Putting 500 jobs at risk. In a surprise move Tesco Direct is on its way to close down the clothing and homewares.
Tuesday afternoon the time when the staff had a briefing. Regarding the decision of closing down the sections of Tesco Direct. For the loss making website which once had an attempt to take on the giants, Argos and Amazon. By leaving nothing behind to sell. Let it be the toys, sofas and list goes on.
The website which was launched back in 2006, the Tesco officials finally admits that they could not make it profitable. Eventually going for the redundancy and putting at stake 500 staff individuals.
Charles Wilson, the boss who recently took over the Tesco’s UK chain said. “This decision has been a very difficult one to make, but it is an essential step towards establishing a more sustainable non-food offer and growing our business for the future,”
He added “We want to offer our customers the ability to buy groceries and non-food products in one place and that’s why we are focusing our investment into one online platform.”
9th of July is the day as per tesco’s officials when the direct website will cease trading. It was done as the high cost of fulfilling orders and online marketing was unmanageable. The plan would see the closure of distribution center at Milton Keyes, which handles Tesoc Direct orders.
The closure of tesco was not a surprise to Anika Newjoto, editor of shopperpoints.co.uk. She said “Even with advantages such as Clubcard points and ‘click and collect’ delivery to Tesco stores it is incredibly difficult to compete with Amazon these days.” Anika owns a site that covers supermarket loyalty schemes.
At an average daily customer of 100,000 is going to find an alternate as the grocery-focused site is coming to a closure. However the Tesco mobile products will be available on Tesco.com