Tesco see sales falling, again
Tesco have revealed that like-for-like sales, excluding both VAT and petrol, dropped in the UK. Obviously, they're still wildly wealthy, but it's nice to have a laugh at their expense when given the chance.
The retailer said the eurozone debt crisis has created "very low consumer confidence", with a fall in "general merchandise, clothing and electrical performance" reflecting this.
Of course, Tesco are still talking the talk. "Tesco has performed robustly in the first quarter despite subdued consumer confidence in all our markets, said Philip Clarke, chief executive. "Internationally, like-for-like sales growth proved resilient, despite slowing economic growth in China and the emerging impact of recently introduced shopping hours legislation in South Korea. Against the backdrop of continuing uncertainty in the eurozone, it is pleasing to see that our businesses have largely sustained their performance."
Well done if you managed to read all that without falling asleep, head-first into your lap.
Phil Dorrell, a director at retail consultants Retail Remedy, said: "After the terrible performance last year and saying they would throw the kitchen sink at it to improve things, we expected to see far stronger numbers from Tesco. Tesco is treading water but the paucity of its long-term marketing strategy could still drag it under. Tesco... continues to offer a bland and soulless shopping experience and will be hard pushed to maintain its market share over this financial year. The leadership still seems to be focused on the quick fixes, more appropriate to running a store than a business."