Tesco is a UK-based supermarket chain founded in 1919 that is now the largest British retailer. It initially grew on the strategy of "pile it high and sell it cheap" but later underwent a makeover to improve quality. Tesco launched initiatives like its "Every Little Helps" campaign and Clubcard loyalty program to build customer relationships. Today Tesco has over 3,500 stores across 14 countries, generating £62 billion in revenue through various store formats that cater to different locations.

2. • Tesco is a UK based supermarket chain founded
in 1919 by Jock Cohen.
• Today Tesco is largest British retailer measured
by both sales and market share.
• Initially the company’s driving force was the
idea “Pile it high and sell it cheap.”
• Tesco has 62 billion pounds of revenue with
3500 stores in 14 countries.

3. • Sainsbury was market leader
• Tesco suffered from reputation
of “pile it high and sell it
cheap.”

5. Complete makeover
• Launched 114 separate initiatives to improve the
quality
• New campaign “Every Little helps.”
• 20 ads in the market
• Diversified geographically into areas like books,
telecom, petrol and internet providers.

9. Tesco CLUBCARD
• A customer loyalty
scheme to improve
customer relations
• It built long lasting
relationships
• Acted as data-gathering
tool and build unique
“DNA profile” of every
customer
• Gave special offers and
customized coupons to
Clubcard members.

10. • Tesco moved beyond supermarkets to “big
box” retailing of nonfood products.
• This provided additional convenience to
customers who preferred shopping under
one roof.
• Improved overall profitability
• Cherokee became fastest growing brand in
UK.

12. Format Number Total
area (m²)
Mean
area (m²)
Percentage
of space
Tesco Extra 250 1,636,023 6,624 42.85%
Tesco
Superstores 479 1,310,862 2,761 34.33%
Tesco Metro 178 203,551 1,044 5.33%
Tesco Express 1,713 360,743 216 9.45%
One Stop 873 106,095 147 2.78%
Dobbies 36 152,175 4,476 3.99%
Total 3,529 3,818,036 1,072 100%

14. TESCO used customer database effectively
and came up with price-ranges on order to
appeal to everyone: “Finest,” “Mid-Range,”
and “Value.” TESCO also stayed loyal to its
CLUBCARD loyalty program.

19. Why not have a
Quick Review!!

20. • Tesco developed campaign “Every Little Helps” to
build customer relations.
• Launched revolutionary CLUBCARD loyalty program.
• Captured areas like bank, petrol, ISP and telecom.
• Different price range for every customer
• Six different formats of stores depending upon
locations
• Today largest British retailer measured by both sales
and market share

21. Created by RAGHAV MAHESHWARI, NIT Jaipur,
during a marketing internship by Prof. SAMEER
MATHUR, IIM Lucknow.