Competitors of Tesco

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Competitors of Tesco

This article aims to explore the main competitors of Tesco in the UK grocery retail sector. Tesco is a British multinational retailer headquartered in Hertfordshire, England. It was founded by Jack Cohen 1919. It serves millions of customers every week in its stores and online. Approximately 420,000 people work in Tesco.

Tesco is the leader in the food and grocery market in the UK. It has over 3,400 stores that employ 300,000 people in the UK. Tesco employs 13,000 people in Ireland where it has 152 stores. It also operates in some of the most promising and biggest markets in the world e.g. India, China, and Malaysia (Tesco Plc, 2021). Its total number of stores globally is almost 7000.

Competitors of Tesco in the UK

The main competitors of Tesco in the UK are Sainsbury’s, Asda, Morrisons, Aldi, Co-op, Lidl, Waitrose, and Iceland. According to Kantar (2020), the market shares of these companies are as follows:

Tesco: 27.3%


Sainsbury’s: 15.9%


Asda: 14.3%


Morrisons: 10.4%


Aldi: 7.4%


Lidl: 6.1%


Co-op: 6.0%


Waitrose: 5.0%


Iceland: 2.5%

As shown above, the nearest rivals of Tesco are Sainsbury’s and Asda. However, Tesco also faces a fierce competition from discounters such as Aldi and Lidl. Competition pressure from Morrisons is also very high as it has 10.4% grocery market share in the UK.

Competitors of Tesco abroad

Penny Market, CBA, Carrefour, Walmart, SPAR, Aldi, and Lidl are some of the biggest competitors of Tesco in international markets. Tesco also sees Amazon as a formidable competitor (Williams-Grut, 2017). However, it should be mentioned that Tesco announced in July 2018 its strategic and long-term plans of strategic alliance French supermarket giant Carrefour that would have combined sales close to that of Amazon (Gwynn, 2018).

Tesco fights with its competitors by applying different strategies. Quality products, affordable prices, store locations, and distribution channels are some of the key strategies. However, it is worth mentioning that Tesco has been accused of being hostile towards some of the competitors. For instance, the UK’s Competition and Markets Authority (CMA) censured it in February 2020 for breaking the law by blocking rivals from opening shops near its stores (Wood, 2020).

We hope the article ‘Competitors of Tesco’ has been helpful. You may also like reading Marketing mix of Tesco & SWOT analysis of Tesco. Other relevant articles for you are:

SWOT analysis of Sainsbury’s

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PESTEL analysis of the UK

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Last update: 10 January 2021

References/further reading:

Gwynn, S. (2018) Tesco and Carrefour plan alliance that will rival Amazon in sales, available at: (accessed 10 March 2019)

Kantar (2020) Great Britain: Grocery Market Share, available at: (accessed 10 January 2021)

Tesco Plc (2021) About us, available at: (accessed 10 January 2021)

Williams-Grut, O. (2017) Tesco CEO on Amazon: ‘We see them as a formidable competitor’, available at: (accessed 10 January 2021)

Wood, Z. (2020) Tesco stopped rivals opening nearby stores, watchdog finds, available at: (accessed 10 January 2021)

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Author: M Rahman

M Rahman writes extensively online with an emphasis on business management, marketing, and tourism. He is a lecturer in Management and Marketing. He holds an MSc in Tourism & Hospitality from the University of Sunderland. Also, graduated from Leeds Metropolitan University with a BA in Business & Management Studies and completed a DTLLS (Diploma in Teaching in the Life-Long Learning Sector) from London South Bank University.