Question
1:
Tesco.com has been able to achieve success online by using
customer data from clubcard the data collected ensure that customers were
locked in to continue to purchase their product form tesco.com.
Tesco.com uses this strategy to convert visitor to regular buyer (
Approach 1)
“Trigger
event 1: Customer first registers on site (but does not buy).
§ Auto-response (AR) 1: 2 days after registration
e-mail sent offering phone assistance and £5 discount off first purchase to
encourage trial. Trigger event 2: Customer first purchases online.
§ AR1: Immediate order confirmation
§ AR2: 5 days after purchase e-mail sent with link to
online customer satisfaction survey asking about quality of service from driver
and picker (e.g. item quality and substitutions).
§ AR3: Two-weeks after first purchase - Direct mail
offering tips on how to use service and £5 discount on next purchases intended
to encourage re-use of online services.
§ AR4: Generic monthly e-newsletter with online exclusive
offers encouraging cross-selling
§ AR5: Bi-weekly alert with personalised offers for
customer.
§ AR6: After 2 months - £5 discount for next shop
§ AR7: Quarterly mailing of coupons encouraging
repeat sales and cross-sales Trigger event 3: Customer does not purchase for an
extended period
§ AR1: Dormancy detected – Reactivation e-mail with
survey of how the customer is finding the service (to identify any problems)
and a £5 incentive.
§ AR2: A further discount incentive is used in order
to encourage continued usage to shop after the first shop after a break.”
Chaffey, 2011 page 520
(Approach 2)
The second approach is providing customers with
convenience and value such as:
·
Tesco.com also has improved customers
experience online, this has reduced time for first time buyer from 1 hour to 35
minutes on line
·
Tesco.com also offers intangible
product such as forming partnership with eDiet and iVillage and offering the
services to their customers.
·
Providing customers with cheap
telephone services and services broadband.
2.) Our product
which is “streambox” can benefit from the first approach which tesco.com uses
these steps could be use to make any visiting customer to a regular customer.