Tesco delivers on its tagline of Every Little Helps with Click and Collect


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Taking the pain out of ordering online groceries

Starting in 1929, Tesco was established when Sir Jack Cohen joining forces with T.E. Stockwell in retailing.

Today, Tesco is one of the largest UK retailers and is quickly expanding globally. The tagline for the brand is “every little helps” which speaks to the Sam Walton-esque mission of providing goods at the lowest prices.

I’d like to think that Tesco has expanded the tagline beyond savings and now into providing customers with a little extra or marketing lagniappe. In 2010 the retailer launched a service called “Click and Collect” which earns them a spot in the Purple Goldfish Project at #1023. The service allows customers to order online, select a time window for pickup and retrieve their groceries at a defined collection center. According to an article in the Gulf News:

The service relies on its simplicity and convenience, said Ken Towle, Tesco’s director of internet retailing. For a £2 fee, a shopper’s purchases are picked, packed and stored at the drive-through point. When the customer arrives, an employee loads the shopping into their car.

“What customers like is they are in control,” Towle said. “They choose when they want it to be available. It de-stresses the whole experience for them.”

Here’s a short YouTube video on the service:

Is it working?

According to a report by Bloomberg . . . YES.

Tesco plans to triple the number of drive-through grocery collection points this year to win shoppers who prefer the convenience of picking up online orders to waiting at home for a delivery. The retailer is “fast accelerating” its Click & Collect service and will have 150 of the drive-through pods in parking lots by the end of the year. These 150 are also supplemented by another 1,000 non-food collection centers.

“We’ve got something customers really like with Click & Collect. It’s super-easy for customers, they just drive up, open their boot, put it in and away they go,” said Ken Towle, Tesco’s Director of Internet Retailing.

Are these the right customers?

Absolutely. Tesco expects that making shopping easier will convince customers to come back more often. Deloitte LLP estimates that people who shop via different methods – the internet, smart phones and visits to the supermarket – spend more than double those who only shop at physical stores.

Is it possible to do even a “little extra” more with Click and Collect?

I recently had the chance to sit it on a presentation by Nicola Millard, a Customer Experience Futurologist from BT at the 2012 Bring Dialog conference in Sweden. Nicola talked about Tesco Click and Collect, adding that the retailer will now integrate geofencing [2 minute video about geofencing] around the collection centers.

Geofencing would allow Tesco to receive a notification when a Click and Collect customer with a GPS enabled smartphone comes within a certain radius of the pick-up area. By the time the customer approaches the collection center, the order is already pulled up for approval and the groceries are waiting to be loaded into the trunk. The entire transaction might rival the timing of a F1 or Nascar pitstop. In our hectic, fast paced, drive thru world – this might qualify as poetry in motion.

Marketing Lagniappe Takeaway – I love a purple goldfish that ticks a bunch of boxes. Click and Collect is an added service that improves upon home delivery by eliminating waiting and enhancing convenience. It puts control back into the hands of the customer. It’s a self service solution that comes at a premium. Not only are customers willing to pay 2 pounds for it, but the service allows for Tesco to reduce or eliminate a fleet of delivery vans, plus their maintenance and fuel costs. It gives customers control and they actually don’t mind doing some of the work. According to the principles by kindred spirits Frances Frei and Anne Morriss in the book Uncommon Service, Tesco has designed a premium, funded, self service experience that can put Tesco on the road to service excellence.

Today’s Lagniappe (a little something extra thrown in for good measure) – I just recently created an executive summary for my book, “What’s Your Purple Goldfish?” Here it is on Scribd. Feel free to share with a few friends or a thousand:
What’s Your Purple Goldfish? Executive Summary

Republished with author's permission from original post.

Stan Phelps
Stan Phelps is the Chief Measurement Officer at 9 INCH marketing. 9 INCH helps organizations develop custom solutions around both customer and employee experience. Stan believes the 'longest and hardest nine inches' in marketing is the distance between the brain and the heart of your customer. He is the author of Purple Goldfish, Green Goldfish and Golden Goldfish.


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