Speaker Notes for Assignment 1
P1 – Describe how marketing techniques are used to market products in two
organizations
Slide 1
Greggs, it’s an organisation that sells baked products, today we have more than 1,700 shops
of Greggs in the UK, and they have over 20,000 staff that works for Greggs. They provide to
6,000 primary schools free breakfast (Greggs, 2019). Moreover, Adidas is a global company
that makes right quality of shoes, Adidas employs over 1 million employees. Adidas is a
company that works to give the best for the people that do sports. (History, 2017)
Slide 2
Marketing is an activity that is carried out for promoting a product or service. Marketing
could be a way to that the organisation helps themselves to sell a product for an example,
advertising the product. Marketing is a process that is carried out for satisfying the
customers and their requirements, it is about meeting the needs and wants of the
customer. Marketing provides a lot of benefits to the business such as loyalty of customers,
increase market share and a lot more. Marketing means the understanding of the
customer and making a strong relation with the customer. (What Is Marketing? |
Marketing Insider Group, 2019)
Slide 3
For increasing the market sales there are some of the marketing techniques and Ansoff
came up with an Ansoff Matrix in 1957 that is used today for growth strategy. As we can see
on the X-axis it says existing products and new product, on the Y-axis, it says new markets
and existing markets. There is also the increased risk if we match a new market with a new
product and we're going to see one by one the type of growth strategy. The Ansoff Matrix
helps the organisation to make a planning for their product or market to increase the
profit. The Ansoff Matrix tells about which direction will the business go. (tutor2u, 2018)
The first one that we can see is the marketing penetration this is when the business
promotes the product that they have already in the market, it's sold in a different way such
as promotions that could be 50% discounts or 25% discounts and many more. Discounts
could be also for students, this is making the attractions for students and others could be
increasing brand loyalty that is by giving the club card to collect points so that the customers
will know if they are buying something, they're going to get something.
The second one is product development that is the strategy that includes selling new
product in an existing market, but before coming up with a new product the organisation
has to get through some important questions they need to know if a customer really needs
the product and if they launch the product is going to be successful and they need to know
if they have enough money to launch the product in the organisation.
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, The third one is market development and this strategy includes to build a new market with
the existing products, this could be to launch new shops in the country, international, global
or worldwide but they're going to have the same product in all the shops. The organisation
needs to know how much is going to be the cost and if the area it's going to be familiar with
the market.
The fourth one and the last one is diversification, this is when a business will launch new
product a new market that they are unknown with. But the organisation needs to know if in
that area there is the need of the product, because if the product is already available in
another market then the product is not going to be successful this will lead to loss of the
organisation and the organisation need to have some knowledge of that product. This is the
one where riskier for the organisation.
Slide 4 – 5
Both organisations use marketing penetration strategy.
Greggs do offers such as buy one get one free on the sausage rolls, buy one cake and one
regular hot drink for only £2. This helps Greggs to attract more customers.
Adidas does students get a 20% discount online and in-shop on everything, vouchers of 50%
for online shopping or a 40% discount in shop.
This is a market strategy that is used to increase the market shares, by doing this Greggs
and Adidas attracts more customers that think they can get better product at a cheaper
price instead of getting on higher prices. (Market Penetration, 2019)
Slide 6 – 7
Greggs and Adidas uses product development strategy.
Greggs launched this new product that is the vegan sausage rolls, Adidas launches its
products every 2 or 4 days but they do more than 50 launches per year and this is only for
trainers, but the other products are launched rarely. Adidas launches its product by
keeping in mind about the taste of their existing customers, they do not only produce
their new products, but they try to improve their existing products with some new
features.
Slide 8 – 9
Market development, Greggs has its branches all over the UK and Adidas is a worldwide
company that is most in Europe. This is the one market technique that when an organisation
uses to be known nationally, internationally or globally.
Slide 10
Adidas is the one organisation that did use the diversification strategy because it just sold
the trainers before, but now it sells all the products that a sportsperson needs. Now Adidas
sells products like clothes, trainers, perfumes, and many other products, Adidas sells every
single product that is essential in sports.
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