Tesco is aiming to roll out ESLs across around 3,000 UK stores in what would mark the end of an era and would follow a move by Morrisons and Lidl
Tesco customers are poised for a big switch in stores in what would mark the end of an era. The supermarket giant is vowing to introduce new digital shelf labels across thousands of branches.
The retailer has announced plans to roll out electronic shelf labels (ESLs) throughout its UK network over the coming two years. The simple change would see traditional paper price tags that shoppers have been used to for decades being swapped for digital displays.
The initiative will first launch in four stores – comprising one Tesco Express and three larger supermarkets – before ultimately reaching around 3,000 sites across the country, it is expected. The labels will show prices electronically and can be refreshed instantly from Tesco’s central systems.
This means shoppers will be able to view the most up-to-date prices while browsing, while employees will no longer need to manually swap out large quantities of paper shelf-edge labels. Tesco stated the technology is intended to enhance pricing accuracy and boost store efficiency.
The supermarket is working with Chinese tech firm Hanshow for the deployment, following positive trials at its Royston and St Neots branches. Revealing the partnership on LinkedIn, Hanshow called the rollout “a new milestone in digital store transformation”.
The firm wrote: “Hanshow is proud to partner with Tesco on the rollout of electronic shelf labels across its large-format and convenience store network in the UK.” It added: “By replacing paper labels with connected digital infrastructure, the project will help simplify daily store operations for associates, enable them to spend more time serving customers, and support Tesco’s sustainability ambitions.”
Hanshow stated it was dedicated to delivering “long-term value” through digital store solutions that make retail “more efficient, connected, and sustainable”. The rollout of digital labels represents one of the most significant technological overhauls Tesco’s stores have seen in recent memory.
Electronic shelf labels have grown increasingly widespread across the supermarket industry as retailers seek to modernise their stores and cut down on paper waste. Morrisons became the first UK supermarket to pilot the technology last year, while Lidl, Co-op, Waitrose, Asda and Sainsbury’s have also deployed digital pricing systems in their stores.
The labels function by receiving remote updates, enabling price changes to be applied instantly throughout the shop floor. As well as helping customers stay on top of the latest prices, the system is anticipated to lower the risk of discrepancies between shelf-edge labels and till prices.
Tesco says the rollout will further support its sustainability objectives by dramatically reducing paper consumption across its estate. Kevin Tindall, Tesco’s UK operations managing director, said the technology would help bring its stores into the modern age while freeing up colleagues to spend more time helping customers. This move is part of a broader shift sweeping the retail sector, as supermarkets pour increasing amounts of money into digital technology to modernise operations and enhance the experience for shoppers.
Should the scheme go ahead as intended, Tesco’s electronic shelf labels will be fitted in approximately 3,000 stores throughout the UK over the coming two years.
