Tesco boss Dave Lewis describes himself as willing to do the right thing, even if it’s difficult. But is his message getting across?

In an interview last week, new Tesco boss Dave Lewis described himself as competitive, loyal, caring and willing to do the right thing, even if it’s difficult. Sounds like a winning formula for turning around the retailer.

He had plenty of advice in that department in the run-up to his arrival at Cheshunt and that continued after he started, with “open letters to Dave” appearing in most newspapers and the trade press. And bloggers and tweeters have added to the constant noise which has accompanied his appointment.

Most of us remember that when Justin King joined as chief executive of Sainsbury’s he shocked the board by not turning up at head office on day one. He was at a store from 7am watching stock being delivered and talking to colleagues on the shop floor, in order to form his own opinions about the business’s problems and how they might be tackled.

“Tesco lacks Asda’s focus on value or the compelling multipack buys that have served Sainsbury’s well”

Fran Minogue, managing partner, Clarity Search

Lewis hasn’t exactly followed that path, but he’s made it quite clear, in a company-wide email, that he wants to hear from staff directly about their ideas for the turnaround. In his first week he addressed a store managers conference, asking for their help in rebuilding morale and improving the customer experience.

Ten years ago an incoming chief executive was expected to come up with a new strategy after his or her first 100 days – but this is now and this is retail. So after one week, people are looking for answers – the City, the press and the staff. Social media has also had an impact on timelines and expectations – store managers were apparently tweeting their opinions of Lewis and others were laying odds on his chances of success during that first presentation.

A marketeer by background, Lewis has quite rightly called for a renewed focus on the customer experience. This was of course Terry Leahy’s original mantra, but it got lost over the years as cost-cutting in the UK became the expedient way to support investment overseas while maintaining the dividend.

I visited a Tesco Extra last weekend to see if the charm offensive had got underway yet. What I found was no different from what I’ve come to expect over the last few years – a fairly efficient, clinical but ultimately average shopping experience. Availability was OK, but a number of special offers were sold out; staffing was reasonable – queues of three or four at each checkout and a patient young assistant helping with the “unknown items in the bagging area”.

But the overall ‘experience’ was underwhelming – this everyman of the grocery world lacks Asda’s single-minded  focus on value or the compelling multipack buys that have served Sainsbury’s so well since the recession.

So Dave has his work cut out. Apparently the message hasn’t quite reached the grass roots yet. Tesco recently decided to retain its “Every little helps” tagline, but it needs to mean something again. Range, price, service – all need to be addressed and all need to work in harmony if Tesco is to re-establish itself as the customer champion.

  • Fran Minogue, managing partner, Clarity Search