Future Thinking comment on Tesco's record loss

22/04/2015

Claudia Strauss, Managing Director of FMCG & Shopper at Future Thinking, the business intelligence research consultancy, commented on Tesco’s results:

“An overnight, nationally representative poll showed that over a third of the public (38%) trust large supermarkets, including Tesco, Sainsbury, ASDA. Despite the colossal losses reported by Tesco today, their demise is unthinkable with such a strong position in the public mind. It could be surmised Tesco is ‘too big to fail’. It’s time the big players gave up their ‘who blinks first’ game and focussed back on listening to their customers, so that their offer reflects changing shopper behaviours and attitudes.

“In context, the level of trust in supermarkets was marginally higher than that Briton’s place in their GPs (37%), and considerably more than that placed in any of the political party leaders (just 12% trust David Cameron, 9% trust Nigel Farage, 6% trust Ed Milliband).

“Findings from our annual Shopper Barometer, revealed earlier this month, show that the average weekly food bill is down by £7 (to £81 for families, and £61 for non-families). Public opinion on the strength of Tesco’s offering fell across the board from last year compared with the other large supermarkets. The number of people believing Tesco was the best in each area: Low prices, 20%; Best online shopping experience, 28%; best promotions, 32%; quality, 43%; customer service, 28%.” 

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