Tesco focuses on "shopper missions"
For years, customers shopping in Tesco stores anywhere in the UK would essentially find the same design, interior and selection of goods. But a new way of segmenting consumers has transformed the approach taken by the supermarket chain, with its layouts and product range now reflecting not only who is visiting each store, but how they browse and buy.
David Nelson, head of space, range and merchandising at Tesco, told delegates at The International Shopper Insights in Action Event – held in Prague in November 2013 – that its Tesco Express stores were redesigned based not on traditional category lines, but by "customer proposition".
Faced with slow economic growth and declining customer loyalty, Tesco drew on the vast amount of data available from its ClubCard loyalty scheme to inform this process. It had previously been used extensively when marketing to customers, but never to assess "shopper missions", and so influence the store build in specific areas.