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Your Last Name 1 SAINSBURY’S COMPETITIVE ADVANTAGE Name of Student Course Name of Professor University Date

Your Last Name 2 Table of Contents Sainsbury’s Competitive Advantage ............................................................................................ 3 Analysis of Competitive Advantage ................................................................................................ 3 Creation of Competitive Advantage at Sainsbury’s ......................................................................... 3 Innovation and Differentiation in Aspects of the Marketing Mix (7Ps) ....................................... 3 Branding ....................................................................................................................................... 4 Relationship marketing ................................................................................................................. 4 Sustainability of Competitive Advantage at Sainsbury’s ................................................................. 5 Conclusion ....................................................................................................................................... 5 Reference List .................................................................................................................................. 6

Your Last Name 3 Sainsbury’s Competitive Advantage Sainsbury Plc is a United Kingdom (UK) based multi-channel retailer offering general merchandise, groceries, clothing products, and other services. The firm operates retail stores of different kinds, comprising convenience stores and supermarkets, Habitat, under Sainsbury’s, and Argos banners (Adigun, 2021). The essay critically discusses the nature and extent of Sainsbury’s competitive advantage and how it has been created and its sustainability in the long term. Analysis of Competitive Advantage Sainsbury’s competitive approach is cost leadership since it offers services at a lower cost at each store. The main competitors of Sainsbury are Tesco plc, Marks and Spencer Group, Morrison Supermarkets, Wal-Mart, Asda, and Associated Independent Stores. Moreover, by offering high-quality services and products at competitive prices, and the high level of health and hygiene standards seldom matched by its competitors (Kucheryavenko, 2023). The firm’s competitive strategy is based on five factors: understanding its consumers better than anybody else and offering great services and products at fair prices (Chaveesuk Khalid, and Chaiyasoonthorn, 2021). In addition, Sainsbury focuses on being there for its esteemed consumers wherever and whenever. Sainsbury’s has adopted a differentiation approach because they are a multi-channel, multi-brand business having a robust differentiated proposition across the organization, for example, Sainsbury’s Argos, Bank, Nectar, and Habitat (Adigun, 2021). Further, the company differentiates grocery and food via value, quality, and service. In terms of value propositions, Sainsbury’s ensures that its values underpin everything (Hollensen and Opresnik, 2021). In addition, the company has attended to the needs of its clients through customer insights that support them to adapt their business to change the lives of consumers. Creation of Competitive Advantage at Sainsbury’s Innovation and Differentiation in Aspects of the Marketing Mix (7Ps) Sainsbury’s marketing strategy examines the brand based on the marketing mix model which covers the 7Ps. The business approaches, based on the marketing mix of Sainsbury assist the brand to thrive in the retailing industry market. In the retail industry, Sainsbury offers a wide range of products, varying from foodstuffs, to electronics, apparel, housewares, and stationery (Wirtz and Lovelock, 2021). However, the majority of them are offered by its competitors as they come from similar suppliers. This has compelled Sainsbury to differentiate its goods and services by utilizing a unique packaging approach as a means to attain a competitive edge over its competitors in the market (Pro, 2020). Despite pricing being the key differentiation element in the marketing mix, the company has been cautious in averting utilizing pricing as an approach but it has applied a cost leadership approach to gain competitive advantage. Further, the place aspect of the company has been depicted by wholesale and retail stores.

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Your Last Name 4 Even though Sainsbury has embraced online marketing approaches, its operations are mainly based on the brick-and-mortar technique. In addition, the retailer’s promotional aspect of the marketing mix has gained a competitive advantage as the company actively uses both mass and social media campaigns (Chaveesuk Khalid, and Chaiyasoonthorn, 2021). Lately, the company considered the physical evidence as a vital marketing mix aspect as they help to draw consumers to a given facility leading to Sainsbury modernizing its outlets to depict the changing trends (Alomari, 2022). The company also has often ensured that it has maintained uniformity in its product and service delivery in its process. Branding Sainsbury’s marketing approach has successfully executed an omnichannel marketing drive across its many marketing stores. Besides the effective and efficient online and in-store innovative shopping alternatives, the firm has successfully incorporated its different product range into their shopping experience (Pro, 2020). In terms of brand awareness, the retailer is at 95 percent in the UK based on online grocery delivery consumers. Sainsbury has a strong brand based on its measure of quality, value, and pricing (Myerson, 2020). The omnichannel marketing approach has evolved Sainsbury’s brand into a giant retailer, the second biggest superstore chain in the UK. It is well-known to people across all age groups and demographics based on affordable and quality grocery shopping in the UK. The omnichannel offers consumers an incorporated and comprehensive buying experience between online, in-store, and catalog retailing (Gallino and Moreno, 2019). The company has also been able to shift its brand position as per the shifting preferences of its consumer base. Relationship marketing Sainsbury’s executed consumer relationship management approach to improve consumer satisfaction in the retailing sector. The retailer aimed at offering consumers products of unique quality, intermingled with exceptional consumer service. This supported Sainsbury’s synergetic potential by offering it the capacity to transcend the obstacles of locations and functions. It offers Sainsbury’s marketers an opportunity to improve consumer value and ensure consumer satisfaction. Through relationship marketing, Sainsbury has been capable of learning more about consumers’ behaviors and moods enabling it to establish a strong relationship with them (Stamenova, 2018). The company has managed to create consumers and maintain them through it. Sustainability of Competitive Advantage at Sainsbury’s Fair trading and ethical means of trade have offered Sainsbury’s a competitive advantage over its competitors. Sainsbury is trying to maintain its competitive edge via innovation in its marketing mix, relationships, and reputation. For example, Sainsbury has established good reputation through offering delicious and superior quality food at affordable prices being at their heart since its inception in 1869. Social media trade is on the increase with enhanced efficiency and effectiveness with inventory management approach technology. There is also new and

Your Last Name 5 emerging competition on ways of attraction consumers, retaining them, and keeping pace with transforming consumer expectations. There is need to encouraging contactless payments and digital (Alboqami, 2023). The company considers that it has initiated innovative products and services in the Nectar Card, Online shopping, and Accenture. However, most other supermarkets prefer online shopping implying Sainsbury does not dominate the market and the company has issues with its Accenture leading to problems in its outlets, which implies that because products are failing to reach shelve on time consumers are opting to do their shopping in other supermarkets (Statista, 2022). Therefore, to sustain its competitive advantage in the market, the retailer embraces continuous improvement and market research to know its consumers better. Conclusion Sainsbury continues to execute innovative and new marketing objectives while sustaining its commitment to offering quality and valued products and services in the market at affordable prices. Its persistent growth approach stresses integration, innovation, and adaptation in both digital and physical shopping worlds. Sainsbury’s has successfully executed an omnichannel marketing technique, cost leadership approach, and differentiation to have value positioning and meet consumer satisfaction in the retail industry.

Your Last Name 6 Reference List Adigun, A. (2021). Strategic analysis of the supermarket Sainsbury’s: Porters five forces, SWOT-analysis, stakeholder analysis and VRIO-analysis . GRIN Verlag. Alboqami, H. (2023) ‘Trust me, I'm an influencer! - Causal recipes for customer trust in artificial intelligence influencers in the retail industry’, Journal of Retailing and Consumer Services , 72(2), pp.103242. Alomari, K. M. (2022) ‘Information technology practices in the Jordanian retail sector: Employee and customer perspective’, Innovative Marketing , 18(1), pp.38-48. Chaveesuk, S.,Khalid, B., and Chaiyasoonthorn, W. (2021) ‘Digital payment system innovations: A marketing perspective on intention and actual use in the retail sector’, Innovative Marketing , 17(3), pp.109-123. Gallino, S., and Moreno, A. (2019). Operations in an Omnichannel world . Springer Nature. Hanaysha, J. R. (2021) ‘An empirical examination of marketing mix elements and customer perceived value in retail industry’, Journal of Entrepreneurship and Business , 5(2), pp.1-10. Hollensen, S., and Opresnik, M. (2021). Marketing: Principles and practice: A management- oriented approach . Sage. Kucheryavenko, S. (2023) ‘Competitive positioning of organization as a key component of marketing strategy’, Vector Economy , 2(1), pp.1-27. Myerson, P. (2020). Omni-channel retail and the supply chain: Working together for a competitive advantage . CRC Press. Pro, E. (2020, June 4). Solved 4P marketing: Sainsbury plc, road to recovery marketing 4P mix analysis . EMBA Pro for Executive MBA Professionals. https://embapro.com/frontpage/marketing4pcase/17674-sainsbury-s-sainsbury Stamenova, S. (2018). Implementation of a customer relationship management strategy to enhance customer satisfaction in the retail selling industry: A case study of Sainsbury's Becton . GRIN Verlag. Statista. (2022, May 20). Sainsbury's brand profile UK 2022 . https://www.statista.com/forecasts/1304374/sainsbury-s-online-grocery-delivery-brand- profile-in-the-united-kingdom Wirtz, J., and Lovelock, C. (2021) ‘Positioning services in competitive markets’, Services Marketing , 2(8), pp.76-103.

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