Positioning is also a part of building a good brand image. Positioning mean where an organisation is placed within the marketing criteria. To have a good positioning within the marketing criteria a company must be clear of the service that they offer, this would mean brand name, image, service standards, product guarantees. If all these are clear to their target market they will more likely to have a good position, which means that there will be less competition as customer will know what they have to offer. Coca Cola already has their position within the marketing criteria; they are very high, they have less competition than other organisations as they are number largest worldwide beverage service.
Having great communication also play a key role within building a good brand image within the target audience mind as their perception is very important. This would mean that Coca Cola would have to be seen by their customer as brand that produce good quality product that they trust.
Long-term perspective is an important factor in building a brand image, this will mean raising brand awareness and communicating the brand’s message and creating customer loyalty will take time, this will mean investing in the company. Coca Cola have used this long-term strategy over the years to make it their company what it is today.
Coca Cola have extended their brand over the years by creating a products under the same name such as diet coke and caffeine free coke, Diet Caffeine Free Coke but also by adding more flavour such as cherry coke and vanilla coke. Brand extension is all about extending and developing products and this can be an advantage because it increases brand image and the efficiency of promotional expenditure increases. Advertising, selling and promotional costs are reduced. There are economies of scale as advertising for core brand and its extension reinforces each other.
For Coca Cola to select the correct growth strategies for the organization, it is necessary to analyse the organization's current market share. Coca Cola can do so by using the Ansoff Matrix, this will help Coca Cola to know what their next step will be. Using the Ansoff Matrix is a way of exploring in order to attract new customers, which they did so by diversifying the products range and introducing different flavours drinks, this was part of their growth strategic planning.
Marketing relationship is about the relationship between the company and the customers and as technology is developing they organisation are able to interact with their customer more efficiently using the internet, television, radio and more. Coca Cola has used all of these methods to communicate with their customers by having a website that they are able to visit and using social network.
Tesco
Tesco core purpose is to create value for customers to earn their lifetime loyalty but also to increase sales, increase market share, to maximise sales, to grow and maintain the number one retail company in the UK and remain market leader.
Tesco marketing objectives is to provide goods/services that is cheap and affordable to consumers or the public. Tesco raise their brand awareness by advertising promotions and deals that they have to offer by using the the internet, TV advertisement and other media. Using media such as these will help Tesco reach their target market and potential customers. Raising brand awareness would help Tesco brand image as they would want to be seen by their customers as a business that consistent on providing good quality products for less. As Tesco are the number 1 supermarket in the UK, mean that they have the most loyal customer, that trust them to provide them with great quality goods and service. This mean the customer wants and needs are being satisfy which are increasing their trust within the company.
As Tesco are the market leader they would like to maintain that title, which means that they would have use the marketing concepts and anticipate what their customer are going to want next as their wants and needs are going to change within the future, whether it going to be about providing a better quality service or introducing products that are different to their competitors.
Tesco brand image is very important as it would influence the way that their customer behave toward their company. Having a good brand image will mean that people would rather to shop at Tesco because they know and trust the brand as they would know what to expect from the company. Having Trust within Tesco is important as people pay the price as long as the know that they produce good quality goods and service. This will determine the amount of customer that they have and in the long run their sales.
For Tesco to build a good brand image it would have to be something that would be recognisable and meaning full to people. Building a brand would need trust from their customers, stakeholder and also investment within the company and having some sort of respect within the marketing business. Tesco logo is something that is recognisable from a distance, which their customer will know what it stand for.
Tesco communication with their customer is very important as the as they will need to let their customers know the purpose of their business, because how their customer see their company determines how well they will do in the long run. Tesco is the largest supermarket within the UK, that operates on a international level, this mean that they are gaining customers from all corner of the world, this would mean that the service that are providing is at a very high standard. Tesco have great quality products and service that their customer appreciate but Tesco has got a lot of competition to compete with as it provide the same service as other companies such as, Sainbury's, Morrisions, ASDA. All four of the companies are all in the same margin as they are all competing for the same thing, “provide customer with the best quality product for less”.
Over the Years Tesco have has come from being a just a super market that provide food but extending their brand to providing clothes, electronics and home furniture. Below are a list of Tesco brand extension. Brand extension is a risk to take as its a new product being introduced to a new market and it will take time to gain the trust of customer and build a good brand image but on the other taking such a risk could increase customer database, as it is a new product being targeted at a new market which will increase their brand image.
Tesco growth strategy is to satisfy their customers’ needs and wants different from their competitors. They undertook a systematic research programme to identify what the minute details of what customers wanted from supermarket shopping and then changed every aspect of their business to meet that understanding. By doing so more customers will put their trust within Tesco's brand, for example Tesco introduced a value range for their customers because they believed that their customers wanted value for money and they did so, which then become profitable. Using the Ansoff Matrix Tesco went with a new product to the same market as that what they wanted at the time.
Tesco uses relationship marketing by using forums where their customers are able to express their views; this will make their customers feel more appreciate. Tesco also uses social networks such as facebook and twitter for their promotion because they know that they will be able to reach a wider range of audience as millions of people uses these sites.
limitations and constraints: Tesco
sales of goods act – the sales of goods act is to make sure that the trader sells goods exactly how they are describe as it could be misleading information for consumers.
Tesco is a company that sells a wide range of products, from food, clothes and insurance. As they are huge supermarket, they would have to make sure that their products consist of the information about the products and of good quality. Tesco has to make sure that their customer receive their products exactly how they are advertised, this would packaging, quality of product.
Coca cola is the largest company worldwide, for coca cola to have high customer base, this mean that they are selling their product exactly to their customers’ expectations. The sales of goods act are there to protect the consumers when purchasing goods for a reasonable quality or standard. As Coca Cola is a customer based company they have to make sure that they are meeting their customer’s needs, this means that they have to make sure that their product fits the description and contains the natural ingredients and looks exactly how it was advertise. If Coca Cola does not follow the rules of the sales goods act, they will be fined and probably imprisonment.
Consumer protection from unfair trading regulation 2008 – This act makes sure that consumers are treated fairly by businesses this means being honest about their product or service that they offer.
This act will apply to Tesco as they are a large retail company and their customers will expect them to be truthful about their product and service. As Tesco provides a service where their customers can pay on credit, they say that they must be licence by the office of fair trading. As Tesco provides loans to their customers they must them up to date on their account.
Coca Cola has to make sure that when selling their products that they are fair and honest about their product. This would mean that there are not additional charges to the price or any additional ingredients to the product that are not good for the health of the consumers. Coca Cola has to make sure that all information about their product are upfront, so their customers know exactly what they are taking in and there are no misleading information.
Consumer credit act 1974 and 2006 – This act protect customers who purchases things on on credit if companies aren't licence.
Again as this will apply to Tesco as they lend money to their customers or when their customer purchase something with their credit card. This will mean that Tesco will have to be licensed to be able to hire-purchases such as their suppliers, that use credit to pay for goods in percentage at a time. This would happen if Tesco was not able to pay for their good with the right amount of money, they would pay on credit.
Coca Cola is the largest company in the soft drink industry which means that their supplies would have to very regular and consistent. As there are a high demands on their products they would have to make sure that the supply also matches the demand. Coca Cola might have to pay their supplier on credit if they cannot afford the full payment.
Data Protection Act 1998 – the data protection act is all about protecting personal and sensitive information about customers.
This laws will apply to Tesco as they have personal information about their customers, if they have an account with them or a club card. “We would like to reassure you that your personal details are safe with us and will never be released to companies outside the Tesco Group for their marketing purposes. ”
Coca Cola is a company that is strict on not collection any of their customer personal information such as their names, email address, address, telephone number unless they want. “we may store and process that information to better understand your needs and how we can improve our products and services”. If they receive personal information from their customers they will used that information for personal advertisement only. If any information should get out into the wrong hand Coca Cola could face a fine.
Consumer Protection Regulations(Distance Selling) – this act is to protect consumers that are purchasing goods from a distance, this could mean over seas or over the internet. This act makes sure that customers are being protected, as companies may give out misleading information about a product or service.
This regulation apply to Tesco because they sell ranges of products, which people buy online and if its not what as what it is described in the information about the product, it will be seen as misleading information. “For non business customers the office of fair trading has regulations which govern distance selling and any private consumers should be aware that you have rights under these regulations. We respect your rights and our terms and conditions of business encompass your rights to cancel any services you request directly from us and will give you the required information, including details of the 'cooling off' period after you have placed an order with us, in accordance with the Consumer Protection (Distance Selling) Regulations 2000”.
Coca Cola when selling their products to shops they need to make sure that the people who are taking their goods know exactly what they are getting, that the right information are on the bottles but also delivery. There should be payments arrangements, and also delivery arrangements so that there are no misleading information.
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besiktas1a (student)
