Introduction
In the fields of sales and retailing, brand equity is an important indicator that determines the success of a business and creates a sustainable financial background. Tesco is a British corporation that has been operating in the market for a long time and has a wide range of regular customers. The implementation of appropriate marketing communication tools is a mechanism to increase sales and brand value.
Importance of Branding for Organisations and Consumers
From the standpoint of value to organisations, branding is an important aspect that builds market recognition and a sustainable customer base. The example of Tesco proves that an authentic selling principle that the corporation promotes is a convenient marketing practice attracting potential buyers (Barnes, 2017). In addition, creating the image of a multinational company that provides services globally increases confidence in a particular brand.
From a consumer perspective, branding policies are also significant. Al-Hajla et al. (2018) provide an example of Islamic-oriented sales, which Tesco adheres to as a strategy to engage an individual category of the population. This allows the target audience to purchase the necessary goods and, at the same time, serves as an additional incentive for trusting this brand. As a result, effective branding is beneficial for both sellers and buyers and contributes to building successful interaction mechanisms.
How Marketing Communication Tools Enhance Brand Equity
By using the example of the Tesco corporation, one can determine the possibility of increasing the brand equity through marketing communication tools. For instance, Moravcikova and Kliestikova (2017) argue that advertising services via social media and selling food due to digital applications increase the number of customers, thereby enhancing brand recognition. Taiminen (2016) confirms the importance of digital marketing and states that the channels of interaction with the target audience expand, which makes it possible to serve a larger number of consumers.
According to the assessment of academic sources, many researchers focus on online marketing as an advanced and popular mechanism for engaging the target audience (Garczarek-BÄ…k, 2016; Å trach, 2018). Å trach (2018) notes that delivering messages to buyers via the Internet helps personalise purchasers and increase brand recognition due to an individual approach to each client. Thus, marketing communication tools enhance confidence in a particular brand and contribute to customer retention.
Justification for Sector/Choice of Brands
The choice of Tesco as a target organisation is determined by the brand equity of this corporation and its successful approaches to increasing consumer recognition. For instance, while comparing this company with those in the clothing industry, Morgan, Tallontire and Foxon (2017) note more sustainable green production principles due to customer’s daily food consumption. According to Hökelekli, Lamey and Verboven (2017), compared with discounters, Tesco provides better products of good quality, thereby increasing client recognition.
In general, the food sector is a profitable industry to promote. Shin, Kim and Kim (2020) cite an example of the Chinese market and highlight Tesco’s high position as one of the main food distributors in terms of perceived quality. In the UK, the organisation is the largest retailer, which makes it possible to evaluate its activities comprehensively (Jones and Comfort, 2019). Therefore, the choice of the brand is determined by its success and market recognition.
Reference List
Al-Hajla, A. H. et al. (2018) ‘Advancing Islamic branding: the influence of religious beliefs and religion-compliant product adoption’, The Marketing Review, 18(1), pp. 25-39.
Barnes, A. (2017) ‘Telling stories: the role of graphic design and branding in the creation of ‘authenticity’ within food packaging’, International Journal of Food Design, 2(2), pp. 183-202.
Garczarek-Bąk, U. (2016) ‘Marketing communication instruments used by the retail chain on the Internet’, Marketing i Zarządzanie, 46(5), pp. 143-154.
Hökelekli, G., Lamey, L. and Verboven, F. (2017) ‘The battle of traditional retailers versus discounters: the role of PL tiers’, Journal of Retailing and Consumer Services, 39, pp. 11-22.
Jones, P. and Comfort, D. (2019) ‘Stories and retailer brands: a study of the UK’s leading retailers’, Indonesian Journal of Contemporary Management Research, 1(2), pp. 1-15.
Moravcikova, D. and Kliestikova, J. (2017) ‘Brand building with using phygital marketing communication’, Journal of Economics, Business and Management, 5(3), pp. 148-153.
Morgan, E., Tallontire, A. and Foxon, T. J. (2017) ‘Large UK retailers’ initiatives to reduce consumers’ emissions: a systematic assessment’, Journal of Cleaner Production, 140, pp. 227-238.
Shin, S., Kim, H. and Kim, W. (2020) ‘Transnational corporations’ localization strategies via retail attributes: focus on Chinese market’, Journal of Retailing and Consumer Services, 55, p. 102088.
Štrach, P. (2018) ‘Emerging trends in marketing communications: personalization and eventization’, Marketing Identity, 6(1/1), pp. 160-167.
Taiminen, H. (2016) ‘One gets what one orders: utilisation of digital marketing tools’, The Marketing Review, 16(4), pp. 389-404.