UK retailing giant Tesco is planning to use its Clubcard data to display items online geared towards a person’s wealth.
Tesco’s accumulated data makes it a straightforward process for the retailer to monitor the spending habits of its customers. By tailoring the webstore to shoppers’ inpidual needs, the retailer hopes to offer a more personalised service to its customers.
When customers log on to the Tesco website, the home page will display items based on analysis of the person’s Clubcard loyalty card history. The pricing intelligence from Clubcard data enables Tesco will show offers of its Value range to price-sensitive customers, and offers of its Finest range to more upmarket customers.’
Tesco are turning Clubcard digital, said Tesco chief executive Philip Clarke this week. The retailer is making changes to its UK website to highlight promotions that are “relevant to the customer who is browsing the site”, he explained. Clarke referred back to the 80s when many retailers knew their customers inpidually. Now retailers are using competitor price monitoring technology to assist with pricing strategies.Tesco recently carried out a trial on its website personalising mattresses based on the wealth of its customers. When a customer visited the website, the retailer’s Clubcard data was used to determine if the customer was more swayed by price or quality. The type of mattress that best reflected that shopper’s profile was displayed on the homepage. Using this formula, sales grew by 10 per cent.
Clarke believes personal service is the way forward. “It means treating our best customers as we would our friends by giving our staff more freedom to surprise loyal customers with special offers.”
© Profitero 2012
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Pricing intelligence company Profitero works with retailers and manufacturers to help them increase sales and maximise their profits by using competitor price, promotions and stock information at scale. For more information on Profitero price intelligence and competitor monitoring, visit www.profitero.com or email sales@profitero.com.
