Tesco 'should aim for gentle decline' after fall in sales
Tesco should accept the "inevitable truth" that the era of big supermarkets has ended and look towards a "gentle decline" rather than continuing to invest in store refurbishments, food retail analyst Bruno Monteyne has said.
His comments come as the supermarket reported a third consecutive quarter of falling sales as it faces increasing competition from rivals.
For the three months to 24 May, Tesco said like-for-like UK sales including VAT and excluding petrol fell 3.7%.
Mr Monteyne, from Bernstein Research, told the Today programme's Justin Rowlatt that Tesco had scored an "own goal" in raising its prices too quickly and now found itself in middle ground between the discounters and stores such as Waitrose and Marks and Spencer that prioritise quality.
First broadcast on BBC Radio 4's Today programme on Wednesday 4 June.
04 Jun 2014