Question 1 “The combination of a strong and established digital platform, dedicated fulfilment centres and in-store picking, alongside a decade of detailed loyalty data, provides Pick n Pay with a strong position from which to continue to drive innovation in e-commerce in South Africa.” Despite this, there is intense competition in the retail landscape as Checkers 60 and Woolworths Dash also complete for the same or similar shopper. Discuss how the Marketing Manager at PnP can leverage Paid Search to outperform PnP’s competitors. Focus on the process that would need to be followed to set up upcoming campaigns. Further explain how the paid search campaign would need to be managed from a humans vs robots perspective and substantiate the option chosen

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
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“The combination of a strong and established digital platform, dedicated fulfilment centres and in-store picking, alongside a decade of detailed loyalty data, provides Pick n Pay with a strong position from which to continue to drive innovation in e-commerce in South Africa.” Despite this, there is intense competition in the retail landscape as Checkers 60 and Woolworths Dash also complete for the same or similar shopper. Discuss how the Marketing Manager at PnP can leverage Paid Search to outperform PnP’s competitors. Focus on the process that would need to be followed to set up upcoming campaigns. Further explain how the paid search campaign would need to be managed from a humans vs robots perspective and substantiate the option chosen

150% increase in active online customers.
"As a result of consistent levels of availability and good on-time delivery rates,
customer satisfaction was up 8.5 percentage points year-on-year," Pick n Pay said.
"The combination of a strong and established digital platform, dedicated fulfilment
centres and in-store picking, alongside a decade of detailed loyalty data, provides
Pick n Pay with a strong position from which to continue to drive innovation in e-
commerce in South Africa."
The pandemic has moved forward retailers' plans for online shopping, with Pick n
Pay's push set to take on Checkers' Sixty60 service and Woolworths Dash.
Launched in December 2020, Woolworths Dash is a same-day delivery service
which is currently available in parts of Gauteng, the Western Cape and KZN.
Checkers launched its Sixty60 app in 2019. The service allows customers to accept
delivery within 60 minutes, or alternatively at a time that best suits them.
Users can pay using a credit or chip-enabled debit card and shoppers can track
their order throughout delivery with real-time GPS tracking.
Transcribed Image Text:150% increase in active online customers. "As a result of consistent levels of availability and good on-time delivery rates, customer satisfaction was up 8.5 percentage points year-on-year," Pick n Pay said. "The combination of a strong and established digital platform, dedicated fulfilment centres and in-store picking, alongside a decade of detailed loyalty data, provides Pick n Pay with a strong position from which to continue to drive innovation in e- commerce in South Africa." The pandemic has moved forward retailers' plans for online shopping, with Pick n Pay's push set to take on Checkers' Sixty60 service and Woolworths Dash. Launched in December 2020, Woolworths Dash is a same-day delivery service which is currently available in parts of Gauteng, the Western Cape and KZN. Checkers launched its Sixty60 app in 2019. The service allows customers to accept delivery within 60 minutes, or alternatively at a time that best suits them. Users can pay using a credit or chip-enabled debit card and shoppers can track their order throughout delivery with real-time GPS tracking.
Read the below scenario and then answer the questions that follow:
Pick n Pay is targeting these types of shoppers as part of its new growth
strategy
Retailer Pick n Pay says it plans to invest a further R2.5 billion to deliver on its
growth strategy over the next year. This will include a 'new space growth strategy'
which focuses on increasing store footprint in the lower-to middle-income
communities of South Africa, it said on Wednesday (21 April) in its financial
results for the year ended February 2021.
"The group believes that this area of the South African retail market will deliver the
greatest growth over the medium- to long-term, driven by an expanding working-
age population, urbanisation, and the ongoing formalisation of the informal market.
"The group is under-represented in this area, which provides a strong growth
opportunity for its Pick n Pay Value and Boxer supermarkets," it said.
Aligned with this strategy, Pick n Pay said it has converted 34 franchise stores into
company-owned stores this year - including 22 value supermarkets.
This will provide customers with a revitalised, modern and convenient shopping
experience and delivering stronger trade performances and higher investment
returns off a significantly reduced and tailored range, it said.
Online push
Pick will also integrate its various shopping channels into a new website as it
prepares to stronger push into the online market, said chief executive, Richard
Brasher.
"Our online business responded extremely well to cater for customers in the
lockdown, doubling scheduled deliveries and click n collect orders," he said.
"We are now going to integrate our various online channels by launching
PicknPay.com. Customers will in future be able to shop seamlessly with Pick n Pay
anytime, anywhere and in whichever way they choose."
The group's results show that online sales more than doubled over the year, with a
Transcribed Image Text:Read the below scenario and then answer the questions that follow: Pick n Pay is targeting these types of shoppers as part of its new growth strategy Retailer Pick n Pay says it plans to invest a further R2.5 billion to deliver on its growth strategy over the next year. This will include a 'new space growth strategy' which focuses on increasing store footprint in the lower-to middle-income communities of South Africa, it said on Wednesday (21 April) in its financial results for the year ended February 2021. "The group believes that this area of the South African retail market will deliver the greatest growth over the medium- to long-term, driven by an expanding working- age population, urbanisation, and the ongoing formalisation of the informal market. "The group is under-represented in this area, which provides a strong growth opportunity for its Pick n Pay Value and Boxer supermarkets," it said. Aligned with this strategy, Pick n Pay said it has converted 34 franchise stores into company-owned stores this year - including 22 value supermarkets. This will provide customers with a revitalised, modern and convenient shopping experience and delivering stronger trade performances and higher investment returns off a significantly reduced and tailored range, it said. Online push Pick will also integrate its various shopping channels into a new website as it prepares to stronger push into the online market, said chief executive, Richard Brasher. "Our online business responded extremely well to cater for customers in the lockdown, doubling scheduled deliveries and click n collect orders," he said. "We are now going to integrate our various online channels by launching PicknPay.com. Customers will in future be able to shop seamlessly with Pick n Pay anytime, anywhere and in whichever way they choose." The group's results show that online sales more than doubled over the year, with a
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