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Tesco supermarket and hypermarket chain informed that its online store will be closed at the end of October. In addition, six Tesco stationary stores which are not covered by the contract of purchase of 301 stores by Salling Group (Netto) will be closed.
Tesco closes its online store and stationary stores
Tesco’s online store, which was launched in 2012, will close at the end of October. At present, online shopping at Tesco is available for residents of Warsaw, Wroclaw, Lublin, Lodz, Poznan, Gliwice, Bielsko-Biala, Krakow, Katowice, Ruda Slaska, Szczecin, Bydgoszcz, Tychy and Gdynia.
Tesco will also close six stationary stores on 31st October which were not covered by the purchase agreement of Salling Group (owner of the discount chain Netto). These stores are located in Warsaw, Bielsko-Biala, Opole, Lodz, Gdynia and Ostrow Wielkopolski. Furthermore, Tesco intends to carry out group layoffs – about 900 people will lose their jobs.
Earlier, on June 18, 2020, the Tesco network announced the sale of its business in Poland. Salling Group, owner of the food chain Netto, became the buyer of 301 stores, distribution center and head office. Thanks to the acquisition of Tesco stores, the Netto discount store chain in Poland will expand to nearly 700 outlets. The transaction is currently being reviewed by the Office of Competition and Consumer Protection (UOKiK).
E-commerce market in Poland is flourishing
According to the latest PMR report, “Online retail market in Poland 2020. Market analysis and development forecasts for 2020-2025“, the Polish e-commerce market in 2019 is estimated at over PLN 61 bn, which represents almost 11% of the entire retail market. In 2020, as a result of the COVID-19 pandemic, the e-commerce market in Poland will record a rapid, 26% year-on-year increase in value.
The pandemic also caused the Internet sales to grow rapidly in the segments that have so far been the least popular among consumers – e.g. food products.
Furthermore, according to our estimates, in 2019, e-zakupy.tesco.pl was the largest player among online food stores in Poland.