6IM511 - Analyzing Customer Satisfaction Level at Tesco Express

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Added on  2023/04/24

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This report provides an analysis of customer satisfaction levels at Tesco Express, utilizing both internal and external analysis to identify areas for improvement. It employs primary data collection methods, risk assessment, and stakeholder analysis to understand customer demands and dissatisfaction causes. The report includes a SWOT analysis, PESTLE analysis, Porter’s Five Forces, and a BCG Matrix to assess Tesco Express's market position and competitive environment. Primary research, involving surveys and direct communication, reveals customer demographics, satisfaction factors, and preferences for online shopping. The findings contribute to a plan of action aimed at enhancing customer satisfaction, increasing market share, and improving business profitability. The report concludes with recommendations based on the research and analysis.
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Analyzing the
level of
customer
satisfaction in
Tesco Express.
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Introduction
Internal and external analysis of business case of Tesco Express
so that the company can gain higher level of customer
satisfaction
In order to determine the problems within Tesco Express,
primary data collection method is used
In order to analyze the approaches for the company, risk
assessment as well as stakeholder analysis tools are being
used
A plan of action is implemented based on the considerations
of project management approaches
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Background of Tesco
Express
Tesco Express is a sub brand of Tesco Plc
Tesco Express shops are stocking mainly foods like fizzy drinks;
biscuits processed food chocolates, crisps as well as sweets and
required to maximize the revenue.
One of the supermarket numbered as 1 and has market share of
above 25%
In UK, total superstores are to be 277.
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Research Objectives
To determine the demands of customers based on the food
items required for them
To analyse inner and exterior industry functions of Tesco
Express
To determine impact of customer satisfaction on business
operations
To determine causes of dissatisfaction level of the customers
To analyze factors behind satisfaction level
To focus on business profitability
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SWOT Analysis
Strengths
1. Varieties of food
products such as
fresh, healthly items
of food
2. Addition of new
product lines of
Tesco Express
Weaknesses
1. Poor food items
prices, limited stores
in some areas
2. Low turnover of
inventory and not
respond to the
queries
Opportunities
1. Opening of new
store in Euro areas
2. Satisfaction of
customers to give
density area
Threats
1. Higher
competition in the
market
2. Higher rate of
interest in the UK
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PESTLE Analysis of
Tesco Express
Political
Tax on the
larger
supermark
ets while
the
governmen
t is being
refused to
overcome
on price
rises
Import of
the food
items as
well as
goods
Economic
Price factor
can
provide an
influence
on the
supermark
ets
business of
Tesco
Express
Increase
the cost
which will
decrease
the profit
Social
Huge
shopping
experience
s for
satisfying
the
customers
Meet with
the
customer's
demands
and tastes
Technological
Using
innovative
technology
for
deliveering
food items
Introductio
n of billing
system
Legal
Smoking
free
business
environme
nt
Strict
organizatio
n's rules
Environmen
Collectio
of
unwante
bags of
plastic
Uing
renewab
sources
energy
Generat
of
electricit
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Porter’s Five Forces of
Tesco Express
Threat of new entrants
1. Innovation into the foodd products and
food delivery services
2. Lower the fixed cost per units caused due
to economics of scale
Bargaining power of suppliers
1. Effectve suppliers to deliver the food
products
2. Higher competitions from supplier side
3. Improvement over operational profit
margins due to late paymnet of suppliers
Bargaining power of buyers
1. Large customer base is created
2. Keeping food products price as low and
better quality to acheive profitability
3. Innovation over the products cause
higher customer satisfaction
Threat of substitute of the products
1. Creating unique brand equity of Tesco
Express
2. Increase in customer's demands
Rivalry among existing competitors
1. Determining a sustainable food product
differentiations
2. Rise in market size due to market
collaboration
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BCG Matrix of Tesco
Express.
Stars
High market growth and high market share
Question marks
Low market share and high market growth
Cash cows
High market share and low market growth
Dogs
Low market share and low market growth
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Primary Research on the
customer satisfaction of
Tesco Express
Based on the research, there are total of 20 respondents
are being taken and the respondents are selected from
West London area
Primary data collection is conducted through using survey
method along with direct communication with the project
participants (Wysocki, 2014).
The primary research work is performed throughout using
situation analysis tools. The primary data method is
consisted surveys plus descriptive research.
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Findings from primary
data
It is found that the respondents involved into the survey are 70% male
and 30% female.
Respondents involved into the survey are 35% between the age 26-30
years
The online store can offer their consumers to reduce the shopping time
and waiting time in the store.
The satisfaction factors are staffs involved in providing services and
delivered the services in the store.
The customer representative provides quality products as well as
services to the customers those are visited the store. It helps to
maintain a good position in UK and increase in market share.
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Risk assessment and
stakeholder analysis
Risk assessment is such a tool used for analyzing and
identifying the risks which are found into the project
provides impact on level of customer satisfaction.
In this project study, Qualitative risk assessment tool is taken
which can determine probability of risks which are occurred
(Cameron and Green 2015).
The project management tool termed as stakeholder analysis
is used to determine the internal and external stakeholders
those are interested and influenced into the project plan.
(Johnson et al. 2017).
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Conclusion
It is summarized that a primary research study helps to
determine the customer satisfaction level so that the
company can able to determine its market share as well as
profitability.
The company can provide new food items to their
customers so that it can increase profit and revenue.
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