UK: Tesco to make major changes to store layouts and ranging | Progresiv
Tesco is set to make major changes to the layouts of its stores to give more prominence to own label products and better align products with the way people buy them. The changes will be introduced at all 900 Extra, superstore and Metro stores following a successful trial at Baldock, Hertfordshire, according to reports in The Grocer. 
This latest phase of Project Reset own brand ranges will see Tesco increase its own brand presence on shelf by up to 14% on shelf, with smaller stores in particular likely to see a significant reduction in brands. The move demonstrates Tesco's increasing confidence in its private label offer following its upweighted focus on innovation over the last year and improvements to own brand ranges. The changes will also give own brand more eye level shelf space in-store, with Tesco keen to stress the quality as well as the affordability of its own brand offer.
Linked to this move, Tesco is also making major changes to the adjacencies of many categories, arranging products by meal occasion rather than by traditional categories, using new cooking zones to both inspire and simplify the shopping experience for customers. For instance include a 'savoury scratch' cooking zone brings together canned tomatoes, pulses, herbs and spices while a convenience cooking area includes pasta rice and pasta sauces. Adjacencies are also improved for home baking with baking products and eggs co-located.
Tesco is also determined to continue its drive to boost access to healthier products. An improved health fixture will include more grain products such as quinoa, brown rice, couscous, bulgur wheat and puy lentils, while the Free From category is set to be boosted by up to 40%. These moves follow Tesco's recent rollout of free fruit items for children to all stores, sweet free checkouts and continuing actions to reduce salt and sugar in product formulations. Tesco has also begun opening Holland & Barrett concessions in its larger stores, following last month's announcement of a tie-up with the health and wellness specialist.
In a separate development, Tesco plans to roll out its Payquiq payment app nationally following a successful trial at over 600 stores in Edinburgh and London. The system stores Clubcard and payment card data on a customer's smartphone, enabling customers to checkout in-store with a single scan of a QR code at the till and access receipts online. The system should speed up the customer journey in-store, reduce store operating costs and boost customer loyalty. (www.igd.com)
