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Tesco Takes on the Discounters

Tesco Takes on the Discounters
Photo: LZ Retailytics
LZ Retailytics assesses Tesco’s new Jack’s discount format, which aims to undercut Aldi and Lidl

This week in Chatteris, Cambridgeshire, Tesco responded to the Aldi and Lidl threat with the unveiling of its new Jack's discount format. It plans to open 10-15 Jack's stores in the UK this year, which will undercut the discounters locally on price and aim to be the "cheapest in town".

LZ Retailytics visited the first store and assesses the format, which provides a solution for some of Tesco’s challenging locations. But as Tesco tries to succeed where Sainsbury’s and Netto failed, we remain somewhat sceptical of this latest strategy. Key to success will be establishing volume and economies of scale as well as customer acceptance of the format.

Take a look at our photo report and see the first Jack’s store for yourselves.

Get the report now

Topics: Schwarz Group Aldi Tesco