Tesco sees online grocery potential

Posted by Daniel Palmer on 15th July 2009

UK retailer Tesco has confirmed that it is planning to develop its grocery website, reflecting the growing importance of online retail to the company’s strategy.

“There are going to be some developments, but we aren’t saying what or when,” a spokesperson for the group told just-food.

“We are always looking to improve our service, including our website,” the spokesperson added.

The growth of online retailing has continued to outpace the overall UK retail market in spite of the downturn, the latest figures from the British Retail Consortium suggest.

According to the BRC-KPMG Sales Monitor, total sales rose 3.2%, while online sales increased 16.8% year-on-year. Similar trends, have been seen in Australia, although online grocery lags behind the market share realised in the UK. Of the major Australian retailers, Coles has shown confidence about the future of online grocery sales having recently announced an expansion in the online arena, while Woolworths appears to need more convincing.

just-food is the world’s leading portal for the global pre-packaged food and retail industries. Its daily mix of breaking news, views, analysis and research serves over 100,000 food executives each month. http://www.just-food.com/