Tesco to open 750 more stores in Thailand

[webfact]

Tesco to open 750 more stores in Thailand

By THE NATION

 

Dave Lewis, the chief executive of Tesco, sees plenty of potential for further growth in the Thai supermarket sector.

 

Tesco plans to add 750 stores to its retail network in Thailand over the next three years, providing more than 10,000 jobs, a UK report said.

 

While they have failed in a number of countries, British supermarket operators have made a profit in Thailand. Tesco made £4.1billion in revenue in Thailand last year, making the country the largest market for it outside the UK, the report by Mirror News said.

 

Tesco has been established Thailand since 1998. It has now more than 1,500 express shops and about 400 bigger stores along with an online shopping service under the brand Tesco Lotus. The company serves more than 15 million customers every week.

 

Dave Lewis, the chief executive of Tesco, said: “The economics of the country are very attractive. There is a big emerging middle class. We have been making changes over the past two years but now we have a model we are very pleased with.”

 

Lewis’s plan will create some 10,000 jobs in Thailand. He said he sees big potential for market growth, as half of the Thai food shopping market consists of traditional markets, street stalls and small family-owned shops.

 

Tesco’s main competitor in Thailand is Japanese-US convenience store business 7-Eleven, which has thousands of stores in Thailand. It is by CP All.

 

Source: https://www.nationthailand.com/business/30372714

 

-- © Copyright The Nation Thailand 2019-07-10

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Related topic:

Tesco could open 750 new convenience stores in Thailand over medium term

https://forum.thaivisa.com/topic/1107127-tesco-could-open-750-new-convenience-stores-in-thailand over-medium-term/

[from the home of CC]

terrible shopping experience especially their stupid markups on substandard imported goods...

[Basil B]

Do you now get "Clubcard points"???

[bluesofa]

Although it will be good news for Tesco, I'm sure here it will have same effect as it has in the UK:

Tesco having such huge buying power means that small local shops will be unable to compete and will close down.

Not good for the small independent retailer.

 

Bicester is one of the UK's best known Tesco-towns, operating six stores in a region with a population of 29,000.

source: https://en.wikipedia.org/wiki/Tesco_Town#Bicester

 

[NCC1701A]

2 hours ago, webfact said:

Lewis,

Dear Mister Lewis,

Please turn off that incredibly annoying Tesco Radio.

Thank you.

 

[steven100]

Lewis ….. you tink too mut. 

[Small Joke]

Yes they make a profit here because you need to sell your firstborn to get the weekly shop done as a farang 

 

Not holding my breath to welcome the likes of German bargain behemoths Aldi or Lidl into the giant consumer scam that's become modern Thailand.

 

 

 

[TallGuyJohninBKK]

I'd settle for them managing to get rid of the pesticide residues on the various fruits and veggies they sell....  Well, I can dream, can't I???

[the guest]

Should just be called "lotus", nothing for foreigners !

[TallGuyJohninBKK]

2 hours ago, webfact said:

Tesco plans to add 750 stores to its retail network in Thailand over the next three years, providing more than 10,000 jobs, a UK report said.

 

That would average out to about 13 new jobs per store.... So I'm presuming it's safe to assume, most of those future stores, if they actually come to pass, won't be the large super center types.... but instead, more the 7/11 variety.

 

[Sonhia]

How many Thai know the origins of Tesco? If fact the origins of so many companies and products within Thailand! My guess would be, if asked, most if not all would reply 'Thai'....

 

And Thai claim to have never been colonised. REALLY!!! 

 

Looking around,  I can see so many non Thai products and companies integrated into Thai society. Funny to think how so many foreign companies are assisting so many Thai citizens with employment, earn a salary to hopefully better themselves and improve lifestyles, (cough) and yet foreigners, in the main, are disliked.  Could that be considered a paradox?

 

Good on you Tesco, a foreign company, for providing employment to Thai citizens. However, it's a pity foreigners are not shown an ounce of gratitude. 

 

 

[nong38]

Where are the Green Shield stamps thats what I want to know!

[steven100]

sounds like Lewis is just playing the trumpet to Thailand's BOI …..  nothing more, nothing less ...

[Number 6]

Dreadful shopping experience. I only go there for razors and household items like soap and cleaners.

 

Makes Big C feel like Nieman Marcus.

[ICELANDMAN]

10.000 new jobs and how many jobs lost from families Thais with little shops ? Minimum 100.000 jobs.

View riches shareholders more rich of course and more poor, this the true.

 

[HeyHeyHey]

They were sitting at a meeting and were like "dude, we import all the shit for 20% - 40% cheaper than 5 years ago due to the THB up so much. Guess what - nobody in the country lowers any prices lol. So we don't have to lower it as well. Let's go all in!"

 

3 hours ago, Sonhia said:

How many Thai know the origins of Tesco? If fact the origins of so many companies and products within Thailand! My guess would be, if asked, most if not all would reply 'Thai'....

 

And Thai claim to have never been colonised. REALLY!!! 

Yeah, Thais even think "Bata Shoes" is originally from Thailand... When Bata started the cream of technology in Thailand were buffaloes used for farming.

[marcusarelus]

3 hours ago, Sonhia said:

Looking around,  I can see so many non Thai products and companies integrated into Thai

Good on you Tesco, a foreign company, for providing employment to Thai citizens. However, it's a pity foreigners are not shown an ounce of gratitude. 

I believe Tesco Lotus is here to make a profit.  They are here because the Thai economy is doing quite well and the average Thai can now afford their upscale (from mom and pop stores) products and prices.  The Thai economy is switching from subsistence agriculture to industry and is doing quite well as those who have put money in Thai banks know.  

[Basil B]

6 hours ago, TallGuyJohninBKK said:

 

That would average out to about 13 new jobs per store.... So I'm presuming it's safe to assume, most of those future stores, if they actually come to pass, won't be the large super center types.... but instead, more the 7/11 variety.

 

Probably in line with Tesco Express stores in the uk smaller than Supermarkets but would be bigger than the average 7/11 probably with a small car park.

UK operations

As of 2017, Tesco's UK shop portfolio was as follows:^[57]

Format	Number	Total area (m²)	Total area (sq ft)	Mean area (m²)	Mean area (sq ft)	Percentage of space	+/- Shops 2016
Tesco Extra	252	1,648,842	17,748,000	6,543	70,429	44.53%
Tesco Superstore	479	1,307,610	14,075,000	2,730	29,384	35.32%	1
Tesco Express	1,740	376,629	4,054,000	216	2,330	10.17%	8
Tesco Metro	176	185,156	1,993,000	1,052	11,324	5.00%	1
One Stop	780	117,894	1,269,000	151	1,627	3.18%	1
Tesco Dotcom only	6	66,519	716,000	11,086	119,333	1.80%
Dobbies	0	0	0	0	0	0.00%	36
Total	3,433	3,702,649	39,855,000	1,079	11,609	100.00%	27

 

One stop are probable more on a par with 7/11 etc.

 

[Basil B]

3 hours ago, marcusarelus said:

I believe Tesco Lotus is here to make a profit.

Well they are not a charity...

[Youlike]

10 hours ago, bluesofa said:

Although it will be good news for Tesco, I'm sure here it will have same effect as it has in the UK:

Tesco having such huge buying power means that small local shops will be unable to compete and will close down.

Not good for the small independent retailer.

 

Bicester is one of the UK's best known Tesco-towns, operating six stores in a region with a population of 29,000.

source: https://en.wikipedia.org/wiki/Tesco_Town#Bicester

 

The small retailers will close and it will be bad for the local markets. 

 

But after those have disappeared there's space for even more supermarkets so they can finally start competing eachother on price and quality.

 

And without the local markets a lot of the traffic issues will be gone....

[marcusarelus]

4 hours ago, Youlike said:

The small retailers will close and it will be bad for the local markets. 

 

But after those have disappeared there's space for even more supermarkets so they can finally start competing eachother on price and quality.

 

And without the local markets a lot of the traffic issues will be gone....

And they will pay tax.  How many of the small mom and pops do?

[keithcresswell]

It would be nice if Tesco staff were trained to be less hostile to customers.

[Briggsy]

2 minutes ago, keithcresswell said:

It would be nice if Tesco staff were trained to be less hostile to customers.

The staff are not well trained but hostility is unusual. Could it be tourist area ennui?

 

I wish somebody would train the older male farangs to be less rude judging from what I witnessed from three of them within the space of 5 minutes in Foodland yesterday.

[bluesofa]

3 minutes ago, keithcresswell said:

It would be nice if Tesco staff were trained to be less hostile to customers.

Are they?

I can't say I've noticed any difference between the say, Lotus Express and 7 Eleven staff really. I haven't seen any using a cattle-prod so far anyway.

[TKDfella]

10 minutes ago, keithcresswell said:

It would be nice if Tesco staff were trained to be less hostile to customers.

Never seen or had that experience. Having said that I rarely go on weekends as usually it's packed being the equivalent to 'a days outing' for families. Under these circumstances the checkouts often have large queues with young children running about and the employees do look a bit stressed out sometimes.

[MartinKal]

"Good on you Tesco, a foreign company, for providing employment to Thai citizens."

 

No. There's no new net employment added. On the contrary. Tesco replaces family-run businesses. It takes the people with their freedom and entrepreneurial spirits, and puts them into brown and cream uniforms and zero hour contracts.

 

As it gains in strength, it lobbies for rules that force the little guys off the streets and into their jaws.

 

Instead of Thai food you get a diet of sugar and coke. Super market chains resemble each other globally so there is a loss of diversity and Thai identity.

 

Overall, not good for employment, freedom or identity. Good only for Tesco shareholders.

[prakhonchai nick]

30 minutes ago, keithcresswell said:

It would be nice if Tesco staff were trained to be less hostile to customers.

Reading all the above posts, it seems not many are happy with Tesco Lotus. Here in my town, we have had a large store for about a year now. Everything seems well priced, I regularly receive through the post many coupons for large discounts, and the staff are truly excellent. Always nice to customers, smiling and chatty. No complaints from me.

[TKDfella]

Like others have commented, I'm not sure it's a good idea. There is already plenty of 7/11's, often more than one in a road with a Tesco Express too. And of course the supermarkets contain the 'fast (fatty) food' shops which is another problem (food additives such P. Glycol , S. Nitrite etc.).

[AhFarangJa]

15 hours ago, NCC1701A said:

Dear Mister Lewis,

Please turn off that incredibly annoying Tesco Radio.

Thank you.

 

+1...........Also, while we are at it can we do the same for Makro......that repetitive ARO jingle strains my ( limited) mental capabilities to the limit.......

[Bangkok Barry]

17 hours ago, from the home of CC said:

terrible shopping experience especially their stupid markups on substandard imported goods...

 

You must be British, as it is a national trait of the Brits to talk down whatever and whoever becomes successful. If they are so terrible I don't think people would use them, do you? They do have Big C as an alternative, and to a lesser extent Tops.

 

In my town in Kalasin province we have a large Big C supermarket. Then Tesco Lotus built their own place almost next door and Big C lost about 90 percent of their trade as people defected. Big C got so desperate for customers they greeted you at the door and thanked you as you left, but they are still limping along with just one check-out cashier. All the small businesses in there have left.