The Influence of Coles Environment and Customer Demographics on Satisfaction

The Influence of Coles
Environment and Customer
Demographics on Satisfaction

Background
Cole supermarket is one of the leading Australian consumer
service chain and retail company with its headquarters in
Melbourne(Knox, 2015). The firm has dominated the retail
market due to its strong marketing strategies.
The main aim of the supermarket is to offer customers with high
quality and taste products at affordable prices.
The supermarket embraces proactive customer investment offer
as it strengthens the customers’ base preventing new entrance
by competitors.

According to Lee & Yang (2013), retail marketing is considered
as a form of marketing which involves undertaking activities
such as selling products to consumers through channels such
as stores, malls and other fixed locations.
Currently, the retail industry plays an important role in today’s
global economy because they enable the society meet its
current needs satisfactorily according to their living standards,
tastes and preference.

RESEARCH OBJECTIVES
 To determine the factors of retail store environment that have substantial
positive impact on Coles’ customer satisfaction.
 To critically analyse the variables of customer demographics influencing
customer satisfaction in a retail environment.
 To examine various satisfaction levels with regards to variables of
customer demographics.
 To evaluate how the influence of factors of retail store environment
affecting customer satisfaction differ across various customer
demographic segments.

RESEARCH QUESTIONS
 What are the factors of retail store environment that have substantial positive impact on Coles’
customer satisfaction?
 What are the variables of customer demographics influencing customer satisfaction in a retail
environment?
 Which are various satisfaction levels with regards to variables of customer demographics?
 How do the influence of factors of retail store environment, affecting customer satisfaction,
differ across various customer demographic segments?

Factors Leading to
Management Decision-
1. Competition
Coles supermarket has dominated in the market for many years
and gained a strong competitive advantage over its competitors.
However, currently, the company faces competition both locally
and globally with the Woolworths, ALDA and other companies
presenting such threats. With the entrance of Woolworths into
the market, Coles faced many challenges which resulted to
many managerial problems.

Literature Review
As the business environment becomes more proactive, retail businesses face global
economic challenges which compel them into evolving and changing with time to
meet the customer changing requirements and demand that changes with
time(Duong 2016).
Currently, online businesses are prospering with diverse alternatives offered for
customers to choose from leading to stiff competition among retailers in the
industry.

Literature Review (cont.)
Emergence of new threats made it difficult for the Coles supermarket to
undertake appropriate steps to continue being the leading retailer. Majorly,
management problems emerged from competition threats the company
experienced from emerging food suppliers.
Competition in the Australian grocery market is stiff making Coles supermarket
operations unsuccessful.