In the beginning of 1990th Tesco took up the small category of retail market for lower-income customers. More expensive line for well-off customers was concerned with J. Sainsbury and Waitrose. Comfortable location, competitive prices, polite staff, great variety of goods and products, mainly, circumspect development strategy helped Tesco to become a really national shop. It has happened neither due to only British goods are sold nor due to the state authorities discrimination of American "Wal Mart" or French "Carrefour. National brand buildup took place thanks to Tesco owners and managers, who understood British customers wishes, whims and the mechanism of decision making. It became possible after using Management Information System (MIS).
Tesco set close cooperation with University College London. The scientists offered new methods of gathering, checking, collating, review, storage, access, retrieval and update of statistics information of retail sells. Fed every second by Tesco's 12 million Clubcard holders, the Crucible database could in theory generate about 12 billion pieces of data a year if each cardholder bought just 20 items a week. This information is analyzed very attentively. MIS helps managers to understand what goods are sold better together, to place them accordingly on the counters in supermarkets. Experts, who carry out such analysis for Tesco, insist that the company has one of the biggest customer databases in the world.
At first, hypermarket provides constant (season, holiday, single) discounts for that goods and stuffs, which customer buys oftener then others. At the end of a quarter each Clubcard holder gets voucher, equivalent to sum total, he spent in Tesco hypermarkets. Additionally they are rewarded with coupons, which allow discounts to that goods, the customers can enjoy (according to MIS results). Surely, this generated information is based on purchase data analysis.
2. MARKETING CONCEPTS ROLE
Management Information System (relevant module) defines the consumer goods basket, which can be potentially interested to a customer. During the quarter Tesco sells about 6 million letters with propositions of different discounts to loyal clients.
Also Tesco MIS provides detailed sells information, which allows placing the goods on the counters according to consumers' tastes in each particular region or even in dependence of daytime. In the morning customers buy one stuffs, in the evening - another. Tesco shops in the center of London differ greatly from the little out-of-the-way ones. Other MIS module takes into account ethnic and demographic factors, fashion and even the contents of TV programs.
Can you imagine customer joy and pleasure, who feels such a great attention and care from a huge hypermarket This feeling is likely to that when your relative, living far from you, one day brings you wonderful gifts, which you wished for but tell nobody about.
Sir Terry Leahy, Tesco manager confirms that Tesco is a mirror, which reflects customers' tastes and wishes. Actually, hypermarket role is not so passive exactly thanks to multifunction MIS. Experts firmly consider that Tesco influence not only the manufacturing but also the "consumer-manufacturer" relationships. Retail cards system presents a unique information gathering methodology. This is