Woolworths' Online Customer Experience: A Digital Marketing Analysis

This report provides an academic analysis of the online customer experience, focusing on Woolworths, a leading Australian retailer. It explores key trends in online customer expectations, including the increasing presence of chatbots, the demand for personalized experiences, and the importance of transparency. The report also examines ways businesses like Woolworths can improve online customer interaction through feedback analysis, live chat support, CRM systems, and advanced technologies like augmented reality. Furthermore, it highlights the digital marketing tools used by Woolworths, such as social media, website analytics, and email marketing, to engage customers and drive sales. The analysis concludes that Woolworths' effective use of digital marketing tools creates a positive customer impression, enhances interaction, and contributes to improved financial performance. Desklib offers a variety of similar reports and solved assignments for students.

Academic analysis based on an online
customer experience

TABLE OF CONTENTS
Overview......................................................................................................................................2
Online customer expectation overview.......................................................................................2
Online Customer Trends..............................................................................................................2
a) key trend in online customer experiences that affect Woolworth’s marketing approach........2
b) Ways that business can improve its online customer interaction............................................3
Digital Marketing Tools..............................................................................................................4
REFERENCES................................................................................................................................8

Overview
The entire study main aim is to shed a light upon online customer experience and for that
Woolworths as a retail firm is used which is one of the top retail firm in Australia and offer range
of products to their customers. Report will provide the key trend of online customer and then
examine digital marketing tools and their interaction with customers.
Online customer expectation overview
The online experience of Woolworth’s customer is good because company uses range of
digital marketing tools in order to generate the best outcome and attract them as well. This in
turn reflected that company uses effective marketing tools in order to let their customer know
about new offers with reasonable prices. Also, the secondary study reflected that company
focuses upon online discussion in the social media platforms and this also indicated that
company has a strong customer base and that is why, it has a brand image at global level (Quach
et.al., 2020). Moreover, it also develops range of advance technologies in order to improve the
overall experience of a customers. Therefore, it can be stated that with the help of online
shopping, customer get enough products and services which helps to generate the best
experience.
Online Customer Trends
a) key trend in online customer experiences that affect Woolworth’s marketing approach
In the era of digitalization, it has been analyzed that company should focus upon advance
technology and after pandemic, entire businesses shift towards online shopping that increases
customer loyalty. There are different key trends of online customer experience that affect the
business performance, some of them are as mentioned below:
Increasing presence of bots in digital customer experience: In order to increase the
online customer experience, customers are looking to use customer service tools like chatbots
which is consider one of the best marketing and sales tools. This in turn assists to increase the
customer experience and provide unique shopping experience (Wibowo and et.al., 2021). If
Woolworth did not use this trend, then it affects the business performance and create a negative
impact over the business performance.

Strong personalized experience: It has been analyzed that customers wants hyper-
personalized experience and this can be provided by using big data analytics which provide
strong customer experience. In accordance with Accenture, 75% of the customers are more likely
to purchase from those company who are well known to them and provide personal experience.
This is possible when company attain this by segmenting their marketing campaigns based upon
their characteristics (Kuppelwieser and Klaus, 2021). For example, the customer of Woolworth
who already purchase a jeans from shop may get a recommendations for other pairs of pant or
garments that provide them personal experience. This in turn helps to generate the best outcome.
Transparency between customer and company: Transparency in online experience is
consider one of the most important and pressing customer experience trend. So, transparent in
terms of advertisement, pricing, business practices help to build as well as maintain the trust
within a customer. This can be reflected in social media where customer post different comments
in order to share their experience so that other get influence. This in turn reflected that
transparency between tools and company should be maintain that cause positive impact over the
business performance and generate the best outcomes as well (Sigala and Nilsson, 2021).
b) Ways that business can improve its online customer interaction
After 2020, top businesses are only looking to invest upon online tools that helps to
improve the customer experience and this in turn assists to generate the best outcomes as well. In
the context of Woolworth, there are different ways through which a company can improve its
online customer interactions. These are as mentioned below:
 Employing feedback analysis: It has been analyzed that it is one of the best activity
which can be used by Woolworth in order to improve the customer interaction. This in
turn assists to generate the best outcomes and create a sense of transparency between the
company and customers (Bertsche and Binckebanck, 2020). Also, provide prompt reply
to the customer’s query that helps to improve the interactions and generate the best
outcomes.
 Offer online live chat to each customer: It is another solution which can be offered to
the customers in order to answer their question 24*7. As, it has been analyzed that
customer do not have time to go physical store for purchasing and that is why, they
looking for online shopping. At that time, if they provide online assistance then it will be

more beneficial for them to interact online and enhance their shopping experience as
well. This in turn generate the best outcome and raise trust with company too.
 Implement CRM systems: By implementing such tool within Woolworths, will assists
to satisfy the customers and enhance to easily exchange the ideas and information
between team members so that communication increases. Also, this tool allow company
to address the key issues instead of raising the problem. Through this, customer also
share their problems directly with company with a hope to get positive outcome (Popli
and Rishi, 2021). This tool is cost-effective and also generate the best outcome in order to
increase the interaction between customer and company.
 Using advance technology: After pandemic, most of the businesses start focusing upon
advance technology in which they use Augmented reality in order to transform the
customer’s imagination into reality. This in turn helps to enable customers to satisfy their
needs and also improve the performance of a company as well. For example, if a
customer wants to buy the product for their home, AR will help to select the best brand
with quality and without visiting any store, they can buy the products.
Overall, it has been identified that there are many ways through which Woolworth can attract
range of customers by focusing upon online and digital tools. Thus, by complying with above
mentioned ways assist to interact with customer at high level so that performance of a company
increases by generating transparency between each other.
Digital Marketing Tools
There are many digital marketing tools which can be used by the company in order to
address the customer expectation and leverage the organization’s capacity to interact with
consumers (Muhammedrisaevna, Bakhriddinovna and Rasulovna, 2021). It can be also stated
that with the help of such tools, quoted business will generate better revenue and branding so that
it creates positive return of investments as compared to traditional media. That is why, the
success of digital marketing tools is high because it generates the traffic and convert into sales as
well as leads. The list of tools used by Woolworths is as mentioned below:
Social media: This is one of the highly used digital marketing tool that assist to interact
with customer directly. As there are many platforms deal by Woolworths in order to increase the
traffic which includes Facebook, Twitter, Instagram and LinkedIn etc. Here, company regularly

or weekly post about their new offers and products that attract customers easily (Huang and
et.al., 2021). However, comparing the same with other tools, it has been analyzed that it is well
known and highly used tool that grab attention of many customers towards it. So, it can be stated
that current digital marketing tools assist to engage customer for longer term.
The above image is taken from Woolworths Facebook account which reflected that
company is focused upon its social media platform and through its discount strategy, it attracts
range of people towards it.
Website creation and analytics:

Through the above image from similarweb, it has been analyzed that Woolworths has
uses this as a digital marketing tools in order to let people attract towards it. As per the global
data, the company stands 1021 and in the country rank, it stands 19 which in turn reflected that
company focused upon different tools (Woolworths, 2021). Along with this, the traffic
engagement also reflected that there is an increase in the bounce rate and from July’21, there is
an increase in number of customers which shows that company has focused upon its website.
There are many improvements identified with its own website so that it increases the traffic and
customer engagement time as well.
Email marketing: It is also used by the quoted firm where company designs two version
of email for both reward cardholders and non-cardholders (Cartwright, Liu and Raddats, 2021).
The results show that there are 80 thousand emails sent and there is 48% of an average open rate
with 25% average click rate (Woolworths EDM campaign, 2021). Thus, it can be stated that
company is working with digital marketing tools and start focusing upon the same rather than
traditional marketing. This in turn reflected that it creates a long lasting impression on
Woolworths customers so that it improves the overall performance.
Overall, it has been analyzed that Woolworths uses range of effective digital marketing
tools which helps to create a positive impression over the customers. This in turn also reflected
that it increases the interaction between customers and company by addressing the customer

expectations. Thus, it assists to generate the best outcomes for the company by considering the
financial performance.

REFERENCES
Books and Journals
Bertsche, K., & Binckebanck, L. (2020). The Impact of Customer Experience in Offline vs.
Online Channels on Millennials’ Brand Loyalty in the Fashion Industry. In Forum
Markenforschung 2018 (pp. 165-191). Springer Gabler, Wiesbaden.
Cartwright, S., Liu, H., & Raddats, C. (2021). Strategic use of social media within business-to-
business (B2B) marketing: A systematic literature review. Industrial Marketing
Management. 97. 35-58.
Huang, D. & et.al., (2021). Customer-robot interactions: Understanding customer experience
with service robot. International Journal of Hospitality Management. 99. 103078.
Kuppelwieser, V.G. & Klaus, P. (2021). Measuring customer experience quality: The EXQ scale
revisited. Journal of Business Research. 126. pp.624-633.
Muhammedrisaevna, T. M., Bakhriddinovna, A. N., & Rasulovna, K. N. (2021, March). Use of
digital technologies in marketing. In E-Conference Globe (pp. 281-284).
Popli, S., & Rishi, B. (Eds.). (2021). Crafting Customer Experience Strategy: Lessons from Asia.
Emerald Group Publishing.
Quach, S. et.al., (2020). Service integration in omnichannel retailing and its impact on customer
experience. Journal of Retailing and Consumer Services, p.102267.
Sigala, M., & Nilsson, E. (2021). 6 Innovating the Restaurant Industry: The Gamification of
Business Models and Customer Experiences. In Gamification for Tourism (pp. 100-
117). Channel View Publications.
Wibowo, A. & et.al., (2021). Customer behavior as an outcome of social media marketing: The
role of social media marketing activity and customer experience. Sustainability. 13(1).
p.189.
Online
Woolworths. 2021. [Online]. Available through: <
https://www.similarweb.com/website/woolworths.com.au/>.
Woolworths EDM campaign. 2021. [Online]. Available through: <
https://www.becausexm.com/work/woolworths-edm>.