Tesco Local grocery store bringing in customers and keeping old customers
INTRODUCTION AND BACKGROUND
The Tesco brand first appeared in 1924. The name came about after Cohen bought a shipment of tea from T.E. Stockwell. He made new labels using the first three letters of the supplier's name (TES), and the first two letters of his surname (CO), forming the word "TESCO". The first Tesco store was opened in 1929 in Burnt Oak, Edgware, Middlesex. Tesco floated on the London Stock Exchange in 1947 as Tesco Stores (Holdings) Limited. The first self-service store opened in St Albans in 1947 (still operational in 2007 as a Metro), and the first supermarket in Maldon in 1956. Tesco is a UK-based international grocery and general merchandising retail chain. It is the largest British retailer by both global sales and domestic market share, is the world's third-largest grocery retailer, behind Wal-Mart of the United States and Carrefour of France. Originally specializing in food, it has diversified into areas such as discount clothes, consumer electronics, consumer financial services, selling and renting DVDs, compact discs and music downloads, Internet service, consumer telecoms, consumer health insurance, consumer dental plans and budget software. Tesco's sparkling growth has come at the expense of rivals, especially Sainsbury and Safeway, both of whom are battling to keep customers. Tesco used to be considered a cheap supermarket, compared to the more 'up-market' supermarkets like Waitrose and Marks & Spencer. However, in recent years, with the 'Finest' range, it has moved to capture that market too.
What are the critical factors in success of Tesco?
This research is designed to test critical success factors of Tesco and its impact upon Customer behavior. Additionally it will aim to evaluate the implications to the future opportunities. This research will also fulfill all objectives.
• Managers will be able to determine what the customer's value.
• It will help determine where to cut cost without affecting their profitability.
• It will help the manager to be able to determine what will lose customers.
• Determine what the customers like the most about their store.
Qualitative method would provide relevant first hand, error free information through interviews and personally administered questionnaire. The aim of qualitative analysis is a complete, detailed description. For this study I will be doing five qualitative one-on-one interviews of customers who shop at Tesco using:
• Looking at what is happening rather than directly questioning participants.
• Used to better understand behaviors, their social context and meanings attached to them.
• Useful for certain populations - children, infants.
• Can identify unanticipated outcomes.
Interviews (in-depth, individual)
• Usually provide rich data, details, and insights from program participants and stakeholders about their experiences, behaviors and opinions.
• Particularly useful for complex or sensitive subjects.
• Use open-ended questions.
Potential Managerial Benefits:
• Increased sales - more likely to try out other products/services too
• Customer loyalty -more likely to be a source of repeat business and to recommend the business to friends and family
• Enhanced public image - helps build a brand and provides protection if there is a slip-up in customer service
• More effective workforce - satisfied customers help create a positive working environment.
Satisfied customers will lead to more sales from their own repeat business and from the new customers generated by their recommendations. A positive public image will generate more sales by attracting new customers. Staff members who deliver good customer service receive their customers' appreciation and are further motivated to offer good customer service and so on.
Name (Optional): _______________________________
Gender: _______ Male ________ Female
Ethnicity: ______Caucasian ______African-American ______Asian/Pacific
______Hispanic ______Native American ______ Other
How convenient is it to shop at Tesco?
___ Extremely convenient
___Not at all convenient
Are all the products you need available at Tesco?
If your answer is no, please identify the product/s not available at Tesco______________ ________________________________________________________________________
The solution shows how a simple questionnaire for Tesco is designed.
To design a questionnaire
The purpose of this assignment is to create a questionnaire. You are to select a research problem or question that could be analysed using a questionnaire.
The final objective of this exercise is to have a fully developed questionnaire. You are to show the work involved in creating that questionnaire using the format outlined in the instructions below.
Starting point Establish your research objectives. What do you hope to learn from this questionnaire?
Transform the research objectives into information objectives, that is, clearly stated reasons why raw data must be collected. List the objectives in order of their relative importance. Establish a research hypothesis within each objective.
Determine the appropriate data collection method. How should this questionnaire be implemented (for example, by mail survey, personal survey)? What sample of respondents will you use? Explain your rationale.
Determine information requirements for each objective.
Develop specific question and scale measurement formats. What type of data are you collecting (for example, state of being, behavioural)? What question or scale format is most appropriate for each question (for example, open-ended or closed-ended formats; nominal, interval, ordinal or ratio structure)? Ensure that you have avoided "bad questions." For each question, explain why you chose a particular format.
Evaluate all the question and scale measurements for reliability and validity. Describe the steps you take. If you decide to make any changes as a result of this evaluation, show the revised question and briefly describe how you think the changes have improved it.
Establish flowerpot format and layout. Using the principles of the flowerpot approach, determine the number of information flowerpots needed, determine their size, and determine the type of base needed. Present the revised questionnaire, and briefly describe what changes were made and why.
Evaluate the questionnaire and layout. Does it meet all the stated research objectives? Are the questions correctly ordered? Present the revised questions, and briefly describe what changes were made and why.
Pre-test and revise the questionnaire. Enlist the aid of at least two friends. Let them fill out the survey, and ask them to tell you about any difficulties they encountered in answering questions. Describe these difficulties.
Finalize the questionnaire format, and show the final version of the questionnaire.
Your paper should be no longer than 25 pages, double-spaced, using a 12-point font. Papers over this length may be penalized or returned to you for further editing.
Use the following mark breakdown to help you structure this paper. It is recommended that you consider how much each section is worth when preparing your report.
Marks will be assigned as follows:
Title page (containing the course name, your name, ID number, data, and name of the study) 5 marks
Research objectives 5 marks
Information objectives 10 marks
Data collection method 5 marks
Information requirements for each objective 15 marks
Development of specific question and scale measurement formats 25 marks
Evaluation of question and scale measurements 5 marks
Flowerpot format and layout 10 marks
Evaluation of questionnaire and layout 5 marks
Pre-test and revision of questionnaire 10 marks
Final questionnaire format 5 marks
Total 100 marks