Tesco ditches £1bn Value Range
Its a peverse fact that during the recession consumers seem to be prepared to continue paying premium prices for food – still not enough from the perspective of those of us in the know – but this story about the decline of Tesco’s “Value” range tells me that people prefer provenance and quality over cheapness – even if they can only stretch to Waitrose’s Essential Range.
The article goes on to tell us “Value is one of just four supermarket sub-brands that has more than £1bn in sales, and it is understood to be the biggest of all of them. The others are Tesco Finest, Asda Chosen by You and Waitrose Essentials, according to Kantar Worldpanel.
However, over the last 18 months Tesco in the UK has been struggling, with underlying sales falling. It has lost market share to Iceland, Asda, Sainsbury’s and many others. It admits its Value range looks tired compared with Waitrose Essentials and Morrisons’ M Savers range, which replaced its own cheap-looking Morrisons Value range.”