Unit 11 M3 Explain the options open to Tescos for closing a perceived gap with customers

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M3- Explain the options open to a selected organisation for closing a perceived gap

D2- Make justified recommendation for improving a selected organisation relationship with a group of customers-


In this report I will explain the options open to Tesco PLC for closing a perceived gap, and I will make justified recommendation for improving Tesco PLC relationship with its groups of customers

I have chosen Tesco PLC. The reason why I have chosen Tesco PLC is because they have been rated the worst supermarket in 2013 in which? Survey based on customer perception, so I am investigation how their customer service, shop environment, filling the trolley, pricing has contributed to being the worst supermarket in 2013. In 2013 the which? Survey of over 11,000 people stated that Tesco PLC customer service rating was 2 stars out to 5, this is because the customers felt that Tesco was short staffed. The customer believed that the pricing that they received from the Tesco PLC was poor, compared to their rivals i.e. Lidl/Aldi. The reason why they are Tesco PLC rivals, and they are trying to set the bench mark at Aldi/ Lidl is because in the recession Tesco PLC lost a lot of their customers to Aldi/Lidl, their customer service may not be good (Aldi 2/5, Lidl 2/5) but they are cheaper than Tesco PLC and the product are more value for money for the customers (Aldi 4/5, Lidl 4/5, Tesco 2/5), their store environment is better (Aldi 3/5, Tesco 2/5). Tesco PLC should be aiming to be the best rated customer score of 82% in which Waitrose holds but they are currently out of their league as Tesco PLC customer rating is 45%, they should have the highest rating as they are the biggest supermarket. Tesco should be bench-marking Aldi/ Lidl as they are losing customer to those two supermarkets, they are also rated second/ third best in the UK supermarkets out of the nine supermarkets, Tesco star rating are compared to bench marking. The way that they could benchmark to these two supermarkets is through, using the information from the field visits and lost customer analysis, to find out ways in which they can attract back their customers from Aldi/Lidl    

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Customer’s perceived Tesco quality as poor, in the which? Survey many customers said that their shopping experience was poor, the customers also believe that Tesco care the least and they are un-trustworthy, the customers also believe that Tesco is more bothered about profit rather than their service. These are some of the main contributors to Tesco being the worst supermarket in the UK, the reason why this could be is because the organisation is not spending enough money on training and staff.  

The way in which you can tackle the issue of customer perceiving Tesco quality of being poor is through ...

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