TESCO **This case is an application of Session 5: E-Marketing and Session 6: CRM **First, we are going to analyze this case according to the 8 key e-business strategic decisions Market and product development strategies e Tesco entered new product such as the broad band internet through the help of its e-business Also it couldn’t do the e-diet business without its online channel (the website) Also Tesco introduced a new product through its online channel that is DVD rental
Positioning Tesco previously bough a website called i-village which is for purchasing like women fashion and others. However, Tesco decided to position itself better through its website rather than acquiring similar websites that can be competing indirectly with its own business 3 B – Differentiation Tesco was differentiating itself through its service quality. Tesco eliminated some un-useful processes in the whole delivery time of any product and was able to reduce the delivery time from 60 to 36 minutes which completely differentiated it from others in the market. – Marketplace Restructuring: Use same example of i-village website being sold by Tesco **Second, we are going to analyze this case according to e-CRM e Trigger Events of Tesco are very much similar to e-CRM steps: Trigger 1 e People are attracted (ACQUISITION) Trigger 2 e A customer makes the first purchase e start offering him discounts, coupons, and send him a survey e-mail about his satisfaction e This technique is called cross-selling e Motivating this customer to do a second purchase (CONVERSION)
Trigger 3 e Keep in touch with the customer and follow him if he is not doing another purchase e send e-mails, offers, coupons, etc… (RETENTION) *Third, we are going to analyze this case according to the 6 I’s e Interactivity e Tesco’s customers can give feedback about whether he is satisfied with the purchased product, the quality of service, etc… Intelligence e All segmentation by which Tesco has adopted is done with great intelligence. Individualization e It is like customization. Each customer is sent an e-mail according to his status. Integration e Tesco has successfully integrated e-mail marketing with traditional mail Industry Restructuring e i-village example Independence of Location e The website is completely independent of the location. But there is a limitation which is that Tesco is regional.