Tesco – What Dave Lewis can do

There are many things that Tesco do not do well at the moment. Pricing, quality, availability, customer experience etc. The problem for Dave Lewis is where on earth to start.  There are plenty of suggestion but most lead on just one of the problems such as pricing. This is not a good strategy.  However well pricing or any of the other issues was addressed it would still leave Tesco with big problems. They don’t have just one problem and it’s most probably impossible to work on them all once.

In my opinion the best place to start is the nearest point to the customers. Overly “efficient” centralised processes and an increasing use of standardised ways of treating stores are a significant contributor to many of their problems.

I recommend a strategy of giving store managers much more power to make decisions that are right for their store and their customers. Getting the right balance between running each store as a local business with the most appropriate level of head office support can help Tesco with several of their key issues and help them stand out from their competitors.  Done well this approach could be the core of a reason to shop more at Tesco and carve out a unique space in the market.

Tesco was exceptionally customer driven in the past and that was a major contribution to their success. Customers loved Tesco.  Time to get the love back.

 

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