Tesco next down the pan?

Wordsmith

LE
Book Reviewer
As I said earlier you are not really saving anything because you are buying different brands.
If i buy a mercedes for 50k one year and then a Ford for 15k the next year I haven't saved 35k because I've got two different products.
If however, you could buy a BWM from one garage at £50K and a Mercedes of equivalent spec from another garage at £35K, you'd probably go for the Merc.

As I said earlier, if Aldi/Lidl are getting it so wrong, why have the better than doubled their market share in 5 years, and why has Tesco felt compelled to open up a competing brand?

Wordsmith
 
If however, you could buy a BWM from one garage at £50K and a Mercedes of equivalent spec from another garage at £35K, you'd probably go for the Merc.

As I said earlier, if Aldi/Lidl are getting it so wrong, why have the better than doubled their market share in 5 years, and why has Tesco felt compelled to open up a competing brand?

Wordsmith
Because people are idiots. Buying own brand from a supermarket used to be viewed as pikey but buying the same thing from Aldi/Lidl is the new in thing.
Have you never noticed that product recalls sometimes include own brands from several supermarkets including Aldi? Almost as if it's the same stuff.
 

Wordsmith

LE
Book Reviewer
I was under the impression that they just sold their stuff at lower prices? no "discounting" involved.
Hard discounter is a technical term for their business model. Here's a link with some explanantions.

Thinking Retail: A Hard Discounting Journey

Basically, it allows Ali and Lidl to offer comparable products at significantly lower prices than Tesco/Sainsbury/Asda

Which is a bit like a ratchet. One you've shopped for a few weeks at (say) Aldi, you'll go 'ouch' if you buy the same basket of goods at Tesco.

Wordsmith
 
As I said earlier you are not really saving anything because you are buying different brands.
If i buy a mercedes for 50k one year and then a Ford for 15k the next year I haven't saved 35k because I've got two different products.
Actually stupid you have lost a shit load of money in depreciation. Now do be a good boy and stop trying to derail the thread.
 
@Wordsmith as you are the master of the English language can you come up with a much more suitable word than Discounters to describe Aldi/Lidl ?. I would argue that they are not discounters as you say they do run a very low inventory model and a very efficient stock turn over. Lidl especially do not restock their shelves especially on perishable goods untill the shelf is actually empty.
Also we do have Lidl opening a store right opposite a Tesco up here.
 
Actually stupid you have lost a shit load of money in depreciation. Now do be a good boy and stop trying to derail the thread.
How it's derailing the thread to point out that the reason Aldi products are cheaper than tesco is because their products are own brand. When I suggested Tesco own brand it was suggested the Aldi own brands are better even though they sometimes have the same product recalls as the big supermarkets.
 
How it's derailing the thread to point out that the reason Aldi products are cheaper than tesco is because their products are own brand. When I suggested Tesco own brand it was suggested the Aldi own brands are better even though they sometimes have the same product recalls as the big supermarkets.
You make an example with items that have no relevance whatsoever to the subject in your usual I know it all manner. At least you now know the difference between Stocks and Shares thanks to @bobthebuilder .
 
You make an example with items that have no relevance whatsoever to the subject in your usual I know it all manner. At least you now know the difference between Stocks and Shares thanks to @bobthebuilder .
Do you have trouble reading or are you one of those idiots I mentioned earlier?
 

Wordsmith

LE
Book Reviewer
@Wordsmith as you are the master of the English language can you come up with a much more suitable word than Discounters to describe Aldi/Lidl ?
As I've said earlier "Hard discounter" is just the technical term for their business model.

As to an alternative name, maybe "small but highly efficient convenience store/supermarket hybrid" would cover it, but that's a real mouthful.

Wordsmith
 
As I've said earlier "Hard discounter" is just the technical term for their business model.

As to an alternative name, maybe "small but highly efficient convenience store/supermarket hybrid" would cover it, but that's a real mouthful.

Wordsmith
How about "Retailer that realises that what most people want is to pay less"?
 
can only speak about one product sold in Tesco and both the german stores, the 12 pack of cupcakes, all pretty much identical, 40% dearer in Tesco, all made in the same factory with a marginal difference in cost price
 
How about "Retailer that realises that what most people want is to pay less"?
There have always been retailers that do that; that’s how Cohen started Tesco, how Poundland grew and how Costco works.

The Hard Discounter model is more complex and specific than simply targeting people who want to pay less.

Hard Discounters don’t actually discount at all. They offer a very limited range good quality white label products through a lean supply chain. Aldi’s operating costs add 15% to their cost of goods sold. I’d bet Tesco are up beyond 50%. And by offering predominantly white label goods, their purchasing costs are lower because they aren’t paying for brand.

I’d argue that Tesco and true mainstreams that are the discounters, not Aldi. They’re the ones that offer BOGOFs, weekly discounted products and loyalty schemes. Aldi don’t.
 
As I said earlier you are not really saving anything because you are buying different brands.
If i buy a mercedes for 50k one year and then a Ford for 15k the next year I haven't saved 35k because I've got two different products.
Er..Ginsters make baked products. All the shit comes from the same vat. Various production lines have different labels though...
 
Er..Ginsters make baked products. All the shit comes from the same vat. Various production lines have different labels though...
You mean Tescos and aldi sell the same shit under their own brand? Strange because I could have sworn someone said how Aldi is better quality.
 
Because people are idiots. Buying own brand from a supermarket used to be viewed as pikey but buying the same thing from Aldi/Lidl is the new in thing.
Have you never noticed that product recalls sometimes include own brands from several supermarkets including Aldi? Almost as if it's the same stuff.
People may be idiots as far as voting in elections is concerned but they sure as hell aren't idiots when it comes to where they buy their groceries. Hence the remarkable success of Aldi and Lidl.

Your post is very telling though - you insist the old guard of supermarkets have it right and you reveal that you think "people [i.e. the customers] are idiots". Little wonder retail looks like it does. We all saw the sea-change that occurred in 2008 when the economy went pear shaped - people who wouldn't have been seen dead in anything other than Waitrose and Fortnums suddenly discovered what "non-idiots" had been learning for years - your quid goes a lot further in Aldi and Lidl.

And to the gent who complained about the taste of the baked beans - the pound shop (not tesco, not Sainsburys etc) does great deals on Heinz's (notably for singlies - 3 small tins for a quid)
 
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