P3 Unit 11 Business Level 3

Topics: Sainsbury's, Nectar loyalty card, Loyalty program Pages: 13 (813 words) Published: June 21, 2015
Viktoria Summer Asper Villa

Sainsbury’s History

Sainsbury’s is the third largest chain of supermarkets in the UK with a market share of 16.4%. It was founded by John
James Sainsbury in the year 1869 in a shop in Drury Lane.
In 1922 Sainsbury’s was known to be the largest grocery
J Sainsbury plc is split into three divisions- Sainsbury’s Supermarkets Ltd, Sainsbury’s Convenience Stores Ltd also
known as Sainsbury’s Local and Sainsbury’s Bank.
It operates over 1200 supermarkets and convenience
stores, online groceries and general merchandise operation.
Sainbury’s supermarkets and convenience stores sells a
variety of fresh and ready made products . Sainsbury’s
Bank plc is a british bank owned by the company. The bank
provides a range of financial products including insurance,
credit cards, savings and loans

Attracting Customers

Excellent customer service

A business can persuade a customer to keep coming back
through good customer service as it ensures they leave with a great impression. Customers will feel valued and important if they are provided with great customer service. In addition, the customer will be satisfied about what they paid for, as a result there is a bigger chance that they will come back because

they think that they can rely on the service every time. In
Sainsbury’s self service tills are available to avoid long ques. Staff are also available on the shop floor if there are issues and questions needed to be answered.

Promoting products and services through different media platforms entice the public to try out products and services. Advertising products also increase brand awareness. Through advertising members of the public know what Sainsbury’s offer. For example, Sainsbury’s produce themed advertisements appropriate for special occasions like Christmas. In the year 2014, Sainsbury’s advertisement “ Christmas is for sharing” that commemorates the First World War, one hundred years ago: the Christmas truce. (http://inspiration.sainsburys-live-well-for-less.co.uk/about-our-christmas-tv-ad/) . People watching the advertisement can see products Sainsbury’s offer. Through this, people are attracted to purchase products.

A part of the Christmas advertisement, The chocolate bar featured in the ad will be on sale at Sainsbury’s and all profits (50p) will go to the Legion, to help our armed forces and their families, past and present

Loyalty cards

Sainsbury’s offer nectar cards to customers so they continue to patronize the business because they are encourage to earn more points by purchasing more products. Customers are enticed to buy more due to exclusive offers and special discounts that will make them feel valued. Loyalty programs help the organisation by collecting customer data and monitoring their behaviour. Through this Sainsbury’s determine which loyalty programmes need to be improved and developed. Nectar card users can collect points and spend points in these following enterprises.

Offering quality products
Sainsbury’s can attract customers by offering quality products. Customers are willing to pay extra on high quality products. This helps the business build good relationship marketing since customers trust them as they provide consistency and superior products. As a result Sainsbury’s have a high chance on repeating sales. At Sainsbury’s they offer “ Taste the difference products where they offer quality ingredients.

Retention of Customers

Opening new stores in different
Expanding business in different locations can retain customers since it brings convenience to people. Sainsbury’s opened 13 new supermarkets, 91 convenience stores and extended six supermarkets in the year 2014. This successfully helped Sainsbury’s as it “ delivered property profits of £52 million”. ( Sainsbury’s Strategic Report pg. 18).

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