Vision and Strategy
Our Vision sets out what we want to be:
In any business, clear direction is vital. Our Vision guides the direction and the decisions we take as an organisation. Tesco is a company built around customers and colleagues, high-quality assets around the world and multiple opportunities for growth – and these characteristics are central to our Vision for the business.
We want Tesco to be the most highly valued business by: the customers we serve, the communities in which we operate, our loyal and committed colleagues and of course, our shareholders. For these things to be possible, our Vision for the business has five elements – each of them describes the sort of company Tesco aspires to be.
We see it as essential not only to be the shop of choice for customers but also the place people want to work, a business that communities welcome and the retailer in which every shareholder wants to invest.
Whether it's food or general merchandise, books or digital entertainment, banking or eating out, our business is full of opportunities for both customers and colleagues. We want our business to offer something new every time.
Tesco's success has always been based on trying to understand customers' needs better than anyone else – and then innovating to make their lives that little bit easier. This attitude, which brought online grocery shopping, extended shopping hours, Finest, Everyday Value, a range of formats from Express to Extra – and all the other things that make us who we are – is as central to our Vision now as it ever has been.
Retail is local because cultures, tastes, climates, regulations are all different. But the core skills that we have learned in one place can be applied in others. For example, setting up our grocery home shopping operations from scratch in eight international markets across the Group wouldn't have been possible without what we've learned in the UK.
We want Tesco to be a company that earns trust, not just respect, through everything we do – be it our in-store shopping trip, our Price Promise, or our determination to assure customers on food quality. We want to be a business that customers, colleagues and communities trust and are loyal to.
Our Strategy reflects our priorities as the business grows and customers' needs change:
We have a well-established and consistent seven-part strategy for growth, which reflects the way consumer needs are changing and the increasingly global nature of our business – and of course driving it forward is critical to our success over the coming years.
To grow the UK core, the largest business in the Group and a key driver of sales and profit, is a priority. Our 'Building a Better Tesco' plan has been restoring growth to the business through a comprehensive series of improvements for customers.
We have established profitable businesses in Asian and European markets. Today, 32% of our Group sales and 29% of profits are made internationally and our goal now is to take the performance of these businesses to higher levels.
Food is our heritage but as the business has grown and diversified over recent years, we have added an ever-wider range of products and services in-store and online, bringing Tesco value and quality to many more categories.
Consumers are increasingly spending a bigger proportion of their income on services – whether it is in telecoms, eating out or financial services. In the UK, we have built some strong, successful new businesses and our ambition now is to take that experience to all of our markets.
The changes we have made to our Core Purpose and Values to reflect Tesco's wider social purpose are clear signals that we put our responsibilities to the communities we serve at the heart of what we do.
Brands are about giving customers confidence in the quality, value and reliability of the things we sell. We aim to be a creator of highly valued brands across our offer, whether it is Finest, F&F or Tesco Bank.
As Tesco continues to grow and diversify we need more leaders to run the broad range of businesses, operations and support functions. We are investing in the development of more leaders and a bigger, more diverse talent pool to support the growth of the Group.
As one of the world's largest retailers with over 530,000 colleagues, we serve millions of customers a week in our stores and online.
Core Purpose and Values
The Tesco Values sit at the heart of our business and help us deliver our Core Purpose