This programme was developed and implemented with the help of the agency dunnhumby which joined Tesco in their marketing efforts. In a test and learn approach, the loyalty scheme was tried out in twelve selected stores in 1994.In February 1995, the Tesco Clubcard was launched nationwide. The core purpose of the CRM strategy was “to create value for customers to earn their lifetime loyalty” which is expressed in two key values “No one tries harder for customers” and “Treating people how we like to be treated” (Tesco 2006,p. 1). Thus, the Clubcard is more than an “average” loyalty card, and constitutes a central part of the company’s philosophy. The explicit goal of Tesco’s CRM strategy is to reward individual customers for their loyalty
(Beckett/Nayak 2005, p. 8). Consequently, the focus was shifted away from the average or typical to the individual customer. By using the individual customer as the focus, the aim was to create a modern “corner store” (Wylie 2005). This customer-centric strategy is also reflected in the pivotal role of Tesco employees who deliver the brand promise and customer experience and thus become “brand ambassadors” (Seiler 2005, p. 21) for the company. To ensure the initiative’s success, staff training, which included an educational video informing the employee’s of the functioning and goal of the programme, was crucial.
This programme was developed and implemented with the help of the agency dunnhumby which joined Tesco in their marketing efforts. In a test and learn approach, the loyalty scheme was tried out in twelve selected stores in 1994.In February 1995, the Tesco Clubcard was launched nationwide. The core purpose of the CRM strategy was “to create value for customers to earn their lifetime loyalty” which is expressed in two key values “No one tries harder for customers” and “Treating people how we like to be treated” (Tesco 2006,p. 1). Thus, the Clubcard is more than an “average” loyalty card, and constitutes a central part of the company’s philosophy. The explicit goal of Tesco’s CRM strategy is to reward individual customers for their loyalty
(Beckett/Nayak 2005, p. 8). Consequently, the focus was shifted away from the average or typical to the individual customer. By using the individual customer as the focus, the aim was to create a modern “corner store” (Wylie 2005). This customer-centric strategy is also reflected in the pivotal role of Tesco employees who deliver the brand promise and customer experience and thus become “brand ambassadors” (Seiler 2005, p. 21) for the company. To ensure the initiative’s success, staff training, which included an educational video informing the employee’s of the functioning and goal of the programme, was crucial.
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