Tesco CRM Case Study

By Rob Binns | Senior Writer

Tesco CRM Case Study

Tesco is the second largest retailer in the world measured by profits, and the third largest measured by revenue. Not only does it have stores in 14 countries across Asia, Europe, and North America, but it's also the grocery market leader in the UK, Malaysia, the Republic of Ireland, and Thailand.

Although their success can mostly be attributed to their competitive pricing, comprehensive product and service range, affiliated programs, and global accessibility, their aggressive marketing and CRM strategies have played a central role in helping them retain their competitive advantage and large marketshare.

The Tesco Loyalty Card / ClubCard Scheme

  • One of the worlds most successful loyalty schemes
  • Partners with other companies such as gas, hotel and car hire facilities thus giving users more opportunities to earn points
  • Different schemes for different family members: Tesco Kids Club, Tesco Baby and Toddler Club, Tesco Healthy Living Club, World of Wine Club
  • Allows for targeted communication, thus, there are over four million variations of its quarterly mailing to ensure that discounts and offers are tailored specifically for the customer
  • Insights gained from the analysis of shopping patterns were able to be actioned into marketing and retail programs which encouraged customer satisfaction and loyalty to Tesco.

Comment Cards

Customer Question Time sessions are held twice each year, where 12,000 customers participate. This enables Tesco to gather more data on customer views on product, price, quality, service, and community involvement

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Product Offerings and Ranges

Using data gathered from Clubcard and comment cards, Tesco have been able to create a variety of product ranges to suit different target groups, such as:

  • Healthy Living: Over 400 products which are low in fat and sodium
  • Free From: Produced for people who have food allergies or dietary requirements
  • Special Healthy Kids Snacks: A dedicated range of kids food products that are high in fibre, fruit and vegetables

Rob Binns Expert Market
Rob Binns Senior Writer

Rob writes mainly about the payments industry, but also brings industry-specific knowledge of CRM software, social media monitoring, and invoice finance. When not exasperating his editor with bad puns, he can be found relaxing in a sunny corner, with a beer and a battered copy of Dostoevsky.

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