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06 Jun 2024

The Future of eCommerce at Tesco: Scaling for Growth and Efficiency

Dr. Oliver Vogt, Director Strategy and Transformation at Tesco

As one of the world's top retailers, Tesco has evolved its eCommerce strategy to meet the growing demand for online grocery shopping. In this exclusive session at DELIVER Europe 2024, Dr. Oliver Vogt, Strategy and Transformation Director at Tesco, takes us through the retailer’s journey in building a robust and efficient fulfilment network. With over £6 billion in annual online sales and 1.2 million weekly orders, Tesco has solidified its position as the UK’s leading online grocery provider. 

In the session, Oliver highlights how Tesco’s fulfilment network has expanded, from in-store picking operations to dedicated customer fulfilment centres and innovative micro-fulfilment solutions. The retailer’s strategic use of automation in high-demand areas like London has significantly improved efficiency and capacity, while its Delivery Saver programme and seamless mobile app experience continue to enhance customer convenience. Furthermore, Tesco has embraced immediacy delivery with its ‘Whoosh’ service, offering rapid grocery fulfilment from convenience stores within 60 minutes.

A key focus of Tesco’s strategy is optimising the final mile. With a fleet of refrigerated vans making 150,000 daily deliveries, Tesco has invested in proprietary routing software to improve delivery efficiency and customer experience. This in-house technology ensures precision scheduling up to 21 days in advance, reinforcing Tesco’s commitment to innovation in last-mile logistics.

Watch the full session to gain insights into Tesco’s approach to online grocery fulfilment, automation, and customer-centric innovation. Whether you’re a retailer, logistics provider, or tech leader, this talk offers valuable takeaways on building a scalable and efficient eCommerce operation.

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