Corporate Strategy and Governance: Tesco Customer Engagement Analysis

This report examines strategies to enhance customer engagement channels, focusing on a case study of Tesco plc. The introduction defines customer retention and its importance for business profitability, highlighting attraction, retention, and conversion as key elements. The study investigates Tesco's business activities and various strategies employed to attract and retain customers, emphasizing the significance of quality, affordability, and design. The research aims to determine the impact of brand awareness, assess the effect of engagement strategies, analyze the importance of customer retention, and recommend ways to define strategies for Tesco. The literature review explores customer retention, brand image, customer loyalty, and anticipatory services. The methodology section outlines the research philosophy, approach, design, sampling, data collection (primary and secondary), and analysis. Primary research findings, presented through questionnaires and interpretations, reveal insights into customer perceptions of Tesco's customer retention strategies, product quality, discounted offers, brand recognition, and online strategies. The report concludes with recommendations and an action plan based on the research findings.

CORPORATE STRATEGY
AND GOVERNANCE

Table of Contents
Topic- .........................................................................................................................................1
INTRODUCTION.......................................................................................................................1
Background of the study.............................................................................................................1
Research questionnaire................................................................................................................2
Rational of the study...................................................................................................................2
Literature review ........................................................................................................................2
Research methodologies..............................................................................................................3
Activities time and table..............................................................................................................3
LITERATURE REVIEW- .........................................................................................................4
Primary research- .......................................................................................................................9
Primary research........................................................................................................................10
Critical review of the result of research. ..................................................................................21
Recommendation and action plan.............................................................................................24
REFERENCES..............................................................................................................................26

Topic-
To examine strategies to enhance channels that used to engage customers . A case study on
Tesco plc.
INTRODUCTION
The term customer retention is ability of business to retain customers. The main object
behind this is to help the companies to retain as many customer as possible. Thus, attraction,
retention and conversion (Sharma and Syam, 2018). With help of it, customer loyalty and keep
them satisfied is one of the foremost priority. There are number of the strategies that will be
helpful in terms to make the proper and effective services so that firm can able to have
enhancement in the profitability to the enterprise. Under this, with help of keeping eye on the
need and wants of the customers the improvement in product and services can be done
effectively. The present report is based on business activities of Tesco, it is global leading
enterprise and having the competitive image in the market.
Background of the study
The present report is based on the business activities of Tesco and various strategies that
helps to enhance channels that also used to engaged customers. Thus, customer retention is one
of the major elements that helps to attract the buyers. For this, effective strategies are needed to
be selected so that it can be possible. The factors as are, quality, affordability and designing all
are the crucial elements that attracts customers (Litosseliti, 2018). Thus, main objective of

customer retention program is to help the firm to retain as many customer as possible with help
of customers loyalty and brand loyalty initiatives. In this, it can be said that keeping existing
customer is often easier than acquiring the new one.
Aim-
To examine strategies to enhance channels that used to engage customers . A case study on
Tesco plc.
Objectives-
 To determine the impact of brand awareness on the customer loyalty.
 To access the effect of strengthen engagement strategy to enhance customer loyalty.
 To analyse the importance of customer retention on the performance of the enterprise.
 To recommend the ways to define strategies in terms to engaged customer with the Tesco
PLC.
Research questionnaire
1. What is the impact of brand awareness on customer loyalty.
2. What are the importance of customer retention on the performance of Tesco.
Rational of the study
The present study is based on the business activities of Tesco, It is global leading
enterprise engaged in terms to provide effective services to the customers. With help of this
research, the researcher can able to gain the depth knowledge about the topic of the research.
This topic will be helpful as with aid of it researcher can able to carry out their further research
activities in the proper manner. In addition to it, this kind of marketing channels will be useful in
terms to organize the effective marketing activities so that all things can be carried out in
effective manner. The main aim behind this is to analyse the impact of customer retention
strategies on the business performance of Tesco.
Literature review
Customer retention refers to the activities that organisation take to reduce the number of
customer defections. The main goal of customer retention program is to helps the firm to retain
as many customers as possible. As per the view of Kumar and Reinartz, (2018) states that Trust
and confidence on the firm will help to enhance the brand image in the market. This is one of the
effective terms in terms to identify the needs. According to the view of Lin and Wang, (2018)

it can be stated that selling to the customers will be right way is the integral part of creating
customer loyalty. There is need to build relationship with the customers In addition to this,
stated that Implementation of the anticipatory services there can be elimination in the services
before it occurs.
In addition to this, stated that there are many kind of customer engagement strategy that can be
used in term deliver the great value to the customers. According to the view of Shah, Hussin, and
Wahab, (2018) stated that with the help of continuously improvement in the customer service
is one of the key element in order to bring successful process of the business activities. In
contrary to Kumar and Reinartz, (2018) states that with help of providing quality products in
the affordable price rate the customer can able to make the whole trust on the operational
activities of the enterprise.
Research methodologies
This is effective term in order to get the depth information about the topic of the research.
Hence, there are number of methods with help of which depth information can be gathered.
Thus, it has been defined in following manner as are-
Research philosophy- It is kind of belief with help of this data can be gathered, used and
analysed properly. Thus, this are of two types as interpretative, positivism, doxology etc. In this,
researcher will have the use of interpretative technique.
Research approach- This is plan and procedure that consist of steps of broad assumptions to
have detailed method of data collection (Litosseliti, 2018.). This are of two types as are
inductive and deductive. In this, researcher will have the use of inductive research to better
interpret the elements of the study.
Research design- There are set of methods used in collecting and analysing the variables
specified in research problem. Thus, there are descriptive, observational and case study method.
In this, the researcher will have the use of descriptive technique to collect the depth information
about the topic of research.
Sampling- In this, there are two techniques as are probabilistic and non probabilistic. In order to
carry out the present research the researcher will have the use of non probabilistic technique so
that survey can be taken effectively.

Data collection- There are number of methods with help of which data can be collected as are
primary and secondary. In this, primary method will be adopted so that effective investigation
can be carried out with better framing of questionnaire.
Data analysis- This is process of inspecting, cleansing, transforming and modelling the data in
the effective mode (Sharma and Syam, 2018). There are two methods as are qualitative and
quantitative. With help of qualitative approach better and depth information about the research
can be possible.
Activities time and table
Activities 1st
Wee
k
2nd
Wee
k
3rd
Week
4th
Wee
k
5th
Week
6th
Week
7th
Week
8th
Week
9th
Week
10th
Wee
k
Research topic
Literature
Review
Research
methodology
Effective
Proposal
Draw question
of research
Carry out
Research
activities
Data Analysis
and its graphic
Conclusion
and
recommendati
on

Final Report
Editing and
Completion
LITERATURE REVIEW-
Theme 1: Determining the impact of brand awareness on customer loyalty
The brand strategy is the factor that is beyond the direct control of the enterprise. This is
the process that works as to building the brand image among the customers or consumers so it
should be methodically performed and monitored by marketing department. According to the
view of Das, Mishra and Mohanty, (2018) it can be stated that relaying over the brand is one of
the tactical decision that will be made by individual at the time of buying product for first time.
Thus, high brand recognition will be helpful in terms to translate into customers loyalty. In
addition to this, Chahal, and Bala, (2017) states that brand awareness is one of crucial element
that is significant indicator in terms to consumer knowledge about a brand. As per the view of
Loyyl and Kumar, (2018) state that this is crucial to be familiar with theories about consumer
buying behaviour in order to make the effective research about the choice of brand. Thus, buying
behaviour of consumer depends over attitudes, intentions, preferences, efforts to commitment so
that there be better identification within the commodities. Thus, Stokinger and Ozuem, (2018)
states that brand is the identity that firm aids to incorporates the both things as visual and
communicated aspects defined by the enterprise.
In addition to this, Kumar, (2017) states that understanding the consumer buying
behaviour is one of the typical term because that also works as to differ values attitudes and
behaviour. According to the view of states that it plays the role of equity to both consumer and
companies. The brand communicates certain attributes to the mind of consumer such as prestige.
This will be beneficial aspect in order to make it more attractive in the mind of the person.
According to the view of Krautz and Hoffmann, (2017) stated that brand is something that is
also defined various things as values, system and structure. Thus, the consumer will work as to
develop strong bonds with help of related commodities and this all makes purchase decision in
more frequent manner. According to the view of Hasan, (2018) states that specific brand will be
result in the brad design and brand symbols so that other individual in market can be attracted
towards the commodities.

In this, role of branding is that it allows consumer in order to quickly recognise product in
market so that the brand position can be enhanced and firm can promote its services in the better
manner. In addition to this, states that Branding is the term that will assist the seller to segment
markets. It will be helpful in terms to value the product and service.
According to the view of . Stokinger and Ozuem, (2018) states that bran d extension is
kind of brand development strategy that help to build satisfactory image of product in the mind
of customers. Thus, perception can also affects the behaviour of customers and they liking
towards the product and services can be changed. There are many factors that also impacts
behaviour of consumer with regard to the purchasing decision with the references groups. This
kind of things can affects the brand preference in market. Thus, Kumar, (2017) states that
customer loyalty is attitude and behaviour that helps to satisfy customer with product and
services. Therefore, Krautz and Hoffmann, (2017) states that customer satisfaction is crucial and
it is useful in order to get success of firm and to have long term competitiveness. This kind of
activities will be crucial in terms to strengthen the behaviour so that it will help to bring long
term advantage. Thus, entity with high turnover rate may not be able to maintain strong personal
relationship with the customers and it creates negative environment and there can be reduction in
quality of the services provided to customers. As per the view of Hasan, (2018) states that
employees must have career development opportunities and high degree of involvement in
business so that all things can be conducted in better and effective manner. The brand is
something that is usually impact highly in mind of the customers. The owner of the enterprise
should works as to build the benchmark so that the firm can able to grab attention of buyers in
market.
Theme 2: Accessing the effect of engagement strategy of customer to enhance buyers
loyalty.
According to the view of Das, Mishra and Mohanty, (2018) states that customer success
strategies are always changing and it can also impact over the profitability and productivity
within firm. In addition to this, Chahal, and Bala, (2017) stated that consumer identification is
one of the terms that works as to be based on strategies of the past behaviour and various number
of the techniques that can affects the role of the consumer in the market. Thus, Quirke, (2017)
states that one of the way to build credibility for brand is a way that develops partnership with

the people. Social media network is also one of strategy that is helpful in terms to engage the
customers so that it can be high impact over preferences of the customers.
The good reviews will help to boost the brand profile and also gains attention from new
customers. In addition to this, Kumar and Reinartz, (2010) states that enhancement in customer
engagement will be helpful in terms to spread positive word of mouth through blogs, social
media, videos, case studies and speaking engagement and other so that it can bring long term
competitive advantage. As per the view of Ascarza and et.al., (2018) states that the buyers in the
market always expects special treatment in exchange of loyalty. Thus, it is essential to connect
the customer with the brand so that productivity and profitability of the enterprise can be
maximised.
With help of incorporating and rewarding the engagement activities it is possible to drive
personalized experience and relevant communication and promotions. On the other hand, it can
be said that customer engagement is one of the core and with help of it there can be possibilities
in terms to highly engaged customers and to take better initiatives in terms to promote various
services so that there can be possibilities in terms to engaged customers. By engaging the
customer to the firm the all individuals can be to do the things effectively and this will be helpful
in order to build satisfactory performance.
Theme 3: Analyse the importance of customer retention on the performance of the
enterprise.
Customer retention is useful in order to enhance profitability and productivity of business
enterprise. With help of building, long and lasting customer relationship there is possibilities in
order to maximize quality of the services, communication effectiveness, rewarding loyal
customers and by offering innovative services so that customer can be satisfied and they can be
easier to retain. As per the view of Quirke, (2017) stated that the advertisement services as world
of mouth all gives credibility to function of enterprise and it also build satisfactory performance
so that competitive advantage can be achieved. According to the view of Kumar, (2017) states
that consistent high quality customer is crucial in order to build and develop active relation with
brand. The main motive is to build and make mutually beneficial and ongoing relation with
customer as brand and this all will be helpful in terms to provide satisfactory performance. In
addition to this, Loyyl and Kumar, (2018) states that with help of having transformation of
customers into brand advocates will literally provide two advantage as to engage and attract the

buyers. Engagement is one of the strong indicator that firm is performing its duties in well
effective mode. As per the view of Stokinger and Ozuem, (2018) states that the retail firm need
to provide high quality product and the complainants of the customers must be hear in timely
manner so that there can be improvement in the services to enterprise.
As per the view of Krautz and Hoffmann, (2017) states that the buyer retention is also
assistive to enhance performance of the enterprise. In addition to this, it can be said that the loyal
customer are far less price conscious then the new customer in market as they know how to
value the firm and its product and services. There are number of the customer who are associates
with higher prices and quality services this can retained trust of customers and can able to deliver
good quality over the competitors. According to view of Hasan, (2018) it can be stated that the
things as revenue generation, product development, marketing, customers and all other things
plays crucial role so that foster constructive relationship with buyers can be build. The main
objective of the firm is to enhance and develop its brand position in market. This kind of the
activities will always be beneficial in order to build greater performance so that each things can
be done in the better and efficient manner.
Furthermore, customers are greater assets and they play crucial role in terms to build
satisfactory performance in enterprise. As per the view of Quirke, (2017) states that customer
engagement is kind of business connection in both external stakeholders and the enterprise with
the help of various channel of correspondence such as communication, product and service
brand. As per the view of Chahal, and Bala, (2017) states that customer retention can be
possible if the firm can take initiatives to handle the customers grievances and all steps are
needed to be taken so that things can be done in proficient mode. Thus, losing the customer can
have negative impact on the working of enterprise. Thus, keeping the customer will be helpful in
terms to develop relationship and also works as to building opportunities for future. In addition
to this, Ascarza and et.al., (2018) states that importance of customer retention will have major
impact on whole performance of business enterprise. With help of building the effective
performance there is possibility to have enhancement in sales with the existing customers. Under
it, the firm need to work as to build customer retention program in terms to create the time line of
typical customer relationship and it also works as to make contract with and the eventual loss of
the customers. According to the view of Kumar and Reinartz, (2010) states that the business
owner must taken the various initiatives in order to improve their customer retention rate. On the

other hand, they are targetting and retaining the right customers so that there is more amount of
possibility to generate higher amount of profitability. Thus, retaining the repetitive customer will
provide base is that they can able to deliver great customer services experience. There are
number of factors with help of which there can be possibilities in order to offering fair prices of
commodities. However, states that there is all this kind of the strategies will works as to
reduction in the changes and problem customer experience and to take various initiatives in
order to maintain better business relationships. As per the view of Das, Mishra and Mohanty,
(2018) states that the entity must have chose some strategies so that there can be improvement in
loyalty with customers and this all provides long terms gain so that high amount of profit
maximisation can be possible. With help of implementing the online strategy the shop-keeper
will be capable in terms to take the direct feedback from the customers so that they complaints
about the products can be analysed.
Social sharing competition may offer the effective prices and this will be helpful in terms to
establish the better connection with customers so that all things can be done in better and
effective manner. The loyal customer should provide the attractive discounts so that it can
attractive the customers and helps to build greater satisfaction among the person. Thus, the better
image and effective quality of services will always be helpful in regard to build high amount of
the satisfaction among the customer's.
Primary research-
Questionnaire
1. Do you think Tesco is having effective customer retention strategy.
 Yes
 No
 May be
2. Does Tesco is provides quality products to customer.
 Yes
 No
 May be
3. Is Tesco provides offers discounted offers to attract customers.
 Yes

 No
 May be
4. Do you think brand recognition is essential for retaining customers.
 Yes
 No
 May be
5. Does Tesco uses online strategy to attract the customers.
 Yes
 No
 May be
6. What are the beneficial aspect of customer retention strategy.
 Maximisation in profitability
 enhancement in brand image
 Retention of existing customers.
7. Does Tesco has able to maximise profitability by retaining customers.
 Yes
 No
 May be
Primary research