Tesco continues with good results and food prices reduction

Tesco preliminary results for 2024/2025 show sales increased by 4% at constant rates, including a strong contribution from higher volumes and improved category mix. They were supported by group continued investments in value, quality and service. Revenue increased by 3.0% at constant rates. Market share grew to 28.3%, delivering 21 consecutive four-week periods of market share growth by the end of the year. Tesco highest market share since 2016 over the Christmas period.

Online sales grew by 10.2%, express delivery from 1,500 stores

Sales growth was primarily driven by an increase in average online orders per week which were up 10.8% year-on-year to 1.3 million, with customer satisfaction also increasing year-on-year. Tesco Whoosh, the rapid delivery service of the leading British retailer, saw sales almost double in the year, with a further improvement in customer satisfaction and growth in average basket size. Tesco Whoosh is now available in over 1,500 stores, including 42 large stores.

Food grew by 4.9% freshness taste and healthy attributes the drivers

Ongoing investments of the retailer in product quality and innovation has been the main key driver. Tesco launched over 1,000 new products and improved over 600, including fresh produce, “Taste Discoveries” dinner-for-tonight range and health-led “High Protein” and “Gut Sense” ranges. “Our Finest” range continued to perform well, with sales up 15% year-on-year, including record sales over the festive period. Tesco is convincing customers of its commitment to ensuring that customers get the best value for money. Over 2,300 products were cheaper at the end of the year than at the start, with an average reduction of around 9%.

For more information on how Tesco is growing with fresh produce, please write here.