Impact of COVID 19 on Consumers Patterns of Shopping: Analytical Essay
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Introduction
Inquiry-based learning is amazingly effective to ensure a critical analysis of a subject matter. The trend in the retail industry can affect the overall performance of the organisation in the market. Moreover, the organisational activities to the market can be affected as per different kinds of trends in the industry. The objective of the report is to analyse the trend in the retail industry of the United Kingdom and the scope of Tesco Plc to respond to these kinds of trends. This topic important to analyse the customer and market trend in the market and formulate an effective strategic approach in the market. The literature review, research methodology and discussions of the results are described in an effective manner to the rest of the discussions of the report.
Literature review
According to Anolli et al., (2016) the trend in the retail industry can affect the success of failure of the business organisation. The management of business organisations needs to focus on customer trends in the market to be associated with the customers in a more effective manner. Hence, the demand of the customers can be analysed by the companies. Hence, the exclusivity of the customer demand needs to the considered effectively by the organisations so that organisational actions can be associated with many kinds of demands of the customers. Based on the perception of Blessinger and Carfora (2012) the expansion of the business to the different kinds of emerging market and creating the new channel for the supply chain of the organisation can be denoted very effective trend in the retail industry. By improving the modern technology, the trends to the retail industry have also been updated. The retail organisations need to enter into the merging market so that the demand of the customers can be increased and the organisational scope to the global market can be enhanced in a significant manner.
As per Lewis and Dart (2014) the retail organisations need to embrace with the current trend in the market so that the organisation can thrive to the market and the large extent of competitive advantage can be grabbed in an effective manner. To ensure social shopping for the customers has been identified as an effective action to be associated with the trend of the customers. As per complying this trend, the retail companies can be associated with the wide range of the customers in the market. According to Moog (2018), retail organisations need to focus on mobile marketing to attract customers to the products of the business. The journey of the customers can be managed in an effective manner by conducting organisational activities with mobile marketing. To execute digital marketing by the organisation may also increase the base of the customers and increase customer loyalty. Besides ensuring the mobile marking, the organisational responsibilities to the social needs to be fulfilled in the proper manner to be loyal to the many kinds of customers.
Methodology
The primary data has been collected in this case to conduct inquiry-based learning. The current trends to the retail industry of the United Kingdom have been analysed as per considering the direct information given by the customers in the market. Moreover, different kinds of involved parties in the retail market are also considered to collect the required data for the research (Kamath and Saurav, 2011). The positivism research philosophy has been maintained in this case so that the research outcomes can be associated with ethical and positive aspects.
The personal administer technique has been applied in this case to collect the primary data for the research. By application of the personal administer technique, the direct interaction with the customers has been taken place and the effectiveness of the current trend in the retail industry. The response of 10 respondents is collected for conducting the research (Morland, 2015). All the customers in the retail market are the population for the research and selected customers from the industry are regarded as a sample. The quantitative data of the research are mainly collected to conduct the research. For this reason, the numerical information has been focused in this case so that it can be presented through many kinds of graphs and charts. In this context, the deductive approach of the research has been applied in the effective manner so that the crucial analysis on the current trend to the retail industry can be examined in proper manner (Kuhlthau et al., 2017). Apart from the quantitative data, some extent of qualitative data is also used in conducting the following research.
Besides the primary research, the research has also been conducted based on the secondary research. The existing research paper on the trend in the retail industry are analysed in the proper manner so that it can be analysed properly. The conducted research by some scholars are considered in this case to present the secondary research data to conduct the research in effective way (Kamath and Saurav, 2011). For both primary and secondary method of data collection, the cross sectional data has been used to present different outcomes of the research.
Discussions of the result
The primary and secondary research outcomes are presented in this phase of the report. Hence, the appropriate tables and charts are used so that the outcomes can be presented in an effective manner. The research outcomes are described as follows: To embrace online shopping can increase the base of the customers at a high extent The online shopping facilities to the customers has become a trend in the retail industry. In the current marketplace, many kinds of customers are involved in online shopping. To purchase different kinds of retail goods can be facilitated in a high extent due to application of the online media (Morland, 2015). The effectiveness of online shopping is explained as follows:
The following graph shows the level of agreement of the different kinds of customers in the retail market. About 50% responded are agreed that online shopping can increase the base of the customers. About 20% are highly agreed and another 10% have no comment on this regard. Hence, 20% of customers disagree that online shopping can increase the base of customers. It can be concluded that Tesco Plc can increase the overall shopping of the company by connecting to the online system (Lewis and Dart, 2014). The value-added services can also give to the customers in the market. Because of COVID-19, the growth in retail industry can be stagnant.
Particulars Frequency Percentage
Highly agreed 5 50%
Agreed 2 20%
Neutral 2 20%
Disagreed 1 10%
1
2
3
4
5
6
Highly agreed Agreed Neutral Disagreed
The COVID-19 pandemic has made the whole world stagnant in recent time. It has a wide range of impact on the overall activities of the business. The response of the customers in the retail industry has been taken to assess the impact of COVID-19 on the overall growth of the business. About 50% of respondents are highly agreed that the growth of the business can be stagnant because of COVID-19. About 20% are agreed and neutral and about 10% disagree on this statement. Along with many kinds of organisation in the market, the overall growth of Tesco can also be stagnant because of this pandemic (Morland, 2015). For this reason, a crisis can be affected by the organisation in the upcoming days.
The taxation policy of the government can affect to the overall profit of the retail business
Particulars Frequency Percentage
Highly agreed 3 30%
Agreed 4 40%
Neutral 2 20%
Disagreed 1 10%
Highly agreed
50%
Agreed
20%
Neutral
20%
Disagreed
10%
The taxation policy of the United Kingdom is progressive. There have certain excise duty and narrow value-added tax (VAT) to the country. The corporate tax is high to the country and different kinds of retail organisations need to consider the corporate tax rate against the organisational profit. In this case, the effects of the government taxation policy have been considered in an effective manner so that its impact on the organisational profit can be assessed (Morland, 2015). Hence, about 40% of respondents are agreed and about 30% are highly agreed that the adjusted taxation policy in the recent fiscal year can affect the organisational profit at a high extent. About 20% are neutral and about 10% disagree in this statement. The BREXIT issue can affect to the customer base of retail companies.
Particulars Frequency Percentage
Highly agreed 6 60%
Agreed 1 10%
Neutral 2 20%
Disagreed 1 10%
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Highly agreed
Agreed
Neutral
Disagreed
The UK’s decision to leave the European Union can reduce the overall revenue of the retail organisation than expected. Due to the BREXIT effect, the free entry to other kinds of a European country can be limited and the retail business organisation can be reprieved of grabbing a high extent of products. The excise duty and VAT will have to pay more by the retail organisations. As per the outcomes of the research, it can be concluded that about 60% of respondents are highly agreed and about 20% are neutral on this issue. In this case, about 10% are not agreed (Blessinger and Carfora, 2012). The BREXIT has a high extent of the impact on the customer base of the organisation. A significant portion of the customers of the organisation can be reduced and it can negatively affect the organisational profit.
1
2
3
4
5
6
7
Highly agreed Agreed Neutral Disagreed
The business expansion to the emerging market and creating new channels can increase the organisational values
The business expansion has been regarded as the key trend to the retail market as many kinds of companies are involved to increase the scope of the business to the emerging economy. The business expansion tends of the retail organisations and its scope to Tesco Plc are explained as follows:
The bar chart shows the response of the customers about the effectiveness of the business expansion strategic approach of the business. About 40% are highly agreed and 30% are agreed that the business should expand to the emerging market and the supply chain channels need to be increased to increase the organisational values. In expanding the business, the emerging countries are the first choice of organisations so that the organisational values can be increased rapidly (Lewis and Dart, 2014).
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Highly agreed
Agreed
Neutral
Disagreed
Hence, 20% of respondents are neutral and another 10% disagree. Based on theresponse of the customers in the market, the multi-channel facilities of the retail organisations can increase the scope of the business to the retail market industry.
To provide personalised retail experience can enhance the customer satisfaction
To focus on the personalised retail experience may increase the overall satisfaction of the customers. In this case, the effect of the personalised retail experience to increase the customer’s satisfaction are explained as follows:
About 50% respondents are highly agreed that the personalised retail experience can increase the employee satisfaction. About 30% respondents are agreed on this regard.
About 10% are neutral and disagreed respectively. The personalised retail experience can be increased due to discounts and allowing different kinds of offers to the customers (Randy and Wankel, 2011). By this way, the customers can be motivated to buy more from the organisation and the interest of the customers can be considered by the organisations.
Highly agreed
50%
Agreed
30%
Neutral
10%
Disagreed
10%
The organisation need to grow the culture of immediacy
The culture of immediacy denotes to respond to the customers immediately. By fulfilling this cultural environment to the organisation, the customers can be associated with the organisational services in an effective manner. In this case, about 40% of respondents are highly agreed and another 40% are agreed that the culture of immediacy needs to be executed to the organisation (Pappas and Tepe, 2012). Some kinds of respondents have a neutral perception of this statement. As per the graph, it can be concluded that the culture of immediacy can increase the satisfaction of the customers to the retail industry.
0.5
1
1.5
2
2.5
3
3.5
4
4.5
Highly agreed Agreed Neutral Disagreed
To put the community at the heart of the organisation can increase the association with the customers in the market
The community needs to be considered effective by the organisation. Hence, the preference of the community has been analysed in an effective manner so that its impact on the retail industry can be assessed. About 40% of customers are agreed and about 30% of customers are highly agreed that the organisations need to put the community in the heart to offer them different kinds of facilities (Noronha, 2015). By considering the customers effectively, the overall satisfaction of the customers can be enhanced and the organisation can increase its value. Hence, about 20% of the respondents disagree about this statement. The digital marketing can increase the efficiency of the company to reach many kinds of customers
Highly agreed
30%
Agreed
40%
Neutral
10%
Disagreed
20%
Highly agreed
Agreed
Neutral
Disagreed
To apply the tools of digital marketing has denoted as the current trend in the retail industry. For this regard, the organisation can be associated with different kinds of social media and online sales system. Digital marketing can reach many kinds of customers in the market and increase the attractiveness of the products. As per the above graph, it can be concluded that about 50% respondents are agreed and another 30% are highly agreed that the digital marketing needs to be undertaken by the organisation (NevárezLa and Nevrez-Latorre, 2014). About 10% of respondents are neutral on this statement. For this reason, it can be concluded that digital marketing can be associated with the customer trend in the market and increase the superior value of the organisation.
0 1 2 3 4 5 6
Highly agreed
Agreed
Neutral
Disagreed
Conclusions
It can be concluded that the current trends in the retail industry have been reflected through conducting the report. Inquiry-based learning on this topic has been demonstrated in an effective manner. The objectives of the research are fulfilled by evaluating the response of different kinds of customers in the market. In this case, the effectiveness of the trend in the retail industry has been analysed in the point view of Tesco Plc. The impact of the COVID-19, adjusted taxation policy of the government, BREXIT issue and different kinds of factors are critically analysed in this case so that the retail business organisations can take the cautionary approach to respond the current trends. The company has a high presence to the different kinds of the marketplace. From this context, the organisation can be associated with different kinds of current trends in the retail industry and increase the values of the company in a systematic manner.
Recommendations
By conducting the inquiry-based learning, different kinds of the gap in the current trends to the retail market have been identified. The following recommendations are given to Tesco Plc so that the organisation can be associated with the trends in the retail industry:
- The management of Tesco Plc needs to focus on the online selling system to prefer the consuming behaviour of the customers.
- The community should be preferred to a high extent by the organisation in this case (Morland, 2015).
- Tesco Plc should increase the range of digital marketing to increase the base of the customers and customer awareness.
- The retail needs to focus on the personalised experience of the customers so that their satisfaction level can be enhanced to a significant extent (Noronha, 2015).
References
- Anolli, M., Beccalli, E. and Giordani, T., 2016. Retail Credit Risk Management.
- Blessinger, P. and Carfora, J., 2012. Inquiry-Based Learning For Arts, Humanities, And Social Sciences Programs.
- Kamath, N. and Saurav, S., 2011. Handbook Of Research On Strategic Supply Chain Management In The Retail Industry.
- Kuhlthau, C., Maniotes, L. and Caspari, A., 2017. Guided Inquiry. Westport, Conn.: Libraries Unlimited.
- Lewis, R. and Dart, M., 2014. The New Rules Of Retail. New York, NY: Palgrave Macmillan.
- Moog, R., 2018. Process Oriented Guided Inquiry Learning (POGIL). Washington, DC: American Chemical Society.
- Morland, K., 2015. Local Food Environments. Boca Raton: Taylor and Francis.
- NevárezLa Torre, A. and Nevrez-Latorre, A., 2014. The Power Of Learning From Inquiry. Charlotte, NC: Information Age Publishing.
- Noronha, S., 2015. Careers In Communications. New York: VGM Career Books.
- Pappas, M. and Tepe, A., 2012. Pathways To Knowledge And Inquiry Learning. Greenwood Village, Colo.: Libraries Unlimited.
- Randy Hinrichs. and Wankel, C., 2011. Transforming Virtual World Learning. Bingley, U.K.: Emerald.
Appendix
Questionnaire
Please fill the following questionnaire carefully. Your response will be used for the purpose of research and it is certified that your given information will be kept in secret.
- Name: ____________________________________
- Age: _______________________________________
- Gender: ____________________________________
- What is the range of your income?
- a) £200- £500 b) £600- £1200 C) £1300- £2500 D) £2600+
- Please tick in the following:
- No. Statement Highly agreed
- Agreed Neutral Disagreed
- To embrace the online shopping can increase the base of the customers in the high extent
- Due to the effect of COVID-19, the growth in retail industry can be stagnant.
- The taxation policy of the government can affect to the overall profit of the retail business
- The BREXIT issue can affect to the customer base of retail companies.
- The business expansion to the emerging market and creating new channels can increase the organisational values
- To provide personalised retail experience can enhance the customer satisfaction
- The organisation need to grow the culture of immediacy
- To put the community at the heart of the organisation can increase the association with the customers in the market
- The digital marketing can increase the efficiency of the company to reach many kinds of customers
