Middlesex University , BA Marketing
LIDL Integrated Marketing Campaign
MKT2232 Branding and Integrated Marketing Communications
Module leader: Moustafa Battor
Students | Name | Student Number | | Nils Wurl | M00367256 | | Mihaela Palca | M00378081 | | Maedh Marsha Zambrano | M00384704 | | Sara-Sofia Broberg | M00373321 |
Seminar tutor | Dinesh Nanayakkara | Time | Monday | 1pm to 2pm |
Content
1. Introduction 3
2. Situational Analysis 4
2.1 PEST Analysis
2.2 SWOT Analysis
2.3 Current IMC Analysis
2.4 Competitors Analysis
3. Marketing Strategies 9
3.1 Marketing strategies
3.2 Target Market
3.3 Campaign Objectives
4. Campaign 11 5.1 Theme,
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Additionally it provides information about the budgeting, schedule and evaluation of the campaign.
2. Situational Analysis
2.1 PEST
2.1.1 Political factors
Verdict & SAS (2013) states that global food prices look set to continue to rise in the next year. Increases in grain prices are having a knock-on effect on wheat, meat and dairy, while rising fuel prices will continue to exert an upward pressure on supply chain and logistics costs.
2.1.2 Economic factors
Due to the recession the discounter grocers are booming. Lidl’s market share has gone up to 2.6 % according to the data from Kantar Worldpanel. (Kantar Worldpanel, 2012).
2.1.3 Social/Cultural factors
Due to the ageing population, the 65 + will account approximately 12 million in 2015 which is about 18% of the population in the UK. (Verdict & SAS, 2012) Furthermore, home delivery and local shopping will play a much greater role for grey consumers as they are less mobile. Therefore, they are just as likely to use technology as younger consumers as new technology is more user friendly now. (Verdict & SAS, 2012) According to Verdict, middle income shoppers are more and more seeking discounters as the inflation brings a new attitude to value. The price is still important but products must offer more than low prices to be perceived as good value. As a result, good value for groceries is a
But the social factor is affecting on the supermarket and because of its customers. People who shop in Waitrose are people middle age or older. It is fact that the population in UK is ageing and `this trend is projected to continue`. The increase in the number of old people is increase in the number of the Waitrose`s customers. http://www.statistics.gov.uk/cci/nugget.asp?id=949 accessed 21/03/2011
The high cost of living affects Lidl as it is very hard for people to live with the recession and the credit crunch. Customers disposable income is very low which is going to mean that they will only buy goods which they feel are essential such as bread and milk etc. This can cause Asda to have reduced sales and less impulse buys as customers are buying only what they need not what they want.’ ‘http://www.powerfulwords.co.uk/sample-assignments/accounting/business-and-academic-leaders.php.’’
When introducing a new product, it is imperative to have a marketing plan. The Southern Rice Company has well establish a recognizable brand and built a strong brand equity. “Good advertising can make a consumer want to try a product, but a repeat sale is typically influenced by the consumer’s product experiences.” (Arens, page 263) Customers are paying extra for the satisfying quality that Southern Rice provides in their products. Recently a new style of cooking rice, instant rice, has become a threat and opportunity for the company. Using our substantial advertising budget, our overall goal is to
In the article, “Another Year of the Chicken: U.S. Beef Supply Will Fall Again in 2015” (2014) the author, Vanessa Wong, analyzes how the the price of beef and been increasing resulting in more of a demand in chicken. Wong goes on to state that the increase in beef resulted from an extreme drought in 2012 “caused feed prices to spike and, in response, farmers thinned their herds” (Wong, 2012). More of a demand in chicken has also been noticed in restaurants. The price of chicken increased five percent as opposed to the nine percent increase in beef at Chipotle Mexican Grill restaurants. However, by the year 2016 Tyson Foods has projected that the cattle supplies will be down to has little as one percent. In truth, the price of beef will decrease.
Operating on very thin profit margins, players in the supermarket industry traditionally either focus on a premium segment or follow a discounter strategy at the low end. Premium players address educated and more price elastic consumers who value healthy, natural and organic food; the share of perishable items for these players is normally distinctly higher. Players that focus on a discounter strategy offer a higher share of simple necessity items and value price competitiveness over premium features like healthiness or organic origin. Independently of the focused customer group it is imperative for players in the supermarket industry to be cost efficient and optimize operations
price will rise on your favorite fast food restaurants like McDonalds, Taco Bell, Subway, KFC and
The retail industry is one of the largest industries in the world, by business numbers and employees. Plunkett Research Ltd. As of 2011 Wal-Mart was still the giant of the retail market. As Wal-Mart nearest competitor Target heats up the market, Target seems to be gaining in customer loyalty and has picked up on Wal-Marts grocery strategy. According to the Plunkett report, recession ravaged consumers not only want dry goods at a discount, but they also want groceries discounted (PlunkettResearch.Com, 2012). Target also has been gaining customers who want stylish well organized stores that appeal to their senses.
Within Kayem Foods, Matt Monkiewicz the director of marketing is facing a critical decision that could have a big affect on sales and market share. Al Fresco chicken sausage is one of their products that has recently gained majority market share in its category. The budget for which is dedicated towards the marketing of Al Fresco has been doubled due to the growth of the brand. What Matt needs to do is decide whether to pay for another buzz marketing campaign or to use more traditional marketing strategies suggested. Matt believes the original buzz marketing campaign had a significant part in building the brand to the market leader but no definite evidence of this being true. He must review the costs of each strategy
In 2008, the economy suffered a recession that caused consumers to cut back on spending. According to Josh Parnell (2014), typically as consumers are considering cut backs, they are also considering how they should wisely spend their money whenever they have to. While Bob hoped that a struggling economy would persuade consumers to consider eating at home more than eating out to save money, Bob’s was not always the cheaper option (Parnell, 2014). In fact, because Bob’s was a local grocery store, they struggled to compete with prices against large chain stores. Also with an economic recession, employees are looking for ways to increase their wages. As minimum wage increased nationally and affected Bob’s and its competitors, because it is a smaller company, this impacted Bob’s on a larger scale(Parnell, 2014).
Understanding the fact, that falling commodity prices and rising dollar cannot last indefinitely, and maybe even bottomed out for now, I see a lot of perspectives within these markets in one year period. Moreover, a lot of forecasters expect inflation to move toward two percent goal during this year, which will result in substantial rise in commodity prices. Although, it is a controversial issue according to the FED projections for the current and the next year, which have been lowered from previous numbers (Table#1).
Breamer, J. (2009). Demand for corn and soybeans continue in 2010. High Plains Journal, (53), Retrieved from http://www.hpj.com/archives/2009/dec09/dec28/1228CropOutlookwspeakerpicj.cfm
within the industry. The trends relate to what products are available, who and how they are
Change in demographic has also cause changes in supermarket spending. Change in age and population demographic not only influence the location decision but also influence the variety of products offered between supermarkets. Moreover increase in population growth has also raise the number of supermarkets in Australia.
The main substitute to buying your food from a grocer is going out to eat. A 2002 Gallop poll shows that Americans eating more meals outside of the home than ever before. When examining today’s changing supermarket consumer in Progressive Grocer, Buck Jones made this observation: “To get the total picture we need to look outside the supermarket arena at how customers are using other retail outlets to satisfy the needs that we could be addressing.” The success
A recent report from HSBC isn’t quite so alarming…unless you read between the lines. “World agricultural markets,” it says, “have become so finely balanced between supply and demand that local disruptions can have a major impact on the global prices of the affected commodities and then reverberate throughout the entire food chain.”