Tesco Extra wants to bring the hypermarket to the people

Does the hypermarket have a future? That is a question not only Carrefour is contemplating, because Tesco is already trialing its Extra stores in the United Kingdom. These stores have been entirely remodeled thanks to Swedish design firm Blink.

Large on the outside, warm on the inside

British consumers consider Tesco to be a huge retailer with enormous, cold stores and a rather tepid product range. The fact is that it is a huge company with gigantic stores and that won’t change anytime soon. The retailer needs to turn those downsides into advantages.

The new store design should help achieve that goal: not only its pricing should come to the forefront, its quality should too. Major bulk promotions will break the routine and its fruit and vegetable division should lift the store’s fresh image and become a sensory delight. Employees will engage the audience to showcase their expertise, turning service into a part of the customer experience. An in-store bar will help it become a social gathering spot and the entire store, however big it may appear on the outside, becomes warm and cosy on the inside.  

Increased turnover and profit

The design puts the fresh food section in the heart of the store and integrates omnichannel solutions like click&collect, mobile self-scanning and interactive screens. Convenience wise, customers can go to a “hot to go” food service with roasted chicken, pastry, ribs, pizza, panini bread and more, all freshly baked in the newest combi steam ovens. Tesco also made room for a free community center next to its bar.

Does the new approach work? The pilot store opened in June 2017 in Swansea, but the company has not divulged any actual numbers. However, profit has grown considerably and turnover has grown dramatically in several categories, like bread. The store experience has become more humane and presents its food range much better than it used to do. The employees are proud of their store and so is the Blink team.