Making the Net profit

Since its launch, Tesco.com has achieved a 65 per cent market share in home grocery shopping and it is profitable, yielding &£12m in 2002. Turnover has more than doubled to &£447m during this period. This has been achieved through rigorous, measured and accountable marketing. As the judges noted, “Tesco is doing all the right things.”

Carrying on at your convenience

Following trials in the late Nineties, Tesco.com set itself the goal of becoming the number one online shopping destination. It identified that convenience is the key motivating factor for online shoppers; this has been embodied in the website, the delivery process and all communications.

The customer experience must also be consistent, as one bad incident can end the relationship. Throughout, Tesco.com has been customer-centric, using information gleaned from the Clubcard database to define services and marketing. A recency, frequency and value model has been built, together with a basket cluster classification to group similar customers together.

Marketing programmes developed with agency EHS Brann have been used to move newly registered shoppers towards the key stages in their life-cycle. Every stage in this process has been rigorously tested.

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here