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Tesco is preparing to launch a new discount channel as early as September, as the supermarket intensifies its fight against Aldi and Lidl discounters.
Tesco could name the chain Jack's after a division of the grocery group recently attempted to register the name as a trademark. On Sunday, the UK's biggest retailer reportedly launched up to 60 stores.
The distributor announces a new format for its staff in Immingham, Lincolnshire and Chatteris in Cambridgeshire, two sites where it has been put on the back burner. The company has confirmed that a mid-sized Tesco subway in St Helens in Merseyside will reopen under a new name while the Guardian includes workers at a Tesco metro at Edge Hill. Liverpool, which is expected to close, has also been seen promising potential jobs in a new, open store in five weeks.
Online job postings for some of the sites mention: "The new retail format will be operated separately from Tesco's core business and the benefits offered will be different from those offered at Tesco. " Bryan Roberts, an badyst at retail marketing firm TCC Global, said: "If Tesco puts a clean pit behind it in terms of infrastructure and store openings, it could be redundant and needs to present a new demand for new jobs.
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Tesco executives have examined thousands of potential sites to examine what might be appropriate, according to the Mail on Sunday, which reported that until To 60 could be transformed initially 19659002] Traditional supermarkets have sought a way to enter the fast-growing discount market, after seeing German rivals Aldi and Lidl win their customers since the last recession, when rising food prices
Smaller local discounters stores also benefit from a cheaper but more frequent purchase, as in department stores from the outside for u no week or a fortnight. A department store falls of fashion
In addition to Aldi and Lidl, generalist discounters such as B & M, Wilko and Poundland also increased the amount of food they sell, diverting sales from traditional chains
Sainsbury's 's is badociated with the Danish chain Netto in 2014 to launch a British Discounter, but the company closed its 16 stores two years later after struggling to make a profit.
Tesco tried the last time in the 1980s – under the Victor Value brand – but the move was dropped after four years. Aldi and Lidl now control nearly 13% of the grocery market, according to data from Kantar Worldpanel, compared with less than 9% four years ago. They are increasing sales by more than 8% a year while sales at the four major supermarkets – Tesco, Sainsbury & # 39; s, Asda & Morrisons – are barely keeping up with rising food prices.
Rumors are circulating on Tesco Channel since it promised shareholders in February that it would 'develop new formats to better serve customers'. He was said to have written in Lawrence Harvey, a former Aldi executive, to help develop the concept and sought advice from the Boston Consulting Group. He has asked a number of key suppliers to sign non-disclosure agreements before contributing to a new project.
The new format is also a key element of the acquisition of Booker, the UK's largest wholesaler. the stores could be more similar to Costco, the CIT company. Tesco has already tried to store bulk items purchased from the Bookers range in its stores.
Roberts indicated the size of the stores that Tesco was planning to convert and his rating to potential job seekers that they would be part of a small team, suggested a discounter or uncluttered format similar to Colruyt in Belgium, which is a hybrid between a cash-and-carry and a discounter. Tesco declined to comment on the new potential format.
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