Exploring Product Customization in Retail: A Case Study of John Lewis

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Case Study
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This case study investigates the current trend of product customization in the retail sector, using John Lewis Partnership as an example. It covers the company's history, identifies areas of failure such as poor management, lack of capital, overexpansion, changing customer behavior, lack of innovation, economic reasons, and ignoring competitors. The study highlights current trends like online selling, omni-channel usage, increasing supply chain efficiency, and social media utilization. A SWOT and PESTLE analysis are conducted to evaluate John Lewis's strategic position. The report concludes with recommendations for John Lewis to focus on changing customer behavior, environmental analysis, and innovation to improve its market position and organizational productivity, emphasizing ethical and social awareness in its business practices. Desklib provides access to similar case studies and solved assignments for students.
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Contents
Contents...........................................................................................................................................2
TOPIC..............................................................................................................................................1
INTRODUCTION...........................................................................................................................1
Purpose of the report....................................................................................................................1
Recommendations............................................................................................................................6
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7
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TOPIC
Current trend of product customisation in retail sector.
INTRODUCTION
Retail sector of UK is considered as the one of the largest sectors of the region because it
is contributing a huge amount in GDP of it. There are various trends which are taking place in
retail sector. Product customization is one of the major trends in the whole industry. It is focused
by various organizations as it helps them to strengthen their customer base (Kor, Liu, and Kwan,
2022). To understand about product customization John Lewis partnership that is British retail
company operated their business by offering their products and services. The report covers the
company history background, identifies area of failure, current trend and competition, and
recommendations.
Aim of research
The aim of this research is to investigate the current trends of product customization in retail
sector. A case study of John Lewis Partnership
Purpose of the report
Product customisation is selected for conducting the research because it is one of the
latest trends in retail sector which is required to be focused by all the companies such as John
Lewis partnership. With the help of it, enterprises will be able to attract large number of clients
which will be beneficial to achieve long term sustainability. By adopting this trend John Lewis
can launch such clothes that customers are willing to buy according to their requirements. It will
be beneficial for the organisation to strengthen the market share.
Company history and background
John Lewis Partnership Plc is a British retailer was founded in 1929 by John Spedan Lewis
for offering different design of clothing. The management needs to understand the market and
offer kind of products which can help to accomplish the business goals. In order to grow the
business, it is essential for enterprises to make sure that they focus upon latest trends so that all
the growth opportunities in the market could be identified. Initially John Lewis, opened a shop a
drapery at 132 Oxford street. He had been apprenticed at 14 to a linen draper in Wells. This
person has analysed the market where it came to know that people are demanding for changing
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products that could suit and appropriate for them. Then it has decided to open their own business
pf retailing and sale the products.
This is larger size organization that understand what people wants and how they could be
satisfied so that kind of products and services are provided to their customers which can help to
develop the organizational productivity. The products which are provided by the organization are
clothing, watches, & jewelry, giftware, cosmetics, house ware, beds, & bedding, audio–visual,
computing, food, direct services, and financial services which supported to attain higher
performance. The environment is changing where the needs of people are also getting changing
where it became important to introduce new design of products that helps to maintain the good
functions and activities.
To run a business successfully there is need to analysis the market and bring changes in
their existing products then offer customized goods and services. In this organization more than
80000 employees are working collectively give their contribution to accomplish the business
goals (Chau, and et.al., 2021).
Identify areas of failure and why
This is important for each organization to set its goals and accumulate the funds between
different activities and functions which support attaining higher performance. After analyzing the
performance of the company, it has been seen that retailing sector is falling in the UK where the
selling activities of John Lewis is also reducing that affected the business negatively. The reason
of falling retail sector is:
Poor management – Management is the practice of planning, organising, directing, and
controlling the organizational functions which are used to develop the business performance. If
there is poor management then could be challenging for an organization to operate their business.
In context to John Lewis, selling activities are falling due to poor management as employees are
not ready to accept changes that affected the business negatively (Theobald, and Ramsbotham,
2019).
Lack of capital – To run and operate a business in changing environment there is need to
have capital which can be used to buy raw materials and finished products. If there is no enough
amount to buy raw material and any other spending, then could be challenging to run business.
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John Lewis faced the challenge of lower sales due to lack of capital as it focuses over product
customization where it needs to introduce the new changes in their existing products.
Overexpansion – This means expansion to business by considering rapid and uncontrolled
growth that produces undesirable effects. It has seen that if organization is thinking about
business expansion then it need to focus over time, sources and relationship with other country
that supports to operate the business regularly. In relation to John Lewis, could be challenging to
expand their business by bringing changes that could impacts negatively because of less contact
and relationship with country.
Change of the customer’s behaviour – The environment is changing where it became
important for an organization to understand the needs of their customers and offer kind of
products. Due to changing the behavior of customers Joh Lewis ‘s performance is falling as it
consume cost and time that reduced organizational productivity and profitability (Ferreira,
Moreira, Pereira, and Durão, 2020).
Lack of innovation – To establish a business success fully innovation is needed which
means company is introducing new products and services as per customer choices. In case of
technology has failed in the retail sector, business performance is affected negatively. Due to
lack of innovation and new technology John Lewis is falling where it became important to
follow current trend and offer kind of products as well as services.
Economic reason – This can be considered as main reason due to which retail sector of
UK is falling. Due to Brexit government has changes the regulations where rate of employment
has been reduced resulting less spending power of people. John Lewis’s performance is reducing
continuously due to low employment rates in UK that affects the business organization and
productivity negatively (Acha, and et.al., 2020).
Ignoring competitor Attaining competitive advantages is major task for business
organization where it became important for organization to bring new changes for the purpose of
increasing customer base. It has seen that John Lewis is falling as it is ignoring its main
competitors and offering products as per their wants which reduces customer base and
productivity.
Current trends and competition at that time
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Selling online – The environment is changing day by day where use of new technology
and selling products online is considered in current trend and affected the business positively.
This helped to reach the targeted customers and maintain higher performance. John Lewis is
following the current trend by offering its products via an online method that can help to reach
targeted customers.
Use of Omni channels – The businesses are moving to e-commerce where Omni
channels are used to increase the shopping experience of their customers. John Lewis is
operating their business in retail sector where it creates a shopping experience for their customers
by integrating multiple channel and keeping records of all inventory. This could help to develop
the business productivity and sales effectively (Silva, Hassani, and Madsen, 2019).
Increasing supply chain – In retail sector, supply chain is becoming major issue as
customer gets late delivery of their ordered products and services. By focusing over changing
trend John Lewis resolved the supply chain issue and offering same day delivery which
influences the number of customers and supports to increase the organizational productivity.
Use of social media – The company is operating their business by using social media and
an e-commerce website which helps to influence the number of customers. John Lewis has
followed the trend by using social media and e-commerce websites for the purpose of selling
their products and services. This helps to reach the targeted customers and supports to
accomplish the business goals in changing environment.
Automated technology is helping retailers get a handle on the labour shortage – In
retailing sector, new technology is important and is used by the organization for the purpose of
running their business and increase productivity. In relation to John Lewis, management make
the use of Automated technology that can help to increase the number of labour and handle them
by getting work done. This can help to attain the higher performance and productivity at the
workplace.
Models of Analysis (at least two)
SWOT Analysis of John Lewis
Strength Weakness
John is the poshest and upmarket retail
stores in the UK.
This offers a wide range of fashion
Limited awareness of the brand outside
of the UK, as compared to its
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brands to choose and also have their
own brands.
The brand offers option to shop online
along with international delivery.
The company has 30,000 employees in
its workforce.
international competitors.
The prices of products and services are
higher than supermarket that reduces
number of customers.
Less focus on current market as well as
trend (Llivisaca, and et.al.,2021).
Opportunities Threats
The Brand is having online and
international presence in other
countries.
Expansion of network, product
selection, and reach people by opening
more stores.
Having range of products and service
which influence the number of
customers.
Economic recession and financial
instability in a country.
Intense competition from corner stores.
Changing in climate and buying
behaviour of people.
PESTLE ANALYSIS – This is a framework used by organization to analysis the environment
and comes to know which factor might be affect the organizational productivity and profitability.
The PESTLE Analysis of John Lewis is defined below:
Political factor This involves rules and regulations which are formulated by
government for the purpose of running their business. As Brexit occurred between Europe and
UK, John Lewis has been affected negatively because of less number of customers in changing
government regulations.
Economical factor – This factor relates to GDP, inflation, interest rates, and others
which are important to follow. In UK, there is low inflation rates and high employment rates
which has impacted positively on John Lewis to operate their business and increase productivity
(Kumar, Singh, and Swain, 2022).
Social factor – This factor relates to needs and wants, buying behaviour of customers,
and society aspects which are used to analysis the business industry. In relation to UK, needs and
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wants of customers is changing continuously where it became important to offer the kind of
products and services. This factor impacted positively.
Technological factor – This factor relates to new technology and innovation that needs
to follow while running a business. John Lewis has increased their business activities by using
online and Omni channel which are possible through new technology. This helps to develop
business productivity (Rejeb, Simske, Rejeb, Treiblmaier, and Zailani, 2020).
Legal factor – This consider laws and regulations which are important to follow and run
their business. John Lewis has followed employment laws, data protection, and equality laws
while running their business that supported to run business effectively.
Environmental factor – This explains environmental aspects such as regulations and policies
which are important to follow. John Lewis has reduced the carbon emission and growing
plantation which has increased the CSR contribution and supported to develop a business in
competitive environment.
Recommendations
From the above it has recommended to John Lewis to focus on changing environment and
buying behaviour of their customers which can help to offer the kind of products and services
(Bolton, 2019). The management should analysis the environment and bring innovation which
can help to reach the targeted customers and develop the organizational productivity. The project
workshop activities are developed by following the ethical and social awareness which supports
to manage the all functions and activities. This also helps to develop the understanding regarding
specific topic and bring the management properly.
CONCLUSION
From the report it has been concluded that a retail sector should be analysis the current trend
which develop insights what needs to introduce in market and how an organization could attain
higher performance. The management should be focus on internal and external factor which
could affect the business and create opportunity to grow a business in changing trends.
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REFERENCES
Books and Journals:
Kor, P. P. K., Liu, J. Y. W. and Kwan, R. Y. C., 2022. Exploring nursing students' learning
experiences and attitudes toward older persons in a gerontological nursing course using
self-regulated online enquiry-based learning during the COVID-19 pandemic: A mixed-
methods study. Nurse Education Today, 111, p.105301.
Chau, J .P., and et.al., 2021. Development and evaluation of a technology-enhanced, enquiry-
based learning program o
Theobald, K. A. and Ramsbotham, J., 2019. Inquiry-based learning and clinical reasoning
scaffolds: An action research project to support undergraduate students' learning to
‘think like a nurse’. Nurse education in practice, 38, pp.59-65.\
Ferreira, M. J., Moreira, F., Pereira, C.S. and Durão, N., 2020, April. The digital transformation
at organizations–the case of retail sector. In World Conference on Information Systems
and Technologies (pp. 560-567). Springer, Cham.
Acha, S., and et.al., 2020. Fuel cells as combined heat and power systems in commercial
buildings: A case study in the food-retail sector. Energy, 206, p.118046.
Silva, E.S., Hassani, H. and Madsen, D.Ø., 2019. Big Data in fashion: transforming the retail
sector. Journal of Business Strategy.
Llivisaca, J., and et.al.,2021, October. An Overview of Optimization Models and Technological
Trends of Logistics in the Retail Sector. In International Conference on Applied
Technologies (pp. 484-496). Springer, Cham.
Kumar, A., Singh, R. K. and Swain, S., 2022. Adoption of Technology Applications in
Organized Retail Outlets in India: A TOE Model. Global Business Review,
p.09721509211072382.
Rejeb, A., Simske, S., Rejeb, K., Treiblmaier, H. and Zailani, S., 2020. Internet of Things
research in supply chain management and logistics: A bibliometric analysis. Internet of
Things, 12, p.100318.
Bolton, R.N., 2019. Responsible research in retailing: is your research really useful?. Journal of
Retailing, 95(3), p.3.
(Kor, Liu, and Kwan, 2022) (Chau, and et.al., 2021) (Theobald, and Ramsbotham, 2019)
(Ferreira, Moreira, Pereira, and Durão, 2020) (Acha, and et.al., 2020) (Silva, Hassani, and
Madsen, 2019) (Llivisaca, and et.al.,2021) (Kumar, Singh, and Swain, 2022) (Rejeb, Simske,
Rejeb, Treiblmaier, and Zailani, 2020) (Bolton, 2019)
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