1. Based on the Case Study and Your Own Research on Competitors, Summarize the Strategic Approaches Which Have Helped Tesco.Com Achieve Success Online.
Tesco, well known as Britain’s leading food retail group with a presence also elsewhere in Europe, Asia and the United States has also been a pioneer online.
Tesco Product ranges
The Tesco.com site acts as a portal to most of Tesco's products, including various non-food ranges (for example, Books, DVDs and Electrical items under the ‘Extra’ banner), Tesco Personal Finance and the telecoms businesses, as well as services offered in partnership with specialist companies, such as dieting clubs, flights and holidays, music downloads, gas, electricity and DVD rentals.
Tesco currently leads the UK’s other leading grocery retailers in terms of market share. This pattern is repeated online.
The …show more content…
‘What we offer is delivery to your home of a Tesco service – it's an obvious extension of the home-delivered groceries concept.’ My May 2005, Tesco.com had 30,000 customers signed up for DVD rental, through partner Video Island (who run the rival Screenselect service). Over the next year, her target is to treble this total, while also extending home-delivery services to the likes of bulk wine and white goods.
Wade-Gery looks to achieve synergy between the range of services offered. For example, its partnership with eDiets can be promoted through the Tesco Clubcard loyalty scheme, with mailings to 10m customers a year. In July 2004, Tesco.com Limited paid £2 million for the exclusive licence to eDiets.com in the UK and Ireland under the URLs www.eDietsUK.com and www.eDiets.ie. Through promoting these services through these URLs, Tesco can use the dieting business to grow use of the Tesco.com service and in-store sales.
To help keep focus on home retail-delivery, Wade-Gery sold women’s portal iVillage (www.ivillage.co.uk) back to its US owners for an undisclosed sum in March 2004. She explained to NMA: ‘It's a very different sort of product to the other