Despite the challenges, Tesco carries on with supporting shoppers, communities and the planet

– What was 2022 like for Tesco? What had the biggest influence on the company’s operations?

Zsolt Pálinkás
CEO
Tesco-Global

– After the Russia-Ukraine war broke out, we offered more than HUF 150m worth of humanitarian aid, in the form of product donations, financial support, volunteer work, price discounts to refugees, and work opportunities. Tesco also reacted very quickly to the cost of living crisis. We launched the Low Price Guarantee programme, which keeps the prices of several hundred products low. The Clubcard loyalty programme was expanded, and in May we cut the prices of more than 2,000 products by 9.4% on average.

– How could you manage the business challenges?

– Our workers are the pillars of Tesco’s business operations, so in the 2022-2023 financial year we invested HUF 3.4bn in raising their salaries, and spent nearly HUF 4bn on various benefits for them. Even in the current difficult conditions, we were able to continue our sustainability activities. In 2022 we reduced Tesco’s food waste by 69% if compared with 2016-2017, saving 3,403 tonnes of food surplus and giving it to our partner, the Food Bank. Our emissions dropped by approximately 10,900 tonnes, and Tesco switched to recyclable packaging with the third own brand category in a row. What is more, we started using electric vans in home delivery.

– What were the most important development projects?

– We modernised 25 stores and will remodel another 40 this year. The Tesco From Home service arrived in new towns and villages, and Foodpanda and Wolt now deliver from 68 Tesco stores, so we can reach 2.7 million households in 874 locations. There are Tesco mini shops at 36 Shell service stations, and the number of these will grow to more than 100 by 2025. (x)