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Contents

EXECUTIVE SUMMARY................................................................................................. 3
1.

Introduction.......................................................................................................... 4

2.Marketing audit....................................................................................................... 5
2.1. The micro internal analysis..............................................................................6
2.1.1 Competitors:............................................................................................. 6
2.1.2 Customer segmentation and targeting.......................................................7
2.1.3 Brand.......................................................................................................... 8
2.1.4. Distribution................................................................................................ 8
2.1.5 Product........................................................................................................ 9
2.1.6 Public:......................................................................................................... 9
2.2 Micro External Environment............................................................................ 10
2.2.1 Threats Of Substitute Product...................................................................10
2.2.2 Threats Of New Entrance.........................................................................10
2.2.3 Bargaining power of customer..................................................................11
2.2.4 Bargaining Power Supplier......................................................................12
2.2.5 Rivalry...................................................................................................... 13
2.3.Macro environment......................................................................................... 14
2.3.1 Political Factor........................................................................................... 14
2.3.2 Economical Factor..................................................................................... 14
2.3.3 Social Factor.............................................................................................. 14
2.3.4 Technological factor..................................................................................15
2.3.5. Legal Factor.............................................................................................. 15
2.3.6 Environment factor.................................................................................... 15
2.4 Internal analysis.............................................................................................. 18
2.4.1 HR and skills.............................................................................................. 18
2.4.2 Physical resource...................................................................................... 18
2.4.3 financial resources.................................................................................... 18
2.4.4 competences............................................................................................. 18
2.4.5 Capabilities............................................................................................... 18

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2.5 SWOT Analysis................................................................................................ 19


3 Marketing plan....................................................................................................... 22
3.1 objective...................................................................................................... 22
3.2Gap analysis.................................................................................................. 22
3.3. Strategy...................................................................................................... 23
3.1.1 Growth Strategy :...................................................................................... 23
3.3.2 Competitor strategy..................................................................................24
3.3.3 Positioning strategy...................................................................................... 24
4.Implementation plan............................................................................................. 26
5.Budget and control................................................................................................ 28
APPENDIX................................................................................................................. 29
1. The Boston Matrix......................................................................................... 29
2. customer segmentation and targeting..........................................................29
3. achievements................................................................................................. 29
4. Distribution:................................................................................................... 30
5. Porters 5 factor model :.................................................................................32
7. market share of morrisons / money..............................................................34
8. Human resource and skills............................................................................. 35
9. market street concept :.................................................................................. 35
10. CEOs view on online shopping..................................................................35
11. competition.................................................................................................. 36
12. Environmental factor.................................................................................... 38
15. competitor strategy..................................................................................... 38
16. 7Ps marketing implementation...................................................................39
17. Gantt chart :................................................................................................. 43
References :............................................................................................................. 44
Turn it in :................................................................................................................ 45

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EXECUTIVE SUMMARY
This report observes the marketing strategies of Morrison one the market
leader of retail the grocery sector in the UK. Research has presented that in
this oligopolistic marketplace, Morrison is adopting various marketing
strategies to remain market leader. Morrison has been emphasis on focusing
in different marketing strategies by continuously subsequently the report
highlights the different marketing strategies adopted by Morrison, specifically
market

penetration,

product

development,

market

development

and

diversification have been analyze in order to understand in which ways


Morrison is competing beneficially in the retail grocery market. For the
research I took interview of manager of Morrisons store name situated at
Queensbury.
The following section discusses how operates in the competitive environment
of the retail grocery industry. Morrison competes by increasing market
demand, increasing market share and protecting market share with
strategies such as fewer margins, proactive or mobile. On the other way the
main players of retail i.e. Tesco, Asda and Sainsburys are aggressive the
market leader by attacking strategies such as frontal, edge or bypass, in
order to improvement in market share. Morrison comprehends the customers

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as well as its strong defensive marketing strategies compared to competitors


assure them the leading position in the market.
The first part is marketing audit, here deliberate about the marketing audit of
Morrisons and its features and benefits and benefits that can be obtained by acting
a marketing audit.
The second part is the marketing plan is based on analysis of all the data collected
which

consistent

with

the

current

companys

vision

strategy

objectives

responsibilities and opportunities

1. Introduction
As competitive strategies have the ability to create the business stands out
between the seas of competitors within the same sector. So, competitive strategies
can eventually help business in growing their productivity, profitability and help to
achieve goals. The following tasks of the assignment will be arguing on the basis
behind competitor analysis. In addition, how competitor analysis can help in
ensuring the survival of a business organization will also be tackled.
For keeping things simple: Morrisons

vision is to be the Food Specialist for

Everyone is now well advanced. Our constant focus on freshness, great value and
outstanding service is appealing to more and more people. And were now closer to
customers

having

opened

43

new

stores

year(www.morrisons.co.uk/Official_Home;.acess time 5.20 pm;o6 June11 ).


Situation analysis

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last

As the current situation there are more than 370 Morrisons stores across the UK.
They welcoming around million customers each week. The company presently
employs more than 114,000 members of staff in stores, factories, and distribution
centers and head office administration. As Morrisons provides fresh food with fewer
prices. More than 20,000 differe nt foods are exposed in stores. As well as many
desired

top

varieties

labels

there

is

an extensive

own

label

range.

(www.morrisons.co.uk/Official_Home;.acess time 5.13 pm; 06 June11).

2.Marketing audit
A marketing audit is a broad, efficient, autonomous and periodic assessment
of a company's marketing assets. It is an active tool in appraising the
capability of a marketing strategy, studying the objectives, rules and
strategies of the company's marketing division as well as the methods and
the profits engaged in getting these goals.
Through Marketing audit Morrisons can continuous get, reflecting evolution, a
reference point, from internal business environment, external business
environment. From these they can develop strategies and marketing plan.

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2.1. The micro internal analysis


The micro environment includes the actors close to the Morrisons that marks its
ability of

functioning its customers- Morrisons, competitors, and public, brand,

product etc.

2.1.1

Competitors:

In retail industry Morrisons competes with other retail stores such as Tesco,
ice land, co-operative foods, Asda, Sainsbury, are the major competitors
though they are using different strategies for marketing. Not only have these

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but M&S. waited rose corner shops are also the competitors of Morrisons
following perceptual map help to retail food industry the rivalry and where
Morrisons stands surrounded by the market by preparing use of marketing
strategies.
By using this map its easy to understand the situation of Morrisons in the
market. Through Perceptual map it can be used to plan the interrelationships
of customer foodstuffs as well as populations.
Following map can be use to understand the situation of Morrisons:

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This perceptual Map helps to identify the industry rivalry and where Morrisons
stands out within market with their competitors. One of the useful tool of marketing
called BCG matrix also help to Morrisons . *( see appendix 1)
2.1.2 Customer segmentation and targeting

A market segment consists of costumers who respond in a similar way to a given set
of marketing efforts. Morrisons provides a different food for their customers with the
wide range of variables that differentiates Morrisons target customers with their :
age sex socio-economic grade, marital status, type of job type of job, and their
nationality *(see appendix 2).
Target marketing includes calculating

each market segments attractiveness and

selecting one or more segment to enter These target market includes middle level
people who consume normally buy food for weekly basis, with knowing the
importance of these target market to Morrison, treats each target people who need
their food as per their taste and preferences. For example Morrisons offers a wide
range of yogurt-based products with different flavors.
2.1.3 Brand

A strong brand identity of Morrisons can position above its competition all by
itself. Brand identity is the reason that offers customer to choose different
food instead of your competition. Morrisons has won different awards which
shows its brand image and customers perception about its brand (Appendix
3)

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Morrisons always focusing on their customers need they believes Our Values are
at the heart of everything we do, defining what we expect of each other
and what our customers can expect of us as we aim to deliver our vision
of becoming the Food Specialist for Everyone. Morrisons strive to
forward this message to the customers.
The perceptual maps below shoes hoe each target market is seen by the company
from a customers brand image and value to the business aspects
2.1.4. Distribution
Morrisons distribution channel is very smooth. its easy to understand . Morrisons
buy their product from different continent for different people as per their taste
and preferences and sell to their end users. (*Appendix 4 )

2.1.5 Product
Morrisons is offering families great value for money on lots of fanciful fresh British
produce and everyday essentials. It take good attention in the way it drive about its

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trade and are dedicated to making a modification. So whether customers are after
100% British fresh meat from our expert butchers on Market Street or customers are
collecting Lets Grow vouchers so your childs school can get their hands on lot s of
free gardening equipment theres something for everyone

Morrisons have new strategy which called Market Street in which customers
can fine all food what they need as their requirements. In Market Street we
have more highly trained and experienced colleagues with craft skills on
hand than any other supermarket. Whether our customers are looking for
recipe ideas, advice about whats in season, or a certain cut of meat for their
family Sunday roast, our expert staff will be happy to help. Were able to
respond quickly to changes in demand, which means we can cut down on
unnecessary waste while giving more of our customers what they want.
Morrisons stated on their official side that: The best thing about being a butcher for
Morrisons is that we offer the full traditional butchers shop service. We dont just sell meat, we
offer advice and help on how to cook it. Morrisons provides all foods from different continent
like Asian food such as Indian, halal, Irish food etc.

2.1.6 Public:
Morrisons marketing environment involves various publics which mean a group of
people who real or likely involve and impact on its ability to achieve Morrisons
objective, such as media public. Financial public, general public, local community,
shareholder, and government. The core point for the marketing tactician are first to
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acknowledge the reputation of such publics to the process of the planning and then
to ensure that connections with essential publics are effectively managed.

2.2 Micro External Environment


The micro External environment factors like customers ,shareholders employees,
suppliers and media affects business and the attractiveness of Morrisons; so it need
to be recognized with the intention of the Morrisons can

actively address each of

them during expansion of marketing planning and development of choosing a


sound marketing strategy.
The marketing tool helps the imagining and understanding of the environment that
Morrisons can attract their customers, one of the tool called Porters 5 factors model
is useful tool to analyses environment. (For Model see appendix 5).
2.2.1 Threats Of Substitute Product
Factor
Level
Implication
of
Substitute
products

threat
High

Most of the food which is different taste and preferences of


different customer which is sold by lower price

(Conclusion: Substitutes could be observed as several separate groceries,


off licence, specialist outlets and franchised store chains such as Londis,
Budgens, Cost-cutters, etc. At the moment, the threats are submissive.
However the idea of smaller franchised store chains are gathering in
popularity and could become a considerable threat in the future for store.)

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2.2.2 Threats Of New Entrance


Factor
Level
Implication
of
Product

threat
High

Product can easily

differentiated with the taste of

diversificati

customers but before this its necessary to see

the

on

reviews of customers. And their needs, but the brand


name andimage have greater impact on sales.

Economic

Low

scale
Product

New entrance of food market would have to entry in


large scale to compete within this market with different

Medium

differentiati

food , who have big competition with


Its easily differentiate but its taste and food quality will
take great impact.

on
Capital

low

For food retail they need massive requirements to set up

requirement
Distribution

low

new area with different equipment.


There is good distributing channel of Morrisons

channel
(Conclusion: The threat of the new entrance in food industry is relatively

profitable nature of the food industry, the threat of new entrants is high.
German super market chains such as Lidl have opened up retail stores in
major British cities. In addition, major North American market chains might
also comes in order to decline U.K players and thereby challenge prospective
threats in home markets. )

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2.2.3 Bargaining power of customer

Factor
Quality of product

Level of threat
High

Implication
There
equal

quality,

taste , durability of food


Brand identity
Deliberated buyers
Low switching cost

Law

offered by competitor
For food, customers are

Medium

very dependable
Customer
have

High

area of choice
Customer can

vast

change

thie mind for other food


retail shop to get similar
product.
(Conclusion The bargaining power buyers of Morrisons are very high because
there are lots of choice for alternatives. However customers have number of
choice if they are not are not satisfied, they can simply alterative options and
the switching costs are very low. Because of the hyped evidence

of

awareness the customers have full information about demand and actual
market prices.)
2.2.4 Bargaining Power Supplier
Factors
Level of threat
Cost of supplier
Low

implication
Morrisons have supply
in bulk so cost will be

Supplier

High

concentration
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low for them


Rare
suppliers

of

particular

in

brands

market
(conclusion There is partly due to its policy in house finding of major
percentage of its products. However with its market extension, particularly in
relationship of geography has required the search for new suppliers.so
Morrisons has up to now been not threatened by the bargaining power of
suppliers greatly. Therefore future bargaining power of suppliers is highly
impulsive. On the other hand Morrisons will be able to use its economies of
scale advantage to moderate the suppliers.)
2.2.5 Rivalry
Factor
Brand identity

Level of threat
High

Fixed cost

High

Implication
Competitors have strong
brand and direct
competition with
Morrisons

High fixed costs and other


r competitor strive for
reduce it to provide cheap
product
Diversity of competitor Medium
Diversity of competitor is
high but compare to them
Morrisons have aggressive
for diversity.
Industry growth
High
To maintain market share
it is important to have
growth in store .
(conclusion: the competitive rivalry is high with Tesco and Asda and the major
retail shops as street market also competitors of Morrisons )

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2.3.Macro environment
2.3.1 Political Factor
Factors
Effect on Morrisons
Employment
the government inspires
legislations
retailers to offer a mix of job
prospects from flexible, lowerpaid and locally-based jobs to
highly-skilled, higher-paid and
centrally-located jobs
Federation of
Government
Unions

Unpredictable legislation on
taxation
Its growing broad way
acceptance of union rules and
obligations

2.3.2 Economical Factor


Factors
Inflation
(Appendix 6)
Currency
(Appendix 6)
Population migration
trend

Effect on Morrisons
The Governments target
measure was 4.5 per
cent in May,
fluctuation .of exchange
rate is high
important driver of
population change and the
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Implication
Morrisons with a
classically high staff
turnover, these workers
offer a higher level of
loyalty and therefore
represent desirable
employees.
Need to be active towards
government actions

European Union has


opened national
obstacles to entry to
European competitors
and also to foreign
employees from other
European countries.

Implications
Impact on customers
Demand and price is
decreasing
Increase market for food

(Appendix 6)
Employment rate
(Appendix 7)

2.3.3 Social Factor


Factors
Lifestyle trends

most difficult component


to estimate
During feb .2011 it was
0.1% it increased up to
0.4% in jun

It increases the market


for morrisions

Effect on Morrisons
It concerned with
standards of people who
interested eat verities of
food
People of the UK who are
from different countries
which influence Morrisons

Implications
Requirement of
environmental standards
and chance to grow
market.

Social economic grade

It divided in to different
category

Olympics 2012

International tourism
increase

It can be easily divided in


different category and
Morrisons can provide
food.
Promotion and
sponsorship to improve
brand awareness of
Morrisons

People

2.3.4 Technological factor


Factors
Effects on Morrisons
Wireless devices
The adoption of Electronic
Point of Sale (EPoS),
Electronic Funds Transfer
Systems (EFTPoS) and
electronic scanners
Internet usage

Majority of people are like


to by online shopping

E-security

Secure important
information of Morrisons,
online security set by the
government

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It has become a
necessity to provide
with more products to
meet this category of
customers.

Implication
improved the
effectiveness of
distribution and stocking
doings, with essentials
being communicated
almost in real time to the
supplier
Increase marketing with
promotional activity
through internet
Can increase market
share and awareness and
satify customers needs.

2.3.5. Legal Factor


Factors
Government rules and
regulations

Effects on Morrisons
Application of rules and
regulation of government
for business.

2.3.6 Environment factor


Factors
Effects on Morrisons
Pollution control
a key area for Morrisons
to act in a socially
responsible way
Clean environment
Reduce the wastage

Society

Trend of society becoming


very sensible for
environment

Implications
Need to keep up date for
all rules and regulation of
government

Implication
Need to be social and
environmentally and
clean environment
sustainable consumption
and production to cut
waste, reduce
consumption of resources
and minimise
environmental damage
Good future for marketing
by using strategy that
mark the market

(Conclusion : Meanwhile Morrisons participate within the U.K food retail

sector and has not branched out globally, this analysis has been restricted to
the U.K conservational allegations specifically for food sector. However on
the occasions, where a Global perspective is required it has been analyzed
so. The broad analysis existing above offers the foundation for the expansion
of future strategies of Morrisons. )(appendix 9 )

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2.4 Internal analysis


It consists of categorizing resources and competencies finding competencies, and
defining what competitive advantages the organization has.
2.4.1 HR and skills
Morrisons have good management and they have well trained employees in all
branch in the UK in Queensbury ----- with good friendly and social work
environment with good communication.
They are well trained they have own academy named Morrisons academy retail
for training and development they offer equal opportunity to all.(*appendix 8)
2.4.2 Physical resource
Morrisons has develop its chain. They have around 455 store within UK with large
and huge physical evidence. Last year they opened 43 new stores within uk.
2.4.3 financial resources
Morrison gets its finance from the different its earnings and from its shares revenue.
(appendix 7)
2.4.4 competences
Competencies are able to finish by assessing the organizations wealth and
competences and benchmarking.
2.4.5 Capabilities
Capability of Morrisons can be assed by its valuable chain of operation which
imcludes
Men(human)
Machine

HR skills(see appendix- 8)
For maintain good quality they need
good equipments and good electricity
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equipments
(Appendix-7) Need money which is back
born of any business
Good quality of food and other customer
services.
Morrisons is on of the market leader of
retail food industry.

Money
Material
Market

2.5 SWOT Analysis


Analysis

Level of
implication

Strengths
one of the largest supermarkets in the UK
offer branded and own label products.
focus heavily on their market street concept

High
High
High

(appendix 9)
Better usage of technology in marketing and distribution.

High

(Appendix 4)

Weaknesses
No online shopping, however this could be a possible
strength at the same time
Reliance upon the UK market.

Medium

High

Opportunities
Moving into different markets. as insurance and

High

banking.
Olympic 2012 sponsorship
Increasing migration in UK from different countries
Online arena for selling and marketing of products and

Medium
Medium
High

services

Threats
Any possible takeover/ mergers
Competition (2.1.1)
Government regulation and policies
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High
High

high unemployment economy shrink rate


UK structural change could spark a price war

Medium
High
High

Conclusion:
AS Morrisons vision to be the Food Specialist for Everyone is well advanced. From
swot analysis it concludes that the constant emphasis on freshness, great value and
exceptional service is attractive to for customers. Morrisons should emphasis on
weakness and threats.

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3 Marketing plan
3.1 objective
As discussed in market audit which helps to create marketing objective which
supported by companys strength and opportunity within the market. (appendix 13)
To increase online marketing
To increase market share from 12.8 (July2011 ) to 15 by august 2012
Divert their market in different fields such as banking, insurance and mobile.
3.2Gap analysis
The main objective of the marketing plan is to improve its market share by 3 % by
within a two year. Due to high competition in food industry it might be chances for
loosing markets hare (say to be by 2 %) then there will be gap of5% .

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3.3. Strategy
3.1.1 Growth Strategy :
Ansoff made growth strategy matrix which defined the combination of business
activities in existing and new market; all together with new products and existing
product can be lead to growth
There are four strategies which improving market of Morrisons from the matrix :
Market penetration: which increase market share of Morrisons.
Market development: where a business seeks new markets for its product its
abilities.
Product development: the launch of new product to existing markets.
Diversification: in which a business decides to offer new products in new
markets.

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(Source :www.morrisons.co.uk )(appendix 14)


3.3.2 Competitor strategy

One is to straight high switching barriers in which. Consumers are less


influence to shift to alternative supplier when this would include high capital
costs, high search costs, or the loss of loyal customer discounts. (appendix
15)

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3.3.3 Positioning strategy


Through online shopping strategy will be the result in to customers view as a
convenience and time saving and affordable. This will be positioned in different
people with different culture and life style. Morrisons need to :a
Construct and need to launch a strong web application
Need to familiarize with marketing drives.
Contract a distribution network of vehicles and staff.
As internet there is market street which is very famous. over 100 people target
people will be named simply market street. Morrisons will point the new product
line marketed as being a taste of people ,consumption power etc.

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4.Implementation plan
After tactical objectives have been identified for online marketing, the target market
selected, and the desired positioning, product or brand has been determined,
marketing managers focus on how to best implement the chosen strategy.
conventionally, this has involved implementation planning across the "7Ps" of
marketing: Product management, Pricing , Place ,promotion, People., process and
physical evidence. (appendix -16)

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5.Budget and control


There are lots of activities depends on budget through the marketing plan .
Total estimated budget is 24,840,000
Contingency budget : 2,484.000
. Total budget is distributed as per marketing mix which is given below :

During the marketing project is the millstones stage getting will be used as control
tool which is helps to mark down weather we are on right track or not and to
evaluate the performance. For this Gantt chart is good for budget estimation.(see
appendix 17).
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APPENDIX

1. The Boston Matrix

2. customer segmentation and targeting.


Customer s segmentation and target is depand

on age and material and its

standard of living it also depends on their socitail grade the main customers are
depend on indian chinese irish greek, east eropean, etc which includes all age of
people with different
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3. achievements .
Morrisons is a retailer that prides it on having the best operators and buyers
in the industry. We are therefore delighted to inform you that we received
four major awards at this year's prestigious Retail Industry Awards more
than any of our competitors.
Award in 2011

National Fish & Chip Awards, January 2011:.Winner - The Best Foodservice Outlet
Serving Fish and Chips.

Retail Industry Awards, October 2010

Winner - Fresh produce retailer of the year and Winner - Meat retailer of
the year and highly commended - Seafood retailer of the year category

4. Distribution:
Being closer to source means Morrisons
can better control the provenance and
quality of their food. Sustainable and
1
responsible sourcing is important to us
From selection...
and Morrisons work with the producers
to develop a relationship that is
reasonable and fair to all parties.

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Morrisons have own manufacturing


facilities, which means Morrisons reduce
our supply chain lead times, allowing us
to maximise the freshness in-store and
reduce waste and costs. Many of these
2
facilities are situated close to its
To pack house...
distribution centers, enabling us also to
reduce our food miles. The majority of
our fresh food is prepared by our
production plants providing us with
security of supply.
Morrisons have own and operate a very
modern transport fleet, ensuring
3

freshness and cost control. Morrisons

Distributed and

believe Morrisons have the quickest

delivered to...

turnaround time between order and


delivery compared to any other
supermarket.

4
Queensbury store

Because store prepare food in-store, it


can react to customer trends
throughout the day, only producing
what the customer wants. This reduces
waste, makes us cost efficient and
keeps our prices low to the customer,

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as well as ensuring our products are


always freshly made.

(sourcewww.morrisons.co.uk; accessed: 20/06/11)


5. Porters 5 factor model :

(Note :This diagram is made in power point presentation help by all research from
books and websites)
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As a result of using this model there are different opinion suggested to Morrisons
which are given bellow table :

6 http://www.statistics.gov.uk/cci/nugget.asp?id=19

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7. market share of morrisons / money

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(source:www.morrisons.com)

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8. Human resource and skills


Forllowing thing need for morrisons :

Human resources
1. Physical a. Plants
b. Equipment
c. Natural resources
2. Human a. Managerial Know-how
b. Talented key employees
c. Friendly staff

3. Intellectual a. Specialized knowledge


b. Collective learning
c. Cutting edge technology knowledge
9. market street concept :
Morrisons is based around the 'Market Street' - a route through the store with
individual 'shops' on it. It usually starts with Morrison's Fishmongers, then carries on
via Greengrocers, Pizzeria, Bakers, Cake Shop, Pie Shop, Deli, Take-Away, etc. There
are also the Wine and Spirit merchants, and of course the normal selection of
groceries you would expect at any supermarket. On concept, Morrisons wins hands
down - far more imaginative and friendly than any of the other supermarkets.
10. CEOs view on online shopping

Marc Bolland(ex- CEO) said that by having online shopping, it will ruin
Morrisons vision. Customers willlose the feeling of picking fresh fruit and
vegetables or smelling the bakery when they walk past.
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11. competition
Waitrose which is owned by the John Lewis partnership, it is up- market
supermarket chain that currently has 228 branches in the UK .it has a market share
of around 4%. It separates it self by high quality of food and customer services .
(source: www.waitrose.com)
Mark and spencer- it has over 700 stores in the UK. It is an up-market end of the
grocery spectrum. In addition food sales it has strong range of non food
items(source www.marksandspenser.com )
Iceland- the owner of the iceland is Icelandic retail conloerate,Baugur. It has
about 700 locations and seels primaeily frozen products(source :
www.iceland.co.uk)
The Co-operative Group the co-op has a total market share of around 8%. It is
the world larget community . it is the UKs largest community retailer, specilising in
conviniences strores and small supermarket (www.co-operative.com)
LiDL Owned by the German company Schwarz it has about 500 stores in the uk it
is based heavily price discounted formate (www.lidl.co.uk)

Aldi

Albrecht
UK

Stores Name

Market share

Tesco
Sainsbury
Morrison
Co-op
Waitrose
Aldi
Lidi
Iceland
Others(including

(%)
31
16
13
8
4
3
2
1.8
2

marks and
spencer, budgens
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costcutter spar,
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etc)

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german owned UK price


discounter owned by the
family.it has 422 store in

Tesco the UKs largest and most successful supermarket chain, its has 2500 stores
in the UK .it has extensive range of food product (www.Tesco.com)
Asda group Ltd : It is in the model of Wal-Mart, the US retail gaint which bough it
in 10999. It focus on hypermarkets and out-of own stores than the other UK chains
(www.asda.co.uk)
Sainsbury plc. It has a good image in the UK and is seen a more up arket
supermarket than Tesco and Asda it has 537 superstores . it has online market and
non food range. (www.sainsbury.co.uk)
MARKET SHARE AS PER REASERCH IN UK as per research :

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12. Environmental factor.

Morrisons environmental considerations fall mainly into two parts. First, is all that they have
do to ensure food is produced, moved and sold with minimal waste and help customers reduce,
reuse and recycle. This is about making the most of food.
Second, is the major issue of carbon emissions reduction, which is a key overarching benchmark
for environmental performance. When people think of emissions, they tend to think of energy,
but in fact refrigeration, transport and waste are also significant factors. Increasingly, attention is
turning to carbon in the wider supply chain, which commentators highlight as being the greatest
challenge. Morrisons agree, but from a practical point of view we believe strongly that our focus
should remain on our direct emissions where Morrisons can exert the most control.
13

http://www.morrisons.co.uk/Corporate/2011/annualreport/directors-report-and-

business-review/performance-review/operational-review/marketoverview/Default.aspx
14. see appendix 5
15. competitor strategy

This

makes it harder for competitors to overcome switching barriers by

simply offering lower prices or switching inducement. The task of creating


strong customer loyalty is called relationship marketing. Relationship
marketing embraces all those steps that companies undertake to know and

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serve their valued customers better to understand customer relationship


marketing, the company must review the process involved in attracting and
keeping customers.
16. 7Ps marketing implementation.
Marketing mix element

Product

Operational strategy

It addressed different
segment in to UK so it
will be response by
online sales.

Tactics

-Conduct a marketing
research to collect
information about over
100s audience lifestyle
and preferences, and
peoples suggestions,
opinions and views
regarding online
purchase systems by
July2011.
-Develop detailed
specification for the new
line of products by August
2011.
-Develop new detailed
specification and
standards for online
purchase system by
August2011.
-Develop and trial test the
new line of products for
over 50s by October
2011.
-Develop and conduct test
on the enhanced online
purchase system by
December 2011.

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-Create and commercialize


new line of product for
over 50s based on their
preferences by
November2011.
-Recreate online purchase
systes on products and
online system where
necessary by May 2012.m
system to reposition the
company as differentiated
within the market by
November 2011.
-Post market research and
sales analysis to evaluate
the efficiency and
acceptance of new
products and online
system by customer by
May 2012.
-Conduct
changes/adaptation

Price

Efficient and effective


allocation of money

Allocate money to each


and every activities.

Place

Effectively and
efficiently distribute
products directly to
customers and with no
intermediates, either
from the store branches
or online system.

-Decide the location of


the shop to sell the new
products by April 2011.
-Improve warehouse
activities and linkage with
the online system to
provide a faster delivery to
customers through a set of
standards by June2011.
-Conduct initial design of

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the shop that will display


the new products by May
2011.
Conduct tests on delivery
to check efficiency by
June2011.
-Implement new design of
the shop by August 2011.

Promotion

Promote new line of


product and online
system on UK mass
media alongside with
below the line
promotion including
trade shows, events,
merchandising, direct
mail and product
placement.

-Initial development and


design of the
advertising campaign
for new products and
online system by August
2011.
-Develop opening events
structure for the new
products by October 2011
-Finalize standards and
design of
communication/advertisin
g tools such as podcasts,
direct mail letters, email,
outdoors, release, etc by
October 2011.
-Advertise future new line
of products addressed to
over 100s on newspapers,
specialized magazines,
main stations, outdoors,
buses, main hospitals in
London, Manchester and
Birmingham by November
2011.
-Conduct the new products
opening event on 01st
February 2012.

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Update advertising
content of new products
and online system by July
2012.

People

Allocate staff with


suitable skills and
capabilities to carryout
daily tasks that will
culminate on an
increase of online sales
anf loyalty of the over
50s segment to the
companys products by
May 2012, Making use
of job rotation, transfer,
training and
development.

Assess staffs skills,


capabilities and
experience by July
2011.
-Rotate, transfer and
allocate staff for specific
tasks and projects where
needed by August 2011.
-Conduct training and
development by
September 2011
-Assess employees
performance b y march
2012
-Provide performance
feedback to employees
and set up needs for
future training programs
by April 2012.
-Reallocate employees
where necessary by June
2012.

Physical evidence

Create a solid and


efficient range of
physical evidences
such as up to date
website, standard and
original packaging and
paperwork, and
brochures for events,
familiarizing customers
with them by May 2012.
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-Design specific online


purchase packaging by
July l 2011.
-Redesign online purchase
structure and layout by
October 2011.
-Design direct mail and
loyalty cards to over 100s
customers by October

2011.
-Evaluate physical
evidence tools and
update/change them
where necessary by July
2012.

Process

Improve processes such


as: personal shopping,
warehousing, delivery
time, staffs new line
products knowledge and
online purchase
bureaucracy.

-Assess issues on
Personal shopping,
Warehouse, delivery and
staffs knowledge about
products by August
2011.
-Improve each of these
processes according to
customers expectation by
October2011.
-Evaluate processes
applied to the marketing
plan by April 2012.
Conduct
change/adaptations on
processes by august
2012.

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17. Gantt chart :

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References :
Guiltinan,p., paul,G. Madden, T Marketing management Stratagic and Programs,
(6th edition),Mc Graw Hill.1997
Kotler P (1991), Marketing Management (7th Edn), Prentice Hall
Armstrong,G., Haker Michael,M. Kotler, P. Brennan,R;marketing: an introduction
London 2009,( p.p54)
Kotler,P., Armstrong,G, Wong,V., Saunders, J.; principles of Marketing, 5th
edition,itlay,2008.
Harding,S; Long,T. MBA Management models, gower,2008.

Websites.,
www.morrisons.com
http://www.bookrags.com accessed t 15/06/2011
http://www.marketingmagazine.co.uk/news/1015594/Morrisons-adopts-celeb-freeactivity/ (accessed

19/06/2011)

http://www.inc.com/articles/1999/12/15966.html (accessed 21-06-2011)


http://www.bookrags.com accessed 22-06-2011
www.cim.co.uk (accessed 22-06-2011)
http://fmcg-marketing.blogspot.com/2007_10_01_archive.html
2011)
www.tutor2u.com (accessed 26-06-2011)

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(accessed

25-06-

Turn it in :

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