Marks and Spencer-The value of CRM?
Marks and Spencer for some time has been engaged in a new strategy which they call Plan A – People, Products and Planet.
Marks and Spencer believe that their reputation for quality and great value within its ranges can take on Post Covid challenges and make inroads into the market share of competitors such Tesco and Sainsburys within it’s food sales.
To make this a reality Marks and Spencer has spent time researching the change in shopping experience preferences of target customer segments when purchasing groceries in store and online.
Their initial results found that customers still wanted to visit stores to browse but they also wanted the luxury of being able to go online and order groceries for delivery- preferably at a time when it is convenient for them.
This has seen Marks and Spencer look for a new delivery partner in the form of Ocado. However, the £750 million Marks and Spencer has invested in this 50% share of Ocado has seen some commentators fear it will be at a cost to their continued commitment to the ‘Planet’ focus of their ‘Plan A’ strategy.
With the focus now being put on the return to ‘profit’ for the organisation at this difficult trading time.
Marks and Spencer CEO and management team recognise through their new advertising slogan ‘Never the same again’ that the products and services the organisation now offer must change and alongside this a greater emphasis placed on the importance of customer relationships which must be a key part of any future planning.
The CEO of Marks and Spencer has requested the marketing research department to undertake research and write a report based on the following:
Task 1
Describe what is meant by the term ‘Customer Relationship Management’
This task should include a definition of the term ‘CRM’ and describe what CRM means at Marks and Spencer.
Task 2
Investigate the customer relationship experience of Marks and Spencer and one other similar organisation based on the following policies:
a) Ethical
b) Sustainability
This task should be a critical discussion including examples from the organisations. It should also be supported with academic theory and citations.
Task 3
Demonstrate through a literature review a ‘critical’ discussion of a variety of quality models and theories that may assist in an organisation improving its customer relationship management.
This task requires a ‘critical’ investigation into a wide variety of academic quality models and theories supported by organisation examples to demonstrate knowledge and understanding of the concept of ‘quality’ and its link to measuring Customer Relationship Management.
Task 4
Discuss through examples from Marks and Spencer, academic theory and industry good practice the benefit of CRM to organisations engaging in the following activities:
a) Segmentation
b) Targeting Customers
c) A Loyalty Ladder
d) Marketing Mix
This task requires each of the above activities to be researched and examples discussed based on the organisation, theory and industry good practice.
Task 5
The report requires a conclusion to be drawn which outlines the strengths and weaknesses of Marks and Spencer CRM system based on the report findings.
Task 6
Recommendations are required which are based on improving the areas identified within the conclusion as weaknesses.
