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Marketing principles are agreed upon on the marketing ideas which the company uses for effective marketing strategies. They are the principles upon which the company generally builds the product promotion strategies. The marketing principle is the essential element for the company to promote goods and services. The current study focuses on the marketing principles and its analysis of the ASDA Company.

Part A

ASDA: an overview of the organisation

ASDA is one of the renowned retail organisations in the United Kingdom. The organisation is involved with selling numerous household items from vegetables to fruits that focus on meeting the daily requirements of the consumer. The corporate mission of ASDA is to become one of the leading retail organisations in the UK by adding value to the lives of the consumer while exceeding their expectation through the provision of qualitative services.

ASDA is currently operating under Roger Burnley, and its main organisation by users is to make services and products available to the consumers. Financial report of ASDA highlight that the sales growth of the organisation has been reported to be nearly 7.8% in December 2020. As stated by Kalwar et al. (2022), the organisation is involved with selling grocery items, clothes, home supplies and garden furniture. As stated by Kalwar et al. (2022). The organisational strategy of ASDA focuses on implementing innovative strategies to reach out to a broad range of consumers while serving the consumers in a more effective way. ASDA prefers to undertake more sustainable choices by encouraging activities like elimination of the waste. ASDA has undertaken an initiative to reduce food wastage by nearly 20% in 2025. The brand value of ASDA highlights that the organisation is the second leading retail organisation in the UK, with a market share of nearly 16.9%. ASDA is dedicated to offering consumers `Everyday low price (EDLP)'' rather than the traditional pricing strategy provided by the grocery stores.

Marketing and Evidence of Marketing strategies in context to ASDA

Marketing is the activities of the company to promote buying or selling of the service and products. Marketing further includes selling, advertising and delivering the proceeds to the consumers and also to the other services.

Marketing is one of the key principles of the company to make the people aware of the company’s activities. It also refers to the fact that where are they going to offer to the customers. As stated by MOHSIN et al. (2021), the variation and diversity of the marketing activity are vast. It further encompasses company-initiated outreach and nearly all kinds of media. ASDA uses television, newspaper and other devices to communicate with customers. The company uses different strategies of sale promotion as well. For instance, buy one get one free, price reduction, and other various special offers. Sponsorship is another common way of the company in the context of marketing activities.

Part B

4P’s of marketing: ASDA

Marketing mix generally refers to the "Product, price, promotion, and place" of the company that helps them gain a competitive advantage. It is very important for the company to correctly evaluate the marketing mix and to apply it in a proper way to ensure an improved sales growth rate and sales volume generation (Rizqi et al. 2021). Kotler’s theory of marketing highlights that it is the vital task of an organisation to determine the requirements of the target consumers and achieve an outcome in a more effective manner for preserving the wellbeing of the consumers. 

Product Mix

The product mix of the company is very important to promote the brand value of the company as it highlights the diverse range of products that are sold by the company to meet the corporate values. ASDA sells various products like drinks, frozen foods, Food Cupboards, Chilled Food, Fresh Food and Bakery, health and beauty, outdoor, home and entertainment products keeping in mind the specific requirements of the consumers. The corporate mission emphasises fulfilling all the requirements of the consumers. Thus Product Mix has successfully contributed to enhancing the brand value of ASDA. 

Place mix

The product of ASDA is available in several places. ASDA provides both offline and online facilities to buy the product. ASDA is aiming towards the spreading of its stores all over the world. ASDA generally follows the special approach of "Simple and Fresh" to the store formats. ASDA is now trying to spread its all over range more than 20%. ASDA generally does not prefer to follow the special technique of "local store". Following this specific strategy, ASDA is planning to have over 500 food stores that are generally non-food stores in the upcoming five years. However, the organisation is facing limitations regarding the availability of the products in each corner of the country (Koesworodjati et al. 2022). There still exists a lack of organisational setting in some parts of the country where new stores need to be open.

Price Mix

Price mix majorly influenced the growth and service of the particular business. As stated by Nojavan et al. (2020), the price mix also determines the profitability, prosperity as well as brand value of a particular company. Therefore, the pricing strategy holds great importance in context to competitive benefit. Selecting a good market mix determines how the company is promoting its brand value. ASDA generally follows the lower pricing strategies. ASDA provides discounts on special occasions. ASDA has also adopted promotional pricing strategies. ASDA often faces some challenges in order to follow the low price strategy. As stated by Arthur et al. (2019), in the current competitive market, there are a lot of other companies that are selling the product at a lower price than ASDA (Al-Fadly, 2020). ASDA is facing difficulties in maintaining the quality of the product at a low price. Here comes the limitation of the company to some extent in providing the product at a low price and at a similar quality.

Promotional mix

The promotional mix is a major strategy to deliver the promotion message by the most preferred channels for each of the segments. The promotional mix given by the company further creates a path to communicate with the customers (Jobber and Fiona, 2019). Appropriate application of promotional mix helps in strengthening the trust of the organisation. In the context of ASDA, the organisation uses various eye-catching advertisements to attract customers. ASDA uses various social media platforms like Facebook and Youtube to promote the brand. ASDA realises the influence of the celebrity presence while marketing its products (Masterson et al. 2017). Thus it includes numerous famous personalities as its promotional strategies to help consumers better connect with their products. Challenges within the organisation act as a major hindrance that affects corporate progression in the current competitive business ambience (Brassington and Pettitt, 2006). The limited global presence of ASDA has been one of the major hindrances that have affected the organisation in rising corporate revenue generation. Furthermore, the dynamic market ambience poses a serious challenge for ASDA in the current business setting. 

Part C

Response of the ASDA towards change in market ambience and buyer’s behaviour

Changes within the market ambience affect the way in which a business conducts its operational activities. Market ambience highlights the significant changes within the political, social, environmental, and economic changes that affect the business progression at a large rate (Mahmoud et al. 2018). Business operational activities of ASDA have been largely influenced by the social and political ambience of the UK. The political stability index of the UK has been reported to be nearly 0.47 in 2020, while the corruption rate has been reported to be nearly 77 in 2001. As stated by MOHSIN et al. (2021), thus the stable political ambience within the UK has resulted in the conduction of business in a transparent way. A stable market ambience has further facilitated the market expansion of ASDA, thereby broadening its opportunities for accelerated growth and development. 

In context to the economic ambience, GDP and the inflation rate have been reported to be nearly 7.1% in 2021 and 0.85% in 2020, respectively, thereby greatly influencing the growth of the business.

In the context of ASDA, the company is using these opportunities for marketing its products, which would further contribute toward stimulating organisational progression in the current business settings. The pricing strategy of the products sold by ASDA is kept keeping in mind the organisational requirements and consumer demands. Social ambience further highlights that the individuals within the UK are more inclined to opt for products sold in retail stores for fulfilling their needs (Jasmani et al. 2020). ASDA has undertaken greater initiatives toward selling a diverse range of products to meet consumers' needs. According to the report, the UK government has invested 609 million U.S. dollars in technological purposes. Thus ASDA has further laid emphasises on the usage of advanced technology for serving its consumers (Kotler and Armstrong, 2020). Furthermore, ASDA has undertaken greater initiatives towards enhancing the quality of service provision through increased usage of technology.

Consumer buying behaviour of ASDA

Market segmentation


Demographic segmentation

ASDA generally focuses on the all age group of the people. Furthermore, the company focuses on individuals belonging to the middle class (Mahmoud et al. 2018).

Psychographic segmentation

ASDA also focuses on selling home appliances and products in order to satisfy the personality traits or the lifestyle of the consumers (Smilansky, 2018).

Behavioural segmentation

ASDA generally gives emphasis on fulfilling the needs of the consumers who prefer online shopping (Boroumandfar et al. 2021).

Geographic segmentation

ASDA generally sells its products throughout the UK and focuses on reaching out to a large number of consumers through online selling (Siripipatthanakul et al. 2021).


ASDA has targeted consumers belonging to different demographics and thus has focussed on keeping the pricing strategy of the products at a low range that can be easily availed by the local consumer that too at a reasonable rate (Dhiman et al. 2018).


The process that is provided by ASDA holds a unique place in the current competitive market. ASDA is considered to be a reasonable market destination for its consumers through selling a diverse range of products according to consumers' requirements (Azhar et al. 2019).

Table 1: STP model in context to ASDA

The STP model of ASDA focuses on reaching out to a large number of consumers belonging to diverse demographics from toddlers to old age people, irrespective of their gender. Furthermore, the organisation has relied upon discount pricing strategies for selling a diverse range of products while fulfilling consumer needs (Dibb et al. 2005). It is found that the young generation of the country is more focused on buying entertaining equipment, whereas middle-aged people are more likely to buy household materials. Consumers are the crucial stakeholder who is responsible for stimulating corporate productivity. In order to fulfil customer needs, ASDA is more inclined toward selling a diverse range of products that would meet consumer needs. Furthermore, lower pricing of the products serves to be beneficial in capturing the attention of the consumers (Nojava et al.2020). ASDA is focusing on the new opening of the stores in different parts of the country to ensure that its consumers can avail of the products at a reasonable rate without much hindrance. In the context of the promotional mix, ASDA is current;y relying upon increased usage of the social media platform for launching its new products, service and offerings, thereby emphasising the specific consumer requirements.


ASDA is facing different challenges in different aspects of the products, and the company needs to work on these specific matters. It is very important to locate the challenges of the company, which can create further obstacles to its growth and development of the company (Sudari et al. 2019). One of the major challenges that the organisation is facing is in maintaining the brand value by following the low price strategies (Janekova et al. 2018). The products that are given by the company sometimes face difficulties in maintaining their good qualities. Another major problem of the company is that it is not spread all over the world (Moore, 2009). It further indicates all the existing customers that are attracted by the product of the company do not have access because of the limited store of ASDA.

Increased competition and technological advancement can further intensify the challenges for the organisation. ASDA may face difficulties in maintaining a strong foothold in the current competitive market. There are various retailing companies that are emerging in this new era. ASDA may face strong competition from these companies in the near future.

  • ASDA should give more emphasis to social media marketing to enhance its reach. Increased usage of social media or organisation of social media campaigns can further stimulate ASDA's performance in reaching out to the target consumers. 1. As stated by Kalwar et al. (2022), the company should create more websites and eye-catching advertisements with elaborate descriptions of the product. Thus specific strategies can help the company to attract more customers to its product, and the costumes will also have the opportunities to know the details of the products and services given by the company.
  • Conduction of detailed market research can further help ASDA to predict the uncertainties and accordingly implement strategies for the fulfilment of organisational goals while meeting consumers' needs.


Marketing is one of the vital aspects that affect corporate productivity. In the context of ASDA, it is essential for the organisation to focus on utilising the corporate resource in a more effective way to gain a competitive advantage in the current business ambience. 



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