Tesco

What Tesco does

Tesco is Britain's largest grocery retailer, operating a multi-format estate of more than 3,900 stores spanning Tesco Extra hypermarkets, Superstores, and over 600 Express convenience locations, complemented by online grocery, Click+Collect, Whoosh rapid delivery (20-60 minutes, up to 15,000 SKUs from approximately 100 stores), Booker wholesale serving 500,000+ caterers and independent retailers, and a Tesco Marketplace for third-party sellers. The company serves 24M+ UK households, primarily in the UK and Ireland, with smaller operations in Central Europe (Hungary, Czech Republic, Slovakia) reportedly being explored for sale.

The core technology platform is the Clubcard loyalty programme, which captures data from 82% of UK sales and feeds dunnhumby (a Tesco Group subsidiary) for AI-driven personalisation, retail media monetisation, and the newly launched Network Alliance connecting Tesco with B&Q, John Lewis, and Waitrose on a Kevel-built platform. Operational technology includes Hanshow electronic shelf labels rolling out across 3,000 stores, ICE Cobotics autonomous cleaning robots in 600 Express stores, GetGo checkout-free stores using computer vision, a Mistral AI partnership for generative AI, and a full migration off VMware by end-2027.

Revenue is generated primarily through grocery and general merchandise retail at thin 3-4% margins, with material additional contribution from a high-margin retail media network (70%+ profit margins), Delivery Saver subscriptions, Tesco Bank and Tesco Mobile financial services, marketplace commissions, and the Booker wholesale arm. FY2026 preliminary results reported revenue of approximately £73.7 billion and profit after tax of £1.79 billion, with adjusted operating profit guidance of £3.0-3.3B for FY27.

Name

Tesco

Legal name

Tesco PLC

Website

https://tesco.com

Company type

Public

Founded year

1919

Operating status

Operating

Headcount range

5,001–10,000 employees

Short description

Tesco is Britain's largest grocer, operating 3,900+ multi-format stores and online channels serving 24M+ Clubcard households with grocery retail, Whoosh rapid delivery, Booker wholesale, retail media, and financial services across the UK, Ireland, and Central Europe.

Ownership category

akta.pro rank

Product category

Grocery Retail

NAICS

Supermarkets and Other Grocery Retailers (except Convenience Retailers) (44511), Grocery and Convenience Retailers (4451), Electronics and Appliance Retailers (44921)

SIC

Retail-Grocery Stores (5411), Retail-Food Stores (5400), Retail-Misc General Merchandise Stores (5399)

akta.pro primary industry

Supermarket Operators with In-Store Foodservice/Prepared Foods Focus (CRAHAAAJ)

akta.pro secondary industries

Foodservice & Hospitality Supply Clubs (Restaurants, Catering, Hotels) (CRAEAEAC), General Merchandise Online Retailers (CRAFADAA)

Keywords

• Grocery retail
• Supermarket chains
• Online grocery delivery
• Loyalty programs
• Retail media networks

Headquarters

HQ city

Welwyn Garden City

HQ country

United Kingdom

HQ region

Europe

Offices2 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Supply Chain, Operations, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Grocery & General Merchandise Retail: Sale of grocery, fresh food, frozen food, drinks, household goods, electronics, clothing (F&F), and general merchandise across owned supermarket, superstore, and Express convenience store formats in the UK, Ireland, and Central Europe. Revenue generated at point of sale with thin retail margins of approximately 3-4%. Online grocery, home delivery, and Click+Collect add incremental fulfilment revenue.
2. Booker Wholesale: Booker, part of the Tesco Group, supplies wholesale groceries and foodservice to independent retailers, caterers, and convenience operators. The wholesale arm reported a 3.2% like-for-like sales decline due to a contract exit, with revenue contribution significant to group total.
3. Tesco Retail Media & Advertising: Tesco monetises its first-party customer data and physical/digital advertising inventory through a retail media network. Brands and agencies purchase display advertising on Tesco.com, in-store digital screens, and targeted digital campaigns. The network generates 70%+ profit margins and subsidises Clubcard discounts, creating a self-reinforcing revenue model.
4. Whoosh Quick-Commerce: Same-day rapid delivery service operating from Tesco stores, generating delivery fees (£2.99 per order) and incremental basket revenue. Whoosh UK sales grew 51% year-on-year, generating £400 million in revenue. Delivery times range from 20-60 minutes.
5. Tesco Bank & Financial Services: Tesco Bank (operated in partnership with Barclays) offers credit cards, loans, savings, and insurance products. Tesco receives referral/introducer fees. Tesco Insurance and Tesco Travel Money are also offered as additional financial services revenue streams.
6. Delivery Saver Subscription: Monthly subscription plans (Anytime at £7.99/month, Off Peak at £4.99/month, Click+Collect at £2.49/month for 6-month terms) providing free delivery/collection slots and priority access to seasonal slots. Generates recurring subscription revenue and incentivises higher basket frequency.
7. Tesco Mobile & Telecom Services: Tesco Mobile operates as a mobile network virtual operator (MVNO) generating revenue from mobile contracts and SIM-only plans, with Clubcard data shared for marketing personalisation.
8. Marketplace & Third-Party Seller Commissions: Tesco Marketplace allows third-party sellers to list products on Tesco.com, with Tesco earning a commission on each transaction. Referenced as an expanding channel on the Tesco website.
9. Euro Medium Term Note Programme: Tesco operates a £15 billion Euro Medium Term Note programme via Tesco PLC, Tesco Corporate Treasury Services PLC, and Tesco Corporate Treasury Services Europe DAC, raising debt capital in public markets.

Pricing tiers

Go-to-market motion3 records

Distribution channels10 records

Marketing channels11 records

Core offering

Tesco operates a multi-format grocery and general merchandise retail business across the UK, Ireland, and Central Europe, selling food, household goods, clothing (F&F), and related products through supermarkets, hypermarkets, convenience stores (Express), and online platforms. The company complements its retail operations with wholesale supply (Booker), financial services (Tesco Bank, Tesco Mobile, Tesco Insurance), a quick-commerce delivery service (Whoosh), and a retail media network monetising first-party Clubcard data.

Product overview

Tesco operates a multi-format retail platform combining physical stores (Express convenience, Superstore, Extra hypermarket), online grocery delivery (home delivery, Whoosh rapid delivery, Click+Collect), and digital services (Clubcard loyalty with 24M+ households, Tesco Bank, Tesco Mobile, Tesco Insurance). The core platform is anchored by its Clubcard loyalty program powering 82% of UK sales, which feeds customer data to Tesco's retail media network and dunnhumby analytics. The portfolio includes F&F Clothing, Booker wholesale, One Stop convenience franchise, and digital services including Recipe content (Real Food), Photo, and Gift Cards. Recent additions include GetGo checkout-free stores and Whoosh on-demand delivery competing in quick commerce.

Differentiator

Problem solved

Functional benefit

Brands

• Clubcard: Loyalty program with over 24 million UK households, used in over 80% of Tesco sales, capturing data from 82% of UK sales
• F&F Clothing
• Whoosh
• Tesco Finest
• Clubcard Plus
• Tesco MarketPlace
• GetGo
• Tesco Bank

Products and services

• Tesco Grocery Online Online grocery shopping platform allowing customers to order groceries via website and mobile app with home delivery or Click+Collect options across the UK.
• Whoosh On-demand rapid grocery delivery service delivering from store to door in as little as 20 minutes from selected areas, with delivery fees from £2.99 and up to 15,000 SKUs.
• Click+Collect Online order collection service with over 500 locations, same-day slots available, slots from 25p for next-day collection, free for Delivery Saver subscribers.
• Home Delivery Scheduled grocery delivery service available across the UK with minimum £50 spend, slot booking up to 4 weeks in advance, and same-day options.
• Delivery Saver Subscription service providing free delivery and collection slots with tiered monthly plans starting from £2.49/month for Click+Collect up to £7.99/month for Anytime delivery including same-day slots.
• Clubcard Loyalty program with 24 million UK households enrolled, enabling customers to collect points and access exclusive Clubcard Prices with personalized offers; captures data from 82% of UK sales.
• Clubcard Plus Premium subscription loyalty tier offering additional benefits including 10% off two big shops per month and free delivery on orders over £50.
• Tesco Marketplace Online marketplace connecting third-party sellers with Tesco customers, expanding product selection beyond Tesco's own range, with Tesco earning commission on transactions.
• F&F Clothing Tesco's private-label clothing brand offering fashion for men, women, and children at value prices, available in-store and online.
• Tesco Bank Banking services including credit cards, loans, and savings products, offered through a partnership between Tesco and Barclays.
• Tesco Mobile Mobile network virtual operator offering pay monthly phones, SIM-only contracts, and pay-as-you-go plans with Clubcard benefits.
• Tesco Insurance Insurance products including travel, car, home, and pet insurance with Clubcard discounts available.
• Tesco Travel Money Foreign currency exchange service available online and in-store at Tesco bureau locations.
• Tesco Pharmacy In-store pharmacy services including prescriptions, health advice, and vaccinations at Tesco locations.
• Tesco Gift Cards Digital and physical gift cards available for Tesco and major brand partners for gifting purposes.
• Booker Wholesale business serving over 500,000 independent retailers, caterers, and small businesses with bulk groceries and products across the UK.
• One Stop Convenience store franchise operator and retailer, part of the Tesco Group, operating neighborhood stores.
• Tesco Retail Media Network Advertising platform monetising Tesco's physical and digital touchpoints alongside first-party customer data, enabling brands to target shoppers with 70%+ profit margins.
• dunnhumby Customer data science company owned by Tesco, providing AI-powered retail media solutions and customer personalization technology to Tesco and other retailers.
• GetGo Stores Physical convenience stores equipped with camera-based checkout-free technology allowing customers to shop and leave without scanning or paying at a traditional till.
• Tesco Photo Photo printing and gift service allowing customers to create photo books, prints, cards, and personalised items.

Quantifiable outcome

• UK market share reached 28.7% — highest in over a decade — at Grocer Gold Awards 2026
• +9 more outcomes

Named customers9 records

Segments6 records

Ideal customer profiles6 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration20 records

AI capability12 records

Feature8 records

Partnerships

26 partnerships are on record, tiered strategic, core, supporting and flagship.

• Mistral AIstrategicTechnology or Integration · 1 January 2026Tesco entered a three-year partnership with Mistral AI to develop tailored generative AI solutions for retail operations, including demand forecasting, customer service automation, and personalised shopping experiences.
• dunnhumbycoreTechnology or Integration · 1 January 2026dunnhumby (a Tesco Group subsidiary) launched the Network Alliance initiative to address retail media fragmentation, with Tesco, B&Q, John Lewis, and Waitrose joining pilots. Built in partnership with Kevel, the platform enables brands and agencies to plan, activate, and measure campaigns across multiple UK retailers from a single interface. The alliance provides shared standards for activation, measurement, and reporting.
• KevelsupportingTechnology or Integration · 1 January 2026Kevel provides the technology infrastructure for dunnhumby's Network Alliance retail media platform, enabling a unified campaign activation and measurement layer across multiple UK retailers.
• B&Q (Kingfisher)flagshipGTM or Marketing Partner · 1 January 2026B&Q joined Tesco, John Lewis, and Waitrose as pilot participants in dunnhumby's Network Alliance, enabling cross-retailer retail media campaign activation across household/DIY, health & beauty, and grocery categories.
• John Lewis PartnershipflagshipGTM or Marketing Partner · 1 January 2026John Lewis Partnership joined Tesco, B&Q, and Waitrose as pilot participants in dunnhumby's Network Alliance for cross-retailer retail media campaigns.
• WaitroseflagshipGTM or Marketing Partner · 1 January 2026Waitrose joined Tesco, B&Q, and John Lewis as pilot participants in dunnhumby's Network Alliance for cross-retailer retail media campaign activation.
• Omnicom Media IntelligencesupportingStrategic or Co-development Partner · 1 January 2026Tesco co-developed the 'Connected Content' advertising effectiveness framework with Omnicom Media Intelligence, unveiled at Cannes Lions 2026. The research framework, involving Disney, NBCUniversal, Netflix, Paramount, Amazon, AdAlliance, and JioStar, helps marketers improve advertising effectiveness in a fragmented media landscape.
• DisneysupportingStrategic or Co-development Partner · 1 January 2026Disney co-developed the 'Connected Content' advertising effectiveness framework with Omnicom Media Intelligence alongside Tesco, Netflix, Amazon, NBCUniversal, Paramount, AdAlliance, and JioStar at Cannes Lions 2026.
• AmazonsupportingStrategic or Co-development Partner · 1 January 2026Amazon co-developed the 'Connected Content' framework with Omnicom Media Intelligence alongside Tesco and other major media companies.
• ICE CoboticscoreTechnology or Integration · 1 January 2026Tesco partnered with ICE Cobotics to deploy autonomous cleaning robots across 600 Tesco Express stores — the first deployment of this scale in UK convenience retail. The robots handle routine floor cleaning, freeing store staff for customer service. ICE Cobotics provides comprehensive training and service support.
• Leading Edge OnlysupportingStrategic or Co-development Partner · 1 January 2026Tesco partnered with innovation marketplace Leading Edge Only for its 2026 Agri-tech Challenge, a global competition inviting agri-tech innovators to submit solutions addressing food supply chain challenges including animal welfare, emissions reduction, soil health, and food waste. The competition introduces a two-pathway model based on technology readiness levels (TRL 4-6 and TRL 7+).
• Harper Adams UniversitysupportingStrategic or Co-development Partner · 1 January 2026Tesco and Harper Adams University's School of Sustainable Food and Farming renewed their Future Farmer Programme partnership for 2026/27. The programme has trained over 200 next-generation farmers in sustainable agriculture skills over its initial three-year run, with applications open for farmers under 40.
• KepaksupportingStrategic or Co-development Partner · 1 January 2026Tesco and Kepak launched the Bright Meat Company lower-carbon beef range with carbon footprint verified by the Carbon Trust to be up to 23% lower than equivalent beef products. The beef is produced by the Irish Twenty20 producer group working with over 600 farmers and supplied to Tesco under the Bright Meat Company brand.
• Sofina Foods EuropesupportingStrategic or Co-development Partner · 1 January 2026Sofina Foods Europe was added to Tesco's Sustainable Pig Group (TSPG), expanding the group by 30%. TSPG now covers around 23% of Tesco's British pork supply, including all of its Finest fresh pork. The expansion represents an additional annual investment of nearly £2 million into the British pig farming sector.
• Cancer Research UKsupportingStrategic or Co-development Partner · 1 January 2026Cancer Research UK partnered with Tesco to train pharmacists in over 350 Tesco stores to help identify potential cancer symptoms and guide people on next steps without needing a GP appointment. Part of the broader Tesco Health Charity Partnership alongside the British Heart Foundation and Diabetes UK.
• EvrisupportingChannel Partner/ Reseller/ Distributor · 1 January 2026Evri partnered with Tesco for a locker network expansion, adding 500 new Evri parcel locker locations at UK Tesco petrol stations. Part of Evri's £50 million investment to more than double its ParcelShop and locker estate to over 22,000 locations by 2030.
• EO ChargingsupportingStrategic or Co-development Partner · 1 January 2026Pod acquired EO Charging to expand its commercial fleet charging capabilities. EO Charging supports major corporate fleets including DHL, Amazon, and Tesco's commercial vehicle fleet. The combined operation plans to work with energy partner EDF to develop integrated fleet charging solutions.
• Pilgrim's EuropesupportingGTM or Marketing Partner · 1 January 2026Pilgrim's Europe allocated budget across retail media networks of Tesco, Asda, Sainsbury's, and Morrisons for its Richmond sausage brand awareness campaign, spanning linear TV, VOD, paid social, out-of-home, and Tesco's retail media inventory.
• Cancer Research UKsupportingStrategic or Co-development Partner · 1 January 2026Tesco is a partner in the 2026 Agri-tech Challenge alongside Leading Edge Only, seeking innovations addressing food supply chain challenges including animal welfare, emissions reduction, soil health, and food waste.
• YEEP!supportingTechnology or Integration · 1 January 2026YEEP! partnered with Tesco to install solar parcel lockers at 30 UK Tesco locations, combining parcel delivery services with sustainable energy infrastructure.
• MicrosoftsupportingTechnology or Integration · 1 January 2026Microsoft partnered with Hanshow (Tesco's ESL supplier) to develop xPilot, a real-time AI store execution assistant. Tesco is positioned as a key rollout partner for Hanshow's ESL technology in UK stores.
• HanshowcoreTechnology or Integration · 1 January 2025Tesco partnered with Chinese electronic shelf label firm Hanshow for a large-scale rollout of electronic shelf labels (ESL) across approximately 3,000 stores over two years. The rollout began in four stores and aims to reduce labour costs and enhance real-time pricing accuracy. Hanshow also launched xPilot, an AI store execution assistant developed with Microsoft, with Tesco as a key rollout partner.
• CranswicksupportingStrategic or Co-development Partner · 1 January 2024Cranswick is a founding member of Tesco's Sustainable Pig Group (TSPG), expanded by 30% in 2026 to include Sofina Foods Europe.
• British Heart FoundationsupportingStrategic or Co-development Partner · 1 January 2024Tesco's Health Charity Partnership raises funds for the British Heart Foundation, Cancer Research UK, and Diabetes UK to support life-saving work.
• Diabetes UKsupportingStrategic or Co-development Partner · 1 January 2024Tesco's Health Charity Partnership raises funds for Diabetes UK alongside the British Heart Foundation and Cancer Research UK.
• Auror EuropesupportingTechnology or Integration · 1 January 2021Auror Europe is Tesco's crime intelligence partner for its non-live (retrospective) facial recognition technology used to identify suspected retail criminals. Auror creates encrypted algorithmic representations of suspects' faces from CCTV footage and compares them against a database of templates from incidents across Tesco trial stores.

Scale indicators17 records

Recent moves7 records

Expansion highlights7 records

Direct peers

• Sainsbury's: Sainsbury's is the UK's second-largest supermarket chain with similar multi-format grocery retail, Nectar loyalty programme, and online grocery operations. Directly comparable to Tesco in product mix, target customer segments, and competitive dynamics against discounters.
• Asda (Walmart-owned): Asda is one of the UK's largest grocery retailers, now owned by TDR Capital and the Issa brothers after Walmart's divestiture. Operates superstores and online grocery similar to Tesco Extra format and competes head-to-head in UK grocery market share rankings.
• Morrisons: Morrisons is the UK's fourth-largest supermarket chain, recently taken private by Clayton, Dubilier & Rice. Operates supermarkets with strong fresh food and wholesale (Morrisons Manufacturing) businesses comparable to Tesco's Booker wholesale arm.
• Aldi: Aldi is the UK's leading discount grocer and Tesco's primary pricing competitor, having driven the Aldi Price Match initiative. Operates limited-assortment stores focused on price, directly challenging Tesco's value proposition across all store formats.
• Lidl: Lidl is Germany's discounter and Tesco's other key UK grocery competitor, expanding rapidly across the UK. Competes on price and quality private label, putting similar pressure on Tesco's value proposition as Aldi.
• Waitrose (John Lewis Partnership): Waitrose is the UK's premium supermarket chain and a direct Network Alliance partner with Tesco's dunnhumby. Competes primarily in the premium grocery segment where Tesco's Finest range operates, with overlapping customer base in higher-income households.

Emerging players

• Ocado: Ocado is the UK's leading pure-play online grocery operator and technology provider, partnering with major grocers worldwide. Competes with Tesco in online grocery and quick-commerce while also enabling competing retailers, making it both a rival and a technology benchmark.

Broad incumbents

• Amazon Fresh (UK): Amazon Fresh is Amazon's grocery delivery offering in the UK, competing with Tesco's online grocery and Whoosh services. As a broad incumbent in e-commerce, Amazon represents both a competitive threat and a strategic benchmark for AI-powered retail personalisation.
• Carrefour: Carrefour is Europe's largest retailer, operating hypermarkets and supermarkets with significant private-label and loyalty data programmes. Comparable to Tesco for international grocery scale benchmarking, multi-format strategy, and retail media network development.
• Costco: Costco operates a membership-based warehouse club model in the UK, comparable to Booker's wholesale and Tesco's loyalty subscription tiers. While format-different, Costco competes for the same household grocery basket and exemplifies alternative loyalty-driven retail models.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/tesco
• YouTubeyoutube.com/tesco
• Facebookfacebook.com/tesco
• Instagraminstagram.com/tesco
• Pinterestpinterest.co.uk/tesco

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles10 records

Subsidiaries6 records

Funding overview

Funding rounds2 records

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A12 records

Investments4 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Tesco