Market Plan
Company background
Company name: Walmart Inc.
Company vision: to make every day easy for families
Company mission: helping people across the world to live a better life and save money
Marketing objectives: improving product types, price and easy access to products by customers
1
Consumer behavior
Customer segments and target markets: The company’s target market is focused on the age group of 25 to 44. Majorly, customers within this age group make a big part Walmart customers.
In market segmentation, Walmart applies behavioral, demographic, geographic and psychographic segmentations.
The Company could in future look further into the behavioral segmentations to analyze and fully understand consumer behavior
2
Characteristics of target markets
Target markets are characterized by age, geographic location, lifestyle, usage, benefits and gender.
These factors influence pricing and service products. In most cases, these factors prove vital in Company decisions
The Company could consider with greater insight the characteristics of target markets in its marketing plan. Majorly, the findings showed that market characteristics are greatly defined by geographic location usage and lifestyle.
3
Company products and brands
The Company’s different aspect is on the pricing method.
It works on a basis of low product prices.
This helps in maintaining unbeatable product prices.
Generally, the brand positioning has been achieved in adopting low product prices strategy and maximizing on bulk sales
In order to meet the Company’s marketing objectives, the company could have maintained the low prices even when their competitors shoot product prices. This enhances affordability by customers and as a result the company realizes huge sales.
4
Consumer buying behavior model
The behavior model practiced is the economic model.
This model analyzes all the options concerning cost and value.
The following are involved:
Income effects
Substitution effects and
Price effects.
The Company could have used the price effect and income effect alternative since low prices attracts more customers.
5
Product mix
The product mix puts emphasis on 4Ps.
Product
Price
Place
Promotion
Walmart has variety of products in different categories sold at lower prices. The business puts into account the location positioning. The stores are positioned in strategic places.
Additionally, the Company carries out regular promotions across in the stores worldwide.
The Company could use place emphasis in developing a marketing plan since the research findings showed that business location greatly influences its performance.
6
Product lines
Walmart Company handles a variety of goods such as health goods, grocery, furniture, apparel, entertainment home appliances, etc.
The Company operates as a wholesale and retail business in various stores worldwide.
The Company could focus more on goods with higher daily demands such as groceries.
7
Service processes
The company service processes are made successful by the employees.
There is a strong employee customer relationship in the Company.
Some portion of the customers purchase goods online.
Walmart arrange for faster deliveries.
Most of the customers go through self service. They pick the goods and check them out.
In the findings, the Company could incorporate automated service providing machines such as robots and cranes for deliveries.
8
Physical evidence of service
Physical evidence lies in the layout and general Walmart design.
These are the welcome banners put at the hypermarket entrances.
Such evidences of service show concern and are friendly to customers.
The Company could have massively implored the use of physical evidence of service since such actions attract customers.
9
Service Scape
The service scape involves a service friendly environment.
These are majorly the non human features of the environment where service takes place.
This may be the automated credit readers, ATMs any other automated made systems.
Generally, the role of service scape is to enhance services. The Company could have implemented more automated machines to enhance faster service deliveries in order to meet their objectives.
10
Ambiance
Most of the Company’s stores have a cool and customer friendly environment.
In many stores, they put on some soft music to soothe customers as they shop around.
The friendly and well arranged environment is appealing to customers.
Being a global Company, not all the stores maintain this friendly ambiance. Therefore, the Company could have embraced this in all its stores.
11
Role of Company employees in service delivery
The employees minister to customer needs.
Provide necessary information concerning enquiries.
Arrange deliveries.
Track deliveries.
Help in packaging services.
In the research findings, the Company could train employees on better service delivery skills in order to retain customers.
12
Pricing objective
Walmart pricing objective is to make its products affordable to its customers at lower prices.
The Company works on a basis of EDLP (Every day low prices).
Instead the Company maximizes sales.
Profit or sales oriented
Walmart pricing Objective is sales oriented.
The Company values low product costs.
The Company does not overprice.
The pricing strategy could be used in times of short term demands to maximize sales.
14
Current Company’s pricing strategy
The Company employs competitive pricing strategy.
This strategy is achieved through lowering the product prices more than other Companies.
It is the pricing strategy that determines the marketing decisions. Therefore, the company could consider analyzing deeper and understanding the price strategies.
15
Price tactics during short term demand
In most cases, Walmart use the low product price method in short term demand.
The strategy enhances bulk sales.
Walmart offer product and delivery discounts during short term demands.
These are generally for brand building.
During short term demand, the Company could have significantly reduced product prices to maximize sales.
16
Research Sources
Walmart website: Walmart.com
Saxena, R. P., & Sharma, A. (2011). Everyday low price–a blessing in disguise for Walmart during recession. International Journal of Business and Globalisation, 7(4), 409-433.
Pioch, E., Gerhard, U., Fernie, J., & Arnold, S. J. (2009). Consumer acceptance and market success: Wal‐Mart in the UK and Germany. International Journal of Retail & Distribution Management
Walton, S., Penner, G., & McMillon, D. Walmart Inc.
Gillem, M. (2018, April). The Rule of Logistics: Walmart and the Architecture of Fulfillment. In Buildings & Landscapes: Journal of the Vernacular Architecture Forum (Vol. 25, No. 1, pp. 112-114). University of Minnesota Press.
Hoffman, K. D., & Bateson, J. E. (2016). Services marketing: concepts, strategies, & cases. Cengage learning.
Schepers, B., & Koster, S. (2021). Walmart, Always Low Prices? (Doctoral dissertation).