Understanding and Engaging in Customer Experience

This study explores the factors that influence an organization's ability to maximize customer value, focusing on the case study of Asda. It examines the dimensions of customer value and the quality process, including the SERVQUAL model. The study also discusses the importance of customer engagement and the role of technology in enhancing customer experience. Additionally, it highlights Asda's commitment to sustainability and its impact on customer value.

Understanding and engaging in
customer experience

Executive summary
Company's success is completely relied upon the quality and service offered to the
customers and their reaction towards the company. In the same way, current study is based upon
the case study of Asda which offered range of product by complying the quality as well as cost.
So to identify the factor which influence the organization's ability to maximize the customer
value, 5 dimension of customer value used which is based upon time and cost, quality,
technologies, buying experience and respect for an environment. On the other side, for quality
process, 5 dimension of service quality is used that is SERVQUAL model which is completely
depend upon the quality of offered product is up to the mark or not.

TABLE OF CONTENTS
Executive summary..........................................................................................................................2
INTRODUCTION...........................................................................................................................1
1.0 Critically analysing the factor which influence the organization's ability to maximize
customer value........................................................................................................................2
2.0 Systems that supports the quality process in an organization and the extent to which it is
effective enough in meeting with the consumer requirements...............................................5
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
To survive in the competitive era, every company wants to provide the high quality of
service to their customers in order to keep engaging the customers. So, customer engagement is
an emotional connection between a customers with a brand. It is so because highly engaged
customers buy more and show more loyalty as compared to normal customers. That is why, it is
a responsibility of the organization to make sure that they provide high quality product in order
to provide better customer experience which in turn lead to enhance the performance of a
company. In the same way, current study is also shed a light upon the how the company manage
and engage within a customer experience.
The chosen firm for this study is ASDA, which is deal in retail sector that provide range
of product and faces tough competition in a market as well. So, with the help of case study of
Asda, present report will determine factors who affect the organization's ability so that it aid to
maximize the customer value. On the other side, report also determine the quality process and
with the help of theories, report will analyse how the system are effectively meeting the
customer requirements too.
Overview of a company:
Asda is the top retail firm whose headquarter is in England UK, the company is a top
British supermarket retailer who deal in variety of products. Such that from 2019 April,
company is stand in the second place behind Tesco as per the market share. Asda also focus on
the high quality of product and that is why, it is mostly preferred by the customers because it
maintain its quality and price which keep attracting the customers towards it. In the same way,
there are many situations where company losses its financial performance because it is mainly
concern about the quality of the service offered. Thus, to sustain in the competitive era, it is
necessary for the company to make sure that these both things are well managed and this in turn
assist the firm to keep attracting new customers and also engage them towards a business. Also,
it is analysed from the secondary study that Asda is mainly focused upon the quality and that is
why, it is also uses many models and technique in order to manage the quality of every food
product, clothes and groceries which in turn help to enhance customer and maintain trust within
a firm as well.
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1.0 Critically analysing the factor which influence the organization's ability to maximize
customer value
To stay ahead in the competitive era, companies should consider the customer value and
even customer satisfaction is the overall impression of a customer about a supplier and services
or product offered by the company. Under this there are many factors which also affect the
overall customer value in both positive and negative manner. Hence, in these days, brands must
try harder in order to create and communicate the values at very cost because their main target is
to attract customers and with the help of efficient skills of an employees, company is able to
maximize the customer value as well (Aulia, Sukati and Sulaiman, 2016). Even during
purchasing any product, customer compare their perceived value of similar products while
making a decision. In the similar way, if the product is expecting huge amount of financial and
manual resource then a customer is not satisfied with a product, company has to bear a loss and
this in turn leads to affect the sales of a firm. There are many factors which influence the
organization's ability to manage the customer value , so by using 5 dimension of customer
value, these factors are as mention below:
Quality of a product and services: Customer satisfaction is completely relies upon the
quality of product they get from customers because it is analyzed that higher level of quality got
a result in greater customers value and even they are ready to pay higher amount for the firm as
well. So it is analyzed that there is a positive relationship between the product quality and
maximization in customers values (Haghighatnia, Abdolvand and Rajaee Harandi, 2018). For
example, company uses six sigma and total quality management theory in order to make sure
that the customer are get proper and high standard of product. On contrary, poor quality of
product and services also have an negative impact upon the customers and this in turn leads to
cause lower down the customer loyalty. Also, for driven the customer, company should also
meet the customer expectation and understand the buying experience so that they will get an
option to improve the market share.
In addition to this, Asda is mainly focused on the quality of product as compared to other
and that is why, it will help the company to meet the satisfaction level of customers. Further,
quality is not only help to creates positive impression for customers but it also help to pressurize
customers to visit the place again (Yan and Chiou, 2020). In the same way, there is a need to
manage the quality because it directly related to brand value of a company.
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Cost and time: Price and timely delivery of any product is further consider the important
element o the customer values. Such that customer generally do not prefer to purchase low price
product because they think that if the product cost is low then the quality of a product is not up
to data and this in turn affect the overall performance in negative manner. For example, Asda do
not focus high on the price of the product but it maintain quality, but it does not mean that
company is offer low grade product (Jung and Jin, 2016). It actually uses penetration pricing
which means the company is offering the product at low cost , in order to attract range of
customers towards it. Also, in season time, company offer the product at discount rates which
means that the firm is trying to attract range of customers towards it and this in turn enhance the
sales as well. Also, with pricing or cost, Asda is also able to influence the company's ability in
order to maximize customer value.
On the other side, time is refers to the product deliver at time or not. As company also
dealing in the online firm which means for generate good customer value, there is a need to offer
timely delivery so that they keep satisfy the need of customers. In addition to this it is also
provide card facilities for their regular customer I.e. Volunteer shopping card which in turn leads
to generate the best value among customers (Minnema and et.al., 2018). Therefore, it is clearly
determine that for satisfying the customer value, there is a need to offer the timely product with
premium pricing strategy which in turn leads a company towards positive direction as well.
Technologies (Innovation): It is all about the innovation and advance techniques which
also creates a positive impact upon the customers. Also, technological advancement in customer
service is all about to use to digital channels so that they get good customer experience and
higher standard as well. Such that in the era of competition, there are many ways through which
company is able to attract customers and majority of the cases firm provide innovative products
in order to satisfy the need of customers as well. Further, retailers are mainly focused on the
customers happiness and well- being of their customers and for that they may generate
innovative product that help to meet the define aim (Omar and et.al., 2020). In pure competition,
it is clearly reflected that with the help of technologies, company is able to take analyze the need
of customers and this in turn determine the customers perception in regards to offered product as
well.
For example, in Asda installed advance technology for building cost effective loyalty
platform. Under this system, company provide time saving payment method so that it will not
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take any extra time of customers and this in turn leads to enhance the customer value and satisfy
the need of customers as well. Moreover, it also develop 360 degree laser checkout which
provide fast and innovative shopping experience to their customers. Through this method,
groceries are pass through the bagging area and this in turn help to save time and provide
shopping experience to the customers as well. Also, the use of technology also reflect form the
launching of Asda's unmanned store where customer order their product online which are further
drive to unnamed store where they are able to collect the order from an automated locker. After
that proper scanning is perform through which customer get their own product (Rintamäki and
Kirves, 2017). These all example clearly shows that by providing technological product,
company is trying their best in order to provide better experience to their customers.
Also, it keep providing innovative product such that new packaging style which in turn
help the company to meet the define aim and this in turn assist to keep satisfying the customers
within a limited product.
Buying experience: Another important dimension of a customer value in which
company is mainly focused upon its research and development department so that they will
come to know the behavior of the customers and their purchasing style. If the customer get a
better experience from the company, which means that company is able to meet the demand and
this in turn leads a business towards positive direction. In order to identify the trend of customer
buying experience, it is necessary to invest within R&D department of Asda so that it will be
easy to examine the overall performance (Sawhney, 2017). Apart from that, quoted firm also
take a feedback from the customers in order to determine their shopping experience is good or
not, or else there is a need to add on the things within a premises.
Also, if company offer high quality of product which mean the chances of earning high
revenue is increases and that is why, it is necessary for Asda, that to get better customer
experience they should provide the best quality of product with a positive perception towards a
brand (Ukpabi and et.al., 2020). Such that majority of customers take a review before purchasing
any product and that is why, it is essential for the company to offer high quality of product
which in turn draw attention of many customers towards it.
Respect for an environment: In the modern era, customers also make sure that the
product which they purchase is not cause any negative impact upon the environment because if a
firm uses low quality of packaging material which leads to creates negative impact upon
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environment then customer do not prefer to buy product from that particular store. Similar way,
Asda make sure that in order to maximize the customer value, company focused upon the
sustainability because it is an approach which quoted organization uses in order to protect the
environment (Tommasetti, Troisi and Vesci, 2017). Hence, company remove unnecessary plastic
and try to use new recycle content for packaging material and also remove 8000 tonnes of
packaging from 2018. this is a good initiative which is used by the company and by 2025 it is
also commit to use all packaging material being recycled. In addition to this, Asda also focused
upon the zero waste strategy through which the customer value is generated also for
transportation, it uses trucks and cars who reduce the emission up to 60% and this is also clearly
reflected that company is working better and smarter in order to comply with respect for an
environment.
Also, it is clearly determine that most by complying with all the 5 dimension of customer
value are easily help to maximize the customer satisfaction so that it will help to lead a business
towards a positive direction.
2.0 Systems that supports the quality process in an organization and the extent to which it is
effective enough in meeting with the consumer requirements
It is very essential for the business organization in meeting with the changing business
requirements. In order to do this, it is crucial for the organization to invest into various
techniques and processes which will help in enhancing the customers experience level. Along
with this, it is very clear that in the current situation the competition is very tough which makes
it very essential for ASDA in to manage its business process in respect to quality with the
objective to retain the customers and achieve success.
Every customer is having some expectations of the services that they would be receiving
when they move out to places like restaurants or stores. The service quality measures the aspects
such as well the service can be delivered to the end customer in comparison to what the
customer expected. The business organizations which meets the requirements or exceeds the
expectation are likely or considered to have higher service quality (Tešić, 2020). For example, in
ASDA store, where the customer can expect that the store employee would be definitely
knowing where the particular stuff is, in such cases when the staff provides the right service at
the right time will be considered high in terms of service quality while on the other hand, where
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the staff is unaware about the place where the product is arranged will be considered poor in
service which will overall affect the business of the organization.
Before implementing any technique, it is important for ASDA to grab some crucial
aspects related to quality service. There are 5 dimension in association to the service quality
having an impact over the satisfaction level of the customers. It is known as SERVQUAL
model.
These dimensions are utilized determining the service quality gap which states about the
difference between what the customers expected and the value perceived by the customers. It
can be considered as an appropriate assessment tool for the purpose of assessment of the service
quality. A detailed description about each of these factors have been discussed below.
Reliability
It refers to the ability of the organization in performing the promised services dependably
and accurately. Business organizations makes promises with respect to timely delivery, service
provisions and factors like pricing. Thus, customers expects that the organizations will perform
and keep their promises. Even customers like to engage with the organizations who know how to
keep their promises. This is an important element in the service quality which shows the
perception of the customers with loyalty. Therefore, it becomes essential for the service firms
like ASDA to be aware of this dimension which relates to the customers expectations in terms of
reliability. In ASDA, the key reliability related dimensions includes — regularity, consistency,
attentive towards the customers complaints, providing complete information and so forth.
Customers count on their service providers and also values that reliability. Customer values
reliability more than anything else.
For instance, there is a situation in which a particular product is not available in the
ASDA store, to which the staff of the store said that the product will be made available after two
days and asked the customer come after two days (Sivapalan and Jebarajakirthy, 2017). Then
under such situation, it is the responsibility of the staff of the store to make the product available
on time and meet the expectations of the customer. If the staff fulfils their promise, then it will
pass the reliability dimension as the consumer will consider ASDA as a reliable business.
Therefore, ASDA has created an environment in which the customers can easily rely on the staff
and ensures that they will perform they promise on time.
Responsiveness
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This dimension states about the willingness of the organization in respect to meeting
with the customers need by providing them help and prompt services. The focus of it is in
attitude and promptness on account off dealing with the customers requests, queries and any
other problems that they might face. This dimension also focusses on the timeliness and
professional commitments of the employees towards helping the customers and resolving their
problems. In case of ASDA, it can be easily measured by analysing the amount of time it took to
resolve or provide assistance to the customers or answering their queries and so forth (Jiang, Jun
and Yang, 2016). This can be further improved by continuously monitoring the process of
service delivery along with the willingness and attitude of the staff of the organization.
It can be understood in a better way with the help of an example. For instance, in case a
customer calls the store to make a complaint about the product being purchased, in such
situation, the customer should not be put on hold for long like an hour for resolving the problem
being connected on the line with the store staff. The call should be taken prompt and should be
considered very urgent. This will help in meeting the dimension of responsiveness in a better
way leading to effective and better management customers and service quality. ASDA is very
responsive in terms of managing its customers as well as meeting with the queries of them on
time. This has resulted into better and positive service quality of the organization.
Assurance
This is the third dimension which is defined as the employee's knowledge along with the
ability of the organization and its staff to inspire and bring trust and confidence among its
customers. It is a very important dimension in retail organization, such as ASDA as there is
always a feeling of uncertainty among the customers about the ability of the employees to
evaluate the result. It is important for ASDA to establish and build the relationship of trust and
loyalty in between the customers and the key personnel dealing with them (Milner and Furnham,
2017). The main aim of this dimension is to ensure that the employees are having complete
knowledge about the job with relevant skills, accuracy and so forth.
In respect to this dimension, ASDA has been able to communicate their expertise and
competencies. For example, there is a new product being launched by the organization, then the
customer will be asking about the features and benefits and usage of the product. Under such
circumstances, the staff of store is required to have complete knowledge of that product
otherwise it will create a sense of doubt in the customers. Thus, ASDA always makes sure that
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all its staff are well aware of the new product and is having complete knowledge and skills to
make sure that they can effectively explain the things to the customers and answers to any of
their queries and making the customers feel comfortable about the product. This has positively
affected the ASDA which has resulted into higher customer service quality.
Illustration 1: The five dimensions of SERVQUAL. (Source: Understanding the
SERVQUAL Model. 2020)
Empathy
The another dimension of service quality is empathy which can be defined as caring,
providing individual attention to the customers by ASDA. This dimension is mainly aims at
conveying the meaning by providing personalized services which refers to the meaning that
customers are unique and special to the organization (Keshavarz and Jamshidi, 2018). It states
about the variety of services that meets the needs of the customers either individualized or
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personalized. In ASDA, it is important for its staff to understand the personal needs and
preferences of the customers.
For example, there is a situation when the customer cleans spills something on the floor
and the service provider efficiently cleans up the space but during the cleaning process the
service provider does not smile or makes an eye contact with the customer or asks the customer
about is there anything else they could do for them. In this situation, the service provider has
performed the service fully but the customer does not feel that the service provider cared about
them. Thus, ASDA makes sure that all its employees are being trained in respect to how to
behave and how they will be judged even if it is not their fault. This makes its staff to be more
empathy towards its employees.
Tangibility
This dimension states that even though service in tangible but the service quality is
tangible which can be considered based on the appearance of the tangible facilities which is
being provided by the organization, equipments, communication and other technological
aspects. All these aspects provides a various hint to the customers with respect to the level of
services being provided by the organization. Further this dimension, works on enhancing the
image of the entity which might require ASDA to incur additional expenses for making
everything look tangible and tractive to the customers. For example, in any of the ASDA store,
the facilities and the things provided there should be arranged in such a manner that it attracts
the customers towards and also it should create a sense of positivity in the environment which
makes the customers feel happy and hygiene by making et surrounding clean (Miranda Veloso,
2017). Also, proper measures have been taken with respect to the health and safety of the
customers. Apart from this other factors like the store is well decorated, staffs are well dressed
and having a smiling face. All these things have a positive impact over the customers which
makes them feel the value of customers to the organization is much higher than the profits.
All these above stated dimensions of service quality are together makes the services
quality and each of these factors are dependent upon one another for bringing better results. All
these things are required to be considered by ASDA for ensuring better and quality services to
its customers (Tannady, Nurprihatin and Hartono, 2018). These dimensions can also be used by
the organization for the purpose of comparison among the various service industries as these
dimensions are having a direct linkage with the customers decision making. Customer's
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assessment involves expectations and perceptions which are covered in these five dimensions of
SERVQUAL. The service provider is required to work on all these aspects and is required to put
emphasis in order of importance.
Following these dimensions, is not the only thing but there are further other steps to be
taken by the organization. ASDA has clearly understood these and is works in collecting the
feedback of it customers regularly so that it can effectively understand the customers
perspectives, needs and preferences based on which they can implement certain actions in place
with the objective of enhancing and improving the customer service quality level. This will also
help in meeting up the changing customers trends and requirement which will add to the
competitive advantage of the company. All these things, will lead to better and improve
performance of ASDA which assist it in achieving the desired goals and objectives in a far better
way.
CONCLUSION
By summing up above report it has been concluded that Asda has a brand value at global
level and that is why, it is essential for the business to make sure that its maintain the quality of
the offered product in order to sustain the customer value. That is why, study concluded the five
dimension of customer value, such that quality of product, price and timely delivery, buying
experience, environment focused and usage of technologies. Through this key dimension, it is
clearly determine that customer are easily satisfied only when company is able to provide time
delivery, effective cost price and innovative product and these all things are complied by Asda
that is why, it is in 2nd top position within a firm. Further, study also concluded that by using 5
dimension of service quality i.e. SERVQAL model, it is easy to determine the quality of process
and also provide gap analysis of an organization's service quality against the service quality need
of their customers. Also company's quality of services are high and that is why, it measure the
customer expectation and experience in order to meet the define aim and objectives.
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