Download Microsoft PowerPoint Presentation / M1Compare

Lesson Objective
• M1 compare marketing techniques used in
marketing products in two organisations
• Compare –say what is the same and what is
different about two products and how they
are marketed. Give reasons for your answer
What to Do
Identify which techniques Tesco used to market
Club card and which techniques Subway used to market the
Sub.
M1 compare marketing
techniques
Identify which techniques they use are the
same used in
marketing products in
which ones are different.
two organisations
Explain how Subway use the technique
then how Tesco use it.
Next comment on if they use it in the same way –why, does it
have the same result-why
Finally comment on why the Techniques only used by Tesco,
why do they use these techniques and Subway don’t .
Then do the same for Subway.
Task 1
• Complete worksheet
Tesco Marketing techniques for Club
Card
• Carry out research to identify which techniques Tesco
have used to market the Club Card.
Sources
• Leaflet Boxes
• Magazines
• http://www.marketingmagazine.co.uk/news/191867/S
coring-points-Tesco-Clubcard-hits-10/
• http://en.wikipedia.org/wiki/User:Bladeofgrass/Tesco
• http://ar2010.tescoplc.com/business-review/coreuk/core-uk-cont2.aspx
• http://www.tescoplc.com/plc/media/pr/
• Carry out research to find out which
marketing techniques Subway have used to
market the sub.
• Write these down
Compare the marketing techniques used to market
the Sub and the Club card
• Which ones are used to market both products.
• How and why are the techniques used be each
company
• What is similar about how Tesco and Subway use
these techniques and how are they used
differently.
• E.g How has Relationship marketing been used by
Tesco to market the Club card and Subway to
market the Sub
•
•
•
Tesco used relationship marketing to promote the club card. They did this by offering the card
to it’s existing customers and offering them points for every £1 they spent. This encouraged
customers to return (i.e become loyal). Tesco did this to build a relationship with its
customers. The club card records all products a customer buys, this enables Tesco to offer
them related goods. It also means Tesco have customers contact details on their database so
can contact them direct with details of new products and services. The card was promoted in
store through leaflets, application form and by check out staff. It was also part of an
advertising campaign which saw Prunella Scales collect points and swap them for treats. The
Club Card enables Tesco to use relationship marketing more effectively and allow them to
build on the existing relationship they have with all their customers by selling them more
products and services.
Subway used relationship marketing by offering a loyalty card, where customers could collect
stamps each time they visited and earn free products. This was designed to build on their
existing relationship but did not allow for the relationship to be used to market new
products. New products could only be offered if the customer returned to store. Subway
have recently introduced a loyalty card similar to the Tesco club card, once they build up a
database of the customers and their spending habits, they will be able to use the relationship
to promote new and existing products direct to the customer in their own home. This could
encourage them to come into the shop.
Relationship marketing is used by both Subway and Tesco to build a relationship with the
customer, encourage and reward loyalty, whilst trying to get them to buy more products.
Tesco use this technique more frequently and effectively than Subway but this is because
they have many more products and services to offer, so can build on the existing relationship