I will investigate and identify how important customer service really is to J-Sainsbury's and Tesco.

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I will do a report on two different businesses and found how customer service is dealt with, within the business.

The two businesses I have chosen to base my coursework on are J-Sainsbury’s and Tesco, which are both public limited companies.

I will investigate and identify how important customer service really is to J-Sainsbury’s and Tesco.

Also I will identify how customer service is in both businesses and will also statement any improvements, which I think could be made to both businesses to ensure a higher quality of customer service.

What is a customer?

A customer is anyone who goes out shopping to purchase a good or service. Customers are considered to pay for products and be involved in a transaction between the business and customer. It is important to consider that a customer’s can be both internal and external to a business.

What is customer service?        

Customer service is how the customer is dealt in store and also how customers are dealt after they have purchased goods or service from a business.

Customers expect a high standard of customer service, in order to keep them satisfied. This is very important as it gives an impression of the overall performance of the business. Good customer service would result to high level of sales and the business will stay on the competitive side, compared to their competitors.

E1. Importance of customer service to J-Sainsbury

Customer service for J-Sainsbury and Tesco is a very       important function, as a good customer service would give J-Sainsbury’s and Tesco a good reputation, resulting in an increase in customers shopping at J-Sainsbury’s and Tesco.

J-Sainsbury’s mission statement, which, states that J-Sainsbury’s mission, is to serve customers the best quality and choice to meet their everyday shopping needs.

By looking at J-Sainsbury’s mission statement I can judge that J-Sainsbury’s take pride in the customer service that they provide to their customers.

Customer service to J-Sainsbury and Tesco is important, as the business wants to increase their sales and increase market share and by having good customer service more customers will come to do their shopping at J-Sainsbury and Tesco.

Today J-Sainsbury’s has a market share of 17.2% compared to Tesco who has a market share of 27%. (Refer to www.news.bbc.co.uk.)

By looking at the statistic I can identify that Tesco have a must have a better customer service compared to J-Sainsbury’s.

Retaining customers

J-Sainsbury and Tesco must retain existing customers and make sure they don’t start shopping at other supermarkets.

-Sainsbury and Tesco show how important it is to retain customer by providing a good in store and after sales customer service.

Also J-Sainsbury and Tesco provide many products, where customers can buy and go home and try the product and still if the customer is not totally satisfies with the products they have bought can bring it back to a branch of J-Sainsbury or Tesco and the customer would be entitled to a full refund or exchange.

I personally think that this policy that J-Sainsbury and Tesco have, would be known as a good customer service and may give both companies a competitive advantage over other competitors.

Increasing sales

In order for J-Sainsbury and Tesco to increase their total sales customer service must be provided to customers at a high standard.

The art of communicating with customers is vitally important for the success in increasing sales.

Staff that work at J-Sainsbury and Tesco must be have positive body language and must be polite by having a tone of voice where customers feel that staff want to help them. Eyes contact, facial expression, and appearance would gain respects from customers.

If staff where to be lazy and not help customer’s at all then this would result in less people coming to shop at J-Sainsbury and Tesco, which would mean that there would be an decrease in sales instead of being an increase.

This is where either Tesco or J-Sainsbury’s can get more customers. If J-Sainsbury’s where to provide a better customer service compared to Tesco then this will mean customer that shop at Tesco would now start to shop in J-Sainsbury’s which will lead to an increase to total sales for J-Sainsbury’s.

J-Sainsbury and Tesco both try to keep improving their customer service and want their customer to recognise this.

J-Sainsbury and Tesco have continues training for staff so staff can deal with all types of problems and all different types of customers.

By having continues training for staff this indicates to me that both J-Sainsbury and Tesco seem to take customer service very seriously.

If J-Sainsbury and Tesco keep on improving their customer services they would result in an increase on total sale.

Gaining a competitive advantage

J-Sainsbury gains a competitive advantage by having products, which Tesco also have but at lower prices. Also J-Sainsbury’s seem to provide exclusive offers to the customers, which is an indication of good customer service.

Tesco have the same kind of customer service because they also provide exclusive offers and some products are cheaper at Tesco then J-Sainsbury’s.

By analysing J-Sainsbury and Tesco I can identify that both companies will have a conflict between them over market share.

I think this conflict will mean both businesses will try to improve their customer services and this shows me the importance of customer service to both J-Sainsbury’s and Tesco.

Maintaining customer loyalty

Tesco clubcard is the UK’s most popular loyalty scheme. You can collect air miles with clubcard. Two hundred million air miles have been issued to customers this year. clubcard holders can collect points at over 3,000 UK outlets including Alders and Marriott hotels.

As you can see Tesco have a clubcard scheme, which gains customer loyalty as they feel they are getting more out of shopping then just the products they are purchasing.

J-Sainsbury also adopts clubcard schemes, so there is competition between J-Sainsbury’s and Tesco on Customer loyalty.

The business with the better customer loyalty will win the day at the end of it. This shows customer service is very important.

Gaining customer satisfaction

J-Sainsbury tries to gain customer satisfaction by trying to cater needs for all different types of people.

J-Sainsbury tries to sell the best quality products to their customer at the right price at the right time.

Staffs at J-Sainsbury’s do regular checks ups on the quality of their products and damaged goods are instantly removed from sell.

I personally agree with J-Sainsbury’s refund policy. The refund policy is that customers who find a fault in the product bought form J-Sainsbury’s and also if the product does not function the way it is suppose to, then J-Sainsbury’s will give customers a refund with no problems.

Tesco have also adopted this policy, which is making customer more satisfied with the products they as buy, as they know if there are any faults they are eligible for a refund.

Both J-Sainsbury and Tesco provides a financial service for customer who may want to take out loans or want to buy on credit cards.

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E2 Strategies used by J-Sainsbury’s to ensure a high standard of customer service.

J-Sainsbury is committed in ensuring to provide a high quality of customer service to all their customers.

J-Sainsbury keep up to date with the way the UK is developing by understanding the way that people are choosing to live their lives and responding with products and services that are of relevance. J-Sainsbury continues to ...

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