Tesco U.S. Refresh ~ Brand Mix

Friday, June 20, 2008

Tesco U.S. Refresh

Six months into its U.S. launch, Tesco is making some adjustments to its Fresh & Easy store concept.

After a fast and furious start, store openings were halted back in March and, after reports that the company was going to lose $200 million in its first year in the U.S., people started to wonder if the venture was starting to crumble. But now it looks like it was just a calculated time out and new stores are opening again with a few tweaks.

In an interview with the Financial Times, Tesco's U.S. chief, Tim Mason said that the main changes would be increased focus on price, more discounts and more promotional marketing. In other words, they are going to move closer to the traditional supermarket model recognizing that certain category rules can't easily be broken. However, they are going to continue to focus and grow their ready meals--this will continue to be a potential important point of differentiation.

Links:
1) Fresh & Easy: Brand Mix
2) Tesco: Fresh & Easy to lose $200 million this year: MarketWatch
3) Tesco To Ease Fresh & Easy Concerns With New Opening: CNNMoney.com
4) Tesco's US chief eyes further Fresh & Easy expansion: FT.com

1 comment:

michael said...

Thought you might find the coverage and analysis of TEsco and its Fresh & Easy stores in this blog of interst. I read it regularly, as well as reading your blog regularly.

www.freshneasybuzz.blogspot.com

Another one that writes about Tesco often is:

www.naturalspecialtyfoodsmemo.blogspot.com

Keep up the good work.

Michael

 
Blog Directory - Blogged