Tesco unveil recovery plan, cutting new store openings along the way
Tesco may be the 3rd biggest shop in the known universe, but they're still struggling which is making shareholders jumpy. As such, the retail behemoth has announced what it plans to do in terms of recovery, saying that they'll be cutting new store openings by more than a third this year.
At the same time, Tesco will be doubling the number of outlets that allow customers to collect online purchases.
Announcing the plan, chief exec Philip Clarke said: "You might have the impression that Tesco is struggling. Well, we are not,” adding that these changes aim to “put the heart and soul back into Tesco." So are we looking at a 'click and collect' future, rather than the super mega mart that has been cropping up in out-of-town areas? Clarke added: "Before anyone writes the epitaph of the hypermarket, that’s a long way in the future.”
Tesco will be spending £1 billion in their attempt to overhaul their underperforming business, which aside from the aforementioned, will look at staffing levels, tidying up their stores and delivering better prices. More people on the tills would be great because those robot self-service things are plain sinister.
Clarke said: "The plan isn't radical, isn't a radical change of direction, but it's a radical change of pace - more staff, better quality and range, warmer stores, friendlier service and a determination to do the basic things better."