This report explores the value proposition, customer demographics, and the six pillars of customer experience in Marks and Spencer. It also discusses the implications of digital disruption and provides strategic recommendations for improving customer experience.
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Table of Contents INTRODUCTION...........................................................................................................................3 Value proposition of Marks and Spencer...............................................................................3 How this manifests itself in how it delivers the Customers Experience................................4 Who are its Customers by frequency of use of key demographics........................................4 The Six pillar of Customer Experience Model.......................................................................5 Implication of Digital Disruption to the delivery of customer experience.............................7 Strategic Recommendation.....................................................................................................8 CONCLUSION................................................................................................................................8 REFERENCES................................................................................................................................9
INTRODUCTION A customer is a person, who purchases goods and services of Organisation, they are important as they drive profit. Without consumers organisation cannot continue to exist in Market. Customers are the one who can make the business profitable and increase their growth by enhancing company’s sale. It is important to understand how Firm can meet the needs of people for this they can monitor their customer relationship to know the ways through which products and services can be improved and attract more and more individuals(Garg and Kumar, 2021). The Organisation can gain competitive advantage by treating their customers in better aspects and make them feel valuable. Generally it is being said that customers are always right as happy customers show their loyalty towards the Company and they repeat the business if firm successfully meet the needs of people. For Businesses it is important to satisfy the needs and requirements of consumers as satisfied customers can make the organisation successful whereas unsatisfied person can destroy the value of Company(Scheidt and Chung, 2019). The Chosen Company for this report is Marks and Spencer, it is a retail company headquartered in London, England and it was established in 1884. The Organisation is specialising in food products, clothing and home products. The report is based on customer experience in which the value proposition of Organisation, how it delivers customer experience, who are its customers are explained. The report also consist the explanation on The Six Pillars of Customer Experience Model and its application on Company. A discussion on implications of digital disruption to the delivery of customer experiences is also consisted in this project. Value proposition of Marks and Spencer The Value proposition of Marks and Spencer is that they focus on quality, service, innovation and trust. These factors are the cornerstones of the Company, they are managing cost and investing in system and supply chain to improve efficiency in business. Marks and Spencer is also responding towards the changing needs of customers by increasing their values without reducing the quality as it helps in improving customer experiences. The Organisation is now increasing the pace of change, leveraging Marks and Spencer direct by building more and more channels, building international portfolio and reinvigorating brand communication. Marks and Spencer is also working to build sustainable future which helps people to have a positive impact on communities, planet and well being(Banerjee, 2021). The Company has launched a new food
campaign focusing on value, they get to know from customers that food is so expensive in Campaign so, they organise Re-Marks-able-Value campaign in which price of the food items get cut for improving the customer experience. Marks and Spencer also launched Plan A in which they mentioned various commitments to fulfil and make changes in their business activities accordingly. With Plan A they are working with its suppliers and customers to reduce waste, trade ethically, live healthier lifestyle and combat climate change. How this manifests itself in how it delivers the Customers Experience Marks and Spencer is continuously working to improve the customer experience as their main focus is on providing excellent products and services to people without reducing quality at affordable price. The Company is recognised for Customer experience even they named the Organisation with Best Customer Experience at Loyalty Magazines annual awards. The people preference in food and style changes from season to season which become challenging for Company. So, to remain competitive in Market, Marks and Spencer fulfils the needs and demands of people rather than only just designing and producing the goods that are not even satisfying the customers(Thomke, 2019). To give the better customer experience at the time of COVID 19, company has updated its mobile notification strategy, bookable shopping timeslots, implementing services like click and collect and grocery checkout straight from mobile app. It becomes easy for the people to shop with Marks and Spencer in Lockdown period due to Coronavirus Pandemic. The Organisation has also invested in NPS capabilities to better measure customer experience. They are increasing its investment in net promoter score programmes as a measure of success during COVID 19 and beyond. The Company also said that due to crisis they found that how differently they can use the technology, make faster decision and run stores effectively and efficiently. Who are its Customers by frequency of use of key demographics The perfect and classic range in Marks and Spencer targets the customer between the age of 35 to 55 years old women and men. They design perfect collection of clothing for people in simple and basic way including white shirts, jeans and black roll-neck sweaters. For busy lifestyle customers they design clothes which are machine washable, tumble dry friendly and non iron so that it becomes easy for them to wear clean clothes. It is important to identify the needs of customers to fulfil their expectation and enhance the product quality. The Company use demographic segmentation to identify the needs of customers, they target people on the basis of
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income, gender, social class, age and other factors(Loo, 2020). As this helps in getting awareness about the issues regarding the changes in needs and wants of customers. The Organisation conducts a market research through which they can identify what products people like and also identify the emerging opportunity they can grab to attract more and more customers. Marks and Spencer also faces many problems in business whether it is related to poor performance or criticism for fashion pundits. The Six pillar of Customer Experience Model The Six pillars of customer experience model were formed to reflect the companies about the kind of emotional outcome linked when delivering exceptional customer experience to people. All the six pillars are connected with each other and when they are combined they can help organisation to understand how well they are delivering customer experience across industries. A successful business always has a grip on these six pillars and they remain unique from its competitors(Lim, 2019). Marks and Spencer must focus on these pillars as it helps in increasing acquisition via advocacy, define a market leading customer experience and create a long term shareholder value. Integrity It is important for the Organisations to run their business in trustworthy manner so that theycanattractpeopleandmakethemloyaltowardsthebrand.WhenFirmdisplays trustworthiness on regular basis, they became the foundation of Integrity. To increase the integrity organisation can develop trust building moments and events through which they can grab more and more customer’s attention. The customer prefers products of businesses that stand on its promises so according to them the company which can deliver on promises leads to Integrity. So to act with integrity it is necessary to be honest with the customers related to the product, feature, quality, price and its drawbacks. If Organisation is honest with people they also become more loyal to the firm’s that they like the most. The Integrity displayed by the business directly results in customer loyalty(Hilken, 2018). In Today’s World, Integrity is something that people hope to find in Organisation’s. The Company can succeed in Market when they have Integrity as one of its Core Values. By having Integrity in business they can get competitive edge in Market and it also helps in facing issues during crisis. Integrity also helps in making difficult decision easier and also secures favourable publicity. Marks and Spencer works in integrity as it helps in succeeding in Market. The Company also maintain a healthy relationship with people so
that they can gain a loyalty of customers. They believe in doing business with Integrity, their products are made in a factory that meets high eco or ethical standard, in a way that benefits employees and customers. Personalization Personalization is the valuable component of customer experience. The personalization element main focus is on understanding the specific needs of people and produce products accordingly. This Component helps in creating an emotional connection between customer and brand, also enable people to feel important and valued(Grewal and Roggeveen, 2020). The Company must know the needs and requirements of people so that they can create the product according to their taste and preference. When organisation personalized it makes customer feel valued, more in control and important after interaction. Marks and Spencer must provide a personalised products and services to their customer so that they can grab more attention and increase its profit and productivity. If Company provide personalised product they satisfied the need and demands of people. The personalised component can be work when Marks and Spencer identifies the needs and requirements of people. Resolution Resolution generally means changing the bad experiences of customers into good so that they feel happy with the services of Company. This pillar reflects that the organisation must turn a poor customer experience into good one. Resolution is a formal procedure to investigate and resolve the problem of person who is dissatisfied and make them feel happy with outstanding services. The Organisation must create a sense of urgency by handling and solving the issues of people. It is the responsibility of company to go extra mile for making the people tension free or relax with the problems. The Firm must maintain their brand image by satisfying the customer and solving their issues. An unsatisfied person can reduce the image of Firm which could create an impact on its performance and productivity(Eren, 2021). Marks and Spencer main motive is to make their customer feel happy with their services and products, they also ensure that people may not face any problem and in case they face issue, company solve it as soon as they can. They also train their employees and organise a programme in which they provide how to handle the people and solve their issues quickly. Expectation
Expectationisanotherpillarofcustomerexperienceinwhichorganisationmust understand what their customers are expecting and the ways through which they can fulfil the expectation of people. For getting successful in market it is necessary to identify the needs and demands of customers and focus on achieving it so that organisation profitability and sale increases. The Expectation can be met when Firm knows who is there target customers and identifying the right buyers. The Company must ensure that their customers may not change their expectation in respect of items which they are serving(Silalahi and Rufaidah, 2018). Marks and Spencer must fulfil the demand and expectation of customers in order to satisfy them and gain their loyalty. The Company can meet the expectation of people by conducting the research and collecting information through which they can know what exactly people want in products and services. Empathy Empathy means understanding customer’s experience emotionally and connecting with them and makes them feel that they ate valuable for Organisation. The Company can create a strong relationship with customers through empathy. It is important to see the things from the point of view of customers and act on the situation accordingly but it is also necessary that firm must choose emotional response but focus on right emotional response. Marks and Spencer works with empathy and handle the problems of customer with patiently. This makes a strong connection between the people and company as they handle the problem easily and also make their customer happy by providing excellent services(Seke, 2020). Time and efforts Time and effort is the last pillar of customer experiences. Generally due to lack of time customers want instant gratification. It is the responsibility of Company to remove the issues which influences the customer decision making process and make them to accomplish their objective through which organisation can increase the loyalty of customers. Marks and Spencer must think innovatively to reduce the time and efforts of employees and people. Due to COVID 19, organisation has updated their mobile notification strategy so that customer can place their order and easily. Implication of Digital Disruption to the delivery of customer experience DigitalDisruptiongenerallymeansthechangethathappensquicklyduetonew development in Market. The digital disruption is important for organisation as it helps in making
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business efficient, productive, cost effective and more customer friendly. It includes the big data and use of business intelligence. The digital disruption helps customer to get the things which they want in better, faster and easier way through a mobile app. To make it possible, digital disruptors act as a mediator between vendor and customers to take over Market(Karacali and Salman, 2020). The Examples of digital disruption are rise in streaming television services like Amazon prime, Netflix, etc. They effectively put their videos on rental stores and gain profit. Marks and Spencer is planning to double down on digital platforms in order to compete with online players and survive at the time of COVID 19 crisis. The Company also paired with Ocado for providing online grocery ordering and delivering services. Marks and Spencer has own a stake in Texel, it is the company which uses 3D scanning technologies and create digital avatars for customers. So, Organisation is planning to adopt a new technology that can improve the customer experience(Lima and Pacheco, 2021). Strategic Recommendation Marks and Spencer can improve customer experience by focusing on the requirements and expectation of the people. They must ensure that customers problems must be solve quickly and as soon as possible so that they can gain a better customer experience. It is important to create an emotional connection with people as it helps in understanding them in better aspects. The organisation must capture the feedback of people, they can use live chat tools to have a conversation with people on real time and also send a follow up mail to people by using post interaction surveys. To attract more and more customers, company must maintain ratings, starts and reviews on social media sites so that people can make judgment of purchasing the products accordingly. CONCLUSION From the above information it is being concluded that customers are the key element for every business. If they are happy company can remain profitable and their growth also increases. So, to get successful in Market it is necessary to make customer feel happy and valuable by fulfilling their needs and requirements. If they are satisfied with the product they can increase the sale of Company. The needs and requirements can be met by making the products according to the taste and preference of customers. The Organisation must ensure that they serve products
without reducing the quality and sell it at affordable price. The Company must demonstrate that they not only focus on earning profit, they also show genuine concern for people.
REFERENCES Books and Journals Banerjee, A., 2021. Breaking Corporate Silos–Making Customer Experience Work. InCrafting Customer Experience Strategy. Emerald Publishing Limited. Eren, B. A., 2021. New Generation Distribution Channels and Customer Experience Used in Marketing Financial Products and Servicesin Digital Transformation.InEmerging Challenges, Solutions, and Best Practices for Digital Enterprise Transformation(pp. 1- 23). IGI Global. Garg, R. J. and Kumar, V., 2021. Prioritizing the Components of Online Environment to Assess CustomerExperience:AnInterpretiveStructuralModelingApproach.International Journal of E-Business Research (IJEBR).17(2). pp.81-100. Grewal, D. and Roggeveen, A. L., 2020. Understanding retail experiences and customer journey management.Journal of Retailing.96(1). pp.3-8. Hilken, T., 2018. Seeing is believing: Enhancing the customer experience with augmented reality. Karacali, O. and Salman, G. G., 2020. Application and Integration of Omnichannel Decisions to CustomerRelationshipManagement.InManagingCustomerExperiencesinan Omnichannel World: Melody of Online and Offline Environments in the Customer Journey. Emerald Publishing Limited. Lim, C., 2019. Peer-to-peer interactions for better customer experience.International Journal of Integrated Care (IJIC),19. Lima, A. and Pacheco, J., 2021. New trends and tools for customer relationship: Challenges in digital transformation. InResearch Anthology on Digital Transformation, Organizational Change, and the Impact of Remote Work(pp. 1916-1934). IGI Global. Loo, P. T., 2020. Service employees and customer experience.The Routledge Handbook of Tourism Experience Management and Marketing. Scheidt, S. and Chung, Q. B., 2019. Making a case for speech analytics to improve customer servicequality:Vision,implementation,andevaluation.InternationalJournalof Information Management.45. pp.223-232. Seke, M. M., 2020. Customer Experience and the Mistake of its Inception in Organization.i- Manager's Journal on Management.14(4). p.1. Silalahi, S. and Rufaidah, P., 2018. Measuring Digital Customer Experience.Pertanika Journal of Social Sciences & Humanities. Thomke, S., 2019. The magic that makes customer experiences stick.MIT Sloan Management Review.61(1). pp.56-63.