Evaluating Customer Satisfaction and Loyalty at Sainsbury's

As a satisfied customer of Sainsbury, I can confidently say that their products and services meet my expectations. The quality of their products is what stands out the most to me, and it's something I would recommend to my colleagues and contacts in the industry. In fact, I plan to continue using their products and services in the future. While they may need to improve on customer service, overall, I'm very satisfied with Sainsbury.

CUSTOMER
SATISFACTION
(Sainsbury)

TABLE OF CONTENTS
INTRODUCTION......................................................................................................................1
TASK 4......................................................................................................................................1
4.1 Evaluation of two techniques for assessing consumer response......................................1
4.2 Customer Satisfaction Survey for Sainsbury....................................................................2
4.3 Success of the completed customer satisfaction survey...................................................7
CONCLUSION..........................................................................................................................8
REFERENCES...........................................................................................................................9
Appendix..................................................................................................................................10

INTRODUCTION
Customers are the most important part of any organization as they are the one which
helps in enhancing sales as well as profit margin of the company. In order to sustain in this
competitive business environment, supermarkets are changing the way they do business
(Gomez, McLaughlin and Wittink, 2004). For this, it is quite essential for them to assess
response of all their customers and provide them with high quality services as per their needs
and demands. In this regard, the present study will explore the marketing research process
and assess the importance of different types of information. Sainsbury is taken into
consideration as a case scenario where appropriate customer satisfaction survey is organized
in order to measure the level of consumer loyalty and satisfaction as well. Further, evaluation
of different techniques for assessing customer satisfaction also takes place in this report.
TASK 4
4.1 Evaluation of two techniques for assessing consumer response
With the help of two techniques, Sainsbury can easily assess their customer’s
response such as:
Direct Methods: In this technique, Sainsbury can directly contact with their customers and
get their valuable feedbacks. For this, some of the most common approaches which company
can use are as follows:
Receiving consumers feedbacks through third party agencies
Complaint handling department need to be settled in the store of Sainsbury and it can
become a first point of contact for getting customer feedback.
Direct methods also assess customer’s feedbacks through face to face conversation
Appreciation letter
Direct customer feedback through customer satisfaction survey and questionnaires
Further, all the above given methods help in assessing customer feedbacks in a uniform
way and assist in resolving queries for the appropriate customer satisfaction (Caruana, 2002).
In all the above techniques, face to face meetings highly create immediate issues whether
external agencies listen to their consumers and provide dedicated feedbacks to them. In
addition to this, the best way is to gather consumer responses with the help of survey. It
basically consists of uniformed questionnaire to get customer feedback from well segmented
customers. All the questions should be designed in an appropriate way so that customer can
respond in an appropriate way. However, another most effective way is surprise market visit.
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With the help of this technique, information about the different segment of products provided
to customers could be obtained effectively.
Indirect Methods: In the direct method, company is required to go through the pre compiled
preparations in order to implement (McKinney, Yoon and Zahedi, 2002). Under this, there
are different indirect methods regarding the assessment of customer responses which are as
follows:
Customer complaints: It is a method under which consumer can report any type of
issue or problem that may arise regarding specific product or service. Complaints are
measured as per their severity and seriousness. In case of diminishing customer complaints,
Sainsbury is performing well and customer satisfaction level is high.
Customer Loyalty: In order to increase the consumer loyalty, it is essential for
Sainsbury to regular interact with their customers. With the help of this, company can go
through customers’ needs and requirements and respond accordingly. A loyal customer may
come up for the revisit and by this supplier can indirectly measure the customer satisfaction.
4.2 Customer Satisfaction Survey for Sainsbury
Age
18%
38%
32%
12%
18-21
21-30
30-40
40+
The above graph shows the gender distribution of the sample respondents. On getting
the responses it was derived that 38% of the sample were in age group of 21-30 years, 32%
were in 30-40 years, 18% were in age group of 18-21 years and rest of them were 40+.
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Gender
male female other
32
18
0
The above graph shows the gender distribution of the sample population. On getting
the responses it was derived that majority of the sample population were male.
How long have you been a customer of our company?
less than a
month 1-6 months 1-3 years over 3 years never used
3
13
15
18
1
The purpose was to identify how long the people have been the customers of the
company. On getting the responses it was derived that most of the people have been the
customers for more than 3 years. From this it can be interpreted that Sainsbury enjoys a good
amount of loyalty from its customers.
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Overall, how satisfied were you with the product / service
22%
56%
6%
10% 4%2%
very satisfied
satisfied
neutral
unsatisfied
very unsatisfied
Not available
The main purpose of the researcher was to identify whether customers are satisfied
with the products and service of Sainsbury or not. On getting the responses it was derived
that majority of the respondents were satisfied from the products. It denotes that company
enjoys a high satisfaction rate.
Would you recommend our product / service to colleagues or contacts within your
industry?
definitely probably not sure probably not definitely not
0
5
10
15
20
25
30
35
Here the respondents were asked whether they would like to recommend the brand to
their colleagues or contacts. The majority of the responses answered definitely. It means they
would like to recommend the brand to other people. From this it can be interpreted that
Sainsbury is having good reputation in the industry. Customers are fond of its products and
services
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Would you use our product / service in the future?
48%
34%
8%
6% 4%
definitely
probably
not sure
probably not
definitely not
The respondents were asked whether they would like to use the products and services
in the future or not. The majority of the respondents stated that they would like to use the
products and service in the future. From this it can be interpreted that they have seen quality
and effectiveness in the products of the company.
How long have you used our product / service?
less than a
month
1-6 months 1-3 years over 3 years never used
8
10
18
14
0
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` The majority of the respondents stated that they are using the products and services of
Sainsbury from 3 years. It is a good loyalty period for a company. It reflects that company
has huge potential and can give tough competition to the other big players such as Tesco.
What aspect of the product / service were you most satisfied by?
quality price purchase
experience installation
or first use
experience
usage
experience customer
service repeat
purchase
experience
13
8 9
4 5 4
7
The respondents were asked what factors of service satisfy them the most. On getting
the responses it was derived that quality is the high rated factor. From this it can be
interpreted that quality is reflected in the products of the company.
What aspect of the product / service were you most disappointed by
6%2%
16%
14%
18%
40%
4% quality
price
purchase experience
installation or first use
experience
usage experience
customer service
repeat purchase
experience
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Here the respondents were asked what aspect of the product / service you were most
disappointed by. On getting the responses it was derived that customer service is the factor
which is disappointing the customers. Hence it shows that Sainsbury requires improvement in
the area of customer service. It is a crucial aspect in the retail industry.
Thinking of similar products / services offered by other companies, how you would
compare the product / service offered by our company
14%
34%
28%
24%
much better
somewhat better
about the same
somewhat worse
The respondents were asked to compare the products of Sainsbury with other
companies. On getting the responses it was derived that products were somewhat better and
much better as compared to others. It is possible due to presence of quality within the
services. On the other side, some of the people responded somewhat of same and somewhat
worse. It is due to drawback of bad customer services.
4.3 Success of the completed customer satisfaction survey
It can be determined that company’s success begins with the satisfaction of
customers. After conducting the complete survey it has been identified that the survey was
quite successful as majority of selected customers replied affirmatively. They have shared
their experience about the services of the company. It has helped Sainsbury in improving
their services as per their consumer’s needs and demands. In addition to this, some
respondents did not answer the survey which has created a huge problem at the time of
assessing appropriate and better response. In this way, it can be determined that on the basis
of the responses of some respondents appropriate result has been found. It is the best way to
take reviews from customers as they are more likely to provide honest feedback if they are
not speaking directly to a member of a company face-to-face. Further, it can be stated that the
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total customer satisfaction survey has proven to be very successful as majority of customers
have answered to the survey and defined their level of satisfaction as well.
CONCLUSION
From the above study it can be concluded that Sainsbury can easily measure the level
of their customer satisfaction and provide them with appropriate quality services on the basis
of it. Further, it helps them in enhancing their sales by fulfilling needs and demands of their
customers.
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REFERENCES
McKinney, V., Yoon, K. and Zahedi, F.M., 2002. The measurement of web-customer
satisfaction: An expectation and disconfirmation approach.Information systems
research. 13(3).pp.296-315.
Gomez, M.I., McLaughlin, E.W. and Wittink, D.R., 2004. Customer satisfaction and retail
sales performance: an empirical investigation. Journal of retailing. 80(4), pp.265-278.
Caruana, A., 2002. Service loyalty: the effects of service quality and the mediating role of
customer satisfaction. European journal of marketing.36(7/8).pp.811-828.
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Appendix
Questionnaire
 Age
18-21 21-30 30-40 40+
 Gender
Male Female Other
 Ethnicity
White
o English/Welsh/Scottish/Northern Irish/British
o Irish
o Gypsy or Irish Traveller
o Any Other White background
Mixed/Multiple ethnic group
o White and Black Caribbean
o White and Black African
o White and Asian
o Any other Mixed/Multiple ethic background
Asian/Asian British
o Indian
o Pakistani
o Bangladeshi
o Chinese
o Any other Asian background
Black/African/Caribbean/Black British
o African
o Caribbean
o Any other Black/African/Caribbean background
Other ethnic group
o Arab
o Any other ethnic group
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 How long have you been a customer of our company?
Less than a month 1-6 months 1-3 years over 3 Years never used
 Overall, how satisfied were you with the product / service?
Very Satisfied Satisfied Neutral Unsatisfied Very
Unsatisfied N/A
 Would you recommend our product / service to colleagues or contacts
within your industry?
Definitely Probably Not Sure Probably Not
Definitely Not
 Would you use our product / service in the future?
Definitely Probably Not Sure Probably Not
Definitely Not
 How long have you used our product / service?
Less than a month 1-6 months 1-3 years over 3 Years
never used
 How often do you use product / service?
Once a week 2 to 3 times a month once a month Less
than once a month
 What do you like about the product / service?
________________________________________________________________
________________________________________________________________
________________________________________________________________
__________________
 What do you dislike about the product / service?
________________________________________________________________
________________________________________________________________
________________________________________________________________
__________________
 What aspect of the product / service were you most satisfied by?
Quality Price Purchase Experience Installation or
First Use Experience Usage Experience Customer Service Repeat
Purchase Experience
 What aspect of the product / service were you most disappointed by?
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Quality Price Purchase Experience Installation or
First Use Experience Usage Experience Customer Service Repeat
Purchase Experience
 Thinking of similar products / services offered by other companies, how
would you compare the product / service offered by our company?
Much Better Somewhat Better About the Same Somewhat Worse
 Have you ever contacted customer service?
Yes No
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