I was shown this is my International Retailing lecture last week. I thought this was so cool and really logical. Tesco thought outside the box, using new technologies to capture a major opportunity. This opportunity was busy Koreans who had to wait for trains, this wasted time became a time they could do their grocery shopping, just like in a real store, but using their phones to scan the bar-code. Their groceries would be delivered when they got home. This is definitely a win-win situation for the consumer and Tesco!
In that lecture on retail technology, one of the key messages was that technology should be used to solve problems of the business and have a purpose/objective behind it. Using new technologies just because everyone else is will not get any business very far, you have to be creative in HOW you use technologies available in order to add value to your business and consumers, just like Tesco has! What are your thoughts?
What a wonderful example of what in-depth research and progressive ideas, mixed with futuristic technology can cultivate. They obviously looked at what was perceived as a problem with the market and came up with a creative way to solve the issue in order to keep, and increase, customers and sales. The added opportunity in utilising smart phones as a key tool in the project stays on current trend with the the current domination of the phones around the globe. I'm so impressed by this, very innovative from a customer perspective.
ReplyDeleteDamn it....the internet is sooo slow that I can only watch half of this interesting video! :( Thanks for sharing it here! It's just so amazing! Displaying virtual supermarket catalogue at subway stations and shopping groceries with smartphones...This is a really creative idea! And again, it just shows how many possibilities the internet and new technologies can bring about to our life!
ReplyDeleteColes and Woolies here should really learn after Tesco Korean. This strategy is way better than offering heavy discounts on groceries which both of these giants are doing...I would rather have my groceries delivered straight to my door and save me a bit of time and effort for other activities than having a few dollars discount....Agreed? =)
This is one of my favorite blog posts this semester. This example is proof that understanding consumer habits (i.e. Koreans are hardworking who dread supermarket shopping) can bring a successful campaign into fruition.
ReplyDeleteI definitely think Coles and Woolworths should take a leaf out of Tesco's very long book. They have a thing or two to leader about how to incorporate the digital aspect into their IMC plans! This is clearly the direction marketing is heading... I must say it is an exciting time to be a marketer!
I'm glad you guys thought it was as cool as i did :) It is really exciting that we will get to solve real problems like these, creating new uses for existing technologies. That is why I love this example so much. It still shows that the core principles of marketing, using market research to find opportunities, while showing the capabilities of using new technologies to capitalise on them and create mutual value.I wonder what Tesco will think of next... I will definately be on the lookout!
ReplyDeleteI'm not so convinced that this is actually a sustainable idea. Why can't the same thing be achieved with a website? Why does it need to be so huge?
ReplyDeleteI really think this is a gimmick, great for *promotion* of the Tesco brand, but not really scalable, as it would be so expensive to set up and maintain.
Gee, I'm in a negative mood today! :)
you are..way to ruin the mood wags...geez:P
ReplyDeletesurfing the web on mobile technology isn't very practical for a task such as online purchasing.
I think the point of the idea was that it was done during waiting time, giving at least some entertainment value to the consumers because of the novelty. I don't think it was ever meant to be sustainable or that they expected people to do their entire grocery shopping while waiting for the train. I am interested to know how long the campaign went for actually, or even what the most popular item purchased was (probably milk or something like that).
So even if it is a gimmick, i think it is a really clever gimmick that increased sales in the short-term and in the long -term increased brand awareness and positive brand associations.