MKT2046: Managing Customer Experience Report on Greggs

This report delves into the customer experience management of Greggs, a British bakery chain. It begins by identifying Greggs' customer segments based on geographic and demographic factors, followed by the development of a customer persona for the most relevant segment, which is 14-30 age group. The report then defines a targeting and positioning strategy to maximize business performance, considering competitor analysis and perceptual mapping. Furthermore, it proposes succinct marketing communication ideas to improve customer relationships and satisfaction, including advertising and public relations. The report concludes with a detailed configuration of the 7Ps marketing mix (Product, Price, Place, Promotion, People, Process, Physical Evidence) aimed at enhancing customer satisfaction and loyalty, positioning them on the loyalty ladder, while also taking into consideration the Leaky Bucket Theory and trade-offs.

Managing Customer
Experience

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK 1............................................................................................................................................3
Identification of Greggs’ customer segments and their characteristics/size and development of
a customer persona for the most relevant segment......................................................................3
TASK 2............................................................................................................................................5
Defining a targeting and positioning strategy for the firm target market to maximise the
business performance...................................................................................................................5
TASK 3............................................................................................................................................7
Develop succinct Mar-Comm ideas, to establish/improve the relationship with existing and
new customers and enhance/evaluate their satisfaction...............................................................7
TASK 4............................................................................................................................................8
Configuration of a clear and well supported Marketing Mix (7Ps) with the aim to enhance
customers’ satisfaction and loyalty..............................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Customer experience is concerned with everything that is associated with a business
which impacts the perception as well as feelings of the customers about it. It concentrates on the
relationship between the market share and business. Within this report, Greggs is taken into
consideration as an organisation that will demonstrate different aspects of this report. There will
be identification of the customer segments along with their characteristics and developing
customer persona for the most relevant segment (Batat, 2019). Moreover, this report also
includes defining a targeting as well as positioning strategy for firm target market to maximise
business performance. Furthermore, there will be discussion on the marketing communication
ideas for establishing and improving relationship with existing and new market-base along with
enhancing their satisfaction. In addition to it, this report also covers well-defined marketing mix
of organisation for enhancing customer satisfaction, loyalty and position on loyalty ladder with
explanation on Leaky Bucket Theory and trade-offs.
MAIN BODY
About the company
Within this report, Greggs Plc is taken into consideration which is British-based bakery
chain organisation and specialised in savoury products like sausage rolls, bakes, sandwiches as
well as sweets consist of vanilla slices and doughnuts. The respective organisation is
headquartered in Newcastle on Tyne, England. The company knows its market share effectively
in comparison to the most other retailers as well as adapting to the demand.
TASK 1
Identification of Greggs’ customer segments and their characteristics/size and development of a
customer persona for the most relevant segment
Customer segments in context to Greggs:
Customer segmentation is considered as a process through which an organisation can
divide its market share on the basis of common characteristics or features (Caboni, 2020). There
are different factors on which the customer segmentation can be done some of these factors
include demographics, geographics, behavioural and many others. These customer segmentation
groups can also be used for starting discussions of developing a marketing persona. The most
relevant market segments of Greggs are discussed as under:

Market segment base Description
Geographic It includes different geographic units such as cities, countries,
states, continents and many other. This kind of segmentation
factor is extremely efficient for Greggs within the international
markets as the potential customers have distinct cultures,
preferences as well as management systems (Dou and et.al.,
2019). On other hand, if cost of transportation is critical cost in
the delivery of value proposition then it is prudent for doing
geographic segmentation because costs of serving customers in
distinct locations will be entirely different. The relevant segment
under this base for Greggs is location such as countries, cities,
etc.
Demographic This consists of gender, income, occupation, age, ethnicity,
religion and generation, etc. As products of Greggs offer a great
value proposition, it should segment its customers on two main
demographic criteria and these include income of potential
customer and life cycle stage. The relevant segment under this
base for Greggs is age group.
Customer Persona
A customer persona is considered as a semi-frictional image of ideal customer which gets
recognised with help of research as well as analysis of information in relation to existing market-
base. There are different factors which are considered like customer demographics, motivations,
behavioural patterns and objectives (Hietanen, 2022). This facilitates in understanding different
groups of customers and their needs which enable Greggs in developing effective customer
experience strategies that concentrate on customers. This is essential to first create customer
persona which is given as under in context to Greggs:
Demographics and Story Company target people of age group of 14-30
years who are able to understand the features
and benefits of the products.

Profile It offers a wide variety of food products such
as sausage rolls, bakes, sandwiches as well as
sweets.
Motivations for using products of Greggs People like Greggs products as it is providing
superior quality food products along with
providing an extra offer in the form of discount
or vouchers to maintain customer loyalty
(Koetz, 2018).
Goals for using Greggs products Providing superior quality of food products to
potential customers.
Pain points the products of Greggs solves Mostly customer used to face the issue of
quality of products relevant to price. Greggs
can solve this problem through using high
quality raw materials in preparation of food
products and sell them at a considerable price
which is less in comparison to the prices of its
competitors products.
Research methods that can be used by Greggs
In order to find ourt marketing information regarding consumer segments and relevant
characteristics, Greggs could use the research methodology of qualitative of primary research
including market resarch which would help it in carrying out related information. The
segmentation variables that can be adopted here include demographic and geographic (McColl-
Kennedy and Zaki, 2022).
In order to find out the information of levels of actual subscribers' satisfaction, the
research method that can be used by Greggs is Quantitative research methodology in which a
survey research will be conducted that is used for accumulating te information or data from a set
of panel or respondents.

TASK 2
Defining a targeting and positioning strategy for the firm target market to maximise the business
performance
Competitors’ analysis
A competitor's analysis is the process of recognising the competitors within an industry
as well as researching their differentiated strategies of marketing. This kind of analysis can be
used as a point of comparison for the purpose of identifying the strengths and weaknesses of an
organisation in relation to each competitor. The competitor's analysis of Greggs is given as
under:
Basis of comparison Description
Pricing The pricing strategy of Greggs is Value based pricing strategy which is
as same as of the pricing strategy of its competitors such as Finsbury
Food Group, Grupo Bimbo, Treasury Wine Estates, etc (Pekovic and
Rolland, 2020).
Perceptual map This is a chart that helps in expressing as well as understanding how
target customers view and feel regarding a given product or brand. In
context to Greggs, the feelings and views of customers about its
products include that the brand provides great tasting, freshly prepared
food that is accessible to everyone. While in relation to its competitors,
the target customers feel and view that the products of competitors are
of low quality in comparison to Greggs products.
Market share Greggs serves over 6.5 million customers each week from its shop
network and has estimated that it has around 5% market share within
the UK "food-on-the-go" sector. While market share of its competitors
such as Grupo Bimbo is 3.6% of the global baking industry.
Points of parity It includes ownership of supply chain, various service channels for
customers and over 2200 shops worldwide. The uniqueness within
Greggs is to make great tasting, freshly prepared food accessible to
everyone (Rogers and Peppers, 2022). While its competitors like

Finsbury Food Group, the organisation makes every day special through
raising quality as well as efficiency standards and developing long-term
relationships within marketplace.
Points of difference In context to Greggs, the premise is affordable as well as accessible
food at all times of day. As well as expanding its hot drinks and
breakfast offerings, Greggs has also generated favour with its 'balanced
choice' range, which includes salads and other healthier choices
Ideas on which targeting strategy should Greggs adopt to reach the relationship and loyalty
objectives
After identifying different segments of the market within the marketplace, Greggs is
required to target a particular market. The choice of target market in context to Greggs include
demographic and geographic in which the segmentation is based on location as well as age group
(Roy, 2018). From the among two targeting strategy, the company should target age group of 14
to 30 years. The reason behind choosing such targeting strategy is that in modern era, youngsters
are likely to buy the products such as doughnuts, cakes and many more. So it will be beneficial
for Greggs to target the youngsters towards organisation. This will help the company in reaching
the relationship and loyalty objectives
Positioning strategy for the firm target market
Greggs can form relationships with it customers to move them up the loyalty ladder that
are concentrating on the retention of customers instead of acquisition in various ways. The
respective company is required to position its products in such a way that it helps in creating a
unique and differentiated image, providing a particular identity or reference point of food
products within the minds of customers. For better positioning of products of company,
organisation can use different promotional channels that include online and offline advertising,
public relations, digital marketing and many more.
TASK 3
Develop succinct Mar-Comm ideas, to establish/improve the relationship with existing and new
customers and enhance/evaluate their satisfaction
Different Marketing Communication Tools

There are multiple tools of marketing communication that facilitate an organisation in
interacting with a large number of customers within the workplace (Shi and et.al., 2020).
Marketing communication tools play a significant role within Greggs in keeping the workplace
informed as well as connected. Such tools make sure that there is effective as well as better
connectivity among the employees and management of the organisation. Some of the marketing
communication channels are described as below in context to Greggs:
 Advertising: Greggs use such method for sharing information with customers regarding
its products like sausage rolls, bakes, sandwiches as well as sweets which will enhance
productivity of company. The main advantage of this kind of communication mix is that
will help the company in expanding its market and thereby sales through introducing its
new products or services within market place.
 Public relations and publicity: Through this approach, company can inform and
communicate with people in a direct way through understanding customers needs and
maintaining good relations with them (Smit and Melissen, 2018). The advantage of this
type of communication mix is that it influences the market share towards the products
introduced by company. As audiences are more likely to trust information coming from
an objective source instead of paid-for advertising messages.
Justification of appropriate marketing communication tool
From above explanation, it can be justified that Greggs must use marketing
communication tool of advertising as it will help company in capturing more customers and
gaining sales through introducing its products within marketplace. This will also help
organisation in chasing competitive benefits over competitors within marketplace.
TASK 4
Configuration of a clear and well supported Marketing Mix (7Ps) with the aim to enhance
customers’ satisfaction and loyalty
Marketing mix is a tool that helps an organisation in formulating as well as developing
effective strategies to promote new products in marketplace (Stein and Ramaseshan, 2020). The
different elements of marketing mix are described below in the table:
Elements Description
Product The product of Greggs include sausage rolls, bakes, sandwiches as well as

sweets consist of vanilla slices and doughnuts that directly satisfy the needs
and wants of the target market who belong to the age group of 14 to 30
years. The company is providing its products at superior quality that helps
in maintaining the customer loyalty towards the business.
Price The pricing strategy followed by Greggs is Value-based pricing strategy in
which an organisation mainly depends on its customer's perceived value of
products being sold. This helps in maintaining customer loyalty towards
organisation.
Place It includes that organisation has over 2200 shops nationwide and is required
to operate throughout the world in different locations as per segmentation
strategy.
Promotion The company used social media marketing, digital marketing, online and
offline marketing for promoting its products to more and more customers
(Venkatesan, Petersen and Guissoni, 2018).
People There are skilled, talented and experienced manpower within workplace
conducting different business operations and fully satisfying customers.
Process The organisation is using MIS for managing its data or information in an
effective and appropriate way (Waqas, Hamzah and Salleh, 2021).
Physical evidence The website of company is more attracting that helps in maintaining
customer loyalty towards business of Greggs and also behaviour of
employees plays a crucial role in satisfying customer-base within the
marketplace.
CONCLUSION
From above explanation of report, it has been concluded that customer experience
promotes loyalty and also facilitates organisation in retaining market-base along with
encouraging brand advocacy. This report has been included identification of market
segmentation and customer persona for achieving business objectives effectively. There has also
been an explanation on targeting and positioning strategy for target market of organisation.

Moreover, this report has also been included different marketing communication ideas or tools
for improving and establishing relationships with potential and new customers. Furthermore,
marketing mix has also been conducted in this report that helps the company in fully satisfying
its customers and maintaining their loyalty with the brand in an effective manner.

REFERENCES
Books and Journals
Batat, W., 2019. Experiential marketing: Consumer behavior, customer experience and the 7Es.
Routledge.Batat, W., 2019. Experiential marketing: Consumer behavior, customer
experience and the 7Es. Routledge.
Caboni, F., 2020. Managing the Customer Experience within the Town Centre Retail.
In Managing Customer Experiences in an Omnichannel World: Melody of Online and
Offline Environments in the Customer Journey. Emerald Publishing Limited.
Dou and et.al., 2019. Outcomes of entrepreneurship education in China: A customer experience
management perspective. Journal of Business Research, 103, pp.338-347.
Hietanen, E., 2022. Managing omnichannel customer experience through customer journeys in
the automotive industry.
Koetz, C., 2018. Managing the customer experience: a beauty retailer deploys all tactics. Journal
of Business Strategy.
McColl-Kennedy, J. R. and Zaki, M., 2022. Measuring and Managing Customer Experience
(CX): What Works and What Doesn’t. In The Palgrave Handbook of Service
Management (pp. 729-744). Palgrave Macmillan, Cham.
Pekovic, S. and Rolland, S., 2020. Recipes for achieving customer loyalty: A qualitative
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Rogers, M. and Peppers, D., 2022. Managing customer experience and relationships: a strategic
framework. John Wiley & Sons.
Roy, S., 2018. Effects of customer experience across service types, customer types and
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Shi and et.al., 2020. Conceptualization of omnichannel customer experience and its impact on
shopping intention: A mixed-method approach. International Journal of Information
Management, 50, pp.325-336.
Smit, B. and Melissen, F., 2018. Sustainable customer experience design: Co-creating
experiences in events, tourism and hospitality. Routledge.
Stein, A. and Ramaseshan, B., 2020. The customer experience–loyalty link: moderating role of
motivation orientation. Journal of Service Management.
Venkatesan, R., Petersen, J. A. and Guissoni, L., 2018. Measuring and managing customer
engagement value through the customer journey. In Customer engagement
marketing (pp. 53-74). Palgrave Macmillan, Cham.
Waqas, M., Hamzah, Z. L. B. and Salleh, N. A. M., 2021. Customer experience: a systematic
literature review and consumer culture theory-based conceptualisation. Management
Review Quarterly, 71(1), pp.135-176.