Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 16

1

Shwapno Incorporation Of Traditional Marketing Tools And The Place Of Digital

Marketing Tools

Name:

Institution:

Course:

Instructor:

Date
2

Contents
Executive Summary....................................................................................................................3

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

Business Overview......................................................................................................................5

Vision......................................................................................................................................6

Mission Statement...................................................................................................................6

Key Traditional Marketing Tools Used by Shwapno.................................................................6

Newspaper...............................................................................................................................6

Television................................................................................................................................7

Radio.......................................................................................................................................7

Signage....................................................................................................................................7

Publicity..................................................................................................................................7

Referrals..................................................................................................................................8

Assessment of Usefulness and Effectiveness of the marketing tools used.................................8

Digital Marketing Tools............................................................................................................11

Social Media Marketing........................................................................................................11

SEO Marketing......................................................................................................................12

Email Marketing....................................................................................................................13

Conclusion................................................................................................................................13

Practical Recommendations......................................................................................................13

References.................................................................................................................................14

Appendices................................................................................................................................15
3

Executive Summary

Shwapno is a business unit of ACI Logistics, which is the largest conglomerates in

Bangladesh. ACI Group of the business deals in pharmaceuticals, consumer products,

agribusiness, and retail. This report intends to look into the Marketing DNA of this giant retail

out. It will focus on the traditional marketing tools in use then make the recommendation on the

digital application. Currently, Shwapno is the market leader in terms of market share; it has 35 %

of the market and has 56 outlets spread across the country (Akib, 2018). The paper will give an

analysis of traditional marketing tools like TV, Radio, Newspaper, and also look into digital

tools like SEO Marketing, Social Media Marketing, and Email Marketing. The usefulness of

these tools will be discussed and a conclusion and practical recommendation made. The

discussion of these tools will be done in line with the Shwapno Retail business.
4

Shwapno Incorporation of Traditional Marketing Tools And The Place Of Digital Marketing

Tools

Introduction 

This paper intends to look into the marketing tools used by Shwapno, a retail giant operating

in Bangladesh. The choice of this out has been informed by its success in the competitive market

environment characterized by throat cut competition. Bangladesh is a fast-rising economy;

currently, it is the 39th largest economy in the world in nominal terms and 29th most significant

in terms of purchasing power parity (Young, 2019). It has also been classified as a frontier

market and considered among the Next Eleven emerging market middle income economies.

Bangladesh, in the first quarter of 2019, was the world’s seventh fastest-growing economy with a

rate of 7.3 % real GDP annual growth (Young, 2019). The report thus intends to look into the

marketing tools deployed by Shwapno Retail and to analyze their usefulness and effectiveness.

Marketing is a lifeblood of the business. It supports other critical components of business like the

Sales department as well as Finance. It is essential to look into a simple definition of marketing:

Marketing is the science and art of exploring, creating, and delivering value to satisfy the needs

of a target market at a profit (Kotler et al., 2015). Business outfits need to have the right

marketing tools to communicate their value propositions clearly to their target markets. These

tools have evolved.

The paper thus, look into both traditional marketing tools such as the role of print media,

broadcast media, Direct Marketing, Telemarketing, Word of mouth marketing, also known as

referral marketing. It will then proceed to analyze the digital marketing DNA. Digital marketing

will consist of content marketing, email marketing, and Search Engine optimization. Special

attention will be given to the functional role of digital marketing approaches in today’s business
5

space. All these will be done in line with Shwapno Retail business model. Traditionally,

marketing has been how businesses and organizations communicate to, connect with, and

interact with their target audience. However, with the advancement in technology, specifically

the emergence of Social media and content marketing, the interaction has gone a notch higher

(Subramanian, 2018). Message packaging and delivery is essential now than ever. It is, therefore,

of significance to look into the specific marketing tools and strategies used by Shwapno Retail,

their usefulness, and effectiveness, and finally, to analyze the role of new marketing DNA in this

era of technological advancement.

Business Overview

Shwapno Retail is a business unit of ACI Logistics, a subsidiary of the Advanced Chemical

Industry. Shwapno is the largest retail chain operating in Bangladesh. The business was launched

in 2008. It currently serves more than 32,000 customers a day (Akib, 2018). It offers a range of

products from fresh farm produce, daily household commodities to broader hardware items. The

company is a great advocate of consumers' rights. The retail chain thus has a full-fledged internal

Quality Assurance systems, which include supplier vetting, testing for additives, and harmful

products. Shwapno has been at the frontline in raising public awareness campaigns on food

safety, nutrition, and sustainability issues. The retail chain enjoys a cordial relationship with

several farmers spread across the country that supplies it with fresh produce. Shwapno has a

bright prospect in terms of growth; at the moment, it enjoys a substantial market share of 45 %

(Akib, 2018). It operates in Dhaka, Chittagong, Sylhet, and Comilla. It has a mix of business

models ranging from convenience stores to large megamall layouts. In line with the company's

core values of integrity, honesty, and professionalism in service delivery, Shwapno has been

consistent in its campaigns about food safety and nutrition. On its shelves, there is a constant
6

supply of fresh produce outsourced directly from contracted producers spread across the country

(Akib, 2018). The retail was awarded the Best Retail Brand in 2016 by Bangladesh Retail

Forum. While continuing with expansion programs, raising the industry standards as well as

managing customers expectations, Shwapno is set to one of the most successful business in

Bangladesh and the world at large. It is already exploring new frontiers in e-commerce.

Vision

Our Vision is to be the Best Retailer where people love to work, shop, and invest.

Mission Statement

Our mission is to win the hearts and minds of our customers through continuous innovation,

creation, and delivery of our promise, "Everyday, a better life."

Key Traditional Marketing Tools Used by Shwapno

Shwapno uses a mix of traditional marketing tools to reach and communicate with its target

audience. The following are the main traditional marketing tools in use by this giant retail outlet:

 Newspaper

 Television

 Radio

 Signage

 Publicity

 Referrals

Shwapno uses a combination of these promotional mixes to reach out to its customers. 

Newspaper 

Advertisements form a significant percentage of Shwapno offline marketing DNA. Shwapno

uses ads to inform its consumers on new products, the quality of existing ones, and the price of
7

commodities (Kotler et al., 2015). The Retail Chain runs its adverts on Newspapers. The adverts

are unique and designed specifically with the target market in mind. Some of their adverts are

focused on specific occasions or festive seasons. 

Television

TV Commercial ads have been run during celebrations of Eid UL Fitre, as well as Eid Ul

Azha. The TV is also used for infomercials to educate the consumers on nutrition value,

consumer rights, as well as best practices within the retail industry. The TV also provides a

wonderful opportunity for Public Relations events. For instance, the Shwapno Retail has taken

advantage of Public Relations strategies during the launches of its new outlets.

Radio

Radio advertisements have been a useful tool for Shwapno Retail in reaching their consumers.

Like TV, it has been used to inform the consumers of the quality of the products, price changes,

and sales promotions. It has also been used as a public relations tool to inform the consumers of

the benefits of using Shwapno fresh produce.

Signage

Signage is made up mainly of Outdoor billboards and vehicle signs. Shwapno has deployed

this marketing tool with a lot of precision. Most of their Outdoor advertisements are eye-

catching. The billboards are designed in a unique way to communicate precisely. The Shwapno

Lifestyle has also taken advantage of branding their vehicles.

Publicity

Publicity involves free media coverage about the activities of the business. Shwapno has

mastered the art of using this tool in its marketing DNA. Most of the events like consumer

campaigns, partnerships with organizations such as Global GAP have given the business-
8

extensive publicity. Shwapno has also enjoyed free publicity from other activities of ACI

Logistics as well as the mother company ACI.

Referrals

Referrals is a core marketing tool in the promotional mix of Shwapno Retail business. They

heavily rely on the word of mouth referrals from a pool of their contracted farmers spread across

the country. The retail chain enjoys a vast network of farmers and other suppliers. Their

excellent customer service is also geared towards enhancing the word of mouth referrals. During

special occasions, the Shwapno Lifestyle also runs customer incentives, which help in the word

of mouth referrals.

Assessment of Usefulness and Effectiveness of the marketing tools used

This section will assess the usefulness and effectiveness of the above marketing tools. It will

discuss the relevance of these tools then at the tail end, discusses the digital approaches that

Shwapno can also deploy to boost their marketing strategies.

Newspaper

The use of a Newspaper as a marketing tool is and will remain a core marketing tool for the

retail chain business. It has the advantage of reaching a target audience at a specified time and

preferred consistent format (Kotler et al, 2015). Newspapers are also affordable. It is possible to

get a one-inch square classified ad, column ads in various sizes, half a page, or full page.

Compared to other tools of marketing like TV and Radio, it has a low cost per thousand

readers/audience. It is also useful for retail business as it gives room for negotiations for the

extras such as pull out magazines that may provide a wide range of products catalog and price

list. The pull out Magazine can also include the summary of significant events in picture format.

Newspaper as a tool of marketing is also useful in targeting specific consumers in a particular


9

geographic region, segment such as schools or colleges, festive seasons, to mention but a few.

Newspapers are thus a useful tool for marketing to Retail business.

Television

This marketing tool is key to the success of a retail business. TV has the advantage of

combining audiovisual aspects. To retailers, this is like tapping the consumers on their shoulder

and showing them your products. It is an effective way to showcase your products and services.

TV adverts may be programmed to air at a specific time like immediately before Prime News.

The timing boosts its audience outreach. Effective TV ads foster emotion and empathy and,

therefore, effective marketing too (Kotler et al., 2015). The TV is also an excellent media to

educate the consumers on their rights, food safety measures as well as the importance of

nutrition. In addition to the mentioned advantages, TV as a marketing tool in a fast-rising

economy like Bangladesh, it is an excellent way to reach a broad audience instantaneously. The

TV offers the salient advantage of the message being delivered as intended; the humor, jokes,

and skits are performed in the right context than in Newspapers where words may be

misinterpreted (Kotler et al, 2015). 

Radio

Radio is a useful marketing tool that can reach a targeted audience in a specific geographical

area with unique characteristics. Radio Communications is an active channel to use when

targeting an audience who speaks a particular local language or dialect (Kotler et al., 2015). It is

cheap and common among many rural folks. The ability of Radio to combine words, music, and

sound makes it a useful tool to appeal to your consumers uniquely. Humorous jokes, short skits

can be effectively used when addressing a particular audience. It is helpful to retailers in


10

educating the consumers on their safety, rights, and nutrition issues. Shwapno Retail that is

involved in nutritional campaigns, finds Radio as a critical tool of marketing. 

Signage

Billboards that form the most significant proportion of signage as a tool of marketing is an

effective way of reaching many audiences. Creativity in design is, therefore, critical. Well-

designed billboards are hard to ignore. They are eye-catching and may induce consumers to take

or make a buying decision. It is one aspect of traditional marketing that may not fade away

shortly (Kotler et al., 2015). It is useful to retailers in creating memorable mental pictures to

consumers, especially on their way home from work. The retailer also has a say in the size,

design, and location where the billboard should be displayed. It has an advantage over digital

advertising like social media that may be limited to tech-savvy individuals. Outdoor

advertisements appeal to everyone regardless of their age, gender, technological know-how.

Publicity

Free publicity creates awareness about products, brands, and services. The best form of

promotion is a mention of a brand or product in the media. It reaches many audiences cheaply

and effectively. Retailers like Shwapno have taken advantage of this tool by getting involved in

charity work, sponsorships, and brand positioning. Strategic partnerships with organizations like

the Global GAP has given Shwapno free publicity (Akib, 2018). Getting publicity is a core

strategy for businesses, especially retails that are involved in Corporate Social Responsibility

like Shwapno.

Referrals

Referrals through word of mouth is a useful marketing tool for retailers. It is free and thus

cost-effective. It is an effective way of creating trust and loyalty among consumers. Referral to a
11

business by a friend tends to lead to purchase faster because of faith that people bestow on their

friendships. A study by Mckinsey indicates that it accounts for 20-50 % of buying decisions

(Subramanian, 2018). Word of mouth recommendation is thus effective than other media like

Radio or TV because it stems from typical dialogue unlike the official scripting of messages in

TV and Radio advertisements. The retailer should take advantage of this essential tool through

incentives to consumers who introduce their friends to the business.

From the above analysis, it is clear that the traditional offline marketing tool is still key to the

success of business entities. The nature of the business is also crucial in determining the best

marketing tool to adopt. The next section will look into digital marketing that can also help to

reinforce the marketing efforts of the traditional tools.

Digital Marketing Tools

In the first rising economy like Bangladesh, technological advancement is quickly taking

shape, and the majority of the populace is embracing the technology, especially in the execution

of business operations. The following digital marketing tools will give Shwapno Retail an added

advantage, especially now that the business is expanding into e-commerce.

Social Media Marketing 

Social Media Marketing is at the center of most businesses today, regardless of the nature of

business online or offline. The importance of social media marketing goes beyond the click to

purchase in e-commerce. Most consumers are currently on Social Media platforms like

Facebook. Statistics show that 20 % of the Bangladesh population are active Facebook users

(Facebook Users in Bangladesh, 2019). The users are about 34 million people. An insane number

of potential customers. A social media presence is, therefore, essential to retail business running

an e-commerce site too. The social media platform is an excellent way of creating brand
12

awareness and product descriptions (Chaffey &Ellis, 2019). It is cheap and useful to the retailers

as there is almost immediate feedback. Customer queries, suggestions, and complaints can also

be addressed in real-time. This helps build the trust and customer experience of the consumers.

Using Social Media as a marketing tool will, therefore, help Shwapno Retail to engage with its

specific target audience at a deeper level. The data gathered through social media engagements

are also priceless. The information collected can help the retailer to make informed decisions

during message creation. Finally, Social media support the next component of digital marketing;

that is, it supports SEO marketing.

SEO Marketing 

Search Engine Optimization (SEO) is a critical factor in digital marketing initiatives. SEO is

the practice of increasing the quantity and quality of visitors to an organization website through

organic search results (Chaffey & Ellis, 2019). The vital role of SEO in a business enterprise is

several. First, it is a valuable tool for brand awareness, relationship building, and the strategic

position of a business. Technical SEO helps to make an organization website more visible, and

that translates to more traffic and more opportunities. Increased traffic boosts conversion rates in

sales. Shwapno Retail will benefit immensely by investing in SEO Marketing more critically on

its e-commerce wing. It is a valuable tool for targeting marketing strategies based on what

potential consumers are searching for online. Advancement in technology such as Artificial

Intelligence and Machine learning has made it possible to gather these searches done by potential

consumers and inform the retail business to communicate relevant information to these

individuals (Chaffey & Ellis, 2019). Above all, implementing a successful SEO Marketing

campaign calls for quality content. Currently, sloppy content that is purely crafted for machine
13

ranks poorly (Chaffey & Ellis, 2019). Google, which is the leading search engine prefer quality

content that provides value to the readers.

Email Marketing 

Email Marketing is probably the under-utilized marketing tool by business enterprises,

especially retailers. However, it is the most crucial marketing tool to use in engaging with

potential consumers who expressed their interest in the business. It is a more personalized way of

communicating with your prospects, and based on studies; it has a higher conversion rate than

social media marketing (Chaffey & Ellis, 2019). It is also cost-effective for small business

owners. It is cheaper than traditional marketing tools like TV, Radio, and Signage. The cost of

sending an email is negligible. Shwapno Retail can, therefore, gain a lot by engaging in

professional email marketing campaigns to help get traction on its eCommerce division.

Conclusion

The role of traditional marketing tools is still valuable, especially to consumer-based

businesses like Shwapno Retail Outlet. Offline marketing tools play an integral role in driving

sales and consumer engagement. TV, Radio, and Outdoor billboards all play a critical role in

attracting consumers to the business. It is also clear that a hybrid approach of traditional

marketing DNA and digital application of SEO, Social Media Marketing, and Email Marketing

would produce better results. For example, Social Media campaigns can support traditional

publicity campaigns, CSR activities, to mention a few.

Practical Recommendations

Shwapno should consider taking into consideration the following:

 Developing a hybrid marketing tools mix consisting of both traditional tools like TV and

digital ones like Social Media like a Facebook advertisement.


14

 Outdoor billboard signage design can also be used in Social Media pages for brand

awareness campaigns. For instance, the billboard signage design could be posted to the

Shwapno Facebook page.

 Email Marketing and Public relations can be infused to produce high content value

targeting specific consumers on issues of consumer rights, advocacy issues on food

safety.

 SEO marketing and implementation can be considered across message creation on

content marketing as well as Social Media platforms like Facebook posts and comments.

References

Akib, F. K. (2018). Marketing and distribution strategies of ACI Logistics Limited (SHWAPNO-

lifestyle department).

Chaffey, D., & Ellis-Chadwick, F. (2019). Digital marketing. Pearson UK.

Facebook users in Bangladesh - January 2019. (2019) from

https://napoleoncat.com/stats/facebook-users-in-bangladesh/2019/01

Kotler, P., Burton, S., Deans, K., Brown, L., & Armstrong, G. (2015). Marketing. Pearson

Higher Education AU.

Subramanian, K. R. (2018). Social Media and the Word of Mouth Publicity. Science, 3(2), 95-

100.

Young, K. E. (2019). Beyond 2030: Economic Growth in the Middle East and North Africa. AEI

Paper & Studies, 1Q.


15

Appendices

Appendix 1: Facebook Users in Bangladesh


16

Source (NapoleonCat.com)

You might also like