University Report: Tesco Clubcard vs. Waterstones Card - BUSN20019

This report, a project proposal for BUSN20019, compares the Tesco Clubcard and the Waterstones Card customer loyalty programs. The research, based on market leaders in the UK, aims to analyze and contrast these programs using loyalty and efficacy theory. The study poses research questions to assess customer satisfaction and the benefits of each card, identifying dependent and independent variables. Secondary data and search terms related to loyalty programs, efficacy theory, and customer relationship management are included. The report references key academic sources such as Dorotic, Bijmolt, and Verhoef (2012 & 2017), and Ramanathan et al. (2017) to support the analysis of customer loyalty, program impact, and future research directions. The goal is to determine which program provides better customer satisfaction and offers more effective benefits.

Student Name, Student ID BUSN20019 Assessment 1.1
Comparison between customer loyalty programs over efficacy level: The Tesco Clubcard and
the Waterstones Card - Assessment 1 Step 2: Project Proposal
Name of the Student
Name of the University
Author’s Note

Student Name, Student ID BUSN20019 Assessment 1.1
Field of Research: Based on market leaders in UK supermarket and book retailing sector,
Tesco and Waterstones resides in dominating and competitive positions. Moreover, Tesco
and Waterstones both stores operate with customer loyalty program in form of card. The field
of research emphasized that customer choice and decision-making should be investigated
over comparing two loyalty programs. The dissertation aims to provide detailed outcomes
related to comparison and contrast about customer loyalty programs that Tesco and
Waterstones offer to customers. Loyalty and efficacy theory can be utilized for determining
the comparison between two selected loyalty programs in this agenda.
Secondary Data: Significant level of secondary data existed in
https://www.researchgate.net/profile/David_Woisetschlaeger/publication/
216429493_Consequences_of_customer_loyalty_to_the_loyalty_program_and_to_the_comp
any/links/00b7d526a543b88456000000.pdf where loyalty program impact and consequences
are discussed. Furthermore, in this PDF,
https://brage.bibsys.no/xmlui/bitstream/handle/11250/2392198/Dorotic_ML%202015.pdf?
sequence=1 future research scope and agenda is discussed about retailing organizations.
Research Question: Based on the agenda, the study required to analyse comparison and
contrasting factors between Tesco Clubcard and the Waterstones Card; the research question
is: RQ1: What are the major comparison aspects between Tesco Clubcard and the
Waterstones Card? RQ2: Does Tesco Clubcard provide better customer satisfaction?
Dependent Variable: Customer Satisfaction and Independent Variable: Benefits of Tesco
Clubcard RQ3: Does Waterstones Card provide better customer satisfaction? Dependent
Variable: Customer Satisfaction and Independent Variable: Benefits of Waterstones Card
Search Terms: Loyalty programs; Efficacy theory; Tesco loyalty program; Waterstones
loyalty program; company loyalty; preference; intention; behavioural consequences;
customer relationship management; performance assessment; partnership loyalty program
Merged Articles and Reference List:
Dorotic, Bijmolt and Verhoef (2012) claimed that gathering customer loyalty is essential part
of marketing. Ramanathan et al. (2017) suggested that loyalty program and gift card could be
major way to attract several new customers to avail benefits of loyalty program. However,
efficacy theory suggests that customers has major tendency of following beneficial loyalty
promotion based on their daily retailing purchases. Bijmolt, T. H., & Verhoef, P. C. (2017)
stated about current findings about loyalty benefits and major advantages in purchasing.
Dorotic, M., Bijmolt, T. H., & Verhoef, P. C. (2012). Loyalty programmes: Current
knowledge and research directions. International Journal of Management
Reviews, 14(3), 217-237.
Bijmolt, T. H., & Verhoef, P. C. (2017). Loyalty Programs: Current Insights, Research
Challenges, and Emerging Trends. In Handbook of Marketing Decision Models (pp.
143-165). Springer, Cham.
Ramanathan, U., Subramanian, N., Yu, W., & Vijaygopal, R. (2017). Impact of customer
loyalty and service operations on customer behaviour and firm performance:
empirical evidence from UK retail sector. Production Planning & Control, 28(6-8),
478-488.