BUYER BEHAVIOUR TESCO PETROL STATION CANNON PARK INTRODUCTION • Tesco Petrol Station – small shop/forecourt adjoining Tesco Supermarket. • Serves approx. 5000 customers per day. • Sells petrol and a range of other goods : Food items Newspapers / Magazines Car products Cigarettes / Pharmaceutical goods • Customers include most consumer groups. FLOOR PLAN TESCO’S PETROL STATION • TPS can only be found near TESCO superstores. • TPS own customers: – “Driving” customers – “Hurrying” customers – Customers in need of car products e.g. de-icer • Predominant influence of TESCO style in: – TPS marketing style/outlet layout/atmosphere – TPS management – TPS consumers Customers who come from TESCO TPS: Customers buyer behaviour (I) • Customer Origin: “Business Park” and University of Warwick • Main objective for the different types of customers Buying petrol • Parallel objectives for some types of customersStore purchases (examples): • Forgetting items in their supermarket purchases • Impulse buys (newspapers,Kit Kat) TPS: Customers buyer behaviour (II) • Features of the purchased products: • Individual, packaged and small-sized • Low-involvement products: respond to daily needs in different categories (food, cigars, car products) • Same prices but narrower range of brands than TESCO • Features of the purchase itself: • Impulse purchase • Means of payment: the same transaction = positive influence for the store purchases INVOLVEMENT AND BUYING MOTIVES IN A CONSUMER BEHAVIOUR FOR A TESCO PETROL STATION Think Feel Snacks, flowers, cigarettes, car purchases Involvement HIGH Petrol Feel Think Buying Motives TPS: Physical store attributes (I) • Size: Small store and outlet because of quick purchases – One individual way in/way out – No free space to leave cars after buying petrol – Neither toilets nor stock room • Staff: – Petrol is self-serving, so only 2 people (provided by TESCO) needed in store – Few service requirements TPS: Physical store attributes (II) • ‘Tesco’ feel – shelving, price tickets, lighting • 3 different colours for each sort of petrol • Some products are placed outside to attract customers (newspapers, flowers) • Importance of “In store-stimuli” » Bright » Colourful (products) » Easy – facilitates quick decision making • Space is maximised with high shelves » Low-involvement products displayed » Impulse buys next to the cashier • Layout – poor visibility of interior, wasted space by tills • Sober atmosphere » no music » no lively colours » Small / cramped Management Perception: Stock • Branded goods – easily recognisable, main lines. • Tesco own brands. • Small range – no special offers, no Tesco Value range. • Responsive to customer demands (goods). • Convenience goods (cigarettes, sandwiches, drinks, milk …). • Typical garage stock (flowers, de-icer, logs, oil…) • No storage of goods, directly from supermarket. Management Perception: Individual Differences • Consumer Resources : Time Money • Motivation & Involvement : Convenience Limited Decision Making • Knowledge : Petrol lowest price Tesco brand / Clubcard • Attitudes : Brand loyalty, customer service, convenience Management Perception: Individual Differences • Personality : only main line goods » Basic » Quick » Easy • Lifestyle : on the go, commuters, forgetful, impulse buyers… • Demographics : – Age – Locals – residents, workers, students – All – no particular focus RECOMMENDATIONS • Change layout – move tills, customers have to walk past more stock, more spacious, drivethrough. RECOMMENDATIONS cont. • • • • • Access – slip road for passing traffic. Outlet needs to be clean. Reposition products more carefully. Offer some discounts. Better usage of the sales force: more service provided. • Phone and public toilets. • Increase the variety of products available. • Separation of products – foods & car products. • Selection of products to sell based on data. RECOMMENDATIONS cont. • Increase visibility: Sign Screen Receipt • New technology – push promotion • Closer image to Tesco: Name (Mini Tesco) (Quick Tesco)