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UNIT 2: MARKETING PROCESSES AND PLANNING

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Table of contents

Part 1: Video and Transcript............................................................................................................4

Introduction..................................................................................................................................4

“Concept and role of marketing in 21st century”........................................................................4

“Roles and responsibilities in marketing”....................................................................................4

“Competencies required succeeding in marketing”.....................................................................5

“Analysing how the marketing function works”..........................................................................5

“Interaction of marketing functions with other departments in the supermarket”.......................6

“Determining how marketing function supports the wider organisational context in terms of
vision, mission and purpose”.......................................................................................................6

“Providing critical reflection on, and insight into, the internal and external factors that
influence the role (SWOT and PEST)”........................................................................................7

“Conclusion”................................................................................................................................8

Part 2: Process benchmarking analysis............................................................................................9

Introduction..................................................................................................................................9

“Benchmarking analysis”.............................................................................................................9

“Critically evaluating marketing mix strategies across different non-food businesses”............10

“Conclusion and recommendation”...........................................................................................16

Part 3: Marketing plan...................................................................................................................17

“Marketing objectives with implementation of SMART tool”..................................................18

“Marketing research to support the new product line launch with situational analysis”...........19

PESTLE Analysis......................................................................................................................20

5C analysis.................................................................................................................................21

A competitor analysis.................................................................................................................22

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“Market segmentation and sub-segmentation using STP”.........................................................23

Reference list.................................................................................................................................26

Appendices....................................................................................................................................31

Appendix 1: Marketing Budget for Morrison's New Product Line- FY 2022...........................31

Appendix 2: Actual spend vs Budget.........................................................................................32

Appendix 3: Budget Category Breakdown................................................................................33

Appendix 4: Media plan.............................................................................................................35

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Part 1: Video and Transcript 
Introduction 
 Entire globe is currently largely involved with increasing globalisation, and marketing is
one of the core phenomena of globalisation. 
 Marketing is an activity, set of instructions, and process of creating, communicating,
delivering and exchanging products and services (Deepak and Jeyakumar, 2019). 
 On behalf of Wm Morrison Supermarkets plc, with the perspective of Junior
Marketing Analyst, this report is involved with the determination of different internal
and external factors, which are actively influencing the marketing processes (Appel et al.
2020). 
Different external and internal factors and their influences on the marketing functions are also
aiming to be argued in this research paper. 
“Concept and role of marketing in 21st century” 
 Marketing in the 21st century is essentially involved with the combination of both types
of marketing, traditional and digital channels of marketing (Jain and Yadav, 2017). 
 Marketing process of the 21st century is all about delivering effective customer
experiences, along with focusing on discretionary income, less time and more choices
(Jobber and Ellis-Chadwick, 2019). 
 Today’s marketings are focused on mass marketing to create awareness among the target
market of the company and influence potential customers to sustain their purchasing
decision (Shulus et al. 2019). 
Learning and comprehending customers’ needs and demands is the essential trend of current
marketing concepts in the 21st century. Businesses are concerned with the creation of effective
products, which can create profit along with sustaining the company’s competitive advantages. 
“Roles and responsibilities in marketing”
 The main role revolves around providing effective goods and services, by analysing
customers’ demand and market trends (Bourn, 2018).
 Unique service and product creation, along with creating customer awareness is also
another responsibility. 
 Being adaptive and making the organisation the same for coping up in a rapidly changing
market by accepting challenges (van Laar et al. 2020). 

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Above-mentioned factors are the main roles and responsibilities of a market analyst or any
individual who is associated with marketing activities of the 21st century. 
 Main responsibility of a market analyst or marketing manager is tracking advertising
scenarios, as in the 21st century's marketing activities are essentially involved with Social
Media Marketing (Cluley et al. 2020). 
 Doing research on consumer behaviour and exploring the market need and opportunity is
also the responsibility of Marketing Managers. 
 Creating customer persona and competitor matrix making is also essential responsibility
(Shulus et al. 2019). 
However, the integration of effective marketing strategies as per the changing demands of
marketing is also another role of a marketer. 
“Competencies required succeeding in marketing” 
Main competencies, which are required for being successful in current market scenario of UK,
are illustrated in the below section, 
 Customer knowledge
 Knowledge about Digital trends 
 Search engine optimization (SEO) 
 Social media marketing management skills (Sadeghi and Fekjær, 2019)
The above-discussed competencies act as a catalyst in reinforcing the success potentiality of a
marketing process in a competitive market. 
“Analysing how the marketing function works”
 In marketing, there are multiple functions, which are “premium pricing, promotional
pricing and product-bundle pricing.”
 The marketing function is effectively operated with the help of the price comparison
tool, in Morrison. 
 As per the view of Nyblom (2021), the marketing function can be deemed as an essential
part of marketing, and it is a channel to reach organisational goals. 
Marketing functions are usually interconnected with different departmental organisation
processes of Morrison. Morrison’s main goal is to be more competitive, in terms of helping
customers by delivering effective services as per their desires. Hence, to meet this objective,
marketing functions play a sustainable role. 

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“Interaction of marketing functions with other departments in the supermarket”
In the supermarket (Morrison), the departments are essentially involved with three segments,
which are Finance, HRM, and Sales department. Marketing functions and departments in the
supermarket are correspondingly interconnected with each other, which are illustrated in the
above section, 
Marketing function with finance
 Here the function is effectively focused on marketing needs to understand the
finance mindset, along with shedding spotlight on risk-averse attributes
(Terblanche, 2018). 
 In the finance department market function works by giving special emphasis on
the improvement of the rate of product adoption and lower acquisition costs
Marketing function with HRM
 HRM and marketing finance share the same organisational objectives (Groucutt
and Hopkins, 2015)
 Marketing function is accountable for communicating its customers, and HRM
focuses on the same by managing employees’ work as per feedbacks (Olson et al.
2018)
Marketing function with the Sales department
 Marketing function and Sales department are closely similar and work as per
same organisational objective. 
 Marketing’s main perspective is to attract customers, whereas the sales
department works on selling processes (Schulte-Oversohl, 2019). 
“Determining how marketing function supports the wider organisational context in terms
of vision, mission and purpose”
 As per the view of Elsbach and Stigliani (2018), the marketing function identifies
marketing objectives and explains how marketing activities can aid in sustaining the
marker objective, mission, and vision. 
 For example, Tesco’s marketing functions are essentially formed and moduled on the
basis of its core objective to give quality goods at affordable prices for being the leading
supermarket in the UK. 

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Similarly, while considering Morrison, the entire marketing function is based on the mission of
Morrison to deliver effective customer service and retain customers to sustain competitive
advantages. 
“Providing critical reflection on, and insight into, the internal and external factors that
influence the role (SWOT and PEST)”
Internal factors

Strengths  Weaknesses 

 High traffic for sustainable SEO   Lack of contract management tool (issue
 Healthy financial position  to manage contract basis phenomena)
 High brand image and ownership of  No internal competition law
supply chain  experiences 

Opportunity  Threats 

 Store and outlet expansion is  Rapid changing customers’ demand and


potential  economic uncertainty 
 Increasing preference of customers’  High rate competition in the market with
and online shopping trends  the same trendy products

Table 1: SWOT
(Source: Morrison, 2021) 
Based on the internal analysis, it can be stated that the rapidly changing needs of customers are
impacting the role of marketing analysts. However, for the increasing potentiality of store
expansion, the responsibility as marketing analyst also will be increased and critical. Due to a
lack of contract management tools, as a marketing analyst, I am facing issues in tracking the
contracts of the company; hence, also I am getting unable to deliver relevant information and
updates about marketing functions. 
External factors 

Political   Brexit has created uncertainty in inventory and supply chain


management for the supermarket industry of the UK. 
 The UK is leaving the EU trade Union, which will reduce the scope of

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getting profitability and marketing scope in the coming future (The
Guardian, 2021). 

Economical   Inflation rate of UK is 0.85% (2020) which has increased from 1.79%
(2019), and it is sustainable for economic sustainability (ONS, 2021)
 Trade tax rate is 18% which is high and has a negative impact on the
profit section of the company 

Social   People are highly influenced by the online marketing shopping 


 High living standard of people is also a major factor which is helping
supermarket stores to get profit 

Technological   E-commerce integration is a technological trend in UK’s supermarket


industry 
 AI and IoT also are major technological part of marketing activities,
which is helping to meet customers’ demand as per the market trend. 

Table 2: PESTLE
(Source: ONS, 2021)
Based on the external factor, it can be stated, that the increasing need for technology up-
gradation has become an influential factor, which is leading me to be more adaptive. The social
trend is also rapidly changing, and as a market analyst, I have been more responsible for tracking
the changes and customers’ needs. 
“Conclusion” 
 Based on the analysis, it has been identified, that Marketing activities are changing with
the rapidly changing needs and customers’ demands
 In order to get sustainable success in the marketing process, every entrepreneur is liable
for following marketing trends. 
The relation between the marketing function and different organisation departments also has
been effectively illustrated in this report. Different analytical tools, such as, PESTLE and SWOT
has been implemented for determining the external and internal influential factors.

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Part 2: Process benchmarking analysis
Introduction
Morrison is one of the huge supermarket consumer retail industries in the United Kingdom,
having more than 500 stores in the UK. Tesco, Sainsbury's, ALDI are the potential competitors
of Morrison. The customers are paying approximately £22.64 for the groceries in ALDI, £159.54
for Sainsbury, £166.88 for Tesco, and £163.96 for Morrisons (Daily Record, 2021). This report
is conducted with the aim of launching a new food product in Morrisons's product line by
performing two effective business tools- benchmarking analysis and 7Ps.

“Benchmarking analysis”
Morrison should conduct benchmarking analysis to understand market conditions, trends, and
customers' choices, which allows the company to evaluate its previous market performance while
comparing with major competitors and implement appropriate strategies to attain competitive
advantages. Benchmarking analysis is a useful market research tool and is divided into mainly
three types (process, performance, and strategic). Generally, benchmarking analysis includes
four steps- planning, analysis, action, and review. The initial step Planning identifies the
information that is essential to evaluate the company’s condition. Planning also identifies the
major activity performance indicators along with the appropriate reference models to continue
the study (Service, 2021). The analysis is the second step that allows the organization to identify
its scope for improvement. This step also makes a comparison between the existing processes
and the reference models to analyze the difference of innovative strategies. This one is a very
important step as in this stage; the organization identifies its market opportunities and invests
accordingly. Action denotes creating an innovation strategy to execute modifications and
changes. Implementing innovative strategies and evaluating new performance is necessary. The
review allows the organization to review performance, understand whether a modification is
needed, and rectify bottlenecks.

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KPIs Strategy Time frame

Hygiene factor ● Implement HACCP Approximately 1 year


system
● Pest control
● Maintain temperature
and pH

Quality analysis ● Sensory attributes Approximately 10 to 12


● Physical properties months
● Chemical composition

Mass production ● Implement product Approximately 7 to 8 months


development strategy.
● Understand
customers’ food
patterns and choices.

Low pricing ● Implement a product Approximately 9 top 10


pricing strategy. months
● Understand
customers’ financial
condition

Table: Benchmarking analysis

(Source: Self-created)

“Critically evaluating marketing mix strategies across different non-food businesses”


This marketing mix is conducted between the best-selling non-food product of Morrison and a
newly developed luxurious food product. Morrisons's well-accepted clothing brand is Nutmeg.
This brand contains stylish luxurious clothes for women, children, and babies. Mostly the women
are the potential customers of this particular brand. Therefore, the company will apply the new
strategy by introducing Belgium Chocolate Bar to offer its female customers a new taste of
shopping.

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Components of 7Ps Existing products of New product (Belgium
marketing mix Morrisons (Nutmeg) chocolate bar)

Product ● Nutmeg is one of the ● Morrisons' food line


popular and luxurious contains a wide
brands for containing variety of popular
stylish clothing chocolate brands like
(Nutmeg Morrisons, Cadbury, Morrisons,
2021). Galaxy, Wrigley's
● Most of the women Extra, Swizzels,
are regular users of Nestle, Ferrero,
this brand as the Wrigleys, and many
clothing range more (Morrisons,
contains casual wear, 2021).
office wear, lingerie, ● Introducing Belgium
and night suits. Chocolate Bar may
● Product quality and attract more female
packaging are customers as dark
attractive. chocolate has several
health benefits.
● Introduce a variety of
flavors to make a
better understanding
of its female'
customers' choices.
● The company can use
eye-catchy colors and
packaging to make the
new product more
appealing to its
targeted audience.
● Personal
manufacturing
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Table: 7ps of Marketing Mix

(Source: Self-created)

“Conclusion and recommendation”


This chapter evaluates the benchmarking process that helps to understand the market position of
the company along with the competitor’s performance. Launching a new food product (Belgium
Chocolate Bar) will definitely attract more female customers as dark chocolate is globally known
for its taste and advantageous factors. Benchmarking analysis allows Morrisons to find the
market opportunities and create appropriate strategies that help to enhance its market
profitability.

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Part 3: Marketing plan
Introduction 
Marketing plan is widely considered as a sustainable strategy, which makes it easy for marketers
to get success in the market, by determining the potential market scenario and circumstances. In
the context of the “Luxurious” range of own-brand food products; this report is essentially
involved with the analysis of the current UK’s food marketing scenario, for Morrison’s new
product. Here different market tools, such as SWOT, PESTLE analytical tool, STP, and many
more are going to be implemented. Morrison is the second largest retail company of the UK, and
currently aiming to be indulged in the Product development (as per Ansoff matrix grid) related
activity by introducing Belgian chocolate in the existing market of the UK. In this regard, a
strategic marketing plan is aiming to be developed in this research report. 
“Analysing how strategic marketing plan links with the overall organisational vision,
mission, corporate strategy, and objectives”
Organisations’ mission 
Main objective of Morrison is “to utilise the company's experience and design innovation to
provide flexible and responsive solutions to the packaging industry along with meeting the
customers’ expectation (Morrison-chs, 2021).” 
Vision 
Main vision of Morrison is “to be recognized as the superior provider and clear choice partner
for container handling needs” (Morrisons-corpora, 2021a).  
Objectives 
Main organisation objectives are as follows, 
 To give an easy shopping experience to its customers by delivering products at
reasonable prices
 To provide good quality groceries with wide product choices
 To produce products in a sustainable and eco friendly way, which can aid in sustaining
the reduction of pollution (Morrisons-corpora, 2021a)
Corporate strategy
The core of Morrison’s corporate strategy is effectively based on a few concerns, i.e. “to be
more creative”, “Local integration and serving the community”, and “Creating and scaling

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for profitable growth” (Morrisons-corpora, 2021b). Hence, Morrison is giving special emphasis
on the 
Based on analysis of a company's determined objective, mission, vision and corporate strategy, it
can be stated that the strategic marketing plan for a new product will be effective in delivering
potential success to the organisation. However, this strategic marketing also will help the
company to proceed in a tactical manner, along with managing the success rate in the market. As
per the view of Globocnik et al. (2017), strategic planning helps an organisation to position itself
in a higher position than its market competitors, and also helps by leading the company
according to its determined goals and objectives.  Hence, in the case of Morrisons' Luxurious”
range of own-brand food products, will be sustained. 
“Marketing objectives with implementation of SMART tool”
In term of introducing the new diversified product in the market, the potential objectives of
Morrisons are illustrated in the below section, 
 To increase the brands’ sustainability along with generating effective profit margin 
 To get utmost product preference from its customer, by meeting the quality and
affordability needs
These objectives are going to be evaluated in the section below by implementing the SMART
tool.

Specific  All of these three objectives are specific with the company’s mission and vision,
as these will be effective in delivering a wide customer base, as the company will
penetrate the market with the product development attribute (as per the theoretical
perspective of Ansoff matrix). 

Measurable  Tracking the profit margin, customers’ feedback analysis and number of new
product selling will help Morrison to measure the fulfilment of these objectives. 

Attainable  Creating a positioning map and analysing the competitors’ unique selling point
can help to determine exactly in which way the product should be launched in the
market. 

Relevant  All of these objectives are relevant in delivering competitive advantage to the
company. Meeting the demand and market trend will help the company to get the

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optimal competitive advantage in the market. 

Time 6 months 
bound 

Table 5: SMART Objectives


(Source: Morrison, 2021)
“Marketing research to support the new product line launch with situational analysis”
While introducing a new product in a market it is needed for an organisation to ge an effective
insight about the external and internal phenomena, and different marketing tool are going to be
analysed in the blow section,
 Marketing audit using SWOT 

Strengths  Weaknesses 

 Good quality products and price  Very limited geographical reach


friendly   High attention in workforce rather 
 Sells food items by doing double than external challenges 
checking process, with effective food  Fails to forecast the future product
specialist’s execution  demand 
 High brand value and competitive
advantage 

Opportunities  Threats 

 Increasing concerns of people and  Increasing trend toward isolationism


government in sustainable product in the American economy can
launching  negatively impact the international
 Integration of new technologies, selling option
providing an opportunity to Morrison to  Issue with the supply chain process
practice differentiated pricing strategy in due to lack of regularity among
the new market.   innovation. 

Table 6: SMART Objective

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(Source: Morrison, 2021)
PESTLE Analysis 

Political   The UK tends to eliminate itself from the EU free trading Union,
which can create an issue for the company to get internationalised in
the foreign countries. 
 Brexit also has created uncertainty in the supply chain management of
the company, and the inventory management can be impacted due to
this issue (The Guardian, 2021). 

Economic   Inflation rate in the UK is 0.84% which has been decreased in respect
to the inflation rate of 2019, and it can have a positive impact on
boosting customers' purchasing behaviour.
 UK unemployment rate is 3.9%, which can create negative impact in
term of influencing the affordability, on the other hand, it also can be
beneficial for the local economy sustainability (ONS, 2021)

Social   4.9 million people in the UK have diabetes and more than 13.6 million
people are also associated with the health risk for diabetes 2 (Diabetes,
2021)
 Hence, the product preference of Belgian chocolate can be increased
 People are increasingly involved with social media marketing, hence
Morrison’s product advertisement can be effective in terms of
generating high customers’ preference. 

Technological   E-commerce has become an integral component for sustaining


business financial transitions. 
 AI and IoT is one of the major components of marketing, which will
also help Morrison to upgrade its success potentials. 

Legal   Employability Act 2016 is one of the crucial components of business,


which is also followed by organisations. 

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 UK Waste Law Policies will be taken into consideration while
integrating new products in the market (Environment Law, 2021). 

Environmental   UK generated 222.2 million tonnes of waste, which and in this respect
Morrison will enhance its sustainable packaging system for supporting
environmental factors. 

Table 6: PESTLE analysis


(Source: GOV, 2021)
5C analysis 
5C framework is generally used for determination of situation analysis, which are associated
with following factors, 
Company 
Main product will be Belgian chocolate, and the main factor for producing competitive
advantage will be its sustainable products and packaging (Briscoe et al. 2018). Main goal of
these products is to sustain the competitive advantage of Morrison in terms of integrating product
innovation, according to the market trend. 
Customers
Main targeted people will be 10 to 40 years old people, who are fascinated about chocolate
eating, and looking for low sugar chocolate, with sustainable packaging at affordable prices. 
Competitor 
Main competitors of Morrison in the UK will be Cadbury Dairy Milk, Kinder, Galaxy, Cadbury
Twirl and many more. However, Morrison’s Belgian chocolate is still effective enough for
managing the competitive advantage, as the products will be manufactured with the basis of low
sugar resistance. 
Collaboration 
Main suppliers of the product material will be the local suppliers, and large manufacturing
companies, will be suppliers of Morrison’s chocolates (who have British Retail Consortium
(BRC) certificates) (Sarunds, 2021).
Climate 
Social and behavioural trends will be critically followed for producing the chocolates in the
market. 

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A competitor analysis
As per the market research, the main competitor of Morrison will be Callebaut, and Neuhaus.
Apart from that, the other competitors will be Cadbury Dairy Milk, Kinder, Galaxy, and
Cadbury Twirl. Hence, it can be stated that the company will be facing moderate level of
competition in the market. A positioning map is illustrated in the below section, 

High quality

Callebaut

Neuhaus
Morrison

Low price High price

Cadbury Dairy Milk


Kinder

Cadbury Twirl

Low quality

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“Market segmentation and sub-segmentation using STP”

Segmentation  Mainly segmented people are aged between 10 to 40, irrespectively gender, and
urbanized people who are concerned about the healthy factors. 

Targeting  Urbanised people, who are looking for low sugar chocolate with high quality
and taste, at an affordable rate are the main targeted people. However, people
who are looking for Belgian chocolate in grocery stores are mainly targeted. 

Positioning  In order to position the product, effective penetration pricing strategy and
communication matrix will be implemented by Morrison. 

Table 7: STP
(Source: Self developed)
 “Articulation of the new product value-proposition in the eyes of the customer”

Customer Gains  Product features 


profile   Low sugar product 
 Affordable  Main products features will be 
 Prime quality of product   High secured product
 Sustainable product   packaging 
 Every ingredient will be
Pain 
imprinted on its packaging 
 Low reliability due to not
having enough review 

Pain reliever 
 Easy availability in grocery
shops

Table 8: value-proposition in the eyes of the customer


(Source: Self developed)
“Development of marketing strategies applied to the extended marketing mix”
4Ps of marketing strategy is going to be implemented in this section, 

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Product: The product will consist of High cocoa content, stuffed with Pure cocoa butter, and
coated with melted chocolate and nuts, with low sugar level. 
Price: Penetration pricing strategy will be applied which will enable the company to produce
effective and affordable products. 
People: The food nutrition experts will be the main people of this product for ensuring the
product stocking. 
Place: the products will be available on the grocery shops of Morrison. 
“Setting of an overall marketing budget, including allocation of planned spend”
[Referred to appendix 1]
“Metrics to measure success” 
In order to measure the success two different tactics will be implemented which are,
  “Return on Marketing Investment (ROMI)” 
It will help to measure the success potentiality, by tracking the projected marketing productivity
(Rheeder, 2020). It also will help to measure the limited marketing funds, hence the
opportunities will be effectively measured. 
 “Customer Lifetime Value (CLV)”
It will help Morrison to save money, and to make better decisions, along with gaining more sales
rate. Hence it can be stated that the ROMI and CLV will be helping the company to measure
success (Dachyar et al. 2019). 
“A comprehensive media plan that supports the planned marketing campaign”
The selected integrated multimedia activity will be involved with effective Social media
marketing plan and hoarding as well. SEO is recommended to Morrison to use for sustaining the
social media marketing practises, where the company will be highlighting the new product
features, discounts and many more (Spivakovskyy et al. 2022). It also has been identified that the
offline marketing media process will be leaflets, hoardings and many more, which help the
company to gain effective customers’ awareness rates. Apart from this, the integration of Pop up
notification, mail, push up notifications and many more. Hence, it can be stated that the offline
and online both processes will be integrated in the marketing processes which can help to
manage the customer awareness. The communication processes will be effective in managing the
success rate of the company in terms of gaining customers’ feedback against the newly launched
products, hence, the marketing objective will be sustained to a great extent. 

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[Referrer to appendix 4]
Conclusion 
Based on the analysis it has been identified that Morrison has a sustainable potential to get
success in the UK market of UK, as there is not much availability of Belgian chocolate
companies, who deliver such affordable and high quality products. However, the competition
analysis also has emphasised that in terms of product price and quality the company’s new
product will be segmented at a higher position. The forecasted budget analysis also has been
done in this research paper. The potential internal and external factors, which can influence the
success potential of the company also has been highlighted in this research paper.

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Part 2

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26
Appendices
Appendix 1: Marketing Budget for Morrison's New Product Line- FY 2022

(Source: Self-created)

27
Appendix 2: Actual spend vs Budget

(Source: Self-created)

28
Appendix 3: Budget Category Breakdown

(Source: Self-created)

29
30
Appendix 4: Media plan

(Source: Self-created)

31

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