Responding to competitive developments and boosting large store convenience.
Available in 90% of click & collect stores
At launch, Tesco's new service will be available in 90% of stores already offering click & collect, with two-hour collection slots priced at £2 between Mondays and Fridays and £3 during peak demand days: Friday and Saturday. The service is free to its Delivery Saver customers, so long as they order at least £40 of shopping. Orders placed before 1pm can be collected after 4pm.
Launch follows 2015 trial
Tesco trialled the same-day click & collect service in Q3 2015 across 200 stores, with some locations piloting a no-charge service for all orders over £4, whilst others charged £2.
Responding to market competition
Tesco's announcement comes one month after Sainsbury's began trialling a same-day delivery and collection service in three of its stores, which is likely to be extended to 30 by Christmas. In June Amazon Fresh launched in London with same-day deliveries across 130,000 fresh and frozen grocery items.
Keeping a keen eye on profitability
Tesco's same-day click & collect service leverages its significant bricks and mortar footprint; boosting the convenience of its large stores and driving footfall with the aim of encouraging shoppers down the aisles once in-store. Tesco will also hope that the initiative addresses the challenge posed by Amazon whilst reducing the emphasis on faster delivery services which put even greater pressure on supermarket margins.
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