top of page

TESCO

DIGITAL MARKETING PLAN

EXECUTIVE SUMMARY

Tesco aims to boost online sales and customer loyalty by improving its online presence and understanding customers better. They plan to achieve this by using data to target customers, enhancing their mobile app, and increasing social media engagement. The goal is to create a more personalized shopping experience and strengthen the Tesco brand.

SITUATIONAL ANALYSIS

IDENTIFICATION OF THE GAP

Tesco needs to revamp its online strategy. Despite being an e-commerce leader, Tesco can still improve its customer engagement and sales through better use of digital tools and trends.

DIGITAL MARKETING ENVIRONMENTAL ANALYSIS

TESCO SWOT ANALYSIS

STRENGTHS

Established brand, diverse product offerings, extensive customer database.

WEEKNESS

Potential gaps in social media engagement, limited visibility on emerging platforms, and opportunities for enhanced personalization.

OPPORTUNITIES

Growing e-commerce trends, integration of AI for personalized recommendations, and expansion into new digital channels.

THREATS

Intense competition from online retailers, rapid changes in consumer behavior, and potential cybersecurity risks.

COMPETITOR ANALYSIS

MAIN COMPETITORS

Iceland, Ocado, Sainsbury's, Asda, Waitrose

KEY AREAS OF COMPETITION

Online shopping, grocery delivery, product range (including clothing and general merchandise)

TESCO'S ADVANTAGE

Strong physical store presence and customer loyalty programs.

COMPETITIVE ANALYSIS

 

• Tesco has a well-established offline presence, as well as strong customer loyalty programmes.

• Possibility to stand out through innovative digital marketing.

DIGITAL CUSTOMER ANALYSIS

  • Diverse customer base: Tesco has customers across different age groups with varying digital preferences.

  • Customer behaviors: Increasing reliance on online shopping, preference for convenience, and personalized experiences.

  • Customer expectations: Seamless online and offline integration, personalized promotions, and responsive customer support.

RECOMMENDATION

  • Address digital gaps: Improve website, increase social media engagement, and use new technologies.

  • Adapt to digital trends: Utilize AR, voice search, and sustainability in marketing.

  • Compete effectively: Use competitor analysis to create unique content and campaigns.

  • Focus on customers: Create personalized campaigns based on customer data and improve user experience.

DIGITAL MARKETING STRATEGY

OBJECTIVE SETTING - 

Tesco's digital marketing plan aims to boost online sales, enhance brand visibility, increase customer engagement, and improve overall customer experience.

The plan outlines specific objectives with clear timelines and measurable metrics.

KEY STRATEGIES INCLUDE - 

Driving sales:

Increase online revenue, conversion rates, and average order value.

Building brand awareness:

Improve brand visibility across digital platforms.

Engaging customers: Increase customer engagement through interactive content.

Optimizing website performance:

Increase website traffic and improve user experience.

Personalizing customer experience:

Deliver tailored recommendations and enhance satisfaction.

Mobile app growth:

Increase app downloads and active users.

Customer retention:

Improve customer retention through targeted campaigns.

Continuous improvement:

Regularly analyze performance and adapt strategies based on data.

By focusing on these areas, Tesco aims to create a strong online presence and build a loyal customer base.

IDENTIFY APPROPRIATE

DIGITAL MARKETING COMMUNICATION MIX

Tesco plans to use a variety of digital channels to achieve its marketing goals.

 

Key tactics include:

​

  • Social media: Engaging content, targeted ads, and customer interactions.

  • Email marketing: Personalized campaigns, automated workflows, and customer segmentation.

  • Search engine advertising: Keyword optimization, compelling ad copy, and Google Ads.

  • Mobile app promotion: In-app offers, notifications, and exclusive deals.

  • Content marketing: Informative content, blog posts, and social media sharing.

  • Influencer partnerships: Collaborations for brand exposure.

  • Strategic partnerships: Joint marketing campaigns with other brands.

  • Website and app enhancements: Improved user experience, personalization, and features.

  • Customer feedback: Surveys, reviews, and social listening.

  • Seasonal campaigns: Time-bound promotions and offers.

 

By combining these elements, Tesco aims to increase sales, build brand awareness, enhance customer engagement, and improve overall customer satisfaction.

TESCO.webp
Image by Shashank Verma

TESCO'S STRATEGIES TO IMPROVE CUSTOMER LIFETIME VALUE (CLV)

Tesco aims to increase customer loyalty and spending through several digital initiatives:

  • Personalized experiences: Tailored recommendations, offers, and content to enhance customer satisfaction and engagement.

  • Customer engagement: Loyalty programs, gamification, and community building to foster long-term relationships.

  • Improved customer service: Responsive support channels to resolve issues promptly and build trust.

  • Data-driven approach: Predictive analytics, dynamic pricing, and performance measurement to optimize customer interactions.

  • Enhanced digital experience: User-friendly platforms, AR integration, and voice search to improve customer satisfaction.

By implementing these strategies, Tesco expects to increase customer loyalty, encourage repeat purchases, and ultimately boost overall customer lifetime value.

METRICS
FOR MEASUREMENT

  • Purchase Frequency: How often customers buy.

  • Conversion Rate: How many website visitors become customers.

  • ROI: Profit generated from marketing efforts.

  • Customer Lifetime Value (CLV): Total profit from a single customer.

  • Social Media Engagement: How customers interact with a brand on social platforms.

ACTION PLAN/IMPLEMENTATION

OBJECTIVE

To test and refine digital marketing strategies before full-scale launch to maximize customer engagement and online sales. This approach allows for flexibility and adaptation based on real-time data.

PRE-TESTING BUDGET SUMMARY

​

Tesco is allocating a total of £200,000 for pre-testing its digital marketing strategies.

Key areas of focus:

  • Website and mobile app optimization: Testing layout, navigation, and calls-to-action.

  • Digital advertising: Evaluating social media ads and email campaigns.

  • Landing page effectiveness: Testing different layouts and calls-to-action.

  • Customer feedback: Gathering insights through surveys and reviews.

  • Digital tool performance: Assessing the effectiveness of current platforms.

  • Competitor analysis: Identifying opportunities for differentiation.

​​

These investments will help Tesco refine its digital marketing approach before full-scale implementation.

IMPLEMENTATION

  • Communication Plan: Tesco will create a plan to inform stakeholders about the progress and results of the pre-testing phase.

 

  • Pilot Evaluation: Small-scale tests of upcoming digital campaigns will be conducted to gather initial feedback and identify potential challenges.

IMPLEMENT DIGITAL MARKETING STRATEGIES & IMPROVE CUSTOMER EXPERIENCE

  • Website Strategy

  • Tesco's Social Media Engagement

  • Paid Advertising

  • Email Marketing

​

(To read and understand in detail, please check the attached pdf)

MONITOR PERFORMANCE

Budget - £60,000

KPI - Web Analytics Tools

  • Subscriptions to advanced web analytics tools to track website traffic, bounce rates, and conversion rates.

Budget - £40,000

KPI - Social Media Monitoring and Analytics Tools

  • To track follower growth, engagement rates, and reach.

Budget - £30,000

KPI - Email Marketing Analytics Software

  • Investment for in-depth analysis of open rates, click-through rates, and conversion rates.

Budget - £40,000

KPI - Paid Advertising Analytics Platforms

  • Employing advanced analytics platforms to track impressions, click-through rates, and return on ad spends (ROAS) for paid advertising campaigns.

Budget - £30,000

KPI - Regular Analysis and Reporting Tools

  • Investing in tools for conducting weekly and monthly reviews of performance metrics, generating reports, and facilitating data driven decision-making.

Budget - £20,000

KPI - Customer Feedback Collection Tools

  • Utilizing tools and platforms for collecting customer feedback through surveys and social media, including incentives for participation.

Budget - £30,000

KPI - Continuous Improvement Software

  • Investing in software that facilitates ongoing optimization based on performance data and customer feedback.

bottom of page