Detailed Description of Mark & Spencer - Research Paper Example

s’ Loyalty for Marks & Spencer (M&S) Products and Services Registration number of Table of Contents Table of Contents 2 Introduction 3 Purpose and research question 3 Research objectives 4 Methodology 5 Results and Discussion 7 Conclusion and recommendations 16 Recommendations 17 Executive summary The paper looks at the case of Marks & Spencer in an effort to try to understand the customers’ loyalty and how to improve the weak areas in the company. A marketing research was carried out to assess the degree of customers loyalty. The research used questionnaires to get the response from the clients. The analysis employed the use of SPSS analytical software where the results were represented graphically and with detailed statistics. There is a conclusion that interprets the data and the recommendation section. The section gives the way forward for Marks & Spencer. Introduction Marks & Spencer (M&S) has been providing clothing, home products and food products to customers for over ten years (Wood & Finch, 2009). This period necessitates continued understanding of the customers’ loyalty and how to improve the weak areas. Understanding customers loyalty is crucial to the business management as it assist the management in decision-making (Stafford, 2009; Chislett, 2009; Willsher, 2011). A marketing research was carried out to assess the degree of customers loyalty. The research was strategic with the goals of providing information needed to remain at the top in the market. It was expected to give insights of the customers that could be used by the business manager to improve the business market power. This work reports findings from the marketing research conducted. Purpose and research question The aim of the study was to understand and improve customer loyalty for Marks & Spencer (M&S) on the service delivery and products offered. In meeting the goal of the research, the study seeks to answer the question "how do services and product quality offered enhance customer loyalty for Marks & Spencer”? Research objectives The core goal of the study was to understand customer’s loyalty and how to improve the degree even further in regard to Marks & Spencer products. The study proposes the following specific objectives. i. To assess customers overall impression for Marks and Spencer. ii. To assess customers views for Marks and Spencer products and services. iii. To assess perceptions of what purchase of Marks and Spencer products means to customers. iv. To assess customers ratings of Marks and Spencer products and services and their rate of interaction with Marks and Spencer. Methodology This study was a qualitative market research executed through a market survey. Semi-structured questionnaires were administered to the selected respondents through face-to-face interviews between them and the trained enumerators. The above ensures collection of accurate data from the respondents interviewed (Saunders, Lewis & Thornhill, 2012). Questionnaires with Likert scale scales employed with the aim of quantifying how product and service provision enhances customer loyalty in regard to Marks & Spencer. The questionnaire included an introductory section, a detailed description of Mark & Spencer and the aim of the study. The questionnaire also provided a means to elicit customer’s perceptions of various services provided by M&S. There were Sections to enable collection of the respondent’s age and purchasing behavior characteristics. Random sampling was used to select customers for interviewing. The study involved a sample size of 103 respondents who fully completed the questionnaire. Primary data was the main source of analysis in this study from interviews. Data collected from the market survey on customers purchasing behaviour and loyalty to M&S was analysed using SPSS. Descriptive statistics, such as percentages, were generated using SPSS. Tables and graphs were also generated using SPSS to illustrate the rusults in a graphical manner. The customers perception, entered in the form of Likert scale were also analysed using SPSS. Biasness was a challenge faced in the method of data collection and case study chosen for the survey. The data collection was bound to be biased depending on customers who were available on that day of the interview. Since the interviews were face to face with the enumerators, only customers who would be traced on that day would be interviewed. Similarly, the use of hardcopy questionnaire meant that only respondents who had time to fill our questionnaire participated in the research (Denzin & Lincoln, 2011; Savin-Baiden & Major, 2013). There was no provision for customers to take the questionnaires with them to fill at their convenient time. It adds more bias to the result of the data collected. This method, however, was chosen because of its correctness of the data collected and easy to follow up though it increases the risk of sample bias. The sampling strategy may, therefore, fail to represent the actual target population since it reflects the options of those customers accessible and had adequate time to fill the questionnaire with the supervision of the enumerators. Although the sampling method was random, it was more of a convenience type of sampling where only a customer who had adequate time participated. This type of sampling has a limitation since it does not provide equal chances for prospective participants to participate in the survey, thereby locking out crucial information when certain individuals fail to participate. Results and Discussion This section provides a discussion of the respondent’s awareness of Marks & Spenser (M&S). The section also includes a number of visits respondents make to M&S. It also discusses the respondents’ perceptions and attitudes towards goods and services provided by M&S. Fig. 1 below shows the respondents’ awareness of Marks & Spencer. Around 97% of the total number of respondents were aware of M&S while just around three percent were not aware of it. It is a good indication of how well M&S had marketed itself. The three percent of the respondents, who were not aware of M&S, were not to continue with the filling of the questionnaire. Since the information that followed was only for those who were aware of Marks & Spencer. The remaining percentage representing one hundred respondents allowed to complete the questionnaire. Fig 1. Respondents awareness of M & S (n =103) Fig. 2 below shows the number of times interviewed respondents visit M&S in a month. The largest percentage of the respondent representing 52% visited M&S more than twice in a month. Thirty seven percent visited M & S once in a month while 11% visited M&S twice per month. Fig 2: number of times respondents visit M&S in a month (n = 100) Reasons for the visit to M&S by the respondent are shown in Fig 3. The highest percentage of 41% visited the shop to purchase all the products offered by Marks & Spencer (that is, clothing, home products and food products). The percentage of the respondents who visited the store for clothing only were 22% while those who visit the shop for home products only were 19%. The percentage of the respondents who visited the store for food product only was 18% as presented in Fig. 3. Fig 3: Reasons for the visit to M&S The respondents overall impression for M&S is outlined in Fig 4. A Likert scale was used to get the respondents impression on a scale of six where a score of five represent good while zero represent bad. Five represent favourable while zero represent unfavourably, and five represent satisfactory while zero unsatisfactory on the three levels of perception tested. A movement from zero to five shows an increase in positive perception. On the criteria of whether M&S are good or bad as perceived by the respondents, 3% believe that the M&S products are bad. Those who believe the products are good were 18%. The rest of the respondents awarded a score of between four and two with three having the highest percentage of 29%. Respondent’s perception on if the M&S products were favourable or not revealed 15% of the respondents believe that the products are beneficial. Some 4% of the respondents conceive the products to be unfavourable. The score of three towards the side of favourable had the highest percentage of 33% showing a segment of the customer perceive the goods to be favourable The respondents’ satisfaction from the use of M&S product was also captured. The respondents who consider the products to be satisfactory were 16% while only 1% considered the product to be unsatisfactory. The third score towards the satisfactory side had the highest percentage of 35%. All these three ratings for the products offered by M&S shows that customers have a positive perception towards products from this retail store. Fig 4: Overall rating for the products offered by M&S (n =100) Fig. 5 shows respondents perceptions of M&S products. The Likert scale had six scales where 1 = Agree 5, 2 = Agree 4, 3 = Agree 3, 4 = Agree 2, 5 = Agree 1 and 6 = Disagree. Moving from Disagree to Agree 5, shows the level of agreeing where Agree 5 shows a level of strongly agree. On the view of quality standards of products provided by M&S, 21% strongly agreed that the products were of the required standards. Only 1% disagreed on the quality standards of the products. Seventeen percent of the respondents strongly agreed that there was a consistency of quality of product produced by M&S. Nonetheless, 3% conceive that there is no consistency of quality of products produced. The percentage of those who strongly agreed that there was a value of products for money was 18%, while 4% disagreed. Fourteen percent, 15%, 18% and 12% in that order strongly believed that M&S products are priced reasonably, enhance the degree of workmanship, have efficient delivery and collections services and have eco-friendly products respectively. The percentage that disagreed M&S products being priced reasonably, promoting a degree of workmanship. In addition, those having efficient delivery and collection services and products being eco-friendly were 2%, 5%, 1% and 3% respectively. The results show that only five or less than five percent disagree with the quality and services offered by M&S while the rest are in the transition of agree 1 to agree strongly (Agree 5). The details of the findings are as shown in Fig. 5. Fig. 5: Respondents perceptions for M&S products Elicitation of respondent’s perceptions on whether a purchase of M&S products leads to self-satisfaction would ensure environment consciously. Hence, would motivate towards quality standards, and having better consideration for brands. It also would provide social approval and if it would ascertain convenience for store locations is as presented in Fig. 6. One percent of the respondents disagree that it would lead to self-satisfaction while 19% strongly believe that it would lead to self-satisfaction. On the possibility to ensure environment consciousness, only 2% disagree. The rest of the respondents at least agree to the fact it can ensure environmental conscious. To be more specific 17% of the respondents strongly agreed to that the purchase of the M&S products would motivate towards quality standards. Hence, reaffirming in having better consideration for brands (Dwyer & Tanner, 2006). No respondent disagreed on the possibility that the purchase of M&S products would provide social approval. Those respondents who disagreed on the possibility of motivating towards quality standards, ensuring in having better consideration for brands and M&S products ascertaining convenience for store locations were equal to or less than 3%. The respondents highly value products from M&S and believe that the products could lead to important functions such as in promoting environment consciousness. Promoting environment consciousness leads to customers self-satisfaction and is an important aim for a business (Brown, & Hayes, 2008; Philip, 2008; Kotler & Pfoertsch, 2006). Thus, this shows that M&S have been able to satisfy the customers expectations of the majority. Fig 6: Perceptions on what purchase of M&S products would do There is also the classification of choice for M&S products namely clothing, home products and food products. It is based on whether purchasing from M&S leads to pleasure and if the products and services of M&S are of quality standards are as presented in Fig. 7. On whether the respondents were loyal to the M&S brand, only 4% disagreed while 14% strongly agreed to be loyal. Some 12% strongly conceive that M&S is their first choice for clothing while 13% and 11% strongly consider that M&S is their first choice for home products and food products respectively. The 18% strongly agreed that purchasing from M&S leads to pleasure and delight. Hence, 17% strongly agreed that products and services offered by M&S are of quality standards. The percentage of the respondents who disagreed that M&S was their first choice for clothing, home products and food products was 5%, 4% and 4% respectively. The percentage of customers who disagreed that purchasing from M&S leads to pleasure and delight was 1%. Likewise, the percent of respondents who disagreed that the products and services are of quality standards was also 1%. In general, those respondents having negative perceptions of the above statements was either equal to or less than five showing that the majority of customers are satisfied and trust M&S products. Fig 7: Respondents perceptions and views Fig. 8 shows the result of interaction rates with M&S. Only 4% disagree that they have ever participated in surveys organized by M&S. From these findings, it shows that 96% of the respondent at least agreed that they had participated in surveys organised by M&S. All the respondents agreed that they had communicated with the personnel of M&S. All the respondents agreed that they had at least provided information about M&S service quality with 20% strongly agreeing. Twenty two percent of the respondents strongly agreed to have provided information about M&S product quality. No respondent disagreed to have provided information about product quality and these clearly indicate there was communication between M&S and their customers. Out of all the respondents who completed the market research survey questionnaire; some, 2% had not assisted others at the time of making a purchase. While the remaining 98% agreed to have at least helped other customers at the time of making a purchase of M&S goods. Fig 8: Respondents interaction rate with M&S Conclusion and recommendations Out of all the respondents interviewed, it is evident that a large number of the respondent are aware of Marks & Spencer. Only a small percentage of the respondents did not know M&S. Hence, M&S had penetrated the market. M&S products have been rated by most of the respondents interviewed to be good, favourable and satisfactory. The findings also show that the respondents are confident of the quality standards of the products offered by M&S, namely clothing, household items and food items. Respondents also agree that there is a consistency of quality of the products that M&S offer as argued by (Burns, 2008). Consumers also are satisfied with the pricing of products, as they believe they get the value of products for their money used (Anderson & Narus, 2004). The respondents conceive that M&S have led to the improvement of the degree of workmanship. Customers of M&S agree that their delivery and collection services are highly efficient. Respondents also agree that M&S contributes to the environment protection with the provision of eco-friendly products. Purchasing of the M&S products has shown to lead to the self-satisfaction of the consumers. For any business venture, it is vital to ensure that customers are satisfied with the services and products provided something that M&S have strived to ensure. Most consumers have also shown trust in M&S products towards ensuring better consideration for brands. All the respondents meaning socially the products are accepted have accepted M&S and products socially. M&S have also ascertained convenience for its store locations thereby winning the trust of its customers. Most respondents have shown to be loyal to the M&S products. A large number of respondents have cited M&S as their first choice of clothing, home products and food products. Most respondents have also revealed that purchasing from M&S leads to pleasure, delight, and agree that the products and services provided by M&S are of high-quality standards. All this shows that consumers trust M&S products. Recommendations The study reveals M&S customers have gained confidence and trust in their services and products. It is, therefore, important for M&S to maintain the high level of quality standards of their products and their service delivery. To maintain the variable customers who their first choice of products are from M&S, surveys and communication from customers would be vital so that they can always be able to meet the customer demands. There is also need to improve in areas where not all customers strongly agree to their products quality and services. M&S can also increase surveys on their products and encourage more participation so that they can be able to get feedbacks from their customers (Potter, 2010). They should also ensure there are appropriate channels to enhance communication between customers and M&S personnel so that customers can be able to provide information about service and product quality. All these attempts would be geared to ensure M&S can maintain their customers, and they can get new customers. References Allan G., (2003). “A critique of using grounded theory as a research method.” Electronic Journal of Business Research Methods. Vol 2 (1). Pp. 1-10. Anderson, J., & Narus, J., 2004. Business Market Management: Understanding, Creating, and Delivering Value. Britain: Pearson Education, Inc. Brown, D., and Hayes, N., 2008. Influencer Marketing: Who really influences your customers? United Kingdom: Butterworth-Heinemann. Burns, P., 2008. Corporate Entrepreneurship: Building an Entrepreneurial Organization. Basingstoke: Palgrave Macmillan. Charles L, Joe H, Carl M, 2008. Essentials of Marketing. Boston: Cengage Learning. p. 363. Chislett, H., 2009. Marks in Time: 125 Years of Marks & Spencer. Weidenfeld: Nicolson. Creswell J., (2008). Research Design: Qualitative, Quantitative and Mixed Method Approaches.Los Angeles: Sage Denzin N., & Lincoln Y, (2011). The Sage Handbook of qualitative research (4th Ed.). Los Angeles: Sage Publications. Douglas H., 2008. "retail". Online Etymology Dictionary. web Dwyer, F. R., and Tanner, J. F., 2006. Business Marketing: Connecting Strategy, Relationships, and Learning, 3rd Edition, New York: McGraw-Hill/Irwin Emma S., 2013. "M&S tries to lure back shoppers with new fashion ranges". BBC News. www.bbcnews.com.Retrieved 22 July 2013. Hall, J., 2010. "M&S plans to take Twiggy international". The Daily Telegraph (London). Retrieved 25 March 2012. Hall, J., 2011. "£2bn Marks & Spencer makeover less than inspiring". The Daily Telegraph (London). Retrieved 25 March 2012. Hiscott, G., 2013. "Marks and Spencer fashion launch was slick but what matters is what core customers think". Daily Mirror. Retrieved 22 July 2013. Kotler & Pfoertsch., 2006. "B2B Brand Management". Berlin: Springer Berlin. Kellett, U. (2010). 7018NRS Qualitative Research study guide. Retrieved from: https://learning.secure.griffith.edu.au/webapps/portal/frameset.jsp?tab=coursea&url=/bin/common/course.pl?course_id=75361_&frame+top Date of Access 22nd April 22, 2015 Lisa M. (2008). The Sage encyclopedia of qualitative research methods. Los Angeles, Calif.: Sage Publications. Print Potter, M., 2010. "UPDATE 5-Marks & Spencers new CEO lifts investment". Reuters. Philip H. M., 2008. Discovery-Based Retail, Minneapolis: Bascom Hill Publishing Group William M, Robert J, Jack R. K, 2011. Business. Boston: Cengage Learning. Saunders M., Lewis P., & Thornhill A., 2012. Research Methods for Business Students. USA: Pearson Education Limited. Stake, R. (2010). Qualitative research: Studying how things work. New York: The Guilford Press Savin-Baiden, M & Major C., (2013). Qualitative Research: The Essential Guide to Theory and Practice. London: Routledge. Stafford, P., 2009. "M&S names Bolland as new chief". Financial Times (London). Retrieved 18 November 2009. Wood, Z., & Finch J., 2009. "A new face, but the same old problems at Marks & Spencer". The Guardian (UK). Retrieved 18 April 2011. Wearden, G., 2009. "Marc Bolland appointed as chief executive of Marks & Spencer". The Guardian (London). Retrieved 18 November 2009. Willsher, K., 2011. "M&S part deux: Rosie Huntington-Whiteley attends relaunch as retail chain returns to France...ten years after it left". Daily Mail (London). Waldmeir, P., 2009. "M&S admits Shanghai errors". Financial Times. Retrieved 19 December 2009. . Appendix Marks and Spenser questionnaire Please tick the one you think is right. 1, How old are you? A 18-25 B, 26-35 C, 36-50 D, 50-65 2. What is your gender? A, Male B, Female 3. Which of the followings you will considered most when you purchasing in M&S? A, Price B, Quality C, Brand D, Location F, others_____________________ 4, How many times have you visited M&S in last 4 weeks? A, 0-8 B, 9-16 C, 17-24 D, more than 24 5. Do you have a M&S Loyalty Card? A, yes B, no 6. What do you think about M&S Loyalty Card? Good 6 5 4 3 2 1 0 bad 7. How much you spent on M&S in the last 4 weeks?______________________________ 8. What would you usually bought in M&S. A, Food B, Clothes C, Housewares D, Others_______________ 9. Your overall impression of M&S products is........... Good 6 5 4 3 2 1 0 bad Favourable 6 5 4 3 2 1 0 unfavourable Satisfactory 6 5 4 3 2 1 0 unsatisfactory 10. Please give your view on the following statements. Strongly agree strongly disagree Have an acceptable standard of quality 6 5 4 3 2 1 0 Are well made 6 5 4 3 2 1 0 Are products that I would enjoy 6 5 4 3 2 1 0 Would make me feel good 6 5 4 3 2 1 0 Are reasonably priced 6 5 4 3 2 1 0 Thanks for your time. Questionnaire SPSS Data Entry Screen Shoot. Read More