Competitors of Tesco
This article aims to explore the main competitors of Tesco. Tesco is a British multinational retailer headquartered in Hertfordshire, England. It was founded by Jack Cohen 1919. It serves millions of customers every week in its stores and online. Approximately 440,000 people work in Tesco.
Tesco is the leader in the food and grocery market in the UK. As of March 2019, it has over 3,400 stores that employ 300,000 people in the UK. Tesco employs 13,000 people in Ireland where it has 151 stores. It also operates in some of the most promising and biggest markets in the world e.g. India, China, and Malaysia (Tesco Plc, 2019).
Competitors of Tesco in the UK
The main competitors of Tesco in the UK are Sainsbury’s, Asda, Morrisons, Aldi, Co-op, Lidl, Waitrose, and Iceland. According to Mckevitt (2019), the market shares of these companies as of 12 weeks to 27 January 2019, are as follows:
As shown above, the nearest rivals of Tesco are Sainsbury’s and Asda. However, Tesco also faces a fierce competition from discounters such as Aldi and Lidl. Competition pressure from Morrisons is also very high as it has 10.6% grocery market share in the UK.
Competitors of Tesco in the international markets
Penny Market, CBA, Carrefour, Walmart, SPAR, Aldi, and Lidl are some of the biggest competitors of Tesco in international markets. Tesco also sees Amazon as a formidable competitor (Williams-Grut, 2017). However, it should be mentioned that Tesco announced in July 2018 its strategic and long-term plans of strategic alliance with French supermarket giant Carrefour that would have combined sales close to that of Amazon (Gwynn, 2018). Apart from the big names above, Tesco also faces a good number of small and regional competitors.
If you liked any of these articles, please feel free to share with others by clicking on the icons below. Also enter your email address at the bottom of the site to ‘Join us’ free for our newly published articles and newsletters.
The article publication date: 19 March 2019
Gwynn, S. (2018) Tesco and Carrefour plan alliance that will rival Amazon in sales, available at: https://www.campaignlive.co.uk/article/tesco-carrefour-plan-alliance-will-rival-amazon-sales/1486524 (accessed 10 March 2019)
Mckevitt, F. (2019), New Year’s resolutions lead to healthy grocery sales, available: https://uk.kantar.com/consumer/shoppers/2019/grocery-market-share-february-new-year%E2%80%99s-resolutions-lead-to-healthy-grocery-sales/ (accessed 18 March 2019)
Tesco Plc (2019) About us, available at: https://www.tescoplc.com/about-us/our-businesses/ (accessed 18 January 2019)
Williams-Grut, O. (2017)Tesco CEO on Amazon: ‘We see them as a formidable competitor’, available at: https://www.businessinsider.com/tesco-ceo-dave-lewis-amazon-2017-10?r=US&IR=T https://www.tescoplc.com/about-us/our-businesses/ (accessed 18 January 2019)
Photo credit: www.tescoplc.com
Author: M Rahman
M Rahman writes extensively online with an emphasis on business management, marketing, and tourism. He is a lecturer in Management and Marketing. He is a graduate of Leeds Metropolitan University and London South Bank University.