Elizabeth Judge
Download 'Too Hot', an exclusive Specials track from iTunes
The head of Waitrose launched a scathing attack on Tesco yesterday, accusing its rival of being anticompetitive and of using its financial might to stamp out rivals.
Mark Price, the managing director of Waitrose, said that the Competition Commission — which next month reports the results of an inquiry into supermarkets — must take action to stop Britain turning into “Tescoland”.
Mr Price said that if Tesco’s growth went unchecked, there could be only Tesco and Asda left in the market within a quarter of a century.
“The commission needs to realise what is happening,” he said. “They are so aggressive and will buy everything to keep out the competition.”
Mr Price said that Tesco, the UK’s dominant supermarket group with a 31.7 per cent market share, claims that customers are opting to shop there, but that in reality consumers are motivated by easy access. “If there is a Tesco on every corner, that is where they will go,” he said.
He claimed that rival supermarkets’ efforts to snap up sites were failing because of Tesco’s vast reserves and that smaller players were suffering because of Tesco selling below cost.
“Tesco says it doesn’t underprice, but they put millions into their offers and bombard people with them and that is how they stamp out competition,” he said.
A spokesman for Tesco said:
“Waitrose should know full well it is a very competitive market out there. More than 94 per cent of the population has access to three or more supermarkets. There is plenty of choice out there and we are confident the Competition Commission will find that in its inquiry.”
Win a luxury weekend to Newcastle and its neighbour Gateshead, find out more here
Risk, resilience and embracing new technology
Industry sectors news at a glance. Interactive heatmap, video and podcast
Discover the power of collective thinking. Submit a solution and be in with a chance to win a Media Hub Home Entertainment System
The inside track on current trends in the charity, not for profit and social enterprise sectors
Everything the Business Traveller needs to know to make a better trip
Make the most of the summer and enter our fabulous photographic competition, you could win a £5000 holiday
Corsica is an island of beauty and contrast, an ideal holiday destination
Enjoy further reading from Travel to Fashion, Business to Sport, discover more
Shortcuts to help you find sections and articles
The clever way to lease a new car is with Car leasing made simple™
2009
per month on 36-month
Personal Contract Hire (PCH)
2008
42850
Car Insurance
£24,250 - £30,346
MI5
London
£60,000
The Environment Agency
Bristol
Up to £90K
Boots
Midlands
OTE £85k
Credit Protection Association
Nationwide Opportunities
Completely London
Luxury Condo's in Manhattan with NYC views
The best new homes in Wimbledon?
Nationwide
Fabulous Cruise And Cruise & Stay Offers Including Virgin Atlantic Flights Prices Start From Only £699pp!
Last Minute Cruise And Cruise & Stay Offers. Med From £499pp, Caribbean From £699pp!
5 star quality at a 3 star price.
8 fabulous Canadian cities ...you won’t find cheaper
Contact our advertising team for advertising and sponsorship in Times Online, The Times and The Sunday Times, or place your advertisement.
Times Online Services: Dating | Jobs | Property Search | Used Cars | Holidays | Births, Marriages, Deaths | Subscriptions | E-paper
News International associated websites: Globrix Property Search | Property Finder | Milkround
Copyright 2009 Times Newspapers Ltd.
This service is provided on Times Newspapers' standard Terms and Conditions. Please read our Privacy Policy.To inquire about a licence to reproduce material from Times Online, The Times or The Sunday Times, click here.This website is published by a member of the News International Group. News International Limited, 1 Virginia St, London E98 1XY, is the holding company for the News International group and is registered in England No 81701. VAT number GB 243 8054 69.
I agree that tescos do tend to monopolise land compared to other suermarkets, but surely it is the consumers choice where they like to shop.
I am sure if Waitrose stopped getting sour grapes and did something about lowering their prices, they might get more customers, and would then have the demand to erect more stores.
mace, cannock, staffordshire
Sour grapes from Waitrose et al. What should really please them all, is the takeover of Sainsbury's by Delta Two. Sainsbury's will be burdened with debt and the valuable freeholds sold off to fund the purchase. How will that help customers ? A rival in debt will be even less competitive than it is now.
Pity the poor Sainsbury pensioners too . Will the Trustees have the bottle to negotiate future adequate levels of funding for members - or will Sainsburyu's 65,000 members be the next Pension Scandal ?
I would be quite happy to see a small Tesco ( or Sainsbury's etc) in every large village to replace the normally awful shops that exist in villages today.Walk to work employment and walk to shop shopping at good prices. How green is that ? Village independent shopkeepers are generally a pain - offering a limited range, average only quality and high prices. If we really want to trot out "the old, the vulnerable, the lonely" argument again - well Tesco et al have the answer.
Mikea, Leatherhead,
On Essex Road in Islington, Tesco's have just opened a new shop only 20 metres from a Sainsbury's Local and a 15 minute walk from a larger Tesco store , all on the same road. Do we really need that many???
Laura Scarpa, London,
Tesco now needs to be broken up. More players in the 'grocery ' market makes for more competition. Where is the regulator?
Raymond , Luton,
Do we want a country where there are just: four supermarkets (and at this rate only two!), four premier football teams (with vast amounts of foreign money), four consultancies running every outsourced operation and every in-house contract, four rail companies, four banks/isurance companies - do I need to go on? The writing is on the wall!
Tony Mann, Bradford, UK
It's simple, perhaps too simple for the politicians and bureaucrats. In the interests of competition, no supermarket should be allowed to have more than one store in each area and that store should be the only site they can own. Any further holdings of land should be sold with no conditions attached to future use and no involvment whatsoever permitted in the development. There should be a tight timescale attached too - no hanging on under the guise of "getting the right price".
That Tesco builds up land banks and keeps out competitors is a manipulation and an abuse of the market and should be outlawed.
Tom Paul, Harrogate, North Yorkshire
I shop at Tesco, Asda, Aldi, Lidl, Netto & Waitrose - I don't like Sainsburys though, overated & overpriced.
Tesco & Aldi have the best quality / price ratio.
Waitrose have some good stuff but why are they so expensive on identical products - they claim that its a myth that they are expensive, I disagree with this completely.
If Tesco were rubbish people wouldn't shop there but the simple fact is they are pretty good at what they do and they are correct, they are only as successful as people let them be. Waitrose just sound scared.
People are worried about the power of Tesco, why? If people didn't shop there then they would be powerless. The fact that people do shop there is their own choice and is not up to Waitrose.
I have a Tesco and Waitrose near by and aside from a few things, I'd still rather go to Tesco.
Peter Hall, Flitton, Bedfordshire
I prefer to shop at Waitrose, as their goods seem fresher and of a better quality, plus they always seem to have what I need. Tesco and Sainsbury I perceive as, maybe, being a few pence cheaper but of driving the farmers out of business and bulldozing their way through the high streets, driving everything in their path out of business. If Tesco represent the triumph of competition, all I can say is, what happens when theyâre the only place left to go?
Cirep G Nol, London,
Actually I shop at both - Not so sure I will go to Waitrose any more - they seem a little put out by the fact that its a competitive world out there, no one is moaning about John Lewis!!!! I agree fully with Tescos statement.
Waitrose get real and if your that bothered - try some innovative tactics (like Tesco).
James, High Wycombe,