Strategic Marketing Management of Tim Hortons

Executive Summary Tim Hortons is a Canadian restaurant that has recorded a very high level of performance over the past years. The company is widely known for their quality product that has attracted a large number of customers from all over the world. The company is widely known for its coffee and doughnuts. It has more than 3000 stores across the nation. The company was founded in 1964 by Tim Horton who was a hockey player.Advertising We will write a custom research paper sample on Strategic Marketing Management of Tim Hortons specifically for you for only $16.05 $11/page Learn More This study examines the strategic management process employed in the company. This analysis begins by outlining the role of marketing in the company. The marketing tactics adapted by the company are given and their merits are outlined. The role and process of strategic marketing in Tim Hortons Tim Horton is one of the companies that have managed to develop the most successf ul marketing strategy. Marketing plan forms one of the most important parts in the overall business plans in Tim Hortons. The organization has integrated its marketing plans with its strategies, mission, and vision. By so doing, the organisation has managed to maintain a high level of performance. Marketing is a very important element in any organization. It is therefore necessary to have a clearly designed marketing plan or strategy in order to have a successful organization. In marketing of existing products, it is necessary to understand the customer’s needs. This understanding will act as guidance in molding the product and service to maximize customer satisfaction The success by Tim Horton’s restaurants can be attributed to its strategic marketing plans. The company has managed to improve the quality of its brand through marketing. The fast food industry has recently recorded a tremendous growth by marketing the product across the media. Marketing has a significan t role in determining an organization’s competitive advantage. Tim Hortons has managed to attract a large number of customers through its unique marketing plans. For instance, it has managed to increase the quality of its brand across the world, the fact that has sigjnificantly contributed to its success. It also helps in corporate positioning. At Tim Hortons, the strategic marketing are developed and implemented by the Chief marketing officers. They play a significant role in the entire implementation process.Advertising Looking for research paper on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Links between strategic marketing strategy and corporate Strategy of Tim Hortons The Company has managed to align its marketing plans with its mission and vision. The company’s vision is to be the quality leader in everything they do (Tim Horton 2011). By aligning its marketing plan with its mission, the organisat ion has managed to maintain a high level of customer satisfaction. This has significantly contributed to the performance of the organization. The company’s mission is to deliver quality products and services to their guests and communities by maintaining continued innovation, quality leadership, and partnership. These are the guiding principles in the company. They have been integrated in the company’s day to day operations and plans. In order to maintain a high level of performance within an organization, it is always necessary to have a market oriented mission. One of the most important things in every business is a clear understanding of what their business is and the customer needs that are met. Tim Hortons has integrated this in its mission. In the contemporary world, consumers in the food industry are more concerned about the health implications of the food. However, this does not imply that they have ignored the prices. Therefore, companies in the food industry must be in a position to satisfy all these needs at once. Tim Horton’s mission is aligned with these needs, that is, delivering quality products and continued innovation. Tim Hortons has been ranked as one of the companies with the most effective marketing strategies in Canada (Redpath 2011). The company has managed to apply various tactics successfully, the fact that has won it a significant number of customers. However, the company has been facing tough competition from its competitors like McDonalds (Redpath 2011). Through a successful branding process, the company has managed to attain a top class position in fast food industry in Canada. The strongly developed brand has won the company a large number of customers. Models of strategic marketing planning Over the past decade, several organizations have recorded high level of performance by adopting various models of marketing planning. There are a number of models that has been proposed. While implementing marketing strate gies within an organization, it is always necessary to consider the internal and external environment.Advertising We will write a custom research paper sample on Strategic Marketing Management of Tim Hortons specifically for you for only $16.05 $11/page Learn More Internal analysis involves consideration of the organization’s values, aspirations, desired objectives, and competencies. This analysis model is critical while conducting strategic planning. It ensures that the marketing strategies lead to realization of organizational goals and objectives. Market segmentation is another important model that has been applied by many organizations. Through segmentation, an organisation is able to realize the needs of its customers. In segmentation, an organisation divides its market based on certain aspects such as characteristics, demographics, income among others. This helps an organization in meeting the needs of its customers (Lamb, Hair and McDaniel 2011). External environment is also necessary in strategic marketing planning. This analysis helps an organisation in identifying the consumer needs as well as their characteristics. This analysis is very important since it helps an organisation to identify the best marketing strategies. Tim Horton’s success can be attributed to its ability to adopt these strategies effectively. The company’s marketing efforts reflects its values and object jives. This means that the company has critically analyzed its internal environment in coming up with its marketing strategies. External environment scanning has also played an important role in Tim Hortons. By analyzing its external environment, the company has identified the consumer needs in the market. For instance, the company has identified the customers’ needs for freshness and diet. This has helped the company to incorporate these needs in its marketing tactics. Promotion is also another important strategy that has b een employed in marketing in the company. Promotion strategy is of great importance in creating customer awareness especially in the initial stages of organization’s development. This method has helped the company reach a large number of its customers. One advantage of using sales promotion is that it can stimulate quick increases in sales by targeting promotional incentives on particular products. These can significantly help in improving the performance of the organization in the short run. Sales promotion also plays a significant role in creating consumer awareness. In this case, the potential consumers are not aware of the upcoming products.Advertising Looking for research paper on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Sales promotions will, therefore, play a significant role in informing potential customers of the products available from the gallery. Tim Hortons has successfully applied this strategy in its operations. The company uses various promotion activities in marketing its products. This has significantly contributed to its success. Sales and promotions help to sway consumers to risk buying a new product. Product specials encourage a customer to try the product, often giving the much needed boost to sales. This is an aspect that has been utilized in the company, for instance, through lowering of prices (Trehan and Trehan 2009). Marketing tactics used at Tim Hortons and their benefits In order to achieve its current position, Tim Hortons has managed to maintain various marketing tactics that has enabled the company to maximize its sales. When the founder of Tim Hortons opened the first store, he thought that his products will sell themselves since he had a good status in the society. He wa s widely known as a hockey champion and for actively participating in social activities. In other words, he applied the testimonial approach in entering into the market. This approach is usually applied by well known people in the society. Soon after its establishment, Tim Hortons applied the slogan ‘Always Fresh’ to attract its customers. This slogan played a significant role in attracting customers by promising them freshly baked menu (Tim Hortons 2011). The company managed to attract a significant number of customers by promising quality foods and services through marketing. In fact, it was the first company to promise its customers quality products and services. One of the most famous promotion strategies that the company has used is the ‘Roll up the Rim’. This is one of the most famous marketing campaigns that the company has ever had. This is a promotion contest that has attracted the attention of many people across the world. In this contest, the com pany makes the use of figures to emphasize and guarantee that a significant fraction of the cups were winners (Tim Hortons 2011). People have an opportunity to win variety of different prizes in every year. In its promotion efforts, the commercials promised of extra ordinary nature of the company’s product. For instance, the company insisted that their product was part of the people’s routine. The company associated its products with quality life styles. This convinced a great number of people to divert their consumption styles where a significant number of people began consuming the company’s products. Tim Hortons advertises its products through various media. These include the billboards and television. The company also advertises its products through children’s foundation and other activities like funding programs that are involved in children games. This has significantly helped the company to market its products. This has also helped in building the company’s brand. Advertisement is another tactic that has been used to win a significantly large number of customers. The company is widely known for sponsoring the Brier; the championships that has attracted a large number of people. Through such activities, the company has managed to market its products while building its brand as well. Tim Hortons has applied various advertising slogans in its operations. Some of the slogans used are ‘You Have Always Got Time for Tim Hortons’ (Tim Hortons 2011). Such slogans have helped the company to attract a large number of customers to its products. Later in 2000, the company adopted a new slogan; ‘Always Fresh, Always Tim Hortons.’ This slogan was mainly meant to guarantee the consumers about the freshness of the company’s products. A large number of people in the market were becoming more concerned about the freshness. This slogan therefore played a significant role in attracting customers with such i nterests or tastes. Advertisement as a method of promotion is associated with a number of advantages. To start with, advertisement is effective in reaching a wide range of audience (Trehan and Trehan 2009). This is especially when advertising is conducted through a media which reaches a large number of people. The method will reach greater number of people compared to other methods like the sales promotion. Marketing a product directly to the public is another great way to advertise a new product. This is an aspect that Tim Hortons’ has utilized to the maximum and has contributed greatly to its overall success. Positive peer pressure is achieved through direct marketing and thus it is an excellent advertising campaign that raises awareness for the company’s products and services. In pricing, there will be a need to conduct a research on the market. This will enable the firm in analyzing what the competitors are providing and the prices they offer at the market. This wi ll help in determining the most competitive price offer. Tim Hortons is one of the few restaurants across the world that is known to offer health food at very reasonable products (Tim Hortons 2011). The company is widely known for its low priced foods. The company has managed to achieve this by minimizing its operational costs. The company has managed to adopt very low operational costs. Price refers to the amount of money that the consumers will be willing to pay for the Tim Horton’s products and services in the market. Before deciding on the price to impose on the products and services, the company compares the prices of the competitors so as to make sure that their prices are at par. For a long time, the company has managed to attract a large number of customers due to its extremely low prices. Advertisement Marketing Strategy Its Merits to Tim Hortons Advertisement as a method of promotion is associated with a number of advantages. To start with, advertisement is effectiv e in reaching a wide range of audience (Trehan and Trehan 2009). This is more so when advertising is conducted through a media, which reaches a large number of people. The method will reach greater number of people compared to other methods like the sales promotion. Therefore, this method will not only reach the people who shop in that particular supermarket, but also to other people who shop from other stores. Another advantage of this method is that it is most effective in creating awareness. When the audience views a certain advert on television regularly, this increases their awareness of the presence of the product in the market. This builds their curiosity to try the new product; a thing that significantly helps in increasing the level of sales. Again, advertising helps in building customer trust through repetition of the main brand and product. In the process, the company will be able to maximize on the level of sales made. Recommendations This discussion has clearly shown th at Tim Hortons has successful marketing strategy, the fact that has contributed to its success. However, the company has been losing from its competitors. This has significantly undermined the organization’s performance. In orders to avoid such loses, the company must try to balance its marketing strategies. It must give all the products adequate attention. These will promote high performance in all the products. The company has not fully utilized the social networks like the Facebook and the Twitter. This is despite the fact that such strategies have helped many organizations’ reach a large number of people. The company must therefore improve on its marketing strategies through the social networks. Conclusion In conclusion, this discussion has clearly shown that Tim Hortons has recorded good performance in its operations. The company has managed to maintain a high level competitiveness due to its effective marketing strategies. The company has successfully applied str ategies such as promotions, the fact that has significantly contributed to a high level of sales. However, the company is losing on some products from its competitors. This can be mitigated by expanding its marketing strategies, for instance, through the social networks. By so doing, the company can massively increase its sales. Reference List Lamb, C., 2009. Marketing. Canada, Cengage Learning. Lamb,C., Hair, J. and McDaniel, C., 2011. Essentials of Marketing. Mason, Cengage Learning. Redpath, T., 2011. Roll Up the Rim to Win Sweet Profits at Tim Hortons. Web. Tim Hortons. 2011. Products. Web. Trehan, M. and Trehan, R., 2009. Advertising and Sales Management. New Delhi, FK Publications. This research paper on Strategic Marketing Management of Tim Hortons was written and submitted by user Brian Neal to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.