Tesco in crisis

There are too many large supermarket chains for them all to be sustainable.
Morrisons and Sainsbury's are also struggling. Asda is awful.

Do most my shopping at Aldi these days ;)
 
That is because they're crap.

They've basically cut and cut and cut and cut everything they can until they're left with low quality food at midrange prices and chavs.

Even the refitted stores are pretty desolate places - here's an idea, get some quality produce in and stop overcharging!

Not only that but they've been hitting diseconomies of scale pretty hard, it's been basically mismanaged into the ground by people who want big bonuses in the short term and will jump ship before it sinks.
 
Thing that annoys me the most is my local Tesco never seems to have enough staff. Quite often you go and find there are no trollies at all in the stall by the shop, you have to go hunting in the car park for them. Then when you get to the checkouts there's usually 3 or 4 people in front of you at the queue. Their plan seems to be that once the queues get to a certain size they'll re-assign someone to the checkouts, but quite often the supervisors are so busy dealing with unexpected items in the bagging area etc that they don't notice. Sometimes you do get lucky and they open a new till just as you arrive, but then I feel guilty as it contravenes the notion of British fair play. Perhaps this is their just desserts since Tesco were the ones who pioneered the zero-hours contract.

I've recently ordered a few things from Tesco Direct and done the click and collect thing. Once I did this (for my PS4 :cool:) and it was horrendous - first you have to queue up at the customer services desk, the queue was a mix of people collecting stuff from Direct like me, and people who just wanted cigarettes. When a collector arrived they called someone over, who had to go to the back of the shop to collect the item before returning with it and processing the transaction. All very tedious and unpleasant.
 
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there is a tescos extra that has recently been built local to me, popped in last night for a few bits for dinner, for a store that had only been open a week, it was dirty, staff was basically zombies and the so called "special store prices" was a joke.
 
While this may be good news for the local butchers, green grocers, etc, this will have have a huge negative impact on the regrowth of the economy and will hurt the pound massively. Consumer spending is obviously still very fragile, but this will tip it over the edge.
 
Been shopping Aldi / Lidl since my student days, with the odd top up shop from Morrisons, ASDA and last resort, Tesco.

Tesco have always been poor for value, some real good bargains if you find it or glitch it (HUKD) but they're rare. Think the latest farce exposed them too much, even Warren Buffet sold his shares and admit he's made a mistake on investing in Tesco.

Oh dear.

e: I previously work for a food manufactuer that catered for Tesco's range of ambient cakes. All they're concerned about is, how can we get the same quality cakes as Sainsbury / M&S but at a cheaper price. Squeeze, squeeze, squeeze at the manufactuer end whilst keeping their profit margin up.

Aldi on the other hand works fairly. Negotiates better targets than squeezing the manufacturer to get value for customer.
 
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£122million pre tax profit, if that is halves after tax, £60million profit.

I wihs I had a business making £60million a year net profit. I understand that it made more profit per year previously, but still making £60m profit surely means the business is still safe as its a lot of money still. Why would a company potentially fold when it still makes 10s of millions of profit?
 
Ace Modder said:
£122million pre tax profit, if that is halves after tax, £60million profit.

I wihs I had a business making £60million a year net profit. I understand that it made more profit per year previously, but still making £60m profit surely means the business is still safe as its a lot of money still. Why would a company potentially fold when it still makes 10s of millions of profit?
Click to expand...

I suppose it could be argued that this is a drop in profit by design. Securing a large market share by massive insvestment in expansion means a lot of money is spent in a short period of time, and the net benefit of which may not be fully realised for several years to come.

Kind of like taking 1 step back to take 3 forwards.

But, meh, who knows for sure?
 
People in the UK have become so lazy with respect to food - choosing convenience and supermarkets over good quality products. As such it has artificially raised the prices of butchers and other quality food shops because everyone has become so accustomed to cheap foods. It's a shame - but at the same time I guess we are overpopulated and as such demand can't keep up so the supermarket is ideal. It still frightens and saddens me the amount of waste that as a nation we contribute to.
 
Freefaller said:
People in the UK have become so lazy with respect to food - choosing convenience and supermarkets over good quality products. As such it has artificially raised the prices of butchers and other quality food shops because everyone has become so accustomed to cheap foods. It's a shame - but at the same time I guess we are overpopulated and as such demand can't keep up so the supermarket is ideal. It still frightens and saddens me the amount of waste that as a nation we contribute to.
Click to expand...

Teach kids in school how to cook.
 
Our Tesco seems as busy as ever. It's right in the town center though and the only other supermarkets we have is a small Lidl which is crap, a big ASDA waaay out on the edge of town and a Morissons which opened just down the road from me last year which is empty... they didn't even think to build a taxi stance which probably didn't help.
 
Heliospherez said:
Their food is rubbish.
Their prices and deals are nothing more than scams to lure in the stupid/old.
The staff are never there when you need them.
The management/senior execs (for the last 10-15 years) think they are the kings of the high-street / retail and were arrogant/brash.

The sooner they fall into insignificance the better. They offer nothing to the average shopper and have continued to up their prices when the average person has had less income to spend on essentials.

What more can I say.
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+1
 
Freefaller said:
It still frightens and saddens me the amount of waste that as a nation we contribute to.
Click to expand...

I just read an article , Independent i think, features the boss of Waitrose and it said avaerage Brits have changed recently and we waste a lot less than in the past few years. That's why we don't want BOGOFS and are more careful with the money we spend at the counter.

It said

Tesco need to lower their prices
Re-evaluate the Club card scheme - its very old fashioned
Win back customer confidence (whatever that buzz phrase means )

Feels weird saying We when i'm kinda half Swedish now :( lol - Conflicted interest !
 
Peoples attitude to shopping has changed so much recently. I heard a top guy at Sainsbury iirc saying the industry has changed more in the last year than his previous 17 years. People are no longer going to a supermarket once a week for a big shop. I know we used to, but the quality from them all is so iffy we cherry pick what we want from each of them. There are so many around it's easy to do.

I use them all, from B and M and Aldi to M&S.
 
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