Hundreds queue as Tesco opens first budget supermarket Jack’s

Tesco launches new store Jack’s to tackle Lidl and Aldi

Tesco launches new store Jack’s to tackle Lidl and Aldi

The first two Jack's stores will open to shoppers on Thursday, with another 10 to 15 following in the next six months as Tesco copies the tactics of the German discounters, whose limited-range stores have won over increasing numbers of British shoppers since the economic crisis hit in 2008.

The Chatteris store enjoyed a successful first morning, right, with hundreds pouring through the doors at 10am to be greeted with champagne, bacon sandwiches and cupcakes. A second outlet opened yesterday in Immingham, Lincolnshire.

The Real Junk Food Project opens in WakefieldIn 1919, Tesco's founder Jack Cohen started selling armed forces surplus stock from his market stall in Well Street, Hackney.

As part of the Jack's store presence, Tesco also will launch Jack's branded goods, a unique range of staple food items that presents shoppers with quality and value.

Shares in Tesco were up 0.5 percent at 236.3 pence in late trading on London's benchmark FTSE 100 index, which was half-a-percent higher overall.

According to a company release, Jack's will operated a "low-cost business model" which, Tesco said, is created to keep costs low and prices down.

Tesco's no-fuss approach is also a strategic move by the United Kingdom retailer to keep those cost prices down, in an effort to compete with discount stores such as Aldi and Lidl.

More news: Russian Federation says 3,000 Syrians back home in last week
More news: Julian Assange Predicts 'AI Model' will Replace Capitalism
More news: Apple store staff perform sales ritual at launch of iPhone XS

Jack's is not the first attempt by Britain's mainstream grocers to crack the discounter market.

The store will sell 2,600 products, with 1800 branded under the Jack's label itself.

"It's fitting that today, we mark the beginning of Tesco's celebration of 100 Years of Great Value by launching a new brand bearing his name: Jack's".

Today, Tesco is Britain's biggest grocery retailer with a share of 27.4%, while Aldi and Lidl have a combined share of 13.1%, according to data from Kantar Worldpanel. "Great-tasting food at the lowest possible prices with 8 out of 10 products grown, reared or made in Britain".

Mr Lewis admitted that staff at Jack's would not be paid the same as employees at Tesco stores, but would instead be on "more of a base-rate pay".

"Tesco will have to find a way to attract customers from the likes of Aldi, Lidl and Iceland, rather than convert existing Tesco customers into discount shoppers through brand association", he said. But, it seems, another way to beat the discounters is to play them at their own game.

The tie-up between Tesco's two nearest competitors, which regulators said would be scrutinised in depth, is also driven by the rise of the discounters.

Recommended News

  • Solanke Out Of Liverpool, Southampton Fixture

    Solanke Out Of Liverpool, Southampton Fixture

    I'm fine with him, I think he's fine with me. 'Finishing is something you can never take for granted, players shouldn't do that. Salah has started every game for Liverpool this so far this season, recording two assists in addition to his two goals.
    Outrage as article questions legitimacy of Serena Williams and Alexis Ohanian's love

    Outrage as article questions legitimacy of Serena Williams and Alexis Ohanian's love

    When a backhand by Williams got caught in the net and cost her the game, Williams smashed her racket on the court and broke it. No one should publicly talk to anyone the way she talked to Ramos; not on a tennis court, not on the streets, not anywhere.
    Kareena turns 38: Inside pics and videos from birthday bash

    Kareena turns 38: Inside pics and videos from birthday bash

    Kareena's birthday cake was inspired by one of recent viral photoshoots for which she wore a black Gauri & Nainika gown. Karisma posed for a pic with the birthday girl and their mother and shared it on her official Instagram account.
  • No choice given, India suggested Reliance for Rafale deal: Hollande

    No choice given, India suggested Reliance for Rafale deal: Hollande

    In the Mediapart report, Hollande also denied any link between the Rafale deal and a film involving his partner Julie Gayet. Senior Congress leader Mallikarjun Kharge said Modi had a hand in allotting the contract to a private party.
    Google Pixel 3 XL leaks again, showing off notch and cameras

    Google Pixel 3 XL leaks again, showing off notch and cameras

    Posted to Twitter by Ishan Agarwal , the images show a white Pixel 3 XL, complete with a mint power/lock button on its side. Additionally, he said that there will be no way to hide the large notch, including darkening the spaces around it.
    Father of National Basketball Association  vet Jefferson killed in drive-by

    Father of National Basketball Association vet Jefferson killed in drive-by

    Richard Jefferson Sr . was one of three men standing outside a local liquor store when a vehicle pulled up and opened fire. He played for the Spurs from 2009 to 2012 and was traded by the team to Golden State in the middle of the 2012-13 season.
  • 8 elite Iranian guards die in attack

    8 elite Iranian guards die in attack

    The armed forces staged parades in several cities, including the capital, Tehran, to mark the anniversary of the Iran-Iraq war. Some images show bloodied soldiers in military fatigues, and ambulance sirens can be heard wailing in the background.
    Klopp: There's no Salah crisis

    Klopp: There's no Salah crisis

    "No one remembers that (his slow start last season), it is really no problem". We have to give opportunity - but only if they are in good shape.
    'Mister Rogers' Neighborhood' receives Google's most moving, and soothing, Doodle yet

    'Mister Rogers' Neighborhood' receives Google's most moving, and soothing, Doodle yet

    The Doodle was created in collaboration with Fred Rogers Productions, the non-profit Fred Rogers Center, and BixPix Entertainment. His calming presence was a fixture on TV until August 21, 2001, when the final episode of Mister Rogers' Neighborhood aired.
  • India engages with US to ensure energy security amid Iran sanctions

    A man holds the flags of India and the USA while people take part in the 35th India Day Parade in New York August 16, 2015. Iran's top oil customer China is not expected to cut its Iranian purchases, especially with the escalating U.S.
    Nokia 9 or Nokia 7.1 Plus could land on October 4

    Nokia 9 or Nokia 7.1 Plus could land on October 4

    HMD Global Oy has begun sending out invites to the media houses for a smartphone launch event scheduled on 4 October in London. This time too, the company may be teasing the upcoming Nokia 5 .1 Plus, which is expected to soon go on sale in the country.
    Joshua adds weight for boxing title fight against lighter Povetkin

    Joshua adds weight for boxing title fight against lighter Povetkin

    The London 2012 Olympics gold medallist defeated Klitschko at Wembley on April 29, 2017 to win the WBA world heavyweight title. Saturday is the first of a two-fight deal at Wembley and Joshua said he felt at ease.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.