About Tesco The Challenge CASE STUDY “How ... - NICE Systems

CASE STUDY
CUSTOMER PROFILE:
Retail
WEBSITE:
www.tesco.com
LOCATION:
Cheshunt, Hertfordshire, UK
BUSINESS NEED:
Tesco’s goal was to earn customers’ lifetime loyalty,
a daunting challenge given that the company serves
20 million customers per week. To achieve this they
had three simple objectives:
Understand customers
Be the first to meet their needs
Act responsibly for their communities
NICE SMARTCENTER SOLUTIONS:
NICE Fizzback
THE IMPACT OF NICE FIZZBACK:
Increased Loyalty – Tesco quickly identifies and
recovers customers with negative experiences to
increase genuine customer loyalty.
Improved control of store maintenance –
Tesco rapidly identify stores which are too cold
or hot; since the implementation of NICE
Fizzback there has been a 77% increase in
controlling maintenance standards.
Improved employee engagement – Rewarding
high achieving employees further improves
Tesco’s customer focused business ethic.
New Ranges – Useful insight is offered into new
ranges and campaigns. The immediate response
to new ideas highlights what was done well and
where changes or improvement are needed.
Insight Depth - Significant increase in the
volumes of comments allows for analysis at all
levels of the business from the store through to
director level.
info-fizzback@nice.com
“How did we do?”
Learn how one simple question enables the UK’s leading retailer to capture
the Voice of the Customer and earn customers’ lifetime loyalty.
About Tesco
Tesco is the UK’s number one retailer and the third largest in the world. It
has around 2,700 stores in the UK across six different formats, including
Tesco Extra, Metro and Express.
Tesco is famous for its belief that ‘Every Little Helps’, and this principle is
applied to every part of the business. Customer service is no exception, as
demonstrated by the company’s central purpose: to provide customers
with value for money and earn their lifetime loyalty. The business believes
that success here depends on two key factors - the customer and the
employee.
To ensure that no one tries harder for customers, Tesco works to three
simple objectives:
- Understand customers
- Be first to meet their needs
- Act responsibly for our communities
The Challenge
The goal of earning customers’ lifetime loyalty is a daunting challenge given
that Tesco serves 20 million customers per week. Previously, Tesco would
gather feedback in two ways: firstly, through organised Customer Question
Time sessions, where between 10 and 15 attendees answered queries
about Tesco’s service; and secondly, through bespoke commissioned
reports.
Although these approaches produced insightful feedback from real
customers, they did not offer a complete view of the Tesco retail operation.
Actionable feedback took time to filter through the business and it was not
always possible to implement changes quickly, particularly at an
individual store level.
www.nice.com/fizzback

The Solution
In 2010, NICE Fizzback was launched in over 2,000 UK stores with
the goal of gathering feedback using a multichannel approach,
incorporating SMS text, phone, email and web surveys. The
customer-facing program, simply named ‘How did we do?’, collects
verbatim comments from customers to gather real and actionable
insight into the shopping experience.
The comments, which have been collected, are then analysed by
NICE Fizzback’s Natural Language Processors and automatically
categorised. This information is fed in real-time onto a live
dashboard which quickly analyses comments at store, regional or
national level, and through different levels of access to the system,
thousands of employees are provided with actionable feedback at
the click of a button.
NICE Fizzback produces 45,000 reports each month to send to
2,500 different stakeholders. The data is segmented into 40 areas,
24 issues and 10 different geographical regions to enable a full
analysis of the complete Voice of the Customer.
Tesco also uses NICE Fizzback to react quickly at “moments of
truth”. Customers who feel they have received bad service and
leave negative comments can be easily recovered, and moves can
be made to transform a negative into a positive. The customer’s
details are routed to a team in Dundee, UK who are then tasked with
speaking to the customer to help resolve the issue.
Similarly, Tesco uses the system to react quickly to in-store issues,
for example store temperature. If a store receives a comment that
the temperature is too cold or too hot, the management team receive
an alert requesting that they check the temperature. If a second
comment is received, an engineer is immediately sent to fix the
problem.
ABOUT NICE SYSTEMS INC.
NICE Systems (NASDAQ: NICE), is the worldwide leader of intent-based
solutions that capture and analyze interactions and transactions, realize intent,
and extract and leverage insights to deliver impact in real time.
Driven by cross-channel and multi-sensor analytics, NICE solutions enable
organizations to improve business performance, increase operational efficiency,
prevent financial crime, ensure compliance, and enhance safety and security.
NICE serves over 25,000 organizations in the enterprise and security sectors,
representing a variety of sizes and industries in more than 150 countries, and
including over 80 of the Fortune 100 companies. www.nice.com.
info-fizzback@nice.com
By implementing the NICE Fizzback solution, Tesco has been able
to highlight previously unforeseen issues that are important to
customers. For example, the Convenience Team were able to
pinpoint six areas in need of significant improvement, including
better stock control and improved customer experiences for
lunchtime shoppers.
In twelve months of use, Tesco has seen a significant increase in the
volume of information they previously received - enabling them to
hear so much more from their customers.
www.nice.com/fizzback