1. 1
W12008552
Customer Service in the
Age of Social Media: A
Tesco Case Study
A Dissertation presented at Northumbria
University for the degree of BA with Honours
in Journalism, 2014-15

2. 2
Contents
1) Abstract 3
2) Introduction 4-5
3) Customer Service and Social Media: An Overview 6-8
4) Literature Review 9-18
5) Methodology 19-20
6) Tesco: A CaseStudy 21-31
7) Discussion 32-34
8) Conclusion 35-37
9) Bibliography 38-44

3. 3
Abstract
Purpose
Thispaperwill lookindepthat the impact new mediahashad on the worldof customerservice.The
studywill analyse justhowimportantithasbecome forcompaniestouse social mediatointeraction
and engage withconsumerswiththe aimof enhancingcustomersatisfaction.
Approach
A case studyfocusingonTesco,one of the UK’s biggest retailers will formthe basisof the paper.
Tesco’ssocial mediaoutputforcustomerservice purposeswillthenbe comparedandcontrastedto
othersinsimilaranddifferentindustriestogainawiderknowledgeof how social mediacan,andis,
beingusedbycompanies.
Findings
Tescodeploysawide-rangingsocial mediaservice forcustomerstointeractoverwithvarious
differenttacticsandtechniquesforraisingcustomerinteractionandengagement.Thiscanreap
significantbenefitsforthe company;bothinthe formsof directprofitandlongertermgains.

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Introduction
Organisationshave longsince recognisedthe needtouse social mediaasa wayof providingan
adequate customerservice.Thishasbecome particularlyevidentinthe retail industrywith
interactionsbetweenconsumersandbusinessesatanall-time high.Technologyhasadvancedat
great speedoverthe lastdecade andbusinessesnow notinteractingwiththeircustomersover
social mediaare inthe minority.The dayof respondingviaemail orcommentpageshaslonggone.
In reflectionof all the developmentswithLinked-In,FacebookandTwitteroverrecentyearsmany
newsitesandpiecesof software have come intoplay.Hootsuite pavedthe wayfor social media
analyticsandthishas become a bigpart of how businessesuse technologyandsocial mediatogether
to helptheircustomerservice output.It’sbeensuggestedthat1in every5 people inthe worldnow
owna smartphone,and1 in17 a tablet,whichallowsforconsumertobusinesscommunicationina
matterof minutes.These statisticsshowjusthow bigthe playingfieldof social mediainteractionfor
customerservice meansisandthe possibilitiesare almostendless.
Withthe increaseduse of social mediaforcustomerservice purposeshascome anemergingof
greaterinterestinthe area.It’sbecominganincreasinglysignificantpartof companies’business
modelsandthisisresultingingreaterinvestment.Whilstsome businesseschoose tooperate their
ownsocial mediachannelsmanymore are outsourcing.UKIT outsourcinghasgone up by 15% to
£3.44bn accordingto the 2014 Arvatoreport.At the 2014 UK Digital ExperienceAwards,the
partnershipbetweenBritishretailerShopDirectandSercoscoopinga hat-rickof prizesshowingjust

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howsuccessful outsourcingyourcustomerservice channelscanbe.The pair agreeda £430 million
deal back in2012 that showsthe importance companiesare placinguponcustomerservice andnew
media.
Thispaperwill lookatthe worldsof customerservice andsocial mediaindetail toshow justhow
importantthe linkisbetweenthemandhow companiesuse ittoraise customersatisfactionlevels.It
will payattentiontoa numberof scholarlyviewsonthe subjectarea aswell assurroundingareas
and take a closerlookat Tesco inparticular,one of the UK’s biggestretailersandusersof social
media.

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Customer Service andSocial Media: An Overview
Throughoutthe world,companiesare takingnew stepstogetaheadof theircompetition.Somany
are nowclashingdirectlyagainsteachotherthatitshowsjusthow vital itisthat businessesget
involvedheavilywithsocial media,andsuccessfully.There isgreatscope forinnovationwithinboth
customerservice andsocial media,shownbrilliantlybyDutchairline KLM.Becomingfrustratedby
losingcustomersbetweentheirsocial mediapagesandtheirownwebsite,KLMand one of its
paymentservice providersestablisheditsownfullysecurepaymentplatform.This allowed
customerstobook flightsandmake paymentswithease onsocial media,notneedingtobe
redirectedtoa more complicatedandtime consumingsite.The endproductcostthema mere
£3,500, and accordingto social mediahubmanagerWimter Haar now recoupsthe company
£100,000 a week.Theyare nowplanningtodouble theirsocial mediareturnoninvestmentafter
bringingin£25 millionin2014. This justgoesto show how beneficial usingsocial mediaina
customerservice sense canbe,andit’snot justfroma financial pointof view.
Perhapsthe mainreasonforusingsocial mediaas a customerservice tool inthe retail industryisthe
speeditenablesacompanyto operate at,aidingcompany’sresponsivenessandhelpfulness
capabilities.Immediatecommunicationispivotal now todeliveringasuccessful customerservice.1
in5 customersadmittedtoutilizingsocial mediaatleastonce to geta customerservice response in
the past yearwhichshowsthe vast numberof interactionsoccurring.Furthermore 30% saidthat
theywouldexpectaTwitterresponse within30minutes,withthe statisticforFacebookat16%.
Social mediahasenabledbusinessesandcustomerstointeractata speedthathasneverbeenseen
before andif done successfullythe rewardsare there tobe gained.

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An impromptuTwittersurveycarriedoutbyChristopherRatcliff forEConsultancyinNovember2014
gaugedjusthowsuccessfullythe retail industryisusingsocial mediainitscustomerservice
repertoire.Ratcliff (posingasacustomer) tweeted20of the biggestretail companiesinthe UK
askinga varietyof typical questions,suchaswhere he mightbe able to finda certainproductor how
to returnanotherone.By andlarge the resultswere impressive,showingjusthow importantitisto
use social mediacorrectlyandjusthowthe retail industryis.Onlythree companies,Halfords,ToysR
Us and Boots,failedtorespondwithin24hours,and a creditable 25% respondedwithinlessthan
half an hour to satisfythe aforementioned30% who expectthis.
The most successful appearedtobe the likesof Band Q,who onlytook3 minutestodeliveran
adequate response,orNewLookwhotook22 minutesbutthenprovidedapersonalisedandvery
helpful reply.Those lessendearingtothe customerwere the oneswhoofferedautomated
responsesthatoftenredirectedthe customertoanothersite orphone number.While betterthan
no response atall,thisisn’tquite howsocial mediashouldbe usedforcustomerservice purposes
and can prove veryfrustrating.Summarizingwhathe’dlearntfromthe experimentRatcliff deduced
a couple of keypointsas to whatis to be expectedfromasuccessful social mediacustomerservice
policy.Pointingoutthatre-directingacustomertoanothercustomerservice channel ismerelygoing
to frustrate customers;itshowsthata personalisedresponseisalwaysgoingtoappease the
customermuchmore.It pays to be friendlyevenif thisdoestake slightlylonger,aslongasthe time
isn’textortionate.Italsoseemsthatanhour isthe maximumtime areplyshouldtake,andthe fact
that 70% of these 20 companiesfittedthisbill showshow prominentlysocial mediaisusedin
customerservice andjusthowimportantitis.Later inthe paperthese figureswill be contrasted
againstTescoas a gauge of howsuccessful theirsocial mediaresponsesare.

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Most of the responsesthatcustomersare lookingforcanbe veryshort.Perhapstheyare askinga
simple questionlike “whattime doesmylocal branchshut?”or “whenwill thisitembe backin
stock?” These kindof enquirescanbe dealtwith by automatedresponseslinkingthe askertoa
customerservice site orphone number,whichisobviouslyacheaperandeasiersystemtooperate.
Howeverthe impactof runninga goodcustomerservice oversocial mediacannotbe
underestimated.Customerswhoare made tofeel wantedandathome are muchmore susceptible
to brand loyaltyandtheirrepeatbusinessmightmeanit’sworthspendingmore onyoursocial
mediateamsandstrategies.
Social mediaisusedprolificallyinthe retail industryasaway of buildingupbrandrecognitionand
therefore amore loyal customerbase.Companieshave complete dominionoverwhathappenson
theirsocial mediapagesandthiscan be usedto deliveragreatpersonal experience toindividual
customers.Beingboldandtakinga newapproachwill promote abrandand make it standout. A
companythat gainsitsown identityandbrandisundoubtedlyamore successful one andthiscould
not be more relevantinthe retail industry.Companiestryingtoinduce consumerswill be using
social mediaasa tool to gainbettersearchengine rankings,greaterconversionrates,higherbrand
authorityandincreasedinboundtraffic.

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Literature Review
Customer Service
Defined plainlyas“atype of productthat isintangible”anda“form of product that consistsof
activities,benefitsorsatisfactions”(Armstrong&Kotler,2000)1
, there are many differentwaysand
strategiestodelivercustomerservice.The worldof customerservice maywellhave changed
markedlyoverthe lastdecade withtechnological advancesbutthere are some characteristicsof
goodcustomerservice thathave alwaysbeenrecognisable worldwide. AccordingtoJohnsonetal
(1988)2
there are 12 determinantsof customerservice quality:reliability,responsiveness,
appearance,cleanliness,comfort,friendliness,communication,courtesy,competence,access,
availabilityandsecurity.Obviouslynotall of these are relevanttothe everybrandandproductbut it
showsa goodbarometerof what people are expectingfromacustomerservice channel.
Companieshave oftendifferedintheirstance onjusthow importantcustomerservice is.Some may
believethe strengthof theirproductishighenoughtonegate the needto spendtime andfinance
on customerservice improvements,whereasforothersitisa keycog in the businessmodel.
Will Potter,CEOof MarylandbasedPrestonTruckingCompany,haseachand everyone of his
employees agree inwritingtoabide bythe company’sservice philosophywhichstates,inpart:
“Once I make a commitmenttoa customeror anotherassociate,Ipromise to fulfil itontime.Iwill
1 Marketing: An Introduction.Chapter 7: Product, Services and BrandingStrategy. Armstrong & Kotler, 2000.
Pages 3 and 5.
2 Service Quality Determinants and Effectiveness in the Real Estate Brokerage Industry.The Journal of Real
Estate Research. Johnson,Dotson & Dunlop,1988.

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do whatI say whenI sayI will doit… I understandthatone claimor mistake isone errortoo many.I
promise todo myjob rightthe firsttime and to continuallyseekperformance improvement.”3
It’s
clearfrom thisthat some companiestake customerservice tobe incrediblyimportantwhichisof
great credittothem.
LewisandBooms(1983)4
believe thatservice qualityisameasure of how well the servicelevel
deliveredmatchescustomer’sexpectations,definingexpectationsas“predictionsmade by
customersaboutwhatis aboutto happen”.The trouble withgreaterstandardsof customerservice
inrecentyearshas meantthat these expectationshave gone upandcompanieshave tocontinually
strive toprovide greaterservice.Thisisadouble-edgedsword,however,asthere canbe great
benefitstoagood customerservice output.Puttingtogetherapackage of servicesthatdelightsthe
customerscan leadtoyieldingprofitsfora company(Walsh& Godfrey,2000)5
, and there are also
manyother positivesthanpurelyprofit.Manypeoplehave notedthatthere isadirectrelationship
betweencustomersatisfactionandcustomerloyalty(Hallowell 1996)6
and thiscan opena lotof
doors.
Customersatisfactioncanbe labelledasadirectoutcome of adequate customerservice andhas
beenseenasfulfilment(Maslow,1943)7
and achievementof certaingoals(Vroom, 1964)8
. Building
customerstrategiesthatfocusonboth buildingsatisfactionandtrustcan have long-termpositive
effectsforboththe receiverandproviderof goodcustomerservice.
3 Delivering Quality Service: Balancing Customer Perceptions and Expectations. Zeithmal, Parasuraman & Berry,
1990.Page 6.
4 The Marketing Aspects of Service Quality.Lewis & Booms, 1983.
5 The Internet: A New Era In Customer Service. Walsh & Godfrey, 2000.
6 International Journal of ServiceIndustry Management. Volume 7, Issue4. Hallowell,1996.
7 Customer Satisfaction:ContrastingAcademic and Consumers’Interpretations. Marketing Intelligenceand
Planning.Volume 19, Issue1. Parker & Matthews, 2001.
8 Customer Satisfaction:ContrastingAcademic and Consumers’Interpretations. Marketing Intelligence and
Planning.Volume 19, Issue1. Parker and Matthews, 2001.

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There are manyexamplesof thingsrelatedtocustomerservice thatcompaniesare usingtomeasure
the successof theirrelationshipwithcustomers.A highlevel of customerservice,whichbringsabout
an equal level of customersatisfaction,isalwaysgoingtoproduce benefitsforbothcustomerand
brand or business.Factoringinsocial mediaithasbecome eveneasiertogauge justhow successful
companies’customerservice outputshave been,andthere isaneverwiderrange of aspectsto the
whole customerexperience thanjustmakingasale or fixingaproblem.
Social Media
In the simplestof definitions,‘The Social MediaBible’(Safko,2010)9
describedsocial mediaas“the
mediawe use to be social”.Inmore detail,social mediacanbe definedasweb-basedservicesthat
allowindividualsto:constructa publicor semi-publicprofile withinaboundedsystem,articulate a
listof otheruserswithwhomtheyshare a connection,view andtraverse theirlistof connections
and those made byotherswithinthe system(Boyd&Ellison,2007)10
.The nature may varyfrom site
to site butit appearsas thoughthat isthe general essence of whatsocial mediawascreatedto
provide forpeople.Businesseshave slightlydifferentmethodsandreasonsforusingsocial media
but there are still alot of parallelstobe drawn.
Accordingto TimGrahl (2015)11
, there are 6 maintypesof social media:
9 The Social Media Bible.Tactics,Tools and Strategies for Business Success.Safko,2010.Chapter 1, Page 3.
10 Social Network Sites: Definition,History and Scholarship.Journal of Computer-Mediated Communication.
Boyd and Ellison,2007.
11 The 6 Types of Social Media.Tim Grahl,2015.

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1) Social Networks –Servicesthatallowyouto connectwithotherpeople of similarinterestsand
backgrounds,suchas FacebookandLinkedIn.
2) MediaSharing– Servicesthatallowyoutouploadand share variousmediasuchas picturesand
video,suchasYouTube.
3) Microblogging– Servicesthatfocusonshort updatesthatare pushedoutto anybodysubscribed
to receive the updates,suchasTwitter.
4) Blog CommentsandForums – Online forumsthatallow memberstoholdconversationsby
postingmessages,there are numerousexamplesof these.
5) Social News – Servicesthatallowpeopletopostvariousnewsitemsorlinkstooutside articlesand
thenallowsitsusersto‘vote’onitems,suchas RedditandDiggit.
6) Bookmarkingsites –Servicesthatallow youtosave,organise andmanage linkstovarious
websitesandresourcesaroundthe Internet,suchasDeliciousandStumbleUpon.
For the purpose of thispaperand payingspecificattentiontoTesco the mainfocuswill be onthe
firstfourof Grahl’scategories.
Key Concepts

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One importantconceptto note isthat of word of mouth,and the belief thatbothpositiveand
negative formscanhave greateffectoncompaniesina customerservice sense.Wordof mouth
communicationcanbe definedas“informal communicationsdirectedatotherconsumersaboutthe
ownership,usage orcharacteristicsof particulargoodsandservicesand/ortheirsellers(Westbrook
1987)12
. In the digital age electronicwordof mouthhas become increasinglyimportant,withthe
Internetenabling“customerstoshare theiropinionson,andexperienceswith,goodsandservices
witha multitude of otherconsumers”(Hennig-Thurauetal,2004)13
. As customers’trustincreases
positive wordof mouthislikelytoincrease aboutthe organization.Equallythiscanworkinreverse
and it’swell documentedthatthere isagreat importance aboutcustomerstellingothersof their
dissatisfaction,aswell astheirsatisfaction.The worldof social mediahas meantthatwordof mouth
can now spreadlike wildfireacrossthe Internetmakingitevenmore importantthanithas ever
beenbefore.
Customerjourneymappingisanothernotiontokeepinmindwhendiscussingcustomerexperience
as a whole.Definedbythe GovernmentCommunicationService as“all the experiencesacustomer
has withyourorganizationandthe emotional responsestheyprovoke”it’simportantforcompanies
to considerthe whole experienceacustomercan have witha brandnot justthe purchase stage.This
can helpthemtrulyprovide the bestpossible customerservice andcanopenotherdoorsinthe
customerbrandrelationship.
12 Product/Consumption-Based Affective Responses and PostpurchaseProcesses.Journal of Marketing
Research. Westbrook, 1987. Page 261.
13 Electronic Word-of-Mouth via Consumer Opinion Platforms:WhatMotivates Consumers to Articulate
Themselves on the Internet. Journal of InteractiveMarketing., Volume 18, Issue1.Hennig-Thurau, Gwinner,
Walsh & Gremler, 2004.Page 38.

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The ideaof usergeneratedcontentasa tool to provide agreat customerexperienceisalso
somethingthatisbecomingmore andmore recognized.Companieshave realizedthatblog
commentsandforumsare enablingcustomerstopublishinformationaboutthem, forthem, andif
positive canhitall the rightnotesaboutpositive wordof mouthandinteraction.
Customer Service and Social Media
Social media’srise toprominence withinmodernculture haspavedthe wayforitto be a keycog in
the wheel of customerservice outputsforanumberof reasons.Ithas providedmanymore
opportunitiestobuildcloserrelationshipswithcustomershighlightedbySashi’s(2012)14
customer
engagementcycle:connection,interaction,satisfaction,retention,commitmentandadvocacy.
In manyrespectstheyare a match made in heavenandwere alwaysdestinedtobecome ingrained
togetheraftersocial mediabecame sopopular.Aswritteninthe firstchapter,all companiesknow
aboutthe importance of regularandquickcommunicationbetweenthemselvesandtheirconsumers
and the vast majorityare nowcompetingwitheachother.However,thereismuchmore to
customerservice below the surface of the plainandstraightforwardinteractionsthatare seenday
to day.A greateremphasisisplaceduponthe entire experience acustomerhaswitha companyor
brand,not justthat of initial purchase orsingularproblem.AccordingtoGeierhos(2011) 15
“social
networkingsitesare the interfacebetweencustomerandcompany”,andthese interactionsare wide
rangingand if positive hugelysatisfactoryforbothparties.
14 Customer Engagement, Buyer-Seller Relationships and Social Media.Management Decision,Volume 50,
Issue2. Sashi,2012.
15 Customer Interaction 2.0: Adopting Social Media as Customer Service Channel.Journal of Advances in
Information Technology. Volume 2, Number 4. Geierhos, 2011. Pages 222-233.

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The ideaof positive customerengagement, betweenboththe consumerandthe brandand also
solelybetweenconsumers,willbe somethingthatwill be touchedonatgreatlengthinthispaper.At
face value thismeansall interactionsbetweencompanyandconsumerthatare offeredbythe
formerand chosenbythe latter(Greenberg,2014)16
. Howeverincorporatedwithsocial mediathis
can reach newlevelsandconsumertoconsumerinteractioninanetworkenvironmenthasenabled
knowledge tobe exchangedatan unprecedentedlevel.This,alongwithelements suchasonline
recommendationsandreviewsbetweencustomers(Chen,Fay&Wang, 2011)17
is havinganimpact
on companies’reputationsandsuccess.
The constant interactionbetweenconsumersandbusinessesoversocial mediahasledtoa lotof
intereston the subjectareaand customer-brandrelationshipsconsistentlydevelopovertime and
throughmultiple service experiences(Bowden,2009)18
.Social mediasitesallow forthe creationof a
brand communityandthisprovidesaplatformforcompaniestoengage theircustomers.Munizand
O’Guinn(2001)19
describedabrand communityasa “specialized,non-geographicallybound
community,basedona structuredsetof social relationshipsamongadmirersof abrand”.Whilstthis
was before the daysof social mediathe definitionremainsrelevantandhighlightsjusthow strongan
influencesocial mediaisonthe creationand maintainingof brandcommunities,somethingwhich
tiesinwithcustomersatisfactionandloyalty.
An online surveyof membersof agamingFacebook brandcommunity(Gummerus,Liljander,
Wemanand Pihlstrom,2012)20
collected276 usable responsesandhighlightsthe value of brand
16 CRM Expert Paul Greenberg Defines Customer Engagement. Interview for HubSpot Blogs,2014.
17 The Role of Marketing in Social Media:How OnlineConsumer Reviews Evolve. Chen, Fay & Wang, 2011.
18 The Process of Customer Engagement: A Conceptual Framework. Journal of Marketing Theory and Practice.
Bowden, 2009.
19 Brand Community. Journal of Consumer Research.Muniz & O’Guinn, 2001. Pages 412-432.
20 Customer Engagement in a Facebook Brand Community. Management Research Review, Volume 35, Issue9.
Gummerus, Liljander,Weman & Pihlstrom,2012.

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communitiesonsocial media.Customersgainvalue throughthe varietyof practicesthatthey
performbothonline andoffline,andhighercustomerengagementleadstohigherperceived
benefits.Consumersjoiningabrandcommunityare likelydotosobecause of feelingsof loyaltyand
beingcustomersof the brand,and inturn thiscreatesa heightenedsenseof customerloyaltythatis
inthe longtermgoodfor the brand and profitable.
Much has beenmade of social mediaandits influence incustomerservice butthe crux of the matter
isthat both sidesof the coinwill wanttofeel like theyare gainingsomethingoutof it,as theyalways
have withcustomer/companiesinteraction(Gwinneretal,1998)21
.
The Retail Industry
There are some notable examplesof studiesintothe use of social mediaforcustomerservice
purposeswithinthe retail industry,all of whichbrilliantlyhighlightthe effectitcan have.One
particularexample of anareastudiedisthatof luxurybrandsandthere are manyresearchreports
that showbrandcommunitiesasworkingsuccessstories.
Luxurycan be definedassomethingthatismore thannecessary(BeardenandEtzel,1982)22
and
therefore isalreadydistinguishedasasomewhatniche market.A studyof Burberry(Phan,Thomas
and Heine,2011)23
lookedindepthathow the companyhad transformeditsimage of thatas a
21 Relational Benefits in Services Industries:The Customer’s Perspective. Journal of the Academy of Marketing
Science. Gwinner, Gremler & Bitner, 1998.
22 Reference Group Influence on Product and Brand PurchaseDecisions.Journal of Consumer Research.
Bearden & Etzel, 1982.
23 Journal of Global Fashion Marketing:BridgingFashion and Marketing.Volume 2, Issue4. Phan, Thomas &
Heine, 2011.

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“brand of ‘chavs’and Englishhooliganstoamajor trendsetter”throughsocial mediamarketing,as
one of the firstluxurybrandstotrulyimmerse itselfinsocial media.The studydiscussedhow
Burberryhad become the firstbrandof its kindtobroadcast itsfashionshowslive andin3D
internationally(2010),andcame to the conclusionthatthroughdigital communicationsithad
become recognisedandsuccessful worldwide.The Burberrybrandcommunityhadcome tothe fore
and the interactionbetweenthe brandanditsconsumers,andsolelybetweenconsumers,was
fuellingtheirsuccess.
While originallyalotof brands were waryof delving intothe social mediaworld slowlybutsurely
theyall began to regardit as a keytool in raisingcustomerinteractionandtherefore satisfaction.
Anotherempirical studyintoluxuryfashionbrands(KimandKo,2012)24
lookedattwoof Burberry’s
keycompetitors,Gucci andDolce and Gabbana andhow theyfollowedsuitinusingnew platformsto
strengthenrelationshipswithcustomers.Thisparticularstudynoted Gucci’snew websunglasses,
dedicatedtothe ‘generationof the young,fashionable anddigitallyliterate’accordingtotheir
website,asevidence of theirapparentembracingof the modernworld.Evenmore interestingwas
the reportscommentsonDolce and Gabbana’sattemptsat positive customerinteraction.Theytook
the approach of invitingfashionbloggerstositinthe frontseatsof fashionblogsandposttheir
viewsdirectlyfromthe ‘frontline’.Thisenabledcustomerstosee developments,analysisand
feedbackthroughothercustomers’eyesandmeantthateditorsandmerchandiserswere cutout.
Thisis a fantasticexample of how consumerinteractioninstigatedbythe branditself canendup
havingpositive benefitsforthe company,asitallowedconsumerstobuildpurchase intentions
straightaway.
24 Do Social Media Marketing Activities Enhance Customer Equity? An Empirical Study of Luxury Fashion Brands.
Journal of Business Research.Volume 65, Issue10.Kim & Ko, 2012.

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To manage withinthe competitive worldof the retail industryall companieshave turnedtowards
alternative methodsof communicationthroughsocial media,outlinedinanotherresearchpaper
fromKimand Ko (2010)25
. That particularstudyclaimedtohave provedthe effectivenessof luxury
brand social mediamarketingoncustomerrelationshipsandpurchase intentions.
Anotherareaworthtouchingon againis the gamingindustry,brieflydiscussedearlier.This is
arguablyone of the biggestexamplesof brandcommunities,withmillionsof people joiningtogether
online.Whencorrectlymanaged,these onlinebrandcommunitiesof gamessuchasFIFA and Call of
Duty can enhance brandloyaltytenfold.If sucha large communityiskeptsatisfiedandimpressedby
the franchisesdigital managementtheyare guaranteedtokeepreturningyearonyear.Thishas
greaterbenefitsthanjustdirectprofit,andit’sobviousfromagame suchas FIFA that the amountof
advertisingthe game doesforitsownsocial mediachannelshelpsdrive trafficbacktothem.
The retail industryisrife withcompetitionandsocial mediaactivityasdiscussedabove.The restof
thispaperwill lookatTesco,one of the largestBritishretailersandhow theirsocial mediaoutputfor
customerservice andsatisfactioncomparestootherswithinandoutof the same industry.
25 Impacts of Luxury Fashion Brand’s Social Media Marketingon Customer Relationships and Purchase
Intention. Journal of Global Fashion Marketing:BridgingFashion and Marketing.Volume 1, Issue3.Kim & Ko,
2010.

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Methodology
Much of the data, analysisanddefinitionsonsocial mediaforcustomerservice purposeswere
collectedthroughsecondaryresearchof existingresearchreports,newspaperandmagazine articles
content,journal articlesandalreadypublishedempirical studies.Withthe emergence of social
mediaa lothas beenwritteninmanydifferentspheresaboutitandthere was no shortage of
alreadycollatedinformationtogatherinassistingresearch.There hasalsobeenagreatdeal
publishedonall facetsof customerservice anditsmanagement.
Once put togetherall of the secondaryresearchwasstudiedand analysedtogaina widerknowledge
on the subjectandarea and draw comparisonsor differenceswithdifferentelementsof customer
service andsocial media.
Tescowas chosenas the specificstudyforthe paperdue to itsvast online presence andalsothe fact
that itis one of the largestBritishretailers.The companyisalwaysinthe publiceye andthatmakes
it a verytopical subject.Tescohave numeroussocial mediapagesacrossall platformswhichmeantit
was easyto independentlyassessthemandrelate thisbacktothe secondaryresearchdiscussedin
the literature review.
For the purpose of thispaperTim Grahl’sfirstfourtypesof social mediawere studied;social
networks,mediasharing,microblogging,blogcommentsandforums.Thismeantthatspecific focus
was paidto Tesco’sFacebookandTwitterpagesdue totheirstandingas theirbiggestplatformswith
almostconstantinteraction.The researchof lookingintohow Tescousessocial mediawascarried
out bylookingin-depthatall the platformsthat theyhave a presence onandpayinggreat detail to

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howtheyinteractand engage withcustomerstoelicitthe highestpossible level of customer
satisfaction.
The majorityof otherstudiesonsocial mediaandcustomerservice have primarilylooked at
companiesrespondingtocomplaintsandthe time takentodoso, addressingcriticismandmanaging
online communities.Forthe purpose of Tescoa similarpatternwastakentoresearchin orderto be
able to compare and contrastthe companyeffectivelywithothercompetitorsandindustries.
Social searchand analyticswebsiteTopsyhelpedtoprovide the maintool of research,enablinga
quickand easysearchof Tesco’ssocial mediaaction. Once all the researchwascollectedandstudied
withparticularattentionpaidtoTescothiswas able tofuel the bulkto the discussiononhow
companiesuse social mediatoaidtheircustomerservice outputandincrease customersatisfaction.

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Tesco:A Case Study
Brief History
Tescois one the largestBritishretailersbasedinHertfordshire,justnorthof Londonwhere itwas
originallyfounded.CreatedbyJackCohenin1919 where he soldsurplusarmyfoodout of
wheelbarrow,theyoriginallythrivedoff stockinglarge amountsof foodandsellingit atlow prices,a
mottowhichhas to a certaindegree alwaysappliedtothem.Fromthe late 1990’s throughthe early
2000’s Tesco beganto dominate asthe UK’s mostpopularsupermarketandtheycontinuedto
extendthe brandoutto general retail where theirrootslaypurelyingrocery.In2008 theyhada
store in everypostcode inthe UK,includingthe remotestpartsof Scotland,andnow theyemploy
over500,000 people across12 countries.
Theironline presence hascontinuallygrownsince Tesco.comwaslaunchedin2000 and has
developed alongwithtechnological advances.Theynow operate numeroussocial mediaprofiles
across a numberof platformsfromtheirsocial mediaunitbasedinCardiff.LedbyPeterThomas,
Social MediaOperations Managertheyemployover30 people purelyforsocial mediapurposesand
theyoperate acrossthree differentteams.The importance the companyplacesuponengaging
positivelyviacustomersonlinecomesrightfromthe top,setup byformerCEO PhillipClarke who
made it a prioritytodevelopstaff skillsandencourage positive interaction.Only13monthsafter
launchingitssocial mediaresponseteamTescowere winnersof the CAA Excellence Awardfor‘Best
Use of Social Media’showingjusthowmuchof an impacttheirstrategyhashad overthe last few
years.

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In recenttimesTescohasencounteredsome difficultchallengesbothfinanciallyandsocially.Their
firstdrop inprofitsfor20 yearswas announcedin2013 and thiswouldcontinue.2014 saw profits
warningsandmajor staff changesandshare priceswere dramaticallyhamperedbythe revelationsin
September2014 that theyhad overstatedtheirprofitsby£250 million.Thishasledtomany
speculatingthattheirperiodof dominanceisoverandtheyhave losta large portionof their
customerbase to lowerprice retailerslike Lidl andAldi.
Thiscreatesan interestingdiscussionaboutjusthow importantthe use of social mediaisin
customersatisfactionandretention,andif alot of the researchabove istobelievedusinganymean
possible toincrease abrandcommunityandcustomerloyalty couldbe amajor positive.
Use of Facebook
Tescohas a huge followingonFacebookwiththeirmainaccounthavingover1’500’000 ‘likes’.They
use thisin a numberof differentways,bothforplainandsimple customerservice issuesandalsoto
engage andinteractwiththeircustomers.There isa ‘here tohelp’tabwhichcustomerscanfollow
throughif theyare searchingforassistance withaparticularqueryor problem, whichisoftenakey
reasonfor a consumervisitingacompany’sFacebookpage.Theyalsoencourage customerstoenter
conversationwitheachotherthroughengagingvisualcontentandlive chatswithfoodandhealth
experts,aswell ashavinga‘Real Food’app that offersinformationonseasonal recipes.Tescoalso
offerscustomerswhointeractoverFacebookincentivesfordoingsothroughsuchmethodsas
clubcardpointsinreturnfor sharingstories.Forexample,February2015 saw an exclusive‘Clubcard
FlashSale’thatsaw customersgainboostsonsitessuchas Ticketmaster,iTunesandPizzaExpress.

23. 23
Tesco’sownclothingrange,F& F,also hasover 1,000,000 likesonFacebookandisupdateddaily
withnews,latestfashionreleasesanduptodate offersforcustomers.Whilstthisisprimarilypurely
for advertisingbenefitstheydoagaintry andinvite customerstointeract,aswell asoperatinghelp
channelsforcustomerservice issues.
Tesco’sFacebookpage hasa numberof applicationandgamesforpeople whofollow theirupdates.
A couple of yearsago F & F launchedaninteractive fittingroomappwhichallowedcustomersto
create 3D digital versionsof themselvesandtryon clothesbyuploadingphotosorbyentering
measurements.Potential purchaserscouldthenuploadthe digitalizedimage totheirownFacebook
page allowingall theirfriendsandfollowerstosee,anotherexample of notjustcustomertobrand
connectionbutinteractionbetweenfellowconsumers.
Use of Twitter
Tesco’smain Twitteraccounthas nearly300,000 followersanditprofessestooffer‘UKnews,
competitions,customercare,foodandlotsmore’.Theyalsoimpressonall followersthattheyare
welcomingandencouraginginteractionwiththe hashtag#HappyToHelpandstrive toreplydirectly
to all customerquestionsandcomplaints,withoutredirectingif possible.
Awayfromtheirmainaccount Tescoalso run 19 otherTwitteraccountsfor theirvarious
departments;TescoOffers,TescoMobile,TescoPLC,TescoFood,TescoMobile Care,TescoCareers,
TescoBank, TescoClubcard,Beautyat Tesco,Tesco Living,TescoandSociety,TescoInternational
Calling,TescoWines,TescoBabyClub,TescoPhone Shop,TescoPlayandTescoBooks – now known
as @blinkbooks.Thisshowsnotonlythe extraordinarynumberof departmentsTescohasbutalso

24. 24
the great social mediaoutputtheypossess.Allof these differentaccountsoperate fordifferent
purposesandithelpsTescoto distinguishwhatexactlytheircustomersare goingtobe enquiring
about.Theyalsoall adoptvaryingstylesandtonestoengage withcustomers.
It’snot justthe individual departmentsthathave theirownTwitterhandleseither.A numberof
regional Tescostorestweetindependentlylookingtodirectlyhelptheirowncustomers.Againthis
goesto showjusthowbig Tesco’snational social mediaoutputis.
A searchcarriedout on Topsyshowedthatinthe 29 daysbetweenthe 18thof Februaryand18th of
March 2015 Tescowas mentionedonTwitteratotal of 108,651 times.Obviouslyasignificantdegree
of these mightnotrequire anyresponse fromTescothemselvesatall butisstill animpressivelyhigh
number.
Use of Youtube
Withsome similaritytohowtheyuse Facebook,TescooperatestwomainYoutube channels,Tesco
and TescoPLC, butalso hasa numberof smallerspecializedchannelssuchasTescoTechnologyand
Beautyat Tesco.Theyuse these topostupdatesaboutvariousthingsrelatedtothe company,
perhapsnewsabouta competitionorhow toget the bestout of theirspecial offers.Itisbyno
meanstheirbiggestsocial mediaoutlaybutbyandlarge the accounts all have thousandsof
subscribersandpostregularly.The Tescofoodandwineaccounthasover19,000 subscribersand
uploadsvideosof certainrecipesandcooking techniquesthatcustomerscanwatch.These alsooften
include celebritynamessuchasMatt Dawson,the ex-Englandrugbyinternationalturnedchef.This
helpstobuildupthe brands image andcan be memorable forpotential customers.The nature of

25. 25
the commentsectiononYoutube alsoencouragesinteractionbetweencustomers,whichisof
course a major benefittousingitasa social mediaplatform.
Other Uses of Social Media
WhilstTwitterandFacebookare Tesco’sbiggestsocial mediaplatformstheydoutilise some other
channels.TheirGoogle+accounthasnearly90,000 followersandisusedto postconstantcontent
posts,oftensimilartoFacebook,withengagingvisualimagesforconsumers.Theyalsohave almost
50,000 followers on Pintrest, which uses third party content rather thanjust promoting its own again.
Thismeansit can be usedas a meansof linkingpeople backtoitsowne-commerce platformandin
the processgetsthe brandevenmore exposure topotential consumersandtherefore profit.
The Evidence and Impact
Havingestablished justhowTescouse social mediaforcustomerservice purposesitsinterestingto
lookat justhow successful theyare atusingtheirplatformstoincrease consumerengagementand
subsequentlycustomersatisfaction.Inordertodo thisitis importanttolookcloserat the direct
interactionTescomakesoversocial mediawithcustomersandwhatimpactthishas on the
relationshipstheykeep.
At face value Tesco’smainTwitteraccountisusedas a meansof helpingcustomersdealwithcertain
problemstheyare facingandquestionstheymayhave.Inthe case of an enquiryoverapotential
purchase the Twitterhandle will looktorespondandquicklyandeffectively.If concludedtoa

26. 26
successful endingthiscanhelpthe customerfindexactlywhattheyare lookingforandinturnhelp
the businessthroughincreasingsales.Oftentheyreceive tweetswhere consumerswill expresstheir
displeasureata certainproductor service instore.Inthese situationsTescowill looktorespondin
the politestpossible wayand attempttoassistthe customers,forexample perhapshow theymight
bestgo aboutgettinga refundor replacementforthe unsatisfactorypurchase.Thisinteractionisstill
directlybetweenbusinessandconsumeryetisnotaimedat purelysalesandismore designedto
appease unhappycustomersinatattemptto retaintheirbusinessandloyalty.Since joiningthe
social mediasite inMarch 2011 Tesco haspostedover820,000 tweetsandthe majorityof these are
inconversationwithcustomers.Thisequatesto onaverage over500 a day,whichlaysbare the
evidence of the highamountof conversationstakingplace andthe wavesof messagestheyhave to
deal with.ReferringbacktoChristopherRatcliff’saforementionedsurveythatshowedthat
complainantsoftenexpectaresponse withinlessthan30 minutesitemphasizesjusthow toughan
operationTescohave.
Aside fromdirectinteractionwithcustomersTescoalsouse theirTwitterpage asa popularformof
advertisingproductsandupcomingeventsthroughregularposts.Forinstance inthe buildupto
Mother’sDay theymightchoose to postlinkstopopularcake recipeswithall the ingredients
available instoresacrossthe country.It’snot directlypushingthemselvesinthe face of the
customerslike aTV advertmightdobecause everybodyseeingtheirtweetsischoosingtodoso by
followingthe account,andcan opt out at any stage.Thisshowsthe beautyof Microbloggingsites
like TwitterforbusinessesandTescouse ittotheiradvantage verysuccessfully.Social mediacanact
as anothertool inbuildinguprapportwithcustomersthroughpositiveinteractionsanditcan also
playa role in drivingsalesandbusinessprofits.

27. 27
Thisis particularlynoticeable onthe specificdepartmentaccountsthatknow theyhave a following
whoare alreadyinterestedintheirniche marketandcanup the amountof Tweetsaimedpurelyat
theirmarket.Forexample,TescoMobile canenlightentheirfollowersonthe benefitstothe new
SamsungGalaxyS6 phone and howtheycan pre-orderitthroughTescoMobile.Potentialconsumers
will feel like theyare beingkeptinthe loopof the latestnews,releasesanddealsandthisindirect
involvementhelpstokickoff ajourneyforthe customerand enablesthemtobuildalasting
relationshipwithTescothatisnot justsolelypurchase related.The same appliestothe individual
accounts of regional Tescostoreswhocan engage inevenmore personal interactionswiththeir
customers.
Tesco’suse of Facebookisalso of the more indirectvariety.Whilsttheystill operateasimilarbasic
customerservice systembywhich theywilldotheirbesttohelptheircustomersanywaytheycan,it
takesa greaterrole in the integrationof businesstoconsumerinteractionandcustomer
engagementastouchedonabove.The methodsoutlinedearlierinthe sectionentitled‘Use of
Facebook’todrive customerengagementare absolutelypivotal inenhancingcustomersatisfaction.
Movingaway frommerelyhelpingcustomerswhentheywanthelping,Tescoisfollowingthe leadof
manyother leadingusersof social mediainthe retail industrybyusingbrandtoconsumer
interactionandalsocustomeroncustomerinteractiontodrive aTesco brandcommunityandraise
customersatisfactionlevel.Byinvolving the customermore inall walksof the business,notjustthe
final purchase stage,they’re tryingtomake customersfeelmore wantedandthattheyare truly
valuedbythe business.Thisissomethingthatisalsofurtherachievedbymakingthe customerfeel
valued.
All of thisengagementandinteractiononsocial mediacanhave a profoundimpactuponbrand
loyalty,whichisarguablymore importantinthe retail industrythananywhere else.Tescoare in

28. 28
constantcompetitionwithnumerousotherBritishsupermarkets,not justthe ‘bigfive’anymore.It
has beenwell documentedinrecentyearsthanmanyof theircustomerbase are defectingtothe
likesof Aldi andLidl,lowerbudgetsupermarketchains.Now,1in3 of Aldi or Lidl shoppersare
considered tobe middle orupperclasscomparedto1 in10 justtwoyearsago, a social shiftthat
Clive Black,retail analystatShore Capital, labelled “partof one of the biggestchange consumer
attitudeswe’ve seeninageneration”.Couple thiswithmanypeople beingdisgruntledwithTescoin
the newssince the account farce of 2014 andalso the droppinginprofitsandthe notionof ‘there is
no suchthingas bad publicity’isseverelyrubbished.A studybyAndreassenandLindestad(1998)26
has suggestedthatcorporate image canhave an impact oncustomerloyalty,whichfurtherfuelsthe
belief thatcompanieslike Tescomustworkhardto buildupa goodreputationamongstretail
consumersinorderto encourage customers.Thisbringstolighta crucial debate.Justhow important
are service levels?Are consumersnowhappytoforgogoodcustomerservice forlow prices?
Tescoappear to be firmbelieversagainstthatthesis.If theycannotcompete withthe lowerbase of
retailersona purelycostbasisthentheyhave tostrive to findwhere theirstrengthslie andhow
theycan go about conveyingthesetobothcurrentcustomersinorderto maintaintheirbusinessand
alsopotential customers.Throughcreatingandmanagingpositive relationshipswiththeircustomers
oversocial mediathiscan enable Tescotohave theirveryownbrandcommunity.Havinga core of
consumerswhowill remainbrandloyal tothe businesscantherefore helpsecuretheirlong-term
businessstabilityinanage where eventhe largercorporationsmayfindthemselvesstruggling
financially.
26 Customer Loyalty and Complex Services: The Impactof Corporate Image on Quality,Customer Satisfaction
and Loyalty for Customers with VaryingDegrees of Service Expertise. International Journal of ServiceIndustry
Management. Volume 9, Number 1. Andreassen & Lindestad,1998.

29. 29
Strengths, Weaknesses, Opportunities and Challenges
The benefitsof usingsocial mediatodrive customerservice andincrease customerengagementand
satisfactionhave nowbeendiscussedatlength.Tesco’ssubstantialsocial media outputworkingfor
theminthe waysmentionedaboveprovidesthemwithgreatopportunitiesfor goodpublicityand
successful brandtoconsumerinteractions.
Of the large numberof tweetsTescoreceive eachweekitisestimatedthataround60% of them
require aresponse.Fromthisstatistictheymanage toreplyto93% inan hour, anda hugely
impressive86%injust 43 minutes.Thisshowshow Tesco are deliveringonwhatthe customers
expectovertheirsocial mediachannels.Twokeysaspectstothese interactionsare the abilitytonot
have to re-directcustomersandalsopersonableengagement(Drennan,2012)27
. Tescoare very
goodat managingtomaintainall customerservice questionsonthe same platformthattheywere
requestedonwhichkeepshassle downtoaminimumandoftenwill appease complainants.
Secondly,theyadoptaveryfriendlytone throughoutall of the social mediainteractionswith
customersthathas become a greatstrengthof the waytheyoperate.Obviouslyeachandevery
contact withan individual customerrequiresadifferentapproachdependingonwhattheydesire or
needbutTescoby and large offersaservice asclose as possible toa face-to-face inquiryinstore.
Where othercompaniesmayfall downinrobust,systematicinteractions (orworse still re-directing
to anothercustomerservice channel),Tescostandsatthe forefrontof positive andfriendly
interaction.Thisisproductive onmore thanone level.Notonlydocustomersfeel valuedand
important,the verynature of social mediameansthatsuccessful interactionscanbe seenbythe
27 How Tesco Leads the Way in Social Customer Service. Conversocial Blog.Drennan,2012.

30. 30
whole platformandpositivewordof mouthaboutTescoand theirmodel of actioncan spread.This
cannot be underestimatedinbothkeepingcurrentcustomersandattractingnew ones.
AnotheropportunityforTescopresentedbysocial mediahascome inthe formof blogcomments
and forumsthatdrasticallyhelptoincrease interactionandengagementwithapositive outcomefor
the business.Tesco’sFacebookpage isparticularlyprolificatpostingrecipes andsuggestionsand
thisencouragesdebate tounfoldontheirsitesbetweenconsumers.Positiveinteractiononawider
scale furtherenhancesthe creationof abrand community.Theyalsouse theirsocial mediaoutput
to drum upinterestincompetitionsandfundraisingeventsthathelpstoentice new customers
whilstalsomaintainingagoodpublicappearance tosociety.Mostrecentlytheyhave beenseen
postingabouttheir‘Mum of the Year’ competitionandalsotheirRace forLife teamwhoare raising
money forcharity.
Thisis notto say that Tesco’ssocial mediaapproachhasn’tcome undercriticismandthere are
perceivedweaknessestosucha friendlyattitude.InJanuary2013 theycame underfire aftera joke
made followingthe horsemeatscandal asthey jokedtheywere “off tohitthe hay”. Thispromoted
an outburstof complaintsandhighlightsthe fineline thathavingsuchajovial manneroversocial
mediacan oftenbe takenthe wrongwayby otherusers.At the time the newshadbrokenthatTesco
value burgerscontainedupto29% horsemeatandpublicopinionof the retailerwaslow soitseems
such a nonchalanttweetwasmisguided.Thisshowsjusthow toughitcanbe to maintainasocial
mediasite andthe companywill have internal guidelinesthatits employeesmustadhere toatall
times.

31. 31
Social mediaasa customerservice tool issowidelyrecognisednow thatmanycompanieshave
made it a keypart of theirbusinessmodel,includingTesco.A lookatTesco’s‘Social MediaColleague
Guidelines’pinsdowntheircore valuesandkeybeliefsaboutsocial media.“Takingpartinsocial
networksandonline communitiesoffersgreatbenefitstousasindividualsandasa businesswhen
we use themeitherinternallyorexternally.The bestadvice istoapproachthe online worldinthe
same way we dothe physical one –by usingsoundjudgmentandcommonsense.”Itgoesonto
particularlyhighlightthe needtoremainaware thateverythingonthe Internetispublic,andthat
the mediaandtheircompetitorsare constantlysearchingthe webforinformation,oftennegative,
aboutthem.Guidelineslikethisjustgotoshow how importantTescoregardsitssocial media
platformsandjustwhat itexpectsfromitsteamof employees.It’sbecome avaluable cogintheir
whole businessoutputandistakenexceptionallyseriously,whichbringswithitincreasedchallenges
of maintainingthe perfectimage tothe external world.
Thisdoesalsomean,however,thatiscan require afairlysignificantfinancial outlay.Therefore itis
of real importance thattheybalance the costagainstthe potential benefitsinordertocontinue to
be successful.WithTescoemployingfull-timestaff toworkinsocial mediatheyface the challenge of
alwaysstrivingtogetthe most outof whattheyare puttinginand constantlyworkingtosatisfytheir
customers.Theyalsoface the trickyproblemof havingtoconsistentlykeepupandaheadof the rest
of the industry,particularlyimportantbecauseof the dogeatdog worldof retaileroutlinedabove
withtheirothercompetitors.Tescodoappearto be a stretchaheadof the rest of the ‘bigfive’
supermarketchainsintermsof social mediaoutput,andhave beensince itsinception,butthiscould
easilychange.It’svital toremainaware of the challengespresentedbythe othersanddo everything
intheirpowerto keeptheircustomerssatisfiedandencourage shoppersthattheyprovide the best
complete experience,notjustinthe actionof purchase.

32. 32
Discussion
The findingsof thispaperconfirmthatTesco isone of the largestplayersinthe worldof usingsocial
mediaforcustomerservice purposes,employinganumberof successful platformswhichhelpthe
companypositivelyinteractwithcustomers.The wide range of differenttoolsandapproachesthey
employhelpstomaintainahighlevel of customersatisfactionwhichinturnencouragesgreater
brand loyalty,twocrucial goalsforcompaniestomanage as outlinedbymanyauthorsinthe
literature review.
FirstlyTescointeractregularlywithcustomers oversocial mediawithimpressivespeedtohelpthem
withday-to-dayqueries,requestsandproblems.Thismeetsexactlywhatcustomersexpectfrom
usingsocial mediatomake contact withretailers,withthe 93% successrate of replyinginunderan
hour more thansatisfyingChristopherRatcliff’sexpectationsinhisEConsultancyexperiment.This
compliance withthe customers’expectationstiesinwithMaslow’sbelief thatcustomersatisfaction
can be outlinedasafulfilment,inthiscase the fulfillingof anobligationtohelpcustomersasbestas
theycan, as soonas theycan. In turn thissimple procedurehelpscreate apositive online formof
wordof mouthfor the companyas it getspeople talkingaboutthe brandina goodlight.Similar to
howChevalierandMayzlin’s (2006)28
studyshowshow online bookreviewsonsiteslikeAmazoncan
increase sales,positivediscussionaboutTescoonline canhelptoincrease the numberof customers
choosingtoshop instore.Theywill alsobe pro-active oversocial mediawiththeirinteractionsin
addressingcriticismtohelpachievethe same goal.Bothpositiveandnegative wordof mouthisa
crucial factor in a successful social mediaoutputasshowninresearchof the subjectarea andfrom
lookingatTesco itis clearthat theytoocan relyheavilyonitattimes.
28 The Effect of Word of Mouth on Sales:OnlineBook Reviews.Chevalier & Mayzlin,2006.

33. 33
Tescoalso use social mediaasa methodof creatinga brandcommunity,bywhere customerscan
interactbothwiththe brand and otherconsumerstogreat benefitforbothparties.Thisdraws
similaritieswithotherindustriesandareasof the retail industryasshowninthe literature review.
Much like Phan,Thomasand Heine’sreview of Burberryshows,thislookatTescooutlinesall the
interactionsthattake place underthe surface of the company’ssocial mediaplatforms.AsBowden
wrote,customerrelationshipsare builtoveranextendedperiodof time,notjustduringone simple
interaction.The competitions,appsandgames,prizesandspecial offersthatTescoparadesover
social mediaall encouragestheircustomerstointeracttogetherandencourage greatbrandloyalty
withinthe createdcommunity.
ThishelpsTescoto gaina betterideaof the expectedbehavioursof theircustomerstowards
themselves,definedascustomerengagementbehaviours(VanDoornetal,2010)29
. VanDoorn went
on to describe key‘motivational drivers’thatcustomerselicitafterpurchase thatincluded
recommendations,helpingothercustomers,bloggingandwritingreviews.All of these canbe
monitoredbyTesco’sextensive social mediaoutputandusedtotheiradvantage,highlightinghow
theyare doingexactlywhatauthorssuggestinthe subjectareawouldcreate the mostbeneficial
outcome.
Anotherelementof Tesco’scustomertobrand,andconsumerto consumer,interactionisthatof
usergeneratedcontent,somethingthathasbeendiscussedatlengthbyscholarsonthe subjectof
maximizingonlinepotential.Consumersinteractingamongstthemselvesonthe officialTescosocial
mediaplatformscanact as a formof advertisingforthe company,havingthe effectof encouraging
29 Customer Engagement Behaviour:Theoretical Foundations and Research Directions.Journal of Service
Research. Van Doorn, Lemon, Mittal, Pick,Pirner & Verhoef, 2010.

34. 34
furtherpurchasesandnewbusinessopportunities.Thishasbeendescribedasco-creation(Sawhney,
Verona,Prandelli,2005)30
and furthertoucheduponas co-createdvalue byHollebeek(2011)31
as a
level of value createdbycustomeroverinteractive activities.Inexactlythe same wayasthe luxury
brandsexample Tescousestoolssuchasblogand commentssectionstocreate usergenerated
contentwhichcan have a positive impactupontheircompanyandbusiness.It’snot uncommonin
the modernworldbutas the detailedanalysisof Tescoshows,theycertainlydoitbetterthantheir
othermaincompetitors.
It isworth consideringthe weaknessesof the methodologyinanodto any future researchonthe
wayTesco and indeed otherretailersandsupermarketchainsuse social mediaforcustomerservice.
There isdefinitelyaresearchgapinthe retail industrywherecustomers,bothcurrentandpotential
are concerned.The bestwayto gauge how importantissueslike brandloyaltyare wouldbe to
questionconsumersonhowtheyfeelaboutitandwhetherornot theyregardthemselvesbrand
loyal toa specificcompany.Mostof the researchin the subjectareaiseitherspeculatingorfocused
on concrete issueslike complaintsandcriticisminteractions.Itisalsohardto ascertainhow manyof
the responsesTescogive totheircustomersoversocial mediaare deemedassatisfactorybythose
whosendthem.However,the contentanalysisof theiractivitiesdoesallow foragroundlevel of
researchand hasbeenmore than enoughtogainan answerto the researchquestionof how
companiesuse social mediatoincrease customerengagementandsatisfaction.
30 Collaboratingto Create: The Internet as a Platformfor Customer Engagement in Product Innovation.Journa l
of InteractiveMarketing, Volume 19, Issue4.Sawhney, Verona & Prandelli,2005.
31 ExploringCustomer Brand Engagement: Definition and Themes. Journal of Strategic Marketing, Volume 19,
Issue7, 2011.Hollebeek, 2011.

35. 35
Conclusion
The worldof customerservice hasbeenchangedbeyondrecognitionwiththe increaseinnew media
overthe last decade.Currentfiguressuggestthat72% of Internetusersare active onsocial media
and that of that amount71% of users’access social mediafromtheirphoneswhichmeans
interactionsbetweencompaniesandconsumers are happeningconstantly.While Facebookand
Twitterburstontothe scene inthe mid-2000s, anothernew wave of platformshasemergedinthe
lastcouple of years.Instagramnow boastsover150 millionuserscomparedtojusta solitarymillion
uponlaunch in 2010, and 70% of brands now use Google+whichrecordeda 33% growthfrom June
2012 to March 2013. The stats all pointtowardsthe use of social mediaforcustomerservice ever
increasing.
Social mediahasalteredthe boundariestowhatcustomershave come toexpectfromcompaniesin
termsof customerservice.Adequate customerservice isthe bare minimumconsumersexpect,
outlinedbyZeithmal,BerryandParasuraman(1993)32
as one of the three service expectationsalong
withdesiredandpredictedservice.Withthe increase insocial mediaforcustomerservice purposes
the measure of adequate service hasrisenandcompaniesacrossthe globe have toprovide strong
customerservice acrossall social mediaplatformsinordertoremaincompetitive andsuccessful.
As discussedinthispaperthere are anumberof differentwaysthatcompaniesutilizetheirsocial
mediaoutputtoensure a highlevel of customersatisfaction.Naturallytheycontinue tooffer
customerservice channelswhichdeal withproblemsand queries,andsocial mediaenablesthese
interactionstotake place at muchhigherspeeds.Thismeanscustomerscanbe satisfiedquickerand
32 The Nature and Determinants of Customer Expectations of Service. Journal of the Academy of Marketing
Science. Zeithmal, Berry & Parasuraman,1993.

36. 36
easierthaneverbefore oncustomerservice enquiries. There are manyothertactics thatcan be
employedtoincrease customersatisfactionandcompaniesare usingsocial mediatocreate greater
customerengagementwiththeirbrand.Thiscanbe achievedthroughall the majorsocial media
platforms,notablyviablogcommentsandforumswhere consumertoconsumerinteractioncanbe
facilitatedbythe companyitself.The creationof brandcommunitiesthroughthisalsoencourages
brand loyalty,bywhich aconsumerwill feelparticularlyvaluedbyaspecificcompanyandinclinedto
offerthemrepeatbusiness.
Tesco,arguablyBritain’sbiggestsupermarketchainandone of the largestretailers,hasaparticularly
prolificsocial mediaoutput.Theirawardwinningsetupisknownall overthe worldandall of their
accounts have accruedlarge numbersof followerswhichplayhosttocountlesscompanyto
customerinteractions.Tescohave agreatsuccessrate inrespondingtocomplaintsoversocial media
and thistactic can helptoappease disgruntledcustomersandthusincrease customersatisfaction
indefinitely.Howeveritiswhere customerengagementcomesinthatTescoreallystrivesfor
excellence andreachesnewlevelsof customersatisfaction.One of the bestexamplesof thisistheir
jointventure withEnotriathe winemaker.IncreatingThe Social Wine hub,anappon theirFacebook
page,Tescocanvassedopinionsonwine,specificallythe name of apotential new wineandthe
subsequentshape of the bottle.Afterthousandsof page views,entriesandvotes,Enaleni’sDream
was createdandwithinmonthswasbeingsoldsuccessfullyonTesco’sshelves.Thisis abrilliant
example of the kindof customerengagementthatTesco’sencouragesontheirsocial media
platformsandinturn the brillianteffectsitcanhave on customersatisfaction.Increasedcustomer
satisfactioncanhave significantbenefitsforthe companyandnotjustin termsof immediate profit,
inthe formof positive wordof mouthandrecommendationsaswell asincreasedbrandloyalty.

37. 37
Tescoare obviouslynotalone insuchinnovation. All overthe worldcompaniesare comingupwith
newideastoaid customerservice andincrease customersatisfaction.Whatdoesthe future hold?
It’sevidentthatthere will be nolettingupinthe increase of social mediause frombothcompanies
and consumers,particularlyastechnologycontinuesonitssharpupwardcurve.Incompetitive
industriesandintimesof everincreasingfinancial prudence companiesare havingtofightharder
than evertoimpresspotential customersandcontinue tosatisfytheir currentones.There canbe no
doubtthat competentandsmoothrunningsocial mediaplatformsforcustomerservice are
absolutelyessential inthe modernworld,especiallyinthe retail industry.Customerservice isa
completelydifferentpropositioninthe 21st Centuryandone that requiresagreat deal of time,work
and money,butitis one thatcan reapunquantifiable benefits.

38. 38
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