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Introduction - Individual Coursework Assignment
Tesco is a popular British retailer that has prioritised its communication channels with its stakeholders since its establishment. Considering the current demand of calcium supplements, the firm has decided to introduce its range of calcium supplements which are healthy and free from preservatives. Too little calcium may result in osteoporosis. Among the people aged above 50 are mostly suffering from lack of calcium in the body, and Tesco has brought it's calcium supplement packages explicitly by targeting the older population of England who are suffering from osteoporosis (Age UK. 2021). Tesco operates in the UK retail industry worth $29.48 Billion and the largest target market of the company in the United Kingdom (Tesco (TSCDF) - Market capitalization, 2021). However it operates in different countries through its online services. To imply Integrated Marketing Communication in Tesco, the organisation has chosen different mediums such as direct marketing, advertising, sales promotion, public relations and internet marketing. The current study will highlight the upcoming IMC campaign in Tesco and its target market and communication objectives.
Literature Review
Discuss IMC and in what way it can be useful for engaging older consume
Integrated Marketing Communication refers to a precise way of communicating in a particular business phenomenon in which a company could operate its staff, advertising, sales and other commercial platforms. An IMC program helps incorporate different aspects such as strategic planning, creative briefs, selection of marketing channels, budgeting, Return on Investment analysis, and system analysis. According to Kushwaha et al. (2020), Integrated Marketing Communication helps a company reach consumers effectively. It comprises different factors such as advertisement, public relations, social media platforms and email marketing through which a huge range of customers can be reached easily. Integrated communication not only helps to meet individual queries and doubts of the consumers but it helps to bolster awareness, creates trial usage and helps in obtaining brand loyalty. On the other hand, Gordon-Isasi et al. (2021), has opined that with the help of Integrated Marketing Communication, consistent messaging helps eliminate confusion and reinforces the brand with customers. Thus with time, customers become able to develop a trustworthy relationship with the brand.
Models and Frameworks on Communication
Different modules can be illustrated in this context to clarify the impact of Integrated Marketing Communication in a company.
Helical Model of Communication
The name "Helical" has been derived from "Helix". In 1967, Frank Dance first introduced the Helical Model of Communication (Alshanqiti and Khozium, 2021). The primary motive of the theory is to represent communication as a nonlinear and dynamic process. In the Helical model communication has been compared with helix that gets larger as it moves. In a communication process, it starts slowly, with time it starts growing with shared information and forms a small part of the relationship among the communicating members.
Figure 1: Helical Model of Communication
(Source: Dias et al. 2020)
With time it reaches the next level, and with deep communication the communicators become able to develop a sense of commitment. The implementation of this model reflects that in a business context, communication takes place among the team members with its limited reach, along with time and shared information it starts forming a huge helix of commitment. It develops relationships and faith upon each other. Thus through IMC Tesco would be able to reach customers little by little and soon it will address a huge customer base of above 50 with its product "Calcium Supplement".
Berlo's Model of Communication
David Berlo has first introduced its theory of communication that interprets a relationship between the Sender-Message-Channel-Receiver. The model states that a particular process of phenomenon is included in communication that flows from source, message, channel, and receiver.
Figure 2: Berlo's Model of Communication
(Source: Goel et al. 2021)
The implementation of this model would help TESCO to interpret the primary attributes of communication. The message flows from the company through offline and online channels to its customers, the "Receiver" here.
Benefits and shortcomings for organising an IMC program
The implementation of Integrated Marketing Communication has both merits and demerits.
Merits
According to Gölgeci et al. (2021), with the help of IMC plan, Tesco will be able to develop trust among the customers. Similarly, it will help the brand to get recognised better in the market. There is a high possibility of increasing the revenue of the company by attracting a huge customer base.
Demerits
Despite the above, some shortcomings prevail in integrated marketing communication, such as difficulties to adopt different marketing techniques. Moreover, there is a huge requirement to work closely with the design team and web analytics that may create a workplace burden. There is a huge need for market research before planning an IMC campaign.
Factors required to be considered in TESCO for planning the campaign
For developing the Integrated Marketing Communication Campaign in TESCO, several factors must be included such as, the company's corporate culture should be enhanced by the operator. There will be a huge focus on brand image and consumer demand. Customers are necessary resources therefore, customer experience must be strengthened. The inclusion of different promotional tools such as social media platform, brand advertisement, content marketing, poster, infographics, and website design will be taken into account before planning for Integrated Marketing Communication for TESCO. Fernando and Wulansari (2020) opined that to address the older population (above 50) of UK, it will be necessary for the company to use communication and integration tools.
Solutions to be taken into account
To obtain solutions, it will be necessary to have an effective strategic approach, discussion, video conferencing with the stakeholders, and introducing training and development programs to boost existing communication skills among the employees.
Target Positioning and Audience
Considering the chosen target, one can understand that calcium deficiency is one of the vital problems among the UK population. The NIH has reported that people above 51 to 70 years need to intake around 1,000 to 1,200 milligrams of calcium (Ods.od.nih.gov, 2021). The RDA is a distinct proof for women's health as old women are in dire need of calcium supplements. People above 70 years are allowed around 1,200 milligrams of intakes (Ods.od.nih.gov, 2021). Despite several calcium-rich food items, the absorption capacity for both these age groups is lowered.
Five Buyer's Group Model
The model is focused on identifying the five different types of buyers for a product in the market. The categories include brand loyal, favourable brand switchers, other brand switchers, other brand loyal, and new category users. The advantage with the first two groups is that they are consistent buyers of a particular brand, although FBSs usually shift between brands. The OBSs and OBLs are hard to obtain. The switchers can be considered in the potential list as they have fluctuating opinions. However, the OBLs are completely denying the brand. New entrants are of high value as they can become loyal with quality and service consistency. By applying this model, Tesco can assess the brand users effectively. The company can assess the sales report and daily billings for a clear idea on the BLs and FBSs. Buying patterns would also enable them to identify OBLs from other sellers and new entrants.
T-C-B Model
Identification of target customers is essential by aligning them with the products deliverable. This model is a detailed reflection on three main aspects: target customers, consumables sold in the market competition and benefits offered by the brand. It can be observed that Tesco's supplements are not having chemical preservatives which are often infused in other brand supplements. Thus, using a certification to qualify the standard of organic supplements sold can be a benefit generating the new buyer's interest.
I-D-U Model
A brand needs to develop key benefits which would generate recalls from customers. The model reflects upon the prospects of developing such benefits that are easily deliverable by the brand only. It requires the product to be exclusively manufactured by the brand to retain full ownership of the unit. There are several unique products at affordable ranges among calcium supplements in Tesco. Capsules sold by Tesco also benefit from added vitamins and mineral-rich cod liver oil, which are crucial requirements for the old-age population. The entry-level benefit is generated through loyalty programmes and Clubcard schemes offering bonus discounts. Stocks are also filled timely and can be easily availed by people of all income groups.
Communication Objectives on Marketing
The analysis clarifies that Tesco would require framing a specified objective that aligns with the marketing campaign. The following goals are established that are expected to channelize relevant marketing actions:
Customer needs: The goal of Tesco's supplements would be to primarily attend to the issues of calcium deficiency and health problems generated among the old-age people (Novansa and Ali, 2017). In this case, the quality of the capsules or products would be verified by the results that buyers expect in terms of health improvements.
Brand Awareness and Attitude: The ultimate goal of a product launched in the market is to generate profits. Tesco must provide abundant details that offer the needed product knowledge and add value to people's life by generating satisfactory responses (Novansa and Ali, 2017). Old-age buyers would evaluate the product on the net resulting in health after consumption.
Purchase intentions and Facilitations: Tesco would require to generate a brand value that maximises customer's loyalty towards the supplements (Novansa and Ali, 2017). Apart from product quality, communication and services accommodating behaviours like feedback on products are necessary in this case. It would help in generating loyal target bases.
Using the Brand Communication Effect Model, some important facts are highlighted justifying these objectives. First, the brand value is directly dependent on the categorical needs which have led to product manufacturing. In this case, Tesco's target is to attend to the issues of health problems due to lack of calcium diet. Therefore, a precautionary warning is necessary on the subsequent balanced diet or prescribed nutritionist affiliation before partaking the supplement. Similarly, the efficiency of the supplements in recovering calcium deficiencies of the body would result in generating customer loyalty which ensures awareness. OBSs and FBSs tend to examine products on their ability to generate healthy responses after a patterned consumption. Lastly, using an affordable price range is valuable in the competitive market to generate interest and facilitate the initial sales.
IMC campaign planning
The following aspects would constitute the IMC campaign for Tesco:
Platforms
Tesco, being an active retailer across the UK and the globe, would find the following marketing tools as suitable for branding the supplements:
Advertisements
Advertising platforms are the most common and convenient forms of marketing to generate brand acquisition. According to Wang et al., (2019), there are four popular types of advertising measures namely: display, video, mobile and native forms. The display and video advertisements would be useful for promoting the supplements. Here, posters would be displayed at available hoardings on the road and cut-outs would be installed near the malls. Apart from these, the video contents would be marketed on social and broadcast channels in the UK. Printed pamphlets are often distributed with newspapers and journals along with page prints.
Digital Marketing
One of the modern-age and highly interactive advertising measures is the digital marketing tool. Anshari et al. (2019) opined that it involves the extensive use of electronic devices like computers, mobiles, and the internet facilities to generate product promotions. The most common techniques include search engine optimization and marketing (SEO and SEM), data-driven marketing, content automation and marketing, influencer and social media campaigning. There are also offline marketing provisions like SMS, call-backs which have gained prominence simultaneously. The key here is to connect data usage with the promotions dispersed publicly. Conversion rates per click is a useful parameter.
Direct Marketing
Direct marketing is an approach where the brand communicates the offers, new launches and other updates to customers using direct responses. These measures include emails, online advertisements, flyers, calls, coupons, text messages, and other popular forms. Catalogue distribution and letterbox drops are other approaches constituting the traditional lists of direct marketing. It is often considered a wholesome approach where all other forms of promotions are included. Therefore, Tesco can apply this wholesome platform to diversify advertising measures. It would help the company identify the methods that generate more sales which can help to slacken other options. Flyers, pamphlets act as contents which consumers can share with other potential targets and generate an interpersonal reference.
Sales Promotions
Sales promotion is a special type of promotional strategy which is designed to enhance internal services and distribution. According to Tong et al., (2020), short-term campaigns targeted to generate interest and demand on new or existing products constitute sales promotions. Tesco can apply different promotions such as discounts, coupons, events like contests and giveaways, loyalty schemes to procure initial interests on supplements. For example, purchases above certain amounts would enable buyers to avail free shipping or gifts during festive seasons. Flash sales and limited-time offers are other popular tools used by Tesco and collateral retailers on different items. Combined offers are also regarded as beneficial in building interests for future recalls of the products.
Public Relations and Publicity
As perceived by Ver?i? and ?ori? (2018), public relations highlight the target to manage relations and goodwill of a brand. It is aimed at generating a mutual understanding between the company and its target audience. Public relations are widespread advertisement tools that intend to cover groups' needs other than buyers and distributors. It includes employees, shareholders, media, government and pressure groups. The important types include corporate advertisement, charity participation, donations and publicity. Publicity is an integral part of PR. It comprises the media factors which enhance the company's presence. It is conducted through press conferences, sponsorships, and organising relevant gatherings on several aspects that can help communicate the need for a product. For instance, Tesco could employ media conferences where expert medical professionals and users would highlight the product utilities to other public.
Events and Experiences
Events constitute any occurrence not intended for a specific outcome while experience involves the target to generate a lasting impression. Tesco must utilise experiences over events to secure the trust and confidence of old-age buyers. Conferences can fall under the category of events but experiences are values added through the conference or meetings. Community events like free medical check-ups for older people and networking events to mix with general people in a locality can prove useful. Tesco also organises several automated contents that would offer valuable awareness inputs. Events on health issues due to calcium deficiencies would enhance product and brand values.
Creative Strategy
It is understood from the above discussion that generating brand attitude and awareness is essential for propagation of business opportunities. So, the first activity would be to develop a feasible strategy for drawing public attention. The following aspects could help Tesco in building awareness on calcium supplements:
Storefront Impressions
Tesco would have to invest in printing product cut-outs and banners which draw people's attention. It must subtly represent the product utilities rather than appearing like a basic promotion. For example, creating a health counter where some basic information would be taken on age and health conditions of people could lead to positive personal interactions. Likewise, uploading valuable content on the target needs could keep people updated and interested in digital media.
Employee Motivation
The employees serving in the outlets and online are valuable assets who can improvise interactions and generate leads. Therefore, they must be trained properly on SEO and visibility management online along with offline marketing techniques. The provisions like incentives, extra discounts, parking benefits, and other financial and non-financial facilitations would motivate members to contribute to productivity.
Customer Engagement
Drop-down charts in websites and applications can help to initiate conversation with the customer contacts. Similarly, attending store buyers with positive behaviour and solicitations tend to leave good imprints about the company's services (Batat, 2019). Attending grievances immediately on product issues are other tools that can empower Tesco in producing loyal leads.
Remarketing Tactics
Buyers easily forget companies for their positive behaviour which can only be sustained through regular interactions. Engaging customers of Tesco through events, discount sales on the product can remind them about the items. Similarly, asking for feedback would help draw brand switchers by making good impressions and interactions in-store and online.
Media Mix
Considering the objectives and platforms, the advertising media would prove beneficial in generating new leads. Communication channels would comprise radio, television broadcasts and hoarding, pamphlets on product launch and price offers in print. Apart from this, the distribution of flyers and video content across social media platforms must be issued. Besides, the online facilities would involve emails, personal texts and calls on the product, offers, and combos commonly expected. Direct mails and in-store giveaways for specific orders of the supplement can incorporate good impressions through interactive events.
Budget
The average expense for executing the creative strategies would be around 600 pounds. The website programming and maintenance costs would be an estimated 3,000 pounds. Besides, social media marketing and communication would require some 300 pounds while direct sales and PR policies would generate a total of 725 pounds summing up to 7000 pounds.
Conclusion and Recommendations
The report highlights major opportunities of the calcium supplements in today's market. It also generalises the profits and risks of employing the IMC campaign. Tesco would have to plan and analyse the progress in platform actions weekly and monthly.
It is recommended that Tesco diversifies the investment to foreign countries besides new sales that can generate returns equally. The interaction between clients and employees has to be supervised regularly. Complaints and grievances have to be attended with feedback inputs from medical professionals to improve capsule quality. Supplementary drinks can enable the product to enhance bodily absorption for higher age groups.
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