Tesco Triumphs in Rapid-Delivery Race with Whoosh

Tesco has effectively turned the threat of rapid-delivery startups into an advantage with its Whoosh service, expanding quickly to boost online sales. By integrating this service into existing networks, Tesco leverages its financial muscle against competitors, maintaining a strong position in the UK grocery market.

Five years after Ken Murphy's warning about rapid-delivery startups, Tesco has flipped the threat into a strategic advantage. The UK's premier food retailer's fast-delivery service, Whoosh, offers store-to-door groceries within minutes, fueling a significant rise in online sales.

Following the retreat of major quick-commerce players like Getir, Tesco seized the opportunity to expand its Whoosh service by utilizing its vast store network and extensive advertising. This has enabled Tesco to gain a commanding lead over traditional rivals in the fiercely competitive UK grocery market.

Whoosh's presence across 1,600 Tesco stores, delivering to over 70% of UK households, underscores Tesco's dominance. Despite challenges like banking ventures and stiff competition from German discounters, Tesco's market share is on an upward trajectory, with aims to reclaim a 30% share.

(With inputs from agencies.)