Tesco has confirmed plans to introduce electronic shelf labels (ESLs) across its UK network, affecting approximately 3,000 stores. The supermarket giant will replace conventional paper price tags with digital displays over the next two years, following similar moves by Sainsbury's, Asda, Lidl, Waitrose, and Co-op.
Rollout Details
The initiative will begin in four stores, including one Tesco Express and three larger supermarkets, before extending to thousands of locations nationwide. The labels will show prices electronically and can be refreshed instantly from Tesco's central systems, ensuring shoppers see the most up-to-date prices while browsing.
Staff will no longer need to manually swap out large volumes of paper shelf-edge labels, allowing them to focus more on customer service. Tesco stated the technology is intended to enhance pricing accuracy and boost store efficiency.
Partnership with Hanshow
Tesco is collaborating with Chinese technology firm Hanshow for the implementation, following successful pilot schemes at its Royston and St Neots branches. Announcing the partnership on LinkedIn, Hanshow described the rollout as "a new milestone in digital store transformation."
Hanshow 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. 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."
Industry Trend
Electronic shelf labels have become increasingly widespread in the supermarket industry as retailers seek to modernize stores and reduce paper waste. Morrisons became the first UK supermarket to pilot the technology last year, with Lidl, Co-op, Waitrose, Asda, and Sainsbury's also introducing digital pricing systems.
The labels function by receiving remote updates, enabling instant price adjustments across the shop floor. This system is anticipated to reduce discrepancies between shelf-edge labels and till prices, helping customers stay on top of the latest prices.
Sustainability and Efficiency
Tesco says the rollout will support its sustainability objectives by substantially reducing paper consumption across its entire estate. Kevin Tindall, Tesco's UK operations managing director, said the technology would help bring stores up to date while freeing up colleagues to dedicate more time to helping customers.
The rollout reflects a broader shift across the retail sector, as supermarkets continue to invest heavily in digital technology aimed at streamlining operations and enhancing the customer experience. If the programme proceeds as scheduled, Tesco's electronic shelf labels will be fitted in approximately 3,000 stores nationwide over the coming two years.
