Excerpt
Table of Contents
Marketing
Introduction
DESCRIPTION
The marketing tools and methods used by the target company to segment their products
ANALYSIS
Analyze the effectiveness of the marketing mix for the target company
EVALUATION
How in-store and local marketing of the target company meet the needs of its customers
IDENTIFICATION
The role social responsibility plays in the company's marketing efforts
APPRAISAL
The appropriateness of the target company's marketing as it relates to structure and strategy
PROPOSAL
Specific improvements to the target company's overall marketing efforts
Conclusion
References
Introduction
Every successful business requires effective marketing strategy. The strategy should reflect target markets, segments, and customers. The main objective of marketing strategy is “to identify specific customer needs, then design a marketing program that can satisfy those needs” (Ferrell & Hartline, 2014, pp. 115). In order to accomplish this in an effective manner, a business needs to have sufficient knowledge about its existing and potential customers. This project will analyze existing marketing strategies at Walmart local retail and make recommendations for improvement. I will commence the project by describing the marketing tools and methods used by the target company to segment their products before analyzing the effectiveness of the marketing mix for the target company. This will be followed by an evaluation of how the company’s in-store and local marketing meet the needs of its customers. I will then identify the role social responsibility plays in the company’s marketing efforts. Eventually, I will propose specific improvements to the target company’s overall marketing efforts.
DESCRIPTION
The marketing tools and methods used by the target company to segment their products
The company uses different marketing tools and methods to segment its products. These tools and methods are discussed below.
A priori method
Walmart has been using a priori method to segment its products. This method involves breaking out consumer groups using a normally recognized classification procedure associated with disparities in consumer usage or purchase of product class. The company segments its products by geographic regions or sales territories. The United States, China, Mexico, UK, Brazil, and Canada, among others, are some of the company’s geographic segments.
Post hoc segmentation method
The company uses post hoc segmentation method to segment its products. This method involves undertaking segmentation using the outcomes of research study conducted for the particular aim of market segmenting. By using this method, the company aggregates customers who reply similarly to a given collection of questions in order to form segments. Post hoc segmentation method considers various consumer variables including product attribute preferences, values, benefits sought, lifestyle, brand preferences, product usage patterns, and self-image, among others. The company has company has a Global Customer Insights and Analytics group consisting of individuals who are able not only to use new research methods, but also to quantify and interpret data. This helps the company to obtain more knowledge about needs and behavior of customers.
ANALYSIS
Analyze the effectiveness of the marketing mix for the target company
Marketing mix is an integral element in any marketing strategy. A marketing mix involves four key elements including product, price, promotion, and place. The company’s marketing mix rotates around its nature of retail business. The company pursues cost leadership generic strategy which defines the company’s marketing mix. Walmart’s general behavior in the worldwide retail market aligns with its marketing mix strategies. The company also plans to continue using similar marketing mix while growing internationally. Walmart’s current marketing mix strategies currently reveal considerable success. Hence, it is practical to continue pursuing the same strategies.
Product
Although Walmart offers a wide variety of products, retail service is its product. In other words, retail companies serve as service businesses. Walmart attracts consumers through offering effective and convenient service (Walmart, 2015). For instance, the company trains its sales personnel to help customers in searching for products they require in the most effective manner possible. In order to deliver convenient, the company’s stores are stocked with a broad collection products. Easy one-stop shopping is a common expectation that many customers anticipate to enjoy at the company’s stores. The product element impacts the company through shaping consumer experience. Walmart’s sales personnel have direct effect on the company since they influence customers’ feelings when they are shopping.
Price
Everyday low price (EDLP) is the pricing strategy that the company uses (Walmart, 2015). Indeed, Walmart stores often use everyday low price advertisements. The company uses this pricing strategy with a main aim of attracting more customers. In fact, this strategy buttresses the company’s generic business strategy of cost leadership. Low costs and low prices are common attributes of Walmart. Nevertheless, the company makes profits through large sales volumes. Hence, the company’s competitiveness is mainly based on the pricing element of its marketing mix.
Promotion
Public relations, sales promotions, advertisements, and personal selling are the main components of Walmart’s promotional mix. The company uses websites and newspapers to advertise its products. It uses sales promotions such as discounts and special deals. At Walmart’s stores, personal selling is a common practice. That is, sales personnel convince shoppers to attempt new package deals or goods. As far as public relations are concerned, Walmart utilizes press releases in order to ensure shareholders and customers are informed about strategies, policies, as well as programs. Occasionally, Walmart backs charity programs. Therefore, the promotion element of the company’s marketing mix not only assists to promote Walmart’s capability of attracting more customers, but also in building brand recall.
Place
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