Apr 17, 2007
Tesco Shares Best Practices For Category
-3rd largest retailer in U.K. behind WM/Asda and Carrfour.
-$80 billion year business
-Largest private employer in U.K. (350,000)
-Convenience stores are typically 10,000 sqft
-Express format is 2,500 sqft
-Offer financial services
-Was the first profitable retail in dotcom in the U.K.
-In the telcom business
-Has a U.K. catalog business
The Space / Range / Display Team
-Buyer buys items, SRD team does all of the category management
-Their goal is to leverage their scale while keeping the keeping the customer offerings local (aka store of the community).
-They think Wal-Mart does not do this very well.
-Believes they're better at store of the community because "store mgr can add local items to the assortment". I know WM does that here in the states and goes beyond that method for SOTC.
-They have a big focus on planogram compliance. Tesco has developed their own tool to audit stores. Each store is responsible for maintaining the accuracy of their fixture configuration in the database.
-New items are added to the range on a strict schedule. If a buyer wants to put a new item into distribution he is restricted to ordering the item when the next planogram is planned.
-The only JDA software they are using is ProSpace, ProFloor, IKB and Web Publisher.
-Working on automating POG creation.
-Their POG sizes are limited to the floorplan just like WM.
-Not interested in an out of box solution for assortment decisions. They are open to using them for a starting point.