Tesco to rip up Metro format

Tesco to rip up Metro format
Tesco Metro stores - hit by discounters?

The Tesco Metro format is under threat as the supermarket giant rips up the concept- just two years after it underwent a revamp. Almost 90 Tesco Metro stores will be rebranded as Tesco Express, with the rest becoming superstores.

The overhaul in 2019 was part of the plan to address concerns from the rise in discounters, and their move into more mainstream grocery. Tesco rationalised its Metro range, and cut around 4,500 jobs at the time. However its format as a city centre location to capture passing trade mean it was hit hard by Covid.

The company’s research showed that 70% of Metros are being used simply for top-up and food to go, rather than the main shop.

Customer shopping habits have changed, leading to the decision to rebrand all the Tesco Metro stores, a spokesperson said.


Meanwhile, the onslaught of the discounters continues in to the smaller local format. Just last month Poundland began piloting its Poundland Local format – with two stores under 3,000sq ft opened in Yorkshire recently.

The retailer said: “The stores offer a range of products to meet the needs of customers, whether they are doing a planned top-up shop or making an urgent last-minute buy, with a big focus on food – from fresh ingredients to food-to-go.”

All of the items are from Poundland’s core ranges, including everyday groceries, snacks, household products, health and beauty, batteries, toys, stationery and homeware.

Additional ranges

There will be additional ranges customers expect in a convenience store, including:  fresh fruit and vegetables, chilled and frozen food, extended range of bread and morning goods, beer, wines and spirits, fresh Lavazza coffee, hot pies, pasties and fresh cakes supplied by Poundbakery, extended range of vaping products from 88 Vape, nappies and formula milk, and Camelot lottery tickets.

The retailer says prices will be “identical” to larger Poundland stores. If successful, the smaller format could give Poundland the potential to accelerate its growth and reach new areas that would not support a larger store.

There are currently around 20 Poundland stores in Northern Ireland, with potential for the new local format to make its way here if the pilot proves successful – however a spokesman said ‘there are no current plans beyond the first two pilot stores at the moment.’

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