Tesco - First Booker on site
26 February 2018
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Grocery Insight blazed a trail ahead of the market with a visit to the new Booker implant / shop unit in Cambridge last week,.
It's part of the goliath Tesco Extra at Bar Hill, which features more concessions than are known to man with Harris & Hoole, Car Wash, Car Tyre replacements, Chef Central amongst the usual Money Exchange via Tesco bank and Holland and Barrett too.
The Chef Central unit is c. 12k sq ft and takes up the space vacated by the Dobbie's attempt at becoming mainstream. Hence this cash/carry has a wood pannelled exterior which perhaps sets the expectation a little high for what was inside...
So the first initial signs are relatively standard in terms of the operation, nothing around membership just yet, although the store does offer scan/go with the handset - which is likely to be linked / driving a membership card...
Nothing on Clubcard interactivity yet but that will come as / when the merger is signed off and done.
VAT included in the prices, minimum spend of £30 and classic Cash/Carry hours too.
A deeper read is to come later this week, but classic Cash/Carry fare at the high level. Pallets of packaging, jumbo sized Hellmanns Jars amongst pallets of Coke and a small range of Chilled / Frozen product also.
Industrial sized catering tins of Mayo both brand and own label were noted, there are also the standard pack sizes / cases of the core product.
Care has to be taken here to ensure there is no conflict with the pricing in the Tesco store, noted that Coke 24pk was actually cheaper in Tesco than the equivalent in Booker (albeit you can sell the Booker cans individually in a shop for example).
So a deeper read to come on this topic, but industrial sized toilet roll packs on big deals will likely entice shoppers in for a look, if nothing else. The lack of a card is also a positive as it will drive trade with customers feeling they can feasibly look at the offer without commitment.
Expect further examples like this to pop up around the Tesco estate, there is ample space for it and consider that Booker only have 170 locations, so these satellite sites will boost trade and enhance the cross shop opportunities also.
Perhaps we were looking at Premier and the c-stores too closely? The rationale was perhaps one to differentiate the offer and also solve that space problem that Tesco still have in abundance around the nation.
An interesting start, with further trials kicking off this week around the range landing in to some Tesco stores...
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From the Grocery Insight newsletter archive, first sent to subscribers on 26 February 2018. Steve now writes at read.groceryinsight.com. See also the blog archive and briefings.