viernes, 18 de junio de 2010

A LOYALTY CLUB BECAME AN IT WINDOW TO SUCCESS

TESCO is an innovator in technology; clear examples are as follows;
• Computerized checkout systems
• The implementation of the first UK supermarket loyalty program in 1995,
The Tesco Club Card.
• TESCO and banking
• Tesco.com
Digital Store Fronts
Online Grocery Shopping

One of TESCOS most outstanding traditions is its vigorous pursuit for expansion, signs of this date back to its foundation at the start of the Second World War when it reached an eye-opening number of stores, 100. Tesco has differentiated from its competition by having low prices but this strategy was impaired by laws, but Tesco found a loophole by introducing Green-Shield trading Stamps, a loyalty program, which has later put down by law thanks to lobbying by its competitor.

Finally in 1995 an electronic investment of £300 million over 3 years gave birth to “the blue card” a loyalty program aimed to provide discounts and privileges to the customer. This IT investment gave TESCO something unimaginable, INFORMATION ABOUT THE CUSTOMER. It gave a window to what the customer buys and wants letting TESCO increase its profits by concentrating in its customer’ needs. Then investing in Teradata that amplified the view of its customers. This resulted in a huge advantage over the competition placing it over its competitors and becoming UK’s biggest retailer.
GO InformationTechnologies !!!!

I refer to TESCO as a bank because a great advantage of having ties with the banking system gives a zero friction to a lot of products thanks to technology innovations. It started with cash back and then went to double point purchases, credit card loyalty, and other usual banking products.



Another I.T. investment that put TESCO inline with innovation and the Internet era was tesco.com Practicality for working moms or singles can be a good market. They also ventured into selling books, electrical appliances, and even cloths. This provided the company with not that big of a revenue but a complementary product to there business that in the future can bring bigger percentage. You can recharge cellphones, pay for your groceries, buy an airline ticket, almost anything in tesco.com

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