07 January 2008, 21:44 PM

  • Although there is evidence that consumers are seeking quality over price, new tactics from Tesco prove that the road to heavy discounting is still paved with gold.

In its latest assault on the retail sector, Tesco has set its sights on Aldi and Lidl in an effort to capture the discount store market.

Indeed, Tesco will this week start to match Aldi and Lidl’s prices on more than 2,000 product lines. It has also launched 300 no-frills, Lidl-style products, with 200 more to follow.

Commercial director for Tesco, Richard Brasher, explained, “As other discount stores expand into the UK and canny customers seek ever-lower prices we cannot afford to be complacent.”

Tesco said it would be expanding its online Price Check facility to include 2,000 budget lines sold at discount outlets such as Aldi and Lidl.

The supermarket chain added, “To make this happen, Tesco has created a mock store in a secret location where discounter products are displayed and their prices and quality analysed by Tesco buyers.

“The buyer’s job is to ensure that Tesco has a product that is better quality and at least matched on price for all 2000 lines checked. This is an exacting, ongoing process with prices checked every 4-6 weeks.”


(Source: Daily Telegraph)