Business the top priority for the business as

Business Studies Controlled Assessment

Dixon Leow

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St Joseph’s College

 

 

 

 

 

 

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Dulwich Bakery

Repeat Purchase

Repeat purchase is when a consumer buys from the same company
each time and will revisit the company on each occasion. This indicates
customer loyalty to the company; an example would be: a customer buying their
groceries every week at the same supermarket.

The Business

Dulwich Bakery is located in the
heart of West Dulwich, Park Hall Road. The bakery specialises in making
homemade pies, breakfast, lunch and organising events. The established business
provides breakfast and lunch daily to many customers and is sold out by the
afternoon showing how popular it is in the area.

As part of
my primary research, when I asked the owner (Gemma) of the bakery, she said
that “repeat business is the top priority for the business as it keeps the
competitive advantage over the bakery down the road and the Tesco’s express
bakery across the road.” The repeat business has led to customer loyalty that
the bakery upholds has led to the business having repeat purchase, this
refrains the customers to going to the bakery’s competitors, which has led to a
higher turnover. This indicates that the business is offering customer
satisfaction due to the repeat customers and the loyalty of existing customers.
Gemma ensures that repeat purchase is occurring as she makes sure that her
customers are far more than satisfied with their experience with the bakery.
She offers customers a wide range of products with top quality at an affordable
price with daily special deals so that the bakery is aimed at a wide range of
consumers and that existing and new customers are rewarded for visiting the
bakery. The bakery uses a wide variety of techniques to assure that they obtain
repeat purchase.

Customer Satisfaction

When conducting my interview, Gemma had said that; “I make
the customers have a better experience in my bakery so that they will always
come to me”. Gemma makes sure the customer needs are fulfilled whenever they
enter the store as customer satisfaction leads to repeat purchase, which leads
to more consistent turnover.

Yelp review of
Dulwich Bakery

 

The review on the left shows a customer that was so pleased
that he came back to the bakery numerous times. This was because he was satisfied
with his visits at the bakery due to the customer service he received. This shows
that Dulwich Bakery provides their customers with delight with every customer
that visits the bakery.

Competitor review – Blackbird bakery

 

5 = extremely satisfied

 

1= unsatisfied

 

According to the survey, 61.3% of 31 people said that they
kept revisiting the bakery because of customer satisfaction, taking the
majority of the 4 reasons. 24 people gave the option of 4 or 5, no one gave the
option of 1, this shows that most customers who visit the bakery are satisfied
with their visit and none of them are unsatisfied.

 

A customer
of the bakery down the road reviewed the business couple months ago said that
the staff were “very welcoming”, this shows that other businesses also use this
method to generate repeat purchase as it shows that the customer will revisit
the store in the future due to the service they received. They don’t want to
change to another business as they don’t want to risk not having the same
experience they had with the bakery they visited. Dulwich bakery could put more
adverts down the street to try encourage customers from competitors to come and
try their bakery.

Most of the
customers come back to the bakery because of the customer satisfaction they
receive. They are pleased with the service they get from entering the bakery to
leaving the bakery, if they are not pleased with the service they receive, they
are not likely to come back. This is an important method to generate repeat
purchase as the more times they visit, the business earns more consistent turnover.
This method also refrains customers from going to competitors, which means that
the business doesn’t lose customers.

Wide range of products

Dulwich
Bakery offers breakfast, lunch and outside catering, it has a huge range of
bread and cookies with a different selection every day. Gemma believes that a
wide range of products will satisfy different people and that she will be able
to target different consumer’s tastes. Gemma stands out from her competitors
with her wide range of products as she offers what her competitors cannot; such
as: sweet dough bread and hot food.

                                   

                                  

 

 

 

 

 

 

 

These two customer reviews show that Dulwich Bakery offers a
selection of products, the products interest many age audiences as Delvin Carin
said that his daughter frequently visits the bakery, which shows repeat purchase.
Showing a wide range of products means that every time a frequent customer enters
the bakery, they can get something new and try other things in the bakery. A customer
even said that there is such a big range of products that she has trouble finding
what to get as everything looks so good. Having a wide range of products means that
customers are more likely to revisit the bakery as they would want to try out more
of the products at the bakery.

From the survey
on the left, there are almost an even number of customers in each type of food,
this shows that there are many different customers that come to the bakery because
of the wide selection of products. Customers come back to the bakery for the cakes
more but are interested in other products too. Whilst visiting the bakery, they
may see more products and may be more temped to buy more what they came for. This
may lead to repeat purchase as customers would want to try out more of the bakery’s
goods.

Quality of product

Another method of repeat purchase is the quality of the products
at the bakery, Gemma makes sure that products are made to top quality