and gain an economic lead. The marketing plan provides the organization with a complete general idea on how to target its customers by creating awareness of its products (Sinay, 2014). Also, it enhances the long-term sale of the products generating more profits in a competitive business environment for the organization. With this in mind, Mark and Spencer Company will be selected for the plan, and it mainly contracts on luxury food products and clothing sales.
Moreover, this paper is meant to give an extensive discussion of the comprehensive marketing plan. This broadsheet would also provide other scholars with more information and be comprehending of the company’s marketing plan. Of at most importance, it would provide help to other students guiding them on how to come up with a marketing plan for any other company enhancing their skills development.
Current Marketing State Analysis
The status quo analysis would be associated using the assortment of the ways of investigating the interior and exterior environments of a given organization. Therefore, below is the M&S situation analysis.
Internal Situation Analysis
Currently, Mark and Spencer has created an identity as the clothing industry market leader due to its quality and range of products. Moreover, the Marks and Spencer has transformed its spitting image with the establishment of more than a few departmental stores in the UK and also in other countries. M&S also has an adamant financial condition resulting from massive sales and earning remarkable profits for the last three years. In this case, it's over 9635.6 UK pound yearly.
Further, M&S has got numeral teams in the human resource area, playing a significant role resulting in the organization development. Mainly, it provides large payroll, learning, pensions and Human Resource Administration which also increase its throughput every year (Sloman & Jones, 2011). Moreover, the company also has got an excellent recruitment team that is responsible for store management and hiring process at the head office
External Situation Analysis
The Porter’s Analysis
Porter's analysis is apprehensive of investigating the current company state based on the threats from new market entrants, negotiating power, substitutes, competitive conflict and suppliers' bargaining power.
Supplier Influence: There has been a significant increase in the line clothing products over the years. So, gradually, there has been an increase in supplier power threatening M&S market control (Keillor, 2013). Further, bargaining power fears of the consumers are at most infective resulting from the availability of many alternative suppliers.
Buyer Influence: After European countries crises, the recent economic growth is the better situation for M&S. Currently, there has been a substantial buyer power increase, which in a great way brings up new openings for M&S to broaden up its trade.
Substitution fears: basically, there are no replacement concerns at present, the reason being no another supplier is supplying products offered by M&S.
Competitive Rivalry: Basically, M&S has in a great way reduced the suppliers bargaining power threat by providing alternative supply sources in the market (Hoholm & Palgrave Connect, 2011). It has also created an aggressive pricing strategy creating a substantial competitive conflict within the outfit segment that helps in diminishing competition.
New Entry Threat: Here, the new competitor's threats for Marks and Spencer is by far ineffective due to its reputation, significant capital expenditure and gradual change to the customer's expectations creating entry barriers (Gomes et al, 2010). Moreover, substitute’s threats have got more concern on M&S due to the availability of a wide range of retailers in the clothing business venture.
SWOT Analysis
Internal environment
Strengths

weaknesses

M&S has various ranges of products such as Clothing, Food and Financial produces etc.

Introduction of supernumerary products within the market

It’s the largest retailer about sales in the UK.

Market pollutions through product substitution

Strong cash flow, increased turnover and brand awareness.

Lack of stock control mechanisms.

Strong customer service.

Lack of clothing segmentation with outmoded cut and design

External environment
Opportunities

Threats

Internet technology- this has come to facilitate online trade and is becoming a trend increasing demand globally.

Strong competitors- competitors have emerged and are still making their way in the market posing as s threat.

Healthy eating practices- this factor has brought about the need for specific food supply from food companies.

Social environment- with social environmental changes, customer needs also change with time creating new specific needs.

Market extension- the company is bound to expand its business beyond its current coverage.

Chemical pollution- environmental pollution is a great threat to the company for its also sells commodities containing chemicals.

Objectives
In every business aspects, aims and purposes are the most important points that can provide help towards achieving the set goal by the year end (O'Brien, 2014). Therefore, on the SMART norms basis, in cooperation of marketing and corporate goals for Marks and Spencer are as outlined below.
Agreed: here the aims and objectives are to provide the utmost valued and accepted customer services by receiving persons with some real convincing powers to the clients with the aim to create more influence to them with the goal of doing business together(Durlauf & Blume, 2010). Additionally, developing consumer trust through the customer service team by helping product selection to the customers would also be the company's goals & objectives.
Specific: Here the goals and objectives are mainly geared towards defining how Marks and Spencer will attain forthcoming achievement (La, 2011). The report is therefore meant to give the following analysis:
To give a clear outline on how M&S may with time become a major sustainable retailer and also the most excellent company by the year 2019 helped by the introduction of a new clothing line focusing on quality and value.
To give an analysis on how the company may pose as the top family brand within the clothing sector and also develop new trademark identities.
Realistic: here M&S's aim and objectives are to come up with products with exceptional qualities by the year 2019 with 50% being due 2016. Moreover, to create customer awareness to enable them to purchase the products severally (Younossi, 2010). Additionally, other goals would be giving help to prevailing customers making a valid alteration on environmental and social prompts that are of so much substance to them.
Measurable: the aims and objectives of the M&S company here are to attract and retain the best talent within the industry making them part of its Human Resource Strat...