Marketing mix is an effective marketing strategy composed of a combination of marketing aspects which includes the 4Ps namely; place, product, price, promotion (Kotler, et al., 2015). A consumer-centered marketing mix may include additional factors including people, process, physical evidence, cost, consumer, and competitor (Jain, 2013). Herein is a brief analysis of Woolworths’s marketing mix, looking into the 7Ps (product, place, price, promotion, people, process, and physical evidence)
Product: As part of the marketing mix, Woolworths provides groceries including meat, fruits, vegetables and packaged products as the core product. There are other varieties of products including electronics, bags, housewares, clothing, accessories, furniture, jewelry, beddings, magazines, stationeries, and DVDs. The store maintains quality and diversifies the choices of products to all consumers.
Price: Woolworths offers competitive prices for all premium brands in the market. It also attempts to maintain similar or slightly higher prices in the market. Additionally, premium rates are available for low price preferences segments. Also, discounts and vouchers are rewarded to consumers.
Promotion: Promotion through campaigns, for instance, the 1987-2012 Fresh Food People campaign. Extensive use of online Medias such as Facebook, Twitter, and websites as well as magazines and newsletters. Also, loyalty schemes, gift cards, extensive deals and offers are available to customers.
Place: Place element of the marketing mix deals with distribution issues of products and services. Woolworths is recognized as a multinational company operation over 1000 stores in Australia, about 1000 supermarkets, and other convenient stores. The company has brand chains in countries such as New Zealand, Austria, Germany, UK, and Mexico. In consequence, Woolworths has a wide distribution network provided by the several outlets. The extensive distribution network ensures availability of products at convenient stores and supermarkets globally where Woolworths product are distributed to the customers. The strategic locations for Woolworth’s stores and supermarkets in busy streets and main cities allow ease of access by customers.
People: The key founders of the company are Mr. Charles, the founder and Mr. F.W, the CEO. Woolworths is more of a service oriented, and hence customer satisfaction is their key role as provided by the competent sales assistant staff. Woolworths boasts a workforce of about 300, which is expected to increase in the future.
Process: Woolworths offers fast and efficient billing and acquisition of goods purchased online and offline through utilization of the latest billing technology software and excellent support staff. The staff maintains customer satisfaction and friendliness.
Physical evidence: Offline stores are clean and attractive with efficient design ensuring ease of navigation through the range of products. Billboards and hoarding are used to show physical proof of Woolworths. The website design is simple and user-friendly. The physical evidence of Woolworths attracts customers to their stores.
Woolworths is recognized by providing quality products that meet the current market needs. For instance, considering the growing consumer demand of groceries, Woolworths is a priority for most of the Australian groceries consumers. The store understands the customer’s needs and thus provides arrange of products to meet the customer needs. Identification of Woolworths as a multinational brand assists in cohesive positioning of the products in the competitive retail market. Woolworths has created pleasant experiences in customer service and the most important aspects of the product including quality, product name, safety, packaging, return policy and product recall.
Product Name: Woolworths offers products under different product names such as Yummy Meals, Fresh Soups and Emily’s Kitchen among others. This provides integration in Woolworths’s marketing mix by matching the quality of products with acknowledged products names in the market.
Quality: There is a range of products provided by Woolworths that are recognized by their premium quality. Woolworths’s premium brand products come with the quality assurance of all products lines.
Brand: Woolworths has various levels of private or generic label brands that are familiar with most of the consumers. These brands include homebrand, select, gold, free from, delicious nutritious, farmers own milk, odd bunch, little ones, voueu, and macro. The label brands are differentiated by the product specification in each brand level. For instance, Woolworths Homebrand is easily recognized by the red and plain white accented packaging which included budget label household products and groceries.
Product Safety: Woolworth values their customers, and for this reason, they ensure all products availed to customers meet the quality and safety standards; hence all products undergo product approval process. The process involves product testing, quality auditing, and inspection. This is in guideline with Australian Consumer Law that specifies in ensuring all products are safe for consumer consumption. For this reason, Woolworths compensates for loss caused by goods with safety defects. They also ensure prompt withdrawal and recall of products that may be harmful to the consumer. All product safety incidents are reported and dealt with as required by the Australian Law (Product Safety., n.d.).
Return Policy: Woolworths maintains a return policy for products purchased in any Woolworth’s supermarkets and online. Terms and conditions and apply for the return policy, these are provided by the customer support staff when raising claims or by exploring their policy online at Woolworths website. The policy applies to all products with and exception of non-food items (toiletries), general merchandise, tobacco, liquor, electrical, household products, ePay and gift cards. The desk staff provides efficient communication to all issues by sharing manufacturers’ contacts details for any claims on products (Woolworths Supermarkets Returns Policy., n.d.).
Package: Woolworths has differentiated itself from the competitors by ensuring unique packaging of all products. The packaging is attractive to the consumers, and there is minimal unnecessary packaging of products. Moreover, the stores are environmentally mindful, and thus they ensure they package their products in recyclable packaging bags. Moreover, the packaging includes consumer units, trade units, pallets, store-friendly packaging and maximum acceptable gross with of trade units.
Product Recall: Woolworth in liaison with manufacturers and product quality and safety inspectors provide prompt recalls based on different quality, safety, and health aspects that may cause harm to the consumer. For instance, there was a product recall for ‘Authentic Asia Prawn Wonton Ramen,’ supplied and manufactured by CP Merchandising Company Ltd. The recall was announced on 14 April 2017, due to the presence of plastic matter in the food product which may cause illness or injury to consumers (Product Recalls., n.d.).
Place
Place is a major factor in the marketing mix because it deals with the suitable and most appropriate location aspects to find the target consumers. In Australia, 100 stores are under Woolworth’s management. Also, there are additional convenience stores and more that 950 supermarkets in New Zealand, USA, and Australia. Outlet regions have been established globally and retail chains. Woolworths’s website is a marketplace for online consumers.
Location: Most of the stores are located in highways and within the main cities such as Victoria, Melbourne, convenient for all customers. The location of the stores minimizes time wastage during transportation and distribution of goods, ensuring the prices are maintained at optimal levels.
Distribution Channel: Distribution channel is an important aspect of the marketing mix that ensures the products are availed to the consumers through indirect or direct paths of distribution (Khan, 2014). Woolworths has partnered with various trade partners for distribution and supply of products and services to customers. For instance, Woolworth’s primary freight is responsible for transportation services from different facilities to Woolworth’s distribution centers. The distribution centers manage the several purchase order within Australia and internationally. For international purchase orders, logistical considerations are made in movement and consolidation all orders to be delivered into Woolworths’s warehouses. There is an online system that supports the monitoring of overseas orders.
Accessibility: The convenient location of the store ensures ease of accessibility. Moreover, the stores are well designed and products displayed in different sections based on their classifications. It is, therefore, easier for customers to locate what they need promptly. Also, there is friendly customer service personnel providing support to customer to access what they need.
Parking: Ample parking space is available at the stores. Since Woolworths values their customers, security is provided at the parking area.
Local Attraction: The layout design of Woolworth’s stores and supermarkets are simple and attractive providing ease for customers to choose the stress for shopping priorities.
E-commerce: Woolworth’s website access is readily available to almost all states with internet availability. This provides convenience to all customers especially those that prefer online shopping. The website is up-to-date and user-friendly with a simple and attractive green color theme displaying the company’s logo and brand name. Moreover, the company has launched a mobile app for online convenience.
References
Jain, M. K. (2013). An analysis of marketing mix: 7Ps or more. Asian Journal of Multidisciplinary Studies, 1(4).
Kotler, P., Keller, K. L., Manceau, D., & Hémonnet-Goujot, A. (2015). Marketing management (Vol. 14). Englewood Cliffs, NJ: Prentice Hall.
Product Recalls. Retrieved from https://www.woolworths.com.au/Shop/Discover/about-us/product-recalls
Product Safety. Retrieved from https://www.woolworths.com.au/Shop/Discover/about-us/product-safety
Woolworths Supermarkets Returns Policy. Retrieved from https://www.woolworths.com.au/Shop/Discover/about-us/returns-policy
Khan, M. T. (2014). The concept of’marketing mix’and its elements (a conceptual review paper). International journal of information, business and management, 6(2), 95.
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