After tech success, Tesco is now muscling in on current accounts
Tesco have made a big technological step with the successful launch of their Hudl tablet, and now they're getting serious about banking. They're currently having a recruitment drive ahead of the 2014 launch of its first range of current accounts.With confidence in many high street banks low, Tesco have timed their run perfectly.
Benny Higgins, chief executive, said: "We are making excellent progress towards the launch of our current account next year and the recruitment of these new roles is an important milestone in that process."
Tesco launched their banking service in 1997 as a joint-venture with RBS. Since then, Tesco took complete control over the business and is looking to expand, on top of their credit card wing which saw customers spending £12bn a year with them. Tesco are also raking it in with their personal loans, currently topping industry rankings by sales.
Benny Higgins continued: "This is all about ensuring we can offer the best service to our customers. Everything Tesco does is done with our customers in mind and our current account will be no exception."
So, what was once Tesco Personal Finance is now Tesco Bank and the company got rid of all staff sales targets and bonuses connected to selling products, as Higgins saying: "I took the view that incentives and targets are ineluctably corrosive. That single move refocused people on focusing on the customers."
Crucially, Tesco have built a bank using new, reliable IT and computer systems, which means they've got one up on their old partners, the RBS Group.
Will Tesco be able to convince you to switch banks, or are you wary of how big the retailer is already?