Who is More Important to Your Company;

- the Shareowners, the Employees or the Customers?

By Paul Aas, Loyalty Group

Last fall Tesco and Amazon both announced a drop in share value due to poor financial performance. They have for years been known for delivering "World class" Customer Service, Value and Experience - Wasn't this good enough?

Graf faldThe two companies have for years been known for delivering "World class" Customer Service, Value and Experience - Wasn't this good enough?

What had gone wrong and why did they both find themselves in this position?

According to "I.J. Golding's, UK Customer Experience Professional", an article about what happened last year as well as the two companies' very different approach to and execution of Customer Strategy.

Source: Shareholder or Customer First? The difference between Tesco and Amazon

So what can be learned from these two giants' performance last year?
They have both shown a different approach to Customer Experience and the importance of building up trust in the market.  The market is brutal to your company, if you don't deliver what's expected and don't have a long term Customer Strategy defined. 

Tesco tried to please their shareholders too much - and customers and employees too little; while Amazon famously has focused more on growth than profit and meeting and exceeding customer expectations. Now these differences has essentially set the two companies significantly apart from one another.

Figures from this season sales show that Tesco is losing market shares like never before and struggle with internal problems, while Amazon has reached its best performance result ever.
If you want to learn more about how a long term Customer Strategy can help you secure future revenue and profit, please contact Loyalty Group.