Tesco Case Study: Social Media's Role in Shaping Business Strategies

This case study delves into how Tesco leverages social media to influence customer buying behavior and improve overall business performance. It highlights the significance of online presence, customer reviews, and direct brand communication in shaping purchasing decisions. Tesco's utilization of platforms like Facebook, Twitter, and Pinterest for customer engagement, promotion of offers, and gathering customer feedback is examined. The analysis emphasizes how customer responses on social media drive Tesco's business strategies, particularly in redesigning approaches based on both positive and negative feedback. Furthermore, the study underscores the role of social media in shaping Tesco's marketing strategies by providing a broad customer reach and enabling targeted marketing efforts, ultimately contributing to the company's growth and profitability. Desklib provides access to this case study along with a wealth of other resources to aid students.

1. There are a number of factors that affect the buying behavior or the purchasing decision of a
customer. The quality of the product is one of the major factors that affect the buying behavior. In
Tesco, we aim in providing best services to the customers. I believe that by offering quality products,
customers’ trust can be gained. Apart from that, the price and the product’s availability have a
significant role to play in the buying behavior of a customer.
2. I think that social media has a large impact on the buying behavior of a customer. This is one
significant reason behind the necessity of maintaining a good online presence. Nowadays, before
purchasing a product or choosing a brand, the consumers check the online reviews prior to buying.
Furthermore, social media proves to be a great platform for directly communication with a brand or an
organization. With this direct interaction, it is possible to gain a good idea of the product. Consecutively,
any issues with a product can be easily unveiled with the help of social media. Thus, social media has a
large role to play in customer’s buying decision.
3. The performance and profitability of Tesco is largely dependent in its social media presence. Tesco
make use of Facebook, Twitter and Pinterest to engage with the customers. Tesco although tend to post
only one update each day, it encourages the conversation with the customers that increases customer’s
satisfaction. The social media promotions help the customers to get an idea of the promotional offers
and new products. Social media on the other hand increases the customers reach, which in turn
increases the profitability of Tesco. I think, the social media presence promotions have helped us to
grow and increase the profit margins.
4. The business strategies of Tesco are largely dependent on the response of the customers in social
media. The views of the existing customers are taken into consideration for designing the business
strategies. If a product or a service gets a negative feedback from the customers, the existing strategies
of Tesco is redesigned. Customer’s satisfaction is of greatest priority for Tesco.
5. I think positive and negative responses are an integral part of a business, so is the case for Tesco. The
social media presence has a large impact on Tesco’s business. The negative responses are addressed
seriously and the existing business strategies are redesigned so as to address the customer’s queries.
6. I think that the social media presence of Tesco has a large effect on its marketing strategies. This is
because social media provides a huge customer reach and thus targeted marketing strategies are
designed to address the new as well as the existing customers.
7. Absolutely. In this information age, social media presence is mandatory for business growth as it
increases the customer’s reach and helps in global reach. Tesco has made a fundamental use of their
social media channels in order to expand and increase their customer’s reach. The social media presence
has mostly impacted Tesco in a positive manner.