Monday, August 26, 2019
Critically evaluate how international retailers can achieve Assignment
Critically evaluate how international retailers can achieve competitive advantage through customer service - Assignment Example Customer service offers competitive advantages of improved customer satisfaction, increased customer loyalty, improved brand image, and increased sales and profitability. The 7P elements are also important in enhancing competitor advantage. The 7Ps are: price, product, place, promotion, people, process, and physical environment (Kotler, 2011). In the analysis of Tescoââ¬â¢s F&F brand, the most important element of the 7P is People. People are the main drivers of customer service at F&F. They communicate with customers in order to enhance effective customer service. They also respond effectively to the requests and complaints of customers. Tesco recruits highly qualified employees with good customer relations skills. The leading online retailer in UK is Amazon while the worst retailer is Ryanair (Integrated Retailer, 2014). In overall, there has been a fall in online customer satisfaction in UK, falling from 74 to 73 on a 100-point scale (Integrated Retailer, 2014). Amazon, the best online retailer has a score of 84 while Ryanair, the worst performer had 60 points; all in terms of customer satisfaction. Amazon targets buyers of various retail products while Ryanair targets airline companies. Amazon has segmented its customers geographically and in terms of affluence. On the other hand, Ryanair does not seem to have a good segmentation because it targets all airlines without identifying any segment. These examples show how customer satisfaction through customer service is an essential element in achieving competitive advantage. Customer service, social responsibility, and sustainability are closely related concepts that retail companies should consider in order to improve their customer satisfaction. Customer service entails serving customers through delivery of goods, listening to their complaints, helping them with their problems, and understanding them. Generally, customer service
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