RetailWire (free registration required) reports that Tesco PLC's chief executive says six drivers will determine growth for the retailer coming out of the recession.
Those drivers ranged from trust to convenience to climate change and simplicity — simple conveniences such as the iPhone, the Sky Plus personal video recorder in the U.K. and ATM's and self-checkout at supermarkets.
The world hasn't really changed, he said. Consumers are just demanding more:
"The world hasn't changed in my view. Customers still want a better life. They still want the material benefits of a better life, and that's the business opportunity for us. If we can help those people to a better life, we've got a business and that's just as true now as it was coming out of the last recession in 1992.
Speaking at a session at the NRF convention, "How Leadership, Loyalty and Transparency Fuel Growth," Leahy listed the following:
Trust: "That trust comes from the consumer judging the organization. 'What has that organization done for me in my life? Is it more concerned about me than itself?' And if you can demonstrate you're doing things for the customer, they'll respond with trust and they'll respond with long-term loyalty."
Information: "You can't hold different faces to different stakeholders. What you are is what are. But make that a strength, because when people feel they know you, it starts to build trust. And use this rich information to develop and engage consumers, involve them in your business planning, involve them in your product development, listen to what they have to say about your business ... The more you do that — the richer, the deeper the relationship — the more actually it builds loyalty. They actually can become advocates for your business."
Health: "It's a basic anthropological drive that everyone wants to live forever and look good, and businesses that help consumers do that are going to see growth."
Convenience
Simplicity: "It's harder and harder to make satisfying decisions. People don't just want more and more products. They want problems in their lives solved. So those businesses, services and processes that actually solve a problem, they're the ones that are going to be rapidly adopted."
Climate change: "It won't mean less consumption; people want a better life. But it will be very different consumption, and that's the opportunity. There's a huge need for a different form of consumption, and from that need comes business opportunities. And those retail businesses that respond first and best to the consumers' needs for low-carbon products and low-carbon living in an affordable way, they'll do the best."
